Voith Paper

Over the Wire

TAPPI

Metso Paper
Weekly Spotlight
Tomorrow, Friday, October 8, is the final day to receive the early bird discount—$100 off of the full conference fee—for the Specialty Papers 2010 Conference, November 10-11, in Chicago, Ill., USA. This year's event, produced again by TAPPI and Pira International, is the only global conference devoted exclusively to latest developments in the specialty papers sector. Last year's inaugural event attracted some 150 industry leaders from more than 20 countries.

Located at the Hotel Allegro Chicago, Specialty Papers 2010 features a line-up of speakers and expert panelists from around the world reporting on new and emerging trends, technologies, and operating floor breakthroughs in specialty paper production and end use markets. Topics being explored range from pulp fiber morphology, nanocrystalline cellulose applications, and para aramid pulps to the use and development of anti-microbial agents and low cost conductive nonwovens; printed electronics innovations, and the collective sustainability challenges and opportunities for specialty paper producers

At Specialty Papers 2010, you will have the opportunity to network with leading companies in the specialty papers arena. Sample attendee titles include head of R&D, paper technology manager; VP of new business and technology, president; marketing manager, and more. Join companies such as:

Ahlstrom Research & Services
Boise Inc.
Boise Paper
Buckman Laboratories
Business Development Advisory Buttonwood Consulting
Cascades Fine Papers Group
Chlorine Free Products Association
Daikin America.
Domtar Paper Co.
Domtar\Eddy Specialty Papers
Dovetail Partners
DuPont
Finch Paper
FPInnovation Paprican
Hewlett Packard
Imerys Minerals
Interface Solutions
International Microbial Associates
Kelheim Fibres GmbH
Kimberly-Clark
Klass Associates
Knowlton Technologies
Kruger
Lubrizol
Mallard Creek Polymers
Metso Paper
NanoStatics
Neenah Paper C.
OmNova
Omya
Paper On Web
Pira International
POM Technology Oy
Rodencal Paper Consulting
RohmNova/OmNova Solutions
Sappi Fine Papers
Sekisui Specialty Chemicals AmericaSodra
Sodra Cell Morrum AB
Styron
Suntech Resources
TAPPI
Teijin Aramid BV
Teijin Aramid GmbH
Teijin Aramid USA
Thilmany Papers
Verso Paper
West Linn Paper Co.
Western Michigan University
Yash Papers.

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The latest Industry Market Barometer (IMB) from ThomasNet, New York, NY, USA, indicates that North America's industrial/manufacturing companies are growing, hiring, and making new investments. ThomasNet conducts a semi-annual survey of engineers, purchasing agents, owners, managers, and sales and marketing executives in the manufacturers, distributors and service companies that make up the industrial sector. The survey measures company growth and decline, as well as successful strategies and the segment outlook. The survey began tracking industrial companies, mostly small and midsized, in January 2009. More than 3,200 industry professionals participated in the latest survey.

The percentage of survey respondents reporting growth has increased from 17% for the first half of 2009 to 27% reporting growth for the second half of the year. During the first six months of this year, 45% of respondents said their businesses grew. During those same time frames, the percentage of respondents reporting a business decline has dropped from 54% to 41% to the current 19%.

Sixty percent of respondents predict growth for the rest of 2010, and 8% of those that are already growing expect it to continue. This growth is fueling the creation of new jobs, with 34% of respondents saying they plan to hire again this year.

ThomasNet found that companies are investing in technology (40%), facilities/renovations (37%) and capital equipment (36%) during the second half of this year. Survey respondents reported their top strategies for success: developing business in new U.S. geographies, developing innovative products and services, pursuing business in new industries, and increasing online marketing.

Full results of the Industry Market are available online.

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Asia Pulp & Paper (APP) is partnering with Carbon Conservation to turn pulpwood plantation land into a carbon reserve in Jakarta, Indonesia.To create the Kampar Carbon Reserve in Sumatra, more than 15,000 hectares of deep peat carbon sink were reallocated to be conservation land used to preserve significant amounts of carbon.

Investor purchases of REDD-Plus credits will put millions of dollars into local job creation and community development programs in the indigenous communities surrounding the land. These programs will help reduce the pressures that local communities exert on the forest, yet allow local residents to improve their livelihoods.

