Inveresk closes mills, over 100 jobs to go
Scottish paper maker Inveresk Plc said on Tuesday it would close two of its mills with the loss of up to 109 jobs, adding to 58 job cuts announced last month at other UK mills, in a further bid to reduce costs. The company said the total number of jobs eliminated by the group would amount to around 165, or 20 percent of its workforce. Kilbagie Mill in Scotland, which makes graphics papers, will close with the loss of 74 jobs, although a significant number of employees was expected to transfer to sister mill Caldwells, the company said.
LONDON, Sept 18, 2001 (Reuters) - Scottish paper maker Inveresk Plc said on Tuesday it would close two of its mills with the loss of up to 109 jobs, adding to 58 job cuts announced last month at other UK mills, in a further bid to reduce costs. The company said the total number of jobs eliminated by the group would amount to around 165, or 20 percent of its workforce. Kilbagie Mill in Scotland, which makes graphics papers, will close with the loss of 74 jobs, although a significant number of employees was expected to transfer to sister mill Caldwells, the company said.
Around 35 jobs would go at Carrongrove Mill, also in Scotland.
"The group is well on the way to securing a soundly based and prosperous future. These latest changes are vital steps in the process of securing that objective," said Executive Chairman Ken Minton in a statement. The company last month announced widening first-half losses but said it was on its way to achieving "a substantial turnaround."
Shares in the 10 million pound ($14.66 million) company stood unchanged at 18-1/2p in afternoon trading.