International Paper Announces Layoffs and Mill Closures Amid Strategic Restructuring

International Paper (IP) shares ROSE Friday as the packaging giant unveiled a sweeping restructuring plan, including 1,100 U.S. job cuts and the permanent closure of four Georgia facilities. The Savannah containerboard mill, Savannah packaging plant, Riceboro containerboard mill, and Riceboro Timber and Lumber operations will all shutter permanently.

The company committed $250 million to convert machinery at its Riverdale, Alabama mill for containerboard production—a MOVE executives framed as essential for long-term competitiveness. "These difficult decisions position us to focus on geographies and products where we create the most value," said Tom Hamic, head of North America Packaging Solutions.

Affected employees will receive severance packages and outplacement support. The restructuring reflects broader challenges in traditional industrial sectors as companies reallocate resources toward higher-margin operations.