Sale of International Falls paper plant won't stop planned layoffs


The largest employer in International Falls and in Koochiching County has been sold. The Associated Press reports the Boise Inc. plant, which makes containerboard, is being acquired by rival Packaging Corp. of America.

The Duluth News Tribune reports that the sale will not change the elimination of one-third of the jobs the mill. In May, the company announced it would permanently cut 265 positions by October. Boise officials on Monday said the sale would not alter the decision. A reduction in the demand for paper products led to the layoffs.

"The mill at the end of this month is going to continue with some of the layoffs that they announced in May. We expect those will go forward and we can look for a new employer in the fourth quarter," International Falls Mayor Bob Anderson told WDIO.

The station reported that PCA will pay $1.995 billion in the transaction that is expected to close by the year's end..

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