Dorjee Sun, CEO of Carbon Conservation, noted that this is the first real attempt by a pulpwood producer to measure the difference in carbon conservation between what would have happened in its existing state, what would happen in a pulpwood plantation scenario, and what will happen after preservation.

"Innovation in environmental development has to be closely connected to economic development to make a real impact. The current plan is to protect this land for at least the next 30 years, but just as important is that it will be a highly productive contributor to local community development and reduction in greenhouse gas emissions," said Sun.

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Market Roundup
Market pulp prices appear set to decline this month, according to Mark Wilde, senior analyst with Deutsche Bank. Wilde notes that "while no other major producer announced a price decrease after Canfor's announcement of $20/metric ton price cut on NBSK, we are hearing of reports that others may announce similar price cuts."

On the hardwood side, Latin American producers Fibria (No. 1 producer in the world) and Suzano last week announced flat global prices on BEK for October. With buyers pushing for a $40 - $50/metric ton price decline this month, it's going to be a battle, Wilde says.

The August global market pulp data (higher inventories and lower shipments) suggest that buyers should have the bargaining power to drive down prices. Reports of producers offering ˜$25/metric ton discounts in South Korea also lends credence to this argument. "We also note that Terrace Bay restarted its 350,000 tpy NBSK mill in Ontario this week," Wilde reports.

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In the North American containerboard arena, following recent price backtracking in August (taking linerboard from $680 to $640/ton), the near-term focus has shifted to defense, Wilde points out. The risk is that prices could begin to ease, he adds, "especially as we approach the seasonal doldrums around year-end. Our discussions with trade contacts suggest that the market appears to have a bit more slack than the August operating rate and inventory numbers would suggest. We are starting to hear some reports of ‘deals' being offered on ‘side rolls' and other products.

"Having past the seasonally high period of maintenance downtime (Q2) and with all the macro data pointing to an easing in rate of economic expansion, we think the industry will be forced to announce more downtime during the fourth quarter to keep inventories in balance. Domestic OCC prices continue to rise, reportedly as much as +$15/ton m/m," Wilde says.

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The North American uncoated free sheet market is "OK - nothing more," Wilde explains. Prices appear slightly under pressure. "We are hearing reports of some spot deals on both cut-size and offset rolls. UFS list price in September remained flat at August levels. Prices for both offset and repro bonds are up $45 - $50/ton from the $60/ton hike announced in May. pricing gains over the Past five months have been driven by tight supply, even as overall demand remains sluggish.

August shipments were slightly better, +4.1% m/m and -2.4% y/y (July = -2.1% m/m and -5.7% y/y), Wilde reports. YTD shipments are now marginally lower than year ago levels (-0.2% y/y). Between the two grades, UFS roll shipments appear stronger due to recovery in commercial printing, while cut-size shipments are still hit by high unemployment levels.

"On a positive note, the downturn in market pulp has been more measured than we expected, alleviating the risk that a sharp downward correction in pulp prices could ripple thru to paper prices," Wilde notes.

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As with LWC, the tenor of the CFS market in North America has been improving. List prices for most of the grades rose $10 - $25/ton in September, according to Wilde. No. 3, 60-lb rolls rose $25/ton to $930 - $1,000/ton. Verso, NewPage, Sappi NA, and Appleton have all announced $40 - $60/ton price increases, effective mid-September/early-October. August shipment data suggests volumes rebounded from slightly weaker July levels—+10.7% m/m, +14.6% y/y, and YTD +21.8% y/y. Thermal POS coated paper prices rose for the third straight month in September—+2.5% m/m, Wilde says.

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Chesapeake Energy Corporation
Pulp & Paper
Canfor Corp., Vancouver, B.C., Canada, reported this week that the Howe Sound Pulp and Paper Limited Partnership (HSPP) has completed the sale of all its operating assets to Howe Sound Pulp and Paper Corp., a newly formed subsidiary of Paper Excellence B.V. The principal asset of HSPP, equally owned by Canfor and Oji Paper Co. of Japan, was the pulp and paper facility at Port Mellon, B.C., capable of producing 400,000 metric tpy of NBSK pulp and 230,000 metric tpy of mechanical paper.

Canfor is an integrated forest products company with operations in British Columbia, Alberta, Quebec, Washington state, and North Carolina and South Carolina in the U.S. The company produces primarily softwood lumber and also produces oriented strand board (OSB), remanufactured lumber products and specialized wood products. Canfor also owns a 50.2% interest in Canfor Pulp Limited Partnership, which is one of the largest producers of northern softwood kraft pulp in Canada and a producer of kraft paper.

