AbitibiBowater, Montreal, Que., Canada, this week announced that it will change its name to Resolute Forest Products, beginning November 7. The company identity change follows an initiative, launched this past April, in which employees were invited to suggest a new name for the company. An internal selection committee and the Executive Team chose Resolute Forest Products from among approximately 1,400 employee submissions.

"We are changing our name to Resolute Forest Products to better reflect the fundamental characteristics of the company we are today, including our determination, strength, and resolve to be a profitable, sustainable organization," said Richard Garneau, president and CEO. "With our competitive cost structure, diversified revenue base, and strong balance sheet, we are well-positioned for the long term."

On November 7, the company will begin using Resolute Forest Products and related visual identity on its marketing materials, website, signage, and other communications. When communicating in French, the company will use the name Produits forestiers Resolu. Prior to the November launch, the company will continue to be referred to as AbitibiBowater.

While the company will be doing business as Resolute Forest Products as of November 7, AbitibiBowater Inc. and its subsidiaries will not change their legal entity names until the company obtains shareholder approval as required by law. The company will seek formal shareholder approval at its 2012 annual general meeting.

For customers, suppliers, and other stakeholders with whom the company interacts, little will change beyond how the company will refer to itself and its products. The company will operate "business as usual" with respect to invoicing, payments, contracts, company stocks, and stock market listings. AbitibiBowater says it will work to ensure the transition to the new identity is as smooth and seamless as possible for all of its stakeholders.

The company explains that "the Resolute Forest Products logo calls to mind the forest in which the company works, the paper and lumber products it manufactures, and the modern and dynamic nature of the organization. Paper products are reflected in the half-circle of the ‘R,' symbolizing a paper roll, as well as in the folds within the logo. The rectangular and triangular shapes, in the legs of the ‘R,' represent wood products and forestry. Through the use of green as a primary color, the design also depicts the company's determination to be a profitable business, committed to sustainability."

AbitibiBowater produces a range of products including newsprint, commercial printing papers, market pulp, and wood products. The company owns or operates 18 pulp and paper mills and 24 wood products facilities located in the U.S., Canada, and South Korea.

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Verso Paper Corp., Memphis, Tenn., USA, this week announced that it will permanently reduce its annual production capacity by 193,000 tons. This will be accomplished by the permanent shutdown of the No. 2 coated groundwood paper machine at its mill in Bucksport, Maine, effective October 23 and two supercalendered (SC) paper machines at its mill in Sartell, Minn., effective December 14.

The shutdown of the No. 2 paper machine at the Bucksport Mill will reduce Verso's annual coated groundwood capacity by 90,000 tons or approximately 10%. With an annual capacity after the shutdown of 925,000 tons, Verso will remain the second largest producer of coated groundwood paper in North America. The Bucksport Mill's workforce will be reduced by approximately 125 employees.

The shutdown of the No. 1 and No. 2 paper machines at the Sartell Mill will eliminate approximately 103,000 tons annually of SC-A and SC-B paper capacity. The Sartell Mill's workforce will be reduced by approximately 175 employees.

"While improved from the recent lows of 2009, demand for coated groundwood papers continues to face headwinds," said Verso President and CEO Mike Jackson. "The cost structure of the No. 2 paper machine at Bucksport, continuously rising input costs, and these headwinds resulted in this decision to permanently reduce our coated groundwood capacity. This is consistent with our continuing commitment to match supply with customer demand. The demand for supercalendered papers remains fairly stable in the marketplace. However, despite our employees' diligent efforts, the cost structure of the two SC machines to be shutdown at the Sartell Mill remains unfavorable.

"The decision to permanently reduce production at Bucksport and Sartell was difficult and we are mindful of the impact it will have on the affected employees and their families," Jackson added. "I want to express my sincere gratitude to the affected employees for their years of service to Verso, and to recognize all Bucksport and Sartell employees for their hard work and continued focus on safety in the workplace."

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Kimberly-Clark Corp., Dallas, Texas, USA, reports that it is in exclusive talks with Atlas Holdings LLC, Greenwich, Conn., regarding the potential sell of its pulp mill at Everett, Wash. The company had already warned the facility's 750 mill employees earlier this year that it would be shutting the mill down if a suitable buyer could not be found. On September 1, it added that it would lay off workers if a buyer is not found by the end of the year.

K-C spokesman Bob Brand noted that Atlas is a viable buyer interested in continued operations of the Everett mill. "At this time, we have selected to enter into an exclusivity arrangement with Atlas Holdings and will partner with them to complete extensive due diligence on-site as part of the next phase of the sales process. Atlas Holdings is a strong buyer candidate with extensive acquisition and pulp and paper industry experience. We are pleased by their continued interest in the Everett site and their capability and experience in operations management. The exclusivity agreement is a positive step forward in our sales process, but is not indicative of a sales agreement. As such, we will also continue to work with local union representatives and our employees to prepare for site closure.

