Sappi Fine Paper Europe to Shutter Biberist Mill in Switzerland

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Sappi Fine Paper Europe reports that it has been unsuccessful in its attempts to find a suitable acquirer for its Biberist mill in Switzerland, and has therefore decided to completely close the mill. Production on paper machines 8 and 9 has already ceased and production on the uncoated paper line will halt at the end of August. Redundancy notices to all remaining employees affected by the closure have been sent out.

"The process to find a suitable purchaser included numerous discussions with interested parties and involved close cooperation between local mill management and Sappi's European and global management teams to make the purchase as attractive as possible," said Sappi Fine Paper Europe CEO Berry Wiersum. "Unfortunately several industry players quickly withdrew their interest and we were unable to come to an agreement with any other interested parties."

Sappi has agreed to a social plan with the employees and the labor unions. Approximately 550 employees in total will be affected by the closure, of which 134 have been given notice earlier. Meanwhile, the company continues its search for a new owner.

Production at the mill will be transferred to other Sappi sites in Europe. With the cessation of coated graphic paper production at Biberist, Sappi will reduce its graphic paper capacity by 500,000 metric tpy.