Capital Spending of North American Paper Producers to Remain at 2007 Levels

As more companies focus on controlling energy costs and arriving at the most profitable grade mix, RISI predicts that 2008 capital spending will decrease slightly or remain at the same levels as in 2007. Last year, capital spending was markedly lower than it had been a decade ago and, right now, the likelihood is that 2009 will not see appreciable change. Projects that address energy costs or that restructure machines for value added grades or that will change the grade mix are the most probable options as they serve the interest of improving profitability.