Over the Wire

British Columbia, Canada, forest products companies are joining forces to provide aid to victims of the Japan earthquakes and tsunami. Canfor, Canfor Pulp Limited Partnership, West Fraser, Tolko, and Interfor will each donate $100,000, for a total of $500,000, to the Canadian Red Cross to provide immediate relief in Japan. The Province of British Columbia will match these donations, bringing the total commitment to $1 million. This funding is in addition to the $500,000 provided to the Red Cross on March 17 by the Province in support of emergency relief efforts in Japan.

All of the forest companies involved believe that more help is needed now as the situation in Japan remains dire, with hundreds of thousands remaining homeless from the disaster, and earthquakes continuing to affect the region. B.C. forest companies have close ties to Japan, some with employees who live in the affected areas and customers struggling with the aftermath. The Canadian Red Cross will direct these funds to the Japanese Red Cross, which is actively engaged in providing vital relief such as tents, blankets, food, medical aid, etc., in the areas of Japan most affected by this tragedy.

The overall effort to provide both immediate relief and longer term reconstruction will be a massive undertaking. The forest companies are urging others to get involved, and to work collaboratively with our government and officials in Japan to provide assistance in their time of need.

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Sappi Fine Paper North America (SFPNA), Boston, Mass., USA, this week announced the 2011 Call for Entries for "Ideas that Matter," an annual grant program that supports and transforms creative ideas of designers into a force for social good. The grant program was established by SFPNA more than a decade ago to recognize and support designers who donate their time and talent to create communications materials for a wide range of charitable activities.

This year's Call for Entries answers the question: What can design do for the greater good, by affirming and financially supporting the meaningful ideas behind the aesthetics of design?

"We believe design has the power to change the world and Ideas that Matter is an important way Sappi supports this goal," said Jennifer Miller, EVP of Strategic Marketing and chief sustainability officer, SFPNA. "For 11 years, Ideas that Matter grants have funded work created for local, regional, and national organizations. Not only have the resulting projects accomplished their goals, but many have succeeded beyond their original mandate making an even bigger impact than expected."

Ideas that Matter remains the only grant program of its kind in the design industry. Sappi, through this program, has awarded more than $11 million in grants worldwide to designers who are performing pro bono work for nonprofit organizations. For example, Jessica Helfand and Bill Drenttel from the Winterhouse Institute received a $30,000 Ideas that Matter grant to address the lack of affordable housing in the rural areas of Massachusetts, Connecticut, and New York. Their project, completed in collaboration with Berkshire Taconic Community Foundation and HousingUs, used billboards and newspaper inserts in combination with bulk mailings to address the need for affordable housing. The project resulted in the first Incentive Housing Zone in Connecticut to proactively address the need for zoning that encourages affordable housing, a 2010 Communications Award from the Connecticut Chapter of the American Planning Association, and more than 12,500 visits to the foundation's website for HousingUs.

Individual designers, design firms, agencies, in-house corporate design departments, design instructors, individual design students, and design student groups, who are performing pro bono work for a nonprofit organization can apply for an Ideas that Matter grant. Grant awards range from $5,000 to $50,000 per project and may be used to cover implementation and out-of-pocket costs. Applications for this year's Ideas that Matter program must be postmarked by July 15, 2011. The winners will be announced in September.

Project concepts and design entries to Ideas that Matter are evaluated on creativity, potential effectiveness, and practicality of the implementation plan by a team of annually-selected design leaders who are widely recognized for their award-winning work and their commitment to design for social good. Entry forms and more information about Ideas that Matter are available online.

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The University of Maine Pulp and Paper Foundation, NE TAPPI/PIMA, and the Maine Pulp and Paper Association elected new officers and announced award and scholarship recipients during its 61st annual Paper Days held this past week at the University of Maine, Orono, Maine. Paper Days is a two-day event attended by paper industry executives and employees, industry suppliers, and UMaine professors and students. More than 300 people attended the meetings.

Hampden resident Barbara Hamilton of Emerson Process Control was elected chair of the foundation and John Wolanski, VP of Savage Safe Handling, was elected president. John Donahue, VP of Sappi North America, was elected secretary. Dennis Castonguay, manufacturing support manager of Verso Paper was appointed to the executive committee.

Elected to the foundation's board of directors were: Lee Cyr, manager- customer service, production Planning of Twin Rivers Paper; Luke Czarnecki, national sales manager of Bercen; John Desjardins, New England sales manager of Buckman USA; Michael Reider, GM of Katahdin Paper; and Tom Ramundo, president of New England Controls.

"The record attendance of more than 300 at Paper Days this year is more evidence that Maine's pulp and paper industry is revitalized and continues to be a viable economic engine for the State," said John Wolanski, president of the University of Maine Pulp and Paper Foundation. "And Paper Days at the University of Maine in Orono is the premier event where the industry meets to share new ideas, present innovative technologies, engage the engineering students and network with industry professionals."

The foundation recognized 23 graduating UMaine engineering students who have had full-tuition scholarships from the Pulp and Paper Foundation. The foundation currently supports full scholarships for 90 students with an interest in pursuing technical and management careers in the paper industry. Donors provided $742,000 in scholarships last year. This year's budget includes $750,000 for scholarships. Orono residents Ted and Rose Marie Curtis presented the foundation's 223rd named scholarship, which will also be used to support students interested in a career in the pulp and paper industry.

UMaine chemical and biological engineering Professor Douglas Bousfield received the Dr. Joseph Genco Award for industry support. Teacher of the Year awards were presented to Annette Giardin of Jay High School and Sasha Alcott of Bangor High School. Jeff Dutton, president and CEO of Twin Rivers Paper in Madawaska, Maine., and former president and chairman of the foundation, was the recipient of the foundation's Honor Award.

