Peterson’s paper division filed for bankrupcty after it failed to restructure its debts. Its Moss kraftliner mill is being closed down today.
Paper and packaging producer Peterson of Norway is closing down its Moss kraftliner mill and is selling its Ranheim testliner plant to its packaging division. A company spokesperson confirmed to EUWID that production at the Moss plant would stop permanently today latest. The Ranheim mill was halted before Easter and is to be up and running today. Peterson paper division filed for bankruptcy two days ago, the company’s packaging division however is not affected by these procedures. Peterson is now looking for a buyer for the Moss plant.
Despite the recent takeover by Pemco it was not possible to restructure the Moss mill’s liabilities, the spokesperson explained. Peterson will now focus on packaging and convert about 60% of Ranheim’s ouput internally. The plant has an annual output of up to 100,000 tpy of testliner, recycled corrugating medium, coreboard and other board grades.
Peterson has been struggling with financial burdens related to its Moss mill for some time. The company was recently taken over by Pemco of Norway, which provided some capital to continue paper production short term but did not provide the financial means to restructure its debt.