Consumables
Cascades Announces Consolidation of Norampac Operations in New England
Friday 11. March 2011 - Cascades Inc. (TSX: CAS), a leader in the recovery of recyclable materials and the manufacturing of green packaging and tissue paper products, announces the consolidation of its Norampac's corrugated products operations in the New England region. The restructuring will result in the definitive closure of the Leominster, Massachusetts box plant, and in the expansion of the Thompson, Connecticut plant.
The Leominster plant specializes in the converting of corrugated products. Its production will be redirected progressively towards the Thompson plant and other Norampac facilities in North Eastern US (Schenectady, New York City and Lancaster, NY State). Nearly 100 employees will be affected by the closure of the Leominster plant, which will be effective at the latest on May 27, 2011. Approximately 25 new positions will be created at the Thompson facility, and equipment from the Leominster plant will be transferred to Thompson following the closure.
“The decision to close the Leominster plant was a difficult one and follows several years of financial challenges at that location. As we have done in Quebec in 2010, consolidating Norampac’s New England operations into the Thompson facility will allow us to better serve our customers, to reduce costs and to improve the profitability in this region” stated Marc-Andre Dépin, President and Chief Executive Officer of Norampac, a Division of Cascades.
In order to help employees affected by the Leominster facility closure, Norampac has prepared a relocation program throughout its other facilities and will offer assistance regarding employment searches.