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Log shortage blamed for Weyerhaeuser plywood mill shut down

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COLUMBIA FALLS, Mont. - Weyerhaeuser plans to permanently close its lumber mill and plywood mill in Columbia Falls, Montana, by the end of the summer. It will also close its Columbia Falls, Montana, main office.

Weyerhaeuser will continue to operate its three other mills in Montana: a lumber mill in Kalispell, a plywood mill in Kalispell, and a medium-density fiberboard mill in Columbia Falls.

"For some time now our operations in Montana have been running below capacity as a result of an ongoing shortage of logs in the region," said Doyle R. Simons, president and chief executive officer. "These closures will allow us to align the available log supply with our manufacturing capacity, including adding shifts at our Kalispell facilities. These moves will improve the operating performance of our remaining mills and best position these mills for long-term success."

Some 100 jobs will be eliminated as a result of the mill closures, now planned for late August or early September.

The mill closures follow a decision earlier this year to move corporate positions that do not support manufacturing in Montana to Weyerhaeuser's Seattle headquarters. As a result, the company also plans to close its main office in Columbia Falls at the end of the year.

After the mill closures and office moves, Weyerhaeuser expects to employ about 550 people in Montana.

Weyerhaeuser Company, one of the world's largest private owners of timberlands, began operations in 1900. It owns or control more than 13 million acres of timberlands, primarily in the U.S., and manages additional timberlands under long-term licenses in Canada. It is also one of the largest manufacturers of wood and cellulose fibers products. In February 2016, Weyerhaeuser merged with Plum Creek Timber Company. Last year, Weyerhaeuser and Plum Creek together generated $8.5 billion in net sales and employed nearly 14,000. It trades under WY at the New York Stock Exchange.


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