The theme for this year's meeting was "Maine on Paper." Speakers included: Bob Byrne, president of Flambeau River Biofuels; Carlisle McLean, Maine's senior natural resources advisor and a representative of the Governor's office; Larry Montague, president of TAPPI; UMaine College of Engineering Dean Dana Humphrey; Monty Henderson, director of paper technology at Kennebec Valley Community College; Mark Libby, chair of engineering at Maine Maritime Academy; Mark Doty, the manager of community affairs for Plum Creek; and Guy West, VP of Ashland Hercules Water Technology.

Verso Paper President and CEO Mike Jackson (photo on right) was a keynote speaker. Jackson noted in his talk that Verso has invested more that $62,000,000 in energy projects in Maine in the past two years, reducing Verso's dependence on foreign oil, as well as the company's carbon footprint. Jackson challenged the students present to consider degrees in engineering and careers in the U.S. paper industry, which he said employs more workers than the auto industry and is 65% energy self-sufficient – by far the highest percentage of any industry in the U.S.

Days activities, included a panel during which students discussed their experiences applying for jobs, and an engineering research exchange: 478-9070 (cell), 207-989-1267 (home), or 207-581-2298 (office). Birdie Googins, a comedian and storyteller noted for starring in commercials for the statewide chain Marden's Surplus and Salvage, provided entertainment during one of the evening events. More information about this event or the UMaine Pulp and Paper Foundation is available online.

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The TAPPI OpEx Seminar (Operating Excellence through Advanced Asset Management), organized by TAPPI's Asset Management Committee, will be held May 2 - 3, 2011, in conjunction with the TAPPI PaperCon 2011 Conference and Exhibition at the Northern Kentucky Convention Center in Covington, Ky., USA.

 The OpEx Seminar includes close-up analyses of the latest evolutions and applications of reliability centered maintenance (RCM), CMMS/EAM systems and software, mill storeroom structure and operations, and life cycle asset management technologies and operating floor applications.

Integrated into this year's program is a three-hour special workshop on Plant Optimization for Managers. This workshop walks participants through the benchmarking (maintenance spending, inventory value, inventory carrying cost, overtime) and calculations for developing the value proposition for reliability. Reliability Improvement is the "what" and Asset Management is the "how."

Also included in the OpEx Seminar is a special Mill Asset Management Roundtable arranged and Conducted by the TAPPI Ohio Local Section. Roundtable participants include Larry Bryant, maintenance manager, Domtar Hawesville, Ky.; Bob Schidle, engineering and maintenance manager, Temple-Inland, Maysville, Ky.; Larry Schindler, engineering, maintenance, and utilities manager, Wausau Paper, Middletown, Ohio; Ted von Bargen, reliability superintendent, Appleton Papers, West Carrolton, Ohio; and Juan Mangual, maintenance superintendent, Appleton Papers, West Carrolton, Ohio.

More information and registration forms for the OpEx Seminar are available online.

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The new Tissue Forum at TAPPI's 2011 PaperCon will run all day Tuesday, May 3, from 8:00 a.m. until 5:00 p.m., with two sessions in the morning and two sessions in the afternoon. In addition to in-depth analyses of market trends in the tissue sector, papers presented in the Tissue Forum will provide updates on the latest technical innovations, as well as safety and reliability best practices for operating yankee dryers.

In the Tissue Market Overview session on Tuesday morning, Soile Kilpi, Principal, Poyry Management Consulting USA, presents a situation assessment that covers the market outlook, demand, and supply and capacity development in North America with a glimpse into global developments. Insights will be provided into at-home and away-from-home segment opportunities and challenges, and, moreover, there will be a discussion about brands and private labels and quality tier developments. Outlook for fiber – virgin and recycled will be commented upon as well as sources for raw materials and future outlook. Producer moves and new product launches will be highlighted. In addition, China will be briefly explored in terms of raw materials and tissue market outlook.

The state of the industry session is followed by a close-up look at brand building in tough times. Jacques D. Hagopian, Brand Manager – Charmin, Procter & Gamble, provides an overview of P&G, and highlights the fundamentals of brand management. These brand building fundamentals are brought to life using the Charmin bath tissue brand as a case study. Examples of recent Charmin marketing executions will cover a wide variety of consumer touch points ranging from traditional TV, digital media, and experiential marketing all rooted in a single consumer inspired idea.

Chris Luettgen, senior research and engineering manager, Global Manufacturing Support, Kimberly-Clark Professional Business, explores the role of sustainability in brand building. As Luettgen explains, delivering products designed to enhance peoples' lives in a manner that is socially, environmentally, and economically responsible has been integral to Kimberly-Clark's organizational values for decades. These values have provided a strong foundation for the company's journey towards leadership in sustainability. This presentation will explore the strategic initiatives, challenges, key learning, and overall progress made as Kimberly-Clark has worked to integrate principles of sustainable development throughout its global organization.

The second morning session looks at recent developments in tissue functional properties, with three being explored in some detail. First, a fracture mechanic's description of the creping process will be presented. The model provides guidance in understanding and optimizing the creping process to produce high quality products. Second, various technical approaches to measuring intrinsic absorptive properties of both variable density (structured) and unstructured (conventional) towel products are discussed. These approaches are discussed in view of consumer input regarding "absorp-ability." Third, new technologies are presented based on advanced polymer chemistry and biotechnology research that suggest future directions for wet strength resin developments. Examples include engineered proteins, boronic acid chemistry, polymer multilayers, and nanogels. Presentations include:

• Modeling and Simulation of the Creping Process by Melur K. Ramasubramanian, North Carolina State University
• Paper Towel Absorptive Properties: Analytical Measurement and Consumer Preference by Dave W. Loebker, PhD, Procter & Gamble
• New Polymers for Wet Strength – An Academic Perspective by Robert H. Pelton, McMaster University.

