CNNMoney.com

Companies Economy International Corrections Pre-market Trading After-hours Trading Winners/Losers/Actives Bonds Currencies Commodities World Markets Money Magazine Real Estate Taxes Jobs Ask the Expert Money 101 Autos Mutual Funds The Help Desk Loan Center Best Places to Live Ask the Expert Ultimate Guide to Retirement Retirement Calculators Best Funds Best Places to Retire Fortune Brainstorm Tech Apple 2.0 Blog Big Tech Blog Sectors and Stocks Tech Talk Resource Guide Small Business Makeovers Questions & Answers Small Business Video 100 Best Places to Launch FSB 100 Fortune Small Business Fortune 500 Brainstorm Tech Investing Management C-Suite Rankings Main Create Portfolio Edit Portfolio Create Alerts Edit Alerts
News > Fortune 500
Dow Jones Weyerhaeuser to close more plants
Weyerhaeuser Closes More Plants, Details Charges
December 17, 2005: 8:34 AM EST

NEW YORK (Dow Jones) - Weyerhaeuser Co. on Friday unveiled further closures in a string of factory shutdowns and said more changes lie ahead.

Weyerhaeuser shares rose 67 cents Friday to $66.27 .

The Federal Way, Wash., integrated forest-products company will shut a Plymouth, N.C., containerboard machine it had already idled, eliminating 200 jobs. Weyerhaeuser will take a fourth-quarter pre-tax charge of $115 to $135 million .

The 48-year-old idled containerboard machine in Plymouth has the capacity to make 350,000 tons a year of linerboard, the smooth outer surface of boxes, from recycled fiber, Weyerhaeuser said.

Corrugated packaging plants in Bedford Heights, Ohio, Elmira Heights, N.Y.; Little Rock, Ark.; and Matthews, N.C., will close as will a corrugated sheet feeder plants in Pulaski, Tenn., and Waco, Texas, and a paper bag plant in Kansas City .

Three corrugated sheet plants in Little Rock, Memphis and Shreveport, La., and a specialty packaging plant in Valley View, Ohio, will also be sold.

After the closing bell Thursday, Weyerhaeuser said it would permanently close two paper machines and take a fourth-quarter pre-tax charge of $380 million to $ 385 million .

A machine at the Dryden Pulp and Paper mill in Ontario, Canada, will be closed April 1 , and the Prince Albert pulp and paper mill in Saskatchewan, Canada , will be closed by the end of the year.

The closures are latest in a series of announcements by Weyerhaeuser since early October in an effort to cut capacity. The cuts include a box-finishing operation in California, a sawmill and pulp mill in Washington and a plywood mill in Oklahoma.

"As a result of our ongoing strategic review, we anticipate future changes," according to the company's statement Friday.

Weyerhaeuser's composite-panels business was a small part of the company's wood-products business, producing $122 million, a bit more than 2%, of the company's $5.6 billion of third-quarter sales. (END) Dow Jones Newswires 12-16-05 1717ET Copyright (c) 2005 Dow Jones & Company, Inc.  Top of page

YOUR E-MAIL ALERTS
Follow the news that matters to you. Create your own alert to be notified on topics you're interested in.

Or, visit Popular Alerts for suggestions.
Manage alerts | What is this?