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    RSS-News News RSS-News from paper-world.com - Add to Google! Page:    <<   1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  21  22  23  24  25  26  27  28  29   >> 
     
     
    29.08.2013   Marbach Transport Bow - Brand-new for Martin Rotary Diecutters    ( Company news )

    Company news Get Marbach’s all-new offer for Martin rotary diecutters featuring Posilock system: replacing conventional transport shells, we recommend our special, brand-new transport bows. Your main benefits: flexible use, major reduction in make-ready time, and substantial saving in costs and storage space.
    (Karl Marbach GmbH & Co. KG)
     
    29.08.2013   Mondi's climate neutral offering expanded to include all high-speed inkjet papers     ( Company news )

    Company news Mondi, an international packaging and paper manufacturer, has expanded its offering of CO2 neutral papers to include its line of high-speed inkjet paper products. This has been done to underline its commitment to reducing CO2 emissions overall and also in response to the growing demand for climate neutral products in the professional printing market.
    “Climate and resource protection is a vital part of our product stewardship and is increasingly turning into a competitive advantage for Mondi,” says Johannes Klumpp, Marketing and Sales Director for Mondi Uncoated Fine Paper. For buyers all over the world, across all industries and business fields – but also in public administration – environmentally sound paper procurement is continually growing in importance. “For our customers, the paper they use for printing represents a significant component of their environmental message,” Mr. Klumpp adds.
    One such Mondi customer, LBBW, has been engaged in the area of sustainability for many years now. “We want to actively contribute to climate protection and support a low emission economy. This is why LBBW developed its own climate strategy in 2011, including a defined target for reducing our CO2 emissions. In addition to reducing energy consumption through technical optimisations and the use of green energy, purchasing and using CO2 neutral paper is another important step towards reaching our goal,” explained Wolfgang Nickel, Head of the Group Output Management Services, Landesbank Baden – Württemberg.
    Together with the climate protection specialist ClimatePartner, Mondi calculated the carbon footprint of its paper products back in 2010. On the basis of this calculation, Mondi launched Color Copy, its premium laser paper, fully CO2 neutral from cradle to Mondi gate. NAUTILUS®SuperWhite has since also been offered optionally CO2 neutral. Mondi has now a fully developed company-wide IT-based product carbon footprint program to calculate a detailed carbon footprint of all paper and packaging products. The calculations are based on the “10 toes” model developed by the Confederation of European Paper Industries (CEPI). “We are able to calculate the carbon footprint of each product, at each stage of the supply chain, to determine the effect of our greenhouse gas reducing activities at every stage,” so Mr. Klumpp. “Sustainable development is not a separate part of our business. It is our business.”
    Dr. Klaus Reisinger, CEO of ClimatePartner Austria, adds: “The paper’s carbon footprint – which makes up roughly 70% of the carbon footprint of a print job - has been calculated and the measures for reduction have been determined jointly with Mondi. Unavoidable emissions are offset via emission reduction certificates from a new hydro power project in Santa Catarina, Brazil.”
    Mondi has reduced its CO2e emissions per unit of saleable products by 25% since 2004 and has an overall rate of renewable energy usage of 58%. Mondi strives to increase environmental efficiency across the company by reducing water and energy consumption, lowering emissions to air and water, and by preserving biodiversity. To promote knowledge sharing amongst stakeholders both in the industry and within the company itself, Mondi hosts environmentally focused ‘Green Events’ as well as ‘Green Trainings’ and also offers online learning tools, such as the ‘Green Range Trivia Game’ (www.mondigroup.com/gogreentrivia).
    All Mondi-branded papers now carry the company’s Green Range label, which stands for sustainable paper production and consists only of papers that meet three core criteria: FSC® or PEFC™ certified, 100% recycled or TCF (totally chlorine free) bleached.
    (Mondi Europe & International Division)
     
    29.08.2013   Stewart Holm Joins American Forest & Paper Association as Chief Scientist     ( Company news )

    The American Forest & Paper Association (AF&PA) has selected Stewart Holm as chief scientist. Holm will be responsible for managing AF&PA’s scientific research and identifying research opportunities across the forest products industry.
    “We are excited to have Stewart on board to develop and implement a comprehensive science and research strategy in support of AF&PA’s policy objectives. His management of key programs in product stewardship, chemical safety and toxicology, coupled with his knowledge of the forest products industry, make him a great addition to AF&PA,” said AF&PA President and CEO Donna Harman.
    Holm has provided expert scientific oversight, guidance and strategic thinking to multi-national corporations related to public policy issues before the Environmental Protection Agency, Occupational Safety and Health Administration and the Food and Drug Administration. He holds a Bachelor of Arts in Chemistry and Biology from Drury University and a Master of Science in Oceanography from the Florida Institute of Technology.
    (AF&PA American Forest and Paper Association)
     
    29.08.2013   ABB helps China's papermaking machines to achieve fully integrated automation     ( Company news )

    Company news Offering customized fully integrated automation systems for China’s papermaking machines, narrowing the gap between China’s papermaking machines and internationally advanced machines, and helping to achieve efficient and high quality production

    ABB, a Fortune 500 company, signed a contract with China’s leading pulp and paper maker Minfeng Special Paper Co., Ltd. (Minfeng) to supply a fully integrated automation system for its domestically-made papermaking machine that produces Glassine paper. The system shall help the production line achieve full process control, from making paper pulp to producing finished rolls of paper, along with quality control.
    With the System 800xA, ABB seamlessly integrates the Distributed Control System(DCS), Quality Control System(QCS), Web Imaging Systems (WIS) into this domestically-made papermaking machine to achieve equipment sharing between sub-systems and centralized intelligent control of the sub-systems as well as reduced investment in equipment, improved product quality and decreased manpower and material resource usage.
    “Compared to systems that are not integrated, fully integrated automation systems have simplified design, an excellent degree of visualization and outstanding level of intelligence, and provide engineers with added convenience during operation while helping enterprises to significantly cut manpower and equipment maintenance costs,” said Lin ShuMing, head of ABB Pulp & Paper in North Asia, “Like Minfeng, more and more paper makers are starting to use ABB’s fully integrated automation systems in their domestically-made papermaking machines for the production of plasterboard surface paper, special paper, wrapping paper and other types of paper.”
    ABB has maintained a strong business in providing fully integrated automation systems for many years due to its customized services for paper makers. Through its cooperation with domestic and international paper makers such as UPM-Kymmene and Hengan for large papermaking projects using advanced international papermaking equipment produced by Voith, Metso, etc., ABB has accumulated a great deal of successful experience in this business area. Minfeng equipped its two Voith machines that produce high grade cigarette paper and writing paper with ABB’s fully integrated automation systems in 1999 and 2002 respectively.
    Nowadays, more and more paper makers have realized that unpredictable machine breakdowns can lead to huge losses and many have already begun using ABB’s fully integrated automation systems in their domestically-made papermaking machines. In 2011, Changtai Paper ordered two fully integrated automation systems from ABB for use in two domestically-made papermaking machines at its new plant that produce plasterboard surface paper and linerboard.
    ABB also provides annual support services to paper makers. Under such services, ABB’s professional engineers can analyze production lines while the machines are shut down for only a very short period of time, and provide paper makers with comprehensive and preventive suggestions on maintenance, thereby helping to ensure production lines are stably and efficiently operated, and the service life of equipment is extended.
    China’s papermaking industry has grown continuously over the past 10 years. ABB established its pulp and paper team in China as early as 1994 and went on to successively establish business branches in Beijing, Shanghai and Guangzhou with its industry-leading workforce and services. In November 2010, ABB established its QCS and WIS factory in Shanghai – the global manufacturing base for its pulp and paper business. By the end of 2011, ABB had successfully completed up to 300 large-scale projects within China’s papermaking industry and had maintained long term partnerships with many leading domestic and international paper makers.
    (ABB Asea Brown Boveri Ltd)
     
    28.08.2013   Metso to upgrade Délipapier's automation to boost availability and tissue production performance    ( Company news )

    Metso has received an order from the Sofidel Group to upgrade the automation of Tissue Machine 1 and water treatment at its Délipapier plant in Frouard, France. The delivery will include an upgrade to the state-of-the-art Metso DNA control system, an upgrade to the Metso IQ quality control system, including a non-nuclear Metso IQ Fiber Weight Measurement, and related comprehensive product training.

    According to François Lecomte, Délipapier Paper Mill Director:
    “This significant upgrade will enhance productivity, allowing Délipapier to bring better quality to its customers, especially for the flagship brands of Sopalin and Le Trèfle in France along with Lotus and Moltonel in Benelux.’’

    Moreover, the improved process control will strengthen Sofidel's commitment to protect the environment. Sofidel is the only Italian company and the first worldwide in the tissue sector (paper for hygienic and domestic use) to sign up to WWF’s Climate Savers programme.
    Délipapier started its operations in 1999 with a full automaton solution from Metso, which has remained in operation to the present day. More than 12 years after startup, the mill wanted to upgrade its still reliable existing control system so as to benefit from the latest available process and system improvements. Metso’s new generation automation and information platform Metso DNA and Metso IQ with non-nuclear IQ Fiber measurement were selected as a result of an in-depth life cycle planning study of the automation system conducted in the mill and once availability and production targets were set. With this upgrade, the mill aims to implement new hardware and software to increase the stability of the tissue making process, to improve production efficiency, to boost automation availability and to get process visibility and better operability thanks to easy production and process data communication, reporting and alarm handling.

    Virtualization technology for cost-efficient upgrade and automation
    The upgrade will be implemented using innovative virtualization technology, which aims at delivering more flexible datacenters to reduce costs thanks to server consolidation. This solution will significantly reduce the number of computers normally required for an upgrade and thus decrease both the purchase cost of computers and cabinets, and the operating expenses of such devices, together with the space needed to install them.
    Virtualization allows Metso to deliver efficient remote support and maintenance of the control system over its entire lifecycle. Patch deployment, server maintenance, software compatibility and further upgrades can all be executed more efficiently.
    The project is scheduled to be completed in October 2013. The value of the order will not be disclosed.
    (Metso Oyj)
     
    28.08.2013   PAPERLINX 2013 FULL YEAR RESULTS AND UPDATE ON PAPERLINX STEP UP ...    ( Company news )

    Company news ... PREFERENCE SECURITIES (HYBRIDS)

    Picture: Dave Allen, Chief Executive Officer

    PaperlinX Limited (PaperlinX) announced a statutory loss after tax of $(90.2) million for the year ended 30 June 2013 compared to a loss of $(266.7) million for the prior corresponding period (pcp).

    The key features of this result are:
    • Continuing revenue of $2.8 billion, down from $3.2 billion pcp due to weaker trading conditions. On a like for like basis, after adjusting for differences in foreign currency translations, revenue was down 12%
    • Underlying loss after tax(1) for the period is $(39.0) million compared to $(54.4) million pcp
    • Underlying EBIT loss(1) of $(21.4) million compared to $(27.2) million for the prior year. Notably, the second half of this financial year delivered an underlying EBIT loss(1) of $7.7 million, compared to a loss of $17.6 million pcp
    • Strong performances in our Canadian, Australian and New Zealand businesses
    • Restructuring charges of $(26.0) million after tax are in line with plan. Extensive restructuring initiatives reduced FTE by 11.8% across the Group
    • Negative operating cash flow of $(42.1) million was largely due to the trading loss and payments for restructuring that were only partially offset by an improved working capital position. The working capital position improved in 2H due to continued focus on inventory levels
    • Impairment charges of $(25.1) million after tax were incurred in the first half of this year and relate to European assets
    • Lower net debt of $122.7 million versus prior year of $147.8 million primarily reflects the benefit of proceeds from the sale of businesses in the first half of this year that were partially offset by cash trading losses, additional restructuring and unfavourable movements on foreign currency translation of foreign domiciled cash and debt
    • Completed the extension of key lending arrangements both in Europe and New Zealand and amended facilities in the UK and the Netherlands to improve flexibility
    • Implemented significant new facilities in Germany, Poland, Austria, Denmark and the Czech Republic to deliver further liquidity

    Commenting on the result, Dave Allen, Chief Executive Officer said, “Our turnaround strategy is progressing, with significant restructuring initiatives undertaken, particularly in Europe. Our efforts this year are forecast to result in permanent cost savings of $35-40 million from FY14. To deliver this, very difficult decisions have been taken, but we are confident that these pave the way to profitability for the Group. We reconfirm our February guidance that the business would be marginally profitable in FY14 at the underlying EBIT level, flowing from cost benefits achieved from restructuring and further cost reduction initiatives that will be rolled out in FY14, and margin improvements from diversified products.”
    PaperlinX Chairman, Robert Kaye said, “Our results in 2013 are still reflective of a business undergoing transformation. The current priorities include accelerating restructuring projects to resize the cost base of the Group and to address underperforming businesses in Europe. We are confident that this transformation programme is on track and beginning to yield results.”

    UPDATE IN RELATION TO PAPERLINX STEP-UP PREFERENCE SECURITIES (HYBRIDS)
    The PaperlinX Board today announced it has entered preliminary discussions with the Trust Company, the responsible entity of the PaperlinX SPS Trust, to explore a potential scrip-based merger between the Company and the PaperlinX SPS Trust, the vehicle that issued the Step Up Preference Securities (Hybrids). These discussions are preliminary and non-binding in nature. For further information, please refer to ASX Cross Release issued today, entitled “Market Update in relation to PaperlinX Step-Up Preference Securities (Hybrids).
    Robert Kaye continued: “The Board believes that the simplification of the capital structure is fundamental to unlocking value for both PaperlinX ordinary shareholders and Hybrid security holders. We will keep the market updated on our progress.”
    (PaperlinX Limited)
     
    28.08.2013   UK recycled containerboard prices edge higher in the second half of August    ( Company news )

    Company news Manufacturers say to have reaped the rewards of a relatively tight market in July and August to increase prices for brown recycled containerboard grades.

    The UK market for recycled corrugated case material was apparently tight enough for prices to rise in the past few weeks. Manufacturers had announced plans to charge up to £50/t more for August deliveries and, to all appearances, succeeded in pushing through a major part of the price hike amid robust demand.

    Many of the new prices are applying for paper deliveries as of 12 or 19 August, EUWID sources pointed out. Some respondents, however, said that higher prices had not been set in stone yet and that any increases would not apply until 1 September at the earliest.

