Blog Keyword - Midland PaperClips - fine paper, packaging and supply systems distributor

01.23.2012

UPM Improves Efficiency and Curtails Its Production in Timber and Further Processing Businesses

UPM has concluded its co-operation negotiations that began in December to curtail its sawn timber and further processing production in Finland.

As a result of the negotiations UPM has decided to carry out the planned rationalization measures at Aureskoski and Lappeenranta, in Finland, and at Pestovo in Russia. The number of employees will be reduced by three at Aureskoski further processing mill, 11 at Kaukas sawmill in Lappeenranta and 34 people at Pestovo mills.

The production curtailments of the first quarter of 2012 concern all Finnish sawmills and further processing mills apart from the Heinola further processing mill. The length of the temporary lay-off periods caused by production curtailments will vary by unit, but they will not last longer than 90 days.

Send to a Friend

01.23.2012

USPS Labor Contract Negotiations with Two Major Unions Reach Impasse

Separate contract negotiations with the National Association of Letter Carriers, AFL-CIO (NALC) and the National Postal Mail Handlers Union, AFL-CIO (NPMHU) have come to an impasse. Under the statutory procedures that apply to postal labor negotiations, if both sides agree, the parties may first engage in mediation and, if unsuccessful, go to interest arbitration. The parties currently are discussing how they will proceed.

Contracts with both unions expired at midnight, Sunday, Nov. 20, 2011. All parties agreed to extend negotiations until midnight, Dec. 16, 2011, and again until Jan. 20, 2012. The existing contracts will be followed until terms of a new contract are resolved.

Send to a Friend

01.23.2012

Standard Register Meets Customer Demands for Consistent Brand Look with Eight New Xerox iGen4 EXP Presses

Maintaining brand consistency is more important than ever as companies design marketing collateral for various sales channels – including local and regional offices, agents, franchisees, dealers and resellers. Standard Register purchased eight iGen4® EXP Presses from Xerox Corporation to help deliver high-quality critical communication materials for their customers.

The Xerox presses are located in five Standard Register print centers across the U.S.

“It is one thing to say you can deliver high-quality, color-critical documents, but it is quite another to build a national footprint to ensure repeatable, sustainable, color-critical documents as Standard Register has done,” said Steve McDonell, vice president of manufacturing and sustainability, Standard Register. “We take our customers’ brand reputation seriously. With Xerox’s color technology, we can maintain the look they’ve invested in.”

To maximize its technology investment, Standard Register worked with Xerox to develop a marketing strategy, which included color sales training and educational seminars – opening new ways for the sales force to engage customers on the benefits of digital printing. Xerox also assisted Standard Register in selecting color management software and developing color management processes.

Through its partnership with Xerox, Standard Register earned the G7 Master Printer Qualification – a stringent process that recognizes the company’s ability to deliver high-quality, consistent color print.

Send to a Friend

01.23.2012

AF&PA Final US Printing & Writing Data (AF&PA, UBS)

AF&PA final US printing and writing stats were fairly weak. Shipments fell 7.3% y/y (-5.5% full year) – a steeper decline than in November. Inventories rose sharply, 5% month over month. Ending inventories were the highest since July and nearly 1% above year-end 2010. Net trade was a relative bright spot. Net imports fell slightly both month over month and year over year.

The free sheet grades continue to post somewhat more modest shipment declines. Uncoated free shipments fell 5.5% m/m (-3.0% all 2011). But inventories rose 8% m/m (10-month high); inventories were still 2.5% below Dec-10. Coated free had the best shipment trend, falling only 1.4% y/y (-4.3% all 2011). Inventories rose about 6.5% m/m (much more than normal). Net imports rose m/m, but fell y/y.

Coated groundwood shipments fell 13.3% y/y (-8.3% all 2011). Inventories fell slightly more than normal to 12-month low (but still up 20% y/y). Net trade was unfavorable. Uncoated groundwood shipments fell 11.3% y/y (-6.5% all 2011) – but faced a particularly tough comp. Inventories rose slightly more than normal.

Send to a Friend

01.20.2012

Pearson trading update

Pearson, the world’s leading learning company, is today providing its regular January trading update. We will report preliminary results for 2011 on 27 February 2012.

In the context of significant structural industry change and generally weak market conditions, Pearson performed well competitively through the important year-end selling season. We continue to benefit from rapid growth in digital services, our expanding position in developing economies and the continuing transformation of our business portfolio. For the year as a whole, Pearson generated approximately £2bn ($3bn) of digital revenues and approximately £600m ($1bn) of revenues in emerging markets. We now expect to report 2011 adjusted earnings per share growth of approximately 10% (compared to 77.5p per share reported in 2010), ahead of our previous guidance of approximately 83p per share.

