Resolute Indefinitely Idles Newsprint Machine at Calhoun Mill

Resolute Forest Products, Montreal, Que., Canada, this week announced the indefinite idling of a newsprint machine at its Calhoun, Tenn., USA, mill. The idling comes as a result of a decrease in demand for newsprint, coupled with high operating costs for the machine, which produced 215,000 metric tpy. The decision follows Resolute's March 11 acquisition of the 49% interest in Calhoun Newsprint Co. owned by The Herald Publishing Co., its joint-venture partner.

The Calhoun mill, which currently employs 610 workers, will continue to operate the two specialty paper machines and the pulp dryer. The announcement will affect approximately 150 positions at the mill.

The company will provide severance to affected employees according to the local labor agreement or the corporate policy for salaried employees. Outplacement assistance will be made available through government agencies.

Resolute owns or operates more than 40 pulp and paper mills and wood products facilities in the U.S., Canada, and South Korea, and power generation assets in Canada.

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