Chesapeake Corporation, a global packaging company, has proposed closing its carton manufacturing plant in Brussels, Belgium. If the reorganization proposal is accepted and the Brussels plant closed, production will be transferred to Chesapeake's nearby carton operation in Gent, Belgium to support customer requirements.

The cost-cutting moves come after Chesapeake reported a $8.4 million loss last quarter that put the company in danger of violating its loan covenants. Said CEO Andrew J. Kohut: "This proposed closure will improve overall plant utilization while providing our customers with superior service and quality." Forty-two Belgian employees could be affected. Read more.