Send to a Friend

01.20.2012

Online Ad Spending to Pass Print for the First Time, Forecast Says

Online advertising spending will cruise past print in the United States this year for the first time, according to a new forecast by eMarketer.

Online ad spending in the U.S. grew 23% to $32.03 billion in 2011 and will grow 23.3% more to $39.5 billion in 2012, eMarketer said. That will put it above total U.S. magazine and newspaper spending, which will fall 6.1% to $36 billion this year, said the report.

Print ad spending in magazines will actually tick up to $15.4 billion from $15.3 billion, according to eMarketer. Magazine and newspaper publishers themselves enjoy rising digital ad revenue, which isn't included in the "print" total being surpassed in this forecast. And marketers and agencies are starting to resist paying for online ads that many people never see.

But online advertising's eclipse of a traditional media pillar -- one that remains the dominant revenue source for magazine and newspaper publishers -- would still represent a watershed in the media business.

Send to a Friend

01.20.2012

Crude Futures Trim Weekly Gain as Greek Risk Offsets U.S. Rebound Hopes

Oil declined in New York, trimming a weekly advance, as protracted negotiations to resolve Greece’s debt crisis fanned concern that the region’s turmoil will harm fuel consumption.

West Texas Intermediate futures dropped as much as 0.9 percent as talks in Athens on debt swaps entered a third day, with Greek officials and private creditors struggling to agree on a plan. Still, prices are up 1.1 percent this week on signs of recovery in U.S. employment and manufacturing, and concern that tensions between Iran and Western nations will lead to a disruption in Middle East exports.

“The correlation between oil and the dollar is high this morning as the market awaits news about the fate of Greece,” said Olivier Jakob, managing director at Petromatrix GmbH in Zug, Switzerland.

Crude for February delivery fell as much as 95 cents to $99.44 a barrel in electronic trading on the New York Mercantile Exchange and was at $99.77 at 11:08 a.m. London time. The contract, which expires today, fell 20 cents yesterday to $100.39, the lowest settlement since Jan. 13. The more-active March contract lost 68 cents to $99.86 today.

Brent oil for March settlement declined 19 cents, or 0.2 percent, to $111.36 a barrel on the London-based ICE Futures Europe exchange.

Send to a Friend

01.20.2012

31 Percent of Delivered Digital Ads Not Seen By Consumers

In a new study undertaken by comScore to support the release of a new digital ad measurement solution, the company found that 31 percent of ads are delivered, but not seen by consumers. The vCE (short for Validated Campaign Essentials) Charter Study, which focused on 12 national brands like Allstate, Chrystler and Ford, finds “in many cases, ads are delivered but not in-view or on target and therefore never had a chance to make an impact”.

“The display advertising market today is characterized by an overabundance of inventory, often residing on parts of a web page that are never viewed by the user. This dilutes the impact of campaigns for advertisers and represents a drag on prices to publishers,” says comScore president and CEO Dr. Magid Abraham in a company statement. “Conversely, some ads below the fold are quite visible and deserve more credit.”

The Charter Study found that 69 percent of ad impressions were considered “in-view” (requiring at least 50 percent of the ad to be visible by consumers for at least one second). The remaining 31 percent were delivered, “but never seen by a consumer”, due to slow load times or scrolling behaviors.

Send to a Friend

01.20.2012

Fitness Mag Comes to Cheerios Boxes

Back in the day, one of the crowning achievements in a sports career was seeing that star’s face on a Wheaties cereal box. It is a different era now, when people’s own physical state is of greater concern than athlete hero worship. But cereal boxes remain one of the major platforms from which to grab consumer attention. And so Fitness magazine partners with Cheerios for the next six months on a project that brings the magazine brand to millions of breakfast tables. Multigrain Cheerios boxes, 7.5 million of them, will feature the magazine as part of a joint free weight-loss plan offered to consumers.

The Fitness logo on the boxes includes an access code that lets the user enter a special site at MultigrainCheerios.com/Fitness. The weight-loss plan includes two four-week workouts created by Fitness magazine’s advisory board member and fitness author Joe Dowdell. There are online videos for each routine. Recipes and snack ideas have been generated by Fitness contributor Natalie Hancock. In addition to the logo exposure, the diet plan itself links to the FitnessMagazine.com site. As part of a multi-faceted marketing package with the cereal brand, Meredith Studios is also crafting online videos that track the progress of three girlfriends. The series will air on Meredith’s The Better Show.

Send to a Friend

01.20.2012

Sonoco Releases Preliminary 2011 Base Earnings Results

Sonoco today released preliminary financial results for the fourth quarter and year ended December 31, 2011.

