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Smurfit-Stone to Shutter Seven More Box Plants

Following its emergence from Chapter 11 bankruptcy protection on July 1, Smurfit-Stone Container Corp. (SSCC) said it will consolidate or shutter seven more of its box plants in 2010 and 2011, reports The Richmond Times-Dispatch.

Executives with the St. Louis and Chicago-based company said in a conference call with analysts on July 1 that the company would close another six box plants by the end of this year and one additional plant next year. SSCC has not revealed which plants will be affected, said a company spokesperson.

Forty-seven plants were already closed by the end of 2009 as part of a multiyear cost reduction and efficiency strategy. CEO Patrick Moore said during the conference call that this strategy “contributed to a significantly stronger Smurfit-Stone, and there is more improvement to come.”

During the bankruptcy process, the company also improved its supply chain logistics and mill productivity. About 2,900 jobs were cut, leaving SSCC with about 18,000 employees.