French producer of corrugated case material Papeterie Saint-Michel is being liquidated. The company has been in financiall difficulties for quite some time and has been in receivership since April this year. On 3 October, the commercial court of Angoulême placed the company in liquidation.
Papeterie de Saint Michel houses two paper machines for the production of recycled corrugated case material in grammages between 115-170 g/m²- The two machines have a combined capacity of 75,000 tpy. The company is part of Groupe Thiollet, which also operates the Gatineaux-Thiollet packaging plant. The packaging plant is not affected and will continue to operate.
Smaller paper mills with older machines are having a hard time in this market environment. Demand is too weak and competition too fierce. Mill manager Jacky Quiesse had already complained in April about the slump in demand in the packaging sector and the fall in selling prices while production costs remain high.