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Domsjö Fabriker, Örnsköldsvik, northern Sweden, plans to invest some 300 million kronor to modernize equipment in the debarking facility and add another lignin dryer. The company previously invested 850 millionkronor in the plant between 2000 and 2009.

Adding a second lignin dryer to the first one, which began operations in 2009, will double the company's capacity for dry lignin. The investment in the debarking facility is a step toward producing 255,000 metric tpy of specialty cellulose. Domsjö is strengthening its position for specialty cellulose in the Chinese market.

Domsjö Fabriker says it also is continuing to move forward with plans to build a plant for the production of biofuels.

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Domtar Corp., Montreal, Que., Canada, reports to have sold its Woodland hardwood market pulp mill, hydro electric assets, and related assets, located in Baileyville, Maine, and New Brunswick, Canada, to International Grand Investment Corp. (IGIC). The purchase price is for an aggregate value of $60 million plus net working capital of $4 million. All customary closing conditions have been met.

"The sale of the Woodland mill is part of our strategy to reduce our exposure to hardwood pulp markets. The majority of our market pulp activities are in softwood and fluff pulp grades," said John D. Williams, president and CEO. "Woodland, an early adopter of FSC certification as well as ISO 9000 and 14000, has been responsibly manufacturing quality pulp for several decades. We concluded that this transaction was in the best interest of the company, in terms of strategy, and for the mill as it continues the employment of its dedicated workforce."

Woodland was Domtar's only non-integrated hardwood market pulp mill. It has an annual production capacity of 395,000 metric tons and currently employs some 300 people.

IGIC is a U.S.-based Delaware registered company that represents international, individual investors in pulp trade and imports. This is IGIC's second pulp mill acquisition in the U.S. this year. IGIC says that it is committed to maintaining and enhancing the Woodland mill's PEFC and FSC certifications, "to ensure sustainable and responsible fiber sourcing."

Domtar is the largest integrated manufacturer and marketer of uncoated free sheet paper in North America and the second largest in the world based on production capacity. It is also a manufacturer of paper grade, fluff, and specialty pulp.

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The Lindenmeyr Munroe division of Central National-Gottesman Inc. (CNG), Purchase, N.Y., USA, has acquired the assets and business of Frank Parsons's Fine Paper Division, a leading independent paper merchant in the mid-Atlantic region.

Included in the purchase is the company's entire fine paper operation, with seven locations, and six wholesale paper stores.

Central National-Gottesman Inc., an international marketer of pulp and paper, expects to double its mid-Atlantic sales as a result of the acquisition. The company has sales offices in 28 U.S. cities and 20 countries. CNG operates several divisions, including Central National, a global provider of pulp, paper, and packaging, and Lindenmeyr, the largest independent paper distributor in the U.S. The company's sales of pulp and paper exceed $3.5 billion annually.

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Fortress Paper Ltd., Vancouver, B.C., Canada, has entered into dissolving pulp supply agreements with two producers of viscose fiber (rayon) products in China. The company will supply about 84,000 air dried metric tons (ADMT) of dissolving pulp per year at a purchase price based on prevailing market prices in China. Minimum and maximum prices are set at $1,200 per ADMT and $1,600 per ADMT, respectively. Fortress will begin to supply dissolving pulp in the third quarter of 2011, and continue for a five-year term with both companies.

The Fortress Specialty Cellulose Mill in Quebec, Canada, will supply the dissolving pulp. The mill is expected to have an annual production capacity of more than 200,000 ADMT when it is completed in mid-2011.

Chadwick Wasilenkoff, CEO of Fortress Paper, noted that "these dissolving pulp supply agreements will provide a hedge against potential volatility in future dissolving pulp prices, which we believe should provide greater normalized operating results in this segment."

An international producer of security and other specialty papers and products, Fortress Paper operates three mills, including one in Switzerland and one in Germany. The company's security papers include banknote, passport and visa papers and its specialty papers include non-woven wallpaper base products, and graphic and technical papers. Fortress Paper's pulp business includes NBHK produced at the Fortress Specialty Cellulose Mill, with plans to convert this capacity into dissolving pulp production along with the construction of a biomass-based cogeneration plant.

