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Cascades to close converting activities at Waterford and Kingman

Cascades is to permanently close its tissue converting operations at its Waterford, New York and Kingman and Arizona plants.

Effective March 27, 2020, the closures do not involve the Waterford customer service or distribution centres, while the Kingman distribution centre will continue to operate until the lease ends in October 2020.

The two sites produce a combined total of nine million cases of tissue products annually and employ 213 workers.

These volumes will be moved to other Cascades plants and filled with the ramp up of additional capacity.

Jean-David Tardif, president and chief operating officer of Cascades Tissue

Group, said: “The difficult, but necessary decisions we are announcing today are part of our strategic efforts to improve the tissue group’s profitability and position this business for long-term success.

“The losses recorded by these plants, existing market conditions, and our recently announced investments in acquiring and modernising other converting units in the US have prompted us to move production to our other sites to optimise operational efficiency and reduce logistic costs.”

Over the coming weeks and months, Cascades will work to mitigate the impact of this announcement on its employees, including offering as many employees as possible the option to transfer to Cascades’ other business units.

Employees who cannot, or do not wish to relocate to other plants, will receive support in their search for other employment.