International Paper recently said it is closing two Texas facilities and laying off 117 workers as it reorganized along the U.S.-Mexico border.

The company will close two production facilities in Edinburgh, Texas, which manufactures containers and another manufactures paper. The board factory will be converted into a warehouse.

Officials said it was investing more money at a factory near McAllen, Texas, and a factory on the border of Reynosa, Mexico, when the company closed two production plants in Edinburgh.

"There are 117 job impacts; however, McAllen's expansion will create 40 new hourly positions," International Paper said in an email to FreightWaves. "The company will assist employees and clients through this transition."

However, according to the Worker Adjustment and Retraining Notice (WARN) Act notice filed in Texas on May 9, the International newspaper will lay off 132 workers from five employees in Edinburgh and McAllen.

The International Paper did not immediately respond to the freight service request to clarify the number of employees fired in Texas.

Memphis, Tennessee International Papers (NYSE: IP) is a global provider of paper and packaging solutions. It has more than 260 facilities in 30 countries and employs more than 65,000 workers.

Reynosa's operations will be transferred to a more modern and powerful facility currently under construction.

"The decision to stop operating on our two Edinburgh facilities while investing in McAllen and Reynosa allows us to focus on delivering an excellent customer experience and maintaining a competitive cost structure, and we believe we believe we can position us as profitable growth."

Since October, international newspapers have ruled over 2,500 employees and closed facilities in Arizona, Illinois, Pennsylvania, Louisiana, South Carolina, North Carolina, Missouri, Tennessee and Texas.

In a first-quarter earnings call with analysts and analysts on April 30, International Paper CEO Andy Silvernail said demand for packaging and paper products in North America has declined in recent months.

“Industry demand in North America fell 2% in the first quarter and we expect demand levels to continue into the second quarter based on our order model,” Silvernail said.

The International Post closed its Texas factory, laying off 117 jobs first appeared on FreightWaves.