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Kruger
completes Scott tissue expansion
Kruger Inc., Montreal, completed a $10.9
million expansion of Scott Paper Ltd. Tissue converting capacity at
its Hull, Que., plant that boots production by 10%, or some 600,000
cases. Kruger acquired the Scott Canadian assets in 1997 as part of
the Justice Department requirements for the merger of Kimberly-Clark
and Scott Paper. The Hull division specializes in
away-from-home and consumer products for Eastern Canada. It
manufacturers 70,000 metric tons of tissue for conversion on 22
machines. Dec 2000.
Plainwell
files for Chapter 11 reorganization
Plainwell Inc. announced that it has filed a
voluntary petition for reorganization with the U.S. Bankruptcy Court
in Wilmington, Del. The Chapter 11 filing will allow the specialty
paper and tissue manufacturer to continue to conduct ordinary
business while it attempts to implement a financial reorganization
plan.
Plainwell CEO Gary A. Hayden said that significant debt interest
obligations, rising raw material and energy costs in both of the
core businesses, along with market resistance to offsetting price
increases in its specialty paper division, have had a negative
impact on profit margins. Dec
2000.
Tissue
takes over Global Tissue
In September, American Tissue Inc. (ATI),
which claims to be the fourth largest tissue manufacturer in the
United States, said it had bought Global Tissue LLC, Memphis, TN.
The acquisition brought ATI's US tissue capacity to 450,000 tons per
year. Dec 2000.
K-C
IS ACTIVE
Kimberly-Clark is cutting up to 200 jobs in
Europe by centralizing its administrative offices. Since merging
with Scott Paper in 1995, it has cut 4,600 jobs and closed 20
plants. In July K-C completed the acquisition of S-K Corporation of
Taiwan which holds trademark and distribution rights there for such
K-C global brands as Kleenex, Huggies and Kotex. K-C now owns over
99% of S-K and 67% of Taiwan Scott, Taiwan's Leading manufacturer of
tissue products. Meanwhile in August, K-C said it had become the
sole source of away-from-home Scott and Cottonelle brands across
North America because the five-year brand licensing agreement with
Scott Paper Ltd., Streetsville, ON, had expired for Canadian
away-from-home markets. Still away from home, K-C introduced a new
paper napkin system called the Scott MEGA Cartridge System, which
controls waste in foodservice establishments. The system is said to
offer over three times the capacity of a standard table top
dispenser while vertically dispensing napkins one at a time. And
finally: This year is the 15th anniversary of those K-C
jumbo roll toilet paper dispensers found in many public places--and
the JRT dispensers are said to have distributed more than 293
billion feet of toilet paper in that time. Dec
2000.
Tissue
growth stays strong through 2002
Installation of new tissue paper machines in
North America is expected to slow during 1999-2002 but growth
overall remains strong, according to a comprehensive review of
global tissue projects by Pulp & Paper Project Report. Twelve
new tissue PMs are slated for startup in North America during the
four-year survey period, including four that began production in
1999. This is a 25% decline from the 16 new PMs tallied for the
1998-2001 period last year. However, there is only a 12% decline in
capacity of scheduled new PMs, equivalent to approximately 101,000
tons. Total capacity of these 12 machines is 736,000 tons, for an
average annual machine capacity of approximately 61,000 tons. Eight
of these machines have a rated capacity of 65,000 tpy or higher,
including multiple installations by Procter & Gamble Co. and
Kimberly-Clark Corp. Nov 2000.
Copamex
Mexico in $25 million partnership
Mexican paper manufacturer Copamex will invest
$25 million in Venepal, a financially troubled Venezuelan producer
of printing/writing paper and containerboard. With this investment,
Copamex holds an option to buy 60% of Venepal, which the company can
exercise at any time before the end of June 2001. Copamex
manufactures tissue paper, hygiene products, office papers,
notebooks, bleached pulp, and sack Kraft paper which the company
converts into multiwall sacks, plans to expand its packaging
products range by moving into the corrugated container market.
Nov 2000.
