Bowater reduces costs and capacity.
Bowater Inc., Greenville, South Carolina, USA, will permanently close a paper machine at its Donnacona, Quebec, Canada, mill at the end of April. Specialty grades currently manufactured on this machine will be transferred primarily to the Calhoun, Tennessee, mill thereby eliminating 100,000 metric tons of newsprint capacity. Bowater is permanently eliminating 240,000 metric tons of newsprint capacity at Catawba, South Carolina, by converting a newsprint machine into a coated groundwood papers machine--a project slated for early March completion. Bowater reduced its workforce by 185 in the fourth quarter of 2002. This represents 23% of its previously announced $75 million 2003 cost reduction target. The planned sale of 240,000 acres of timberland and four non-strategic sawmills should be complete during the first half of 2003.