Brand, however, pointed out that there is no deal yet, and that K-C would continue to work with local union representatives and employees to prepare for closing the plant, The company had announced several years ago that it planned to move out of the pulp production business. The Everett mill was started up in 1931 as Puget Sound Pulp and Timber Co. It became Soundview Pulp Co. in 1935 and was purchased by Scott Paper in 1951. Scott merged with K-C in 1985. Since the merger, K-C has invested some $300 million in the Everett operations, installing major wastewater treatment systems, adding a new effluent outfall, and switching its pulp bleaching from elemental chlorine to chlorine dioxide.

Atlas Holdings has some 5,000 employees at 10 companies and 60 facilities. Finch Paper's printing paper operations on the Hudson River in New York is among its holdings.

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Below is the latest listing of job openings in the TAPPI Career Center. The listing includes a variety of positions, from sales and service to lignin chemist, mechanical maintenance manager, mill process engineer, research associate, and a pulp and paper internship. Current, specific job openings at companies and locations in the TAPPI Career Center include:

Employer	Title	Location
Ace Chemical Products	Sales and Service	Wisconsin
GL&V USA INC	Pulp and Paper Internship	Nashua, N.H.
Ponderay Newsprint	Mechanical Maint. Mgr	Spokane, Wash.
Confidential	Regional Sales Mgr.	Ala., La., Texas, Ark. Also available: Northeast/Southeast U.S.
Kimberly-Clark	Mill Process Engineer III	Huntsville, Ont., Canada
BASF, The Chemical Co.- Media Placement	Research Associate Sr. II - Paper Binder Technology	Charlotte, N.C.
Weyerhaeuser	Lignin Chemist	Federal Way, Wash.
Coldwater	Engineering Position	Atlanta, Ga.

More information about these jobs is available online.

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The printed electronics industry is forecasted to be a $57 billion industry within the next eight years. Western Michigan University, Kalamazoo, Mich., USA, has made a big investment in this technology through the Center for the Advancement of Printed Electronics, CAPE.

CAPE is located within Western Michigan's College of Engineering and Applied Sciences, a 343,000 ft2, $72.5 million, high-tech facility. Dr. Margaret Joyce, the center's director, says that "our current research is focused on sub-50 micron printing using the AccuPress and new rotogravure engraving technology. We are also working on printing of circuit boards and photovoltaics. We have printed many different types of electronic materials and have made great progress over the past few months improving the compatibility between printed layers through ink formulation adjustments and treatment of the printed layers. Though we continue to print materials using numerous print methods, our major focus is on rotogravure printing."

Dr. Joyce received her Ph.D. from North Carolina State University in Paper Engineering and Science and is an expert in coatings, substrates, rheology, and surface chemistry. The center is operated and maintained by an interdisciplinary team of faculty and researchers across five engineering departments. Its research focuses on the application of materials for the fabrication of printed electronic devices.

The CAPE faculty is unique in having expertise for all printing processes for depositing electronic materials. This includes knowledge of the process parameters important to optimize ink transfer and image fidelity during gravure, flexographic, inkjet, offset, and screen printing.

More information is available online.

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A group of North Carolina State University students from Raleigh, N.C., USA, attended the TAPPI PEERS Conference last week in Portland, Ore. In the photo below (l-r) are: Katie Payne, Michael Woolford, Cayle Machek, Doug Kaminskas, and JD Robinson.

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The Society for Maintenance and Reliability Professionals (SMRP), McLean, Va., USA, in partnership with enetrix- a division of Gallup, has recently launched an online evergreen delivery interface for SMRP's Benchmarking Study for Maintenance and Reliability (M&R). The purpose of the survey is to provide a means for organizations to compare their M&R performance to others in the same or similar industries. SMRP notes that the Benchmarking Study, supported by its consensus-based, standardized metrics and definitions, gives M&R professionals the ability to measure performance consistently, make valid comparisons, establish achievable goals and objectives, and set realistic expectations.

"This is the only M&R survey that's based entirely on SMRP conscience metrics. It is an invaluable comparison tool," said Ron Leonard, director for the Body of Knowledge for SMRP.

The study's scope is consistent with SMRP's M&R Body of Knowledge, which is supported by the five Pillars of Knowledge: Business and Management, Manufacturing Process Reliability, Equipment Reliability, Organization and Leadership, and Work Management. The study comprises two survey components: the Survey for M&R of Production Equipment, which is currently open for data collection, and the Survey for M&R of Facilities Maintenance, which will be open soon for data collection.

The new online evergreen interface allows data to be submitted in a secure online environment backed by enetrix. All data submitted are strictly confidential and are encrypted during transmission. In addition, the save entry feature enables data to be entered in multiple sessions by multiple users, if needed. Participants also have the ability to track data for a single owner with multiple facilities.

Participation in the Benchmarking Study is free and open to both members and nonmembers of SMRP. Participants who submit their data by October 17, will receive one year of free access to data and reports. Access to real time data is available 24 hours a day/7 days a week. Performance of data can be monitored over time as the database continues to grow.

More information is available online.