    Manufacturers tend to feel that the market is on their side. Insiders believe that this situation is only partially due to the traditional increase in demand seen in the run-up to price increases. Inventories had recently not attained a level that would have caused supply pressure, market players added. In the UK, specifically, insiders are also pointing to the stoppage of two containerboard machines at Smurfit Kappa Townsend Hook.
    (EUWID Pulp and Paper)
     
    27.08.2013   Huhtamaki celebrates its 20th anniversary and expansion of production premises in Russia    ( Company news )

    Company news Huhtamaki has inaugurated an expansion of its production premises and a new molded fiber production line as part its 20th anniversary celebrations in Russia. In addition to Huhtamaki management the inauguration was attended by Igor Bryntsalov, Chairman of Moscow regional Duma, and Hannu Himanen, the Ambassador of Finland to the Russian Federation.
    Huhtamaki began manufacturing disposable tableware in Ivanteevka, close to Moscow, in 1993. Sales to Russia had begun already earlier and Huhtamaki had won the contract to supply the Moscow Olympics in 1980. In addition to disposable tableware and food packaging, Huhtamaki manufactures nowadays in Russia also egg packaging and cup carriers. Molded fiber packaging production was started in 2004.
    "Russia is a very interesting market. We have had strong growth over the past few years and we plan to continue to grow together with our customers," says CEO Jukka Moisio.
    Including the newly inaugurated expansion of 1.500m2, Huhtamaki now occupies a total of 5.500m2 of manufacturing space in Russia. Net sales in Russia in 2012 were approximately EUR 70 million. Huhtamaki has approximately 500 employees in Russia.
    (Huhtamäki Oyj)
     
    27.08.2013   Turkey's PARTEKS invests in a new TOSCOTEC tissue line    ( Company news )

    Company news The Italian leading paper machinery manufacturer Toscotec will supply a complete tissue production line to the Turkish Company Parteks. The tissue line will be installed in Kayseri capital of the same district in the Central Anatolian region. The line will be started up in the first half of 2014.
    Founded in 1996, Parteks Paper Co. is a fully integrated large manufacturer of tissue paper for household and community, corrugated cardboard and fluting paper. The existing plant, that houses the TM1 tissue machine (started up in 2007), the PM1 fluting machine and corrugating line, covers an area of 100,000 square meters. Converting facility for tissue is close by the plant. The company employs around 300 people. Thanks to the huge investment process in the last two years, Parteks focuses on adding value to its brand name and products.
    The tissue paper is produced with recycled paper and virgin pulp. Panda and Senta are well-known tissue paper brands produced by Parteks.
    "Eco-friendly since we are in the business" is the Parteks slogan. By its means, the company acknowledges the values of quality, tradition and interest in the environment and the community.
    According to this slogan and to this philosophy the new Toscotec project will be focused on reduced energy consumptions, usage of selected raw materials in the manufacturing process, recovery and re-usage of the process water, low emissions (noise and pollutants) as well as on green energy adoption with the application of a steel yankee dryer technology.
    The delivery, based on an intensive energy-saving concept, includes the approach flow featuring ultimate Toscotec technology TT SAF®, broke line, a MODULO-PLUS tissue machine with single-layer headbox, single press configuration and Toscotec steel Yankee dryer TT SYD-12FT. The supply will also comprise an electrification and controls package, tissue machine auxiliaries like a natural gas heated hood, steam & condensate system, provided by Toscotec associate Milltech. A two unwind stands Toscotec rewinder TT WIND-P will complete the package.
    With a width of 2,85m and a design speed of 1600 mpm, the new production line will produce 75 tons a day of high-quality facial, toilet and towel grades, despite the mill is located at 1050 m above the sea level.
    With this latest order, the 10th in 2013, Toscotec continues its expansion also in the challenging Middle East market, strengthening its position as one of the worldwide leading suppliers of tissue machines.
    (Toscotec S.p.A.)
     
    27.08.2013   Legally binding agreement on European forests to be concluded by the end of the year     ( Company news )

    Company news Negotiations concerning a legally binding agreement on European forests have been ongoing for the past 18 months. Discussions will continue in the autumn and the aim is to reach a shared understanding by the turn of the year.
    The fourth and final scheduled hearing was held in mid-June in Poland. Participating nations came to a shared understanding regarding commitments on forests and their sustainable utilisation. An accord was not reached on questions dealing with administration, voting and stakeholder participation, however.

    Negotiations will continue in the autumn and the goal remains to achieve a draft agreement that forestry ministers could approve before the end of the current year. The Finnish Forest Industries Federation took part in the meeting as a member of the Finnish delegation.

    Member State decision-making power must be safeguarded in forest policy

    Forest policy is primarily the responsibility of the Member States within the EU and their decision-making power must be safeguarded in the agreement with respect to all forest-related issues that are not subject to the Union's common policies.

    From the Finnish Forest Industries Federation's point of view the commitments now agreed on represent a reasonable compromise and will probably not cause revisions to Finland's existing forest legislation.

    All parties to the negotiations agreed that the agreement should be sanctioned under the UN. Russia, Ukraine and Switzerland support passing the agreement under the United Nations Economic Commission for Europe, while Norway and Turkey back the United Nations Food and Agricultural Organisation (FAO). The EU, for now, also sides with the FAO camp, even though Member State views on the matter are divergent.

    A decision also needs to be made regarding the right of stakeholder groups to participate in meetings in the capacity of observer organisations. In the EU's view, an individual stakeholder group can be included with the approval of two-thirds of signatory nations, while Russia is calling for full unanimity between signatory countries.

    Further information: Karoliina Niemi, Senior Adviser, Forestry,
    tel. +358 9 132 6679, +358 50 567 9093
    (FFIF Finnish Forest Industries Federation)
     
    26.08.2013   Focus on special cartonboard and Russia     ( Company news )

    Company news Pankaboard is a leading producer of special cartonboards and folding boxboards (FBB) for a wide range of applications, primarily packages for luxury beverages, food, health care, and pharmaceuticals. The mill’s proximity combined with flexible customer service lead to cost-efficient logistics for Russian customers and demonstrate a strategic focus on cross-border trade.

    Pankaboard specialises in virgin fibre cartonboards that are tailored to meet specific end-use segments. The mill offers a wide range of coated and uncoated cartonboards, including folding boxboards up to 550 gsm (1.0 mm) for luxury beverage packaging as well as for food, pharma and health care packaging.

    Wide product range for different applications

    The folding boxboard, PankaBrite (275 - 550 gsm), is well suited to luxury beverage packages because of its thickness. “Due to its thickness we can offer PankaBrite as a very cost efficient and ecological alternative to laminated material constructions,” says Vice President Christer Nordman. “The smooth surface gives excellent printing results.” The folding boxboard can also be delivered with a coated backside, PankaWhite, which for example is used for boxing popular Armenian brandies.

    This unique product range also includes a wide selection of uncoated speciality boards such as the uncoated folding boxboard PankaStar, which is an attractive choice for highlighting the ecological image of a product.

    Using the Condebelt technology for uncoated board results in exceptional smoothness and printability. The mill also produces several other cartonboard grades for various special applications, such as material for laminated displays and picture frames, and for the food service industry.

    Emphasis on cost efficient solutions for Russian customers

    With Pankaboard’s proximity to the Russian border only 25 km away, there are advantages in terms of cost efficient logistics and sustainable transports. In fact, St. Petersburg is as close to the mill as Helsinki. “Customers appreciate our flexible service and delivery options (FCA), which lets them pick up products directly from the mill,” says Mr Nordman. “We see and treat Russia as our home market, and we feel mentally connected to the Russian people.”

    Thanks to this cross-border cooperation and these strategically important customers, Pankaboard has increased its focus on Russia. Since 2012 Pankaboard has been working with sales representative BOCO in Russia, with offices in Moscow and St Petersburg.

    Sustainability and product safety

    All cartonboards produced by Pankaboard are made of virgin fibres. Pankaboard is accredited by PEFC and FSC, and the raw material comes from local, well-managed forests.

    “Our product range has a low carbon footprint thanks to the use of local forests, efficient material utilization (ground wood pulp) and steam generated by our integrated biofuel boiler,” explains mill manager Petri Saastamoinen.

    “Product safety is a high priority, which means superior microbiological and chemical purity,” he continues. “Naturally, the entire Pankaboard product range is certified for direct contact with food.”
    (Pankaboard Oy)
     
    26.08.2013   Metso Corporation's demerger process proceeding – Markku Honkasalo appointed ...    ( Company news )

    Company news ... Chief Financial Officer of the future Valmet Corporation

    Mr Markku Honkasalo, LL.M., eMBA, has been appointed Chief Financial Officer (CFO) of Valmet Corporation. He will start in his new position on September 2, 2013 and will report to President and CEO Pasi Laine.
    Markku Honkasalo has previously worked as CFO, Rautaruukki Corporation and Director, Administration, Legal & HR at Myllykoski Corporation. Prior to his career in industry, Honkasalo held a variety of positions in the banking sector.
    Metso’s pulp, paper and power professionals specialize in processes, machinery, equipment, services, paper machine clothing and filter fabrics. Our offering and experience cover the entire process life cycle including new production lines, rebuilds and services.
    As of January 2014, Metso's Pulp, Paper and Power business will serve its customers with an even more focused and competitive approach as an independent, listed company, Valmet Corporation.
    (Metso's Pulp, Paper and Power segment)
     
    26.08.2013   FiberMark Launches Folding Carton Product Portfolio For Premium Wine/Spirits Packaging    ( Company news )

    Company news FiberMark (www.fibermark.com), a global leader in manufacturing innovative fiber-based covering materials for world-class brands, announces an innovative new portfolio of folding carton products specifically engineered to meet the rigorous design demands of the upscale spirits packaging market.
    These dyed-through board materials offer deep color saturation that eliminates white edges in the finished product while FiberMark’s robust manufacturing process ensures color consistency from lot to lot…a must for high-end brands.

    FiberMark’s Premium Board Portfolio Includes:
    • Grafton® – Premium board with an uncoated vellum finish;
    • Dorset® – Premium board with a matte pigment-coated finish;
    • Metal-X™ and Shimmer™ (K-Series) - Luxury board products with distinctive, decorative coatings.

    These new packaging boards are available in a wide variety of custom colors, including custom color duplex solutions, a wide variety of embossed patterns and are all FSC® certified (FSC-C020981), made in the USA, and include recycled content. Available in three calipers (12pt, 18pt and 26pt), these premium and luxury boards are strong and durable while providing a stylish, refined alternative to white SBS.
    With superior scoring, folding and gluing properties and excellent resistance to cracking and scuffing, these performance boards are not only ideal for folding carton applications but are also well-suited for complimentary branding projects such as hang tags, special event invitations and other corporate collateral materials.
    “FiberMark is dedicated to providing designers with an extensive array of premium packaging and luxury covering materials that reflect and enhance the value of high-end brands,” said Dr. Robert Conforti, Senior Vice-President, New Business Development. “We are pleased to introduce this new portfolio of paperboard products that brings sophisticated visual appeal coupled with superior performance to luxury wine and spirits brands.”
    (FiberMark Inc.)
     
    26.08.2013   The Global Forest Industry in the 2Q/2013    ( Company news )

    Company news Excerpts from the Wood Resource Quarterly (www.woodprices.com)

    Global Timber Markets
    • In the 2Q/13, the Global Sawlog Price Index (GSPI), which is based on 19 key markets around the world, increased for the fourth consecutive quarter to reach SS$86.60/m3. The Index has gone up 5.1 percent year-over-year, reaching its highest level since the 4Q/11.

    Global Pulpwood Prices
    • Weaker pulp markets and a strengthening US dollar resulted in lower wood fiber prices in US dollar terms in most of the major markets covered by the WRQ. Over the past two years, hardwood fiber prices have fallen more than softwood fiber prices.
    • The Hardwood Wood Fiber Price Index (HFPI) has fallen every quarter for two years with one exception. In the 2Q/13, the HFPI was US$100.46, which was 3.1 percent lower than the previous quarter and 14.8 percent below the all-time high in the 3Q/11. The biggest price declines since the 1Q/13 have occurred in France, Japan, Australia, Russia and Germany.
    • The Softwood Wood Fiber Price Index (SFPI) was also down in the 2Q/13, but the decline over the past two years has been less dramatic than that of HFPI. In the 2Q/13, the SFPI was US$97.75, down 2.2 percent from 1Q/13, with the biggest price reductions seen in Norway, Japan, France and Australia

    Global Pulp Markets
    • Higher demand for pulp added upward pressure on prices of both softwood pulp (NBSK) and hardwood pulp (BHK) during the 2Q/13, with the biggest price increases occurring in the US. Prices have gone up faster for NBSK, with the price premium over BHK averaging $40/ton in the 2Q/13 as compared to $30/ton in the 1Q/13.

    Global Lumber Markets
    • North American lumber production was up 7.5 percent during the first five months of 2013 as compared to the same period in 2012, with all regions on the continent showing higher production this year.
    • After the sharp increase in lumber prices in 2012 and early 2013, Douglas-fir and spruce-pine-fir (SPF) prices fell from their ten-year peak of US$230/m3 in January this year to an average of US$170/m3 in June.
    • Despite falling lumber prices during the 2Q/13, the improved housing market in the US attracted more interest from a number of countries overseas. Imports were up year-over-year from Sweden, Germany, Austria, China and Brazil.
    • The trend of sawmills in the Nordic countries diversifying their geographical customer base has continued in 2013. During the spring, exportation to the traditional markets in Europe and Egypt fell, and instead, demand for softwood lumber in Asia and the US was higher.
    • During the past few years, importation of lumber to China has grown at a faster pace than that of log imports, with the share of lumber of the total import value having gone up from 35 % in 2010 to 42 % in the 2Q/13. In fact, wood import volumes have almost tripled in four years.
    • The number of new wooden houses built in Japan has increased every year since 2009.
    • Lumber prices in Japan had trended downward during much of 2012 and early 2013 but suddenly turned around late in the 2Q/13, with prices for import lumber reaching the h ghest levels seen so far in 2013.

    Global Biomass Markets
    • Pellet prices in Germany have increased substantially the past year from an average of €227/ton in the 2Q/12 to €267/ton in the 2Q/13.
    • In the US South, pellet export volumes to Europe resumed their double-digit growth after a brief pause in the fourth quarter of 2012.
    (WRI Wood Resources International LLC, Wood Resource Quarterly (WRQ))
     
    23.08.2013   EXPERTFOLD - Versatility personified    ( Company news )

    Company news "Virtually every top flight carton plants in the world will have BOBST folder-gluers in their machine park," says Jacques Reymond, Head of Sales and Marketing for BOBST’s folder-gluer product line. "And very many of them will have a machine from our EXPERTFOLD folder-gluer range.
    "Since its launch five years ago this year, EXPERTFOLD has become the workhorse of the carton industry as far as folding and gluing is concerned, says Jacques Reymond. "That's largely because it can be configured to handle products as diverse as small pharma cartons, boxes made from plastics, general food cartons, high added-value packaging and large cartons made from litho-laminates."
    Jacques Reymond says that whatever the need there is an EXPERTFOLD configuration to suit it because the range has been designed to offer a choice of widths, a large number of modules with differing functionality, and a choice of peripherals that add everything from automated packing to in-line quality checking of the print, surface and die-cutting of every single carton. "This variety of widths, the modularity and the large choice of peripherals create the very special attribute of the EXPERTFOLD range - huge versatility."

    Flexibility matters
    Most users configure the width of their EXPERTFOLD line to match their core business, with 50 cm, 80 cm and 110 cm versions being those most suitable for folding carton applications. The wide choice of modules available means that lines can be configured to precisely reflect what the customer needs. "That versatility of the EXPERTFOLD I spoke of really comes into play in the number of modules and peripherals that the user can choose from," says Jacques Reymond. "These allow them to process thousands of different styles, from straight-line cartons to immensely complex multi-point or double wall boxes and also to carry out a large number of extra processes such as embossing or QA."
    As an example, Jacques Reymond explains that a pharma carton maker may need a folder-gluer capable of handling solely straight-line boxes, but may want to put a unit into the configuration that will allow them to quickly and effectively apply Braille embossing in-line. "By taking the application of Braille away from the die-cutting process you save time, reduce the number of stops downstream, and generally improve the consistency of your Braille dots." Applying up to eight lines of Braille, including in the transverse direction, the ACCUBRAILLE GT can handle folder-gluer speeds of up to 115,000 boxes per hour. "As well as the direct production benefits the tooling is cheaper and tools can also be made on-site and made very quickly," says Jacques Reymond. "At BOBST we pioneered this technology and the ACCUBRAILLE GT is the second generation of our rotary Braille embossing systems. Other suppliers with in-line Braille systems are still only just starting out but to date we have installed close to 200 ACCUBRAILLE and ACCUBRAILLE GT units worldwide."

    Accurate folding comes as standard
    All widths of EXPERTFOLD folder-gluers run at speeds up to 450 meters per minute and Jacques Reymond says that the EXPERTFOLD uses a variety of technologies to ensure that users can capitalize on this performance. "Our patented Accufeed unit is standard to the machine and reduces feeder setting time by 75%. Also we have designed the EXPERTFOLD so that 98% of the tooling stays on the machine, reducing make-ready times even further. The built-in blank aligner within the Accufeed unit ensures perfect alignment of the blank as it enters the folding process, which is a pre-requisite for consistent, high speed folding and gluing."
    Adding to this performance are a range of peripheral units designed for getting blanks into, or finished boxes out of, the line. Jacques Reymond cites the HANDYFEEDER pick and place feeder as being a typical performance enhancing peripheral from BOBST. "It uses a gauge-less system and integrated cut-alignment module to deliver precise and careful feeding of materials into the folder-gluer, without friction, without risk of marking and without setting problems. That helps users run faster and to run more consistently." Alongside HANDYFEEDER, BOBST offers even more highly automated units designed to maximize outputs from the EXPERTFOLD. These include its EASYFEEDER GT pre-feeder with batch inverter and its CARTONPACK GT automated packer.
    As Jacques Reymond notes, the modularity of the EXPERTFOLD and the range of peripherals available mean that users can tailor their line to the precise needs they have today, while also having the option to modify it in the future if their markets change. "As well as the modules and peripherals we also create special devices for customers for jobs that present them with particular challenges. So if they suddenly start getting large amounts of work for something like chip scoops or wallet fold boxes, we can supply a solution that will augment their existing equipment."

