stora enso

Cost-cutting programme at Stora Enso

Scandinavian sawmills are also affected, about 115 jobs less

Article by Gerd Ebner (translated by Eva Guzely) | 14.02.2019 - 08:50

Analysts expected Stora Enso’s fourth quarter profit to be between 293 and 359 million €. In the end, it was “only” 271 million €. Consequently, the paper and wood manufacturing group announced a cost-cutting programme of 120 million € for this year in order to be prepared for the increasing economic insecurity.

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The cost-cutting is going to affect sawmills in Sweden and Finland and includes the closure of a smaller paper plant in Finland (Imatra). 115 jobs will likely be lost as a consequence of the programme.

Stora Enso expects the first quarter of 2019 to be on the level of the first quarter of 2018. According to the news agency Reuters, demand for Stora Enso’s products remains unchanged as well, European Paper being the only exception.

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