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Cascades closure positive for containerboard names, says Truist

Truist says the Buffalo News report that Cascades (CADNF) is closing its Niagara Falls containerboard mill is a positive for Packaging Corp. (PKG), International Paper (IP) and Smurfit Westrock (SW). The closure could be supportive of pricing, the analyst tells investors in a research note. Truist views the closure as positive for North American containerboard supply/demand dynamics. It believes the industry is “acting rationally” and will continue to adjust supply to meet demand.

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