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Shipments of softwood lumber and logs from the U.S. and Canada to China will reach a new record high in 2011, the Wood Resource Quarterly (WRQ), Seattle, Wash., USA, reports. In 2010, the two countries exported $1.3 billion worth of softwood products, WRQ says, adding that if the pace seen in the first seven months of 2011 continues, the two countries' exports will more than double from last year, reaching a record $2.6 billion.

Despite disappointing developments in the U.S. housing sector the past year, lumber production in both the U.S. and Canada has been higher in 2011 than in 2010. Many sawmills in the Western U.S. and Canada have benefitted from the dramatic increase in demand from Chinese lumber consumers and some sawmills are exporting up to 30% - 40% of their production to the fast developing market in Asia, according to WRQ.

The biggest increase in shipments the past year has been that of softwood lumber from the province of British Columbia in Canada. Much of this lumber comes from the massive supply of timber that has been killed by the pine beetle over the past 15 years. The value of lumber shipments from Canada has increased from just $55 million in 2005 to an estimated $1.2 billion dollars this year.

While Canada has drastically raised lumber shipments to China in recent years, the U.S. has instead expanded exportation of logs to Chinese lumber manufacturers. This year, U.S. West Coast log exporters are projected to ship logs valued at more than $900 million, which is up from only $42 million just four years ago.

The U.S. and Canada have not only increased shipment volumes of logs and lumber to China the past five years, they also have expanded their importance in the Chinese wood market. In 2005, only 4% of all softwood logs and lumber imported to China originated from North America. Last year, this share had gone up to 18%, according to WRQ.

Many North American log and lumber suppliers have the opportunity to expand their export sales in the coming years and it is likely that their presence in the Chinese market will grow, WRQ concludes.

More information is available online.

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Mark Wilde, senior analyst with Deutsche Bank reports that "we've become more bearish" about market pulp. "The biggest changes in our outlook," he says, "revolve around market pulp. In the face of economic uncertainty and increasingly cautious market signals, we've opted to make a larger-than-normal revision. Rather than making a series of modest creeping cuts, we're taking a more aggressive and out-of-consensus stand. Our FY12 softwood pulp prices have been cut by $200 - $220/metric ton and hardwood by $225 - $240/metric ton. We now assume 2012 market pulp prices will be off ˜$180/metric ton versus 2011. We are forecasting North American NBSK at $800/metric ton for FY12. Near-term pressure on pulp has increased. Our fourth quarter 2011 NBSK forecast has been cut to $920/metric ton, -$73/metric ton from the third quarter's $993/metric ton."

(the biggest global market for pulp) and North America, Wilde points out. Moreover, he adds, the "normal" seasonal upturn in paper demand has been muted this autumn. Supply issues are also at play. In recent months, most pulp mills have been running at full capacity, leading to a rise in mill inventories (August = 41 days, + 2 days m/m, +7 days y/y). Latin America hardwood inventories are the biggest issue. At the same time, incremental supply is creeping into the market. In North America, several paper and paperboard mills are running market pulp.

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According to data release by the International Tropical Timber Organization (ITTO), Japan, the total value of wood product exports (except pulp and paper) from Brazil this past August fell 2.7% compared with August 2010, from $217.4 million to $211.5 million. Pine sawnwood exports increased 0.7% this August compared with the same month in 2010, from $14.3 million to $14.4 million. In terms of volume, exports increased 6.1%, from 61,800 m3 to 65,600 m3 year-on-year.

Exports of tropical sawnwood fell both in volume and in value, from 42,300 m3 in August 2010 to 35,600 m3 in August 2011 and from $19.9 million to $18.7 million, respectively, over the same period. This performance represents an overall 6.0% decline in value and 16% decline in export volumes.

Pine plywood exports dropped 23% in value this August compared with levels in August 2010, from $32.2 million to $24.7 million. The decline in volume amounted to 29% over the same period, from 87,800 m3 to 62,600 m3.

Exports of tropical plywood also dropped, from 9,800 m3 in August 2010 to 7,300 m3 this past August, representing a 25.5% decline. In terms of value, a 17% fall was recorded, from $5.4 million to $4.5 million. Exports of wooden furniture also suffered as the value of exports fell from $48.1 million in August 2010 to $45 million this August, a 6.4% decrease.

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Kimberly-Clark Professional, Roswell, Ga., USA, this week announced a major step forward in the company's sustainability efforts through the expanded independent, third-party certification of Kimberly-Clark Professional products by the Forest Stewardship Council (FSC) and EcoLogo. FSC chain-of-custody certification has been expanded to the broad majority of Kimberly-Clark Professional tissue and towel products.

"We are very pleased to be expanding FSC's reach with Kimberly-Clark Professional, and its procurement goals are demonstrably improving forest management in North America and around the world," said Corey Brinkema, president, FSC-U.S. "The sustainability initiatives already undertaken by Kimberly-Clark Professional are remarkable and the progression of the company's commitment to conserving our natural forest ecosystems will only deepen that impact."

Kimberly-Clark Professional also announced this week that it now offers a broad range of EcoLogo certified Kleenex and Scott branded towel and tissue products. To earn the EcoLogo mark, tissue products must demonstrate significantly reduced environmental impact among five key lifecycle based criteria: resource consumption, energy consumption, wastewater quality, aquatic toxicity, and solid waste.

