| Wed 8 Jul 2009, 15:00 | | MND / MNP - Mondi Organisational Alignment |
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MND / MNP - Mondi Organisational Alignment
Mondi Limited
(Incorporated in the Republic of South Africa)
(Registration number: 1967/013038/06)
JSE share code: MND ISIN: ZAE000097051
Mondi plc
(Incorporated in England and Wales)
(Registration number: 6209386)
JSE share code: MNP ISIN: GB00B1CRLC47
LSE share code: MNDI
As part of the dual listed company structure, Mondi Limited and Mondi plc
(together `Mondi Group`) notify both the JSE Limited and the London Stock
Exchange of matters required to be disclosed under the JSE listings requirements
and/or the Disclosure and Transparency and Listing Rules of the United Kingdom
Listing Authority.
Mondi organisational alignment
Mondi today confirmed that it has entered into consultations with staff at its
Merebank site, as well as with the relevant unions, regarding the proposed
mothballing of its PM32 paper machine (representing a 120 000 tonne capacity
reduction per annum) as well as the reorganisation of its newsprint and paper
production operations. This is in response to a strong decline in sales margins
and low market prices in the fine paper business and a reduction in
international selling prices of Newsprint.
The remaining two fine paper machines, PM31 and PM33 have sufficient capacity to
meet market demand in the current conditions.
Following completion of the consultation process, in total approximately 240
employees may be affected by this organisational alignment, which represents
around 4.1 percent of Mondi`s permanent employee complement in South Africa.
Mondi advised that it will offer support to employees, in addition to severance
packages, subject to consultation with staff and their representatives.
Contact:
Kerry Crandon
Group Communications Manager
Mondi
Tel: +27 11 994 5425
E-mail: kerry.crandon@mondigroup.com
www.mondigroup.com
Louise Brugman
PR Representative for Mondi
Financial Dynamics
Tel: +27 11 214 2415
Email: louise.brugman@fd.com
www.fd.com
About Mondi Group
Mondi is an international paper and packaging group and in 2008 had revenues of
_6.3 billion. Its key operations and interests are in Western Europe, emerging
Europe, Russia and South Africa.
The Group is principally involved in the manufacture of packaging paper and
converted packaging products; uncoated fine paper; and speciality products and
processes, including coatings and consumer flexibles.
Mondi is fully integrated across the paper and packaging process, the growing of
wood and manufacture of pulp (including recycled materials) and paper to the
converting of packaging papers into corrugated packaging and industrial bags.
Mondi has production operations across 35 countries and had an average of 33,400
employees in
2008. www.mondigroup.com
8 July 2009
Sponsor: UBS South Africa (Pty) Ltd
Date: 08/07/2009 15:00:01 Produced by the JSE SENS Department.
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