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Citing an inability to raise needed funds, Freshwater Tissue Co. reports that it will not restart its Samoa, Calif., USA, pulp mill. Freshwater had hoped to convert the mill to a pulp and toilet paper facility, but was unable to secure the money to do so. Those attempts to give the mill a new life followed an October 2009 announcement that it would close permanently.

In February 2009, Freshwater bought the plant from Evergreen Pulp Inc., which had bought it in 2005 but shut it down when the pulp market declined. Georgia-Pacific Corp. once owned the mill, but longtime owner Louisiana-Pacific Corp. may be held accountable for the cleanup of groundwater contamination at the site.

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Global pulp manufacturing company Mercer International, New York, N.Y., USA, announced this week that its Celgar mill in British Columbia, Canada, has completed a 72-hour performance test on a new turbine in its Green Energy Project. As part of the project's commissioning and optimization phase, the test is required under Mercer's power purchase agreement with BC Hydro. Test results and other required documentation were submitted to BC Hydro for approval of commercial operation status.

Following BC Hydro's confirmation of the receipt of all necessary documentation, Mercer expects that commercial operation status under the EPA will be set retroactive to September 27, and all power generation from that point will be recognized at Bioenergy rates.

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Myllykoski, Finland, reports that it will invest in more energy-efficient mechanical pulping technology to decrease energy consumption in the virgin fiber grinding process at its mills, which is a major energy consumer in the production of paper. By the end of this year, one-fourth of the company's pressure groundwood capacity will be using the new technology. The company plans to have the new technology installed in all of its pressurized groundwood mills by 2011 or 2012.

As part of its efficiency and sustainability programs, Myllykoski says it continues to do research in the field of mechanical pulping to find advanced solutions for producing paper.

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Ningxia Bauhinia Paper Co., China, has signed a contract with Toscotec, Italy, to install a new Ahead 1.5M crescent former tissue machine with a daily output of 80 metric tpd at its mill in Yinchuan (Ningxia province). The new line will startup in the second half of 2011.

Bauhinia, founded in 1989, is part of the Ningxia Zijinghua Group. The company started as a township enterprise and currently has an annual production capacity of 120,000 metric tpy with 2,600 employees and ranks among the top 10 tissue producers in China.

Bauhinia notes that as a "socially responsible" enterprise, the company dedicates itself to environmental treatment and has recently carried out relevant investments in this area, focusing particularly on energy savings issues. In 2007 Bauhinia invested RMB 300 million to build a new 50.000 metric tpy straw pulp line and in 2009 installed a new crescent former machine. With the new Toscotec machine section of the energy-efficient Toscotec ES line starting up next year (as part of a larger expansion project), Bauhinia will become the main tissue producer in Western China.

Toscotec's supply includes the Ahead 1.5M crescent former tissue machine with a single-layer headbox and double press configuration, 15-ft steel yankee dryer with a steam heated hood, machine auxiliaries, approach flow system, and the electrification and control system. Machine speed will be up to 1,500 m/min with a net trim width of 3,450 mm.

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SCA, Stockholm, Sweden, has completed its acquisition of the Copamex diaper business in Mexico and Central America. The purchase price is roughly equivalent to $50 million on a debt-free basis. The company already has several strong market positions within the hygiene products segment, with its tissue, feminine and incontinence protection products. The acquisition adds diapers to SCA's product portfolio in Mexico and Central America.

A global hygiene and paper company, SCA develops and produces personal care products, tissue, packaging solutions, publication papers and solid-wood products. SCA products are sold in 100 countries. Sales for 2009 were SEK 111 billion (EUR 10.5 billion).

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Stora Enso, Finland, this week said it may reach a decision yet this year on whether to build a pulp mill in Uruguay. In remarks to a Finnish business magazine, Stora Enso CEO Jouko Karvinen noted that if the company decided to build the mill, it would be a couple of years before its machines would be running. Karvinen criticized the chronic overcapacity of papermaking in Europe, and said that a plan to build a pulp and fine paper mill in Russia is still on hold. However, Stora Enso is in discussions about extending a pulp mill in Brazil, he added.

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As part of its continuing expansion ito solid biofuels, Stora Enso, Finland reports that it is investing EUR 10 million to start pellet production at its Imavere Sawmill in Estonia. This investment is expected to enhance the Imavere sawmill's long-term competitiveness. The project will begin in the fourth quarter of this year and is to be completed in the fourth quarter of next year.

