M-real to Cut Coated Fine Paper Production
June 5, 2008 - M-real said that it will cut-back production of coated fine papers between June and August to to better match production with expected market demand in Europe during the summer months, limit export volumes and control capital tied to inventories.
M-real noted that a weak U.S. dollar will keep export volumns down, which in the past have helped to compensate for seasonally slow demand in Europe.
Production capacity will be reduced by 10 - 20 percent depending on product and market mix, M-real said.
The company doesn't expect the capacity cuts to affect its workers.
M-real produces about 1.5 million tons per year of coated fine paper.