AbitibiBowater Closing Alabama Paper Machine

AbitibiBowater has announced plans to permanently close its paper machine at its Coosa Pines, Ala., paper mill. The company also announced that it will be ceasing its pilot project to manufacture recycled lightweight and ultra lightweight packaging and linerboard grades within the next 30 days at the same facility.

In announcing the plan, AbitibiBowater added that it will continue to be involved in the production of pulp at the facility.

"Coosa Pines has made progress in the production of recycled lightweight and ultra lightweight packaging and linerboard. Upon review, however, the substantial capital investment that would be required at the site to make it low-cost in these grades could not be justified," says Richard Garneau, president and CEO in a release.

"The decision to cease paper production at the Coosa Pines mill was difficult as we are mindful of the impact it will have on affected employees," Garneau adds. "The company also remains committed to customer service and delivery of high-quality products and will work closely with customers to ensure a smooth transition."