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SCA Restructures Operations in Italy, France

March 27, 2009 - SCA today said that it is restructuring its supply chain for its tissue operations in Italy, including the closure of the Pratovecchio mill.

Measures are also being taken at the company's plant in Orleans, France.

After an extensive evaluation, SCA has decided to consolidate all finished product manufacturing for Italy, including the production for folded products, rolled products and colored parent reels, to the Lucca area.

The decision includes the closure of Pratovecchio mill located in the Arezzo region. The mill operates one paper machine and nine converting lines. The closure affects 128 permanent employees in Italy.

In addition, SCA will restructure its Orleans mill in France, which includes the reduction of 44 jobs.

The measures are part of the company's previously announced (Dec. 2007) program to reduce total production capacity by some 100,000 tons by 2010.

SOURCE: SCA




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