The Company expects fourth quarter 2011 base earnings per diluted share to be $.45 to $.47 and full-year base earnings per diluted share to be $2.28 to $2.30. This compares with the Company’s previously announced guidance of $.59 to $.63 per diluted share in the fourth quarter and $2.41 to $2.46 per diluted share for 2011. The revision was primarily due to lower than expected fourth quarter results from the Company’s Tube and Cores/Paper segment and a higher effective tax rate.

Base earnings and base earnings per diluted share are non-GAAP financial measures adjusted to remove restructuring charges, asset impairment charges, acquisition-related expenses and other items, if any, the exclusion of which the Company believes improves comparability and analysis of the underlying financial performance of the business. The financial results provided in this press release are preliminary and subject to completion and review of 2011 financial statements by the Company.

Send to a Friend

01.19.2012

Research Shows Americans Still Prefer Print and Paper Communications

If you prefer to read from paper instead of an electronic screen, you're not alone. According to a recent survey commissioned by Two Sides, the fast-growing non-profit organization created to promote the responsible production, use and sustainability of print and paper, 70 percent of Americans, including 69 percent of 18- to 24-year-olds, say they prefer to read print and paper communications compared toreading off a screen.

Most of those surveyed also believe that paper records are more sustainable than electronic record storage (68 percent) and that paper is more pleasant to handle and touch than other media (67 percent). But survey results also show that many Americans still have misconceptions about the environmental impacts of print and paper.

"Even though most Americans still prefer print over electronic communications, they also have misconceptions about the effects of paper-based communications on the environment," says Two Sides President Phil Riebel. "In fact, print and paper have a great environmental story to tell, and Two Sides is committed to setting the record straight using factual information from well-known, credible sources."

The Two Sides survey indicates a majority of respondents are concerned about the effect of print and paper production on forests and believe that there is a connection between the loss of tropical rainforests and the manufacture of paper, but data from a variety of sources show these beliefs to be unfounded.

Send to a Friend

01.19.2012

St.Marys sales process begins

The fate of bankrupt St. Marys Paper Corp. will likely begin unfolding in a Toronto courtroom late Wednesday morning.

Ernst & Young, court-appointed receivers for the cash-strapped Sault Ste. Marie specialty papermaker, will seek Ontario Superior Court of Justice (Commercial Division) approval to move forward on a sales process.

Lawyers for International Forest Products LLC, formerly International Forest Products Corp., which launched legal action late last month that put the 117-year-old mill into receivership, supports the receiver's recommendation.

The receiver is proposing a six-week process from court approval of the sale process to the March 2 closing of the sale.

Key dates will include: Jan. 30 (submission of non-binding letters of intent); Feb. 10 (submission of offers with $250,000 deposit); Feb. 21 (waiving all conditions related to sale); Feb. 29 (court approval of accepted offer) and March 2 (closing date).

Marketing materials, as well as a potential buyer list, including strategic buyers, distressed private equity funds and decommissioning, scrap dealers and liquidators, have been developed prior to the court appearance.

St Marys, rescued from bankruptcy in the summer of 2007, saw only limited production the past two years and was completely idle the past 10 months, since a four-month limited relaunch was aborted in March 2011.

Send to a Friend

01.19.2012

November 2011 US Commercial Printing Shipments Down -1.4% Compared to November 2010

November 2011 printing shipments were $7.1 billion in current dollars, -$104 million (-1.4%) compared to November 2010. On an inflation-adjusted basis, shipments were down -$349 million (-4.7%). For January through November, shipments were $76.7 billion, -$181 million for the same period in 2010; on an inflation-adjusted basis, they are down -$2.6 billion.

For all of 2011, it is likely that December’s shipments will bring the year in at $84.0 billion, just short of our forecast of $85 billion. Our forecast for 2012 is $81 billion.

Send to a Friend

01.19.2012

Buckeye Announces Sale of Non-Core Merfin Systems Converting Business

Buckeye Technologies Inc. today announced that it has signed a definitive agreement to sell the assets and ongoing operations of its Merfin Systems converting business to National Tissue Company, LLC. Merfin Systems, located in King, North Carolina, is a converter of towels, tissue and napkins which it sells along with proprietary paper product dispensers into the away from home market. It sells these products through selected distributors concentrated in the eastern U.S. and Canada. National Tissue is a privately owned converter located in Cudahy, Wisconsin. National Tissue markets and sells its broad product line primarily through small and mid-sized distributors located in the Midwest.

National Tissue’s President, Mike Graverson, said, “Merfin is an excellent fit and will complement National Tissue’s core business. Merfin brings their proprietary dispensing systems and other product extensions to our basic offering. Adding a second and expandable operating location is a big step in our strategic roadmap.”