Stora Enso wants to become the leading integrated supplier of pellets in Northern Europe. With this investment, the company is targeting industrial and residential customers through existing distribution channels.

The plant's annual capacity will be 100,000 metric tons of pellets. Production of the pellets will be fully self-sufficient in raw material and will use by-products from the sawmill. Stora Enso Wood Products already produces pellets at four sites in Sweden and Russia with a total annual capacity of 310,000 metric tons.

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Installation of Voith Paper, Germany, SkyTop doctor blades on PM 1 at Stora Enso's Eilenburg, Germany, mill is being credited for increasing the roughness of the central press roll by 0.1 µm, leading to a better sheet release and lower draw. Lower draw in the press leads to higher speed of the paper machine and fewer paper breaks, the company notes.

SkyTop doctor blades are designed for cleaning and conditioning of the roll surface in sections with extreme mechanical loads, such as the press section. Voith Paper notes that its best fit for the press section is the TerraSpeed thermal coating combined with the SkyTop doctor blade.

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Containerboard/Packaging
Packaging Dynamics Corp., Chicago, Ill., USA, has acquired the business operations of Marcal Chicago LLC, an affiliate of Elmwood Park, N.J.-based Marcal Manufacturing. Marcal Chicago manufactures and markets a broad range of specialty packaging products for foodservice, restaurant and supermarket customers.

"The sale of our Chicago operations fits ideally with our strategy to focus on Marcal's core, growing business in household paper goods made from 100% recycled paper," said Shawn Lederman, CEO of Marcal Manufacturing. "With an exceptional leadership team and deep industry experience, Packaging Dynamics is the ideal home for those operations' products, customers, and most important, for its dedicated and talented staff."

Roger Prevot, Packaging Dynamics' CEO, noted that "the acquisition of Marcal Chicago is an exciting step in the development of Packaging Dynamics. Marcal Chicago provides a number of strategic benefits to our BagcraftPapercon food packaging business, including a broader product line, an expanded customer base, and a well respected brand."

Packaging Dynamics is a specialty papers and flexible packaging company with operations in three business units—BagcraftPapercon, International Converter, and Thilmany Papers. It is a portfolio company of private investment firm Kohlberg & Company.

The Marcal Small Steps line of paper towels, bath tissue, facial tissue, and napkins made from 100% recycled paper are produced at the company's Elmwood Park tissue mill.

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Packaging Solutions Holdings, Inc., New York, N.Y., USA, the new packaging company formed by Wellspring Capital Management and industry veteran Harold Bevis, has announced that it will build a new state-of-the-art, greenfield packaging plant in the Midwest. The company plans to begin operations of its new plant in mid-2011, with a location to be decided shortly.

The new plant will design and manufacture food and medical packaging using new tandem-head, multi-layer extrusion laminating equipment; quick-change, new 10-color printing press equipment; new high-speed winding equipment; and new laser scoring and laser perforating equipment.

"The addition of the new machines in this plant and our $20 million investment in the new facility underscores our commitment to building a new high-end packaging company and our plan to grow it through capacity expansion, greenfield investments, organic growth, and synergistic acquisitions," said Harold Bevis, chairman and CEO of Packaging Solutions Holdings.

The new plant will operate as a new division of Jen-Coat, an operating division of Packaging Solutions Holdings. The equipment will be custom-made by Davis-Standard, LLC Converting Systems and then modified in-house by Jen-Coat personnel. The new location will also be able to produce almost all of Jen-Coat's current product lines and provide back-up plant capability. The new location in the Midwest will complement the Westfield, Mass., location by providing faster service for customers in the West, Midwest, and Southwest U.S. and Western Canada.

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In an interview in SCA Packaging's customer magazine, President Michael Cronin said SCA will place the most emphasis on established key markets, like Germany and France, and fast-growing markets in eastern and central Europe. SCA Packaging is on the road to increased profitability, thanks to a better cost structure, greater transparency, and increased focus on selected markets, said Cronin, who became president of SCA Packaging in the spring. "We already have good strategies. Now the goal is to implement them faster and more efficiently," Cronin said.

The company's strategies can vary from being a total solution provider to a pure packaging provider in different markets. "There's no reason to act the same in every market. What's important is taking into consideration the different needs and conditions that exist."

"In the West, our strongest market position is in the food industry, while in eastern and central Europe it is mainly packaging for electronic products and auto parts," Cronin noted.

