Statutory negotiations concluded at Kiihtelysvaara sawmill

 

The sawmill will cease operations - employees have the possibility to transfer to other Finnforest production units

The statutory negotiations that were opened at Finnforest’s sawmill in Kiihtelysvaara on 25 February 2004 have been concluded. Even after thoroughgoing examinations it was not possible to find sufficient grounds for continuing operations. All operations will be closed down during the second half of 2004 according to the detailed timetable to be agreed. Until now the sawmill has employed 18 persons with an annual production of 60,000 m3 of spruce sawn timber.

All employees in the Kiihtelysvaara sawmill have been offered the possibility to transfer to other Finnforest production units, for instance to the modular building production unit in Hartola, where operations start up next autumn.

Sawmilling at Kiihtelysvaara has long been unprofitable due both to lack of suitable raw material and also to the location of the sawmill resulting in long transportation distances.

FURTHER INFORMATION
Solid Wood Division Director Timo Pekkola, Finnforest Corporation,
tel +358 1046 74743, +358 400 650 184
President and CEO Ari Martonen, Finnforest Oyj,
tel +358 1046 94870, +358 50 2406
 
Finnforest Corporation is the biggest wood products industry corporation in Europe. It employs 7,600 people and is one of the core businesses of Finland’s Metsäliitto Group. Finnforest Corporation has two industrial divisions: sawmilling activities are grouped in the Solid Wood Division, and processed wood products operations in the Engineered Wood Division. Finnforest’s Sales and Distribution Division serves over 20 countries. Finnforest’s Norwegian subsidiary, Moelven Industrier ASA, takes care of operations in Norway, Sweden and Denmark. Finnforest supplies wood materials and wood-based products and services to customers in the building, industrial, and resale and distribution sectors.