Associated Press | Lake Forest-based Solo Cup Co., which makes single-serving food and beverage containers,
said Tuesday that it will close three factories, eliminating 1,240 jobs,
because of growing capacity at its 10 other North American plants.

The company plans to shutter factories in North Andover, Mass., and
Springfield, Mo., in mid- to late 2011, and a plant in Owings Mills,
Md., in mid-2012.

Chief Operating Officer George Chappelle said in a statement Tuesday that the company has invested $150 million over the past two years to upgrade its manufacturing assets and increase the efficiency of its operations.

“As a result, we are now able to be more productive within a smaller manufacturing footprint,” Chappelle said.

The closings will cut about 540 full-time manufacturing positions in Owings Mills, 360 in North Andover and 340 in Springfield.

“These decisions are never easy because we know they affect the lives of our employees and their families,” said Robert M. Korzenski, president and CEO. “It was important to us to give them as much advance notice as possible and we will work to make it a smooth transition for them.”

All affected employees will have the opportunity to pursue employment at other Solo facilities and will be given priority over other candidates.

The three factories’ production and some assets will move to Solo’s other facilities.

Solo expects to increase employment at the other plants over the next year or two as volume increases.