International Paper Announces Facility Closures
International Paper (NYSE: IP) announced the permanent closure of multiple facilities by April 2025, including the Red River containerboard mill in Campti, La., recycling plant in Phoenix, Az., box plant in Hazleton, Pa., and sheet feeder facility in St. Louis, Mo. The Red River closure will reduce containerboard capacity by 800,000 tons annually.
The closures will affect 674 employees (495 hourly and 179 salaried). The company plans to minimize impact through attrition, retirements, and current vacancies at other locations, offering outplacement assistance, mental health support, and severance benefits where possible.
These closures are part of IP's transformation strategy to become a stronger sustainable packaging solutions company by streamlining operations and focusing investments on facilities that will better serve customers.
International Paper (NYSE: IP) ha annunciato la chiusura permanente di diversi impianti entro aprile 2025, inclusi il mulino per cartone ondulato Red River a Campti, La., l'impianto di riciclaggio a Phoenix, Az., l'impianto di produzione di scatole a Hazleton, Pa., e l'impianto di alimentazione per fogli a St. Louis, Mo. La chiusura del Red River comporterà una riduzione della capacità di cartone ondulato di 800.000 tonnellate all'anno.
Le chiusure riguarderanno 674 dipendenti (495 operai e 179 impiegati). L'azienda prevede di ridurre l'impatto attraverso il naturale turnover, le pensioni e le attuali vacanze in altre sedi, offrendo assistenza per il reinserimento, supporto per la salute mentale e benefici di liquidazione dove possibile.
Queste chiusure fanno parte della strategia di trasformazione di IP per diventare un'azienda di soluzioni di imballaggio sostenibili più forte, semplificando le operazioni e concentrando gli investimenti su impianti che serviranno meglio i clienti.
International Paper (NYSE: IP) anunció el cierre permanente de varias instalaciones para abril de 2025, incluyendo la fábrica de cartón corrugado Red River en Campti, La., la planta de reciclaje en Phoenix, Az., la planta de cajas en Hazleton, Pa., y la instalación de alimentación de hojas en St. Louis, Mo. El cierre de Red River reducirá la capacidad de cartón corrugado en 800,000 toneladas anuales.
Los cierres afectarán a 674 empleados (495 por hora y 179 asalariados). La empresa planea minimizar el impacto a través de la deserción, jubilaciones y vacantes actuales en otras ubicaciones, ofreciendo asistencia para recolocación, apoyo para la salud mental y beneficios por despido donde sea posible.
Estos cierres son parte de la estrategia de transformación de IP para convertirse en una empresa de soluciones de empaque sostenible más fuerte, optimizando las operaciones y enfocando las inversiones en instalaciones que sirvan mejor a los clientes.
인터내셔널 페이퍼 (NYSE: IP)는 2025년 4월까지 여러 시설의 영구 폐쇄를 발표했으며, 여기에는 루이지애나주 캠프티에 있는 레드 리버 골판지 공장, 애리조나주 피닉스의 재활용 공장, 펜실베이니아주 해즐턴의 박스 공장, 미주리주 세인트루이스의 시트 피더 시설이 포함됩니다. 레드 리버의 폐쇄로 인해 골판지 용량이 연간 800,000톤 줄어들 것입니다.
이번 폐쇄는 674명의 직원에게 영향을 미칠 것입니다 (495명의 시급직과 179명의 연봉직). 회사는 자연적인 이직, 퇴직 및 다른 장소의 현재 공석을 통해 영향을 최소화할 계획이며, 재취업 지원, 정신 건강 지원 및 가능한 경우 퇴직 혜택을 제공할 예정입니다.
이번 폐쇄는 IP가 고객에게 더 나은 서비스를 제공할 수 있는 시설에 투자하고 운영을 간소화하여 더 강력한 지속 가능한 포장 솔루션 회사로 거듭나기 위한 변혁 전략의 일환입니다.
International Paper (NYSE: IP) a annoncé la fermeture permanente de plusieurs installations d'ici avril 2025, y compris l'usine de carton ondulé Red River à Campti, La., l'usine de recyclage à Phoenix, Az., l'usine de boîtes à Hazleton, Pa., et l'installation de distribution de feuilles à St. Louis, Mo. La fermeture de Red River entraînera une réduction de la capacité de carton ondulé de 800 000 tonnes par an.
Ces fermetures auront un impact sur 674 employés (495 ouvriers et 179 employés). L'entreprise prévoit de minimiser l'impact par la désaffectation, les départs à la retraite et les postes vacants actuels dans d'autres sites, en offrant une assistance à la réinsertion, un soutien en santé mentale et des indemnités de licenciement lorsque cela est possible.
