Rayonier Advanced Materials Inc. (RYAM) is announcing that, effective July 2, 2024, it will suspend operations at its Temiscaming High Purity Cellulose (HPC) plant for an indefinite period.

The suspension, which will be carried out in a safe and environmentally sound manner, will result in a reduction of RYAM's annual global HPC production. The Temiscaming HPC facility has an annual production capacity of approximately 150,000 metric tons, with roughly 30% historically dedicated to specialty cellulose materials. The Company will be working directly with its customers to support their specialty cellulose needs in both the short- and long-term. Today's announcement will result in approximately 275 layoffs.

"Persistent market weakness, uncertain availability of affordable wood fiber, and high capital and fixed costs have posed significant challenges for the Temiscaming HPC plant," said De Lyle Bloomquist, President and CEO. "This decision, which we do not take lightly, is made only after a rigorous strategic review in which multiple alternatives were thoroughly explored. We are mindful of the impact this will have on affected employees and will take appropriate measures to assist these employees in keeping with the collective agreement, RYAM values and applicable law."

This decision does not affect RYAM's paperboard and high-yield pulp plants located adjacent to the Temiscaming HPC plant. These two plants, which are part of an ongoing sales process announced last October, remain competitive and will continue to operate at full capacity

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