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Travels with Larry Archive
Thursday, December 10, 2009
Members edition
Naylor, LLC
Weekly Spotlight
Mohawk Fine Papers, Cohoes, N.Y., USA, reports that during a recent event at the Beinecke Rare Book & Manuscript Library, its CEO, Thomas O'Connor Jr., presented Jeffrey Gwork, Yale University's Director of Yale Printing and Publishing Services, with the Mohawk Windpower Partnership Award.
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The U.S. Department of Energy (DOE), Washington, D.C., has launched its new Save Energy Now LEADER Program that will provide technical assistance and resources to companies that pledge significant improvements in industrial energy efficiency.
Learn More...
 
Stanford University scientists, Stanford, Calif., USA, this week reported they have successfully turned paper coated with ink made of silver and carbon nanomaterials into a "paper battery" that holds promise for new types of lightweight, high-performance energy storage.
Learn More...
 
Market Roundup
Hardwood fiber costs for the global pulp industry surpassed the cost of softwood fiber in 2009 as demand for hardwood pulp rose.
Learn More...
 
Demandless Recovery: As the broader economy appears to be making a jobless recovery, the paper and forest products industry is attempting a "demandless recovery."
Learn More...
 
On the paper side the cyclical demand drop-off has not been quite as severe as that in wood products.
Learn More...
 
Shipments of uncoated free sheet, the largest grade, fell 9.3% y/y in October and are off 13.1% YTD.
Learn More...
 
On the packaging side, October box shipments fell 7.9% y/y on an actual week basis and 3.7% on an "average week" basis.
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Pulp & Paper
AbitibiBowater, Montreal, Que., Canada, in partnership with Produits Forestiers Petit-Paris Inc. (PFPP), announced this week that forest management units (27-51 and 24-51) in the Lac Saint-Jean region in Quebec have received certification to the Forest Stewardship Council (FSC) standard.
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Arctic Paper, Sweden, has agreed to acquire the Grycksbo Paper mill in Sweden from the investment fund Accent Equity 2003.
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India's pulp and paper industry will get a subsidy from India's government for the purchase of capital goods used to acquire and install modernization technology, according to a report this week by Press Trust of India, in New Delhi.
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Luke Paper Co., a subsidiary of NewPage Corp., has already installed one of two new StableFLO headboxes for its L-8 and L-9 paper machines at its Luke, Md., USA, paper mill.
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Marcal Manufacturing CEO Tim Spring this week donated an assortment of arts and crafts kits and supplies to the Princeton Young Achievers Program.
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Orient Paper, Baoding, Hebei, China, which controls and operates Hebei Baoding Orient Paper Milling Co., a manufacturer and distributor of diversified paper products in China, has announced the acquisition of digital photo paper plant assets.
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Stonehill Financial, Minnesota, USA, a distressed debt and advisory firm, this week announced the acquisition and commencement of operations of its wholly-owned affiliate Stonehill Converting, a manufacturer of at-home and away-from-home custom tissue case products.
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Tembec, Temiscaming, Que., Canada, will put its newsprint mill in Pine Falls, Manitoba, up for sale.
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Unisource Worldwide Inc., Norcross, Ga., USA, a distributor of paper, packaging, and facility supplies in North America, has announced that Graph Comm International, a subsidiary of Graphic Communications Holdings, has completed the acquisition of Euro-Papier.
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Containerboard/Packaging
"What's New in Corrugated" is the theme of the upcoming Chicago TAPPI meeting set for January 12, 2010, at the Marriott Oak Brook, Oak Brook, Ill., USA.
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Dairy product consumption, including ambient milk and other ambient liquid dairy products (LDP), across developed markets worldwide, is projected to grow by 0.6% from 2008 to 2009.
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Graham Packaging Co., York, Pa., USA, reports that it has begun manufacturing operations at a new on-site plant in St. Louis with Henkel Consumer Goods, Inc., a subsidiary of Germany-based Henkel AG and Co. KGaA.
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Sonoco (Hartsville, S.C., USA) Chairman, President, and CEO Harris DeLoach Jr. and Charles J. Hupfer, senior VP and CFO, told the New York investment community last week that the company would be expanding its Global Packaging Services business in the U.S., Mexico, and Poland in 2010.
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Nonwovens
PGI reports that it has completed the initial phase of its previously announced acquisition of the Barcelona, Spain-based Tesalca-Texnovo nonwovens businesses from Grupo Corinpa, S.L.
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New Products
Frank Parsons Inc., Hanover, Md., USA, has launched a new private-branded office paper in custom Baltimore Ravens packaging.
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Epson America Inc., Long Beach, Calif., USA, has announced a new contract-quality proofing system designed to improve how package designers and flexographic and gravure printing professionals produce packaging mock-ups and proofs.
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Published Pricing
Graphic Packaging International, Marietta, Ga., USA, this week announced a price increase of $40 per ton for its PaceSetter coated recycled board (CRB).
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People
MeadWestvaco, Richmond, Va., USA, reports that Peter Durette has joined the company as chief strategy officer and has also been elected as a VP of the company.
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Sonoco, Hartsville, S.C., USA, has named M. Jack Sanders executive VP, Consumer, effective January 1.
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TAPPI News
TAPPI members are encouraged to cast their vote by January 15.
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Two new members of TJ's Editorial Board broaden the scope of TAPPI's flagship research publication.
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Great deals available for "Intro to P&P Technology" and "Kraft Recovery."
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Students! Do NOT miss Student Summit -- travel funds are available.
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TAPPI's newest event, BioPRO EXPO, is set for August, 2010.
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TAPPI can help you have a great 2010 -- renew or join today!
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PIMA's National Awards program needs your nominations by January 31, 2010.
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Get together with Gulf Coast TAPPI in February, for a corrosion seminar and a mill tour.
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EPE Conference proceedings, new Corrugator Safety DVD, and great logo gear... TAPPI has what you need, plus Member discounts!
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"The man who does not read books has no advantage over the man who can not read them."
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Weekly Spotlight
Mohawk Fine Papers, Cohoes, N.Y., USA, reports that during a recent event at the Beinecke Rare Book & Manuscript Library, its CEO, Thomas O'Connor Jr., presented Jeffrey Gwork, Yale University's Director of Yale Printing and Publishing Services, with the Mohawk Windpower Partnership Award. This award was given to Yale in recognition of President Richard Levin's outstanding commitment to the environment. The award also recognizes the University's standard of a minimum of 30% postconsumer fiber in its printed materials.