Toschi
of Italy
Italian tissue machine manufacturer Officine
Meccaniche Toschi received an exclusive agreement to make and sell
through-air-drying sanitary tissue machines using technology
"know-how" licensed from Procter & Gamble, Cincinnati.
The agreement permits worldwide sale of the machines, according to
the Luccia, Italy, company. Oct
2000.
American
Tissue reviving newly acquired tissue mill
American Tissue Corp. is nearing its goal of
fully restarting its newly acquired paper mill in Memphis, Tenn., by
launching one machine and ratifying a 10-year contract with workers
at the mill. American Tissue bought the idled plant from Global
Tissue in July for approximately $40.5 million. The mill has been
listed with capacity of 110,000 mtpy. Oct
2000.
G-P
in $15 billion transformation
Georgia-Pacific Corp. in July moved in
dramatic fashion to strengthen its presence in the U.S. tissue
market through two blockbuster sales and acquisitions. G-P will
vault to the number-one spot in world tissue production in an $11
billion deal to acquire Fort James Corp., while simultaneously
divesting itself of its timberland assets. G-P plans to completely
divest itself from its U.S. timberlands by selling The Timber Co. to
Plum Creek Timber Co. for $4 billion, including $1 billion in debt.
Sept 2000.
Ex-Beloit
employees form Paperchine
More than 50 former employees of
Wisconsin-based paper machine maker Beloit Corp., which was sold off
in 2000 as part of the bankruptcy of parent company Harnischfeger
Industries Inc., have formed a new company called Paperchine Inc.,
to provide service to Beloit installed paper machines. Sept
2000.
G-P
sells market pulp asset, tissue mills, and plants
Georgia-Pacific Corp. last week confirmed
plans to sell off its core market pulp business and outlined a plan
to sell eight U.S. tissue mills and converting operations that
exceeds originally announced intentions. The tissue mills for sale
include Plattsburgh, N.Y. (capacity of 154,000 tpy); Alsip, Ill.
(60,500 tpy); Flagstaff, Ariz. (42,000 tpy); and Gary, Ind. (35,500
tpy). The total capacity of the mills at 292,000 tpy exceeds G-P's
announced intentions to cut 250,000 tpy of primary production
following the Fort James merger. The converting operations in
Plattsburgh, Bellemont, Ariz., LaGrange, Ga., Greenwich, N.Y., and
Brattleboro, Vt. Called tissue product plants by G-P have total
capacity for information guide. No fort James assets have been
identified for sale so far. The largest tissue mill for sale,
Plattsburgh, saw a $58 million paper machine rebuild in 1998. The
largest six mill involved in the merger are G-P's mills in Crossett,
Ark., Palatka, Fla., and Menasha, Wis., and Fort James mills in
Muskogee, Okla., Rincon, Ga., and Green Bay, Wis. Sept
2000.
Perkins
Papers Buying Wyant Corp. For $14.7 Million
Perkins Papers Ltd. is buying Wyant Corp., a
Bridgewater, N.J., based integrated sanitation and facility
maintenance Supply Company, for $14.7 million. The company will
become a wholly owned subsidiary of the Candiac, Que-based tissue
producer and its subsidiaries will operate as autonomous units,
specializing in the distribution of sanitation supplies. Sept
2000.
Class-action
lawsuit settled for $56 million
Lawyers in Philadelphia last week announced
the settlement of a class action lawsuit, which had alleged
price-fixing by major U.S. producers of commercial tissue products.
The defendants in the case are Bay West Paper Corp., Wisconsin
Tissue Mills Inc., Encore Paper Co. Inc., the former Fort Howard
Corp., Georgia-Pacific Corp., the former James River Corp.,
Kimberly-Clark Corp., Marcal Paper Mills Inc., the former Scott
Paper Co., and Cascades Industries Inc. Sept
2000.
Edwards
Paper bankrupt, for sale
The Edwards Paper Co., which is under Chapter
11 protection, has put its Florida tissue mill and Arizona
converting plant up for sale. Edwards Paper is a 100% recycled fiber
milling-converter producer of tissues, towels, wipes, and dispensing
systems with a mill in Miami, Fla., and converting operations in
Miami and Tucson, Ariz. Sept
2000.