The two afternoon sessions are both panel discussions, beginning with a detailed look at projects by the TAPPI Yankee Dryer Safety and Reliability Committee to deal with missing, inadequate, or lack of adherence to standard practices that lead to yankee dryer delay, causing low productivity and negatively affecting safety. Committee projects include creating a Reliability Standard Practice Knowledge book, developing a Visual Yankee Dryer Safety Standard, and improving service provider and owner-user capability using Standard Practices. To do this, a number of subcommittees were formed to address various delay issues. These actions will be discussed by: Yankee Dryer Steam and Condensate Systems, Pekka Kormano, Deublin Steam Systems High Temperature Air Systems (Hoods), John Holton, Metso Cast Iron Yankee Dryer Maintenance and Inspections, Clive Butler, PMT Industries Yankee Dryer Surface Reliability, Sam Archer, Nalco.

In the final panel session on tissue forming systems, two industry experts discuss practical aspects and/or new developments in tissue forming. Each panelist will give a brief introductory presentation, and then will take questions and comments from the audience. Micheal J. Hendricks, BTG Americas, will discuss "Consistency Measurement and Control in a Tissue Mill – The Often Neglected Parameter." Jay A. Shands, Johnson Foils, will follow with a discussion of Tissue Forming.

More information about the Tissue Forum is available online.

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Low market pulp sales volumes in early 2011, largely due to weakness in printing and writing paper production, do not show in the U.S. softwood pulp (NBSK) market pricewise, reports FOEX Indexes, Finland. With good demand pull outside of the U.S. and with some maintenance downtime already being taken and some more to come, the market has been firm, FOEX reports

Even in hardwood, FOEX adds, the market has tightened, although the resistance to price increase initiatives has been much stronger than in softwood. Price increases have been announced separately by several major producers, typically by $30 /ton beginning April 1, FOEX reports.

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All major producers have announced a $30/metric ton price hike on NBSK, reports Mark Wilde, senior analyst with Deutsche Bank, taking the U.S. price to $1,020/metric ton. With U.S. demand steady, U.S. spot prices rising, and the downtime season approaching, "we think an NBSK price hike will be implemented. The $30/metric ton global hardwood increase appears more of a challenge," Wilde adds. Deutsch Bank's recent survey of trade contacts found a wide divergence of opinion. Big customers are battling the hardwood hike, but consumer inventories are lean in most industrial nations and Latin American eucalyptus producers are "hanging tough," Wilde reports.

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The U.S. Newsprint market continues to weaken with more and more consumers reading their newspapers from the different electronic devices – or not reading newspapers at all, FOEX Indexes reports. Compared with 2010, it notes, shipments are down close to 10% and in early 2011, exports also fell, at least temporarily. The risen paper stocks at the producing mills are beginning to exert more and more pressure on prices, FOEX adds. The cost increases through lower volumes, risen energy and delivery costs, and from higher recovered paper prices have helped to support the recent price levels.

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The U.S. domestic OCC price in March was essentially flat, up $2/ton to $158/ton, Wilde of Deutsche Bank reports. On a y/y basis, OCC is down 13.7% y/y. The key driver will be Chinese demand in the coming months, he adds.

Export OCC to China was down $1 - 3/ton to $267 - $268/ton in early April. Looking ahead, a combination of stronger Chinese demand and constraints on Japanese OCC exports should lead to higher OCC prices in China, Wilde notes.

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International Paper Co., Memphis, Tenn., USA, has agreed to acquire UPM's (Helsinki, Finland) Russian logging company ZAO Tikhvinsky Komplexny Lespromkhoz. According to the agreement, the operations, permanent personnel, and logging license covering 184,000 hectares of forest area in Tikhvin in the Leningrad oblast will transfer to International Paper Russia Holding B.V. The parties have not disclosed the transaction price. Final closure of the transaction is subject to approval of the Russian Federal Antimonopoly Service.

UPM acquired Tikhvinsky in 2005 and has invested considerable time and effort in improving both its operational and financial results. In 2007, Tikhvinsky received FSC forest certification

"We are delighted with the acquisition of ZAO Tikhvinsky Komplexny Lespromkhoz. It represents another very important step in the implementation of our wood supply strategy", says Franz Marx, president, International Paper Russia.

"Tikhvinsky has been a good opportunity for UPM to learn and develop forestry in practice in Russia. However, UPM has reviewed its wood sourcing strategy in Russia and decided to sell its logging rights in Tikhvin," noted Tuomo Visanko, SVP, Forest and Timber Business Area, UPM.

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M-real Corp., Finland, part of Metsäliitto Group, this week signed a Memorandum of Understanding regarding a divestment of its Premium Paper business to a sister company of Papierwerke Lenk AG, Germany. The divestment would include the complete Premium Paper business and related assets as well as about 100 of M-real's employees.

Premium Paper products are used in high quality graphical end-uses, such as letterhead, brochures, books, calendars, and envelopes. M-real will continue the carbonless business at the Reflex mill.

If the transaction is consummated as planned, M-real will book a negative EUR 12 million non-recurring item in the Specialty Papers business area. The cash impact would be approximately EUR 1 million negative. The planned divestment does not have a material impact on M-real's operating result. The transaction is expected to be closed during the second quarter.