Mohawk and Yale have a long partnership on a variety of important print projects dating back to the 1940s when Yale University Press helped design an archival paper for a series of books on Benjamin Franklin. That paper later became Mohawk Superfine. Today, Yale uses a wide range of Mohawk's papers for projects ranging from its Undergraduate View Book to its recent Capital Campaign Publications, designed by Yale lecturer Michael Bierut of Pentagram Partners. The Yale/Mohawk partnership will allow all Yale departments to reduce paper costs and increase sustainability through the use of recycled paper that is third-party certified.

Mohawk is the largest manufacturer of premium printing, writing, and digital paper in North America. The company's paper mill is the first in the U.S. to match 100% of its electricity with windpower renewable energy credits and the first U.S. premium paper mill to shift toward carbon neutral production.

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The U.S. Department of Energy (DOE), Washington, D.C., has launched its new Save Energy Now LEADER Program that will provide technical assistance and resources to companies that pledge significant improvements in industrial energy efficiency. At the launching event, 32 companies, including three paper companies, joined with DOE Assistant Secretary for Energy Efficiency and Renewable Energy Cathy Zoi to sign a voluntary pledge to reduce their industrial energy intensity by 25% over the next decade. Flambeau Rive Papers (Park Falls, Wis.), Thilmany Paper (Kaukauna, Wis.), and Verso Paper Corp (Memphis, Tenn.) were among the charter signers.

The LEADER program is a new component of the existing Save Energy Now initiative through which companies partner with DOE to conduct energy audits and assessments designed to identify the opportunities for energy and cost savings in the companies' operations. Participating businesses also have access to tools and training to implement recommendations designed to help reduce their energy use and lower operating costs. More than 2,000 plants received energy assessments through Save Energy Now from 2006 to 2009. To date, those assessments have identified opportunities for $1.3 billion in identified cost savings.

The 32 charter member companies agreed to establish energy use and energy intensity baselines, and develop an energy management plan over the next 12 months. As indicated by the special "LEADER" designation, these companies are more than just first actors on the path to greater energy efficiency; they are coming forward to serve as actual role models and pace setters on an ongoing basis for others in the industrial sector. In return, the companies will receive access to select DOE resources, as well as national recognition for energy management achievements.

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Stanford University scientists, Stanford, Calif., USA, this week reported they have successfully turned paper coated with ink made of silver and carbon nanomaterials into a "paper battery" that holds promise for new types of lightweight, high-performance energy storage. According to a Reuters news report, the same feature that helps ink adhere to paper allows it to hold onto the single-walled carbon nanotubes and silver nanowire films. Earlier research showed that silicon nanowires could be used to make batteries 10 times as powerful as lithium-ion batteries now used to power devices such as notebook computers.

"Taking advantage of the mature paper technology, low cost, light and high-performance energy-storage are realized by using conductive paper as current collectors and electrodes," the scientists said in research published in the Proceedings of the National Academy of Sciences.

This type of battery could be useful in powering electric or hybrid vehicles, would make electronics lighter weight and longer lasting, and might even lead someday to paper electronics, scientists said in the Reuters report. Battery weight and life have been an obstacle to commercial viability of electric-powered cars and trucks. The technology could be commercialized within a short time, the report noted.

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Market Roundup
Hardwood fiber costs for the global pulp industry surpassed the cost of softwood fiber in 2009 as demand for hardwood pulp rose. The Wood Resource Quarterly (WRQ), Seattle, Wash., USA, says that higher hardwood pulpwood costs in Brazil, Australia, Russia, and Sweden pushed the 3Q/09 Global Hardwood Fiber Price Index (HFPI) to the highest level in 12 months. The HFPI was more than 6% higher than the Global Softwood Fiber Price Index (SFPI), the biggest difference in 21 years.

During the past 20 years, the global SFPI has typically ranged between $5 and $10/o.d. metric ton (odmt) higher than the global HFPI. This relationship changed this year because hardwood fiber costs have increased more than softwood costs, WRQ explains. The Global Wood Fiber Indices are weighted global average delivered wood fiber prices for the pulp industry in the regions tracked by WRQ. The regions included in the Indices together account for 85%-90% of the world's wood-based pulp production capacity. The prices are based on the quarterly average prices, and country/regional wood fiber consumption data.

The HFPI was up $4.23/odmt, reaching $99.15/odmt in the 3Q/09 compared with the 2Q. This was mainly a result of higher wood costs in Brazil, Australia, Russia, and Sweden, WRQ notes. The global average hardwood fiber price is now more than $6 higher than that of softwood fiber, a historical first. The SFPI jumped $3 per odmt in the 3Q to $93.12/odmt. Much of the increase occurred because the U.S. dollar weakened against all 14 currencies in the countries included in the Index. The biggest increases were seen in Germany, Brazil, New Zealand, and Australia, according to WRQ.

