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Major Cascades investment in carton plants

Cascades is investing a total of $22 million in several of the folding carton and microlithography plants of its Norampac Division in Canada. The Viau (Montréal, Québec), Mississauga (Ontario), Winnipeg (Manitoba) and Cobourg (Ontario) plants will receive new modern equipment that will optimise their production and efficiency.

The new equipment to be installed includes of two state-of-the-art presses in the Viau and Mississauga plants, a new gluer in Winnipeg and forming equipment in Cobourg.

As a consequence of the investment programme, the Lachute (Québec) folding carton plant will be closed by the end of the first quarter of 2013, and its customers will be progressively transferred to other Norampac facilities. Nearly 155 employees will be affected by the closure, but approximately 40% of them will have the opportunity to be relocated in other Norampac and Cascades units in Québec.

Marc-André Dépin, president and CEO of Norampac, states: “This is our group’s most important investment in the folding carton sector in several years. The folding carton market in Canada continues to be key to our strategy in the packaging sector. Cascades occupies an enviable position in the folding carton market in Canada and these investments will allow us to consolidate and improve upon this position in the coming years.”