Uniboard, a subsidiary of Pfleiderer AG and a leading manufacturer of engineered wood products in North America, will align its thermofused melamine capacity to more efficiently serve its North American customers. This involves the progressive transfer of business and closure of its Fostoria plant, located in Fostoria, Ohio, following the investments made in Uniboard's thermofused melamine lamination facilities in Moncure, North Carolina, and Val d'Or, Quebec.

"Closing a plant is never an easy decision, however, the closure of our Fostoria facility will allow Uniboard to take advantage of cost synergies and improved efficiency, and will increase the overall competitiveness of the Group. Fostoria's manufacturing volume will progressively be transferred to one of Uniboard's three other thermofused melamine lamination plants. This measure is in line with Uniboard's business strategy of manufacturing products in vertically integrated facilities, which allows synergies in manufacturing and logistics, and supports our 'one-stop shop' concept. This decision will allow Uniboard as the North American leader in TFM to service our customers in a more efficient and competitive manner, both today and in the future," said James Hogg, President and CEO of Uniboard Canada Inc.

Uniboard will continue to operate the Fostoria plant until October 1, 2010, to ensure the orderly transition of its customers to its other facilities. With a production capacity of 24 million square feet, the plant is the smallest of the Uniboard production portfolio. The announced measures will affect 30 employees; some will be transferred to Uniboard's Moncure plant.