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The new Södra Timber Värö facility in Sweden was inaugurated this week by Swedish Minister for Trade Ewa Björling. A key part of the project is the location of the new sawmill adjacent to Södra's Värö pulp mill. The combination with the pulp mill offers unique coordination opportunities between Södra Cell and Södra Timber, the company notes.

Through its subsidiary Södra Timber, the Södra Forestry Group has invested SEK 1 billion in the new sawmill in Värö which has been relocated from Germany.

The combined facility generates cost advantages in terms of energy, wood chip transport, and overheads. The pulp mill will provide energy for the sawmill, while receiving 30% of its wood chip requirements for pulp production from the sawmill. Another benefit is the proximity to rail lines, the E6 European Highway, and the harbour in Varberg. The sawmill will use about 1.5 million m3 of timber at full capacity, thus requiring a large harvesting area, from Skaraborg and Dalsland in the north of Sweden to Oskarström in the south. Due to the long distances involved, rail transportation of logs will be used where possible.

The new sawmill is one of the largest and most modern in Europe and represents an investment that will increase competitiveness in terms of both the market and raw material, the company says. The sawmill has created new job opportunities and will also generate employment in the forestry and transport sectors. The project involved replacing an existing sawmill in Värö, resulting in a threefold increase in production at Värö to 750,000 m3.

The following photo shows the interior of Södra‘s new facility at Värö.

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Södra Timber, Sweden, has acquired all of the shares in Romerike Trelast, located outside of Oslo, Sweden. The company will operate independently, but will be renamed Södra Timber AS.

Romerike Trelast operates a sawmill with an annual production of 60,000 m3 of sawn timber, a planing mill, and a pressure treatment plant. It is situated 40 km north of Oslo, close to Gardermoen Airport, and is currently owned by Romeriks Almenningene and Viken Skog.

Romerike was relocated to its current site in 1995 in connection with the construction of Gardermoen Airport. Romerike has approximately 35 employees and annual sales of about NOK 110 million.

Södra already has operations in Norway, including two pulp mills, a forestry organization, Södra Interiör, and house sales through Trivselhus. The purchase of Romerike will provide the company a platform for sawn and planed timber.

"The acquisition is a logical step towards achieving cohesive industrial forestry operations for Södra in Norway. We have a long-term ambition for the acquisition and it strengthens our presence in one of the world's best timber market," said Leif Brodén, Södra's CEO.

Södra Interiör AS will manage and coordinate sales and logistics using its existing sales organization. The aim is to further develop Romerike into a center for Södra Timber and Södra Interiör in Norway.

"With this acquisition, we can offer a complete timber range with everything from construction timber to mouldings and flooring. By coordinating sales and logistics with Södra Interiör, we can offer a comprehensive service concept to our building-materials and industrial customers in Norway," said Peter Nilsson, president of Södra Timber.

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Sappi, Johannesburg, South Africa, this week announced a strategy update it says will position the global pulp, paper, and cellulose-based group for the future. Dealing with current tough market conditions and the declining trend in demand for graphic paper in its major markets, Sappi has indicated for some time that it was taking decisive action to reposition itself for improved performance.

The company's strategy involves four key themes: continuing to optimize its better performing businesses, fixing its underperforming businesses, investing for future growth in higher margin businesses (including chemical cellulose), and achieving this within the reality of the group's liquidity and balance sheet.

Sappi says it aims to generate at least 60% of operating profit from these higher margin growth businesses within three to five years, achieving real growth in the revenue line and asset base and exceeding its minimum ROCE target of 12%.

Sappi further notes that "it is clear that there is a declining demand trend for graphic paper in our major markets, but we see opportunities in these businesses, which are currently the backbone of the group, to generate reasonable net profits and strong cash flows for many years."

Cost saving and capacity management measures are well advanced in Europe, Sappi continues. Following the closure of its Biberist Mill this past July/August, Sappi is progressing with the next stage of cost reduction action, including both fixed and variable cost minimization. Annual savings resulting from these actions (including the Biberist Mill closure) are expected to reach $100 million on a relative basis with effect from the next calendar quarter.

The company is restructuring its business processes and paper operations in South Africa to ensure that it adapts to its customers' changing needs and that it matches its assets to profitable markets and future growth. The first step in this regard was the closure of the Adamas Mill, which has now been completed. "We are well advanced with the implementation of further cost reduction and streamlining at both our administrative and production areas. Regrettably, we expect that these measures will lead to a significant additional reduction of jobs during the first half of financial 2012," the company said.

‘We expect that these essential changes will result in savings and benefits of approximately R250 million ($30 million) a year once fully implemented. In addition we expect to save approximately R100 million ($12 million) a year as a result of avoided maintenance capital expenditure.

To achieve the shift of focus to higher margin businesses and to achieve real growth in revenue and returns, Sappi will invest in the higher growth chemical cellulose business, in innovative products based on its successful Ultracast and other technologies, in energy projects related to its core operations, and in low cost wood resources.

