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A&R Carton to close factory in Skejberg, Norway
/Lesprom Network/. Å&R Carton A/S plans to close its factory in Skjeberg, Norway. The factory produces folding cartons mainly for the food industry and has 60 employees, company said in a statement received by Lesprom Network.

"The European market for folding cartons is highly competitive. Unfortunately we can not manufacture cartons at a competitive cost level in our Norwegian factory which is why production there will be discontinued", says Per Lundeen, CEO of Å&R Carton Group.

The Skjeberg plant has been an unprofitable unit for many years and it has not been possible to make a turnaround. The closing of the site is scheduled to be completed during the 3Q 2010. Å&R Carton A/S will keep its Norwegian sales force and continue to service Norwegian customers.

"We regret having to close the plant, leaving 60 people without a job, but we need to secure our long-term competitive position. This does not mean that we will leave the Norwegian market, on the contrary we will increase our sales effort", says Olav Bøgwald, MD of Å&R Carton A/S.
Posted by: Fred 2010-04-16
http://www.rantburg.com/poparticle.php?ID=294716