Quebecor World Closes Plant, Cuts Nonunion Pay
MONTREAL—Quebecor World's continuing journey to emerge from bankruptcy protection is certainly not without pain. The struggling printer has notified Tennessee state officials that it will close its Memphis facility, leaving 111 people out of work, the Memphis Daily News reported.
Several publications also reported that Quebecor World has cut the pay of all North American nonunion employees by 10 percent. Those employees are also losing one week of paid vacation.
In other Quebecor World news, the company's shares on the Toronto Stock Exchange (TSX) will be suspended from trading. After the close of market today, Quebecor World's Subordinate Voting Shares (IQW), Series 3 Preferred Shares (IQW.PD) and Series 5 Preferred Shares (IQW.PC) will be suspended from trading on the TSX. The shares are unlikely to have any value following the implementation of a reorganization plan.
The printer has also come to terms on a contract extension with CVS Caremark to produce 100 percent of its retail insert program as well as incremental volume from CVS Caremark's recent acquisition of Long's Drug Stores.