Wednesday, May 25, 2005

Enviromental Calculator

Mohawk Paper recently introduced a link that allows one to calculate environmental factors for
your next printing job. The link http://www.mohawkpaper.com/index_content.htm go to
'Interactive Environmental Savings Calculator' this link outlines trees saved, potential emissions,
electricity conserved, solid waste not generated, and water used / saved.

USA Paper Demand Today

USA coated paper shipments continue to be held down because of Coated Free Sheet (Coffee table magazines) imports. Uncoated Free Sheet (office copy paper and trade book) demand continue to decline - 15.8million tons in 1999 to 14,2 million tons in 2004. Major reasons sited include Internet, electronic payments and communication. The shinning segments remain niche specialty papers(Medical, Electrical ) and uncoated mechanical papers (directories and inserts) and this is expected to continue.

Higher Postage Cost may Stagnate USA Paper Demand

Many beleive that USA paper demand will decelerate or be stagnate in 2006 if the USPS increases postage / mailing costs. North American paper demand increased 15% in 2003 -04. Today, end user markets are beginning to weaken. Recently, ad pages increased and peaked in 2004 - but are still below the peak of 2000. Catalogue mailings increased 8% last year - but with increased mailing costs (expected in January 2006) all expect a decline in demand to occur. One issue that might assist producer price levels - is a stike at the Miramichi mill (approx 8% of North America supply).

Friday, May 20, 2005

International Paper Closes 3rd Paper machine

International Paper will shut down an additional paper machine in the
Bastrop, LA paper mill. This machine produced uncoated freesheet papers
used for office and books.
In March, we reported that International Paper planned on indefinitely idling
two uncoated freesheet paper machines in the Florida and Maine locations.

Smart Papers Introduces New Digital Papers

Smart papers has recently introduced a full line of Digital Papers for the HP Indigo presses. The line will be called
IN-Fusion and it is an untreated premium paper (non-sapphire). The grade is available in
cast coat, matte, as well as both uncoated text and cover. These grades are available in 18X12".
Additional introductions included a Satin Finished sheet called Kromekote Inkjet Studio Picture and
Knightkote Matte Laser.
Smart also introduced Smart Brights (previously called Fraser Brights). This is available in
19 bright colors to compete with Wausau Astrobright.

Thursday, May 19, 2005

Paperloop.com - News�Analysis�Prices�Forecasts�Data�Events

Boise Cascade cancels IPO citing adverse market conditions.

It is interesting to note that Boise Cascade recently spent $25 million to build an e-commerce system so that their customers could order over the Internet. And, they spent 18 months aggressively migrating their customers to use it. It seems to have paid off, with over 85% of their customers purchasing from Boise online. In a seemingly parallel strategy Boise bought Office Max. Parallel because Boise recognizes the value of getting close to the customer instead of close to the paper machine.

Time will tell when they go public if this strategy paid off.

Mohawk Number One

Mohawk is now number one in text and cover in the U.S.A. having purchased the fine paper division of International Paper earlier this month.



Wednesday, May 11, 2005

Riverside Paper to shut Appleton, Wis., specialty paper mill

Riverside Paper plans to become a non-integrated paper converter by closing its Appleton, Wis., specialty paper mill which dates back 110 years, cutting 100 jobs, according to local press reports. Paper grades that will be effected include: Latex saturation, Wet strength, Acid free, Groundwood specialties, Sulphite construction, Recycled specialties, File folder (manila/color), Index, Colored text/cover/bond, Tape base, Posterboard, Drawing grades, Special blacks, Deep dye colors, and Cotton content.

Experts see Market Pulp Demand Slowing Down

The pulp manufacturers witnessed excellent growth in demand for 2004 of 5.3%.
Industry experts believe annual growth will be less than 3% for this year, as well as annually
through 2007.

Finland Paper Mill on Strike

The Stora Enso workers continue their wildcat strike and the result is no production from their Finnish mills.
This will effect supply for publication papers in the USA.

It's Official MeadWestvaco Paper Unit Sold

MeadWestvaco completed its sale of the paper business and associated assets for $2.3billion
to NewPage Corporation. NewPage Corp. is controlled by Cerberus Capital Management - a New York
based fund. NewPage will consist of printing paper mills, including Chillicothe, Ohio; Escanaba, Michigan;
Luke, Maryland; Rumford, Maine and Wickliffe, Kentucky.