Weekly Spotlight
Industry Intelligence Releases Valuation of P&P Industry

Over the Wire

TAPPI

August 20, 2015
GapCon
Valuation roundup report provides insight into whether a company is undervalued or overvalued through enterprise multiples, which go beyond a company's market capitalization by taking its net debt into consideration.
 
Verso Announces Major Reductions in Coated Paper, Pulp Production Capacity
Actions at Androscoggin and Wickliffe mills will reduce production capacity by 430,000 tons of coated paper and 130,000 tons of dried market pulp.
 
Agenda 2020 to Hold Advanced Manufacturing Technology Workshops This Fall
Several research workshops in September and October will support the development of breakthrough technologies to achieve dramatic increases in energy and resource efficiency in manufacturing, and to develop new products from biomaterials.
 
Domtar's Paper Made Here Documentary Wins Three Telly Awards
Domtar's inspirational short video received a Silver Award for Best Corporate Image, a Bronze Award for Best Creative Director, and a Bronze Award for Best Editing.
 
Tissue 101 Course—Space Still Available
In TAPPI's most popular tissue course, you will increase your understanding of tissue properties and how they are impacted by the manufacturing process. The course offers an introductory level curriculum designed for anyone new to tissue or who needs to strengthen their existing knowledge to help or train others.
 
Free TAPPI Webinars on Tissue Topics
Don't miss your chance to immerse yourself in several educational webinars on specific tissue topics. The archived versions are free to TAPPI members who login to the website.
 
Tissue360° Forum Invites Speakers
Mill personnel, R&D professionals, suppliers, students, and academics will participate in a diverse, forward thinking program. Be part of the only peer-reviewed tissue technical program in North America!
 
Market Roundup
U.S. Kraft Paper Shipments up in July
Total kraft paper shipments in July were 147,200 short tons, 9.4% higher than in July 2014.
 
Finland Pulp, Paperboard Output Grows in First Half
PW paper output remained steady from 2014 levels, but softwood sawn timber production shrank.
 
U.S. Sanitary Paper Price Index Edges Higher
The U.S. sanitary paper price index increased in July, representing the first rise in 10 months, according to the U.S. Bureau of Labor Statistics.
 
Naylor Association Solutions
Pulp & Paper
APP to Retire Commercial Plantations on Tropical Peatland to Cut Carbon Emissions
Company is committing to retire some 7,000 hectares of commercial plantation areas to protect threatened carbon-rich peatlands, the first time that plantations on tropical peatland have been retired for conservation purposes worldwide.
 
Australian Paper, Valmet Sign Multi-Year Maintenance Agreement for Maryvale Mill
New technical support agreement, which will focus on providing onsite maintenance technical advice and expertise to the mill's maintenance organization, replaces the old maintenance agreements between Valmet and Australian Paper.
 
G-P spends $20M on Memphis Plant Upgrade
The facility exports about 70% of its product, employs about 200 workers in the research center and mill, which was upgraded by this investment to boost productivity, safety, and quality of the material it makes.
 
Hansol Paper to Acquire R+S Group in Germany
Acquisition will optimize the product mix between Schades and R+S Group and improve operational efficiency of the group's converting business in Europe.
 
Huanggang Chenming Orders Valmet Equipment for New Pulp Mill in China
Pulp mill is designed for flexible production to respond to market development, and the pulp line can be run to produce softwood kraft pulp and dissolving pulp, depending on the market needs. New mill is expected to start up in 2017.
 
Pacific Ag Expands Wheat Straw Harvest Operations to North Dakota
Through its experienced, controlled approach to harvesting, Pacific Ag is able to ensure a high product quality and timely delivery to customers across the region.
 
SCA to Close Tissue Production Plant in France
Company will close the tissue production plant in Saint-Cyr-en-Val, France, as part of its ongoing cost-savings program related to the acquisition of Georgia-Pacific’s European tissue operations.
 
Verso Addresses Additional NYSE Continued Listing Standard
The New York Stock Exchange has notified Verso that it has fallen below the NYSE's continued listing standard requiring that Verso's average market capitalization be at least $50 million over a consecutive 30-trading-day period. As of this past August 13, the date of the NYSE notification, Verso's average market capitalization over the past 30 consecutive trading days was approximately $44.2 million.
 
Naylor Association Solutions
Containerboard/Packaging
U.S. Containerboard Output Creeps up in July
Production was 1.8% higher than in July of last year, according to the AF&PA (Washington, D.C., USA) "July 2015 U.S. Containerboard Statistics Report."
 
