UFS Capacity Cuts Could Boost Op Rate to 96%

http://www.paperage.com/2013news/10_01_2013uncoated_free_sheet_operating_rate.html

Before next summer in North America, the uncoated freesheet (UFS) paper mill operating rate should range between 96.5% and 100% if nearly one million tons per year of capacity is shut down over the next six months, as recently proposed, according to market analysts at RISI.

The operating rate so far this year (year-to-date) is at 91%, RISI added.
RISI pointed to the announcement last month by International Paper (IP) that it would permanently close its Courtland, Alabama mill, including three UFS machines with 765,000 tons/of capacity. About half that capacity is to be eliminated by year-end and the other half by March 2014, RISI said.
RISI also noted that "next month and potentially in November or December, Boise Paper and Georgia-Pacific (G-P) plan shuts that would eliminate 210,000 tons/yr of UFS paper capacity on three PMs." Boise said it would shut two machines with almost 120,000 tons/yr of capacity at its International Falls, Minnesota, mill and G-P would shut about a 93,000 tons/yr paper machine at Crossett, Arkansas, RISI explained.

Resolute Looks at Options for Baie Comeau

http://www.resolutefp.com/en/?langtype=4105

Resolute Forest Products seeks to cut 90 workers or a quarter of the 360 workforce at its Baie Comeau, QC, newsprint mill in a move to cut costs in the face of declining exports. The company told employees they have a week to accept the jobs cuts or lengthen the work day to 12 hours from eight, or face closing one of the mill's three machines and eliminate 150 jobs, the Canadian Press reported.

Resolute wants to maintain the mill's 462,000 tonnes/yr of capacity from the three machines, an official told CP. Shutting one machine would mean trimming more than 40% of the workforce.
The union, Unifor, told CP it would meet with the company Tuesday to get more details of the proposals before consulting with members.
Resolute also is concerned about woodfiber costs that have increased by 10-20% after the Quebec government reduced wood access by more than 30% this year.

Resolute, IP Increase Pulp Prices

Resolute Forest Products informed North American customers today that it will increase paper grade softwood kraft and fluff pulp prices $20/tonne, effective October 1, as reported by RISI.
Resolute slated its NBS northern bleached softwood kraft (NBSK) pulp at $970/tonne, up $20/tonne.

International Paper (IP) announced to customers in key markets that its fluff and southern bleached softwood kraft (SBSK) pulp prices would increase $20/tonne, effective October 1, as reported by RISI.  That's the same list various major producers announced, including Canfor Pulp, Domtar, Mercer International, and West Fraser.

Memphis-headquartered IP's fluff price increase is effective in the USA and Europe. It wasn't immediately clear if IP was also increasing fluff prices in emerging markets.
IP's move on fluff comes after Domtar and Weyerhaeuser separately informed customers in key regions they would increase fluff prices $20/tonne, effective Oct. 1. As RISI first reported, both firms announced new fluff list price levels at $960/tonne in the USA and Europe.

Catalyst Paper Finalizes Wastewater Agreement

http://www.catalystpaper.com/

The City of Alberni's purchase of Catalyst's wastewater treatment facility and additional lands completed as scheduled on September 30 th, 2013 in accordance with the formal agreements endorsed by Council for the City and Catalyst. To mark the successful close of the transaction the presentation of a cheque representing the initial payment of $5 million will be presented by Mayor John Douglas to Catalyst CEO Joe Nemeth , at Port Alberni's Catalyst mill site on October 2 nd, 2013. The remaining $750,000 will be payable on the first anniversary of the closing date.

Argentina Again Warns Uruguay Re UPM Mill

http://www.buenosairesherald.com/article/141821/gov%E2%80%99t-warns-uruguay-on-pulp-mill-production

The foreign ministry threatened yesterday it could once again take the fight with Uruguay over the UPM-Botnia paper mill plant to the International Court in The Hague if the neighbouring country permits the controversial plant to increase production.
The warning came a day before President José Mujica is scheduled to meet with President Cristina Fernández de Kirchner today in Buenos Aires City to discuss the company’s proposed production increase.

IP Settles 401(k) Fee Suit

http://blogs.marketwatch.com/encore/2013/10/01/international-paper-settles-401k-fee-suit/

International Paper Co. IP +0.82%  has filed a settlement agreement that will end seven years of litigation over the company’s 401(k) plan. The company agreed to pay $30 million to the retirement accounts of current and former employees who had claimed that the plan violated federal pension law by charging high fees and offering poor investment choices, among other things. Kelly Greene of The Wall Street Journal broke the news of the settlement earlier today.
The settlement isn’t huge by the standards of corporate litigation, and International Paper did not admit to any liability.

USPS Defaults Again

http://www.dmnews.com/usps-defaults-once-again-on-56-billion-payment/article/314126/

It's the third time the payment has been missed.

As if providing punctuation to last week's Senate hearing at which it begged for legislative relief from cash-draining pre-funding obligations, the United States Postal Service yesterday defaulted on its mandated annual $5.6 billion payment into the retiree healthcare fund. It marked the third time the Postal Service was unable to write the check.
“Today's default is another stark reminder of the Postal Service's dire financial situation,” said Sen. Tom Carper (D-DE) in a statement issued last night.  Carper, along with Sen. Tom Coburn (R-OK), is the sponsor of the Postal Reform Act, which, among other things, seeks to lighten the Postal Service's pre-funding burden. “We have sat around for too long, watching as the financial challenges facing the Postal Service grow more difficult and the potential solutions become more expensive. It has been clear to me and to others for some time that we must act to save this $1 trillion mailing industry and the over eight million jobs that depend on it.”

