Italy-based Cartiera Verde Romanello working on debt restructuring plan to be presented in court this week, halts production of newsprint, testliner at 150,000 tonnes/year mill in Basaldella di Campoformido, Italy, since February

LOS ANGELES , March 13, 2012 () –

Cartiera Verde Romanello SpA is working on a debt restructuring plan and has stopped producing newsprint and testliner at its mill in Basaldella di Campoformido, Italy, reported EUWID-Paper on March 13.

The Italian papermaker blamed its financial problems on the escalating costs for raw materials and energy, declining prices for paper and strict lending practices imposed by banks.

The company is scheduled to present its debt restructuring plan in court this week in Milan, Italy.

A shortage of raw materials and financial troubles led the company to close down its mill in Basaldella di Campoformido mill since the beginning of February, EUWID-Paper reported.

The mill has an annual capacity of 150,000 tonnes of recycled-content grades, with 60,000 tonnes/year of newsprint capacity on PM No. 1 and 90,000 tonnes/year of brown and white testliner capacity on PM No. 2.

The company, which owes more than €45 million (US$59 million), does not plan to restart the mill until its raw material shortages and its financial problems are resolved, reported EUWID-Paper.

The primary source of this article is EUWID-Paper, Gernsbach, Germany, on March 13, 2012.


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