Installations
outside North America
Outside of North America, 46 new tissue
machines were tabulated with a total new capacity of more than 1.6
million tonnes for the 1999-2002 period. Half of the machines were
slated for installation in Europe. Accounting for 895,000 tonnes of
capacity. Fourteen new machines in Asia will account for 441,000
tonnes of new tissue capacity while nine new machines slated for
Latin America will add 301,000 tonnes of new capacity in that region
through 2002. Sept 2000.
Toschi
to offer through-air drying tissue PMs worldwide
Lucca, Italy-Officine Meccaniche Toschi
announced they have an exclusive agreement to manufacture and sell
Through-Air Drying (TAD) sanitary tissue machines using TAD
technology "know-how" licensed from Procter & Gamble.
Aug 2000.
Valmet
to Deliver Two Tissue Machines to P&G
Valmet has received an order from Procter
& Gamble for two complete tissue machines. The orders are part
of P&G's $350 million expansion in Mehoopany, Pa. The first
machine is scheduled to start up in July 2001, adding 75,000 tpy of
capacity. Start-up time for the second machine not been determined.
Aug 2000.
Peru
- PSP AND Mimo Merged
Kimberly-Clark de Peru (KCP) is the new name
adopted by Mimo and La Papelera Suizo. Peruana, since the companies
merger was made official. Through Mimo, KCP owns 51% of the merged
company with Papelera Suizo Peruana holding the other 49%. Aug
2000.
Venezuela
Tissue producer Papeles Venezolanos has
started up a new 100-mtpd deinking line from Lamort. Last year, the
company produced 83,000 tonnes of paper, and it is now looking at
spending $10-12 million on converting its PM 5 into a crescent
former machine. Aug 2000.
Kruger
shuts Memphis tissue mill
Kruger Inc. of Montreal said it shut its
110,000 mtpy capacity Global Tissue LLC paper mill in Memphis,
Tenn., after Kimberly-Clark USA terminated its contract. July
2000.
Metsa-Serla
buys all of MoDo Paper; SCA gets Metsa Tissue and Metsa Corrugated
SCA and Holmen are selling their respective
50% shareholdings in Modo Paper to Metsa Serla. At the same time,
SCA is buying Metsa Serla's 65% holding in Metsa Tissue and Metsa
Serla's entire corrugated board operation. In the other direction,
SCA is paying EUR 15 per share for the Metsa Tissue stake, which
takes SCA's holding in Metsa Tissue to about 85%. July
2000.
Three
states settle tissue price-fixing lawsuit
Six away-from-home tissue producers agreed to
a $1.2 million settlement with three states that had joined in an
antitrust price-fixing case initiated last fall by West Virginia
attorney general Darrell V. McGraw, Jr. New York and Maryland
brought similar actions in their state courts and are also parties
to the settlement agreement in cash and products. Kimberly-Clark
Corp., Fort James Corp., Bay West Paper Co., Marcal Paper Mills,
Encore Paper Co., and Wisconsin Tissue Mills agreed to the
settlement terms, without admitting the price-fixing charges alleged
by McGraw. July 2000.
Sorg
closes Ohio mill
Sorg paper Co., in Middletown, Ohio, has been
permanently closed down. Sorg had one tissue machine there producing
approx. 10,000 tpy of virgin quality tissue. July
2000.
American
Tissue reopens former Tree-Free mil in Augusta, Maine; considers
expansion
American Tissue Corp. is now operating No. 2
paper machine and is working on restarting the other paper machine,
No.3, at its newly acquired 40-tpd tissue, toweling and napkin paper
mill in Augusta, Maine. Further capital investment in the newly
acquired Augusta mill has not been determined, but $10 million in
improvements to the existing two paper machines as swell as the
possible addition of a third paper machine are being considered,
said Goldschmidt. The mill uses 100% de-inked pulp purchased on the
market, as the facility lacks a de-inking operation. July
2000.