The investment of $340 million at its Ngodwana Mill announced this May will add 210,000 metric tpy of chemical cellulose (dissolving pulp) production, raising Sappi's total chemical cellulose capacity to a million tons per year. This project is progressing well and is set to startup in early 2013.

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Starboard Value LP, New York, N.Y., USA, the largest shareholder of Wausau Paper Corp., Mosinee, Wis., with 7.5% of its outstanding common stock, this week said that it delivered a follow-up letter to the company's President and CEO Thomas J. Howatt, and the board of directors to convey its updated thoughts after having met with management and the board in late August. In the letter, Starboard stated its concern that, as currently conceived, Wausau's Tissue expansion project requires the company to take on significant additional debt, which in turn would dramatically increase the risk profile for the company's shareholders.

Starboard urged the company to finance the Tissue expansion project by divesting certain non-core assets, including the underperforming paper business, the company-owned timberlands, and its hydroelectric assets. Starboard believes this would allow Wausau to "unlock significant unrealized value for shareholders, remove the drain of the losses in the paper business, and at the same time significantly reduce risk by allowing Wausau to finance the Tissue expansion project without taking on additional debt.

Starboard also stated that it looks forward to engaging in productive and constructive dialog with the board and management of the company to change and improve the composition of the board to ensure that the best interests of all shareholders are properly represented. Finally, Starboard stated that it remains confident that Wausau is deeply undervalued and that opportunities exist to significantly improve value for shareholders based on actions within the control of management and the Board.

"We recognize that the actions we are proposing are a departure from the board's current strategy and as such believe that changes to the composition of the board are required to best implement a change of strategy at Wausau for the benefit of all shareholders. In these challenging economic times, we believe the board must demonstrate the flexibility to explore alternative approaches to value creation and new, highly qualified directors are greatly needed to bring a fresh perspective into the boardroom. It is our hope and expectation to work constructively with you to change and improve the composition of the board to ensure that the best interests of all shareholders are properly represented. As such, we urge you and the board to engage with us as soon as possible regarding board composition, director qualifications, and required skill sets so that we may propose director candidates who can be most helpful to the board in evaluating and executing on the opportunities we have proposed," Starboard stated in its letter.

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Tembec, Canada, reports that Pine Falls Development Corp. (PFDC) has acquired its closed Pine Falls, Manitoba, Canada, mill property and assets. PFDC is an investment project of NRI Global Inc., a company that acquires and manages assets throughout North America.

The site is being sold for nominal net proceeds and the transaction will not impact the company's financial results as its carrying value had been reduced when the newsprint mill located on site was permanently idled.

The Tembec Pine Falls facility ceased production in September 2009. Permanent closure was announced in 2010. Tembec will transfer the site to PFDC which has finalized a plan to remediate the site in an approach that allows for investment recovery, site redevelopment, and assured environmental closure.

NRI Global is a private investment firm that acquires distressed or impaired assets. NRI Global has offices in Toronto, Ont., Canada, and Buffalo, N.Y., USA. The firm specializes in pulp and paper, energy, and resource transactions in North America.

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UPM, Helsinki, Finland, reports that it is the first Finnish company to be awarded a certificate for complying with the new FSC (Forest Stewardship Council) standard. The FSC certificate covers some half of UPM's forests in Finland. UPM's forests have previously been awarded a PEFC (Programme for the Endorsement of Forest Certification Schemes) certificate.

"FSC certification of Finnish forests further expands UPM's portfolio of eco-labeled products. We already have the markets' most extensive selection of paper products with the EU Ecolabel. Forest certificates, such as FSC and PEFC are a guarantee to our customers that our wood fiber comes from sustainably managed forests," says Thomas Ehrnrooth, VP, Marketing, Paper.

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Xinxiang Xinya Group Co. (Henan Xinhai Paper Co.), China, has ordered from Andritz, Graz, Austria, key equipment, a new automation system, and services for the upgrade of a softwood CTMP (chemi-thermomechanical pulp) line that was transferred from Canada to China. Startup of the new line, reconfigured by Andritz Pulp & Paper to one of China's biggest hardwood mechanical pulping systems and based on the P-RC APMP technology, is scheduled for the end of 2012.

The pulp produced will be used primarily for board grades. However, the line also allows the possibility to produce printing and writing grades in the future. The line capacity is 700 metric tpd.

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Cartiere Polesine S.p.A., Italy, has ordered from Andritz, Graz, Austria, a two-layer headbox for the production of packaging grades made from 100% wastepaper. Startup is scheduled for the first quarter of 2012.

The PrimeFlow TW headbox with dilution water control (PrimeProFiler F) will be installed on the mill's single wire PM 3 for corrugating medium and double-layer testliner. With the new equipment, the machine will have a design speed of 1,200 m/min at a wire width of 3.4 m, producing packaging grades with a basis weight of 100 to 180 gsm, made from 100% wastepaper. The new headbox also enables the installation of a PrimeForm TW double layer gap former.