SCA Packaging is the second-largest supplier of corrugated board in Europe and a market leader in packaging design.

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New Products
MeadWestvaco Corp., Richmond, Va., USA, is introducing its Captivate family of shopper-ready packaging systems at the 2010 Shopper Marketing Expo in Chicago this week. This new system includes prefilled paperboard cartridges that can be used for shipping, display and re-stocking on store shelves.

Captivate shopper-ready packaging systems can be customized to fit the size and shape of both the products and shelf space. It is also a multi-pack solution that can reduce co-packing costs.

"Brand owners and retailers can lose a great deal of potential profit due to poor brand visibility on shelves and stocking inefficiencies," said David Hayslette, director of retail excellence at MeadWestvaco. "Our Captivate system creates a better experience for the shopper, retailer and brand owner. Each cartridge provides a 200% - 300% larger billboard for the brand to showcase its product, as opposed to just the small label space on stacked cans, for example. This makes it easier for shoppers to identify and access the product they're looking for. Retailers benefit from higher productivity per square foot, as Captivate maximizes shelf space while reducing the number of man-hours required to maintain store shelves."

The Captivate system does not require each individual product to be stocked by hand. Engineered to work with existing retail shelves, Captivate allows retailers to efficiently manage product turnover by improving labor costs and dispenser loading time. Each paperboard-based carton, which is used for both shipping and display, is placed on top of a refillable dispenser. When the restocking indicator shows product is running low, the carton can be opened without the use of tools and replaced quickly and efficiently.

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People
Metso, Finland, this week said that its executive VP and CFO Olli Vaartimo will retire per the terms of his contract, but will provide support while changes are made in the company's leadership. Last month, Vaartimo turned 60, which is the age of retirement in his executive contract.

Vaartimo is continuing as Metso's CFO and a member of the Metso Executive Team and will be available until the end of June 2011 to assist during the transition period as management changes are made.

The company is currently searching for a new CFO. Matti Kähkönen, who will start as Metso's president and CEO on March 1, 2011, is acting as Metso's executive VP and deputy to the CEO and as vice chairman of the Metso Executive Team. Kähkönen continues as president of Metso's Mining and Construction Technology segment.

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Rayonier, Jacksonville, Fla., USA, announced that Jay Posze has joined the company as VP, Human Resources. A member of the company's senior management team, Posze is responsible for all aspects of corporate human resources, such as the development and implementation of the company-wide talent strategy.

Posze has more than 22 years of human resources and management experience. Most recently, he was Global Director, Human Resources – Asia Pacific at Albemarle Corp., a manufacturer of polymers and fine chemicals in Baton Rouge, La. Posze holds a bachelor's degree in management from Western Kentucky University.

Rayonier is an international forest products company with three core businesses: timber, real estate, and performance fibers—one of the world's top producers of specialty cellulose fibers. The company owns, leases, or manages 2.5 million acres of timber and land in the U.S. and New Zealand.

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Sappi Limited, Johannesburg, South Africa, announced that Helmut Mamsch will retire from the company's board of directors on December 31 after seven years of service. Board Chairman Danie Cronje said Mamsch has been "a dedicated and active board member, chairing the Sappi Fine Paper Europe audit committee as well as serving on the group audit committee and the group compensation committee. The board wishes to thank him for his valuable contribution."

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West Fraser Timber Co. Ltd., Vancouver, B.C., Canada, announced that it has added two people to its senior management team and expanded the duties of the VP of Lumber Sales. Sean McLaren, previously GM, Wood Products for West Fraser's U.S. operations, has been appointed VP, U.S. Lumber Operations. He will continue to work at the company's U.S. regional office in Memphis, Tenn.

Peter Rippon has been appointed VP, Pulp and Energy. He is the company's former Operations Manager, Mechanical Pulp and Energy.

Chris McIver, VP of Lumber Sales, will assume a greater role in West Fraser's strategic planning and development. As a result, McIver will assume the title of VP, Lumber Sales and Corporate Development.

West Fraser, with operations in western Canada and the southern U.S., is an integrated wood products company producing lumber, wood chips, LVL, MDF, plywood, pulp, and newsprint.

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Weyerhaeuser Co., Federal Way, Wash., USA, has announced immediate changes to the leadership of its timberlands, wood products, and real estate businesses, resulting in a leaner structure.

