Cascades Expands Its Tissue Paper Activities on the West Coast
The company announces plans for a second paper machine at its Oregon plant
KINGSEY FALLS, Québec -- September 19, 2013
Cascades Inc (TSX: CAS), a North American leader in the recovery and
manufacturing of green packaging and tissue paper products, announces plans to
install a second paper machine at its plant in St.Helens, Oregon. The project
will be realized through the acquisition of the specialty paper machine
previously operated by Boise Inc., which is located adjacent to Cascades
existing tissue machine. This machine will be reconfigured to produce 55,000
tons of tissue paper annually, bringing the total tissue paper capacity of the
St. Helens’ site to 120,000 tons annually. The total cost of the project is
estimated to be $35 million, and start-up is planned for the fourth quarter of
A Strategic Location to Better Serve its Customers
In commenting on this project, Ms. Suzanne Blanchet, president and CEO of
Cascades Tissue Group, stated "We have targeted the West Coast as an area of
growth for us. This machine will manufacture hand towels and napkins for the
Away-from-Home market. The retrofitting of an existing machine will allow us
to bring the additional capacity to this market at a reduced capital cost and
on a faster timeline than if we were to build a new machine. Moreover, the
addition of a second machine will allow us to improve the overall operating
efficiency of the St. Helen's operation as a whole. "
Mr. Mario Plourde, president and CEO of Cascades Inc., added "This investment
fits perfectly with our stated strategic objective of prioritising investments
in the tissue and packaging sectors. The addition of this machine combined
with other ongoing projects will further strengthen Cascades growing position
in the North American tissue market."
Bolstering the Labor Force
The existing labor force being able to operate and maintain the new machinery
was a key reason for the decision to locate in St. Helens. This new line is
expected to add 29 new jobs over the coming year and help preserve 59 existing
jobs at the mill.
Senator Betsy Johnson said "Since the announcement of the loss of jobs at the
paper mill, State Representative Brad Witt and I have been using all the tools
at our disposal to save these jobs. We are very happy that Cascades is
expanding its operations in St. Helens."
Robert Blumberg, board president, Columbia County Economic Team (CCET), added
“We are proud of our joint efforts to expand Cascades operations in St.
Helens. Business retention and expansion is one of the main goals of the
Cascades Tissue Group, a division of Cascades Canada ULC is the fourth largest
manufacturer of tissue paper in North America. Founded in 1964, Cascades
produces, converts and markets packaging and tissue products that are composed
mainly of recycled fiber. The company employs more than 12,000 men and women,
who work in more than 100 units located in North America and Europe. With its
management philosophy, close to half a century of experience in recycling, and
continuous efforts in research and development as driving forces, Cascades
continues to serve its clients with innovative products. Cascades' shares
trade on the Toronto Stock Exchange, under the ticker symbol CAS.
Hugo D'Amours, 418-573-2348 (Media)
Vice-President, Public Affairs and Communications
Riko Gaudreault, 514-282-2697 (Investors)
Director, Investor Relations
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