European Paper Giant to Shut Plants

Aug. 19, 2009

Will cut jobs as well

Paper maker Stora Enso will shut down several plants in Finland in response to a fall in demand because of the global economic crisis, the troubled Finnish company said on August 19.

The closures are expected to affect between 450 and 1,100 jobs.

"Stora Enso plans further reductions in its manufacturing capacity due to on-going weak demand and the resulting heavy losses," the compay said.

Stora Enso is the world's second biggest paper manufacturer and employs some 29,000 people around the world. Last month Stora Enso reported a loss in the second quarter due to lower newspaper circulation and a slump in advertising.

The company has already announced 3,700 job cuts in recent months.

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