Caraustar Industries Inc. will cease production at its paperboard mill in Charlotte on Dec. 19.
The mill makes cardboard used in boxes with annual capacity of 62,000 tons.
Georgia-based Caraustar (NASDAQ:CSAR) says it will monitor demand and expects to determine by March when to restart production.
The mill has 104 hourly employees and 13 salaried workers. The hourly employees will go on leave without pay. Some of the salaried workers will remain at the plant. Employees on won’t be offered severance.
The company has permanently closed its paperboard mill in Richmond, Va., at a cost of 52 jobs.
The company cites the failing economy and decline in demand for the closings. The company posted a net loss of $72.6 million, or $2.53 per diluted share, for the third quarter.
Caraustar Industries is one of North America’s largest manufacturers of 100 percent recycled paperboard.
Source: BizJournals.com