Send to a Friend

01.19.2012

Crude Oil Advances in New York on Shrinking Stockpiles, Iranian Risks

Oil rose in New York on signs that the U.S. economic recovery is reducing the nation’s crude inventories, and on concern that tensions with Iran may lead to disruptions in exports from the Middle East.

Futures advanced as much as 1.2 percent after the American Petroleum Institute said crude inventories slid the most in six weeks in the seven days ended Jan. 13. Energy Department data today may show supplies climbed for a fourth week, according to a Bloomberg News survey of analysts before the API numbers were released. Iran’s ambassador to the United Nations said yesterday that closing the Strait of Hormuz, the passageway for about a fifth of the world’s oil trade, is an option if his country’s security is endangered.

“It was a big draw” in crude inventories reported by the API, said Hannes Loacker, an analyst at Raiffeisen AG in Vienna. “So expectations for the Energy Department numbers definitely become more bullish. On the hand, this may bring disappointment if the crude numbers do not drop.

Crude for February delivery gained as much as $1.23 to $101.82 a barrel in electronic trading on the New York Mercantile Exchange and was at $101.59 at 11:47 a.m. London time. The contract, which expires tomorrow, is up 2.8 percent this year. The more active March contract rose 99 cents to $101.75.

Brent oil for March settlement advanced 69 cents, or 0.6 percent, to $111.35 a barrel on the London-based ICE Futures Europe exchange.

Send to a Friend

01.19.2012

Catalyst Paper Clarifies Media Reports Concerning Recapitalization Process

Catalyst Paper Corporation announced today that it has applied for and received an initial court order under the Canada Business Corporations Act (CBCA) to commence the consensual restructuring process with its noteholders announced on January 14, 2012. Contrary to certain media reports this is not a bankruptcy proceeding. The company is also seeking recognition of these proceedings with the US Court in order for the Canadian order under the CBCA to be recognized in the United States.

The company will continue to operate and satisfy its obligations to trade creditors, customers, employees and retirees in the ordinary course of business during this restructuring process.

Send to a Friend

01.19.2012

Postal Service Asking PRC to Accelerate Review of Network and Service Standard Changes

The U.S. Postal Service today asked the Postal Regulatory Commission (PRC) to expedite consideration of the Postal Service’s plan to make its operations more efficient, reduce costs and ensure the long-term affordability of mail.

The request filed with the PRC calls on the Commission to issue its non-binding advisory opinion on planned Postal Service network and service standard changes by mid-April 2012. The current moratorium on the closing of any Post Office or mail processing facility expires on May 15, 2012. The Postal Service voluntarily agreed to the moratorium in response to congressional requests in the hope it would help facilitate the enactment of comprehensive postal legislation.

The Postal Service had laid out a carefully designed plan to return to profitability while meeting the changing needs of its customers. The plan includes reducing the number of mail processing facilities from 460 today to fewer than 200 by 2013 and revising mail delivery service standards. The network changes will provide more predictable and reliable service and is part of a broader effort to stabilize the Postal Service finances and continue to provide affordable, universal service for generations to come.

The PRC issued a schedule last week that guarantees the Commission will not issue its non-binding advisory opinion until July 10, 2012, at the earliest. The Postal Service would like to move forward with its planned network and service standard changes with the benefit of the PRC’s advisory opinion, which it would need to have well before May 15.

Send to a Friend

01.18.2012

Resolute Updates Status of its Offer for Fibrek

AbitibiBowater Inc., doing business as Resolute Forest Products, today announced that it filed an application with the Bureau de révision et décision (Québec), the administrative tribunal with statutory jurisdiction in securities law and regulatory matters in the province, for an order to cease trade Fibrek Inc.'s (Fibrek, TSX: FBK) shareholder rights plan (the "tactical poison pill").

Resolute also announced that the U.S. Securities and Exchange Commission declared effective Resolute's registration statement relating to the proposed transaction on January 13, 2012, and that U.S. antitrust authorities granted early termination of the statutory waiting period under the U.S. Hart-Scott-Rodino Act with respect to the proposed transaction.

"The tactical poison pill has outlived its usefulness," said Richard Garneau, President and Chief Executive Officer. "Since we announced our offer late in November, Fibrek has found time to adopt the tactical poison pill and enhance compensation packages for senior management, but has yet to provide its shareholders with a competitive alternative to our offer. Shareholders must now be given the opportunity to decide for themselves whether or not to accept our offer."

Send to a Friend

01.18.2012

December 2011 Boxboard Report

The American Forest & Paper Association released its December 2011 U.S. Paperboard Report today. Total boxboard production decreased by 5.9% compared to December 2010, and decreased 4.6% from last month.

