DRUMMONDVILLE, QC, Nov. 3, 2015 /CNW Telbec/ - Cascades Inc. (TSX: CAS), a leader in the recovery of recyclable products and manufacturing green packaging products and tissue paper, announces today it is investing $26.4 million at its Norampac corrugated board conversion plant in Drummondville, to install a new corrugator, thus increasing its production capacity.
This investment, which will consolidate the 214 jobs at the plant, will enable Norampac – Drummondville to continue working toward modernizing its equipment in order to gain in efficiency and improve the quality of its products. Adding new equipment at the cutting edge of technology will also help reduce operating costs. The current building will be expanded.
The project was made possible particularly thanks to an Investissement Québec loan guarantee, for a maximum amount of $6 million.
"Today's announcement is part of our strategic plan aiming to focus our efforts and investments in the packaging and tissue paper strategic sectors. This process is beginning to show results" explains Mario Plourde, President and Chief Executive Officer of Cascades. "This announcement is a sign of confidence in the future, and we are especially happy to be able to make this investment in Drummondville, in the region where Cascades was born."
Norampac Chief Operating Officer Charles Malo said: "Norampac is the 2nd largest producer of containerboard in Canada and the 6th largest in North America. This project is an opportunity to reinforce our leadership in the market and show our dedication to our clientele. Our customers are the reason for our existence and, now more than ever, we wish to improve our service offer with innovative products that meet the highest industry standards."
The 45,000 sq.ft. building expansion will be completed in mid-November and the new corrugator will be operational as of January 2016.
Founded in 1964, Cascades produces, converts and markets packaging and tissue products composed mainly of recycled fibres. The Company employs close to 11,000 women and men, who work in over 90 production units located in North America and Europe. With its management philosophy, half a century of experience in recycling, and continuous efforts in research and development as driving forces, Cascades continues to deliver the innovative products that customers have come to rely on. Cascades shares are traded on the Toronto Stock Exchange, under CAS.
Green By Nature blog: blog.cascades.com
Twitter: twitter.com/@CascadesDD | twitter.com/@CascadesSD | twitter.com/@CascadesInvest
SOURCE Cascades Inc.
For further information: Media: Hugo D'Amours, Vice-President, Communications and Public Affairs, Cascades Inc., 418-573-2348, [email protected]; Investor Relations: Riko Gaudreault, Director, Investor Relations and Business Strategy, Cascades Inc., 514-282-2697, [email protected]