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Norway to Canada: You’re Not Alone

Norske Skog will cut its global newsprint capacity by 450,000 tonnes per annum. This represents about seven percent of Norske Skog total global production and will mean permanent and/or “indefinite” s…

Norske Skog will cut its global newsprint capacity by 450,000 tonnes per annum. This represents about seven percent of Norske Skog total global production and will mean permanent and/or “indefinite” shutdowns of three mills/paper machines. The affected plants are Norske Skog Steti in the Czech Republic, PM2 at Norske Skog Follum in Norway and Norske Skog Cheongwon in South Korea. The timing of the shutdowns hasn’t yet been finalized. Once completed, the total write-downs will be worth roughly NOK 1.1billion (US$2.15 million) with fixed cost reductions of about NOK 250 million (US$49 million).