"The elimination of the Executive VP – Forest Products position increases my direct involvement in the businesses. I am committed to increasing profitability, reducing debt and returning value to shareholders, and I am confident that these changes will help us achieve these goals," said Dan Fulton, president and CEO. Leaders of the timberlands, wood products, cellulose fibers, and real estate businesses now report directly to Fulton.

Tom Gideon, previously EVP – Forest Products, now leads the company's timberland business. Gideon led the timberlands business from 2005 to 2007 and has held a number of leadership positions since joining Weyerhaeuser in 1978. Mike Branson, SVP – Timberlands, is retiring.

"Tom has served Weyerhaeuser in many roles and demonstrated his leadership capability," Fulton said. "Timberlands are our core asset, and the focus of our strategic direction. Tom is the right leader to guide the timberlands business with his deep understanding of our markets and geographies."

Larry Burrows, previously president and CEO of the Weyerhaeuser Real Estate Co. (WRECO), assumes the role of SVP – Wood Products. Burrows joined Weyerhaeuser in 1989 and has led WRECO since 2008.

"Larry has demonstrated his success in driving for substantive improvements to enhance business performance," Fulton said. "During the last two difficult years, he has brought WRECO back to profitability. He knows the market for our wood products business and has the unique experience of having been a wood products customer."

Peter Orser, previously president of Quadrant Corp. – Weyerhaeuser's homebuilding operation in the Puget Sound region, becomes president and CEO of WRECO. Orser joined Weyerhaeuser in 1987 and assumed leadership of Quadrant in 2003.

"Peter is well prepared to lead the WRECO family of companies," Fulton said. "He has demonstrated success in focusing, aligning, and building an effective team while still acknowledging significant product and market differences."

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TAPPI News

This October, get to know TAPPI member W.B.A. "Sandy" Sharp as he stars in the Member Spotlight. Sandy is currently Principal of SharpConsultant and has spent his career conducting pioneering corrosion control research in the paper and pulp industry. He is pictured here with his grandson.

In 1984 he received TAPPI's Engineering Division Award, just seven years after joining the Association, and in 1989 he was designated a TAPPI Fellow in his first year of eligibility. In 1994 he helped launch TAPPI's Process Control, Electrical and Information Division and was elected to the TAPPI Board in 1996, later serving as Chairman of the Technical Operations Committee.

Spotlight participants are recommended by fellow members and staff. If you would like to nominate a member (or even yourself!) just send their name (or names) to MemberSpotlight@tappi.org. We will forward a Spotlight Questionnaire to fill out and return. We look forward to seeing you in the Spotlight!

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At least 30 percent of variation in profitability can be explained by human performance. To help to improve profitability the Technologically Advanced Workforce (TAW) initiative was formed. It is one of the key focus areas of Agenda 2020 and governance of this program is provided by TAPPI. A key part of the TAW is the National Network for Pulp and Paper Technology Training (NPT)2. NPT2 is a national network of community colleges that produce technicians specifically skilled for the pulp, paper, and allied industries. The objective of this initiative is to provide training and education to ensure that the technologies chosen to create the forest products industry of the future are operated, maintained, and managed by a technically superior workforce that is globally competitive.

For more about NPT2 see the November/December issue of Paper 360.

On September 23 the TAW Executive Advisory Board had its first meeting. In attendance were (pictured from left to right) Curtis Sears, MWV; Keith Romig, United Steelworkers; Cindy Reinhart, Metso; Andrea Harper, Georgia Department of Labor; and T. J. Murphy, NPT2; present but not pictured were Larry N. Montague, Mary Beth Cornell, and David Bell from TAPPI. Members who have agreed to serve but were not present include Ellsworth Townsend, Packaging Corp. of America; John Donahue, SAPPI Fine Paper N.A. and Lyle Fellows, Verso Paper. Find out more information about the TAW.

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The Early Bird Registration Deadline for NETInc, the Nonwovens Engineers and Technologists Innovative Nonwovens Conference, is Wednesday, October 13. This conference, scheduled for November 10-12 in Raleigh, N.C., USA, is the only nonwovens technical conference designed for—and by—individuals in the industry.

Highlights include a State of the Industry Address, a Sustainability Keynote Presentation by Joy Jordan, Global Strategy Program Leader for Kimberly-Clark, a tour of the Nonwovens Institute's Pilot Facility and a Nonwovens Process Tutorial. Learn all the details, including registration and the Technical Program. The Conference Brochure is now available for download.

