During the third quarter of 2011 the profitability of cartonboard production continued to be good, but the profitability of paper and pulp production weakened, M-real writes in its report. A new coating unit of the Kemi linerboard machine was commissioned, and the divestment of Hallein pulp mill to Schweighofer Group was completedAfter the period M-real announced to start processes to close the Alizay mill in France and discontinue the unprofitable operations at the Gohrsmühle mill in Germany. “Profitability of our cartonboard production continued to be strong in the third quarter. At the same time, the weakening of the paper and pulp market, our on-going measures at the Alizay mill and in Speciality Papers, as well as the maintenance and investment shutdowns in Kemi and at the Metsä Botnia mills weakened our profitability, as expected, in the third quarter,” says Mikko Helander, CEO of M-real.“Cartonboard order books have been declining from the record level of early 2011. Nevertheless, the demand and profitability outlook of folding boxboard are strong, and when the inventory levels of customers normalize, the order inflows are believed to improve rapidly. M-real will increase its folding boxboard capacity as planned in order to meet the increasing demand,” Helander continues. /KB