Montreal, Quebec, Canada-based Resolute Forest Products, a producer of forest producs inclusing market pulp, tissue, wood products, and papers, has announced the indefinite idling of its pulp and paper operations located in Calhoun, Tennessee although the tissue manufacturing and converting operations will continue as will the operations of the adjacent distribution center.
At least 350 salaried and hourly employees will be affected by the idled operations. The layoffs are scheduled for February 15, 2022.
According to a company statement issued by Resolute President and CEO Remi G. Lalonde, "We have taken the very difficult decision to indefinitely idle pulp and paper operations at Calhoun knowing how hard this is for the affected employees and their families. Success has proved elusive at Calhoun's pulp and paper operations, despite the best efforts of our dedicated employees and significant investments of time, energy and resources over the last few years.
The company continues to accumulate significant financial losses at the mill, even with the current strong market conditions for both the pulp and uncoated freesheet paper it manufactures, our priorities remain focused on driving performance progress to leverage the full potential of our converting operations and the quality of the paper from the machine, together with the right customer mix, to seize the upside, even as the lost integration benefit will add to pulp costs."