NEW YORK (AFX) - Canadian Forestry company Cascades Inc. said Monday it has bought certain assets from a coated recycled board mill in Rittman, Ohio, from Caraustar Industries, Inc. for about $500,000.
Cascades acquired the option on the assets from Caraustar in April when it bought a Sprague, Conn., coated recycled board mill from the U.S. company.
'We will service Rittman's customers from our newly acquired and existing facilities, which will enable us to improve the capacity utilization rate and the profitability at these mills,' said Eric Laflamme, President and Chief Operating Officer of Cascades' North American boxboard group.
Cascades produces and recycles packaging products, tissue paper and fine papers. The company has a work force of nearly 14,300 employees at plants in North America, Europe and Asia.
Shares of Caraustar fell 8 cents Monday to $7.25 in afternoon trading on the Nasdaq.
Copyright 2006 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
© 2006 AFX News