"The planned divestment of Premium Papers is a natural step in M-real's strategy and a proof of M-real's capability to divest its non-core paper business consistently. We are satisfied with the good solution in which the Premium Paper business will be transferred to the new owner who can focus to develop this segment successfully in the future," said Mikko Helander, CEO of M-real.

In October 2010, M-real sold PM 5 and some related assets at the Reflex site to Metsä Tissue. Papierwerke Lenk AG is a German Black Forest based paper producer with sales of some 35.000 metric tpy of specialty papers capacity.

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US Wind Force LLC, Greensburg, Pa., USA, and Edison Mission Energy (EME), Santa Ana, Calif., this week started construction of the 23-turbine Pinnacle Wind Farm at NewPage that will be built on Green Mountain near Keyser, W.Va. When completed later this year, the wind farm will generate approximately 55 MW of electricity, enough power for more than 14,000 households.

Pinnacle was jointly developed by US Wind Force and EME, which has acquired and now will build the project. The project represents a total investment of approximately $130 million and will become one of Mineral County's largest taxpayers with property tax payments of approximately $10.7 million over the next 25 years. The project has also established a Community Benefit Fund that will provide locally-controlled financial resources for worthy community projects.

All of the electricity produced by Pinnacle will be sold under 20-year agreements with the University of Maryland System and the Maryland Department of General Services. NewPage Corp., Miamisburg, Ohio, the largest coated paper manufacturer in North America based on production capacity, partnered with US Wind Force on this project. Six of the turbines will be located on NewPage property near the company's Luke, Md., facility.

"NewPage is proud to partner strategically with US Wind Force. This partnership is an example of our commitment to support the growth of sustainable energy and is consistent with our goal to continuously explore renewable energy opportunities for our facilities," said David Bonistall, VP, Environmental, Health and Safety, for NewPage.

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A Tissue Technology Award has been established by Metso, Finland, to promote university students' and scientists' work on energy efficient innovations applicable to the tissue making industry. A prize amount totaling $25,000 will be awarded for the best innovations.

The Tissue Technology Award will be given every second year and the first winners will be announced at the Tissue World conference in Nice, France, in 2013.

A sovereign jury will appoint the winners according to a specific selection process. The jury is formed by representatives from Karlstad University, Sweden, the Energy Square organization, and Metso's Tissue business line.

"Energy efficiency is a crucial issue for the tissue industry globally and it takes a wide perspective and open minds to explore new areas for innovation," says Marco Marcheggiani, president, Tissue business line, Metso. "Being the clear market and technology leader in tissue, Metso wants to stimulate innovative work also outside of our own organization by this award."

Detailed information about the award, including application regulation, is available online.

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Nippon Paper Industries, Japan, reports that it has resumed operation at the company's Iwanuma mill (Iwanuma, Miyagi) following restarting of the Nakoso mill (Iwaki, Fukushima) on April 5. Boilers at the Iwanuma mill were damaged by the March 11 earthquake and stopped operating. However, the paper machines, Nippon says, received only slight damage.

The mill is re-starting one of the repaired boilers this week. Two newsprint machines will be restarted one by one after April 11. ​

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UPM, Heslinki, Finland, reports that it was forced to close its envelope paper machine at the Tervasaari Paper Mill in Valkeakoski, Finland, due to the salaried employees' strike. The strike issued by the Salaried Employees' Union PRO in Finland started on April 6. Production work at the envelope paper machine ended Wednesday of this week, affecting about 40 employees. The two other paper machines at the Tervasaari mill will continue production.

"We have been working hard to improve our cost competitiveness during the recent years. Unfortunately, this strike is now destroying the good results of that work. The production disturbances also affect negatively our reputation as a reliable supplier in the eyes of our customers," says Juha Kääriäinen, GM of the Tervasaari Paper Mill.

Paper machines in other UPM paper mills in Finland are running for the time being, but the risks are increasing day by day, the company notes, adding that it has made special arrangements to keep the production running. These arrangements are causing extra costs for the company, it adds.

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Solaris Paper, an Australian operated and managed distributor of toilet and tissue paper products and an affiliate of Asia Pulp & Paper (APP), reportedly is accusing Kimberly-Clark Australia (KCA) of locking in out of the bidding for KCA's Tantanoola Pulp Mill in Australia. KCA earlier this year announced that it would close the pulp mill by the end of this year and lose 65 employees if it is unable to sell the troubled operation before New Year 2012. Acting chief executive of Solaris Paper, Steve Nicholson, said the pulp mill could have potential but KCA is refusing to allow Solaris into negotiations.

"I think it's competitive ego gone crazy, but anyhow I don't wish to create any angst, but we would certainly like to have a look at the assets and as we do have aspirations in Australia, maybe there's a fit for us," Nicholson was quoted in an ABC News report.

KCA spokesman Dr. Ross Hearne said in an AdelaideNow report that the accusations are misinformed. "We were approached by third parties on behalf of Solaris and at this stage though we intend to complete negotiations with some other possible bidders," he said in the report.

Dr Hearn denied Solaris Paper's claim it had been "eliminated" from the process. He said that KCA had not had any direct contact with the company but had advised its brokers it was not interested in proceeding with an offer..

In a statement, Solaris Paper's acting chief executive Steve Nicholson said the company was not given a reason "for being eliminated from negotiations before the talks progressed to the point of an actual financial offer" and it had not been given a chance to submit a competitive bid.

