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Subsequent Event
6 Months Ended
Jun. 30, 2017
Subsequent Events [Abstract]  
Subsequent Event

15.SUBSEQUENT EVENT

 

On July 27, 2017, we announced several cost reduction measures in our Specialty Papers business unit including the shutdown of a paper machine at the Chillicothe, OH facility, the elimination of approximately 50 affected hourly positions, and a reduction of an additional 70 salaried positions across the business unit. The machine shutdown will remove approximately 80,000 tons, or 10%, of capacity from the business unit. Production is expected to be absorbed by the remaining seven paper machines in the business unit. The machine shutdown and headcount reductions are expected to result in an annual net profitability improvement of approximately $9 million and the avoidance of costly market-driven downtime. In connection with these cost reduction initiatives, we will recognize an aggregate pre-tax charge to earnings of approximately $8 million to $9 million including an estimated $5 million to $6 million in non-cash charges. The full amount of the charge is expected to be recognized in the third quarter of 2017.