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Demandless Recovery: As the broader economy appears to be making a jobless recovery, the paper and forest products industry is attempting a "demandless recovery," according to Mark Wilde, senior analyst with Deutsche Bank. Throughout 2009, the industry has done a remarkable job of limiting price erosion despite sharply lower shipment volumes and falling input costs, Wilde notes, adding that "looking at the past, we would have expected prices to collapse in the face of 2009's market conditions. It has not happened. The key has been supply discipline. The industry has responded to sharply reduced demand by taking massive amounts of market downtime, as well as some permanent capacity closures. In many cases, the industry has reduced supply even more than demand, managing to drive down inventories despite weak demand.

During 2H09, Wilde says, some broad economic measures such as GDP growth and the ISM manufacturing index have shown noticeable improvement. However, demand for most paper grades has failed to see any meaningful pick-up. Instead, demand appears to have stabilized at a lower level. "However, the downward pricing pressure that we saw in the first half of the year has largely dissipated. To the contrary, prices are starting to go higher in various grades, and the questions involve price hike initiatives—what grades, how much, how soon. These hikes have been driven by rising input costs (at least relative to the very low levels in the first half of the year), tight inventories, and improving trade flows resulting from a weak US dollar. Even so, it has been remarkable given the continuing demand weakness. Perhaps, something really is different this time," he explained.
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On the paper side, Wilde continues, the cyclical demand drop-off has not been quite as severe as that in wood products. Even so, this downturn has been extremely severe by historic standards, with volume declines easily the worst in memory, he adds. Aside from cyclical issues, the declines also reflect an intensification of longer-term structural issues in some markets, especially in print/advertising-sensitive markets. "In the past month or two, we are seeing better y/y comps, but this is largely due to easier year-earlier comparisons, rather than genuine demand improvement." Back To Top
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Shipments of uncoated free sheet, the largest grade, fell 9.3% y/y in October and are off 13.1% YTD. Volumes have been roughly flat sequentially for the last several months, according to Wilde. In coated papers, the volume decline last winter and spring were even more severe than in UFS, but the volume improvement in recent months has been more noticeable. Coated free sheet shipments fell 7.1% y/y in October and are off 22.5% YTD. Coated mechanical shipments fell 4.3% y/y in October and are off 24.2% YTD. Uncoated groundwood is the smallest and most volatile grade, but probably the one with the best long-term prospects, as it takes share from other grades. As in coated papers, uncoated groundwood shipments are starting to rebound, after falling sharply in the first half of the year. "Shipments fell 17.1% y/y in October (oddly much more than recent months) and are off 22.8% YTD," according to Wilde. Back To Top
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On the packaging side, according to figures from the Fibre Box Association, October box shipments fell 7.9% y/y on an actual week basis and 3.7% on an "average week" basis, Wilde notes. On a blended basis, the decline is about 5.8% y/y, noticeably better than the YTD blended decline of 9.0% y/y, he adds. "However, this was driven by the easier comps that we are starting to overlap. October '08 was down 8.6% y/y, compared with Jan-Oct '08 shipments down just 2.7% y/y. This lack of demand improvement is disappointing in the face of the impressive rebound in the ISM index over the last several months. Over time, we've found the ISM index to be a good indicator of box volumes. The ISM index has improved from a low of 32.9 in Dec '08 to 55.7 in October, perhaps the sharpest rise in the past 20 years. Given the historical correlation, we expect to see meaningful improvement in box volumes, but we have not seen it yet," Wilde reports. Back To Top
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Pulp & Paper
AbitibiBowater, Montreal, Que., Canada, in partnership with Produits Forestiers Petit-Paris Inc. (PFPP), announced this week that forest management units (27-51 and 24-51) in the Lac Saint-Jean region in Quebec have received certification to the Forest Stewardship Council (FSC) standard. The certification covers more than 6.1 million acres (close to 2.5 million hectares) of forestlands, making it the single largest FSC certificate to be issued in the province of Quebec to date. These forest management units supply fiber to the company's Girardville, Mistassini, and Saint-Felicien sawmills, the PFPP joint-venture sawmill, seven AbitibiBowater value-added and engineered wood products facilities (including partnerships), as well as the company's Alma and Kenogami paper mills.

As previously announced on September 3, 2008, AbitibiBowater committed to expanding on its inclusive approach to the predominant third-party sustainable forest management (SFM) certification standards. The centerpiece of this commitment is a company-wide promise to maintain 100% third-party SFM certification of all its managed woodlands. In addition to the FSC certification received this week in Quebec, the company continues to pursue FSC certification initiatives in other management units in Quebec, Ontario, and Nova Scotia. AbitibiBowater will also expand audited FSC Chain-of-Custody certifications at a number of company operations.