Kruger
moves some converting from British Columbia to Alberta
Kruger Inc.'s Scott paper Ltd. Subsidiary in
Canada is planning approximately 125 layoffs. This will be the
result of the company's relocation of converting equipment to a new
plant in Calgary, Alta., in September. "The Calgary area is
operationally less expensive," Kruger produces 396,000 tpy of
tissue annually in North America and is the leading Canadian
supplier. The New Westminster mill produces about 100,000 tpy of
household sanitary paper products including, toilet paper, paper
towels, and facial tissue. The mill is Canada's largest tissue mill.
Kruger acquired Scott Paper from Kimberly-Clark Corp. in 1997. Scott
Paper Ltd. began at the New Westminster mill in 1923 as Westminster
Paper Co. Scott Paper Co. of the U.S. acquired the mill in the
1950's. K-C acquired Scott Paper in 1995. July
2000.
G-P
to acquire Fort James for $11 billion, will create world's No.1
tissue producer
Georgia-pacific Corp., Atlanta, has agreed to
buy Fort James Corp., Deerfield, Illinois, for $7.5 billion in cash
and stock. The combined companies would be the world's largest
tissue products manufacturer. A deal worth $11 billion. The deal,
which has been approved by the boards of both companies, reflects
G-P's aggressive strategy to bolster its position in the global
tissue market. G-P has grown its own tissue operations and virtually
acquired the Wisconsin Tissue business of Chesapeake Corp. in 1999.
The Fort James acquisition would add 2.2 million short tons of
tissue production capacity to GP's own 1 million short tons.
Combined revenues of the two companies would have exceeded $24.8
billion last year on a pro forma basis. July
2000.
US
deal for SCA
Sweden's SCA will acquire the $50 million
North American adult incontinence product business of Johnson &
Johnson, based at New Brunswick, New Jersey. Under terms of the
agreement, the Serenity brand products will continue to be sold and
distributed by J&J with SCA initially assuming responsibility
for product development and marketing. Production of the products
will eventually be taken over by SCA and integrated within the
company's other plants in North America. SCA is also to help to
distribute J&J consumer products within the Nordic countries.
SCA will terminate its license agreement governing Johnson &
Johnson's o.b. Tampons in the Nordic countries sales of which amount
to approximately Skr140 million. Tampons are not one of SCA's
prioritized product areas. June
2000.
Kimberly-Clark
acquires S-K Corp. of Taiwan
Kimberly-Clark corp. and S-K corp. of Taiwan
announced the signing of an agreement for K-C to acquire the shares
of privately held S-K Corp., which holds trademark and distribution
rights in Taiwan for such K-C global brands as Kleenex, Huggies, and
Kotex. The purchase price was not disclosed. June
2000.
Six
U.S. tissue producers reach settlement with states over price-fixing
allegations
Several major U.S. tissue producers have
reached a settlement with three states that filed a lawsuit alleging
the companies conspired to fix prices in the tissue market. The six
companies Fort James Corp., Kimberly-Clark Corp., Wisconsin Tissue
Mills, Encore Paper Co., Bay West Paper Co., and Marcal Paper Mills
Inc. will together pay $1.2 million in cash and tissue products to
the states of New York, Maryland, and West Virginia over a
three-year period. The companies agreed to the settlement terms but
did not admit any wrongdoing, the release said. June
2000.
SCA
acquires J&J incontinence past business in USA & Canada
SCA AB said it is acquiring JOHNSON &
JOHNSON'S serenity brand incontinence pad operations in the United
States and Canada. Under the agreement, SCA will be responsible for
product development and marketing, Johnson & Johnson will place
its sales and distribution network at SCA's disposal, and SCA will
help distribute J&J consumer products in the Nordic countries.
Production of the items eventually will be integrated in SCA's North
American output. May 2000.
Lucart
to absorb new tissue line
Italian papermaker Cartiera Lucchese's French
subsidiary, Lucart France, is building a new tissue machine. The
30,000-mtpy Valmet machine is scheduled to come on stream in August
2001. May 2000.
Another
new tissue machine being built
Lucca-based tissue producer Imbalpaper is
building a new paper machine at its mill in northwestern Italy. The
New line is a 125-mtpd crescent former. May
2000.
