Sappi shifts work to Cloquet plant

Bad news for paper manufacturing workers in Maine will likely bring a bit of stability for Sappi’s operation in Cloquet. The company announced on July 9 that it is closing by the end of the year Paper Machine No. 9 and major components of the biomass energy complex at its Westbrook, Maine mill. It will shift the base paper production there to the Sappi mills in Cloquet and Skowhegan, Maine. There are 75 workers in Westbrook who are expected to lose their jobs, about 30 percent of the workforce there.

In a press release, Sappi reported that the change is “designed to improve the mill’s overall cost structure and enable the company to operate more cost effectively in today’s global marketplace.” It noted that there will be no change in the company’s product lineup.

“Unfortunately, the Westbrook Mill’s earnings have been under pressure as a result of widespread commoditization in the marketplace and legacy mill costs,” said Mike Haws, president and CEO of Sappi North America, in the release. “This restructuring will enable Sappi to compete more effectively and allow the Westbrook facility to focus on its core competencies.”