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Arctic Paper, Sweden, has agreed to acquire the Grycksbo Paper mill in Sweden from the investment fund Accent Equity 2003. Arctic Paper will acquire 100% of the shares of Grycksbo Paper Holding AB, the sole owner of Grycksbo Paper. The total consideration, including cash payment and the issue of shares to Accent Equity, is SEK 590 640 million. The transfer of shares is set for March 1. The acquisition will boost Artic's capacity to 800,000-plus metric tpy. The company operates three paper mills in Kostrzyn, Poland, Munkedal, Sweden, and Mochenwangen, Germany. Grycksbo, located in the Dalecarlia region of Sweden, has a production capacity of 260,000 metric tpy of coated paper. Back To Top
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India's pulp and paper industry will get a subsidy from India's government for the purchase of capital goods used to acquire and install modernization technology, according to a report this week by Press Trust of India, in New Delhi. "The government will soon extend the benefits of Technology Upgradation Fund (TUF) to the paper industry to fight the increasing incidence of technology obsolesce in the industry," Renu Sharma , joint secretary of the Department of Industrial Policy and Promotion (DIPP), said at a press conference. Benefits of the TUF scheme is likely to be unveiled for the paper industry in the next financial year. The Rs 16,000-crore Indian paper industry, which is investing in capacity expansion, pollution control measures, and environmental management plans, has been seeking a technology upgrade fund along the lines of the scheme available to the country's textile industry. In regard to the shortage of raw material faced by the pulp and paper industry, Sharma said the government was working on a proposal to help the segment. Back To Top
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Luke Paper Co., a subsidiary of NewPage Corp., has already installed one of two new StableFLO headboxes for its L-8 and L-9 paper machines at its Luke, Md., USA, paper mill. Paperchine, Rockton, Ill. USA, supplier of the new headboxes, notes that the StableFLO system was designed specifically to limit CD variability and improve other properties at Luke. Installation on L-8 machine was done this past October, and the L-9 headbox will be installed in the first half of next year. The mill has a production capacity of 520,000 tpy of paper and 410,000 tpy of kraft pulps. Back To Top
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Marcal Manufacturing CEO Tim Spring this week donated an assortment of arts and crafts kits and supplies to the Princeton Young Achievers Program. "With times being tough," Spring notes that Marcal, located in Elmwood Park, N.J., USA, has made an extra effort this year to make sure that its philanthropic philosophy is still being carried out. Earlier this year the company donated truckloads of its 100% recycled paper products to charities in the Southwest U.S.

Princeton Young Achievers (PYA) is an after-school program that helps 100 children from lower-income families improve their school performance. Princeton students meet at three neighborhood centers for homework support, enriching activities, one-on-one tutoring, literacy support, and special activities. "The PYA located right here in Princeton does an exceptional job of educating and caring for children from lower-income families," Spring said. "I hope that this donation will make the holidays brighter for these kids in need. It is important to remember that Christmas is about giving, not shopping." This year Marcal re-launched its line of 100% recycled paper products that it has been manufacturing for more than 50 years under the name Marcal Small Steps.

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Orient Paper, Baoding, Hebei, China, which controls and operates Hebei Baoding Orient Paper Milling Co., a manufacturer and distributor of diversified paper products in China, has announced the acquisition of digital photo paper plant assets. The company reports that it has agreed to purchase ownership of all assets owned by Hebei Shuangxing Paper Co., including two coating production lines of digital photo paper. The purchase price for the production lines is RMB 93 million (approximately $13.6 million). The company plans to commence operations using the newly acquired equipment in the first quarter of 2010, following completion of maintenance and integration. Orient expects the digital photo paper segment to generate high gross profit margin and substantial net income for fiscal year 2010. It intends to fund the acquisition with proceeds of its recent financing and cash from operations.

"We are pleased to announce our entry into the digital photo paper market. The digital photo paper segment is a high end and profitable market that presents attractive growth potential," said Zhenyong Liu, chairman and CEO of Orient Paper. "We believe the digital photo paper segment will significantly contribute to our revenue and net income growth in fiscal 2010. We maintain a positive growth outlook as we expand our operations and product offering with continued focus on quality and efficiency."

Orient Paper, through its wholly owned subsidiaries, Shengde Holdings and Baoding Shengde Paper Co., controls and operates Hebei Baoding Orient Paper Milling Co. Founded in 1996, HBOP is engaged in the production and distribution of products such as corrugating medium, offset printing paper, writing paper, and other paper and packaging-related products in China. The company uses recycled paper as its primary raw material.

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Stonehill Financial, Minnesota, USA, a distressed debt and advisory firm, this week announced the acquisition and commencement of operations of its wholly-owned affiliate Stonehill Converting, a manufacturer of at-home and away-from-home custom tissue case products. Stonehill Converting operates in a 182,000 ft2 building in De Pere, Wis., near Green Bay. Ten converting lines are dedicated to the production of a comprehensive line of tissue paper products including bath, towel, napkin, and facial products. Current capacity of the facility is approximately 200,000 cases per month. Additional production equipment has been installed and the facility will accommodate future planned expansions. Stonehill Financial says it hopes to work with local, state, and federal governments to pursue acquisitions of additional converting equipment and tissue related businesses. At full production, Stonehill Converting anticipates hiring upwards of 130 employees from the extensive pool of experienced paper and converting industry personnel in the Green Bay and Fox Valley areas.

Stonehill Converting further announced that it has obtained a $5 million working capital line of credit and term loan from First Business Capital Corp based in Madison, Wis. Steve Peters, the company's COO, notes that "the $5 million of financing is sufficient to fund our needs for the foreseeable future. We are delighted to have First Business Capital as our funding Partner and appreciate their support of us and our business plans."

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Tembec, Temiscaming, Que., Canada, will put its newsprint mill in Pine Falls, Manitoba, up for sale. The facility, which has a production capacity of 200,000 metric tpy, has been idled since this past September 1 due to a labor dispute.

"We have examined a full range of options related to our continuing ownership of this facility and have concluded that it is in the best interest of Tembec and the employees of the Pine Falls mill that we exit that site," John Valley, executive VP, Business Development and Corporate Affairs, said. "It is our hope to find a new owner for the site and we are prepared to work with all parties to facilitate a transaction. However, if the sales process is not successful or if it is not completed in a timely manner, we will consider other options, including a permanent closure of the facility."

Tembec has informed the Province of Manitoba and the United Steelworkers (USW) that it is prepared to end the current lockout, subject to reaching an agreement on a limited number of local issues. The ending of the lockout will not, however, mean a resumption of operations, Tembec adds. The company has contacted the union through the USW to begin discussions on those issues, with the hope of achieving a timely resolution.