Kruger
shuts Tennessee tissue mill after losing largest customer
Kruger Inc. of Montreal said it shut its
110,000 mtpy capacity Global Tissue LLC paper mill in Memphis,
Tenn., last week after a major customer terminated its contract.
Which went down May 10. The mill has a troubled history and has
changed hands twice in the past six years. May
2000.
K-C
expanding Oklahoma facility
Kimberly-Clark is expanding its operation in
Jenks, Oklahoma, adding a tissue paper machine and distribution
center. The company said it will also install a tissue paper machine
at its facility in Loudon, Tennessee. The total expansion effort
will cost $300 million. The project is set to begin in mid-2001 and
be phased in over two years. The Jenks plant, already has one paper
machine. The second will be used to expand production of Kleenex
Cottonelle bath tissue with ripples, which has been on the market
for two years, and Scott Kitchen towels with ridges, an upgraded
product that has been available for a year. May
2000.
Second
Oconto Falls tissue machine due Aug. 2000
A second tissue paper machine at PCDI Oconto
Falls Tissue Inc., is now expected to begin production July 29th.
The new tissue machine is The Voith Sulzer Crescent and will have an
output capacity of 80 tpd recycled tissue, and a trim width of 108
in. May 2000.
K-C
expanding Oklahoma facility
Kimberly-Clark is expanding its operation in
Jenks, Oklahoma, adding a tissue paper machine and distribution
center. The company said it will also install a tissue paper machine
at its facility in Loudon, Tennessee. The total expansion efforts
will cost $300 million. The project is set to begin in mid-2001 and
be phased in over two years. The Jenks plant, already has one paper
machine. The second will be used to expand production of Kleenex
Cottonelle bath tissue with ripples, which has been on the market
for two years, and Scott kitchen towels with ridges, an upgraded
product that has been available for a year. May
2000.
K-C
plans two new tissue machines
Kimberly-Clark Corp. will add two new machine
and converting lines at both its Jenks, Okla., and Loudon, Tenn.,
mills in response to a surge in demand for its improved tissue lines
and to reduce dependence on purchased tissue, the company said. The
projects, which represent a $300 million investment, will go online
in mid-2001 with production phased in over a two-year period.
Currently, the Jenks mill has a capacity of 72,000 tpy on one
machine and Loudon a capacity of 60,000 tpy over three machines.
Apr 2000.
More
price increases by away- from- home- tissue producers
Dominant U.S. "away-from-home' tissue
paper producers Fort James Corp. and Kimberly-Clark Corp. Plan price
increases of up to 12% on tissue and towel products effective to
customers in April and May. Driven by rising recovered paper and
pulp costs, the increase will be the second hike this year and will
lift commercial/industrial (C&I) tissue prices in total by about
22%. A successful round of C&I tissue price increases in January
were the first upward move in more than two years. In the largest
and value-added consumer tissue sector, Procter & Gable Co. led
a bath and towel price hike effective in March. The increase was
widely supported by other producers and has been mostly successful,
analysts said. Apr 2000.
Worldwide
market pulp price hikes begin to slide through in April
U.S. market pulp buyers again reported
"no resistance" to another round of price increases on
most grades of market pulp effective Apr. 1. A $40/metric ton price
hike for benchmark northern bleached softwood kraft (NBSK) pulp will
lift list prices, before standard discounts, by about 6% to $680/mton
in the U.S. Worldwide reports also asserted that price hikes on
softwood and hardwood grades in Europe and Asia are being
implemented this month. Apr
2000.
Perkins
starts machine, expands de-inking
Perkins Papers Ltd. Has started up its new
30,000-short-ton tissue paper machine and expanded the capacity of
its deinking unit at its Rockingham, N.C. mill. Perkins is the
second largest producer of tissue paper in Canada and the seventh
largest in North America. Significant increases in the cost of
recycled fiber in conjunction with a lower level of activity in the
tissue paper industry at the beginning of the year affected the
profitability of Perkins Papers Ltd. During the first quarter of the
year. Apr 2000.