DS Smith Cuts Maintenance Costs at Italian Containerboard Mill with Voith OnQ Profilmatic
The Lucca mill was experiencing inconsistent paper profiles and wrinkles due to the former actuator control of the existing control system of its PM 2. Voith recommended the OnQ Profilmatic cross profile control software, which is part of its modular and flexible Voith ComCore platform to optimize the shape of the profiles.
 
PPC’s Paperboard Packaging Competition Reveals Trends in Design
Package designers are turning to bold, unconventional structures that stimulate imaginations and kindle desires. This year’s entries also displayed a previously unseen level of graphic and finishing techniques. There have also been new innovations for stackable carton design.
 
New Products
Kemira’s New Kemview Sheet Structure Analyzer
Field support tool provides unique insight into the tissue sheet structure, with the ability to easily measure crepe bar frequency and count, as well as bar length and height.
 
Optest Surface Roughness Measurement of Tissue
Using advanced optics and algorithms, the OpTiSurf quickly quantifies the optical roughness of an entire sheet.
 
Papertech Acculog Ensures Tissue Log Accuracy
Software allows tissue producers to fully automate paper log measurement to 1 mm diameter before arriving in the packaging line.
 
Naylor Association Solutions
Published Pricing
Caraustar Raises Price on All Tubes and Cores, Protective Packaging
The increase of at least 6% is required to recover escalating costs, including paperboard, other raw materials, labor and benefits.
 
Portucel Soporcel to Hike Uncoated Woodfree Prices in Europe
Strong pressure on the industry's cost structure, continuous profitability deterioration, and high operating rates have made the current prices unsustainable, the company noted. The increase, effective September 1, will be between 4% and 8%.
 
Sonoco Increases Price for Uncoated Recycled Paperboard Products
"The price increase is driven by recent increases in costs for recovered paper, chemical, and other operating costs," said Palace Stepps, director of sales and marketing for Sonoco’s North America paper business. The price increase will be effective August 31.
 
People
Klabin CFO Alfano Named 2015 CFO of Year by Latin Trade
As Brazil faces challenging economic times, Alfano has successfully driven Klabin's finances with a sound and agile strategy, making extraordinary use of the company's assets, and as a result, this year Klabin posted a strong 24% EBITDA growth
 
Pöyry Appoints Porta President, CEO
Porta joins Pöyry from Siemens Corp. where he is currently CEO of Siemens Building Technologies in Europe. Previously, he held leadership positions at Siemens spanning European, Asian, Middle Eastern, and Latin American countries.
 
TAPPI News
2015 PEERS Offers New Tutorials for Career Development
The 2015 TAPPI PEERS Conference, October 25-28 in Atlanta, Ga., USA, offers career development with brand new tutorials.
 
In Memoriam: John Walkinshaw
An active TAPPI member and a past technical editor for TAPPI Journal, John was a member for 46 years who always enjoyed volunteering for the association. In 2013 he was named a TAPPI Fellow.
 
2015 TAPPI Peers Features Five New Panel Discussions
The 2015 PEERS Conference features five new panel discussions. Gain first-hand knowledge of new solutions and best practices through a series of important and lively panel discussions at the TAPPI PEERS Conference, October 25-28 in Atlanta, Ga., USA.
 
Tour API Biorefinery at IBBC in October
TAPPI’s International Bioenergy and Bioproducts Conference will feature a tour of API’s Biorefinery during October’s conference.
 
Present at 2016 Tissue360° Forum
TAPPI's Tissue360° forum is seeking forward-thinking speakers and ideas for the upcoming program.
 
Recruit Talent at TAPPI/PIMA Student Summit
More than 100 talented Students will be attending the summit.Take your recruiting efforts to the next level in January 2016.
 
TAPPI Press Performs Year-End Inventory at End of August
Orders received from August 25 to 31 will be shipped in the order they have been received starting September 1. All normal payment processing will resume on September 1.
 
Don't Miss the Summer Discount at TAPPI Press
For a limited time, until August 31, customers of TAPPI Press can save half-off any purchase from the book store by using the special summer promo code.
 
PPSA Presentents Intro to Industrial Hygiene Course
Gain a solid introduction and practical information on identification, measurement, and control of primary IH hazards at this September 16-17 course.
 
RISI: Woodchip and Biomass Shipments Continue to Smash Records
While woodchip shipments continue to be impressive, the growth in the wood pellet trade has been astounding.