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Unisource Worldwide Inc., Norcross, Ga., USA, a distributor of paper, packaging, and facility supplies in North America, has announced that Graph Comm International, a subsidiary of Graphic Communications Holdings, has completed the acquisition of Euro-Papier. Graphic Communications, Unisource's print and paper brokerage, sells more than 1 million tpy of coated and uncoated paper to a wide variety of regional, national, and international companies. Euro-Papier, headquartered in Belgium, specializes in paper and print management. The name of the new company is Graph Comm Belgium. Back To Top
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Containerboard/Packaging
"What's New in Corrugated" is the theme of the upcoming Chicago TAPPI meeting set for January 12, 2010, at the Marriott Oak Brook, Oak Brook, Ill., USA. Moderated by Dave Mottram of ITW/Signode and Dick Olsen of Mitsubishi Heavy Industries (MHI), the evening program's seven 8-minute presentations focus on:
  • CLEARVISION—Cameras used to inspect every box for gluing, folding, printing, and die-cutting defects
  • OPSIGNAL—Fastest and most accurate sheet counter
  • FRED THOMPSON CORRUGATED—Engico's new Top Print version of the popular "Converting Center" now available with a Die Cut Stripping Module
  • FOSBER SNAPSHOT—used to hold data of the past six months of production
  • ALLIANCE MACHINE—Automatic load former for column stacking
  • MHI—100 in. EVOL Flexo Folder Gluer
  • BRADEN SUTPHIN INK CO.—EcoSmart Ink, an environmentally friendly ink
  • THE BOBST GROUP—A new generation FFG, Masterflex, and Masterfold Specialty Folder Gluer to be introduced to the North American market.

For program reservations, call or email Marilyn Beach: mbtappi@comcast.net / 708.469.7087. Hotel reservations can be made online or by telephone: 800.228.9290. More information is available on the Chicago TAPPI web site.

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Dairy product consumption, including ambient milk and other ambient liquid dairy products (LDP), across developed markets worldwide, is projected to grow by 0.6% from 2008 to 2009. The latest edition of the Tetra Pak Dairy Index (Lausanne, Switzerland), which tracks worldwide facts, figures, and trends in the dairy industry, notes that this growth comes during a period of worldwide economic recession, with total LDP consumption (ambient and chilled) in developed markets expected to dip by 1.2% from 2008 to 2009.
 
"Although the recession has affected many sectors, it has not affected milk and liquid dairy consumption in the same way," said Dennis Jönsson, president and CEO, Tetra Pak Group. "Milk is a healthy, nutritious and affordable food staple, which 44% of the world's population drinks every day. While we have seen some consumers 'trade down' to less expensive products in the category, the market remains stable."

According to the Tetra Pak Dairy Index released this past week, total global consumption of milk and other LDP is expected to grow by 1.3% from 2008 to 2009. By the end of 2009, worldwide consumption of LDP is expected to reach 263 billion liters, up from 259 billion liters in 2008. This figure increases to 284 billion liters when soy milk and other dairy alternatives such as rice, nut, and seed-based milks are included.

Tetra Pak is forecasting that total global LDP consumption will grow at a compound annual growth rate (CAGR) of 2.2% from 2009 to 2012, in line with its projection earlier this year. Much of this growth will be led by developing markets, which have driven 95.8% of global LDP consumption growth from 2005 to 2008 due to factors such as population growth, rising incomes, and the relative novelty of liquid dairy products. The Tetra Pak Dairy Index  can be downloaded on Tetra Pak's web site.

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Graham Packaging Co., York, Pa., USA, reports that it has begun manufacturing operations at a new on-site plant in St. Louis with Henkel Consumer Goods, Inc., a subsidiary of Germany-based Henkel AG and Co. KGaA, which markets well-known brands in North America such as Dial, Purex, Renuzit, and Right Guard. The new plant is making HDPE plastic bottles for Purex laundry detergent. Back To Top
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Sonoco (Hartsville, S.C., USA) Chairman, President, and CEO Harris DeLoach Jr. and Charles J. Hupfer, senior VP and CFO, told the New York investment community last week that the company would be expanding its Global Packaging Services business in the U.S., Mexico, and Poland in 2010. DeLoach explained that in the third quarter of 2009, Sonoco took over operation of a distribution center for General Mills in Pennsylvania, and by the second quarter of 2010 the company will be opening a new 1.5 million ft2 distribution center in Walton County, Ga. "At this new dedicated center, we will be handling a number of services for General Mills' family of food products for shipments throughout the Southeast, and for the first time we'll be performing food filling services," he said.

DeLoach also announced that Sonoco has entered into an agreement to provide packaging services for the LEGO Group at a new pack center that is scheduled to open in early 2010 in Monterrey, Mexico. Sonoco currently provides packaging services for LEGO in Poland, for various retail products, new product launches, and the company's consumer on-line brick ordering service. In addition, Sonoco will be handling pack center work in Poland for Henkel Adhesive consumer products.

