Not even the worlds largest print group can ward off the economic crisis: Quebecor World is to close seven plants and cut 6% of its workforce due to a slowdown "greater than we imagined".

Director of communications Tony Ross said all the closures would be in the US but European staff would also be among the 2,600 cut.

Quebecor World said weak market demand had been "further disrupted by the terrorist attacks in the US".

"Although printing has historically proved to be recession-resistant, we are not immune to the economic consequences of these horrific acts," said president and chief executive Charles Cavell.

Only two weeks ago Quebecor World said it had signed an agreement to buy the European printing assets of Hachette Filipacchi Medias (PrintWeek, 5 October).

But Ross said the two events were "entirely unrelated" as talks with Hachette had started in early spring.

The company is analysing the extent of the charges it will take in the fourth quarter. Current estimates place them at around 100m (C$225m) before tax, although the action should save 20m a year.

"We firmly expect that this restructuring will leave us in a better position for when the American economy picks up," added Ross.

A day before the announcement, John Dickin, Quebecor Europes executive vice president of operations, told PrintWeek that the group had experienced a very difficult third quarter in the UK, "like every other business has".

"We are in the fortunate position of having a large percentage of capacity filled under long-term contracts, which is a big help," he said.

"We have taken the view that we should reduce our capacity in any plant in Europe where the market demand is lowered and try to keep our cost base at a level where we can generate a margin."

But he added that the groups UK plant in Corby was "pretty well loaded" for the fourth quarter.

Story by Andy Scott