US-based sustainable packaging solutions provider Ball is planning to close down its beverage packaging plant in Reidsville by mid next year.
Following the closure of the plant, Ball will serve the facility’s customers from its other US-based plants. The company intends to obtain around $18m in after-tax charge from the closure.
This after-tax charge will be mainly used for employee severance, pensions and other benefits, asset impairments, facility shut down, and disposal costs.
Ball's senior vice-president and global beverage packaging chief operating officer (COO) Daniel Fisher said: "This action will better align our manufacturing footprint to meet the changing needs of our customers and the market, as we actively manage our overall plant system after the addition of seven North American Rexam plants upon close of the acquisition earlier this year.
"While closing a plant is always difficult, balancing our supply with demand in the highly competitive beverage packaging industry will better position the company for the long-term."
In 1998, the company purchased the Reidsville plant as of its acquisition of Reynolds Metals Company.
Established in 1978, the plant produces beverage cans in a variety of sizes, and employs around 150 people.
In February this year, Ball also announced plans to close its flat sheet production and end-making plant based in Weirton, West Virginia.