MeadWestvaco is to close two plants as it consolidates its consumer and office products operations in North America.
The move, part of the firm’s two-year productivity initiative, will result in the loss of 600 jobs at the facilities in St Joseph, Missouri, and Garland, Texas.
MeadWestvaco said the consolidation will better align production and distribution with the needs of its US customers and increase efficiency.
The plants being closed produce a variety of paper-based school and office products including spiral-bound notebooks and envelopes. The closures are expected to be completed by the end of the year with production, distribution and some equipment transferred to other facilities.
The firm will take a pretax charge of $45 million to $50 million related to employee termination benefits and other related costs.
Stamford (CT)
