Jan 14, 2009. /Lesprom.com/. Botnia's Kaskinen mill will be closed down during the 1Q 2009, the company said in a statement received by Lesprom Network. Kaskinen mill is the oldest of Botnia's mills and its profitability has been deteriorated due to the in the long term restricted availability of for its mill price competitive wood raw material and increased production costs. "The rapid decrease in the demand for pulp and lowered prices due the poor demand has made the situation even more severe and there are no prerequisites for profitable operations of the mill. The mill is at the end of its technical life cycle. Continuing the operations would require significant investments that are not feasible in this situation", says Ilkka Hämälä, President and CEO of the company. The domestic wood raw material becoming available from Kaskinen mill will be directed to Botnia's and Metsäliitto Group's other Finnish production facilities to secure their long-term operations. As result of the closure the company will book as write-off in fixed assets and as one-time closure costs in aggregate approximately Euro 75 million, of which cash impact approximately Euro 20 million. The statutory negotiations affected in Kaskinen altogether 223 persons. It is estimated that approximately 70 persons can be placed at Botnia's other locations or at the mill integrate's shared operations (M-real BCMTP mill on the same site). Additionally, the mill integrate will offer temporary tasks for about 30 persons, and the project for the closure of the mill will employ about 20 persons. Approximately 70 persons have the possibility for retirement schemes.