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Graphic Packaging International (GPI), Marietta, Ga., USA, this week reported that it plans to institute a reduction in force and close its La Porte, Ind., carton facility. The overall reduction will affect approximately 200 - 220 employees. The company anticipates one-time costs of $6 million to $8 million in the fourth quarter of 2011 and the first quarter of 2012, with annual savings of $20 million to $25 million.

GPI will transition business from the La Porte plant to a number of different existing operations in the U.S. The La Porte carton plant will continue to operate and support customers while its business is transitioned to several other plants over the next few weeks.

In addition to closing the La Porte facility, the company is consolidating certain corporate and business unit functions to more efficiently utilize sales, product development, and administrative resources across all business groups.

"These very difficult decisions were studied significantly, but ultimately are necessary in light of the ongoing economic impacts being felt by our customers and consumers. These changes will help to ensure our continued success in the paperboard packaging space," said David Scheible, president and CEO. "GPI continually evaluates all of our business operations and redeploys business to maximize the cost-effectiveness of our manufacturing footprint as a whole. This constant evaluation ensures we are serving our markets as efficiently as possible."

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Rock-Tenn Co., Norcross, Ga., reports that it has reached an agreement to settle the pending Smurfit-Stone shareholder class action lawsuit. As previously disclosed, there is a class action lawsuit against Rock-Tenn Co., RockTenn CP LLC (a wholly owned subsidiary of RockTenn that is the successor to Smurfit-Stone Container Corp.), and former directors of Smurfit-Stone pending in the Delaware Court of Chancery, challenging the recent acquisition by RockTenn of Smurfit-Stone.

Under the terms of the proposed settlement, the class will release all claims against RockTenn, RockTenn CP LLC, and former directors of Smurfit-Stone that arise out of the class members' ownership of Smurfit-Stone shares between the dates on which the merger was agreed and consummated and that are based on the merger agreement or the acquisition, disclosures, or statements concerning the merger agreement, or the acquisition, or any of the matters alleged in the lawsuit.

In exchange for these releases, RockTenn will grant the former Smurfit-Stone shareholders (other than those who have already asserted their appraisal rights) the right to bring and participate in a future "quasi-appraisal" proceeding in which the court will assess the value of a share of Smurfit-Stone common stock on a stand-alone basis as of the closing of the transaction.

The ability of former Smurfit-Stone shareholders to bring and participate in the future quasi-appraisal proceeding will be subject to a number of conditions, including returning to RockTenn an amount of cash equal to $41.26 per Smurfit-Stone share if the former shareholder voted in favor of the merger (representing approximately 73% of Smurfit-Stone shares outstanding as of the record date) or $6.26 per Smurfit-Stone share if the former shareholder either voted against the merger (representing approximately 7% of the Smurfit-Stone shares outstanding as of the record date), or abstained or did not vote with respect to the merger. The proposed settlement is subject to a number of conditions, including final court approval following completion of a settlement hearing.

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Sonoco-Alcore S.a.r.l., Brussels, Belgium, a wholly owned subsidiary of Sonoco , Hartsville, S.C., USA, this week announced the opening of its new paper tube and core manufacturing facility in Grünsfeld, Germany. The new Grünsfeld plant will focus its production on M-Core wide-ply paper mill cores used in the high-end segment of the paper industry.

"Investment in this new facility is primarily about responding to the changing market needs in the European paper industry," said Adam Wood, VP of Sonoco-Alcore. "European printing houses have evolved, using wider printing presses and increased running speeds, which means traditional paper mill cores must evolve also. With the Grünsfeld facility, we have invested in bringing this technology to Germany, meeting the needs of Central European paper mills, and allowing our customers to better supply print houses with a cost-effective, quality product."

Sonoco-Alcore developed wide-ply paper technology and the M-Core Series to produce a core with improved properties such as increased dynamic strength and e-modulus, meeting the requirements of new printing machines.

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Sonoco, Hartsville, S.C., USA, has agreed to acquire Tegrant Corp., DeKalb, Ill., a provider of protective, temperature-assured, and retail security packaging, from Metalmark Capital for $550 million in cash. The final consideration is subject to a normal adjustment of net working capital.

According to Harris E. DeLoach, Jr., Sonoco chairman and CEO, the acquisition of Tegrant is the largest in Sonoco's history and will create a North American leader in multimaterial protective packaging. Tegrant is projected to generate 2011 sales of approximately $440 million. When combined, Sonoco is projected to generate sales of approximately $5.0 billion in 2012. The transaction is expected to be accretive to Sonoco's 2012 pro forma earnings by approximately $0.10 per diluted share, including estimated adjustments for purchase accounting and approximately $11 million of expected synergies, when fully realized.

The total purchase consideration, adjusted for expected tax benefits, is approximately 6.8 times Tegrant's estimated pro forma 2011 EBITDA of approximately $74 million, including synergies. The transaction is expected to be financed from existing cash and debt with an estimated credit leverage ratio of 2.2 times at closing. Sonoco intends to reduce the incremental debt using free cash flow over the next few years. The acquisition is subject to normal regulatory review and is expected to close in November 2011.

