Georgia-Pacific Makes Approximately $2 Billion in Capital Improvements in 2023
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Georgia-Pacific reinvested approximately $2 billion back into its business and operations in 2023. These capital improvement projects include launching and completing new facilities and enhancing existing operations. Each investment helps Georgia-Pacific better serve customers, and increase productivity and efficiency, while also creating greater economic opportunities for each facility's local economy.
Georgia-Pacific made several investments large and small across its businesses. The projects listed below are large initiatives valued at approximately $100 million and up.
Green Bay, Wisconsin - $550 million
In November, the team at Georgia-Pacific's Broadway facility in Green Bay, Wisconsin, signed and raised the last major structural beam for the $550 million Brawny® project. Construction began in July 2022 and is expected to be completed in 2024. At the center of the investment is a new paper machine using through-air-dried (TAD) technology, which will improve the quality of products manufactured at the site by making them softer and more absorbent. The new TAD machine will produce thousands of tons of paper that will be converted into millions of cases of Brawny® paper towels and other premium private-label brands.
The Green Bay Broadway mill currently operates seven paper machines and several converting operations to make bath tissue, paper towels, napkins, and facial tissue for retail and away-from-home use. This investment will significantly enhance the company's retail consumer towel business and expand the facility by adding approximately 600,000 square feet.
"This truly is an investment in our customers and consumers who value the quality of our products," said Christian Fischer, Georgia-Pacific president and CEO. "We appreciate the local community, Brown County, state officials, and all of our employees' hard work and efforts to continue making our Green Bay Broadway mill more competitive for the long term."
Jackson, Tennessee - $425 million
The Dixie® team signed and raised the final beam at its new manufacturing site in Jackson, Tennessee, in September. Georgia-Pacific broke ground on the more than $425 million facility in December 2022.
The state-of-the-art facility will significantly increase the supply of disposable tableware products-namely, plates and bowls-in the marketplace, while supporting the Livingware and GP PRO business segments.
"Although we have invested to expand existing sites, this is the first new Dixie® plant the company has built since 1991," explains Fernando Gonzalez, president of the consumer business at Georgia-Pacific. "This added capacity will help us meet the needs of our customers as consumer demand for high-quality, durable paper plates and bowls continues to grow."
The 900,000-square-foot facility sits on 241 acres and is slated to open in summer 2024. The workspace will include a printer, associated plate-forming converting assets, and other state-of-the-art manufacturing technology. Anticipated hiring for the new site will eclipse 220 jobs once the site is fully operational.
Sweetwater, Texas - $325 million
In October, Georgia-Pacific held a ribbon-cutting event to celebrate its new gypsum wallboard production facility in Sweetwater, Texas. Initially announced in September 2020, the $325 million facility is the second gypsum wallboard production facility in Nolan County, and the first Georgia-Pacific has built since 2004. As one of the most innovative gypsum facilities in the country, the newest addition to the Georgia-Pacific gypsum complex features state-of-the-art technology designed to help ensure safety, quality, and efficiency.
"Georgia-Pacific is keenly focused on the future and committed to innovation and meeting the needs of our customers," said David Neal, president of Georgia-Pacific Gypsum. "The two operations combined will supply customers and distribution partners with more than 1 billion square feet of gypsum wallboard each year and create more than 100 new jobs. This investment strengthens Georgia-Pacific's capacity to meet growing customer needs in Texas' residential, commercial, and industrial construction markets."
Darlington, South Carolina - $175 million
Georgia-Pacific completed a $175 million investment into its Dixie® tableware facility in Darlington, South Carolina. The improvements expanded its plate and bowl production operations to meet customer and consumer demand. The facility now has additional printing capability, state-of-the-art plate-forming presses, and a new finished goods warehouse. The project created 100 new full-time jobs.
"This is an exciting time for our business," said David Duncan, executive vice president of the Consumer Products Group at Georgia-Pacific. "Investments such as the one made at the Darlington facility are important to our long-term growth aspirations for the Dixie business and signal a commitment to meeting those goals and our partnership with the Darlington community. These improvements not only modernize our operations and improve our ability to compete in the marketplace but also increase the value we can create for our customers and positively impact the local economy."
Halsey, Oregon - $150 million
In December, Georgia-Pacific announced a $150 million investment in its Halsey, Oregon, facility. This investment will increase production capacity for high quality bath tissue, including Quilted Northern Ultra Plush® and private label tissue. By the end of this project, Georgia-Pacific will have invested more than $200 million in the Halsey mill since 2022.
"This truly is an investment in our customers and consumers who appreciate the quality of our products," said Vivek Joshi, president of the retail tissue, towel, and napkin business for Georgia-Pacific. "It is a clear indication of Georgia-Pacific's focus on growing our premium tissue business and creating products that consumers value."
Pineland, Texas - $120 million
Pineland Lumber is now the largest sawmill in the South and positioned as a major competitor in the forest products industry because of Georgia-Pacific's $120 million investment at the plant located in Pineland, Texas. The upgrades bring the facility into the 21st century with modern technology and tools to increase production and product diversity, and includes a modified log yard, a fully modernized sawmill, a continuous dry kiln, and a high-speed planer. Pineland Lumber can now accept more log trucks per day. And unique to the facility is the application of cross laminated timbers (CLT), which are used to construct electrical control rooms and specialty equipment enclosures.
According to Fritz Mason, Georgia-Pacific lumber president, Pineland Lumber was selected for expansion because of the area's workforce, community support, and natural resources. "This mill has a long history in Sabine County, which dates to 1910. With the mill favorably located in the middle of the southern pine forest in east Texas, coupled with an experienced workforce that dates back several generations, Pineland Lumber is well positioned to prosper for years to come."
Monticello, Mississippi - $91 million
In 2023, work began on a $91 million upgrade at Georgia-Pacific's containerboard mill in Monticello, Mississippi. The new log line slated for the facility includes scales, cranes, a rechipper, unbinding racks, and other critical equipment needed to safely unload trucks and prepare logs and chips for processing into pulp. The new equipment will reduce truck unloading times, improve truck traffic flow, allow for longer logs, and improve wood yield. It will also improve the facility's competitive position in the industry and will strengthen the mill's relationships with wood suppliers.