· Unbleached Kraft Folding production increased over the same month last year, and increased compared to last month.

· Total Solid Bleached Boxboard & Liner production decreased compared to December 2010, and decreased compared to last month.

· The production of Recycled Folding decreased compared to December 2010, and decreased when compared to last month.

· Inventory of Solid Bleached Kraft Paperboard grew over a year ago.

Send to a Friend

01.18.2012

December 2011 Kraft Paper Sector Report

The American Forest & Paper Association released its December 2011 Kraft Paper Sector Report today. Total Kraft paper shipments were 123.1 thousand tons, a decrease of 7.5% compared to December 2010. Total inventory was 80.2 thousand tons this month.

Additional key findings from the report include: Total Unbleached Kraft shipments decreased compared to 2010. Total Bleached Kraft shipments increased nine out of twelve months the same month in 2010.

Send to a Friend

01.18.2012

U.S. Containerboard Production Remains Constant

The American Forest & Paper Association released its December 2011 U. S. Containerboard Statistics Report today. Containerboard production was flat, gaining only 0.8% over same month last year. The production was also flat when compared to November 2011, increasing 0.2%, however, the month over month average daily production decreased 3.0%. The containerboard operating rate for December 2011 was up slightly from December 2010 to 93.6% from 93.1%.

Send to a Friend

01.18.2012

Georgia-Pacific Completes Sale of Business in Italy

Today, Georgia-Pacific has announced that it has completed the sale of the legal entity in Italy to Cartiera Lucchese (Lucart Group). A definitive agreement for the sale was announced last November and this closing concludes the sale process.

The sale includes the mills located at Castelnuovo and Avigliano, the Italian brands Tutto and Tenderly, related assets and administrative support functions and offices. The agreement also includes a 12-month license for the distribution of differentiated Lotus Professional products owned by Georgia-Pacific EMEA Away-from-Home as well as an exclusive distribution agreement for Georgia-Pacific’s Demak’Up products in Italy for one year.

Send to a Friend

01.18.2012

Webcom Doubles Its Inkjet Printing Capacity, Invests $20 Million in 18 Months

Webcom announced its second major capital investment in the past 18 months, bringing its total to an impressive $20 million. The latest investment will involve installation of an HP T350 Color Inkjet Web Press to complement a T300 model installed just over a year ago. Uptake of inkjet print resulted in a 10-fold volume increase for Webcom in 2011.

“Not only do these commitments demonstrate our responsiveness to the needs of publishers today, they also exhibit Webcom’s flexibility in taking on the challenges of tomorrow,” commented Webcom’s President and CEO, Mike Collinge.

Set to more than double its inkjet capacity to 2 billion pages annually, Webcom’s Toronto plant now has the second largest book production capacity for inkjet printing in North America. The HPT350 inkjet press, which will be in full production by March, is a four color, wide width, 600 feet per minute inkjet press capable of producing more than 8 million customized books annually.

Dramatic shifts in the printing landscape toward inkjet also require a paradigm shift for systems automation. Included in Webcom’s $8-million investment in 2012 is a significant upgrading of hardware and software, both of which will drive efficiencies and lower publishers’ costs for custom, short run books.

Send to a Friend

01.18.2012

AEP Industries Inc. Reports Fiscal 2011 Results

AEP Industries Inc. today reported financial results for its fiscal year ended October 31, 2011.

As previously reported, on October 14, 2011, the Company completed its acquisition of substantially all of the assets and specified liabilities of Webster Industries ("Webster"), a national manufacturer and distributor of retail and institutional private label food contact and trash bags, in a cash transaction for a purchase price of $25.9 million, subject to a post-closing working capital adjustment.

Net sales for fiscal 2011 increased $174.2 million, or 21.8%, to $974.8 million from $800.6 million for fiscal 2010. The increase was the result of an increase in average selling prices primarily attributable to the pass-through of higher resin costs to customers during the comparable periods combined with an increase in sales volume. The acquisition of Webster added $6.1 million in net sales during fiscal 2011.

Send to a Friend

01.18.2012

MWV Announces Preliminary 2011 Fourth Quarter Results

MeadWestvaco Corporation today announced certain preliminary financial results for the fourth quarter and year ended December 31, 2011.

The company expects fourth quarter 2011 pre-tax income from its business segments (before Corporate and Other) to be in the range of $150 to $160 million, resulting in full-year performance of $835 to $845 million. Cash flow from operations for the full year is expected to be about $550 million.

Weaker than expected demand in certain U.S. and European packaging markets resulted in lower volumes and production rates during the fourth quarter.

