UPM to Close German Mill Amid Declining Paper Demand

Finnish forestry firm UPM announced it will shut down a newsprint mill and a fine paper machine in Germany, impacting 345 jobs due to declining demand and overcapacity. The company anticipates restructuring charges of 113 million euros but expects to save 45 million euros annually.

Finnish forestry firm UPM said on Wednesday it would close a newsprint mill and a fine paper machine in Germany, affecting 345 jobs overall, citing a decline in graphic paper demand and a significant overcapacity in the market.

UPM would book restructuring charges of 113 million euros ($122.65 million) in its second-quarter results, it said, adding that the planned actions were estimated to save 45 million euros annually. ($1 = 0.9213 euros)