Canada-based specialty packaging firm CCL Industries has announced the closure of Avery North American supply chain operations in the US.
The company plans to commence the shut down from 1 February 2014 that is expected to complete by the end of the same year and includes operations at Chicopee and Holliston, Massachusetts.
CCL Industries president and CEO Geoffrey Martin said Avery business has been operating with excess capacity and infrastructure prior to the change in ownership.
"Operations will eventually be consolidated into existing Avery supply chain facilities located in the US, Canada and Mexico," Martin added.
The closure is said to result in a charge of about $6m, which will be booked in the company’s fourth quarter financial statements as part of the overall restructuring plan already announced.
CCL Industries owns and operates 87 production facilities in 25 countries on five continents with corporate offices in Toronto, Canada and Framingham, Massachusetts.