Holmen Shuts Down Swedish SC & News PM's

Holmen to shut down 140,000 tonne/yr SC PM 3 at Hallsta mill and 200,000 tonne/yr newsprint PM 51 Braviken mill, Sweden, by end of September: Holmen Paper's previously announced closures of PM 3 at Hallsta Paper Mill and PM 51 at Braviken Paper Mill will take place towards the end of September. Capacity will thus be permanently reduced by 140 000 tonnes of SC paper annually, and by 200 000 tonnes of newsprint. Also, due to conversion and adaptation to the new structure, Holmen Paper will be forced to cut a further 10 per cent of the company's available capacity in Sweden during the third quarter. The ongoing restructuring programme is taking place against the backdrop of considerable losses in the business. "The extensive capacity cuts announced will gradually lead to a better market balance in 2013," says Henrik Sjölund, head of Holmen Paper.