Resolute Forest Products’ costs for indefinitely idling kraft mill and paper machine in Fort Frances
Resolute Forest Products estimates the company will incur a charge of approximately $12 million for severance and other termination benefits, and $5 million in other closure costs resulting from the indefinite idling of the kraft mill and one paper machine in Fort Frances, Ontario.
Total future cash expenditures associated with these items are expected to be approximately $14 million.
Resolute Forest Products also expects to incur approximately $32 million of non-cash asset impairment charges to reduce the carrying value of the assets to their estimated fair value.
The indefinite idling will reduce Resolute’s market pulp and specialty paper capacity by approximately 200,000 and 100,000 metric tons, respectively.
239 employees are affected.
Source: Resolute Forest Products
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