    100% right
    In today's demanding packaging market, ensuring that every carton you produce meets the customers' specifications is essential, especially as 'zero fault' packaging supply contracts and filling line performance clauses become more prevalent. EXPERTFOLD is perfectly placed to be the last line of defense against defective cartons reaching the customer says Jacques Reymond, both in terms of gluing and of processes further upstream. "To do this the folder-gluer has to be able to work hand in hand with systems that check glue patterns, bar codes and pharma codes etc. At BOBST we have worked with all of the main players in the field for many years, interfacing their systems with our folder-gluers. As well as working seamlessly with these systems the EXPERTFOLD has our 'flipper' ejector which can be triggered by the QA system, ejecting only the defective carton however fast the machine is running."
    BOBST is constantly developing and innovating says Jacques Reymond, both in terms of new machines and in applying radical technology to existing products. "We have now made the ACCUCHECK in-line 100% inspection system available to EXPERTFOLD users. It checks every carton for defects such as missing print and color variation, as well as identifying die-cutting and board surface faults. As the folder-gluer is usually the last process that cartons go through before they are sent off to the customer this constitutes a valuable final check that can save users a lot of time and a lot of money."
    (Bobst Mex SA)
     
    23.08.2013   High flexibility and productivity – Italy's first Speedmaster XL 162 from Heidelberg produces ...    ( Company news )

    Company news ... both short runs for point-of-sale applications and long runs for food and non-food packaging

    - Growing demands in terms of quality and very short delivery times from manufacturers of branded goods
    - Trend in packaging printing toward enhanced surface finishing with spot colors and dual coating applications
    - Folding carton manufacturer Imballi uses Speedmaster XL 162 to deliver first-class products and further growth

    Picture: Livio Ballan (right) and his son Marco are using Italy's first Speedmaster XL 162 from Heidelberg to produce products for discerning manufacturers of branded goods in the food and non-food sectors.

    Manufacturers of branded goods in the food and non-food sectors are placing growing demands on their folding carton suppliers. They expect high productivity combined with very short delivery times, the quality needs to be right, and surface finishing requirements are becoming more and more unusual as they look to draw attention to products at the point of sale using displays and packaging. And it is precisely with such customers that folding carton print shop Imballi - which was founded in the Italian town of Castelfranco, near Verona, in 1993 - has made a name for itself. Continuously modernizing the print shop and investing in the latest technologies are vital aspects of this success. Following comprehensive tests with a number of press manufacturers, Imballi decided on the Speedmaster XL 162 from Heidelberger Druckmaschinen AG (Heidelberg). This press's inline surface finishing with primer UV applications gave it a clear edge in meeting all the print shop's requirements. Imballi already operates three large-format presses supplied by other manufacturers.
    "We gave a great deal of consideration to this decision and are delighted to have been the first print shop in Italy to install a Speedmaster XL 162 for packaging printing. I'm very impressed with our investment," stresses Imballi's owner Livio Ballan. "We need excellent print quality, high-gloss finishes, very short makeready times, and excellent flexibility - and the Speedmaster XL 162 meets all these requirements. What's more, Heidelberg performed a detailed analysis of our production requirements and impressed us with its technical consulting expertise," he adds.

    Enhanced surface finishing thanks to spot colors and dual coating applications
    Imballi's Speedmaster XL 162 is a six-color press with dual coating unit. This satisfies the growing coating demands of print shops that are endeavoring to attract attention at the point of sale or on the shelves with matt-gloss effects (primer UV) and by combining different surface textures. Imballi has a workforce of over 120 and operates three shifts. It mainly produces point-of-sale displays in relatively short runs and liner material laminated onto open corrugated board. In some cases, this involves combining various materials with surface finishing and additional applications. The print shop also produces longer runs for packaging products. Run lengths range from 800 to 20,000, with standardized grammages of between 170 and 250 gsm. To ensure the required reliability of supplies for customers, the full-service print shop also produces its own corrugated board on two large lines. Print sheets are then laminated onto this inline. This is where the motorized, multiple paper stretch compensation (fan-out control) at the rear edge of printing plates on the Speedmaster XL 162 comes into its own. It results in register-accurate print quality and enables register corrections to be made on the fly, which is beneficial with liner materials in particular.
    "We see the Speedmaster XL 162 as the future of production operations. Its high level of automation and quality monitoring minimize our start-up waste and enable us to stand out from the competition. This means we can offer our customers an even better level of service and achieve further growth," stresses the owner's son Marco Ballan, who is responsible for production and marketing.
    Heidelberg has already installed a total of two large-format presses in Italy this year. A Speedmaster XL 145 with seven printing units and dual coating technology was installed at the same time as Imballi's press at Ival, a packaging company based in Mantua. Ival's product portfolio includes food packaging for the well-known pasta maker Barilla.
    (Heidelberger Druckmaschinen AG)
     
    23.08.2013   Catalyst appoints BC industry veteran as President & CEO    ( Company news )

    Company news Catalyst Paper (TSX:CYT) announced the appointment of Joe Nemeth as President and Chief Executive Officer. Mr. Nemeth is an experienced pulp and paper industry executive bringing 30 years of background to his new role at Catalyst. His appointment is effective October 1, 2013.
    Mr. Nemeth has held executive positions in sales, marketing and operations and was, most recently, President and CEO of Canfor Pulp. His leadership achievements include best of peer group financial performance; negotiation and oversight of major business and strategic development initiatives; and continuous improvement in operations, cost and organizational management.
    “Mr. Nemeth’s knowledge of the marketplace and his experience in the operational side of the pulp and paper process are well-matched with our requirements and will ensure the necessary momentum to keep pace with the very competitive global paper industry,” said Catalyst Board Chairman and Interim CEO Leslie T. Lederer.
    Mr. Nemeth holds an MBA from the University of Western Ontario and a Bachelor of Forestry from the University of British Columbia. He is a director of Fortress Paper Ltd. Born and raised in coastal British Columbia, Mr. Nemeth and his family make their home in the greater Vancouver region.
    (Catalyst Paper Corporation)
     
    23.08.2013   Mondi Ibersac successfully extends its range of certifications to hygiene standard BRC/IoP    ( Company news )

    Company news Picture: Mondi Ibersac plant in Aranguren

    Mondi Ibersac has been successfully certified with the BRC/IoP (British Retail Consortium/Institute of Packaging) standard that is especially important for customers in the food industry. As first industrial bags plant in Spain to be awarded this certification, Mondi Industrial Bags Spain offers its customers the highest standards in hygiene (BRC/IoP) in addition to environmental sourcing (FSC® and PEFC®) and quality management (ISO 9001).
    “We are extremely proud to have achieved the BRC/IoP certification and to be the first industrial bags plant in Spain with this achievement”, explains Luis Elorriaga, Managing Director Mondi Industrial Bags Spain. “With this step our plant in Aranguren further strengthens its position in producing food packaging for the national and international markets.”
    In addition, the plant was also successful in securing its re-certification of the ISO 9001 and PEFC and FSC systems. This makes Mondi Industrial Bags Spain the only producer in the country with such a wide range of certification standards. “These certifications allow us to meet our customer needs, such as high hygiene standards for the food industry and the growing environmental requirements”, Elorriaga explains.
    Mondi Industrial Bags’ commitment to high standards is underlined by its extensive plant network with hygiene certifications. Besides the newly BRC/IoP certified plant in Aranguren, seven plants in Europe are ISO 22000 certified, three fulfil DIN EN 15593 and two comply with HACCP/BRC/IoP.
    (Mondi Ibersac SA (Aranguren))
     
    23.08.2013   International Paper Releases Second Quarter Earnings    ( Company news )

    Company news -Solid Results and Strong Free Cash Flow
    -Driven by Expanded Margins, Seasonally Strong Volumes and Good Operational Performance

    Picture: John Faraci, Chairman and Chief Executive Officer

    (NYSE: IP) International Paper reported second quarter 2013 net earnings attributable to common shareholders totaling $259 million ($0.57 per share) compared with net earnings of $318 million ($0.71 per share), in the first quarter of 2013 and $134 million ($0.31 per share) in the second quarter of 2012. Amounts in all periods include the impact of special items.

    Operating Earnings were $288 million ($0.64 per share) in the second quarter of 2013, compared with $292 million ($0.65 per share) in the first quarter of 2013 and $232 million ($0.53 per share) in the second quarter of 2012.
    Quarterly net sales were $7.3 billion compared with $7.1 billion in the first quarter of 2013 and $7.1 billion in the second quarter of 2012.
    Business segment operating profits before special items in the second quarter of 2013 were $622 million, compared with $571 million in the first quarter of 2013.
    “International Paper delivered strong results this quarter. We expanded margins and benefited from seasonally stronger volumes and solid operating performance despite higher planned maintenance outage costs” said John Faraci, Chairman and Chief Executive Officer. “As we move into the second half of the year, the company is well positioned to significantly improve earnings and free cash flow for the balance of 2013.”

    SEGMENT INFORMATION
    The performance of the company's business segments are measured quarter to quarter without variations caused by special items, as management focuses on business segment operating profits excluding those items. Second quarter 2013 business segment operating profits and business trends compared with the prior quarter are as follows:
    Industrial Packaging operating profits in the second quarter of 2013 were $477 million ($474 million including special items) compared with $369 million ($355 million including special items) in the first quarter of 2013. In North America, higher selling prices for boxes and containerboard, increased box shipments and lower operating costs drove improved results. In Europe, performance was weaker in challenged Western European markets.
    Printing Papers operating profits were $76 million (before and after special items) in the second quarter of 2013 versus $149 million (before and after special items) in the first quarter of 2013. The earnings decrease of ($73 million) was due to significantly higher planned annual outage costs in the second quarter in North America and Europe and the establishment of a reserve ($28 million) to cover potential credit exposure related to the National Envelope bankruptcy. Brazil’s results improved compared to the first quarter due to seasonally stronger domestic volume and price.
    Consumer Packaging operating profits were $52 million ($51 million including special items) in the second quarter of 2013 compared with $51 million ($7 million including special items) in the first quarter of 2013. Earnings were impacted by higher sales volumes and lower manufacturing costs in North America, offset by higher annual outage costs in both North America and Europe.
    xpedx, the company’s North American distribution business, reported operating profits of $17 million (break-even including special items) in the second quarter of 2013 compared with $2 million (a loss of $5 million including special items) in the first quarter of 2013. The second quarter results reflect lower costs, partly from the business’s strategic restructuring efforts.
    International Paper recorded Ilim joint venture equity losses of $34 million in the second quarter of 2013, compared with equity losses of $11 million in the first quarter of 2013. Based on a stronger dollar versus the ruble, the after-tax impact of a foreign exchange loss in the second quarter of 2013 was $23 million compared with an $11 million loss in the first quarter. The impact in both quarters was due to non-cash adjustments associated with the Ilim Group joint venture’s U.S. dollar denominated debt. Earnings were also negatively impacted by start-up costs related to two major capital projects.
    Net corporate expenses, excluding non-operating pension expense, for the 2013 second quarter were $0 million compared with $22 million in the first quarter of 2013 and $3 million in the second quarter of 2012.
    Effective Tax Rate
    The effective tax rate before special items for the second quarter of 2013 was 30%, compared with an effective tax rate before special items of 21% in the first quarter of 2013. The primary reason for the lower first quarter rate was due to the inclusion of a benefit of approximately $35 million related to the enactment into law of The American Taxpayer Relief Act of 2012 on January 2, 2013 (the “Act”). The Act retroactively restored several expired business tax provisions including the research and experimentation credit and the Subpart F controlled foreign corporation look-through exception.

    Effects of Special Items
    Special items in the second quarter of 2013 included a net pre-tax gain of $4 million ($2 million after taxes) for restructuring and other charges and pre-tax charges of $14 million ($8 million after taxes) for integration costs related to the Temple-Inland acquisition. Also included are a pre-tax charge of $6 million ($4 million after taxes) for an environmental reserve related to the Company’s property in Cass Lake, Minnesota and a pre-tax charge of $9 million ($5 million after taxes) to adjust the value of two Company airplanes to fair value. In addition, a gain of $13 million (before and after taxes) was recorded for a net bargain purchase gain on the first quarter 2013 acquisition of a majority share of our Packaging operations in Turkey. Restructuring and other charges included a pre-tax gain of $30 million ($19 million after taxes) for insurance reimbursements related to the 2012 Guaranty Bank legal settlement, pre-tax charges of $17 million ($10 million after taxes) for costs associated with the restructuring of our xpedx operations, pre-tax charges of $3 million ($2 million after taxes) for debt extinguishment costs, pre-tax charges of $3 million ($2 million after taxes) for costs associated with the announced potential spin-off of the xpedx operations and charges of $3 million (before and after taxes) for other items.
    Special items in the first quarter of 2013 included pre-tax charges of $59 million ($36 million after taxes) for restructuring and other charges and pre-tax charges of $12 million ($8 million after taxes) for integration costs related to the Temple-Inland acquisition. Also included are pre-tax interest income of $6 million ($4 million after taxes) and a tax benefit of $93 million both associated with the closing of a U.S. federal income tax audit and a net tax expense of $2 million related to internal restructurings. Restructuring and other charges included pre-tax charges of $44 million ($27 million after taxes) for costs related to the permanent shutdown of a paper machine at our Augusta, Georgia mill, pre-tax charges of $6 million ($4 million after taxes) for debt extinguishment costs, pre-tax charges of $7 million ($4 million after taxes) for costs associated with the restructuring of our xpedx operations and pre-tax charges of $2 million ($1 million after taxes) for other items.
    Special items in the second quarter of 2012 included pre-tax charges of $21 million ($13 million after taxes) for restructuring and other charges, a pre-tax charge of $62 million ($38 million after taxes) to adjust the value of the long-lived assets of the Hueneme mill in Oxnard, California to their fair value in anticipation of its divestiture, pre-tax charges of $35 million ($22 million after taxes) for integration costs related to the Temple-Inland acquisition, pre-tax charges of $9 million ($5 million after taxes) for costs associated with the announced third-quarter 2012 divestiture of the Hueneme mill and two other containerboard mills, and pre-tax charges of $9 million ($7 million after taxes) for other items. Restructuring and other charges included pre-tax charges of $10 million ($6 million after taxes) for debt extinguishment costs, pre-tax charges of
    $10 million ($6 million after taxes) for costs associated with the restructuring of our xpedx operations and charges of $1 million (before and after taxes) for other items.