Meanwhile, according to the ABC News report, the forestry union has welcomed the move by KCA to not negotiate with Solaris Paper. According to the news report, the union said that Solaris' parent company, Asia Pulp and Paper, has a history of slashing jobs and would not have the best interests of Australian workers at heart.

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Stora Enso, Finland, has ordered from Vaahto Pulp & Paper Machinery, Finland, a new shoe press for No. 4 board machine at its Ingerois mill in southeast Finland. Shoe-presses produce significantly higher web solids than conventional presses, resulting in higher production speeds or energy savings at the dryer section, the company noted.

According to Vaahto, the value of this kind of order amounts usually between EUR 2 million and EUR 3 million. Startup is scheduled for January 2012.

The grammage range of Ingerois products varies from 190 to 350 gsm. The wire width of the machine is 5,100 mm and design speed is up to 750 m/min. Vaahto recently rebuilt the middle layer headbox and reel of the same machine, which reportedly gave a good boost to production.

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Tembec, Temiscaming, Que., Canada, says it will proceed with the construction of a pilot plant for the development of a high performance structural product known as Next Generation Sustainable Fiber (Next Gen). This project is based on a Tembec patented process that will use Tembec's FSC certified pulp and FSC certified lignosulfonates within a modified phenolic resin to produce a structural material with unique strength-to-weight and durability characteristics.

"The Next Generation Sustainable Fiber initiative recognizes the growing demand for environmentally friendly, lightweight structural composites suitable for applications in such areas as infrastructure and engineered components," said Randy Fournier, SVP, Chemical Products and Kraft Pulp. "Our initial end-use application will be a railway tie for environmentally sensitive areas, with other applications such as automotive components, land and marine transportation infrastructure, and electrical energy generation and transmission infrastructures to be assessed."

The cost of the pilot plant is estimated at approximately $8.4 million, with the majority of the funding being provided equally by the Quebec and federal governments. Support from the Province of Quebec in the amount of $ 3.45 million will come from the Ministère des Ressources naturelles et de la Faune, through FPInnovations, and the Ministère du Développement économique, de l'Innovation et de l'Exportation. Federal funds of $ 3.45 million will come from Natural Resources Canada/FPInnovations, through the Federal Transformative Technologies Pilot Scale Demonstration Program.

"Tembec is among the world's leaders in specialty pulp, and Next Generation Sustainable Fiber is a natural extension of the company's product and technology development. Applications such as Next Gen offer the potential to continue the company's focus on higher margins in less volatile businesses," said James Lopez, president and CEO of Tembec.

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TimberWest Forest Corp., Vancouver, B.C., Canada, reported this week that it has agreed to be acquired by two Canadian pension funds—British Columbia Investment Management Corp. (bcIMC) and the Public Sector Pension Investment Board (PSP Investments), for $1.03 billion in cash, including assumed debt. The purchase price is equal to $6.48 per existing stapled unit, which represents a 25% premium over the 20-day volume-weighted average price of TimberWest stapled units on the Toronto Stock Exchange for the period ended April 8.

As part of the definitive agreement, TimberWest has a 60-day "go-shop" period during which it is permitted to solicit a superior proposal. bcIMC and PSP have no right to match a superior proposal made during this period. If the company is successful in soliciting a superior proposal during the go-shop period, there will be a break fee payable to bcIMC and PSP Investments of approximately $18 million.

V. Edward Daughney, chairman of TimberWest, said that "we believe this transaction provides significant value to TimberWest unitholders. bcIMC and PSP Investments are both leading Canadian pension plans well-positioned to support the long-term development of TimberWest."

TimberWest owns in fee simple approximately 327,000 hectares or 808,000 acres of private land and is in the business of selling timber products and real estate.

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Caraustar Industries, Atlanta, Ga., USA, a producer of uncoated recycled boxboard, announced this week that it has achieved certification to the Forest Stewardship Council Chain of Custody Standard for its Sweetwater Paperboard Mill in Austell, Ga. The certification supports the continuation of sustainable fiber sourcing as the mill produces a 100% recycled paperboard product. The facility also received certification to the Sustainable Forestry Initiative (SFI) Chain of Custody Standard.

The Sweetwater mill produces a variety of grades and serves major markets—gypsum facing paper, folding cartons, tubes and cores, and other specialty products.

"Our Sweetwater mill has produced paperboard made entirely from recovered wastepaper since its 1974 startup. We pride ourselves on being an environmentally responsible manufacturer, and we are particularly gratified to be recognized with the FSC certification that distinguishes our products in the market. Our customers can be assured we are doing what is best for the environment and for their requirements," said Greg Bartlett, VP, Sales and Marketing, Mill Group.

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Caraustar Industries, Atlanta, Ga., USA, this week reported that its Grand Rapids Carton Plant in Grand Rapids, Mich., has been certified as a Safe, Quality Food (SQF) 2000 Code Level 3 facility, meeting the requirements for the Safe Quality Food Institute's (SQFI) Comprehensive Food Safety and Quality Management Systems. The SQF 2000 Certification covers sector 27 food categories and the manufacture of both printed and unprinted paperboard cartons for direct fill, non-direct fill, flat packed, or side seam glued packaging.

The SQF Program is designed to meet the needs of retailers and suppliers worldwide. It provides independent certification that a supplier's food safety and quality management system complies with international and domestic food safety regulations. This enables suppliers to assure customers that food has been produced, processed, prepared and handled according to the highest possible standards, at all levels of the supply chain. SQF is designed as a food safety program, but it also covers product quality, assuring consistent quality and meeting buyers

Caraustar serves the four principal recycled boxboard product end-use markets: tubes and cores, folding cartons, gypsum facing paper, and specialty paperboard products.