Send to a Friend

01.17.2012

SCA divests its packaging operations

SCA’s packaging operations – excluding the two kraftliner mills in Sweden – are divested to DS Smith. The purchase price amounts to EUR 1.7bn on a debt free basis.

“The reason for the divestment is primarily to enable increased growth in the hygiene business”, says Jan Johansson, President and CEO of SCA.

The packaging operations, excluding the two kraftliner mills, had net sales in 2010 of approximately SEK 24.2bn (EUR 2.5bn) and an operating profit, excluding restructuring costs, of approximately SEK 1.1bn (EUR 117million). The operations have approximately 12,000 employees.

The purchase price is equivalent to an EBITDA multiple of 6.3 based on the 12 month period Q4 2010 – Q3 2011.

Send to a Friend

01.17.2012

Verso Paper Corp. Reports Preliminary Results for Fourth Quarter and Year Ended December 31, 2011

Verso Paper Corp. today announced preliminary results for the fourth quarter and the year ended December 31, 2011. Verso estimates the following results:

For the three-month period ended December 31, 2011, we expect Adjusted EBITDA to be within the range of $45 million to $50 million, and for the year ended December 31, 2011, we expect Adjusted EBITDA to be within the range of $200 million to $205 million.
Adjusted EBITDA for the three-month period ended December 31, 2011, excludes charges from special items of approximately $45 million primarily related to the shut-down of three paper machines, goodwill impairment, and hedging transactions. Adjusted EBITDA for the year ended December 31, 2011, excludes charges from special items of approximately $80 million primarily related to net losses on debt refinancing, the shut-down of three paper machines, goodwill impairment, and hedging transactions.
For the three-month period ended December 31, 2011, we expect operating income before items to be within the range of $14 million to $19 million. Including approximately $52 million of charges primarily related to the paper machine shut-downs, goodwill impairment and hedging transactions we expect operating losses within the range of $38 million to $33 million for the quarter. For the year ended December 31, 2011, we expect operating income before items to be within the range of $74 million to $79 million. Including approximately $60 million of charges primarily related to the paper machine shut-downs, goodwill impairment and hedging transactions we expect operating income within the range of $14 million to $19 million for 2011.
Cash and total debt at December 31, 2011 were approximately $95 million and $1.2 billion, respectively. At December 31, 2011, our existing $200 million revolving credit facility had no amounts outstanding, approximately $41 million in letters of credit issued, and approximately $159 million available for future borrowing.

Send to a Friend

01.17.2012

Oil Rises to Three-Day High as Saudi Arabia Is Seen Targeting $100 Crude

Oil rose to the highest level in three days on speculation that China will intensify monetary stimulus, supporting fuel demand, and as France pushed for a ban on Iranian imports.

France wants a European Union embargo delayed by no more than three months as members seek alternative supplies, an official with knowledge of the matter said yesterday. China’s economy expanded at the slowest pace in 10 quarters, sustaining pressure on Premier Wen Jiabao to ease monetary policy. Saudi Arabia aims to stabilize the average of crude prices worldwide at $100 a barrel in 2012, Oil Minister Ali al-Naimi said in an interview with CNN yesterday.

“Everything is rising because of China,” said Carsten Fritsch, an analyst at Commerzbank AG in Frankfurt. “It’s general market sentiment.”

Crude for February delivery rose as high as $100.97 a barrel in electronic trading on the New York Mercantile Exchange, up $2.27 from the Jan. 13 closing price, and traded at $100.76 at 11:13 a.m. London time. Floor trading was shut yesterday for the Martin Luther King Jr. holiday and electronic transactions will be booked with today’s for settlement purposes.

Brent oil for March on the London-based ICE Futures Europe exchange gained as much 1.3 percent to $112.76 a barrel.

Send to a Friend

01.17.2012

Hanley Wood recapitalizes, reduces debt by $330 million

Hanley Wood, publisher of Builder, has recapitalized and slashed its long-term debt from $410 million to $80 million. As part of this deal, the construction industry information company has a new ownership group that has invested $35 million of new capital into the company.

The ownership group is led by funds managed by Oaktree Capital Management, Strategic Value Partners and Tennenbaum Capital Partners. (A group led by JPMorgan Partners, a private equity affiliate of J.P. Morgan Chase & Co., acquired Hanley Wood in 2005 for $618 million.)

“This recapitalization is very positive news for the company, our customers, suppliers, business partners and employees,” said Frank Anton, CEO of Hanley Wood CEO, in a statement. “"With a strengthened balance sheet, we expect to be much better positioned to invest in and grow our businesses and take full advantage of the strength of our operations.”

