Packaging Corp. of America commits to a $440 million upgrade in Clarke County, Alabama

According to the Alabama Department of Commerce, Packaging Corp. of America (PCA) plans to launch a three-year, $440 million project to permanently convert a paper machine at its mill in Clarke County to produce linerboard used for corrugated packaging.

Illinois-based PCA announced that it is  making preparations to convert its Jackson, Alabama paper mill in a phased approach over the next 36 months.

“PCA’s project will increase the efficiency of the Clarke County plant while providing a long-term economic boost to Jackson, a city with a population of around 5,300. We’re committed to helping existing businesses grow and thrive in Alabama, and the impact of a major investment is always magnified when it happens in rural communities.With this project, PCA is positioning its Jackson mill for the future, which will significantly benefit the city and the region for years to come.”

Greg Canfield, Secretary of the Alabama Department of Commerce

Key elements in the conversion project include:

• Installation of an OCC plant for recycling old corrugated containers 
• Various pulp mill modifications and upgrades will be made to critical sections of the paper machine.

“The project will enable the company to meet strong packaging demand and to optimize the Alabama mill’s profitability and viability. The capital cost of the conversion is expected to be approximately $440 million. We are appreciative of the continued support from the State of Alabama, the Alabama Department of Commerce, the City of Jackson and Clarke County to help us continue providing quality jobs and a positive economic impact in the Jackson community.”

PCA Chairman and CEO Mark Kowlzan

Jackson Mayor Paul R. South praised the project and said it will allow PCA to continue providing quality jobs while also supporting the community.

“The City of Jackson looks forward to working with the corporation as the project moves forward,” South said. “In my opinion, they couldn’t have selected a better community.  Jackson is a safe and peaceful city full of great people, with good schools and recreation and a strong workforce, along with extensive natural resources.”

Upgrading a mill that employs 500 people is a big win for the economic future of  Clarke County and Jackson, Alabama.

“It’s a win for the company, the community and the state,” concluded Governor Kay Ivey.