UPM Timber Negotiating Closure of Processing Mill in France
Helsinki, Finland, 23 June 2009 – UPM Timber has begun employee negotiations for closing the Boulogne mill in France and centralizing the processing operations in France to the Aigrefeuille mill. UPM Timber also plans to streamline the sales function and reduce the number of employees to meet with the planned operations in Aigrefeuille. The Boulogne mill profitability is weak and the market outlook for timber business is expected to continue to be difficult.
In response to the strongly weakening market situation, UPM Timber has curtailed production at all six of the company's sawmills in Finland during spring and summer.
The Boulogne-sur-Mer processing mill employs 21 people. UPM is prepared to provide support for relocation and retraining. The mill, located in northern France, produces planed goods; its annual production capacity is 30,000 cubic meters.
UPM Timber produces sawn timber and further processed timber products for the building and construction industry and joinery. The annual production capacity is 2,4 million cubic meters of WISA timber products. UPM Timber has 15 production units in Austria, Finland, France, and Russia. In Finland, UPM operates six sawmills, located in Lappeenranta, Kajaani, Pietarsaari, Korkeakoski, Heinola, and Pori. UPM Timber employs 1300 people.