    Discontinued Operations
    Discontinued operations in the second and first quarters of 2013 and in the second quarter of 2012 included the Operating Earnings of Temple-Inland's Building Products business. Also included are pre-tax charges of $13 million ($8 million after taxes) in the second quarter of 2013 and $4 million ($3 million after taxes) in the first quarter of 2013 for the write-off of capital investments and expenses associated with pursuing the divestiture of this business.
    (International Paper)
     
    23.08.2013   Major order at Sappi Alfeld for GAW    ( Company news )

    Company news Sappi Alfeld has added another chapter to the long lasting partnership with GAW and placed an order for the modification of the coating color supply to PM2.
    The location in Alfeld (south of Hanover) has a long papermaking tradition starting in the early 18th century. Since 1992 the recent production is under the auspices of Sappi. After the modification the paper machine no. 2 will produce one-sided coated specialty paper instead of coated fine paper. About 135.000 to/y are scheduled, the remaining paper machines 1,3,4 and 5 already produce approx. 165.000 tons of specialty paper and board by now. The new PM2 will be the fastest and most productive specialty paper machine in the world, mainly coated qualities from 40-180 g/m for liquid packaging, technical applications, liner and labels will be produced.
    Besides the coating color supply also 3 working stations as well as a cooling water system to the coaters and the working stations will be delivered. One coating head is mutually fed by 2 working stations to achieve fastest coating color changes. The start-up is scheduled for autumn 2013. A big challenge for the GAW scope of supply is the time-frame for the changeover, since - amongst others - parts of the working stations, the filtration and the stocking/supply have to be transported from SM3 to the new SM2. Also certain units will be demounted, transferred to GAW Graz for adjustment/extension, and returned to Alfeld. The strict guidelines and guaranties for the state of the degassed coating color - despite the long feed line – are equally demanding.
    During the change of coating color the „Wet in Wet“ technology of the GAW ball-cleaning system guarantees minimum losses and also no blending of recipes and therefore a thinning of the coating color can be avoided in the cleaning cycle.
    (GAW technologies GmbH)
     
    23.08.2013   Stora Enso Interim Review January–June 2013    ( Company news )

    Company news Solid cash flow, further transformation steps launched

    Q2/2013 (compared with Q2/2012)
    -Operational EBIT EUR 124 (EUR 144) million. Improvement in Building and Living and in Renewable Packaging. Printing and Reading loss-making due to weak paper market.
    -Solid cash flow from operations at EUR 344 (EUR 246) million due to reduction in working capital, especially in paper business. Cash flow after investing activities EUR 227 (EUR 74) million.

    Q2/2013 (compared with Q1/2013)
    -Operational EBIT EUR 124 (EUR 118) million.
    -Ratio of net debt to the last twelve months’ operational EBITDA 2.7 (2.7).
    -Cash flow from operations EUR 344 (EUR 101) million. Strong liquidity at EUR 1.8 (EUR 1.7) billion.

    Q1-Q2/2013 (compared with Q1-Q2/2012)
    -Operational EBIT at EUR 242 (EUR 294) million.
    -Solid cash flow from operations at EUR 445 (EUR 469) million.

    Transformation
    To accelerate access to the growing Chinese market, Stora Enso will launch its integrated mill project in Guangxi, China in two phases, starting with building a consumer board machine. First phase capital expenditure expected to be EUR 760 million.
    -Montes del Plata Pulp Mill estimated to begin mill start-up process at the end of Q3/2013.
    -Stora Enso to invest EUR 32 million in a world-class biorefinery at Sunila Mill in Finland.

    Streamlining and structure simplification
    -Streamlining and structure simplification plans to achieve annual net fixed cost savings of EUR 200 million proceeding on schedule.

    Outlook
    Q3/2013 sales expected to be slightly lower and operational EBIT in line with or slightly higher than Q2/2013.
    (Stora Enso Oyj)
     
    23.08.2013   New Voith winder line for almost all paper grades    ( Company news )

    Company news Voith has reworked and further developed the technology behind its VariFlex two-drum winder. Along with simplified operation, special attention was paid to ensure robust safety technology. The winders up to 7 m wide and with a roll diameter of 2,100 mm are the first components to come onto the market.
    The Voith VariFlex winder is based on the two-drum concept. The roll set is wound in a roll bed formed by two winder drums. With the compact new VariFlex line, Voith has further developed its VariFlex S, M and L two-drum winders and simplified their control technology.
    It is primarily the roll geometry, the roll arrangement and if applicable the covers that are important for the high productivity and consistent quality of the two-drum winder. Properly combined, they ensure high speeds, a reliable web run, good roll geometry and reliable handling of large roll diameters as well. Depending on the requirements and design, production speeds of up to 3,000 m/min are possible without any problem.
    The modularly structured VariFlex was designed for a broad range of applications and due to different roll and cover combinations allows configurations for numerous paper grades. While new paper machines from Voith are already delivered with a winder, the new VariFlex was designed in particular for replacements or rebuilds on existing machines which requires only very short shutdown and optimization times.
    Since VariFlex is directly delivered with all drives included, customers benefit from fewer interfaces and especially short commissioning and system optimization timeframes. The specifically developed elastic covers for the winder drums, ElaGrip and ElaCare, ensure flawless winding quality even for demanding paper grades. Together with the VariPlus and VariTop single-drum winders, VariFlex covers the entire range of winders for all paper grades and characteristics.
    (Voith Paper GmbH & Co KG)
     
    22.08.2013   First customers impressed by QCS software platform from Voith     ( Company news )

    Company news ComCore is a software platform from Voith Paper that will integrate its entire QCS product portfolio in the future. With this common platform, it is now even easier to deliver solutions that are exactly coordinated with the needs of paper producers. ComCore is already in use with more than 15 paper machines worldwide, in various paper grades. The customers are very satisfied and are impressed by the advantages that ComCore offers.
    The various Voith QCS products such as OnQ ModuleJet, OnQ FormingSens and the Voith LSC Scanner are consolidated in ComCore. ComCore thus offers, with just one click, a way to perform all necessary interventions and call up all necessary information about the various components and applications of the quality control system. Other products can be integrated at any time by expansion of the software modules. The start-up times are thus shortened. The uniform platform architecture also reduces the training needed for service personnel.
    In developing ComCore, Voith relied on established standards in the industry such as OPC for communication and combined them with innovative technology such as HTML5. As it is operated with a web user interface ComCore is as easy and intuitive to use as possible. ComCore can also be operated with commercially available tablet PCs, which increases the mobility and flexibility of employees. Time-consuming installation is not an issue with these operating stations, as the ComCore user interface is simply called up via Internet Explorer.
    If work is undertaken directly on a part of the paper machine, the corresponding personnel thus keep all other machine settings in view on their mobile tablet PCs and can better react to changes. Thus ComCore additionally provides a clear safety advantage for the individual employee.
    (Voith Paper GmbH & Co KG)
     
    22.08.2013   Flint Group displays innovative products at Labelexpo Europe    ( Company news )

    Company news Exposure technologies nyloflex® NExT for Flat Top Dots and surface screening and nyloprint® NExT for finest relief elements and gradations will be presented

    Picture: nyloprint® NExT

    At this year’s Labelexpo Europe from 24 to 27 September in Brussels, Flint Group will again present innovative products and technologies. The two Flint Group divisions, Packaging & Narrow Web and Flexographic Products, will provide visitors with the opportunity to learn more about the comprehensive product portfolio for narrow web printing at stand no. 5B45.
    With nyloflex® NExT for Flat Top Dots and surface screening and nyloprint® NExT for a precise reproduction of finest relief elements and gradations, Flint Group Flexographic Products will present its innovative exposure technologies. Both technologies offer a number of advantages to the user.
    In flexible packaging, the nyloflex® NExT Exposure enables an optimised ink lay down on press and it exploits the potential to improve the highlights and fine vignettes. The LED based exposure technology offers precise and reliable surface screening as well as the reproduction of the finest image details. In corrugated post-print, nyloflex® NExT technology shows not only an improvement in reproduction but also a significant reduction of the fluting effect.
    New on the market is the nyloprint® NExT Exposure unit for letterpress plates, which is targeted to the high-end segment of labels, tubes, cups and can printing as well as the security and banknote printing. The latest generation of UV-A LEDs (> 250 mW/cm²) allows a more precise image reproduction of the finest relief elements and gradations. Compared with conventional light sources, the high-power LEDs enable a virtual 1:1 copy of the digital data onto the printing plate. The exposing speed of the LED bars can be customised to specifically define dot shape and shoulder angle. Additionally, the finest highlights and open shadows increase the image contrast. The new technology can be used for all digital letterpress plates, regardless of plate thickness and format.
    Both technologies are compatible with all standard prepress and HD software and can be easily implemented into the existing digital workflow.
    Further information on the NExT exposure technology for high-end label applications will be offered to the visitors during daily presentations. An additional highlight is the UV LED curable ink series EkoCure.
    You are invited to visit booth 5B45 to see Flint Group’s innovative products.
    (Flint Group Germany GmbH)
     
    22.08.2013   Xerium Announces First Phase of New Press Felt Plant In China    ( Company news )

    Xerium Technologies, Inc. (NYSE:XRM), a leading global provider of industrial consumable products and services, today announced plans to build a new, high-end press felt plant near Shanghai, China. This greenfield plant will employ the industry’s most advanced press felt manufacturing technology capable of supplying the highest quality products for the most demanding machines in the region.

    Production at the new plant is expected to begin by Q1 2015. Xerium’s decision to build a new machine clothing plant in China is based upon several important business reasons.
    -The company’s sales in Asia are growing differentially higher than in other parts of the world and 3rd party market estimates are for these consumption rates to continue for a long time.
    -There is strong customer preference for the company’s high-end press felt products in Asia, especially in tissue. Today, the company supplies products to the region from 21 of its global plants.
    -Xerium is committed to reducing its overall cost structure by repositioning its manufacturing footprint in low cost countries. Xerium is already expanding its current operations in Mexico, Brazil and China. This investment will be another step forward in that direction and the building plant site is being designed to accommodate future expansions to further lower Xerium’s cost structure materially.
    -This new plant enables quick turns for customers with short lead time and emergency coverage requirements.

    The company will fund the investment from its normal cash flow and capital structure and Xerium’s overall capital spending will be substantially similar to previous estimates.
    “This new low-cost, high-tech plant in China is another big step forward for Xerium,” said Harold Bevis, Xerium’s President and CEO. “This state-of-the-art facility will produce the most advanced press felts in the world and its quality processes are being modeled after our plant in Gloggnitz, Austria, which will create one of the best press felt facilities in the world. It will be a big advancement for our Chinese customers specifically as it will allow Xerium, for the first time ever, to provide quick in-county press felt service to the largest pulp, paper and board market in the world. This new facility will immediately become our lowest cost plant and strengthen our global manufacturing base. This investment decision demonstrates our commitment to making material changes to improve Xerium’s go-forward sales and profit business model. Several options exist for the next steps in the China plant evolution, but no decisions have been made yet. We will do one phase at a time in a high-quality, low-cost manner and build from there.”
    (Xerium Technologies Inc.)
     
    22.08.2013   Lenzing Group: First Half-Year Results 2013 as Expected    ( Company news )

    Company news -New record fiber sales volumes against the backdrop of declining prices
    -Strategy adjusted to market conditions
    -Outlook revised to take account of successful sale of Lenzing Plastics

    Picture: Chief Executive Officer Mag. Dr. Peter Untersperger

    The Lenzing Group was not immune to the continuous downward price development on the marketplace in the first half-year 2013. Nevertheless, against the backdrop of declining sales, Lenzing generated earnings in line with expectations but considerably below the first half of 2012.
    Consolidated sales declined by 6.8% in the first half of 2013 to EUR 989.9 mn, down from EUR 1,061.8 mn in the previous year. The significantly lower average fiber selling prices compared to the first half of 2012 could not be compensated by the higher fiber shipment volumes. Furthermore, there was a loss of external sales of about EUR 42.5 mn at the Paskov pulp plant compared to the first half of 2012. The comparability of the performance indicators in the first half of 2013 with those in the prior-year period is limited due to Lenzing’s sale of its Business Unit Plastics (Lenzing Plastics).
    Consolidated earnings before interest, tax, depreciation and amortization1 (EBITDA) amounted to EUR 162.0 mn, down 16.3% from EUR 193.6 mn in the first half of 2012. The EBITDA margin was 16.4% in contrast to the prior-year figure of 18.2%. Earnings before interest and tax (EBIT) in the first half-year totaled EUR 103.0 mn, a decrease of 27.0% from the previous year’s EBIT of EUR 141.1 mn. This corresponded to an EBIT margin of 10.4% in the first half of 2013 (H1 2012: 13.3%). The disposal of the Business Unit Plastics by the Lenzing Group resulted in a cash inflow of EUR 61.7 mn and a gain on disposal before taxes (affecting EBITDA and EBIT) of EUR 25.9 mn at the half-year reporting date.
    In the first half-year 2013, the market was characterized by ongoing high inventories of cotton and surplus production capacities for viscose fibers in China, the most important sales market, and thus globally declining prices for man-made cellulose fibers. The average fiber selling prices of the Lenzing Group totaled EUR 1.76/kg (H1 2012: EUR 2.03/kg).
    “We have reacted and already initiated a cost optimization program at the beginning of the year. In addition, we have adjusted our short- and medium-term strategy to the changed market environment. We will more strongly focus on our specialty fibers TENCEL® and Modal in the future. Viscose fibers will remain an important pillar of our business, but further expansion projects for viscose fibers will only be implemented if correspondingly high profitability is achieved” reports Lenzing’s Chief Executive Officer Peter Untersperger. Current large-scale strategic investments such as the new TENCEL® production plant located at the Lenzing site will continue as planned. Moreover, Lenzing will rapidly press ahead with scaling TENCEL® to ensure more widespread use.

    Double-digit cost savings
    “The excelLENZ program launched at the beginning of 2013 is bearing fruit. We succeeded in generating savings of EUR 16 mn in the first half-year”, adds Lenzing’s Chief Financial Officer Thomas G. Winkler. These cost reductions were primarily achieved in purchasing as well as maintenance investments.
    Investments in intangible assets and property, plant and equipment totaled EUR 134.4 mn2 in the first half of 2013, compared to EUR 130.0 mn in the first six months of 2012. The focal point of the new investments was almost exclusively the construction of the new TENCEL® production plant at the Lenzing site. According to CFO Winkler, the priority is on optimal cash management. The level of investments is not expected to rise in the second half of the year. Accordingly, CAPEX for the entire year 2013 will amount to approximately EUR 260 mn (2012: EUR 346.2 mn). “In the future Lenzing will only spend as much as we earn“, Winkler says. And this is also a consequence of the excelLENZ program.
    The sale of Lenzing’s Business Unit Plastics led to a 2.9% decrease in the balance sheet total to EUR 2,556.5 mn. Adjusted Group equity3 as of the end of June 2013 remained largely unchanged at EUR 1,154.8 mn compared to the level of EUR 1,153.1 mn at the end of 2012. Net financial debt totaled EUR 424.4 mn in the middle of 2012 (December 31, 2012: EUR 346.3 mn). This still corresponded to a moderate 36.8% ratio of net financial debt to equity (December 31, 2012: 30.0%), hardly a change from the first quarter of the year.

    Segments Fibers and Engineering
    Lenzing successfully increased fiber production and shipment volumes in its core Segment Fibers in the first half of 2013, and also reported ongoing attractive price premiums for Modal and TENCEL®. Lenzing achieved a new record level of fiber sales, which amounted to 438,000 tons in the first half of 2013. However, the price development for viscose fibers was less favorable than previously expected.
    The Business Unit Textile Fibers carried out a large number of measures in the first half-year 2013 which were designed to promote the sales of the specialty fibers Lenzing Modal® and TENCEL®. The comparatively high cotton price in China, the most important sales market for Modal, also helped support demand for Lenzing Modal® as a fiber blend.
    The global nonwovens fiber market developed robustly in the first half of 2013 against the backdrop of very good volume demand. However, the declining textile fiber selling prices also led to some price pressure in the nonwovens sector, even if this was to a moderate extent.
    “Our specialty strategy and quality leadership proved their value in this difficult market environment. The volume demand for our fibers continues unabatedly. Lenzing’s inventories are low, even if the achievable selling prices for standard viscose fibers are currently disappointing”, explains Friedrich Weninger, Member of Lenzing’s Management Board with responsibility for the fiber business. “Modal, TENCEL® and all nonwoven products made a significant contribution to stabilizing our business in the first half-year. Furthermore, we moved ahead with increasing our capacities to produce our own pulp thanks to the conversion of the Paskov plant from paper pulp to dissolving pulp. The targeted monthly production level could already be achieved six months ahead of schedule“.
    The Segment Engineering developed well, with new contract orders somewhat below the comparable prior-year level.

    Sale of Business Unit Plastics
    The disposal of the Business Unit Plastics (Lenzing Plastics GmbH) was finalized effective June 27, 2013. The buyer is an Austrian consortium led by Invest AG, the investment company of the Raiffeisen Banking Group Upper Austria. The sale is the result of Lenzing’s strategic focus on its core business of manufacturing man-made cellulose fibers.

