Verso Corporations Shutting Down Operations At Duluth Paper Mill

The pandemic has caused many industries to move to a digital platform creating a big drop in demand for paper.

DULUTH, Minn. – One of the leading producers in the paper industry is falling victim to the financial strains of the Covid-19 Pandemic.

Ohio-based Verso Corporation announced it is stopping production at its mills in both Duluth and Wisconsin Rapids, indefinitely.

Verso Corporation’s decision to cease production in both Duluth and Wisconsin Rapids is due to the growing decline in demand within the paper industry.

Verso’s facility in Duluth employs roughly 250 people, while Wisconsin Rapids has around 750 workers.

Only a few employees are expected to be kept on board to handle limited operations.

The Duluth facility has been producing nearly 300,000 tons of paper goods each year, which are used for things like newspapers and magazines.

The pandemic has caused many industries to move to a digital platform creating a big drop in demand for paper.

In a statement, Verso’s President and CEO Adam St. John says idling these mills, for now, is expected to help improve cash flow and offset future costs.

But if market conditions do not improve, Verso could close the Duluth mill permanently or put it up for sale.

Verso calls this a difficult decision to make.

Company leaders say they are committed to treating all employees with fairness and assisting them as much as possible during the transition.

Verso plans to idle the Duluth mill by the end of the month.

As of now, the company has not decided how many employees are being kept at the Duluth mill or for how long they will stay after production stops.

The Wisconsin Rapids facility will stop operations at the end of July.