Resolute Announces Indefinite Idling of Paper Machine at its Calhoun Mill
MONTREAL, March 12, 2013 /PRNewswire/ – Resolute Forest Products Inc.
(NYSE: RFP) (TSX: RFP) announced today the indefinite idling of a
newsprint machine at its Calhoun mill in Tennessee. 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 tons per
year. The decision follows Resolute’s March 11 acquisition of the 49%
interest in Calhoun Newsprint Company (“CNC”) owned by The Herald
Publishing Company, LLC, its joint-venture partner.
The Calhoun mill, which presently 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 recognizes the impacts this decision will have on the
employees concerned and their families. Severance will be provided 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.
About Resolute Forest Products
Resolute Forest Products is a global leader in the forest products
industry with a diverse range of products, including newsprint,
commercial printing papers, market pulp and wood products. The Company
owns or operates over 40 pulp and paper mills and wood products
facilities in the United States, Canada and South Korea, and power
generation assets in Canada. Marketing its products in close to 90
countries, Resolute has third-party certified 100% of its managed
woodlands to at least one of three internationally-recognized
sustainable forest management standards, including 65% certified to the
Forest Stewardship Council(®) (FSC(®)) standards. The shares of Resolute Forest Products trade under the
stock symbol RFP on both the New York Stock Exchange and the Toronto
Resolute and other member companies of the Forest Products Association
of Canada, as well as a number of environmental organizations, are
partners in the Canadian Boreal Forest Agreement. The group works to
identify solutions to conservation issues that meet the goal of
balancing equally the three pillars of sustainability linked to human
activities: environmental, social and economic. Resolute is also a
member of the World Wildlife Fund’s Climate Savers program, in which
businesses establish ambitious targets to voluntarily reduce greenhouse
gas emissions and work aggressively toward achieving them.
SOURCE Resolute Forest Products Inc.