"This change will remove one organizational layer. We want to increase clarity and transparency within and outside of the Group concerning the global responsibility challenges we have had and continue to have in China, India, and Pakistan," said Stora Enso CEO Jouko Karvinen.
Reorganization of the renewable packaging businesses is to be implemented by this July 1, subject to the outcome of applicable co-determination negotiations. Until then, the businesses of the current Renewable Packaging Division (Consumer Board, Packaging Solutions, and Packaging Asia) will report directly to the CEO.
Mats Nordlander, currently head of the Renewable Packaging Division and a member of the Group Leadership Team, will leave his current roles. He will continue to report to the CEO while his new tasks are defined and agreed.
"Stora Enso has already initiated a human rights assessment across the Group. This is a continuation of our ongoing efforts to systematically integrate human rights issues into our business. We have high objectives and this will be a long journey. We may never be perfect, but we will always be transparent," Jouko Karvinen emphasized.
"Consumer Board, Packaging Solutions, and Biomaterials have been defined as the growth engines of the Group. Although continued cost and capacity adjustments have maintained the cash generation of the Group, the growth of the higher margin businesses has been limited. We must now get more energy and focus on this task to grow our top line faster and to manage the large investment projects and risks relating to them better," said Jouko Karvinen.
The effect of the changes on the segment structure and reporting will be announced before the end of the second quarter.
TAPPI
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