UPM will permanently close down the unprofitable Albbruck paper mill in Baden-Württemberg, Germany.

The discussions between UPM, the employee representatives and local authorities did not lead to a solution for continuing the operations at the mill. Neither was the search for an investor successful. The closure of the mill is affecting the 508 employees of the mill and the personnel reductions will take place on 31 January 2012.

“UPM Albbruck mill has been making a loss for several years due to the age and relatively small size of the machines and the mill is not cost competitive within UPM asset and global customer portfolio. Under the difficult circumstances the highly qualified employees have done an excellent job. Unfortunately, it would not have been possible to improve the mill’s profitability to an extent that would have allowed sustainable operations,” says Jyrki Ovaska, President, UPM’s Paper Business Group.