Weekly Spotlight
SCA to Split into Two Listed Companies in 2017—Hygiene and Forest Products

Over the Wire

TAPPI

Member
Cristini
"Our hygiene and forest products businesses are two strong operations with attractive offerings in their respective industries. After a thorough analysis, our conclusion is that a split of SCA into two listed companies is the best way to continue to create shareholder value, customer benefits, and further development opportunities," noted Magnus Groth, president and CEO of SCA.
 
Tolko Closing Kraft Paper Mill in Manitoba, Canada, Ending 300+ Jobs
A Unifor official said efforts are being made to find another buyer. "I don’t disbelieve that Tolko has been losing money but I believe there is a future for the mill," said the assistant to Unifor's president. "Impact on economy in that area will be devastating... It becomes even more appropriate that all the stakeholders come to the table."
 
U.S. Federal Team Starts Tour of Maine Forest Products Industry
Donna Cassese, chairwoman of the Maine Pulp and Paper Association and a member of the team’s Maine committee, said after this past week's opening session that the industry is excited about the opportunity to use federal resources to grow and maintain the state’s forest products industry and attract new business.
 
Domtar Donates $100,000 to Office Depot Backpack Program for Children in Need
Contribution supports a foundation's distribution of 200,000 backpacks for children in need across the U.S. Through their Powerful Pages initiative, Domtar engages with organizations like the Office Depot Foundation, as well as with schools across North America to promote reading and writing materials for students.
 
G-P Donates $50,000 for Louisiana Flood Relief, Matches Employee Contributions
Hundreds of employees from the company's Port Hudson, La., USA, operations have been moderately to severely impacted—some of whom have lost everything. In addition, Georgia-Pacific is aiding employees there with additional emergency supplies.
 
Recruiting Billion-Dollar Sun Paper Mill Started With Breakfast
Seeking jobs for his state at the Southern Governors’ meeting in Hoover, Ala., USA, during a relatively routine breakfast, Mark Hamer found himself sitting next to an unassuming billionaire. "He said he was looking for pine trees," he said before replying "You’re talking with the right person because we have a lot of those in Arkansas."
 
The Boring Brown Box Gets a Colorful Makeover
This is a decent time for boxes. For decades, a stagnating economy and shift away from manufacturing flattened sales of corrugated/paperboard boxes. But in 2013, sales rebounded and have kept climbing, thanks to an improving economy and, analysts say, a fundamental shift in shopping habits. So now, they're getting fancy.
 
Will This Paper Saw Blade Cut Through Wood?
This could change the whole "rock-paper-scissors" equation... Papermaking is an ancient art, yet modern scientists are still discovering how the pulp based material can do amazing things, even seemingly defy the rules of physics by cutting through the same raw material (wood) it was made out of.
 
Submit Your Paper Machine Drying Rate Data for TIP 0404-07
Developed by TAPPI’s Drying Subcommittee in TAPPI’s Engineering Division, this TIP provides useful information to compare machine performance across the industry. Only drying rate and average steam temperature are needed. Submit your data today to be included in the next update.
 
Safety Hats - Direct Digital Manufacturing Services
Market Roundup
N.A. P&W Paper Demand Continues Decline
North American printing and writing paper demand was down 8.3% y/y; off 5% y/y through the first seven months of this year.
 
U.S. July 2016 Kraft Paper Shipments Decrease
Total kraft paper shipments in the U.S. during July were 133,000 tons, representing a fall of 10.6% compared with July of this past year.
 
Trade Tree Online Pulp Price Indices Down in August
BSK pulp is at 104.04 versus 104.11 in July. BHK pulp is at 99.0 versus July’s reading of 100.49.
 
U.S. Containerboard Output Edges Down in July
Total containerboard production was nearly a percent lower than July 2016 of this past year. Month-over-month average daily production compared with June 2016 was 0.3% higher.
 
CEO of Suzano, Moody's See Industry Consolidation amid Low Pulp Prices
He expected companies to cut production capacity because low pulp and paper prices are reducing profitability across the board. "Clearly there is an excess capacity that the market is unable to absorb," Schalka said at an industry event in São Paulo, Brazil.
 