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Nonwovens
With the closure of the sale, the company began operations of its new wholly owned subsidiary, PGI Spain, strengthening its position in the hygiene market by giving it a new presence in the European market. The acquisition adds about 280 employees to PGI's global employee base of more than 3,000. It also expands its manufacturing capabilities with presence in Tarragona, Spain, consisting of six spunlaid lines serving the hygiene, medical, and industrial/agricultural segments. The additional capacity brings PGI's global spunlaid capacity to more than 285,000 metric tpy. Back To Top
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New Products
Frank Parsons Inc., Hanover, Md., USA, has launched a new private-branded office paper in custom Baltimore Ravens packaging. The new sheet, made in the U.S. and stocked in a 92-bright, 20 lb. 8.5 in. x 11 in. size, is SFI certified and designed to run on all copiers and laser printers. The new paper is sold exclusively through all Frank Parsons' Baltimore-area distribution centers and wholesale paper stores. Information  for purchase and use by businesses is available online or by calling 800.348.4340. A portion of all proceeds from the sale of this product will be donated to the Ravens All Community Team Foundation, which provides support to Baltimore area nonprofit organizations. Frank Parsons' expanding distribution network includes seven mid-Atlantic warehouses, six paper stores, and more than 60 delivery trucks. Back To Top
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Epson America Inc., Long Beach, Calif., USA, has announced a new contract-quality proofing system designed to improve how package designers and flexographic and gravure printing professionals produce packaging mock-ups and proofs. The Epson Stylus Pro WT7900 combines the world's first aqueous-based white ink printing technology with the company's latest high-resolution ink jet technology to produce a new way of printing with the color white on a broad range of substrates, including ink jet coated transparent and metallic films. Designed specifically for proofing flexographic and gravure print jobs that require the color white, the new proofing system incorporates Epson's UltraChrome HDR White Ink, a new Organic Hollow Resin Particle Technology that forces light to randomly scatter, producing the illusion of seeing the color white. This approach to producing the color white results in a very high white ink density, as well as the ability for custom white color toning. It also provides short-term color stability for mission-critical color proofing on a range of new substrates including ink jet coated transparent and metallic films. UltraChrome HDR White Ink is a safe, water-based resin particle that is void of any known carcinogens. Back To Top
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Published Pricing
Graphic Packaging International, Marietta, Ga., USA, this week announced a price increase of $40 per ton for its PaceSetter coated recycled board (CRB). The increase becomes effective with shipments on or after January 11, 2010. Graphic Packaging International, a subsidiary of Graphic Packaging Holding Co., is a provider of paperboard packaging solutions for a wide variety of products to food, beverage, and other consumer products companies. The company is one of the largest producers of folding cartons as well as coated-recycled boxboard and specialty bag packaging. Back To Top
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People
MeadWestvaco, Richmond, Va., USA, reports that Peter Durette has joined the company as chief strategy officer and has also been elected as a VP of the company. Before joining MWV, Durette served as VP, Strategy and Business Development for Textron, and before that he was a consultant at Marakon Associates. Back To Top
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Sonoco, Hartsville, S.C., USA, has named M. Jack Sanders executive VP, Consumer, effective January 1. Sanders will succeed Charles Sullivan, who is retiring effective March 31. In this new management assignment, Sanders will have global operating responsibility for all of Sonoco's businesses serving consumer markets, including Global Rigid Paper and Closures, Global Rigid Plastics, Global Flexible Packaging, and Global Packaging Services. Prior to this appointment, he was executive VP, Industrial, responsible for the company's vertically integrated global industrial converting and paper operations. He joined Sonoco in 1987 as national sales and marketing manager, Wire and Cable Reels. In 1991, he was named GM for the company's Protective Packaging division and was promoted to division VP and GM of Protective Packaging in 1998. Sanders was elected a corporate officer and named VP, Industrial Products, North America in 2001. He was subsequently named VP, Global Industrial Products in 2005, senior VP in 2006 and executive VP in 2008. Back To Top
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TAPPI News
TAPPI members are encouraged to vote in the 2010 TAPPI Board of Directors Election. Under the provisions of the TAPPI Bylaws, Article VIII, the TAPPI leadership is elected by ballot of the voting members. During the first week of December 2009, ballots and voting instructions for the 2010 Board of Directors election were sent via email to TAPPI Members. Emails were distributed by Election Services Corp (ESC), an independent election firm.

The Nominating Committee has recommended a slate of three candidates. Members are encouraged to visit the TAPPI website to review members of the current Board and learn more about the slate of three nominees.

Online voting is fast and easy. Voting began December 1, 2009 and will end on January 15, 2010. Be sure to cast your ballot, which is available online for your convenience -- have your ballot number and TAPPI Member number ready.

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TAPPI JOURNAL, the Association's flagship research publication, has welcomed two new members to its Editorial Board: Dr. Mahendra Doshi, who is also the editor of Progress in Paper Recycling; and Dr. Norman Lifshutz, who also serves on the Editorial Board for the Journal of Engineered Fibers and Fabrics. Both bring an impressive industry background and solid editorial expertise to the table. Each will help identify and attract current research in their respective areas for potential publication in TJ, and will serve as lead reviewers for papers in their expertise, just as the other Editorial Board Members do.

The latest issue of TAPPI JOURNAL is now available to TAPPI members; simply log in to the website to access the interactive electronic publication.  Only TAPPI Members receive TAPPI JOURNAL, which is provided at no additional charge as part of the TAPPI Member benefit.  In early 2010, TAPPI members will also receive a special print publication including the collected abstracts of every paper published in TJ during 2009, plus indices, a Products & Services Guide, and other useful information.

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Date: January 11-14, 2010
Location: St. Petersburg, FL
With a comprehensive program and the expert leadership of NCSU's Mike Kocurek, TAPPI's 2010 Introduction to Pulp and Paper Technology is one of the most highly-rated courses TAPPI offers. Register by December 15, 2009 to save 40%, even on the reduced price for members. Save even more when you register three or more attendees from the same location!
 
A popular choice for new hires, sales reps, non-technical personnel or anyone seeking to expand their industry know-how, this course delivers a broad overview of the entire pulping and papermaking process. Attendees are encouraged to bring specific questions about any aspect of pulp and paper production, including new technologies, operating issues, or industry trends.
 
Course instructor Michael Kocurek is Professor of Paper Science & Engineering at North Carolina State University. He is one of the most recognized educators in the paper industry, and has been leading the "Introduction to Pulp and Paper Technology" course since 1974. In 2005, he was inducted into the Paper Industry International Hall of Fame, an honor bestowed on those who have made preeminent contributions to the global pulp & paper industry.
Complete course information and online registration is available online - don't miss this excellent opportunity for practical knowledge building and networking that make TAPPI Courses an industry mainstay.
 

