Friday, June 7, 2013

ICFPA CEO Roundtable: Future of Forest Industry

Today, the sixth biennial international CEOs Roundtable organized by the International Council of Forest and Paper Associations (ICFPA) took place in São Paulo, Brazil. More than 50 CEOs and association leaders from around the world met to address issues of common interest, including the consequences of economic pressures on forests from the demand for food, fuel and fiber, the impacts of government policies and programs on the forest products industry, and how to position the industry in its transition for the future.
"We are optimistic about the future of the global forest products industry," said David Scheible, President and CEO of Graphic Packaging International, Inc. "Our industry provides renewable and recyclable products that are important to the global economy and meet the needs of individuals, families, and communities around the globe."
As a supplier of sustainable, renewable, and recyclable wood and paper products, the industry has a growing opportunity to both satisfy traditional markets for pulp, paper, paper-based packaging, and wood products and new markets for bio-energy, chemicals, pharmaceuticals and others. Many companies are working on the development of next-generation materials from wood fiber that can meet the needs of a growing global population.
"Our industry is advancing its value-added proposition with the potential of delivering sustainable, 21st century products that can help lighten the global manufacturing sector's environmental footprint," said Marcelo Castelli, President and CEO of Fibria S/A. "The industry's transformation towards the next-generation forest economy is being fueled by the rapidly growing bio‐economy."
Key points of discussion by the CEOs included the demands for wood fiber and the challenges and opportunities for the industry in the areas of increased forest yields, improvements in recovered fiber quality and quantity, and new products in the bio-economy. They also discussed opportunities for industry collaboration on global government policies affecting the industry's competiveness and opportunities for attracting new customers and new workers by improving perceptions of the industry.

Paper Hall of Fame to Add 6

Six new inductees are set to join the hall of fame later this year. The Appleton hall will then have 117 members.
The 2013 inductees, who make up the 19th anniversary class, are:
Walter Brecht (deceased) was a professor in Paper Science and Technology at Technische Universität Darmstadt...Charles N. Egan (deceased) was an entrepreneur, builder, and innovative leader who put together Little Rapids Corporation (LRC)...
Waldemar Jensen (deceased) was a professor at Åbo Akademi University who later became CEO of The Finnish Pulp and Paper Research Institute (KCL)...
Sverker Martin-Löf is one of Sweden’s most renowned industrialists, who has played a key role in a number of Swedish Industries, not least pulp and paper. Martin-Löf is from Stockholm, Sweden...
Sven Axel Rydholm (deceased) was the global authority on pulping processes and pulp qualities of his time.

Theodore H. Wegner has been the Assistant Director at the USDA Forest Service, Forest Products Laboratory for the past 24 years overseeing an $8-10million per year pulping and papermaking research program...

91% of Corrugated Packaging Recovered

In 2012, 91 percent (29 million tons) of the corrugated packaging used in the U.S. was successfully recovered for recycling, maintaining its top position as the most-recycled packaging material. Recovery for recycling has increased steadily since 1993, when 54.5 percent of old corrugated containers (OCC) was recycled.  Recovery is also helped by the widespread access to community paper and paper-based packaging recycling programs.  According to the American Forest & Paper Association’s Community Survey, 87 percent (268 million) of the U.S. population have access to curbside or drop-off recycling programs. Most OCC is used to make new paper products.  Of the 91 percent of corrugated that was recovered in 2012, more than 50 percent was used to make new containerboard.  An additional 12 percent was used to make recycled paperboard and more than 34 percent was exported.

National Geographic Aligns Print, Digital Content Teams

National Geographic Aligns Print, Digital Content Teams:
Lauded for its digital content recently, National Geographic is taking steps to sync that award-winning multimedia content across all channels.
The magazine has named Chris Johns executive vice president and group editorial director, in addition to continuing his role as editor in chief-a position he's held since 2005. Johns will assume editorial management of Nat Geo print, digital and video content across distribution channels. He'll continue to report directly to Declan Moore, president of Publishing and Travel for National Geographic.

The Economist Targets College Students

The Economist Dives Deep Into Collegiate Targeting:
The Economist dared college students to dive deeper into its content, rather than rely solely on surface-level headlines and tweets, in its new Dare 2 Go Deep digital campaign.
To raise brand awareness and override misconceptions that The Economist only provides content related to the economy, The Economist teamed up with creative agency Atmosphere BBDO and delivered content to its collegiate audiences in channels that they visit.

April Printing Shipments Up

April Printing Shipments Rise +$49 Million; January to April Shipments Down -0.6%:
Printing shipments for April were up by $49 million (+0.7%) compared to 2011, but down by -$22 million after adjusting for inflation. Shipments were $6.773 billion in current dollars. March printing shipments, already revised in the benchmark five-year revision just released about two weeks ago, were revised down by -$67 million. This made March shipments $6.771 million, just $2 million less than April shipments (-0.3%).

Private Equity Firms & Paper, Print Industries

Private Equity Firm Gets Banged up by Commercial Print Deal: Private equity firms love the paper and package printing industries, but spurn further relationships with commercial printing companies. Atlas Holdings, the fund behind recycled fiber tissue manufacturer Soundview Paper Company (née Marcal) joined Blue Wolf Capital, its co-investor in Finch Paper, to acquire Twin Rivers Paper. Twin Rivers manufactures packaging, label and publishing papers in New Brunswick, Canada, and Maine. In an apparently unrelated coincidence of names and products, Peak Rock Capital acquired Atlas Paper Mills, a manufacturer of tissue from recycled fibers in Miami, FL. Private equity giant, H.I.G. Capital, acquired Caraustar Industries, a manufacturer of paperboard products and printer of folding cartons. Nekoosa Coated Products, backed by Wingate Partners, moved further away from commercial printing paper with the completion of its acquisition of IGI Corporation which manufactures specialty printing and masking substrates. These deals continue the steady flow of PE-backed deals in the paper industry, with new nuptials every month to date this year.