Boise Inc. to Close Two Paper Machines at International Falls, MN Mill
May 2, 2013 - Boise Inc.'s chief executive in the company's first quarter 2013 earnings statement said that Boise will close two paper machines at its International Falls, Minnesota mill by the fourth quarter of this year.
The machine closures will impact about 300 jobs and reduce the company's uncoated freesheet capacity by approximately 115,000 tons per year.
"To improve the cost competitiveness of our Paper business, where we operate against the background of secularly declining demand for our products, we have made the difficult decision to close two paper machines and an off-machine coater at our International Falls mill," said Alexander Toeldte, President and CEO.
"These closures, which we expect to occur no later than fourth quarter 2013, will reduce our annual uncoated freesheet capacity by approximately 115,000 tons, or 9%, and allow us to focus our efforts on key products and machines that drive our profitability, improve our cash flow, and enhance the overall competitiveness of our International Falls mill and our Paper business.
"This decision will result in the loss of approximately 300 jobs. We understand the impact this decision has on our dedicated employees, as well as the community of International Falls. We appreciate their efforts and support over the years," Toeldte concluded.
The International Falls mill is an integrated mill with four paper machines which have a combined annual capacity of 533,000 tons per year of uncoated freesheet (UFS). The mill also operates one off-machine and one on-machine coater, along with four Will and one Lenox sheeters. In addition, the pulp mill has the capacity to produce 390,000 tpy of kraft pulp.
SOURCE: Boise Inc.