Send to a Friend

01.17.2012

Magazine Apps Still Hampered By Malfunctions and Bugs

Although many magazine iPad apps and their underlying publishing platforms have had more than a year to work out the kinks, "about a third of all apps we have evaluated still have at least one shortcoming,” says Rebecca McPheters, CEO, McPheters & Company in an Adverting Age column this week. Her company’s iMonitor service has been tracking and testing over 5,000 magazine and newspaper apps. According to the findings, 22% of magazine apps have demonstrated problems with subscriber authentication and about half of those that allow print subscribers to access the app edition are suffering from authentication woes.

As the chart here shows, a range of technical issues continues to plague apps, including bugs related to displaying graphics (10% of magazine apps), navigating the app (7%), downloading content (4%) and running different audio and video media types (3%).

McPheters outlines many other large and small problems that apps from the print world still demonstrate. “Pages, video and audio can fail to load,” she writes. “Links may be broken. Audio sometimes won't turn off, leaving users the choice of closing the app or continuing to listen against their will. Spontaneous crashes are common. Downloads continue to be a problem with many apps, particularly when consumers want to download issues over a 3G network or without high-speed connections.”

McPheters estimates that by the end of 2015 half of newspaper and magazine circulation will go through digital channels. But the print world is not on equal footing yet with the other sources of information via apps. “News apps that don’t come from magazine or newspaper brands malfunction with markedly lower frequency, according to our analysis at iMonitor.”

Send to a Friend

01.17.2012

Classic Graphics, Harperprints Combine To Create Graphic Communications Powerhouse

Two of the most respected names in the printing and graphic communications industry are joining forces: Classic Graphics, Inc., Charlotte, N.C., has acquired certain assets of Harperprints, Henderson, N.C., adding to Classic’s position as the largest privately owned graphic communications company in the Carolinas. The NAPL Business Advisory Team provided advisory services to Classic Graphics, including recommendations on valuation and transaction structure.

In the context of an industry where many smaller companies are falling by the wayside, and where mid-sized competitors are consolidating to remain viable, David Pitts, co-owner of Classic, says this is a logical move: “Classic has enjoyed tremendous organic growth over our 28-year history. Combining operations with a prominent, industry-leading company like Harperprints will help us sustain, and hopefully extend, our growth ambitions.”

Send to a Friend

01.17.2012

Nippon Paper Group to Shut Down Production Facilities at Nippon Paper Crecia's Iwakuni Mill

Nippon Paper Group, Inc. (President: Yoshio Haga) has decided to shut down the production facilities at the Iwakuni Mill (Iwakuni-shi, Yamaguchi Prefecture; Manager: Takashi Yamaguchi) of Nippon Paper Crecia Co., Ltd. (President: Kazuhiro Sakai), as a measure to cope with the severe conditions in the household paper products business. These facilities account for about 15% of Nippon Paper Crecia's entire production capacity. Transferring products produced at the Iwakuni Mill to Kyoto and other mills will raise the operation ratio of production facilities to 90% or above. Through this measure, Nippon Paper Crecia intends to reduce fixed costs and enhance production efficiency, thereby strengthening the competence of its household paper products business. After shutting down the production facilities, the Iwakuni Mill is slated for use as a logistics center, aimed at strengthening functions and covering the Chugoku, Shikoku and Kyushu regions.

Nippon Paper Crecia will continue strengthening its production and sales bases, while developing differentiated products to expand profits.

Send to a Friend

01.17.2012

Sheridan Group Joins Global Distribute and Print Alliance

The Sheridan Group (TSG), a print and publishing technology solutions provider, has announced the formation of an international strategic alliance with three leading print service providers to distribute and print published content globally.

The alliance, named the Content Delivery Alliance (CDA), provides a true solution for regional and international customers who require their content be produced and delivered close to their customer base. With the combination of Sheridan Group handling North and South America, Hobbs the Printer and MPG Books Group handling Europe and the OPUS Group operation delivering the Asia-Pacific region, this alliance provides content delivery options across the globe.

The Sheridan Group is well known for its exceptional print on demand, digital, offset and web printing capabilities. Within the journal and book markets—the primary audience for this service—partnership in the Content Delivery Alliance now adds another dimension to Sheridan’s value to its customers. Using highly automated systems, the alliance is well prepared to accommodate all of a publisher’s digital print needs, down to a single copy, as well as regional offset printing requirements for larger publications or books.

This global print alliance offers many benefits. In addition to enabling The Sheridan Group and its partners to serve their customers’ worldwide content distribution needs, this partnership can help support publishers’ sustainable practice initiatives or inventory management objectives while reducing distribution costs and delivery time.

