International Paper (IP) is the latest addition to a line of US forest products firms to warn that it expects to post significantly low first-quarter results for 2001.


Weak sales, high-energy costs and the strength of the dollar have all been cited as contributory factors by IP.


IP, the worlds largest forest products group, has also announced a series of initiatives as part of a reorganisation plan for its industrial papers business, involving downtime to keep production in line with demand.


Job cuts could also be part of the reorganisation plan if necessary.


The recovery plan will affect all of IPs industrial papers mill operations, as well as its coating and converting facilities.


IP produces some 370,000 tonnes of industrial papers a year, mainly for food, industrial packaging and consumer hygiene products.