More
price increased in converted products
Dominant U.S. 'away-from-home' tissue paper
producers Fort James Corp. and Kimberly-Clark Corp. plan price
increases of up to 12 percent on tissue and towel products effective
to customers in April and May. Increase will be the second hike this
year and will lift commercial/industrial (C&I) tissue prices in
total by about 22%. Mar 2000.
Wausau-Mosinee
Paper Co
Wausau-Mosinee Paper Co. is planning to close
down Sorg on or about May 15, 2000. This mill had one tissue machine
108" wide with a capacity of 9000 tpy. Mar
2000.
P&G
to increase tissue/towel capacity
Procter & Gamble says it will expand its
consumer tissue and towel production capacity by adding two new
'TAD' tissue machines and associated converting equipment to its
Mehoopany, Pennsylvania plant. The Paper-making capacity at
Mehoopany will be expanded in two phases. The first new machine will
be operational by the middle of 2001, adding 75,000 tons of
capacity. Startup timing for the second machine is still to be
determined. Mar 2000>.
Kimberly-Clark
to add new machines
Kimberly-Clark will be adding new, state of
the art machines to its Jenks, Ok., and Loudon, Tn., locations.
Production is scheduled to start June 2000. Kimberly's
improvements will cost them approximately 300 million dollars and
will employ over 200 more employees. Feb
2000.
Fort
James to implement price increase
Effective March 5, 2000, Fort James will
implement a price increase of 3-4% on their tissue grades and 9-10%
on their towel and napkin grades. This price increase
follows the lead of other mills (i.e. Procter & Gamble) which
had already instituted their own increase.
The main factors that have contributed to the price increases are
the rising costs of raw materials (wastepaper, softwood, and
hardwood) and higher energy costs. Feb
2000.
U.S.
Wastepaper Prices Continue Rising in Jan. with Jumps for High
Grades, Pulp Substitute
Demand for recovered paper in the U.S.
remained exceedingly brisk in January, and prices continued
skyrocketing for de-inking grades and pulp substitutes across the
country. Prices have been rising since last summer. The biggest
surprise this month was the steady market demand despite concerns
about Y2K inventory building by U.S. mills. Jan
2000.
New
owners plan to reopen Carthage, N.Y., tissue paper mill
New York Gov. George E. Pataki announced that
Metro Paper Industries will invest $12 million to reopen the former
Fort James tissue paper mill in Carthage, creating 75 new jobs.
Phase I of the expansion project will include the installation of
four paper converting lines currently controlled by the company at
the Carthage mill. Phase II will involve the installation of a new
paper machine which is expected to be completed within 18 months.
Metro Papers has been manufacturing paper products for 24 years. The
company currently manufactures a wide range of products with 30
production lines at its Scarborough N.Y., facility. Jan
2000.
K-C
plans new tissue machine in El Salvador
Kimberly-Clark Corp. revealed plans for a new
tissue machine for its mill in La Libertad, El Salvador. The Italian
Company, Overmeccanica will supply the crescent former machine, with
capacity set to exceed 100 tons/day. Overmeccanica plans to complete
the construction of the PM by July 2000, with startup planned for
October. The Mill already operates two machines. Jan
2000.
Plainwell
Inc.
Last week completed its acquisition of Shelby
Tissue Inc. of Memphis, Tenn., becoming the ninth-largest tissue
maker in North America. The Shelby mill has capacity to produce 120
tpd of tissue, which is converted into bath tissue and sold in the
consumer and commercial markets. Jan
2000.
Market
Pulp Prices Rise Worldwide in January
With "very strong" business
continuing in January, pulp prices are up on virtually every grade
and in every world region. Benchmark northern bleached softwood
kraft (NBSK) pulp prices notched up $30/mton effective Jan. 1 for
most procedures, lifting average levels about 5% to $640/mton in the
U.S. and to $630/mton in Europe. Jan
2000.
Procter
& Gamble Adding More Tissue and Towel Capacity
Procter & Gamble will expand its Tissue
and Towel production capacity by adding two paper machines and
associated converting equipment to its Mehoopany, PA, plant. The
first machine will be operational by the middle of 2001, adding
75,000 tons of capacity. Start-up for the second machine is yet to
be determined. Jan. 2000.
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