Ces fermetures font partie de la stratégie de transformation d'IP pour devenir une entreprise de solutions d'emballage durable plus forte, en rationalisant les opérations et en concentrant les investissements sur des installations qui serviront mieux les clients.
International Paper (NYSE: IP) gab die dauerhafte Schließung mehrerer Einrichtungen bis April 2025 bekannt, darunter die Red River Wellpappenfabrik in Campti, La., das Recyclingwerk in Phoenix, Az., das Kartonagenwerk in Hazleton, Pa., und die Bogenfütterungsanlage in St. Louis, Mo. Die Schließung von Red River wird die Wellpappen-Kapazität um 800.000 Tonnen jährlich reduzieren.
Die Schließungen betreffen 674 Mitarbeiter (495 Stundenlöhner und 179 Angestellte). Das Unternehmen plant, die Auswirkungen durch natürliche Fluktuation, Pensionierungen und aktuelle Stellenangebote an anderen Standorten zu minimieren, indem es Unterstützung bei der Arbeitsplatzvermittlung, psychische Gesundheitsversorgung und Abfindungsleistungen, wo möglich, anbietet.
Diese Schließungen sind Teil von IPs Transformationsstrategie, um ein stärkeres Unternehmen für nachhaltige Verpackungslösungen zu werden, indem die Abläufe optimiert und Investitionen in Einrichtungen konzentriert werden, die den Kunden besser dienen.
- Strategic streamlining of operations to improve efficiency
- Reduction of operational costs through facility consolidation
- Focus on improving quality and service delivery
- Loss of 800,000 tons of annual containerboard production capacity
- Workforce reduction of 674 employees
- Closure of four major facilities affecting operational capabilities
- Potential severance and closure-related costs
Insights
The closure of four facilities marks a decisive move by International Paper to address structural challenges in the containerboard industry. The 800,000-ton reduction in containerboard capacity, representing approximately 5% of IP's total capacity, signals a strategic response to market oversupply conditions that have been pressuring margins industry-wide.
The geographical spread of the closures - Louisiana, Arizona, Pennsylvania, and Missouri - reveals a calculated approach to optimize IP's manufacturing footprint. The Red River mill closure, in particular, is strategically significant as older, less efficient mills typically have higher operating costs per ton. This restructuring should improve capacity utilization rates across IP's remaining facilities, potentially leading to better cost absorption and operational efficiency.
From a market perspective, removing 800,000 tons of containerboard capacity could help stabilize pricing in a market that has faced persistent oversupply issues. The industry's operating rates have been running below optimal levels, and this reduction could contribute to better supply-demand balance.
The emphasis on streamlining operations to "focus investments on facilities that will best serve customers" suggests a shift toward newer, more efficient facilities. Modern containerboard mills typically offer lower production costs, better quality control, and enhanced sustainability metrics - important factors in maintaining competitiveness in today's market.
While the human impact is significant with 674 affected employees, the company's approach to leveraging attrition and internal transfers indicates a measured implementation strategy that could help minimize disruption while achieving necessary operational improvements. The timing of the closures by April 2025 allows for an orderly transition and suggests the changes have been carefully planned to maintain service continuity for customers.
MEMPHIS, Tenn., Feb. 13, 2025 /PRNewswire/ -- International Paper (NYSE: IP; LSE: IPC) today announced the permanent closure of the company's
In total, 495 hourly employees and 179 salaried employees will be affected. The company will work to minimize the impact on employees by using attrition, retirements and current vacancies at other International Paper locations. Team members at these locations will receive outplacement assistance, access to mental health support resources and where possible, severance benefits.
"The decision to close any facility is difficult because of the impact on our team members, their families and the surrounding communities," said Tom Hamic, executive vice president and president, North American Packaging Solutions, International Paper. "We greatly appreciate the contributions from our departing team members and will do all we can to support them."
International Paper is undergoing a transformational journey to become a stronger sustainable packaging solutions company. A critical step in this journey is to streamline IP's footprint to focus investments on facilities that will best serve customers and accelerate strategic initiatives to improve quality, reliability and service delivery.
About International Paper
International Paper (NYSE: IP; LSE: IPC) is the global leader in sustainable packaging solutions. With company headquarters in
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These forward-looking statements reflect management's current views and are subject to risks and uncertainties that could cause actual results and the timing of events to differ materially from those expressed or implied in these forward-looking statements. These risks and uncertainties include the risks that we will be unable to realize the anticipated benefits of our closure of the
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SOURCE International Paper
FAQ
How many tons of containerboard capacity will IP lose from the Red River mill closure?
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Which facilities is International Paper closing in 2025?
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