Specialty-papermaker and coater Pixelle Specialty Solutions LLC today announced the planned closure of its Chillicothe, OH, mill in an effort to align its operational footprint with long-term business objectives.

“This was an extremely difficult decision. We value our Chillicothe team and the contributions they have made to Pixelle,” says Ross Bushnell, Pixelle president/CEO. “While this step is necessary for our long-term strategic goals, our priority at the moment is to support our employees with care and transparency throughout this transition. We are committed to providing the resources and assistance they need while also ensuring continuity for our customers until the closure is complete.”

The Chillicothe mill closure will allow Pixelle to strengthen its remaining operations in Spring Grove and Fremont and maintain its competitive position in the specialty-paper market. The company is taking steps to provide a smooth transition for employees, including job placement assistance and access to workforce resources. Pixelle will engage with represented employees’ union leadership on the impact this will have on them under their collective bargaining agreement.

The closure of the Chillicothe mill is a difficult but necessary decision due to unsustainable financial challenges at the Chillicothe location. The result will leave PSS with a business that is better positioned to ensure that we maintain our competitive position in the marketplace. The closure of Chillicothe does not affect operations at Stevens Point, WI.

Pixelle will also work closely with its customers and suppliers to navigate this transition as efficiently as possible. Where possible, as with the carbonless sheet and Defensa paper franchises, production will be strategically relocated to Pixelle’s Spring Grove facility as the company looks to continue to deliver to its high standards for quality specialty paper solutions for its customers.

“We are confident that this decision, while difficult, allows us to better align our resources and focus on future growth opportunities that pair with our operational goals and competitive solutions,” adds Bushnell. “Our focus remains on delivering high-quality specialty-paper products while ensuring a responsible transition for our workforce and operations in Chillicothe.”