Millennials Gravitate to More Traditional Media

http://www.dmnews.com/the-dm-train-to-engagement-land/article/314123/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+DMNewsHome+%28DMNews+Home%29&utm_content=Netvibes

Email fatigue, and digital fatigue in general, is part of what's causing some millennials to gravitate towards more traditional forms of media. Digital natives taking a trip on the DM train to Engagement Land. 

In fact, among the millennial audience, more than 50% get print deals from newspapers, while 33% look to DM pieces for information on offers. 
I can vouch for this phenomenon. (What? Hey, some commentators say the millennial generation includes people born in the early 1980s. Shut up.) 
But the trend is more pronounced among members of Gen Y. They basically had Wi-Fi in the womb, their smartphones are indispensable to them—and they like getting things delivered to them in a physical mailbox. 
According to a new study from Research Now, teens and twentysomethings are twice as likely to say they were introduced by an offline ad to a product they later bought. Research conducted by Money Mailer found something similar: 90% of 25- to 34-year-olds say they think direct mail is reliable, while 87% say they like getting information and offers from retailers in the mail.

More Publishers Turn to Programmatic Ad Buying

http://ipdahome.org/newsstand/?cat=296

Early this year, ESPN, USA Today and Hulu said they refused to sell online display ads through programmatic sales channels. Just seven months later, all of them do. Whether publishers like it or not, programmatic ad buying has reached a point of no return, writes Digiday’s Jack Marshall.

Digiday

What’s Behind Print Magazine, Newspaper Ad Declines?

http://ipdahome.org/newsstand/?cat=296

Michael Wolff asserts that “Nobody is trying to sell, or at least believably trying to sell, the actual proposition: that blank [print] space adjacent to intelligent content, which you can write on and put in front of an audience demonstrably seeking information, is an efficient and even powerful tool for telling your story. 

USA Today

Condé Nast U.K.’s Profits Down

http://ipdahome.org/newsstand/?cat=296

The U.K. operation reported 39.7% drop in pre-tax profits last year, to £10.4M. Pre-tax profits fell by £6.8m (from £17.3m in 2011) after opening The Condé Nast College of Fashion and Design in London in April.   

The Guardian

Hearst Holds Event to Spur Innovation

http://ipdahome.org/newsstand/?cat=296

Hearst Automotive (Car and Driver and other automotive brands) recently held hackathon at U. of Michigan football stadium, working with MHacks (hackathon organizer). 1,200 U.S. college students came to access data and code from sponsoring companies, with goal of innovating new products and uses for them.  

PBS.org

National Geographic Celebrates 125th Anniversary

http://ipdahome.org/newsstand/?cat=296

In Q&A, Chris Johns, EVP, group editorial director of National Geographic Society, says NGS has continued to thrive amid tech and other changes because it’s more than a media outlet–its mission as a nonprofit institution dedicated to science and exploration have built trust and strong brand equity.   

Forbes

BtoB to Merge into Advertising Age in 2014

http://www.btobonline.com/article/20131001/MANAGEMENT09/310019995/btob-to-merge-into-advertising-age-in-2014

BtoB magazine will become part of Advertising Age, its sibling publication on the consumer marketing side, effective Jan. 1, Crain Communications Inc. announced today.

The move reflects the growing overlap between b2b and consumer strategies as both grow more focused on targeting and engaging specific customer groups.

As part of the merger, a variety of BtoB's features, daily digital news coverage and successful event franchises will be integrated into Ad Age's overall product mix. The publication will continue all its scheduled events, webinars, virtual trade shows, print schedule and daily and weekly news coverage through the rest of this year.

Maine Adds Sales Tax for Magazines, Newspapers

http://bostonherald.com/business/media_marketing/2013/09/maine_newspapers_magazines_slapped_with_sales_tax

Maine residents will have to pay slightly more for newspapers, magazines and other publications, which will be subject to the state's 5.5 percent sales tax starting Tuesday.
Gov. Paul LePage, who generally opposes all new taxes, pushed to lift the exemption on newspapers and magazines in the last legislative session, arguing that only a handful of states allow them to be tax free.
But some say the new tax — which the state estimates will bring in about $6 million over the next two fiscal years — puts a regulatory burden on newspapers with limited resources and staff while taxing buyers.
The newspaper tax come as Maine's sales tax rises on Tuesday to 5.5 percent from 5 percent and the meals and lodging tax is boosted to 8 percent from 7 percent. LePage vetoed the state's $6.3 billion budget because of those increases.

ICSC: 3.4% Rise in Holiday Retail Sales Forecast

http://www.northjersey.com/news/225843111_Retailers__holiday_sales_may_increase_3_4___ICSC_estimates.html

U.S. retailers' sales will climb 3.4 percent this holiday season, slightly more than last year, even as companies expect more modest spending from consumers facing higher payroll taxes and economic uncertainty.

Last year, sales in November and December climbed 3 percent excluding automobile, food and beverage-related sales, Jesse Tron, a spokesman for the International Council of Shopping Centers, a New York-based trade group, said in a phone interview today. Chain-store sales may increase 2 percent.