(Montreal) Supremex is closing a facility in Saint-Hyacinthe, which it obtained earlier this year, as part of the acquisition of Impression Paragraph.
Production will be transferred to Supremex facilities in the Montreal region, the company said.
The Saint-Hyacinthe plant employs 28 workers, some of whom could be relocated within the company’s existing activities.
The decision by Supremex, which makes envelopes and other paper-based packaging, will result in a one-time restructuring charge of approximately $2.8 million before tax being recorded in its fourth-quarter financial results.
The closure is part of measures to improve Supremex’s operations in its packaging and specialty products segment. His plan is expected to result in annual savings of around $1.5 million once all measures are implemented.
The company also announced the departure of Simon Provencher, president of its packaging sector. Supremex says it has undertaken an overhaul of the management structure of this sector following the departure of Mr. Provencher.
Company in this dispatch: (TSX: SXP)
