Executives with Pactiv Evergreen sold off hundreds of thousands of dollars worth of shares before announcing the closure of the century-old paper mill at the heart of Canton, North Carolina.
Pactiv Evergreen, a product packaging company based in Lake Forest, Illinois, announced Monday that the historic plant is shutting down in the coming months. It employs 1,100 people and is considered a keystone of the local economy.
CENTURY-OLD NC PAPER MILL THAT EMPLOYS 1,100 TO ABRUPTLY CLOSE, MAYOR SAYS SMALL TOWN'S SOUL IS BEING RIPPED OUT
It now appears executives with the company sold off more than 50,000 shares of stock before the closure was announced, according to SEC filings reported by WLOS ABC13 News.
The executives' shares were sold on March 2 — and union representatives with Smokey Mountain Local 507 were reportedly told about the plans to close the paper mill by Pactiv Evergreen officials on March 6.
The shares were sold for $11.30 a share. The stock has since fallen to below $10 a share.
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Chief Legal Officer Chandra Mitchell sold 5,613 shares for $63,426.90.
Chief Operations Officer Douglas Owensby sold 3,969 shares for $44,849.70.
President of Beverage Merchandising Byron Racki sold 4,093 shares for $46,250.90.
The largest financial transaction was by CEO Michael King, who sold 45,113 shares for $509,776.
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The Pactiv Evergreen plant has been operating in Canton, North Carolina for more than a century.
The words are simply not enough," Canton Mayor Zeb Smathers said after the closure announcement, according to local outlet ABC15. "When I was downtown and I saw grown men with tears in their eyes, there are no words, and no one was prepared on this dark Monday to deal with that."
FOX Business has reached out to Pactiv Evergreen for comment but has not received a reply.