Sappi Southern Africa to talk cost reductions

Sappi Southern Africa said Monday it plans to talk to employees and trade unions at several mills about the need for cost reductions and efficiency improvements.

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The company, a part of Sappi Ltd., a global paper producer based in South Africa, said that its actions will not affect its ability to meet customer demand or current commitments.

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There are more than 400 employees across the three mills where cost reduction discussions will take place.

U.S.-traded shares of Sappi fell 4 cents to $3.85 in morning trading.