Metsä Group to invest EUR 30 million in upgrading its Vilppula sawmill
Metsä Group Press Release 4 July 2012
In May, Metsä Group announced it would launch an investigation into upgrading Metsä Wood’s Vilppula sawmill. At the same time, it also launched statutory labour negotiations, which have now been completed. Metsä Group has decided to invest about EUR 30 million in upgrading the Vilppula sawmill.
To be carried out in 2013, the investment will include building a new sawmill line and raw processing plant and renovating other parts of the sawmill. The new sawmill line will enable the use of diverse sawing patterns as well as efficient use of small logs in addition to large ones. The replacement of two sawmill lines with a new line will significantly enhance production efficiency. The capacity of the sawmill will not change significantly.
“The investment project will enable us to offer more highly processed products that are customised precisely to customers’ needs, based on their product ranges and production processes. We want to remain a leader in serving demanding industrial customers, including our own processing operations,” says Timo Karinen, Group Executive Vice President, Metsä Wood.
The statutory labour negotiations were launched as part of the investigation on 21 May and completed on 2 July 2012. Personnel will be reduced by 40 employees. In collaboration with local authorities, Metsä Wood will help those who are to be laid off with finding new employment or training for new qualifications. Pension arrangements will also be considered. In addition, Metsä Group seeks to offer new jobs in other locations to those affected. The negotiations concerned about 140 employees, and the need for personnel reductions was estimated at 40 employees at the maximum.
The Vilppula sawmill is located in the town of Mänttä-Vilppula. It operates on weekdays, with an annual capacity of about 450,000 m3.
METSÄ GROUP
Group Communications
For more information, please contact:
Timo Karinen, Group Executive Vice President, Metsä Wood, tel. +358 10 465 4173
www.metsagroup.com
Metsä Group is a responsible forest industry group whose products are part of people’s everyday life and promote sustainable well-being. Metsä Group produces high-quality products mainly from renewable Nordic wood and wood fibre. The Group’s business areas are tissue and cooking papers, board and paper, pulp, wood products as well as wood supply. Metsä Group’s sales totalled EUR 5.3 billion in 2011, and it employs approximately 12,500 people. The Group is present in some 30 countries.
www.metsawood.com
Metsä Wood offers competitive and eco-efficient wood-based solutions for industrial construction customers, other industrial customers and the home and lifestyle sectors. We manufacture products from Nordic wood, a sustainable raw material of premium quality. Our sales were EUR 940 million in 2011, and we employ approximately 2,900 people. Metsä Wood is part of Metsä Group.