Feldmuehle shuts down PM 2, discontinues WFC paper production

Feldmuehle is looking for ways to improve
profitability, focus on label and packaging papers
10 Dec 2018 − 

Ailing graphic and speciality paper manufacturer Feldmuehle to cut jobs and focus production on label and flexible packaging papers.

Germany's insolvent graphic and speciality paper manufacturer Feldmuehle is exiting production of woodfree coated (WFC) paper for graphical applications. "Production of graphic paper is discontinued. In this connection, the paper machine is shut down," Feldmuehle announced. The company would concentrate its activities on the production of flexible packaging and wet-strength label papers in the future, it said.

The move will result in a massive cut to the company's staff of 400. Operations are said to continue with a workforce of 180 employees.

In November, Feldmuehle had filed for self-administration insolvency proceedings (debtor in possession) for the second time this year. "The restructuring of the company in the context of self-administration provides for all necessary measures to improve the profitability and thus sustainable competitiveness of the company," the company explained.

This article is part of our free coverage on Feldmuehle (Utersen) and the woodfree coated paper market in Germany. Market and price reports are only available for EUWD Pulp and Paper subscribers.

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