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February 24, 2023

Pixelle paper mill in Jay will close a month earlier than expected

File Photo The Pixelle paper mill in Jay will close earlier than expected.

The Pixelle Androscoggin Paper Mill in Jay will be closing more than a month earlier than expected due to customers opting out of their contracts. 

Jay Town Manager Shiloh LaFreniere told Mainebiz that “the doors would be closed between March 6 and 9 rather than on April 30 as previously announced.”

Pixelle had announced in September 2022 that the mill would close in April, citing economic forces that made operations unsustainable.

LaFreniere said severance packages will be offered to the approximately 230 employees who will be affected by the closure.  A Rapid Response team from the Maine Department of Labor will be hosting a training resource fair for the employees and other interested residents on Monday, Feb. 27 from 3 to 7 p.m. at Spruce River Adult Education, 9 Cedar St., Livermore Falls. A job fair will be held on March. 13 from 3-7 p.m., also at Spruce River Adult Education. 

The Rapid Response team is also planning Rapid Response sessions for affected employees next week. These sessions highlight important information for laid-off workers such as unemployment insurance, health insurance options, Maine JobLink and immediate employment needs, CareerCenter services and training options. 

The mill owner, Pixelle Specialty Solutions, based in Spring Grove, Pa., is the largest manufacturer of specialty papers in North America. Pixelle bought the mill and the associated properties from Verso Corp. (NYSE: VRS) in February 2020 for $400 million. 

The mill produced specialty label and release papers, as well as industrial and packaging solutions for e-commerce and food service. Its two paper machines have a capacity of 230,000 tons annually. It was built by International Paper in 1965, but the town of Jay has been known for its papermaking capacities since 1888.
 

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