Ahlstrom has launched a consultation process with employee representatives at its Stenay plant in France about the possibility of divesting or closing the plant, if a buyer cannot be found for it.

The Stenay plant produces one-side coated specialty papers for specific uses in the packaging sector which has been hit by an overcapacity situation in Europe. The site’s plants have a less competive cost structure than similar facilities in the market. The plant has an annual capacity of approximately 55,000 tons of specialty paper and has 127 employees.

Despite a thorough review of different options and attempts to develop potential new products, Ahlstrom has not been able to find solutions that would enable the group to continue operating the Stenay plant. Therefore, after having carefully studied all possible scenarios, Ahlstrom is now planning to divest the site and if a buyer cannot be found considering closure.

“We understand that this is a difficult time for our employees at Stenay, and we will do our utmost to evaluate all viable alternatives for the site to mitigate possible unfavorable social impacts. Should we be unable to find a solution, we would work closely together with other Ahlstrom locations, the city of Stenay, the Meuse locality and other stakeholders to support all potentially affected employees”, says Mark Ushpol, EVP, Food and Consumer Packaging division.