International Paper has announced that it will officially close its Terre Haute, Ind., paperboard mill on Oct. 1, 2007. The company had announced that it would close the plant this past May, although it did not set a date.
The decision to close the mill was the result of the company's study of options for strengthening its containerboard business. That study concluded Terre Haute's limited production capacity hindered the mill's long-term competitiveness. The company explored selling the mill, but, ultimately, the same limitations that made continued operations unfeasible made sale unfeasible as well.
The Terre Haute Mill employs about 170 people and annually produces approximately 200,000 tons of medium. The mill began operations in 1917 and was acquired by International Paper in 1998 as part of the company's acquisition of Weston Wabash Co.
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