    Outlook for the global fiber market
    The state of the global economy will not substantially change in the second half of 2013 compared to the first half of the year. This is likely to lead to a largely stable volume demand for the world’s fiber industry in relation to the first half-year. However, the high ongoing cotton inventories will prevent any further increase of cotton prices and thus of all other fibers. Excess production capacities in the man-made cellulose fiber industry are expected to continue although expansion projects planned by competitors have already been delayed. This situation is accompanied by lower prices for dissolving pulp, the most important raw material for fiber production. Accordingly, a further price adjustment for viscose fibers cannot be excluded in the coming months.

    Outlook Lenzing Group
    In the light of the current market environment, Lenzing is adjusting its short-term and medium-term corporate strategy to market conditions prevailing at the present time. Due to the fact that Lenzing continues to anticipate a dampened level of fiber selling prices in the upcoming quarterly periods, short- and medium-term investments will be adjusted in accordance with income. Ongoing large-scale investments such as the construction of the new TENCEL® production facility at the Lenzing site will not be affected by this development. However, major new investments will first begin when a minimum return on the capital employed is achieved.
    Lenzing is revising its performance indicators for the entire year 2013 as a result of the sale of the Business Unit Plastics as of the end of June 2013. Accordingly, due to the deconsolidation of sales generated by Lenzing Plastics as of the middle of 2013 as well as the expected average fiber selling price of EUR 1.70/kg in the second half of the year (H1 2013: EUR 1.76/kg), consolidated sales of the Lenzing Group in 2013 are predicted to total approximately EUR 2.0 bn for 2013 as a whole (guidance before the sale of Lenzing Plastics: EUR 2.15 bn – EUR 2.25 bn). Based on the full availability of production capacities, fiber shipment volumes will likely amount to about 910,000 tons for the entire year 2013 (original guidance: 920,000 tons), which comprises an impressive increase of more than 12% compared to the prior-year level of 810,000 tons. In the second half of 2013, Lenzing will implement intensive marketing and sales efforts to promote its specialty fibers Lenzing Modal® and TENCEL® in order to stabilize the business.
    From today’s perspective, EBITDA of EUR 280 mn is expected for the entire year 2013 (last guidance excl. the sale of Lenzing Plastics: EUR 260 mn – EUR 290 mn). EBIT is likely to reach a level of EUR 160 mn (previous guidance excl the sale of Lenzing Plastics: EUR 140 mn – EUR 170 mn).
    For Lenzing, the ongoing volume demand for its fibers and the stable world market price for cotton is a clear indication that the long-term growth perspectives for the man-made cellulose fiber industry remain intact. However, an upward movement in selling prices is first expected when volume growth manages to create a more balanced market situation compared to the current excess production capacities in the fiber and pulp industries. Until that time, Lenzing will adjust its investment policy to revenue and counteract market developments on the basis of further internal optimization measures. Lenzing will place additional emphasis on enhancing innovation and intensifying its marketing and sales efforts on behalf of the specialty fibers Lenzing Modal® and TENCEL® as well as nonwovens.
    (Lenzing Papier GmbH)
     
    22.08.2013   Court Confirms Kodak’s Plan of Reorganization    ( Company news )

    Company news Court: “It will be enormously valuable for the company to get out of Chapter 11, and begin to regain its position in the pantheon of American business.”

    Positions Company to Complete Previously Announced Transactions and Emerge on September 3

    ROCHESTER, N.Y., Aug. 20 – The U.S. Bankruptcy Court for the Southern District of New York today confirmed Kodak’s Plan of Reorganization. The Plan describes the company’s strategy to emerge from Chapter 11 restructuring as a technology leader serving commercial imaging markets.
    In confirming the Plan, the Court said, “It will be enormously valuable for the Company to get out of Chapter 11, and begin to regain its position in the pantheon of American business.”
    The Plan also reflects the company’s effective utilization of the Chapter 11 process to achieve its key reorganization objectives, including successfully reducing legacy costs, liabilities and infrastructure, exiting or spinning off businesses and assets that were no longer core to its future, and focusing on the company’s most profitable business lines.
    “Today, the Court confirmed Kodak’s Plan of Reorganization. This critically important milestone marks the final step in the Court process,” said Antonio M. Perez, Chairman and Chief Executive Officer. “Next, we move on to emergence as a technology leader serving large and growing commercial imaging markets – such as commercial printing, packaging, functional printing and professional services – with a leaner structure and a stronger balance sheet. There are additional transactional steps ahead as we complete our Chapter 11 restructuring, but with the Court’s decision today, our emergence is now imminent.”
    Kodak’s Plan of Reorganization will become effective upon emergence. The company is expected to finalize the remaining aspects of its reorganization, including closing its settlement with the Kodak Pension Plan, and emerge from Chapter 11 on September 3.
    NOTE TO EDITORS: High-resolution images of Kodak’s commercial products are available for download at the Kodak News and Media site.
    (Kodak Co)
     
    22.08.2013   Press Release: "emtec Electronic at CITIS"    ( Company news )

    Company news emtec´s TSA – Tissue Softness Analyzer (picture) at the CITIS in Shanghai

    For the first time, emtec Electronic from Germany will attend the Chinese International Tissue Industry Summit (CITIS 2013) in Shanghai, China to present its TSA – Tissue Softness Analyzer. Beside the presentation of the device, emtec Electronic has got the possibility to present it with a short report during the Conference program.
    During the exhibition on September 12 and 13 in Shanghai (Crown Plaza Hotel), emtec will present its TSA – Tissue Softness Analyzer, which is on its way to become an industrial standard worldwide. Many well-known international tissue companies are already using the device to optimize their processes and by this improving the quality of their products. The device offers great benefits for all, who are involved in the tissue production process. Starting with the pulp producer, going to the tissue producer over chemical suppliers until the converter of the base tissue.
    Customers who are interested in learning more about the TSA, will have the chance to experience the device directly at the CITIS 2013 at our booth in the Entrance Hall and are also welcome to attend our short presentation on the second exhibition day (September 13) at 02:45 pm.
    (emtec Electronic GmbH)
     
    21.08.2013   KBA Rapida 75 and MBO folder in live production    ( Company news )

    Company news Picture: Visitors to Pack Print International 2013 will be treated to demonstrations of a KBA Rapida 75 in live production together with an M80 folder from MBO

    At the Pack Print International trade fair, to be held in Bangkok/Thailand from 28 to 31 August, KBA has reserved a 200m2 stand (No. K39) and will be presenting its latest sheetfed offset technologies in combination with folding equipment from new partner MBO.
    The press on show in Bangkok is a new-generation Rapida 75 in a five-colour coater configuration with raised foundations to accommodate packaging production with higher piles. Further features of the half-format press include SAPC plate changers, central format setting, CleanTronic Synchro washing systems, and ErgoTronic SpectroDrive for ink density measurements. In a series of production demonstrations, fair visitors will be able to witness the live printing of high-quality posters, maps and brochures, which will subsequently be finished on an M80 folder from MBO. The presentation of the M80 folder on the KBA stand is a first practical outcome of the cooperation agreement concluded between the two companies at China Print in May (see Press Release 13-040 dated 16.05.2013). Specialists from both KBA and MBO will be on hand to answer questions regarding the full range of products and services from the two companies.
    For KBA and MBO, Thailand is one of the growth markets in Asia. While other companies are reducing the size of their organisations, managing director Stefan Segger was able to announce the company's best-ever annual result to mark the 10th anniversary of KBA Asia-Pacific in 2012. KBA Asia-Pacific – and in future also MBO – will be supported in future sales and service activities in Thailand by Bangkok-based partner Intergraphics Co. Ltd. The latest sheetfed installations in the region include a six-colour Rapida 105 with coater at Printing Solutions in Bangkok, a Rapida 145 at Sahakij Packaging in Bang Khun Thian, and a four-colour Rapida 75 at Matichon in Nonthaburi.
    (Koenig & Bauer AG (KBA))
     
    21.08.2013   Minerals Technologies Signs Agreement for a New Satellite PCC Plant in Europe    ( Company news )

    Company news Facility Will Be the Company's Eleventh European Satellite

    Picture: President and Chief Executive Officer Robert S. Wetherbee

    Minerals Technologies Inc. (NYSE: MTX) announced it has signed an agreement for a 14,000-metric ton satellite precipitated calcium carbonate (PCC) plant in Europe. The satellite facility, which will produce PCC as a filler pigment, will become operational in the fourth quarter of 2014.
    "We are very pleased to have come to an agreement for a satellite PCC plant at a paper mill in Europe for an established paper company that wished to remain unnamed for competitive reasons," said Robert S. Wetherbee, chief executive officer of Minerals Technologies. "This facility will be our eleventh in Europe to deliver our PCC filling technology, which provides savings to papermakers by replacing higher-cost fiber."
    (Minerals Technologies Inc.)
     
    21.08.2013   GLATFELTER HIRES BRIAN E. JANKI AS VICE PRESIDENT & GENERAL MANAGER, ...    ( Company news )

    ...SPECIALTY PAPERS BUSINESS UNIT

    Glatfelter announced the hiring of Brian E. Janki as Vice President & General Manager of its Specialty Papers Business Unit (SPBU), effective August 14, 2013. Mr. Janki will have overall P&L responsibility for SPBU and will lead the development and implementation of strategies and tactical plans for this business unit.
    In making this announcement, Dante C. Parrini, Chairman & CEO, said, “Brian is a global leader who has a demonstrated track record of success in building high-performing teams, improving business performance, delivering results, and leading change. We look forward to his leadership and expertise as we welcome him to Glatfelter’s Senior Executive Team.”
    Mr. Janki has diverse leadership experiences which include assignments in Asia Pacific, Latin America, and North America. He comes to Glatfelter having most recently served as Vice President & General Manager, Rigid Industrial Packaging & Services for Greif. Mr. Janki worked for Greif for twelve years in a variety of progressive leadership assignments including P&L leadership of two business units, global responsibility for supply chain & sourcing, and transformational assignments including global oversight of the implementation of the Greif Business System.
    Prior to working at Greif, Mr. Janki served in supply chain and general business consultant roles with IBM Global Services, The ProAction Group and Ernst & Young, LLP. He brings over 18 years of experience in delivering results through a combination of leadership, operational excellence, and strategy deployment.
    Mr. Janki graduated with a Bachelor of Science in Business Administration, Finance and Accounting, from The Ohio State University. His executive development includes leadership and general management programs with the Fuqua School of Business, Duke University and the Ross School of Business at the University of Michigan.
    (Glatfelter Corporate Headquarters)
     
    21.08.2013   ANDRITZ to supply two tissue machines with steel Yankees to Zhejiang Jingxing Paper, China    ( Company news )

    Company news International technology Group ANDRITZ has received an order from Zhejiang Jingxing Paper, China, to supply two tissue machines with steel Yankees to its location in Pinghu city, Zhejiang Province, for the production of high-quality facial and toilet paper. Start-up of the machines is scheduled for end of 2014 and mid-2015 respectively.
    Zhejiang Jingxing Paper is one of Asia’s largest linerboard producers and is now entering the tissue business.
    The tissue machines, both of the type PrimeLineST, are designed for a speed of 1,900 m/min and for a paper width of 2.85 m. They will be equipped with 18 ft. PrimeDry Steel Yankees with head insulation. The steel Yankees, in combination with a steam-heated hood, enable a high drying capacity at minimized energy costs.
    With this order, the ANDRITZ PULP & PAPER business area, which manufactures its tissue machine components in Europe and China, is confirming its position as one of the leading suppliers of tissue machines and local services in China.
    (Andritz AG)
     
    21.08.2013   Brazil Biomass and Renewable Energy    ( Company news )

    Company news The Brazilian Association of Industries Biomass and Renewable Energy was founded in 2009 as national association and currently brings together 539 industries bioenergy and biomass, woodchips, wood bio briquette and wood bio pellets in 24 states the Brazil (production 28.497.844mil ton). I would like to take this opportunity to introduce the new site of the Brazil Biomass and Renewable Energy (http://www.wix.com/abibbrasil/brazilbiomass) a company of reference for international business development in bioenergy and biomass (woodchips, briquettes and pellets).
    Brazil Biomass and Renewable Energy is to stimulate the exploitation of renewable energy (bioenergy and biomass) resources in Brazil. BBRE promotes energy efficiency development and investment in the knowledge and use of renewable energy technologies for the benefit the Brazil. To establish a global platform of: researchers, engineers, economists, entrepreneurs, educators and decision makers whom will. Create awareness surrounding the potential of the renewable energy development in Brazil. Facilitate technology transfer and know-how to Brazil as biomass, bioenergy and renewable energy. Stimulate the exploitation of related technologies for supplying energy and biomass or bioenergy. Encourage the inward flow of investment through financial instruments by reforming legislations to meet the requirements of regulatory bodies. Promote national recognized training in renewable energy technologies. Sow the seeds of culture of renewable energy for individuals and societies.
    Currently, the biomass power industry reduces carbon emissions by more than 100 million tons each year and provides 37,000 jobs nationwide, many of which are in rural areas in Brazil. ABIB-BBRE is an organization with of increasing the use and production of biomass (woodchips, wood bio briquette and wood bio pellets) and bioenergy power and creating new jobs in the biomass industry the Brazil. ABIB-BBRE educates policy makers at the state and federal level about the benefits of biomass or bioenergy and provides regular briefings and research to keep members fully informed about public policy impacting the biomass and bioenergy industry. ABIB-BBRE is actively involved in the legislative process and supports policies that increase the use of biomass power (woodchips, wood bio briquette and wood bio pellets) and bioenergy (ethanol) other renewable energy sources in Brazil's. As policy makers at every level explore ways to lower greenhouse gases. ABIB-BBRE is an organization member companies and institutions that are dedicated to moving biomass and bioenergy into the mainstream of Brazil‘s economy, ensuring the success of the biomass and bioenergy industry while helping to build a sustainable and independent energy future for the nation.
    (ABIB Brazilian Association Industry Biomass and Renewable Energy)
     
    21.08.2013   Cascades Moka Bathroom Tissue Wins Bronze Stevie Award in 2013 International Business Awards    ( Company news )

    Company news Cascades once again honored for its sustainable and innovative practices

    Cascades announced that its Cascades® Moka® 100-percent recycled unbleached bathroom tissue has been honored with a bronze Stevie® Award in the prestigious International Business Awards℠ (IBA). Honored in the “Best New Product or Service of the Year—Business-to-Business Products” category, the commercial tissue, with its beige colorTM *, was praised by offering uncompromised softness and hygiene qualities with a recipe that significantly reduces environmental impact.
    “Our Cascades Moka bathroom tissue is a true example of what innovation and care for the environment can bring to a marketplace hungry for products that are kind to the environment,” said Suzanne Blanchet, Cascades Tissue Group CEO. “Practicing sustainability is in our DNA at Cascades and guides everything we do.”
    Cascades will receive its award on October 14 at a gala event in the W Hotel in Barcelona, Spain. This is the second time in recent years that a Cascades product has won a Stevie Award. Cascades Antibacterial won a 2011 Stevie Award for Best New Product in the Health Category.

