Cascades Ceases Production at Quebec Plant

Cascades has announced that Norampac, a division of Cascades Canada Inc., will terminate production activities at its Quebec city based corrugated products plant due to a reduction of business volume and to unfavorable economic factors.

Nearly 145 employees will be affected by this closure that will be effective before the end of 2009.

Sales and distribution services at the Quebec plant will remain intact and production will be redirected progressively towards the other Norampac Quebec based plants, such as Vaudreuil, Le Gardeur, Victoriaville, Drummondville and SPB (Montreal) plants, which will ensure the supply to customers with the same quality and service, according to the company.

“This decision was taken as a result of a significant decline in demand for corrugated products while taking into account the high number of Quebec based plants owned by Norampac,” says Marc-Andre Depin, president and CEO of Norampac.

“The economic context has forced us to proceed with nearly 1,000 temporary or permanent layoffs in our plants and mills in the past year, either by major reorganizations or by plant closures. In these difficult times, Norampac must take all the necessary measures to ensure its durability and unfortunately, this sometimes requires production curtailment such as the one we are announcing for the Quebec plant,” he adds..

In order to help employees affected by this closure, Norampac has prepared a relocation program throughout its other facilities and will offer assistance regarding employment searches.