Bemis Co. has announced that it will close its plant in Stow, Ohio, one of its pressure-sensitive materials manufacturing facilities.
The company expects this plant closure to improve its market competitiveness and to better position its Pressure Sensitive Materials business for long-term growth. Management expects to discontinue operations at this location in May 2014. The headquarters of the pressure-sensitive materials business will remain in Stow, Ohio. The manufacturing facility recorded 2013 annual net sales of approximately $45 million. The facility, started in 1959, primarily manufactures solvent-based pressure sensitive materials.
The Stow plant workforce includes approximately 115 employees. The Company recognizes that these changes will have a significant impact on employees and their families and intends to offer transition services to affected employees to aid in their search for new employment.
This year, the company will record a pre-tax charge related to the plant closure of approximately $30 million which includes estimated costs related to the settlement of a multi-employer pension liability, employee severance and benefit costs, and fixed asset related costs.