    Innovation at the Service of Environment
    In addition to eliminating chemical whitening, Cascades Moka tissue paper is made of a pulp mix composed of 100 percent recycled fiber, 80 percent of which is post-consumer material and 20 percent is recovered corrugated boxes. A detailed life cycle analysis confirmed the clear advantage of this recipe, as it has an environmental impact 25 percent smaller than Cascades traditional recycled products, which are whitened without chlorine. The product's innovative nature was honored before, as it won Gold level from the Green Manufacturer 2013 Product Innovation Awards and a Novae Competition Eco-Design Award in 2012.
    Earlier this year, Cascades extended the Cascades Moka product line with facial tissue based on the success and growing demand of this innovative bathroom tissue.
    (Cascades Tissue Group)
     
    21.08.2013   Press Release: "Tissue Workshop at Lucense 2013"    ( Company news )

    Company news emtec Electronic´s Tissue Workshop at Lucense SCpA in Lucca

    Picture: TSA Tissue Softness Analyzer

    During the MIAC exhibition (Lucca, Italy) in October, emtec Electronic will arrange a Tissue Workshop together with the Center of Paper Quality Lucense for the first time. On Thursday, October 17, interested persons from the tissue industry (pulp and tissue producers, chemical suppliers as well as tissue converters) are invited to attend this workshop right next to the MIAC exhibition area at Lucense SCpA.
    The emtec TSA Tissue Softness Analyzer, which will be introduced during the workshop, is on its way to become an industrial standard worldwide, because it opens completely new and exciting options for process optimization, complaint management, product development and QA. From 09:00 to 11:00 am there will be a presentation about the TSA and the “subjective vs. objective determination of the tissue handfeel”. After the presentation it will be enough time to discuss the device in detail, to speak with our experts and to measure any kind of tissue samples.
    At the end of the production process, the softness respectively the handfeel of the tissue has to be determined to assure the quality of such products. On the one hand, subjective handfeel panels exist for this task and on the other hand the TSA Tissue Softness Analyzer gives objective and reliable results. These two positions have to be considered but also to be combined, to reach the best results for the tissue quality in terms of softness. Also important to clarify are the terms “softness” and “handfeel”. Is it the same? Or is there a difference? Answers and explanations will be given on October 17 during our Tissue Workshop at Lucense SCpA in Lucca.
    (emtec Electronic GmbH)
     
    20.08.2013   Flint Group presents high quality systems for flexo printing at ProFlex    ( Company news )

    Company news Picture: nyloflex® NExT

    Flint Group will again participate at ProFlex in Stuttgart, which will take place on September 10, and 11, 2013 at the Stuttgart Media University. Visitors of the 68th DFTA symposium can find comprehensive information on Flint Group’s portfolio of innovative products, technologies and sustainable solutions at stand # 22.
    The main focus of Flint Group Flexographic Products’ presentation will be the innovative technology for producing flat top dots and surface screening, nyloflex® NExT which offers a range of advantages to the user. In flexible packaging, printing plates exposed with this technology enable excellent ink transfer, particularly in solids. In corrugated printing, fluting will considerably be reduced. nyloflex® NExT provides significantly improved reproduction quality and long-term stability. The exposure technology is applicable for all digital flexographic printing plates and can be easily implemented into the existing digital workflow. In contrast to most of the competitive flat top dot technologies, there is no need for additional consumables.
    The NEW nyloflex® ACE plate shows considerable benefits to the printer - besides a precise reproduction of details, high contrast images and smoother vignettes, it shows its strengths particularly with outstanding stability on press, reduced downtimes due to a very low dust attraction and a clean running nature during printing. The plate displays excellent properties when used with the nyloflex® NExT exposure technology, for which it has been especially designed.
    Flint Group Packaging and Narrow Web presents VarioLam, a PUR-based ink system for all major films in packaging printing. This innovative “multi purpose“ system is specifically designed for high performance lamination printing including retort applications, for laminations with both solvent-based and solvent-free adhesives and is free of PVB, NC and monomeric plasticizer. VarioLam – the next generation flexo ink series with focus on lamination structures – is suitable especially for stand up pouches.
    The water-based flexo ink series Premo®Film SXS provides a sustainable solution for surface printing on polyolefin films. Developed in order to meet the increased demand for environmentally friendly packaging solutions, the ink series is suitable for compostable packaging as well as a number of additional applications. Premo®Film SXS is based on a unique self cross-linking technology that enables the ink film to have very good adhesion to non absorbent substrates such as oPP and PE. Adhesion characteristics with Premo®Film SXS are far better than with any conventional water-based ink. Its good adhesion makes it ideal for stringent end-use applications such as carrier and ice cube bags. Especially in water-based flexo printing inks Flint Group is one of the strongest suppliers in the market.
    You are invited to visit booth # 22 to see Flint Group’s innovative products and sustainable solutions.
    (Flint Group Germany GmbH)
     
    20.08.2013   FORTRESS PAPER PROVIDES COGENERATION FACILITY UPDATE     ( Company news )

    Company news Picture: Thurso Mill

    Fortress Paper Ltd. ("Fortress Paper" or the "Company") reports that the high pressure water pump at its Fortress Specialty Cellulose Mill (the "FSC Mill") was re-installed on July 12, 2013 and the cogeneration facility operated for 20 days before being shut-down due to pump failure. The back-up high pressure water pump was then installed on August 5, 2013 and its operation was again unsustainable due to inadequate repairs. The Company has already placed an order with another supplier for a high pressure water pump which is expected to arrive in approximately four weeks for installation.
    Despite these setbacks, the Company completed all major testing of equipment during the operating period. The facility successfully completed 18 and 24 MWH output testing. The Company anticipates completing the final 100 hour test as soon as the new pump is installed and tested. Fortress expects the cogeneration facility will be delivering power to the Hydro Quebec grid at the contractual rate within 24 hours of completing the test.
    Chad Wasilenkoff, Chief Executive Officer of Fortress Paper commented, "Although the performance of the repair by the supplier of the pump has been disappointing, we are pleased that we were able to complete all major testing of equipment. The Company will proceed with an alternate pump supplier in order to complete the final 100 hour test before delivering power to the Hydro Quebec grid an d ultimately reducing our production costs."
    (Fortress Paper Ltd)
     
    20.08.2013   MERCER INTERNATIONAL INC. REPORTS 2013 SECOND QUARTER RESULTS    ( Company news )

    Company news Picture: Celgar mill

    Mercer International Inc. (Nasdaq: MERC, TSX: MRI.U) reported results for the second quarter ended June 30, 2013. Operating EBITDA* in the second quarter of2013 was €14.0 million ($18.3 million), compared to €32.9 million ($42.2 million) in the second quarter of 2012 and €24.3 million ($32.1 million) in the first quarter of 2013.
    For the second quarter of 2013, we had a net loss of €9.9 million ($12.9 million), or €0.18 ($0.24) per share, compared to net income of €1.5 million ($1.9 million), or €0.03 ($0.04) per share, in the second quarter of 2012 and a net loss of €0.4 million ($0.5 million), or €0.01 ($0.01) per share, for the first quarter of 2013.

    President's Comments
    Mr. Jimmy S.H. Lee, President and Chairman, stated: "During the current quarter, we achieved Operating EBITDA of €14.0 million. In the quarter, the Celgar mill took its annual maintenance shutdown. As a result of weather, equipment and execution issues, the shutdown was four days longer and the startup slower than budgeted. The shutdown negatively impacted our operating income by approximately €11.0 million in the current quarter. Our results also reflect generally weak pulp prices and the continuing strength of the Euro versus the U.S. dollar, partially offset by strong sales. Overall, pulp sales volumes increased by approximately 3% to 368,285 ADMTs during the second quarter of 2013 from 356,660 ADMTs in the prior quarter."
    Mr. Lee continued: "Pulp production in the current quarter was approximately 12,000 ADMTs lower than the first quarter of 2013, primarily as a result of lost production from the Celgar mill maintenance shutdown. This also resulted in lower energy production as well as energy and chemical revenues decreasing by approximately 9% to €16.5 million in the current quarter compared to the prior quarter.
    Mr. Lee continued: "Pulp list prices increased marginally in the second quarter of 2013. At the end of the second quarter of 2013, list prices in Europe were approximately $860 per ADMT and in North America and China were approximately $950 and $690 per ADMT, respectively. We are currently expecting demand levels and pricing to have an upward trend in the latter part of 2013. We believe supply and demand levels through the summer should benefit from significant producer maintenance downtime during the summer months. In addition, the announced closure of a Norwegian mill (Tofte) and new tissue capacity coming online in China are expected to keep the supply and demand levels in balance."
    Mr. Lee continued: "Fiber costs at our German mills were higher during the second quarter of 2013 due to continuing strong demand from European pellet and board producers, which has been compounded by increased demand for fiber from sawmills and an undersupply of sawlogs. Higher fiber costs in Germany were partially offset by modest price decreases in Canada. Going forward this year, we currently expect fiber costs in Germany to marginally increase before stabilizing and in Canada to decrease moderately."
    Mr. Lee continued: "The recent floods in Germany, including areas around Stendal, did not affect our German mills directly, though there were some in cremental logistics costs as trucks and trains were forced to re-route, as well as some incremental personnel costs due to higher than usual levels of over-time and some related housing expenses."
    Mr. Lee added: "In order to improve its competitiveness, our Celgar mill is reducing its workforce by approximately 85 employees, with the majority of employees leaving the mill over the next 12 months. This action is being taken to reduce the mill's fixed costs.
    We currently estimate incurring pre-tax charges of approximately $6.0 million to $8.0 million for severance and other personnel related
    expenses in connection with such reduction. Over 85% of these charges are expected to be recognized by the end of 2013. We currently estimate that our Celgar mill will realize approximately $8.0 million to $10.0 million in annual pre-tax cost savings once the workforce restructuring has been fully implemented. Based upon our planned workforce reduction schedule, we currently expect to realize approximately 80% of such annual cost savingsin 2014."
    Mr. Lee concluded: "Project Blue Mill at our Stendal mill, designed to increase the mill's annual energy production by 109,000 MWh and annual pulp production by 30,000 ADMTs, remains largely on time and budget. We look forward to realizing revenues and benefits from this project in the last quarter of this year."
    (Mercer International Inc.)
     
    20.08.2013   NEW PUMP/LIFT COMBINATIONS IMPROVES SPILL CONTAINMENT AND LOWERS ...    ( Company news )

    Company news ... PRODUCTION COST

    Many manufacturing processes have on the production floor, fluids such as adhesives, oils, perfumes, additives, etc. in open 55 gallon drums or similar containers.

    Containment of spillage from these containers while being moved or used is essential. Spilled fluids result in safety and clean up problems that can be avoided.

    Widely used to keep such spillage from the floor, is a Standard Spill Containment Pallet which measures 40 X 40 inches and is designed to contain more than a full 55 gallon drums contents should it be ruptured. The drum to be used is placed on this pallet.

    With a 36 inch stroke, adjustments are automatically made for various drum and pallet sizes.

    Spraymation’s newly improved Pneumatic all Stainless Steel Pumps are a world class pumping system. Ratios of 50:1and 28:1 are available with adjustable packings for long pump life. Pneumatic lockout valves and high pressure automatic dump valves comply with zero energy lock out requirements.

    Please write or e-mail for complete Information
    Telephone: 954/484-9700
    Website: www.spraymation.com
    E-mail: eSales@spraymation.com
    (Spraymation Inc.)
     
    20.08.2013   Specialty papers for food packaging: ANDRITZ to supply new sludge dewatering plant to ...    ( Company news )

    Company news ... Stora Enso, Sweden

    International technology Group ANDRITZ has received an order from Stora Enso to supply a new sludge dewatering line for thickening and dewatering of fibrous sludges for the board mill Skoghall, Sweden. With a capacity of up to 750,000 tons per year, Skoghall is one of the world’s largest producers of liquid packaging board. Start-up of the new ANDRITZ plant is scheduled for April 2014.
    The order comprises delivery of a gravity table and a sludge screw press to process up to 50 tons of mixed sludge per day, thus significantly increasing the capacity of the existing sludge dewatering plants. The sludge to be dewatered consists of a mixture of fibrous and biological sludges, as well as chemical sludges from the mill’s CTMP line. The ANDRITZ sludge screw press dewaters the mixed sludge to the highest possible dryness that can be achieved today by mechanical means.
    In order to meet the new process requirements resulting from this plant extension, Stora Enso’s order also includes the rebuild of an existing ANDRITZ belt press supplied in 1989. Due to the higher final dryness achieved through the dewatering lines in the future, Stora Enso Skoghall will be able to feed a higher amount of dewatered sludge to the power boiler and operate it with greater energy efficiency.
    (Andritz AG)
     
    19.08.2013    POLAR LabelDays 2013 - Providing solutions for efficient label production    ( Company news )

    Company news Picture: POLAR LabelSystem DC-11plus

    POLAR organizes its LabelDays 2013 parallel with the LabelExpo held in Brussels. From 23 to 27 September, customers will have the opportunity to go to Hofheim and inform themselves about the latest solutions to streamline their label production.
    They will see both, systems for producing square-cut and die-cut labels, as well as systems for securities printing. Please feel free to contact your local sales partner to make an appointment for your visit. The following equipment will be shown:

    LabelSystems DC-11 and DC-11plus
    DC-11, as well as DC-11plus provide a highly-automated in-line production of banded die-cut labels with minimum staff. Of course, they ensure ultimate square and die-cutting precision. While the DC-11 reaches an output of 960 packs per hour, the DC-11plus model increases the performance by up to 37.5% and reaches a fabulous 1,320 packs per hour.

    POLAR LabelSystem SC-21
    The SC-21 provides maximum efficiency in square-cut label manufacturing, because production steps are carried out in parallel mode. In this way, up to 3,185 packs are produced per hour with minimum staff. The automatic cutter POLAR Autocut 115 is the key component which ensures utmost cutting precision due to the lateral and front gauges.

    POLAR LabelSystem SC-25
    Maximum efficiency and cutting precision characterize also the SC-25 model. Two gangs of strips can be processed simultaneously and help to obtain new performance dimensions of up to 1,560 packs banded in 60 minutes. It is designed as a modular system especially for industrial manufacturing of minimum-size labels. Therefore, it can be adapted to the different customer requirements.

    POLAR High-Speed Cutter N115 PRO TwinClamp
    TwinClamp was especially developed to meet the demands of the securities printing sector. This specialized cutting machine is able to compensate height differences in the cutting material and allows to work with a higher clamp opening and still obtain a uniform cutting precision.
    (POLAR-MOHR Maschinenvertriebsgesellschaft GmbH & Co. KG)
     
    19.08.2013   Heidelberg achieves significant improvement in result for first quarter of 2013/2014    ( Company news )

    Company news -Sales of EUR 504 million in line with expectations
    -Operating result excluding special items (EBITDA) some EUR 45 million better than in previous year at EUR -2 million
    -Free cash flow including payments for Focus 2012 at break-even (previous year: EUR -112 million)
    -Outlook remains unchanged: Aiming for net profit in financial year 2013/2014

    Picture: Heidelberg CEO Gerold Linzbach

    The new organization and the comprehensive range of cost-cutting measures are showing tangible results at Heidelberger Druckmaschinen AG (Heidelberg). As expected, the company significantly improved its operating result in the first quarter of financial year 2013/2014 (April 1 to June 30, 2013), which puts it on the right track for meeting its target of a positive net result for the year.
    "The substantial increase in our operating result makes us confident that we will record a profit for the year as a whole," said Heidelberg CEO Gerold Linzbach. "In order to achieve this, we are systematically pressing ahead with our strategic reorganization so as to further improve our margins for new machine sales in the future and adapt our cost structures to the market situation on an ongoing basis," he added.
    Group sales in the first quarter were in line with expectations at EUR 504 million, despite being around 3 percent down on the figure for the same quarter of the previous year (EUR 520 million). Sales fell slightly in all three segments - Equipment, Services and Financial Services. In most regions, they matched the previous year's level. In the South America region, however, Brazil's continuing economic difficulties hit business hard.
    As expected, results improved significantly in the first quarter thanks to sustained savings from Focus 2012 and higher profit contributions for new equipment. What's more, the previous year's results had been burdened by trade show expenditures. EBITDA excluding special items improved considerably from EUR -47 million to EUR -2 million. At EUR -20 million, the result of operating activities ( EBIT) excluding special items clearly surpassed the previous year's figure of EUR -67 million. Special items in the reporting period totaled EUR 1 million (previous year: EUR 6 million). At EUR -12 million, the financial result for the first quarter remained stable at the previous year's level. Accordingly, the pre-tax result improved significantly from EUR -85 million to around EUR -33 million. Overall, the net loss in the first quarter of 2013/2014 was halved from the previous year's figure of EUR -76 million to EUR -38 million.
    Incoming orders amounted to EUR 643 million in the reporting period. The far higher order volume of EUR 890 million in the same quarter of the previous year can be explained by the industry trade show drupa, which took place in May 2012. The China Print trade show in May this year went well, but coincided with a reluctance to invest in the Europe, Middle East and Africa region and the South America region, especially in Brazil. At EUR 602 million, the order backlog at June 30, 2013 was 20 percent up on the figure for the previous quarter (EUR 502 million).