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TAPPI has announced a special Boiler MACT Town Hall Meeting on Tuesday, October 19, 2011, from 5:30 to 7 p.m., part of the PEERS Conference in Norfolk, Va. This meeting will be open to all registered attendees of the TAPPI PEERS Conference.


The Industrial Boiler Maximum Achievable Control Technology (MACT) current and proposed standards will be explained as well as what's at stake for the pulp and paper industry as policy-makers discuss new emissions rules for industrial boilers and process heaters. Technical and policy experts will lead the discussion, with the opportunity to ask questions.

This is an excellent follow-up to Tuesday's Panel Discussion on Boiler MACT featuring industry experts from RMT Inc., NCASI, Southern Environmental Inc. and TurboSonic Inc.

The PEERS Conference takes place October 17-20 in Norfolk, Va. To attend the Boiler MACT Town Hall, you may register for the entire conference, or only for Tuesday at a reduced "one-day" only rate.

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Scholarship Recipients and Sponsors Announced by TAPPI's Corrugated Packaging Division

REVISED -- NORCROSS, Ga., October 4, 2010 – Four university students from the Southeast have been chosen to receive scholarships from TAPPI's Corrugated Packaging Division this year. The scholarships have been made possible by generous corporate sponsors. The scholarships were presented during Corrugated Week in Baltimore, Md., October 4-8, 2010. The recipients and their sponsoring organizations are:

Colby Jackson, a rising senior at North Carolina State University in Raleigh, N.C., John O. Telesca Engineering Scholarship

Katelyn McInerney, a rising senior at Clemson University in Clemson, S.C., MHI Corrugated Scholarship

Allison Littman, a rising senior at Clemson University in Clemson, S.C., Bobst Corrugated Scholarship

Richard Pridgen, a 5th-year senior at North Carolina State University in Raleigh, N.C., Corrugated Packaging Division Scholarship

Jackson is a double-major in Paper Science & Engineering and Chemical Engineering with a minor in Business Administration at NCSU. A native of Denver, N.C., near Charlotte, he graduated from North Lincoln High School in 2007 as valedictorian. He is in the honors program at NCSU where he has remained on the Dean's List. A member of the National Society of Collegiate Scholars, and Phi Eta Sigma Honor Society, he is president of the College of Natural Resources Council. A member of the TAPPI student chapter since he was a freshman, Jackson is the past treasurer of the organization. He has completed internships with AbitibiBowater in Catawba, S.C., and Chematron in Charlotte, N.C.

Littman is majoring in Paper Science and Environmental Engineering & Science at Clemson. She is working on a two-year, ongoing research project with Dispoz-o Products involving landfill biodegradation testing for a new line of disposable products. In addition, she participates in independent research related to universal biodegradation standards. She spent last semester in Denver completing an internship with WhiteWave Foods. Littman is involved with several campus programs including the Packaging Science Club and Students for Environmental Awareness. She has also served as a summer Orientation Ambassador and is a member of the Honors College.

McInerney is majoring in Packaging Science at Clemson. This past spring she studied in Belgium taking courses toward her minor in Business Administration. She has made the Dean's List every semester while at Clemson. She was also a member of the university's Women's Basketball Team her sophomore year. For the past two summers she has interned at Rubbermaid in Huntersville, N.C. She is a member of student chapters of IoPP and TAPPI.

Pridgen is double majoring in Pulp and Paper Engineering and Chemical Engineering at NCSU. He has held three internships: Green Bay Packaging Inc. in Morrilton, Ark., Gold East Paper in Dagang, China, and Weyerhaeuser Cellulose Fibers in New Bern, N.C. During his internship with Weyerhaeuser, he developed a contaminant identification process tool to identify common contaminants so that process modifications and corrective actions could be taken. He sings in a church choir and participates in an all-male a cappella group called the Grains of Time. In his spare time, Pridgen enjoys camping, hiking and disc golf.

These students were recognized at the TAPPI/AICC Corrugated Week in Baltimore, Md., October 4-8, 2010.

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"So you've got a problem? That's good! Why? Because repeated victories over your problems are the rungs to your ladder to success. With each victory you grow in wisdom, stature, and experience. You become a bigger, better, more successful person each time you meet a problem and tackle and conquer it with a positive mental attitude." – W. Clement Stone
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