Pixelle Specialty Solutions LLC announced it has reached an agreement to sell its Chillicothe mill to U.S. Paper Mill, LLC, an affiliate of U.S. Medical Glove Company (“USMGC”). The buyer has committed to continuing Chillicothe’s legacy of industrial manufacturing and adding significant jobs in the local community.
Since announcing plans to discontinue operations at the Chillicothe mill, Pixelle, with the support of Ohio’s federal, state, and local officials and JobsOhio, has worked diligently to find a new owner for the mill and prioritized buyers with plans to maintain significant local employment and safeguard the Ross County, Ohio labor market. Pixelle believes this sale accomplishes that goal.
Pixelle is continuing to provide impacted employees with a range of support resources, including career transition services, job placement assistance, and ongoing access to Pixelle’s Employee Assistance Program to help navigate any career transitions. Additionally, Pixelle is allocating the entire $5.5 million in net proceeds from the transaction to an account established for the benefit of local unions and impacted employees. $1 million will be distributed at this time with distribution of the remaining funds contingent upon the resolution of specific post-closing conditions.
Pixelle expressed its gratitude to the generations of Chillicothe employees and families whose dedication supported the mill over its history. “Chillicothe has been an important part of Pixelle’s history, and we are deeply grateful to the employees and families who supported this mill for decades. While it was an extremely difficult decision to discontinue operations in Chillicothe, we are grateful and hopeful that this outcome best positions Chillicothe and its residents for the future,” said Julie Schertell, President and Chief Executive Officer.
The transaction has received support from Ohio’s federal, state, and local officials and JobsOhio. Pixelle worked with these leaders throughout the process to support employees and help ensure a sustainable path forward for the community.