TAPPI Kraft Recovery Course
Date: January 11-14, 2010
Location: St. Petersburg, FL
TAPPI's 2010 Kraft Recovery Course will examine key recovery operations in a kraft pulp mill to help participants increase their ability to improve pulp production efficiency while minimizing operating costs and environmental problems. Register by December 15, 2009 to save 40%, even on the reduced price for members. Save even more when you register three or more attendees from the same location!

The TAPPI Kraft Recovery Course will help you discover new ways to cut costs, solve problems and increase productivity. You will also learn about new energy saving methods at the Energy Reduction Panel Discussion.
 
Engaging team activities and practical exercises help attendees hone problem-solving skills and retain knowledge. Attendees are encouraged to bring their specific problems to the expert course leaders for solutions you can use back at the mill.

Course Chairman Honghi Tran serves as Professor and Director of the P&P Centre at the University of Toronto. Tran has authored or co-authored more than 200 publications, including chapters 9 and 10 in the TAPPI PRESS book Kraft Recovery Boilers, and has obtained eight U.S. patents. He was named a TAPPI Fellow in 2000. The faculty includes experts who are recognized leaders in their field and veteran instructors: Bob Bartholomew, Jim Brewster, David Clay, Doug Foran, James Frederick, Tom Gencarelli, Thomas Grace, Glenn Hanson, Mikko Hupa, Paul Johnson, Jean-Claude Patel, Dale Sanchez, Sandy Sharp, and Richard Wessel.

Complete course information and online registration is available online - don't miss this excellent opportunity for practical knowledge building and networking that make TAPPI Courses an industry mainstay.
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Date: January 16-18, 2010
Location: Charleston, S.C.

Attend the 2010 TAPPI/PIMA Student Summit and find out what's really happening in the pulp and paper and packaging industries directly from professionals challenged with the day-to-day operations. The Student Summit will give you direct interaction with industry leaders for valuable info on employment and career development within the industry.  Program highlights include:

  • State-of-the-Industry Address on "Sustainability and Eco-Confusion"
  • Effective networking
  • The Annual Engineering Challenge
  • Job recruitment interviews with hiring companies
  • Sessions on job transition and getting the right job
  • Area mill tour

Need travel money? TAPPI has two ways to help you cover up to US$500 in travel costs:

1) The Deborah Ann McNutt Memorial Student Summit Stipend: Thanks to the generosity of Hercules, there are four stipends available. Each one will fund up to US$ 500 in travel costs. Requirements and application details are available online. (Apply no later than December 18, 2009.)

2) TAPPI Travel Stipend Drawing: If you would like to enter your name, send your resume to dtrimmer@tappi.org by December 18, 2009 and agree to be interviewed at the Summit. A random drawing will determine the winner of the stipend, and the winner's resume will be reviewed by our participating companies.

Everyone who attends the Student Summit is a winner and here's your chance to be a special winner compliments of TAPPI & PIMA. So mark your calendar and act now while there's still time!

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Date: August, 2010
Location: Atlanta, Georgia

TAPPI has unveiled its exciting new event -- BioPro Expo™ -- a major conference and exposition scheduled for August, 2010 in Atlanta, Georgia. BioPro Expo covers the entire biomass processing spectrum, from supply through processing and utilization.

"We are excited to combine our industry experience in wood waste feed stocks and conference organization with information from government and academic entities, technology suppliers, renewable energy consumers and associations in industries looking for more sustainable and profitable ways of doing business," said TAPPI President and CEO, Larry N. Montague.

BioPro Expo's educational program and comprehensive tradeshow will focus on practical ways to transition products, residues and wastes to energy and biofuel resources. The program also covers supply and demand issues and government policy. By bringing together member expertise in bioenergy production with experts from various industries, TAPPI brings a unique perspective to the bioenergy field with BioPro Expo.

Subject matter experts from related associations and agencies will consult in program development, including the National Renewable Energy Laboratory (NREL), the Forest Landowners Association, and the Georgia Poultry Federation.

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TAPPI is more than just a great place to network; the benefits and resources that come with TAPPI Membereship help you build a lifelong career, and will stay with you no matter where the future leads. We want you to be a part of TAPPI! 

We are striving to have all 2010 Membership renewals completed in a timely manner to prevent interruption in your TAPPI benefits. Please note that membership payment is due December 31, 2009. To renew online simply login to TAPPI's website (www.tappi.org) with your username and password and choose the Renew TAPPI Membership link in the Membership drop down listing on the home page.

For faster service you can renew your dues with a credit card over the phone by calling TAPPI's Member Connection Center at 1-800-332-8686(US), 1-800-446-9431 (Canada), or +1-770-446-1400.

New Multi-year Membership: Save time and money! Receive two full years of TAPPI membership for US $328, and save $20 off the list price; join for three years and save $42. Call Member Connection to take advantage of this offer.

Our members have asked for help in making a business case to management about the value of TAPPI Membership. Easy! Just check out the Value Proposition on page two of our membership flyer.

If you're not already a TAPPI member, this special offer makes TODAY a great time to join -- just give us a call. If you are already a TAPPI member, thank you for your support. Be on the lookout for your renewal notice, which will offer you a choice of multi-year memberships.

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Nominations are now open for management level awards through PIMA's prestigious and well-established industry awards program. All the awards recognize accomplishment and expertise in the field of management. The first three highlight leaders who have made significant contributions to the paper industry over time. The deadline for submission is January 31, 2010.