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Graphic Packaging International (GPI), Marietta, Ga., USA, a subsidiary of Graphic Packaging Holding Co., this week announced that it will acquire substantially all of the assets and business of Sierra Pacific Packaging Inc., Oroville, Calif., a producer of folding cartons, beverage carriers and corrugated boxes for the consumer packaged goods industry. The acquisition will provide GPI with a strategic location to service customers on the U.S. West Coast. The transaction is expected to close during the second quarter.

"Graphic Packaging has a strong record of achieving performance improvement objectives and of successfully integrating businesses," said GPI President and CEO David Scheible. "This is an exciting opportunity for Graphic Packaging, Sierra Pacific, and our customers. This acquisition not only provides our customers with important enhanced operating synergies, but Sierra's values, vision, and culture of sustainability dovetail nicely with our own growth strategy for the future."

Sierra Pacific Packaging CEO Allen Ennis added that "Sierra Pacific Packaging is one of the largest local employers in Oroville, Calif., and is a leader in sustainability practices -- producing beverage carriers made from 100% recycled materials. Graphic Packaging has a strong management team with a deep understanding of our customers' needs. We are excited to work with David Scheible and his leadership team to successfully combine our operations with Graphic Packaging."

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Mondi Group, South Africa, this week announced plans to separate its interest in Mondi Packaging South Africa (MPSA) via a demerger, whereby all of the ordinary shares in MPSA held by Mondi Limited will be distributed to the Mondi Limited ordinary shareholders. MPSA would be listed under a new name on the securities exchange operated by the JSE Limited.

MPSA's future growth plans, particularly with respect to its rigid plastics business, are constrained by the Mondi Group's differing strategic focus, Mondi notes. The demerger endorses MPSA's own strategy and provides shareholders with a clear benefit as both businesses would be able to take better advantage of their respective growth opportunities.

According to David Hathorn, CEO of Mondi Group, "this is the right time to demerge MPSA, for both Mondi Group and MPSA. While Mondi Group has been a very supportive owner, this move will give MPSA the flexibility it needs to develop its core growth areas. MPSA is unique within the Group as no other part of Mondi produces rigid plastics or cartonboard. Therefore the board felt that MPSA would be best placed to take advantage of the considerable opportunities available to it as an independent entity."

Currently, Mondi owns 70% of MPSA, the Shanduka Group owns 25%, and Mondi Employee Investment Co. (a Mondi ESOP) owns 5%. The shareholders have agreed to a recapitalization of MPSA ahead of its listing. The recapitalization would result in Mondi's equity interest in the business increasing to around 90%. Shanduka Group would reduce its interest in MPSA to around 10% just before the demerger and has committed to stay invested in MPSA for at least 180 days following its listing.

Mondi is an international paper and packaging group, with production operations across 31 countries. The Group's key operations are located in central Europe, Russia, and South Africa . At the end of 2010, Mondi employed 29,000 people.

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Sonoco, Hartsville, S.C., USA, reports that its retail point-of-purchase display and packaging services business won four Outstanding Marketing at Retail Achievement Awards (OMAs) at the 53rd annual Point of Purchase Advertising International (POPAI) competition. POPAI's annual OMA competition recognizes the most innovative and effective retail promotions.

More than 500 entrants from more than 100 companies were adjudicated in 26 industry categories during this year's competition held during GlobalShop 2011. Entries were judged on design, innovation, interactivity, and the proven ability to lift sales.

Sonoco won a Gold OMA award for its BIC Mark-it Permanent Marker in-line permanent display for Staples. The company also received two Silver OMAs, including a supermarket retailer award for its Frito-Lay Doritos EA Sports pallet display for Kroger and a drug store retailer award for its Elizabeth Arden Ornaments counter display for CVS. In addition, it received a Bronze OMA in the drug store retailer category for its Vaseline Sheer Infusion VIP display program.

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Buckeye Technologies Inc., Memphis, Tenn., USA, this week launched AIRspun® Flushable, a new airlaid nonwoven substrate for use in moist toilet tissue applications. Chairman and CEO John B. Crowe noted that "AIRspun Flushable adds a new dimension to our range of products for wiping applications and meets the needs of our customers who produce wipes for consumer markets."

The new substrate, Crowe continues, was designed to meet the performance criteria of Buckeye's customers including the flushability guidelines set forth by the nonwovens industries associations in North America and Europe. "Additionally, the product is made predominantly with our own fluff pulp cellulose from renewable materials, so it fits well with our continued sustainability efforts," he noted.

Buckeye, a producer and marketer of specialty fibers and nonwoven materials, currently operates facilities in the U.S., Germany, Canada, and Brazil.

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Kimberly-Clark Corp., Dallas, Texas, USA, this past week announced that its baby and child care and consumer tissue businesses are notifying customers of plans to raise prices in North America during the second and third quarters of this year. The company said the increases are necessary to offset inflationary pressure from higher raw material and energy costs.

Net selling prices in the U.S. and Canada for Huggies baby wipes and diapers, Pull-Ups training pants, and GoodNites youth pants will increase on average between 3% and 7%, with implementation timing ranging from June 19 to August 17. In addition, net selling prices in the U.S. for Cottonelle and Scott 1000 bathroom tissue will increase approximately 7%, effective June 19. The price changes vary by brand and pack size. Kimberly-Clark's net sales in North America for these consumer products exceeded $4 billion in 2010.

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The Newark Group, Cranford, N.J., USA, Paperboard Division, has announced a $40 per ton price increase on all coated grades of recycled paperboard (CRB), effective with shipments beginning May 2. "Our raw material and freight costs continue to escalate, and we must now pass these higher costs on through the supply chain," said Raymond M. Vargo Jr., VP, Sales, Newark Paperboard Mills.