July Boxboard Output by U.S. Producers a Mixed Bag
Total U.S. boxboard production in July 2016 decreased 2.5% compared with July 2015, but increased 2.2% from last month.
 
Universal Electric Corp.
Pulp & Paper
Grand Forks Straw Pulp Plant Construction Could Start in 2017
The new North American Green Pulp plant would create 30 to 40 local jobs, a city memo said. The plant would use straw to produce 35,000 tpy of pulp, which would then be used for paper and paperboard products such as pizza boxes.
 
Green Resources AS to Produce Pulp for Paper in Mozambique
Industrial production of pinewood and eucalyptus poles is due to start in 2017 and, according to the Green Resources business plan, the domestic market will be a priority to replace imports that are currently brought in from South Africa, Zimbabwe, and Swaziland. Pulp production is scheduled to begin in 2018.
 
Kawerau P&P Mill Claims Threat by Changes to Power Cost
Under New Zealand's Electricity Authority proposal, released earlier this year, some regions will have to pay more for the benefit of better infrastructure, as a fairer way to pay for the national grid. But this plan could threaten the ongoing viability of the paper mill, owned by Norske Skog, according to management.
 
PulpEye Delivers 100th DDA Tester
DDA is a dynamic drainage tester that gives drainage values comparable to drainage in a wire section. The tester is used by paper and board producers as well as chemical and filler suppliers around the world.
 
Klabin Has Siemens Supply Electricity, Steam for Pulp Mill in Brazil
The SST-800 has a capacity of 190 megawatts (MW), making it among the largest steam turbines in use in the P&P industry worldwide. The plant has a total capacity of 270 MW. Approximately 150 MW of electricity, or more than half of the total of 270 MW produced, is fed into the national power grid.
 
Resolute Sponsors World Champion Speed Skater Marianne St-Gelais
"This partnership reflects Resolute's values and our involvement in local communities," said Resolute President and CEO Richard Garneau.
 
Containerboard/Packaging
DS Smith to Invest EUR 10 million-Plus at Plant in Spain
The expected investment in the Madrid plant, over Euro 10 million, will without a doubt contribute to the objective to turn DS Smith into the leading company on the market in Iberia.The Iberia region is strategic for DS Smith. It's one of the main European markets in the corrugated board sector and has significant growth outlook.
 
Kotkamills Starts up Valmet-Rebuilt Board Machine in Finland
"Our BM 2 is the first machine in the world to have the capability to produce dispersion barrier coatings directly on the machine, producing barrier boards that can be recycled with normal paper waste due to having zero plastic content. The interest in our new sustainable products has been massive..." said Kotkamills' CEO.
 
Recycled Fiber Content in Corrugated Boxes Rise Due to Technology Advances
The recovered paper utilization rate in containerboard has been fairly stable in recent years, but it increased from 27% in 1990 to 47.3% in 2000 and reached 48.4% in 2015, according to the Corrugated Packaging Alliance.
 
New Products
Domtar Introduces New Cougar® Smooth 130 lb. Single-Ply Cover
Cougar 130 lb. single-ply un-pasted cover will have original item codes, effectively replacing the pasted double-thick cover. As inventory on the double-thick cover depletes, the company notified customers it will replenish with single-ply. Cougar Natural and Cougar Super Smooth 130 lb. cover will remain double-thick.
 
Evergreen to Introduce Fully Renewable Cup Stock With Bio-Based Polyethylene
New cup stock uses sugarcane-based polyethylene supplied by Braskem. Combining renewable paperboard supplied by Evergreen Packaging with a renewable sugarcane-based polyethylene coating offers customers a unique, innovative, fully renewable cup stock option.
 
Verso Offers Microwave Popcorn Bag Producers New Option with GlazeArmor™
lightweight uncoated machine-glazed OGR paper designed to provide aggressive grease holdout for both inner and outer ply layers of microwave popcorn bags, offering kit grease resistance levels ranging from Kit 6 to 12 as well as excellent runnability and performance for high-speed converting and packing operations.
 
Verso Introduces "Life, Liberty and the Pursuit of Great Paper" Promotion
Promotion Features Liberty Line's aesthetics, breadth, and flexibility for commercial printing applications.
 
