Temple-Inland to Close Mill, Box Plant

Temple-Inland Inc. said it will close and dismantle an outdated corrugated-paper mill and adjacent box plant in Newark, south of San Francisco, as part of a continuing effort to make its paper operations more efficient. The Diboll, Texas-based maker of paper products and lumber, which also has banking and mortgage businesses, said the site would cost too much to refit with new equipment and meet California environmental requirements. The mill and plant will be closed May 15, then taken down, and the land will be sold, the company said. About 150 jobs will be lost in the shutdown. Temple-Inland’s decision follows Monday’s announcement of a decline in fourth-quarter and 1997 profit, including operating losses in the paper segment. It has been restructuring the paper businesses, which accounted for more than half its $3.63 billion in 1997 revenue, to boost profits. Temple-Inland stock rose 56 cents to close at $57.06 on the NYSE.