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Cascades closes Swedish subsidiary Cascades Djupafors


April 14, 2014
By Pulp & Paper Canada

Cascades Inc. is closing a Swedish subsidiary, located in Ronneby, Sweden, due to weak market conditions.

Cascades Inc. is closing a Swedish subsidiary, located in Ronneby, Sweden, due to weak market conditions.

Production at the Cascades Djupafors mill will end on June 30, 2014. Following the closure, a number of customers will be served by the company’s mill in La Rochette, France. Agreements have already been reached with these customers in order to avoid any disruptions in deliveries.

“The current economic situation in Europe is forcing us to reorganize our European production activities in order to compete. I would like to extend my sincere thanks to the employees in Djupafors for their work, and the loyalty they have demonstrated to Cascades over the years,” said president and CEO Mario Plourde.

The plant, acquired by Cascades in 1989, has 130 employees and specializes in the manufacture of coated boxboard for folding boxes made from virgin fibres. It has an annual production capacity of 60,000 tonnes.

Cascades produces, converts and markets packaging and tissue products that are composed mainly of recycled fibres.