    Free cash flow, including payments for Focus totaling EUR 31 million, at break-even; net debt at the same level
    Thanks to the continuation of comprehensive asset management and the net working capital program, the free cash flow reached break-even in the first quarter. This was a sizable improvement of around EUR 112 million compared to the figure for the same quarter of the previous year.
    Thanks to the free cash flow breaking even, at EUR 258 million net debt remained at almost the same level as at financial year-end 2012/2013 and did so despite further payments for Focus 2012 amounting to some EUR 31 million in the first quarter.
    "Thanks to systematic asset management over the past four years, we have succeeded in also covering our restructuring costs with the free cash flow. This has enabled Heidelberg to keep its net debt at a low level," said CFO Dirk Kaliebe. "With the recent successful convertible bond issue and our existing bond, the majority of our debt is now covered by long-term capital market instruments. This places Heidelberg on a sound financial footing," he added.
    By issuing a convertible bond in July 2013, Heidelberg further diversified its financing structure in terms of both financing sources and maturity profile. The EUR 60 million convertible bond matures in July 2017. Issuing it enabled the company to further reduce its syndicated credit line to around EUR 416 million.
    As expected, due to the net loss for the quarter, equity at June 30, 2013 had decreased by € 37 million to € 364 million compared to the level recorded at March 31, 2013. The equity ratio was 16 percent (previous year: 17 percent). Along with the planned return to profitability, Heidelberg is endeavoring to achieve a sustainable improvement in its equity ratio in the medium term.
    As planned, the workforce as of June 30, 2013 fell to 13,669 (same quarter of the previous year: 14,899). The aim is to reduce the Group's headcount to less than 13,500 by mid-2014 at the latest.

    Outlook remains unchanged: Aiming for net profit in financial year 2013/2014
    The outlook for financial year 2013/2014 and the subsequent years remains unchanged. Economic uncertainties and risks persist, especially in the emerging markets of China and Brazil that are important to Heidelberg. As in previous years, Heidelberg is expecting its sales to pick up in the second half of the financial year. Accordingly, the company's aim is to match the previous year's Group sales in financial year 2013/2014 as a whole. The expected distribution of sales between the first and second half of the year will also influence the operating result in the course of the year. This was still negative in the first quarter but nevertheless was a big improvement on the figure for the previous year. The company expects the result of operating activities excluding special items to continue to improve over the coming quarters and be considerably higher for the year as a whole than in the previous year. Further one-time expenses for Focus 2012 will be incurred during the current financial year. The financial result will be slightly better than in the previous year. With the measures it has introduced, the company still aims at achieving a net profit in financial year 2013/2014.
    (Heidelberger Druckmaschinen AG)
     
    19.08.2013   Verso Paper Corp. Reports Second Quarter 2013 Results    ( Company news )

    Company news Picture: David J. Paterson, President and Chief Executive Officer

    Verso Paper Corp. (NYSE: VRS) reported financial results for the second quarter and six months ended June 30, 2013. Results for quarters ended June 30, 2013 and 2012 include:
    -Operating loss of $8.5 million in the second quarter of 2013, compared to operating loss of $9.5 million in the second quarter of 2012, and operating loss of $9.6 million in the first half of 2013, compared to operating loss of $21.8 million in the first half of 2012.
    -Net loss before items of $39.2 million, or $0.74 per diluted share, in the second quarter of 2013, compared to net loss before items of $43.1 million, or $0.81 per diluted share, in the second quarter of 2012.
    -Adjusted EBITDA before pro forma effects of profitability program of $22.2 million in the second quarter of 2013, compared to $23.5 million in the second quarter of 2012 (Note: Adjusted EBITDA is a non-GAAP financial measure and is defined and reconciled to net income later in this release).

    Overview
    Verso's net sales for the second quarter of 2013 decreased $34.9 million, or 9.5%, compared to the second quarter of 2012, reflecting a 10.4% decline in total sales volume, which was driven by the closure of the Sartell mill in the third quarter of 2012. The average sales price per ton increased slightly over the same period in the prior year driven by higher sales prices for our pulp and other segments, while coated prices remained flat. Verso's gross margin was 11.0% for the second quarter of 2013 compared to 11.5% for the second quarter of 2012.
    Verso reported a net loss before special items of $39.2 million in the second quarter of 2013, or $0.74 per diluted share, excluding special items of $3.8 million, or $0.07 per diluted share, primarily related to unrealized losses on energy-related derivative contracts. Verso had a net loss before special items of $43.1 million, or $0.81 per diluted share, in the second quarter of 2012, which excluded $22.4 million of net benefits from special items, or $0.42 per diluted share, primarily due to gains on early debt extinguishment.
    "During the second quarter we saw the continuation of improved pricing in our pulp and specialty papers segments, said David Paterson, President and Chief Executive Officer of Verso. "In combination with strong volumes, we continue to expect a strong year in both of these segments. In our coated paper segment, prices have been stable for the first half of the year and we are seeing price improvements as we enter the third quarter. Coated paper volumes declined during the first half of the year, reflecting the closure of our Sartell, Minnesota mill in the third quarter of 2012. Our ‘R-Gap' benchmarking and improvement process continues to deliver solid cost reductions across our operations platform.
    "Last quarter we discussed the natural gas situation affecting our facilities in Maine. While the price of natural gas has remained stable, we continue to see upward pressure on the longer term delivery and other charges associated with obtaining natural gas at our Maine facilities. We continue to prepare for next winter in an effort to mitigate any recurrence of the record spikes in natural gas delivery charges that we experienced last year."
    (Verso Paper Corp.)
     
    19.08.2013   LEIPA strengthens its commitment in Austria and Central and Eastern Europe    ( Company news )

    Company news In the end of June 2013, the two family owend companies together, the Austrian Merckens Handels GmbH, Vienna and LEIPA Georg Leinfelder GmbH, Germany made the decision to set up a new sales company. LEIPA AUSTRIA & CEE GmbH opened its office in Austria, based in Vienna, on the 1st August 2013. This sales office will represent LEIPA in the following markets: Czech Republic, Slovakia, Hungary and all other important Southeast European countries. With the gradual integration of all products of the LEIPA Group (magazine paper, liner, board, special paper, flexible packaging) the awareness of LEIPA will be further increased. Together with the two Managing Directors, Ferdinand E. Auersperg and Derik Venn, an experienced team with detailed knowledge of the market will be based on site. LEIPA already has sales offices in Poland, France and the UK. In all these growing areas – LEIPA will continue to adapt to the ongoing demands and developments in these countries!
    (LEIPA Georg Leinfelder GmbH)
     
    16.08.2013   Propasa begins producing high quality board with Voith equipment    ( Company news )

    Company news Picture: MasterJet Pro F/B headbox

    Mexican board producer Propasa aimed to increase production by up to 25% to manufacture nearly 500 metric tons of board per day, as well as to improve the final quality of its product, so it chose Voith to rebuild its PM 3.
    The project's first part included the supply of a MasterJet Pro F/B headbox with ModuleJet II dilution control as well as the rebuild of the forming section including a DuoShake that allows for greater homogeneity in the paper web formation. Furthermore, the reel and winder were modernized. In a second step, the dryer section was rebuilt.
    Propasa also utilized Voith’s basic engineering services for the steam and condensate, lubrication, ventilation and vacuum systems.
    Shortly after start-up, the machine was producing saleable paper and there was a visible improvement in product quality. With this outcome, the company has taken an important step towards consolidating the group's growth in highly competitive markets such as Mexico and the USA.
    The project's second phase was completed in July 2013 when two dryer sections were added to the machine, thereby increasing the machine's speed.
    (Voith Paper GmbH & Co KG)
     
    16.08.2013   KBA: €10m pre-tax profit in second quarter    ( Company news )

    Company news Half-year report for Koenig & Bauer (KBA)

    Picture: Claus Bolza-Schünemann (President - Head of press engineering, human resources, legal affairs and insurance)

    --- Substantially more sheetfed orders in second quarter --- Sluggish demand in web and special presses --- Sales shortfall from first quarter nearly halved --- Significant earnings improvement after six months
    --- Continuing good liquidity and solid balance sheet --- Progress with strategic developments --- Outlook for 2013: EBT similar to last year attainable

    Compared to the end of March earnings at the Koenig & Bauer Group (KBA) have improved considerably after six months. The world’s number two in press manufacturing generated a pre-tax profit of €10m in the second quarter thanks to higher sales, a profitable product mix and cost savings. After the first three months the pre-tax loss stood at –€18.8m resulting from the insufficient sales volume. A pre-tax loss of –€8.8m (2012: +€6.7m) was reported due to the shortfall in sales still noticeable after six months. Group net loss came to –€10.6m (2012: +€3.6m) and corresponds to earnings per share of –€0.64. Management expects earnings to continue to improve in the second half of the year and to achieve positive pre-tax earnings similar to 2012 despite ongoing restructuring measures.

    Media shift and economy strain order intake
    KBA’s strong position in packaging printing and successful trade fairs in China and Turkey pushed new sheetfed orders to €161m in the second quarter. However, over the full six months orders in this division were down by 19.3% to €293.8m compared to last year’s high figure boosted by the global trade fair Drupa. Despite several orders from Germany, France and the Middle East, KBA has felt the reluctance of newspaper and commercial printers to invest in web presses. This reservation has been driven by media shifts and intensified by a weak economy in some markets. After the extraordinary high in 2011, the order volume for special presses has fallen back to the average level, even though significant restraint is currently noticeable and new project conclusions are delayed. Thus the volume of new orders in the web and special press division stood at €150.8m, 30% lower than the previous year. To sum up after six months group order intake of €444.6m was 23.3% down on last year’s figure. At 30 June group order backlog came to €590.4m.

    Significantly higher quarterly sales
    With above-average revenue of €311.5m generated in the second quarter the gap to last year has become considerably smaller. However, after six months group sales of €502.2m were 15% lower than twelve months ago (€590.5m). Sales of €255.4m generated by the web and special press division fell over 26% short of last year’s figure due to deliveries postponed to the second half of the year. In contrast, sheetfed sales were up 1.6% to €246.8m.

    Earnings up in sheetfed division
    Advances made in various cost-cutting measures have contributed to halving last year’s operating loss of –€18m in the sheetfed division to –€9.4m. From April to June results in this division improved from –€5.9m in the first quarter to –€3.5m. Postponed shipments to the second half of the year, market-related insufficient capacity utilisation at our web press facilities and development expenses associated with our new business field digital printing reduced operating profit in our web and special press division from €30.5m in 2012 to €4.5m.

    Positive operating cash flow and comfortable net liquidity
    Positive cash flows from operating activities of €12.1m were mainly due to higher customer prepayments, even though inventories for upcoming deliveries have swelled. The free cash flow was almost balanced at −€1.1m and funds of €188.9m will continue to be supplemented by ample credit lines. After deducting reduced bank loans of €23m, net liquidity was a comfortable €165.9m. Equity of €426.8m represented 34.8% of the balance sheet total.

    Future markets gain in importance
    Domestic sales were up €38.1m on 2012 to €98.9m and KBA’s export ratio was below average at 80.3% accordingly. Economic weakness saw shipments to the rest of Europe fall to €129.8m compared to €168.6m the previous year. At 25.8% the proportion of sales generated in this region in the first-half year 2013 stood at only half of the historical average of over 50%. In contrast, given the lift in sheetfed sales and some web press deliveries the regional proportion of North America was up to 12.6%. At €210.4m the future markets Asia-Pacific, Latin America and Africa contributed 41.9% to group sales.

    Further consolidation in web press business
    At the end of June group workforce totalled 6,158, down 94 from the same time the previous year. Excluding apprentices, student trainees, temporary employees and staff on phased retirement schemes, the number of group employees was down to 5,431. Given market trends in the web press sector, KBA CEO Claus Bolza-Schünemann believes that further consolidation is indispensable. Management is considering alternative business models intensively to combat the sharply declined sales volume in the web press business. Potential reductions in workforce still have to be negotiated with employee representatives.

    Outlook for 2013
    Given the slowdown in the global economy and the unstable situation in the Middle East and Latin America, KBA’s management is aware of some risks facing the export business. CEO Claus Bolza-Schünemann: “The volume of orders obtained in the next three months is crucial to just how close group sales in 2013 will come to last year’s figure of nearly €1.3bn. Taking into account the current economic climate, we cannot rule out a single-digit percentage decline in sales compared to 2012.”
    KBA expects improved operating results in the course of the year as it pushes forward with turn-around programmes in its traditional web and sheetfed business. Projects to harmonise processes and align group-wide purchasing are well on target. As part of this KBA is also investing in ensuring its competitiveness in the future. Despite the risks and expenses mentioned, management is targeting a group pre-tax profit (EBT) similar to last year (€6.1m). CFO Dr Axel Kaufmann: “Our annual earnings guidance anticipates a similar product mix as last year and takes into account the possibility of a slight decline in sales. It also covers our investment strategy for growth and process harmonising or potential expenses resulting from capacity adjustments at our web facilities.”
    In the half-year report, CEO Claus Bolza-Schünemann also pointed to advances in the continuing strategic development of KBA. An important milestone was reached in setting up the new product field high-performance digital printing with the first order for the KBA RotaJET inkjet press. Further digital projects will soon be finalised. The final closing of the acquisition of Italian press manufacturer Flexotecnica is planned for September. Flexotecnica is active in the flexible packaging market. A further diversification step in another prospering packaging niche is the recently announced majority takeover of Kammann Maschinenbau. Kammann is the market leader in screen printing presses for directly decorating premium-quality hollow glass containers for the cosmetics and spirituous beverage industry. In the mid-term KBA aims to compensate as much as possible for the slump in traditional web offset sales with the entry into growing and profitable market segments and to improve group earnings.
    (Koenig & Bauer (KBA))
     
    16.08.2013   Resolute Reports Preliminary Second Quarter 2013 Results    ( Company news )

    Company news -Reports Q2 net income of $18 million / $0.19 per share, excluding special items
    -Continues to reduce newsprint cost
    -Reduces annual cash interest burden by $16 million with refinancing

    Picture: Richard Garneau, President and Chief Executive Officer

    Resolute Forest Products Inc. (NYSE: RFP) (TSX: RFP) reported a net loss of $43 million for the quarter ended June 30, 2013, or $0.45 per share, on sales of $1.1 billion. This compares with a net loss of $17 million, or $0.17 per share, on sales of $1.2 billion in the second quarter ended June 30, 2012.
    Excluding $61 million of special items described below, net income for the quarter was $18 million, or $0.19 per diluted share. Excluding special items of $50 million, net income in the second quarter of 2012 was $33 million, or $0.33 per diluted share. Adjusted EBITDA was $90 million in the quarter, compared to $124 million in the year-ago period.
    "We faced softer pricing conditions overall in the second quarter, but we preserved margin with efficiencies and cost reductions," said Richard Garneau, president and chief executive officer. "Our continued focus on operational excellence in our streamlined asset base makes us competitive even in environments like those facing our industry today."

    OPERATING INCOME VARIANCE
    The Company recorded operating income of $3 million in the second quarter, a $35 million improvement over the second quarter of 2012. Overall sales were down by 5%, or $61 million, to $1.1 billion. Continued cost reductions helped lower manufacturing costs by $23 million, mainly due to lower labor costs and operating efficiencies, in addition to benefits from external power sales from new cogeneration facilities. Higher pricing for wood products mostly offset lower pricing in paper grades, including a $24 million unfavorable change in newsprint pricing.
    Compared to the second quarter of 2012, the Company took 85,000 metric tons less downtime in its pulp and paper segments. Shipments were down $32 million, in line with its efforts to streamline and adapt to changing market dynamics by focusing production in the most cost-effective mills. The Company now operates four fewer machines overall compared to the year-ago period, excluding the three pulp mills acquired with Fibrek Inc. Closure costs associated with these asset optimization initiatives were $76 million higher in last year's second quarter.

