Metsä Board was planning to close down the wallpaper base machine (PM3) located at its Kyro mill in Hämeenkyrö, Finland, and to discontinue its loss-making wallpaper base production. The statutory labour negotiations, which affected all of the 250 people working at the mill, have been completed. As a result, the Kyro mill wallpaper base machine PM3 will be closed down and the number of personnel at the mill will decrease by 94 people.
Metsä Board’s 3Q result is estimated to include non-recurring net costs of around Euro 9 million related to the closure. The closure is estimated to have a positive cash impact of around Euro 10 million, the majority of which consists of working capital released during the 4Q.
The folding boxboard machine with annual capacity of 190,000 tonnes will remain at the Kyro mill, producing premium packaging board for beauty and healthcare products and graphics end uses, among other things. In addition, Hämeenkyrön Voima’s biopower plant producing heat and electricity is located in the mill area.
Metsä Board is a leading European producer of folding boxboards and white linerboards made from fresh fibres.
