Stora Enso Completes Co-Determination Negotiations at Hylte Mill in Sweden
The closure of PM3 will decrease Stora Enso's annual newsprint capacity by 26% or 235,000 tonnes, which represents 4% of total European newsprint paper capacity.
Oct. 14, 2020 - Stora Enso today announced that it has completed the co-determination negotiations concerning the closure of one standard newsprint paper machine (PM3) and the deinking plant at its Hylte Mill in Hyltebruk, Sweden.
The closures will impact a maximum of 140 people.
As a result of the co-determination negotiations, PM3 will be shut down by the end of 2020 and the DIP in the second quarter of 2021 at the latest.
Hylte Mill currently operates two newsprint machines with an annual capacity of 480,000 tonnes. Production at Hylte Mill will continue on one line, PM4, for standard newsprint paper.
The machine closure will decrease Stora Enso's annual newsprint capacity by 26% or 235,000 tonnes, which represents 4% of total European newsprint paper capacity.
The closure will reduce Stora Enso's total paper capacity by 5%.
Negotiations on organizational restructuring, including the risk analysis, have started, Stora Enso said.
Stora Enso noted that it will continue to produce standard newsprint at Hylte, Langerbrugge and Sachsen mills and the closure of Hylte Mill's PM3 will not impact the company's newsprint product offering.
Part of the bioeconomy, Stora Enso is a leading global provider of renewable solutions in packaging, biomaterials, wooden constructions and paper. To learn more, please visit: www.storaenso.com.
SOURCE: Stora Enso