Jun 17, 2010. /Lesprom Network/. Metsä Tissue has announced its intention to initiate statutory negotiations in Finland. The negotiations will address options for strengthening, securing and improving the profitability of the company's Baking & Cooking business. In addition, the company will consider alternatives for generally upgrading the efficiency of the Mänttä mill. The available options for strengthening the Baking & Cooking business are either to relocate production, converting and associated sales and customer service functions closer to key markets or, alternatively, to invest in the full or partial modernization of production equipment at the Mänttä facility. One motivating factor for the required analysis is the Memorandum of Understanding signed on 16th June by Metsä Tissue and M-real to investigate whether a paper machine and related equipment and facilities at the Reflex mill in Germany might match the needs of the Baking & Cooking business. The statutory negotiations will concern production, logistics and service personnel at Metsä Tissue's Mänttä mill as well as personnel in the Baking & Cooking business, affecting 500 employees in total. The maximum headcount reduction foreseen by the company would be approximately 150 employees. The mill has five paper machines, three of which produce tissue paper and two greaseproof paper. Metsä Tissue is a leading tissue paper products supplier to households and large-scale consumers in Europe. The company also the world's leading supplier of baking and cooking paper products.