Solo Cup Co. has accelerated previously announced layoffs at its Owings Mills, Md., plant, which had been scheduled to close in 2012.
We have been able to complete the work in the manufacturing facility more quickly than originally expected. We now expect the plant will close by the end of the third quarter, 2011, spokeswoman Angie Gorman said in a May 11 email.
According to a notice recently filed with the state of Maryland under the Worker Adjustment and Retraining Notification Act, 101 corporate office employees in Owings Mills will be affected, with layoffs beginning June 30.
In June 2010, Lake Forest-based Solo Cup announced it would close facilities in Owings Mills; Springfield, Mo.; and North Andover, Mass.
According to Gorman, the Springfield plant closed in March and the North Andover plant is expected to close by the end of the second quarter. Solo's Owings Mills factory originally was to close by March 31, 2012.
We are still in the process of deciding where each department will go and how many positions we will be able to retain after the [Maryland] plant is closed and the building has been sold, Gorman said. Some positions will be eliminated; some will be moved to the Lake Forest, Ill., headquarters; and others may be relocated to another location in the Baltimore area.
In all, layoffs at the three plants will affect 1,240 employees. The closings will eliminate about 540 jobs in Owings Mills, 360 in North Andover and 340 in Springfield.
The Maryland plant manufactures paper containers and buckets. The Massachusetts plant thermoforms plastic cups and lids and injection molds cutlery, while the Missouri facility makes Trophy-brand polystyrene foam cups for hot and cold drinks, and paper soufflé cups.
According to Securities and Exchange Commission filings, the Owings Mills plant encompasses 1.4 million square feet. Solo acquired the facility as part of its 2004 purchase of Sweetheart Cup Co.
The firm's North American holdings include nine manufacturing sites in the U.S., as well as plants in Toronto and Cuautitlan, Mexico.
For the first quarter of 2010, Solo reported a loss of $25 million on sales of $371 million, compared with a loss of $16.5 million on sales of $344.8 million for the year-ago period.