Tegrant operates three strategic business units. Protexic Brands, the largest business unit, is a manufacturer of molded expanded foam. The ThermoSafe Brands unit is a provider of temperature-assured solutions, primarily used in packaging temperature-sensitive pharmaceuticals and food. Tegrant's Alloyd Brands business unit is a manufacturer and designer of high-visibility packaging, printed products, and blister packaging machines for retail and medical markets.

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Moventas Santasalo Oy Finland, reports that it has developed a new gear series of yankee cylinder drive units for tissue machines. The new series, enhancing the design layout of the yankee cylinder drive unit, is based on a completely new technological solution to meet the requirements of today's high-speed tissue machines, the company notes, adding that its cost-effective and maintenance-friendly structure reduces the life-cycle costs of yankee cylinder drive units.

The design of the new yankee cylinder drive series is an optimal solution for production-optimized tissue machines, Moventas Santasalo explains. The unique pre-load arrangement of the main bearing is a completely new design the company has developed to optimize load distribution. This stabilizes the running of the yankee cylinder drive unit and consequently extends bearing lifetime. Additionally, the pre-load arrangement of the main bearings is adjustable, for instance in situations when a unit is used as a spare reducer for opposite-handed tissue machines.

This new series, running with two main motors, will be available in three different sizes. All feature maintenance-free labyrinth seals. The hollow shaft inside diameter can be up to 540 mm. The forces caused by the rotary steam joint are taken into account in both possible running directions of the yankee cylinder drive. The new drive unit can be equipped with Sunday drive in three alternative mounting arrangements.

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The president and CEO of the Forest Products Association of Canada (FPAC), Avrim Lazar, says that with the right government support the Canadian forest industry could produce enough clean renewable energy to replace nine nuclear reactors. This month, Lazar appeared before the Senate Standing Committee on Energy, the Environment and Natural Resources as part of its study of the current and future state of Canada's energy system and its goals of defining a Canadian Sustainable Energy Strategy.

According to the Canadian Industrial Energy End-Use Data and Analysis Centre, biomass ranks second after large hydroelectric facilities in producing renewable energy in Canada, and also creates almost three times as much energy as wind.

"We could easily triple our clean energy output using waste products from our mills," says Lazar. "Already we are self-generating about two thirds of our energy needs and about a half dozen of our mills are now net exporters of energy to provincial grids. Further developing this significant source of green energy needs to be a larger part of governments' energy development plans."

The Pulp and Paper Green Transformation Program (PPGTP) is already helping Canadian pulp and paper mills increase their production of renewable energy, and when the program is fully completed, will mean an extra 2.1 million MWH/year, enough to power nearly 174,000 homes.

"We need to keep that momentum going," says Lazar. "Governments have an important role to play to further help mills accelerate their transformation and add on the production of biofuels, biochemicals, and other bioproducts to their existing product mix.

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Scott R. Griffin has been elected Chief Sustainability Officer for Greif Inc, Delaware, Ohio, USA. Griffin had been VP of Sustainability and Commercial Excellence at Greif.

In his global role, Griffin is responsible for leading the development of Greif's sustainability strategy and works with communities, governments, and NGO partners to reach the company's sustainability goals in energy, carbon, and water. He serves as the company's liaison delegate to the World Business Council for Sustainable Development and the Clinton Global Initiative, and is the executive focal point for Greif's partnership with The Conservation Fund.

"Under Scott's stewardship, we achieved Greif's first energy and carbon reduction goals, and we are well on our way to achieving our 2015 targets," said Greif Chairman and CEO Michael Gasser. "Scott has also been instrumental in raising our profile with the increasing number of customers and others who are equally interested in sustainable business practices. He understands that truly sustainability initiatives must make financial as well as environmental sense."

Griffin also teaches courses on Strategy and Sustainability at The Ohio State University's Fisher Graduate School of Business. He graduated from Ohio State University and earned his MBA from Xavier University.

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International Paper Co., Memphis, Tenn., USA, has appointed Sharon R. Ryan to the position of SVP, general counsel, and corporate secretary, effective November 1. The company's board of directors approved the promotion of Ryan following her role as acting general counsel since this past May 1. Ryan will report to John Faraci, IP's chairman and CEO.

Ryan joined IP in 1988 and in 1992 was named VP and general counsel of Masonite Corp., a former IP subsidiary. In 1997, she was named general counsel - Building Materials Group and became general counsel of Consumer Packaging and Corporate Sales and Marketing in 2000. She was promoted to associate general counsel - Corporate Law in 2006, and in 2009 assumed the additional role of chief ethics and compliance officer. Ryan was appointed VP of IP in February 2011 and in May 2011 became acting general counsel and corporate secretary.

"Sharon brings a combination of industry knowledge, integrity, experience, and practicality to this critical position," said Faraci. "I am confident that Sharon will continue to make a significant contribution in helping International Paper achieve our strategic goals, while fulfilling her professional responsibilities in a principled manner."

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Our industry is full of great leaders; those who help their organizations thrive despite the many challenges we face today. Have you seen one in action? TAPPI‘s PIMA Management Division would like to help you to recognize them. PIMA has several awards that provide public recognition for star performers who have made significant contributions to their organization or the industry.

