MONDI PLC: Proposed Mill Closure
(Incorporated in the Republic of South Africa)
(Registration number: 1967/013038/06)
JSE share code: MND ISIN: ZAE000156550
(Incorporated in England and Wales)
(Registered number: 6209386)
JSE share code: MNP ISIN: GB00B1CRLC47
LSE share code: MNDI
As part of the dual listed company structure, Mondi Limited and Mondi plc (together 'Mondi Group') notify both the JSE Limited and the London Stock Exchange of matters required to be disclosed under the JSE Listings Requirements and/or the Disclosure and Transparency and Listing Rules of the United Kingdom Listing Authority.
19 November 2012
Mondi enters into consultation with employee representatives about proposed closure of recycled container board mill in Ceske Budejovice, Czech Republic
Mondi confirms that it completed the transaction to acquire Duropack's operations on 5 November 2012.
Mondi further confirms that it has entered into consultations with employees and their representatives about the proposed closure of the one hundred thousand tonne recycled containerboard mill in Ceske Budejovice, Czech Republic. The decision comes as a result of deteriorating market conditions in the European containerboard market and increased competition which has impacted the mill's ability to remain competitive. Total closure costs are estimated to be under EUR3m.
The Group's strategy is to focus on further developing its leading market position in corrugated packaging in the Czech Republic and emerging Europe.
Mondi will take all reasonable action to support affected employees including providing an outplacement programme and will keep employees, customers and other stakeholders informed of the process.
Group Corporate Affairs Manager
Tel: +27 836270292,
Marketing Communications Director
Tel: +43 (0)1 79013 4056, Fax: +43 (0)1 79013 948
Mondi is an international packaging and paper Group, with production operations across 29 countries and revenues of EUR5.7 billion in 2011. The Group's key operations are located in central Europe, Russia and South Africa and as at the end of 2011, Mondi Group employed 23,400 people.
Mondi Group is fully integrated across the paper and packaging process, from the growing of wood and the manufacture of pulp and paper (including recycled paper), to the conversion of packaging paper into corrugated packaging, industrial bags and coatings.
The Group is principally involved in the manufacture of packaging paper, converted packaging products and uncoated fine paper (UFP).
Mondi Group has a dual listed company structure, with a primary listing on the JSE Limited for Mondi Limited under the ticker code MND and a premium listing on the London Stock Exchange for Mondi plc, under the ticker code MNDI. The Group has been recognised for its sustainability through its inclusion in the FTSE4Good Global, European and UK Index Series (since 2008) and the JSE's Socially Responsible Investment (SRI) Index since 2007. The Group was also included in the FTSE350 Carbon Disclosure Leadership Index for the second year.
Sponsor in South Africa: UBS South Africa (Pty) Ltd
-0- Nov/19/2012 13:30 GMT