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International technology Group Andritz, Graz, Austria, reports that it has received an order from Holmen AB's subsidiary Iggesund Paperboard Ltd. to deliver a biomass boiler island for Iggesund Paperboard (Workington) Ltd. in Cumbria, U.K. Commissioning and startup of the boiler are scheduled for April 2013.

According to Holmen, the new biofuel boiler will substantially reduce energy costs and boost the paperboard mill's competitiveness. The boiler will burn wood-based fuels (wood, sawmill chips, bark, and sawdust) and generate steam at the rate of 195 metric tons/hr. Andritz's scope of supply includes the boiler island as well as erection work and commissioning. The boiler's design is based on Andritz's Bubbling Fluidized Bed (BFB) technology combining high fuel efficiency with excellent environmental performance.

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AF AB, Sweden, reports that it has signed a consultancy contract with Holmen, Sweden, for that company's new bio-fuelled power plant being built at the Iggesund Paperboard mill in Cumbria, U.K. (the Workington Mill). The AF assignment includes project management, engineering procurement, and site construction and commissioning management services. The project begins immediately, with commercial operation scheduled for March 2013.

The new CHP (combined heat and power) plant will have an output of 50 MWe. After completion of the project, all power and steam generated for the mill will be based on renewable fuels, including fresh wood in the form of chips or logs, bark, and sawdust.

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Arctic Paper, Sweden, has named Anders Nygards the new managing director of its Grycksbo paper mill in Sweden. He most recently was development manager at the Grycksbo mill. Nygards replaces Per Skoglund, who was promoted to COO of Arctic Paper mills in Sweden, Poland, and Germany.

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Temple-Inland Inc., Austin, Texas, USA, this week announced that Dennis J. Vesci will retire as group VP-Corrugated Packaging, effective June 1. Commenting on the retirement, Doyle R. Simons, chairman and CEO of Temple-Inland, said that "Dennis has provided 36 years of dedicated and superior service and has been a key contributor to Temple-Inland's success. We wish Dennis and his family the best in his well-earned retirement."

Larry C. Norton has been named group VP-Corrugated Packaging with responsibility for the company's box plants and company-wide supply chain management. Norton joined Temple-Inland in 2007 and has 26 years of industry experience.

George D. Obernesser has been promoted to group VP-Paperboard with responsibility for the company's paper mill system. Obernesser joined Temple-Inland in 2005 and has 27 years of industry experience.

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We want to thank our Volunteers for all of your hard work and dedication to TAPPI. Your investment in TAPPI and the industry is the driving force behind all that we do!

It is especially fitting then to applaud your efforts this week, April 10 – 16, as the country celebrates National Volunteer Week. Nowhere is its theme, "Celebrating People in Action," more appropriate than when applied to TAPPI members. Your willingness to go that extra mile for your colleagues is what makes us the leading association for the worldwide pulp, paper, packaging, and converting industries.
So no matter if you serve on a Committee, share your knowledge with fellow members, act as a mentor, actively participate in developing Standards & TIPS, or are currently waiting for the right opportunity to join in, we want to say thanks!

And, as always, if you have ideas, questions or suggestions regarding TAPPI membership offerings, don't hesitate to contact us! We look forward to hearing from you.

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Presenting a chemist's perspective on the papermaking process, The Chemistry of Modern Papermaking is an extensive collection of data that combines the organic chemistry of paper with its potential applications. Within each chapter, paper chemicals are organized based on their chemical structure.

After an introduction and brief history, the book explores the papermaking process, retention aids, temporary wet strength resins, wet strength resins, dry strength resins, internal sizing agents, creping adhesives and softeners, and chemicals for paper surface treatment.  Included are over 3000 references to facilitate further study. It's scheduled for a summer 2011 release.

Pre-order your copy now!

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In just over a month, the world's largest and most premier event for the pulp and paper industry, SPCI 2011, opens in Stockholm, Sweden. The event is held at Stockholm International Fairs (Stockholmsmässan) on May 17-19. Companies from around the world will exhibit the very latest industry technology and services in the largest exhibition hall at Stockholmsmässan. Visit www.spcievent.com to pre-register your visit free of charge.

The event features a new concept for SPCI which brings the conference program down to the exhibition floor. Three activity squares will be a part of the exhibition and offer a full conference programme with key note speakers, shorter presentations with a technical orientation as well as entertainment. The entire event is free to all visitors.

For more information regarding the event, conference program, list of exhibitors, etc., please visit www.spcievent.com

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The TAPPI Lean Manufacturing – Flexo and Die Cutters Course – offered May 24-26 in Norcross, Ga., focuses on two aspects of machine calibration that help our box plants manage costs and improve throughput:

1. Centerlining – Gives the plant the necessary tools to sustain board caliper in the converting process. It assures proper ECT numbers.

2. Time & Register Calibration – This is the calibration tool that Dick Target terms the "One-Box Set Up" calibration, which can certainly reduce plant waste.

View coverage about this course in the recent Corrugated Today magazine.

Industry veteran Dick Target of "On Target Consultants" leads the Course Schedule, which offers 1.5 CEUs.

