In July 2024, the Company indefinitely suspended operations at its Temiscaming cellulose plant. The Temiscaming paperboard and high-yield pulp plants that support the Company’s Paperboard and High-Yield Pulp operating segments continue to operate at full capacity. The Temiscaming cellulose plant was idled in a safe and environmentally sound manner, and the Company will assess, on at least an annual basis, the possibility of restarting the Temiscaming cellulose plant.

Indefinite suspension of operations activities began in July 2024 and were mostly completed in the prior year. Since the start of the indefinite suspension in 2024, the Company has incurred total one-time operating charges of $17 million, including $6 million of mothballing costs, $6 million of severance and other employee costs and $5 million of other costs. While most cash costs associated with the indefinite suspension of operations were paid in the third and fourth quarters of 2024, severance and other indefinite suspension costs are expected to be paid over a period of time. Remaining one-time charges to be incurred are not expected to be material.

The following table presents the accrued liability balance activity related to the indefinite suspension during the six months ended June 28, 2025:


	Mothballing Costs		Severance and Other Employee Costs		Total
Balance at December 31, 2024	$	977	$	5,010	$	5,987
Charges incurred	719		(85)		634
Payments	(1,696)		(2,895)		(4,591)
Balance at June 28, 2025	$	—	$	2,030	$	2,030


	Three Months Ended				Six Months Ended
	June 28, 2025		June 29, 2024		June 28, 2025		June 29, 2024
Severance and other employee costs(a)	$	—	$	6,206	$	(85)	$	6,206
Mothballing costs	229		420		719		420
Indefinite suspension charges	$	229	$	6,626	$	634	$	6,626

(a)Included a $1 million loss on pension curtailment charges during the quarter and six months ended June 29, 2024 associated with early retirements driven by the indefinite suspension of operations. See Note 15—Employee Benefit Plans for further information.

Charges incurred during the periods presented were recorded to the Cellulose Commodities segment in “indefinite suspension charges” in the condensed consolidated statements of operations.