Oji Paper to Reduce Production Capacity of Graphic Paper by Nearly 400,000 TPY
May 22, 2019 (Press Release) - Oji Holdings Corporation (Tokyo) has worked on restructuring its manufacturing system as appropriate, in response to the structural changes in its domestic demand. Oji hereby announces it has decided to close and remodel the following manufacturing facilities as further measures. Oji Paper Co., LtdTomakomai Mill, #N-5 Machine
Tomioka Mill, #9 Machine Oji F-Tex Co., Ltd.Ebetsu Mill, #1 Machine Ebetsu Mill, #4 Machine These measures will result in capacity reductions of graphic paper of approximately 400,000 tons/year, cost reductions of ¥3.7 billion/year, mainly fixed costs, and capital expenditures of ¥15.0 billion by estimate. Note that the book value of these facilities was reduced in the previous fiscal year to the recoverable value taking into consideration structural changes in future domestic demand. Therefore, there will be no material impact on consolidated results for the fiscal year ending March 2020. Oji apologizes for inconveniences caused to its customers and all other related parties and sincerely appreciates your continued understanding. Oji Paper Co.,Ltd. operates as a subsidiary of Oji Holdings Corporation. To learn more, please visit: https://www.ojiholdings.co.jp. SOURCE: Oji Holdings Corporation |