Roger Smith, of Domtar and PIMA Executive Council Chair is one of those leaders. "In 2008 I received the Brookshire Moore Superintendent of the Year award, one of the greatest honors of my career," says Roger. "I was nominated by a mill team that worked through some of the most challenging years in the development of a paper machine. Being nominated by those I led and worked with was the greatest honor but the industry recognition was fulfilling also."

Awards are available for community service, technology, superintendant of the year, mill manager of the year and students. For an overview and nomination form, follow this link. Deadline is November 30. PIMA awards will be presented at PaperCon 2012 in New Orleans next April.

In addition, TAPPI offers a myriad of other awards for stars in the industry, including division level awards for technical and leadership achievements, TAPPI Fellow for longstanding accomplishment and dedication and TAPPI Association level awards for the highest achievement or service to the industry.

Follow this link and nominate your star performer!

 

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The October 2011 Edition of the Gulf Coast Stock Exchange has been released! Click here to view all the latest information from the Gulf Coast!

Included in this edition:

• All the information you need to plan your trip to the Gulf Coast TAPPI Fall 2011 Meeting being held at the Staybridge Suites Hotel in Montgomery EastChase
• Details on the Information Management and Process Control Seminars & Technical Sessions
• Registration Form

Please note that the training seminar on Wednesday is no cost, but registration is needed in order to plan accommodations for the meeting room. Please register early.

 

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Upcoming Courses That Make Training Maintenance Teams as Easy as 1-2-3!

Three upcoming courses in December will help to train your Maintenance Teams on processes that help to sustain equipment, minimize production downtime, and increase safety procedures.

In partnership with TAPPI, IDCON will be holding these courses in Raleigh, NC. The three courses include:

• Planning & Scheduling
  December 5-7, 2011
• Reliability-Based Spare Parts & Materials Management Training
  December 8, 2011
• Practical Root Cause Problem Elimination
  December 13-14, 2011

Learn more about these courses at the TAPPI website.

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TAPPI Sustaining Company Membership offers companies in the pulp, paper, packaging and converting industries cutting-edge technical information, educational opportunities, and industry recognition. With TAPPI's prestigious Sustaining Membership program, your company will increase visibility and show support for the industry through your support of TAPPI. We would like to take this opportunity to say "Thank You" to the Sustaining Members Companies.

View the Sustaining Member Companies

Interested in becoming a Sustaining Member Company? Click here to download an application.

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Eleven-year TAPPI member Rory Wolf has been actively engaged in the Polymers, Laminates, Adhesive, Coating and Extrusion (PLACE) Division ever since joining in 2000, focusing much of his energy into leadership roles. For Rory, being an active member has meant getting back a lot more than you give.

"I have had the personal pleasure of meeting and collaborating with industry leaders who make ground-breaking contributions to society," says Rory. "Membership has allowed me to form not only the strongest possible technical network, but also lifelong friendships with truly amazing people." Find out how by reading this month's Member Spotlight.

Spotlight participants are recommended by fellow members and staff. If you would like to nominate a member 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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Lake States TAPPI/North Central PIMA have put together an Energy Optimization Program entitled "Case Studies in Energy Reduction in the Paper Mill" to be held on Wednesday, November 2, 2011. This Technical Program will be held at the Miron Corporate Office, 1471 McMahon Drive, Neenah, WI.

Topics include:

• Sub Metering
• Flambeau River Papers – Update on energy saving projects in the mill
• Spiral Heat Exchangers/Steam Turbine Upgrades
• Vacuum System Study
• EnergyStar – How the EnergyStar program has helped save energy within the mill
• Benchmarking Energy Usage
• FOA Update
• Yankee Dryer Efficiency
• Pinch Projects
• Screening Systems
• Steam, Condensate, and Dryer Management Systems

For additional information, please use the following links:

Program Agenda

Register for This Event

Additional Program Information

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Successful NETInc Conference Held in Atlanta

The second year of the NETInc Conference was held in Atlanta, September 13-15, 2011. Created as an industry gathering place by the NET Division of TAPPI and started in 2010, the event has continued to be a catalyst for industry presentations, networking and planning. Over 100 people attended this year's event, including academics, suppliers, manufacturers, and students.

These attendees were able to attend 13 sessions including an excellent technical program. This technical program highlighted amazing advancements in the area of nonwovens for regenerative medicine and other medical needs. The program was capped off by a Keynote talk from Dr. Anthony Attala from Wake Forest Baptist Medical Center who created quite a buzz with his discussion of the use of nonwoven materials to create scaffolds for use in the regeneration of human organs.

During this year's conference, new committees were formed in the following 3 areas – Wipes, Geosynthetics, and Medical/Hygiene. Existing committees have been renamed to adapt to the changing nonwovens industry – Committees now are Building Sciences, Binders & Additives, Filtration, Process & Modeling, & Fibers Materials & Characterization.

If people are interested in becoming part of the NET Division and any of its committees, please contact Craig McKinney with TAPPI at cmckinney@tappi.org.

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