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Georgia-Pacific Closing Duluth Hardboard Plant

Tue, 08/21/2012 - 2:14pm
The Associated Press

DULUTH, Minn. (AP) — Georgia-Pacific will permanently close its plant in Duluth at the end of the month, company officials said.

Workers at the plant, which employs 140, were notified of the decision Tuesday morning.

"The employees are welcome to apply for any other jobs we have" at other facilities, said Eric Abercrombie, Georgia-Pacific spokesman in Atlanta.

The plant manufactures a thin hardboard product called Superwood that's used in the auto industry. Georgia-Pacific will shift the manufacturing of Superwood to other facilities, the company said.

"We realize this is a difficult decision and it is going to impact the community," Abercrombie said. "The decision was made after a thorough review to optimize the business. That was based on the long-term vision for Georgia-Pacific wood products."

Under state law, employees must be given 60 days of notice for a plant closure or layoff. The company said it will pay employees for 60 days and provide benefits. Manufacturing will shut down Aug. 30.

Georgia-Pacific will reallocate any useable equipment at the Duluth plant and sell remaining assets, according to the Duluth News Tribune.

The Atlanta-based company manufactures tissue, pulp, paper, packaging, building products and related chemicals.

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