Sustainability
Plastic Recyclers Approve UPM Raflatac Wash-Off Adhesive for PET Bottle Labels
"Meeting APR standards is truly a significant step for UPM Raflatac in demonstrating the company’s commitment to the environmental impact and recyclability of its products," said Daryl Northcott, Director, Films & Specials Business, Americas, UPM Raflatac.
 
Intertek Helps Bring Paperboard Recyclable Coffee Cup to Market
The innovative cup is now being trialed by some of the world’s major coffee brands. Intertek partnered with entrepreneur Martin Myerscough's Frugalpac to establish the viability of their proposed recyclable cup, conducting and managing recycling trials, testing the cup’s performance, and measuring the carbon footprint.
 
Energy
Hemp Processing Takes Steps to Become Rich Cellulosic Ethanol Source
Hemp is explored as an additional raw material for biofuels, namely cellulosic ethanol, which uses a plant’s cellulose instead of oil (traditionally extracted as Hemp fuel) or the sugar it contains to produce fuel. Growing hemp may help offset carbon neutral biomass fuel competing with trees altogether for P&P industry production.
 
Maine Trees Could Fuel Military Jets if not for Oil Costs at $40 a Barrel
A fundamental challenge cellulosic biofuel has to overcome in the short term before it can leap into commercialization is a prolonged slump in the price of oil. Crude has fallen from $100 a barrel in 2014 to $41.16 this year, and prices are forecast to remain low into 2017, according to the Energy Information Administration.
 
People
Abella Named VP, People, for BW Container Systems
Jennifer Abella joined Barry-Wehmiller in 2004 as an organizational development specialist on the organizational empowerment team. She most recently served as the director of culture and people Development (CPD) for BW Container Systems, which is part of Barry-Wehmiller.
 
AWT Labels & Packaging Announces Personnel Changes
Nancy Brake has been named VP of operations at the company’s South Elgin facility; Brad Beskau, has transitioned from label development/project manager to sales; and Nan Jaeger joined AWT Labels this past June as its new human resource manager.
 
Green Bay Packaging Appoints Brinton as Baltimore Sales Executive
In her new position, Katherine Brinton is responsible for developing and strengthening new and existing customer relationships for business in the Baltimore and Mid-Atlantic market. She comes to GBP with nearly ten years of corrugated paper sales experience.
 
TAPPI News
TAPPI Launches New Online Forum
TAPPI Connect provides a convenient, simple method for members, consultants, and volunteers to collaborate, share knowledge, and expand their personal and professional networks.
 
Build Up Your Basics with Tissue 101 in October
Could you or someone you know benefit from a big picture view of the tissue and towel making manufacturing process? This course helps deliver confidence for many professionals working in operations today.
 
TAPPI News Fully Delivers to More than 40,000 in Our Industry!
The association would like to remind everyone who receives this newsletter that all items in the TAPPI News section are available in full detail for both members and non-members! Just remember to click the link to "learn more..." to get full information about each TAPPI News story.
 
Creative Financing for Bioeconomy Projects at IBBC
Are you interested in converting your pulp mill into a biorefinery but not quite sure where to start? Attend IBBC 2016 and gain insight on what "techno-economic" analysis tools are available for pulp mill integrated biorefineries as well as mechanisms for financing bioeconomy projects and new technologies.
 
TAPPI Press Book of the Month: Critical Thinking in Converting
This month’s featured publication illustrates problem solving techniques in the converting process.
 
TAPPI Career Center: Rayonier Advanced Materials seeks Industrial Engineer.
Rayonier Advanced Materials is currently searching for an Industrial Engineer at its Jesup, Ga., USA, location.
 
Advanced Coating Symposium to Converge on Innventia Headquarters
Don’t miss the leading conference for the discussion of successes, failures, and best practices employed to bring the best laboratory concepts to commercial reality at the Advanced Coating Symposium, October 4-6, 2016 in Stockholm, Sweden.
 
Processing Wood and Bio-Based Fibers - Latest Technologies
Register today to learn about the latest in processing wood and bio-based technologies at the 4th International Conference on Processing Technologies for the Forest and Bio-based Products Industries (PTF BPI).
 
TAPPI Press to Perform Inventory Audit
TAPPI will be performing its fiscal year-end inventory audit starting August 23. As a result, TAPPI Press orders will not be processed from August 23 through August 31.