    SEGMENT DETAILS

    Newsprint
    Operating income in the newsprint segment was $10 million in the second quarter, a $12 million improvement over the first quarter. The 7% drop in operating cost per unit ("delivered cost"), or $42 per metric ton, more than offset the 3% reduction in average transaction price, or $21 per metric ton, the steepest price drop in three consecutive quarters of declines. Newsprint production costs touched record Company lows in the quarter due to lower labor and seasonal steam costs, and the favorable full-quarter contribution of power sales from the new Thunder Bay cogeneration assets. The Gatineau, Québec, mill began making newsprint in May, and its cogeneration facility made its first sale of power on June 15. Despite lower overall pricing, newsprint sales in the quarter rose by 2% to $364 million because of a 6% increase in shipments. Consistent with the prior quarter, export sales were 45%.

    Coated Papers
    The coated papers segment reported operating income of $2 million in the second quarter, up from breakeven in the first quarter. Sales fell by 6% to $96 million as a result of a 4% drop in average transaction price, or $36 per short ton, and a 2% reduction in volume in a lower-demand environment. Delivered cost, however, dropped by 5%, or $44 per short ton, falling below the trailing twelve month average for the first time since the second quarter of 2011. The improvement in manufacturing costs demonstrates the Company's progress toward operating its Catawba, South Carolina, facility more profitably on only two machines.

    Specialty Papers
    Operating income in the specialty papers segment dropped $8 million from the first quarter to breakeven in the second quarter. Sales rose by 2% to $242 million on a 4% seasonal increase in shipments, partially offset by a 2% reduction in average transaction price, or $15 per short ton. Delivered cost increased by 2%, or $14 per short ton, primarily because of a cold outage at the Calhoun, Tennessee, mill.

    Market Pulp
    The market pulp segment generated operating income of $10 million in the second quarter, $15 million higher than in the previous quarter. Sales increased by 10% to $263 million on a 4% increase in average transaction price, or $27 per metric ton, and a 5% increase in shipments as the Company reduced inventory by 13%. Delivered cost was down 2% as a result of lower wood, labor and maintenance costs, and the favorable full-quarter contribution of power sales from the new Thunder Bay cogeneration assets.

    Wood Products
    Operating income in the wood products segment was $16 million in the second quarter, unchanged from the prior quarter. Sales increased by 3% as shipments rose by 2% and average transaction price improved by 1%, or $4 per thousand board feet. The higher sales were offset by a 1% increase in delivered cost, most of which was due to higher stumpage fees, which are linked to selling prices. The Company scheduled downtime at most of its sawmills during peak vacation periods in the third quarter to reduce the buildup in inventory as a result of lower than expected demand in May and June.

    CORPORATE & FINANCE
    On May 8, the Company completed the private offering of $600 million of 5.875% unsecured senior notes due 2023, using the proceeds to repurchase $496 million of 10.25% senior secured notes due 2018. Refinancing the secured notes with unsecured notes also reduces the annual cash interest burden by $16 million and adds five years to maturity.
    As will be more fully described in the quarterly report on Form 10-Q for the period ended June 30, during the second quarter, the Company changed its accounting policy from the direct expensing of costs associated with planned major maintenance activities to the deferral method. The change in accounting policy was applied retroactively by adjusting comparative consolidated financial statements for the new policy, including the information presented in this earnings release, as applicable.

    OUTLOOK
    Mr. Garneau added: "Domestic newsprint prices have stabilized but the markets remain fragile as North American exports gradually improve. As some international markets are showing, however, conditions can change with currency fluctuations against the U.S. dollar. We expect relatively stable market conditions in market pulp for the balance of the year, and modest seasonal improvements in coated and specialty papers during the third quarter. Except for scheduled maintenance, we plan to run our pulp and paper assets to capacity for the balance of the year to satisfy customer requirements. Our lean and efficient operating platform is our key advantage to compete, even in unstable pricing environments. Conditions in the lumber market are uncertain, as demand improves but pricing fluctuates with mixed signals on U.S. consumption and rapid changes in production capacities. The timing of falling lumber prices late in the second quarter may impact third quarter price realization, as a result of the lag between pricing and delivery."
    (Resolute Forest Products)
     
    16.08.2013   Neenah Paper Reports Second Quarter 2013 Results    ( Company news )

    Revenues of $212 million with Adjusted Earnings per Share of $0.80

    Neenah Paper, Inc. (NYSE:NP) reported adjusted earnings from continuing operations of $0.80 per diluted common share in the second quarter of 2013 compared with $0.85 per share in the second quarter of 2012. Excluding adjustments, GAAP earnings in the second quarter were $0.77 per diluted common share in both periods. Adjusted earnings excluded costs of $0.03 per share in 2013 primarily for refinancing the Company’s senior notes. In 2012, adjusted earnings excluded costs of $0.08 per share to integrate acquired brands. Adjusted earnings are reconciled to comparable GAAP figures later in this release.
    For the second quarter, net sales of $212.3 million in 2013 were up slightly compared to 2012 as increased Fine Paper sales offset lower sales of Other products. Operating income of $22.6 million in 2013 compared to $22.0 million in the prior year as increases in Fine Paper similarly offset lower operating income from Other products. Net income of $12.8 million in 2013 compared to $12.7 million in the prior year and reflected higher operating income and lower interest expense partly offset by a higher effective tax rate.
    "We are pleased with results in the quarter as we continue to see meaningful benefits from optimization of our expanded Fine Paper business and solid performance in Technical Products, anchored by filtration, our largest category,” said John O’Donnell, Chief Executive Officer. “Our earnings, coupled with improved working capital efficiencies, translated into $28 million of cash from operations in the quarter. This cash flow generation and an even stronger balance sheet following our recent debt refinancing have allowed us to increase our cash returns to shareholders while continuing to pursue opportunities that deliver added value.”

    Quarterly Segment and Other Financial Results
    Technical Products net sales were $105.8 million in the second quarter of 2013 compared with $106.9 million in the prior year period. While sales increased for filtration, tape and labels, declines in industrial and other products offset these gains and reflected weaker economic conditions outside the US. The net decline in volume offset benefits in 2013 from a higher value mix and currency translation.
    Operating income for Technical Products of $11.9 million in the second quarter of 2013 compared with $12.3 million in the second quarter of 2012. The change in income reflected increased manufacturing costs and lower sales volumes in 2013 that were largely offset by a higher value mix of products sold and decreased selling, administrative and other expenses.
    Fine Paper net sales of $100.0 million in the second quarter of 2013 compared with prior year sales of $96.3 million. Higher sales in 2013 resulted from acquired brands, growth in luxury packaging and a higher value mix of products sold. These items more than offset lower sales of non-branded business.
    Operating income of $15.5 million in the second quarter of 2013 compared to $13.3 million in 2012. After excluding $0.1 million and $1.9 million respectively in 2013 and 2012 for costs to integrate acquired brands, operating income increased from $15.2 million in 2012 to $15.6 million in 2013 as a result of growth in higher value products and improved manufacturing efficiencies, which combined more than offset higher input prices and increased selling and distribution costs.
    Unallocated Corporate and Other includes unallocated corporate costs and results from acquired non-premium paper grades. Unallocated corporate costs were $4.2 million in the second quarter of 2013 and $4.2 million in the prior year period. After excluding $0.7 million in 2013 for early debt retirement and pension settlement costs, and $0.2 million in 2012 for early debt retirement costs, unallocated costs were $0.5 million lower in 2013. Sales of acquired non-premium grades were $6.5 million in 2013, with an operating loss of $0.6 million; in 2012, sales were $8.5 million, with operating income of $0.6 million. Reduced profits on these grades in 2013 resulted from lower sales and higher costs.
    Consolidated selling, general and administrative (SG&A) expense was $19.2 million in the second quarter of 2013 compared to $19.1 million in the second quarter of 2012. Higher costs in 2013 to support acquired Fine Paper brands was offset by lower corporate and other spending.
    Net interest expense of $3.1 million in the second quarter of 2013 compared to $3.5 million in the same quarter of 2012. The decline in interest expense in 2013 resulted from reductions in interest rates following early redemptions of 2014 Senior Notes that were financed with lower cost borrowings.
    The effective income tax rate of 34 percent for the second quarter of 2013 compared to a rate of 31 percent in the second quarter of 2012. The increased rate primarily resulted from U.S. taxation on higher levels of repatriated cash in 2013.
    Cash provided by operations in the second quarter of 2013 was $27.6 million compared to $3.4 million generated in the second quarter of 2012. Increased cash generation in 2013 resulted primarily from improved working capital efficiencies compared to the prior year when working capital increased with the integration of acquired brands. Capital spending of $5.0 million in the second quarter of 2013 compared with $5.8 million in the prior year period.
    Debt as of June 30, 2013 was $192.8 million compared to $186.5 million as of March 31, 2013. Cash and equivalents as of June 30, 2013 was $26.9 million compared to $3.8 million as of March 31, 2013. The $16.8 million reduction in net debt (defined as debt less cash) during the second quarter of 2013 resulted from increased operating cash flows. Changes in debt and cash balances in the quarter also reflected the early redemption of 2014 Senior Notes completed in May 2013.

    Year to Date
    Year-to-date net sales of $425.5 million in 2013 increased four percent compared to $409.9 million in 2012. The increased revenues resulted from a nine percent gain in Fine Paper sales, primarily reflecting six percent volume growth mostly from acquired brands, as well as a higher value mix of products sold. Technical Products sales were relatively unchanged from the prior year as a higher value mix and favorable currency effects were offset by an approximate one percent decline in volumes and lower selling prices on some grades. Other segment sales also declined seven percent primarily as a result of lower volumes.
    Operating income of $44.8 million in 2013 increased from $38.2 million in 2012. Higher income in 2013 resulted from increases in Fine Paper, due both to lower integration costs and increased sales, as well as from reduced unallocated corporate costs, which included lower costs for pension settlements. Net income was $27.5 million in 2013 and $21.6 million in 2012. Increased income in 2013 resulted from higher operating income as well as lower interest expense, which combined offset an increase in the effective tax rate. Net income in 2013 includes $2.6 million in discontinued operations for a refund of excess payments made to the pension plan of Neenah’s former Canadian pulp operations.
    Cash provided by operating activities was $30.0 million for the first six months of 2013 compared to use of cash of $10.2 million in 2012. Excluding the net impact in both years from special items, which include costs of acquired inventories, integration costs, one-time pension payments, and excess tax benefits from stock-based compensation (fully offset under Financing Activities), cash provided by operations in 2013 was $20.3 million higher than the prior year to date period. The increase was primarily due to improved working capital efficiencies in 2013. Year-to-date capital spending of $9.7 million compared to $9.3 million in the prior year period.
    (Neenah Paper Inc.)
     
    16.08.2013   UPM: Growth businesses continue to perform well, weak quarter for Paper in Europe     ( Company news )

    Company news Picture: President and CEO Jussi Pesonen

    Q2/2013 (compared with Q2/2012)
    • Earnings per share excluding special items was EUR 0.20 (0.16), and reported EUR 0.22 (0.39)
    • Operating profit excluding special items was EUR 138 million, 5.5% of sales (128 million, 4.9%)
    • EBITDA was EUR 258 million, 10.2% of sales (325 million, 12.3% of sales)
    • Fixed costs were EUR 36 million lower than last year.

    Q1–Q2/2013 (compared with Q1–Q2/2012)
    • Earnings per share excluding special items was EUR 0.38 (0.38), and reported EUR 0.31 (0.62)
    • Operating profit excluding special items was EUR 282 million, 5.6% of sales (284 million, 5.4%)
    • EBITDA was EUR 542 million, 10.9% of sales (682 million, 13.0% of sales)
    • Operating cash flow was EUR 187 million (360 million), impacted by a temporary increase in working capital.

    CEO Jussi Pesonen comments on the second quarter of 2013:
    “The second quarter was in line with our expectations: growth businesses continued to perform well, whereas Paper was impacted by lower delivery volumes and prices in Europe. Our operating profit excluding special items was EUR 138 million (128 million). Operating cash flow was lower than Q2 last year due to a temporary increase in working capital.
    Our Pulp business experienced a strong quarter, with good delivery volumes and increased prices. In Label, our growth actions resulted in increased volumes, more than offsetting the increased fixed costs caused by expanded operations. In Energy, profitability continued to be strong, despite being impacted by lower hydropower volumes. Plywood and Timber continued on a positive track despite the challenges of European markets.
    Paper experienced what we believe will prove to be the weakest quarter in 2013. Profitability continued on a good level in our Chinese and speciality paper operations, but sales margins in our European graphic paper business as well as export business were significantly lower than last year. In Q2, our Paper business also suffered a significant negative impact from unrealised energy hedges, especially when compared with Q1 2013.
    The implementation of the fixed cost savings measures and capacity closures announced in January 2013 are on schedule. The announced capacity closures were concluded in Rauma, Finland and Ettringen, Germany, by the end of April. At this point, employee negotiations have been concluded in all countries except for France, where they started in July. By the end of Q2, 40% of the annualised cost savings had materialised. Along with other cost savings, this offsets the earnings impact from lower paper deliveries, but could not compensate for the lower sales margins.
    It is clear that we need to take action to improve our performance and make sure that the company continues to transform. In Label we introduced business-specific efficiency improvement measures in July,” Pesonen concludes.

    Outlook for 2013
    Economic growth in Europe is expected to remain very low in the latter part of 2013. This will continue to have a negative impact on the European graphic paper markets in particular. Growth market economies are expected to fare better, which is supportive for the global pulp and label materials markets as well as paper markets in Asia and wood products markets outside Europe. The current hydrological situation in the Nordic countries is slightly weaker than the long-term average. The forward electricity prices in Finland for the rest of 2013 are slightly lower than the realised market prices in H1 2013.
    In H2 2013 compared with H1 2013, the Paper business area is expected to benefit from lower costs, driven partly by the on-going cost reduction measures, and seasonally stronger demand. Pulp business area will be impacted by annual maintenance stops in three of the four pulp mills.
    Capital expenditure for 2013 is forecast to be approximately EUR 400 million.
    (UPM)
     
    16.08.2013   Mondi Half-yearly results for the six months ended 30 June 2013     ( Company news )

    Company news Financial highlights
    -Underlying operating profit of €366 million, up 35%
    -Underlying earnings of 49.4 euro cents per share, up 60%
    -Cash generated from operations of €431 million, up 21%
    -Interim dividend of 9.55 euro cents per share, up 7%
    -ROCE of 14.8%, well in excess of through-the-cycle hurdle rate of 13%

    Operational highlights
    -Integration of acquisitions and related synergy targets on track
    -Major capital projects on time and within budget

    David Hathorn (photo), Mondi Group chief executive, said:
    “A strong operating performance and benefits derived from our strategic acquisitions completed towards the end of the previous year have enabled Mondi to deliver record financial results despite what remains a challenging economic backdrop.
    The strong profitability and relentless focus on performance is reflected in a return on capital employed of 14.8%, which remains well above our through-the-cycle hurdle rate of 13%.
    A focus over the past six months has been on integrating and optimising the significant acquisitions made towards the end of 2012 and executing the major expansion projects initiated over the past
    eighteen months. I am pleased to report that we continue to make good progress in this regard. The Group’s major expansion projects are progressing according to plan and remain within budget. Some of the synergies identified at the time of the acquisitions have already been achieved, and we remain on track to meet the previously announced synergy targets. Just as important, we have made good progress in aligning organisational culture, which sets the platform for the future success of the combined business.
    Looking forward, new industry capacity in the uncoated fine paper segment, coupled with prevailing demand softness in Europe, may impact the supply/demand balance in the short term. Furthermore, the second half will be impacted by the Group’s regular annual mill maintenance programmes.
    However, with the momentum from the strong first half performance and the expected continuation a good pricing environment in the packaging grades, management remains confident of delivering in line with its expectations.
    (Mondi Group)
     

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