As the merger with Temple-Inland is finalized International Paper is reducing excess box capacity.
International Paper (IP) is to close four container plants in the United States within the next two months. According to the Austin Business Journal, the company cited the need to eliminate excess capacity after its recent acquisition of Temple-Inland.
The plants are located in Fort Smith, Arkansas, Santa Paula, California and Chicago and Solon, Ohio. The company will eliminate a total of 215 jobs, according to the Austin Business Journal. The plants are a combination of facilities owned by Temple-Inland and International Paper.
The merger with Temple-Inland sharply raised IP's share in the US corrugated market. One condition for the American competition authority’s approval of the takeover was the divestment of 970,000 tpy of testliner capacity. The two Temple-Inland mills in Ontario, California, and New Johnsonville, Tennessee, as well as the IP Hueneme mill in California were quoted as the assets to be sold. After the condition was made public, IP’s takeover of Temple-Inland was completed on 13 February after having been announced in September last year.
EUWID Pulp and Paper keeps busy professionals up-to-date on the latest news from European pulp and paper markets.
⇒ Test EUWID Pulp and Paper free of charge and without any obligation by clicking here.