Target's content also covers:

• Methods on how to Zero the Gear Train in the Press

• Proven, effective "One Box Set Up" techniques • Ink management for consistent color and proper wash-up procedures

• Measuring TIR (Total Indicator Runout) settings for pull collars, scoring and slotter heads

• Anilox roll care and maintenance schedules

• Implementing a successful Five-S Program (sort, set in order, shine, standardize and sustain)

• Identifying tools for effective waste reduction

• Simulating the presentation of technical and commercial contracts to printing plate and cutting die suppliers

• Calibrating machines to OEM specifications

• How tooling should be purchased and used in a cost-effective manner

Don't linger because this course will sell out at 25 seats. Register before April 29, 2011 to get a discounted rate.

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TAPPI's OpEx Maintenance Seminar: Operating Excellence through Advanced Asset Management is an important two-day seminar, taking place May 2-3 during PaperCon 2011. It is designed for mill maintenance and reliability supervisors who are interested in bringing the latest reliability techniques and best practices back to their mill. Organized by TAPPI's Asset Management Committee, speakers include mill personnel, consultants and suppliers.

Attendees will bring practical ideas back to their mill; meet and network with world class asset management experts and suppliers; and attend a roundtable of maintenance superintendants from TAPPI's Ohio Local Section. Up-to-date program information is available.

Learn more about this event and all PaperCon has to offer.

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Approaching the 40 year mark in membership, M. Hassan Loutfi knows what he's talking about when it comes to extolling TAPPI benefits – in three languages, no less! In 1974, Hassan was nearing completion of his second Master's Degree in Chemical Engineering when he started looking for useful ways to supplement his education and expand his presence in the industry. Originally drawn to TAPPI's educational elements, he felt sure he would benefit from the many networking opportunities he might find at the conferences, workshops and committee meetings. He also says receiving the numerous publications that come with membership enticed him as well. He considers his longtime relationship with TAPPI to be one of the best career enhancing moves he made and key to building his network of professional contacts and resources. Find out the reasons why by reading this month's Member Spotlight.

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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There is no doubt that the forest sector is in economic stalemate, and that one of the leading solutions for revenue diversification is the forest biorefinery. Whereas corporate executives, mill management, leading equipment suppliers and consultants are aware of what the biorefinery potentially offers, there is an important need for identifying viable implementation strategies for such a transformative change.

TAPPI is offering its first week-long course on the biorefinery, May 16-20, 2011 in Norcross, GA, involving leading biorefinery experts from across North America – shedding light on the key issues facing companies considering biorefinery implementation. With a course format designed to facilitate exchange between faculty and participants, it is sure to provide important value for your company.

Six key factors that companies considering a biorefinery implementation must consider (and that will be addressed in this course) include:

1. Which biorefinery products (wood pellets, biofuels, or biochemicals...) will provide sustainably good margins over the long term?
2. Which emerging biorefinery processes are the most promising for making these products?
3. What is their efficiency and operating costs today and what will they be in 5 years from now after the process technologies have matured?
4. How do we best make-use of our existing mill infrastructure when implementing the biorefinery?
5. Can we implement the biorefinery, and at the same time lower the unit costs of our wood, pulp and paper products?
6. What might be the role of government policy relative to key issues such as stumpage fees, biorefinery capital cost reduction, and other incentives such as greenhouse gas reduction policy?

How You Can Benefit From Attending This Course

This course will seek to provide the knowledge and tools for forest industry leaders, technology providers and consultants to develop biorefinery strategies and better understand emerging biorefinery technologies and their design/implementation in a business strategy. The course syllabus will be delivered by more than 20 experts from across North America, treating both strategy-setting and design issues related to transformation to the biorefinery.

Course Instructor

This course will be led by Paul Stuart, Consultant and Professor, Ecole Polytechnique. Paul Stuart has a Ph.D. in Chemical Engineering from McGill University, after which he worked in process design consulting as Company Associate and Manager of Process Engineering at Beak Consultants Limited, as Partner and Manager of Environmental Services at Simons Environmental Group, and as Director of Process and Environmental Engineering at H.A. Simons Limited in Montreal (later AMEC). Since 2000, Paul has been a Professor in the Chemical Engineering Department at École Polytechnique of the University of Montréal, where he is Chairholder of an NSERC Environmental Design Engineering Chair entitled Process Integration in the Pulp & Paper Industry (www.pulp-paper.ca). Paul is Co-Founder and Principal Consultant of EnVertis Inc, who seeks to be a leader providing strategic and multidisciplinary consulting services consistent with new business paradigms such as the biorefinery that provide sustainable enterprise value in the longer-term, for the forest industry and its partners.

Learn more about this course and register to attend at the TAPPI website.

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The Pulp and Paper Safety Association (PPSA) will hold its 68th Annual Safety & Health Conference at the Hyatt Regency in San Antonio, Texas, on June 19-22, 2011.

Program highlights:

• Meet and make valuable safety contacts within Forest Products Industry
• Hear first hand from companies like yours with outstanding safety records
• Find out what the latest OSHA activity and direction is
• Learn new accident avoidance techniques
• Learn about new industry specific training programs
• Find out what is on the cutting edge and currently available from safety suppliers
• Learn from both the positive and negative experiences of others in our industry

For more information download the conference program or visit the website.

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The 2011 TAPPI International Conference on Nanotechnology for Renewable Materials is scheduled for June 6-8, 2011 at the Sheraton Crystal City in Arlington, Virginia USA. The comprehensive Technical Program includes over 60 papers and five keynote presentations.

The event's Poster Session will feature findings from the leading researchers from around the world as well as a Student Poster Competition! Abstracts that focus on new and novel uses are highly encouraged. Analysis of challenges and trends in emerging markets for renewable nanomaterials are sought to provide a foundation for new research and industrial activities. Abstracts for the Student Poster Competition must be submitted by April 4. Prizes and certificates will be awarded to the first and second place winner.

Learn more about the event.

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