Containerboard Machine Shut Down by International Paper

January 30, 2014

1 Min Read
Packaging Digest logo in a gray background | Packaging Digest

International Paper announced plans to shut down its No. 2 paper machine at the Albany Mill in Oregon as of Oct. 5, for a minimum of three months. This machine produces approximately 250,000 tons annually of containerboard, used to make corrugated packaging. Approximately 40 people's jobs will be affected.

"We don't underestimate the impact that this has on the employees who will be laid off as a result of this decision, and we're committed to working closely with the union and local agencies to provide outplacement benefits and other assistance," said Glenn Landau, vice president and general manager of IP's Containerboard & Recycling business. "This is a necessary near-term decision made in light of continuing high input costs, current economic conditions and our commitment to match our production to our customers' needs."

Landau said the company will continue to monitor economic conditions as they evolve and will revisit the operating status of the machine early in 2009.

Mill leaders will meet with the union to discuss severance, medical and other benefits for affected employees.

Prior to the shutdown of Albany No. 2, International Paper's North American containerboard production is about 11 million tons per year.

Sign up for Packaging Digest newsletters

You May Also Like