Simplemente Madera Group

completed

In September of 2007, Hurricane Felix cut through the northeastern corner of Nicaragua destroying an estimated 500,000 hectares of tropical hardwood forests mostly located in the North Atlantic Autonomous Region (Región Autónoma del Atlántico Norte or RAAN). The project consists of: - the acquisition of up to 13,000 hectares of lands affected by the hurricane; - investments in infrastructure, machinery and equipment needed to conduct salvage logging and wood processing operations, and - working capital and contingencies. Hardwoods harvested from these lands will be processed into FSC-certified decking, flooring, doors, furniture, dimensional and structural lumber, and sold on both the domestic and international markets. Concurrent with the salvage operations, the project envisions replanting select areas with native hardwood species common to the region, while setting aside areas for natural re-growth. Reforestation will ensure the return of forest cover on the lands involved in the project and ensure consistent and sustainable supply of wood for the company’s sawmilling and furniture operations. The project will be implemented by Maderas Preciosas Indígenas e Industriales de Nicaragua S.A (MAPIINICSA or the company), a local timber processing and wood products manufacturing company, and Exchange S.A., a fine furniture manufacturing and architectural design company, that will form the Simplemente Madera Group (SMG).