Stora Enso aims at improving cost competitiveness in the Renewable Packaging business segment. A total of 94 employees to be affected by restructuring measures in Hungary and Spain.
Stora Enso plans to close the corrugated packaging facility in Paty near Budapest and centralise its operations in Hungary to the Komarom site. The company blames its decision on weakening demand for corrugated board packaging in Hungary. The Paty facility is scheduled for closure by the end of the third quarter this year. 79 employees would be affected by the closure, Stora Enso says.
The number of employees at Stora Enso's Spanish consumer board mill in Barcelona is to be reduced by 15. The efficiency measure's planned at Barcelona GD board mill are intended to improve the mill's profitability, the company explains.
Stora Enso expects the restructuring of its operations in Spain and Hungary, together with the ongoing efficiency improvement incentives at Skoghall, Fors and Imatra mills in Sweden and Finland, to reduce the company's annual costs by €7m, starting gradually from the fourth quarter of 2012 onwards.