Nominations are open for the following awards:

  • PIMA'S Executive of the Year: PIMA's highest honor, traditionally presented to senior-level executives in the pulp, paper or converting industries for excellence in management and outstanding contributions to the industry as a whole.
  • Mill Manager of the Year: Recognizes the mill manager who has best demonstrated outstanding leadership, management, and organizational skills leading to improved results at the facility for which he or she is responsible.
  • The Brookshire Moore Superintendent of the Year: Recognizes the mill superintendent who has shown high personal standards and professional management qualities that contribute to the betterment of those under their management and in their company.
  • Technologist of the Year
  • Ray H. Cross Community Service Award
  • Delano L. "Del" Boutin Local Section Service Award
  • Thomas F. Sheerin, Sr. Service Award
  • IT Service Award
  • Kenneth H. Phillips Specialist Group Award
  • Student of the Year Award

The one-page Nomination Forms are available online, in both a printable PDF format or as an interactive online form. Complete award descriptions are also available online. Honor your peers, coworkers, and managers, and help promote management excellence in our industry, by making your nominations for PIMA Awards.

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Date: February 18-19, 2010
Location: Coosa Pines, AL

Gulf Coast TAPPI will offer a two-part program sure to deliver great ideas to your mill. The meeting will also feature a mill tour of Abitibi-Bowater in Coosa Pines.

First, the Corrosion & Materials Engineering Committee will be conducting a free, one-day Corrosion & Materials Engineering Seminar seminar on TIPs and topics relating to the identification and control of corrosion within the pulp mill processes. The Friday Technical Session will focus on topics relating to the Recovery processes.

Call for Papers: Gulf Coast TAPPI is looking for presentations, preferably with direct mill experiences or applied research, relating to the following topics, or other current topics in the recovery area:

  • Na/S; white/green liquor balance
  • Sulfidity purge strategies
  • Purge for chlorides
  • Dissolving tank controls
  • Black Liquor Evaporator operations
  • Liquor cycle impact on digesters, lime kiln, caustic plant, recovery boiler

If you are interested in presenting information for the benefit of our industry, please contact Chris Dietel at dietelc@dteenergy.com.

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2009 EPE Proceedings Now Available
TAPPI's 2009 Engineering, Pulping, and Environmental Conference in Memphis last October featured an excellent program of sessions designed to help mills run more effectively and efficiently. Thanks to TAPPI Press, even if you missed the conference, you won't have to miss out entirely: 2009 EPE Conference Proceedings are now available. Highlights include:
  • Business Trends that explored global shifts in supply and demand, along with worldwide investment trends within the industry.
  • A Pulping Track to help mills achieve high contribution, low-cost pulping operations without negatively affecting yield or quality. There were also separate sub-tracks for pulping, bleaching, recycling and non-woods themes.
  • An Engineering Track with four complete sub-tracks covering energy, power and recovery; corrosion and materials; biorefinery; and maintenance and mill operations.
  • An Environmental Track focused on how mills should respond to the shifting environmental and regulatory landscape.

The 2009 TAPPI EPE Conference Proceedings CD-ROM is fully searchable and includes the written papers, presentation slides, and poster session from most of the sessions. Check the online Table of Contents to learn more about this excellent value.

The List Price for this complete Proceedings is US$111; the TAPPI Member Price is only US$74 (a savings of 33%.) If you are not already a TAPPI member, you can join and receive the discount. For details, visit www.tappi.org/join.


Corrugators Have A New Safety Resource
Because safety requires ongoing effort, here is good news for corrugators looking for safety training. There is an important new tool called the SafetyFirst DVD.

Available in both English and Spanish, this DVD directly addresses safety concerns and safe practices in corrugated manufacturing facilities. It is a great source for training new employees and a valuable refresher for industry veterans. Topics included are:

  • General safety
  • Flexo folder-gluer safety
  • Diecutter safety
  • Stacker safety
  • Material handling safety
  • Corrugator safety

By special arrangement with the Association of Independent Corrugated Converters (AICC), TAPPI members can purchase this DVD for the same reduced rate as AICC members. Order details are online.

Special note: Disponible en español, también. Available in Spanish, too.


Logo gear makes great corporate gifts

Whether you're at the plant, visiting customers, or hitting the links, make sure everyone knows you're a TAPPI supporter. New TAPPI or PIMA logo merchandise looks good and lets potential contacts know that you're serious about your commitment to our industry. Logo items are also a great way to thank your boss for supporting your involvement in TAPPI and PIMA.

This collection of quality apparel includes polo shirts, woven shirts, caps, and wind shirts. Now available: Eagle Dry Goods Classic Polo Shirts, Eagle Dry Goods Classic Twill Shirts, Harriton Brand Caps, Harriton Brand V-Neck Microfiber Pullover Wind Shirt, and more. Visit the TAPPI Bookstore for easy, online ordering.

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"The man who does not read books has no advantage over the man who can not read them."
 
-- Mark Twain, American author

Share YOUR favorite advice -- about life, business, work or leadership -- by sending in a quote to share with other Over the Wire readers. Email your quote suggestions, along with your name and company information, to jbottiglieri@tappi.org. We value the input of our OTW readers.

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Ken Patrick Ramesh Gupta Larry N. Montague
Editorial Director International Editor President and CEO
770-209-7340 bsc_rcg@hotmail.com lmontague@tappi.org
kpatrick@tappi.org    
30 years' experience writing for the pulp,    
paper, packaging, and allied industries    
     
Karen Roman
Maria Luisa Valencia Eric Fletty
Production/Distribution Editor International Editor Vice President, Operations
770-209-7416 mlvalencia@une.net.co efletty@tappi.org
kroman@tappi.org    
     
  Shane Holt  
  Integrated Media Director, Naylor, LLC  
  352-333-3345  
  sholt@naylor.com  

TAPPI Over the Wire | 15 Technology Pkwy. S. | Norcross, GA 30092 USA | Voice: 770.446.1400 | Fax: 770.446.6947

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