Send to a Friend

01.17.2012

Stora Enso increases flexibility and competitiveness through rethinking Business Area structure

Stora Enso has decided to renew its Business Area and Reporting Segment structure. The Group will combine the paper reporting segments Newsprint and Book Paper, Magazine Paper and Fine Paper into one Business Area and reporting segment called Printing and Reading. The reporting segments Consumer Board and Industrial Packaging will form the Renewable Packaging Business Area and Reporting Segment. A new Business Area and Reporting Segment called Biomaterials is established comprising mainly the Company’s joint-venture pulp mills, stand-alone pulp mills and wood plantations. The Wood Products Business Area will be renamed as Building and Living.

The Company will have four Business Areas and Reporting Segments:

Biomaterials, headed by EVP Juan Bueno
Printing and Reading, headed by EVP Juha Vanhainen
Renewable Packaging, headed by EVP Mats Nordlander
Building and Living, headed by EVP Hannu Kasurinen

The changes in the Business Areas and management will take place as of 17 January 2012.

Send to a Friend

01.17.2012

Stora Enso’s non-recurring items in fourth quarter 2011

Stora Enso will record non-recurring items (NRI) with a negative impact of approximately EUR 21 million on operating profit and a negative impact of approximately EUR 10 million on financial items in its fourth quarter 2011 results. The NRI will have a negative cash impact of EUR 20 million.

A NRI of approximately EUR -20 million relates to water purification and a water level adjustment provision at the former mine at Falun in Sweden and a NRI of approximately EUR -11 million relates to write-downs of Arktos Group shares and loan receivables. They are both reported in the segment Other and their impact on operating profit is specified in the table below.

The NRI detailed above and valuation of deferred tax assets have a beneficial tax impact of EUR 51 million.

Send to a Friend

01.17.2012

Fortress Paper Updates Status of Dissolving Pulp Production

Fortress Paper Ltd. is pleased to announce that it has ramped up production of dissolving pulp at its Fortress Specialty Cellulose Mill to approximately 60% of final targeted capacity since it announced production of dissolving pulp had commenced on December 5, 2011. The ramp up of production continues substantially as planned and we expect meaningful improvements in the short term followed by smaller productivity gains as we approach our targeted production capacity. Our dissolving pulp is meeting customer specifications and after aggregating inventory, customer shipments commenced in the final week of December.

Chad Wasilenkoff, Chief Executive Officer of Fortress Paper, commented: "We are extremely pleased with the speed at which the ramp up of dissolving production is proceeding at our Fortress Specialty Cellulose Mill and are focused on achieving our planned production capacity as soon as possible. With the shipment of our first orders, we have demonstrated our ability to successfully produce dissolving pulp that meets the stringent specifications of our customers."

Send to a Friend

01.16.2012

White Birch closes Stadacona permanently after union rejects offer

The Stadacona newsprint mill in Quebec City which has been idle since December is now permanently closed, says owner White Birch Paper. The closure follows the rejection by members of the Communications, Energy and Paperworkers Union of what was termed a "final offer" presented by the owner on Jan. 6.

The decision leaves about 600 workers without a job.

White Birch president Christopher Brant said the company was forced to close the mill. "The decision was not made lightly and we did everything we could to avoid this scenario."

Brant continued, "The mill's financial situation and the economic deterioration in the newsprint industry mean the end of the road for Stadacona. The union's rejection of our final offer left us with no other choice but to close the mill for good."

The CEP union told Canadian Press that the rejected Jan. 6 offer called for a 21% pay cut, and significant reductions to pensions. It was said that workers over age 55 would lose 45% of the value of their pension, while younger workers would lose 65% of the value.

Send to a Friend

01.16.2012

Oil Climbs From Four-Week Low as Iran Warns of Hormuz Supply Disruption

Oil climbed from the lowest price in almost four weeks as Iran said that a disruption to crude supplies through the Strait of Hormuz would cause a shock to markets that “no country” could manage.

Futures rose as much as 0.9 percent after sliding 2.8 percent last week. Iran has threatened to shut the strait, a transit route for about a fifth of global oil trade, in response to international sanctions on its exports. Any disruption will harm the world’s crude markets, Iran’s governor to OPEC said, according to the state-run Mehr news agency. Nigerian labor unions suspended protests after saying they would consider shutting down oil output in opposition to higher fuel prices.

“Supply worries in Iran and Nigeria combined with the recovering U.S. economy and demand from developing markets are driving oil prices higher,” Christopher Bellew, a senior broker at Jefferies Bache Ltd. in London, who predicts crude prices will rise further. “It’s only the weakness of the euro that’s stopping oil from making bigger advances.”

Crude for February delivery rose as much as 89 cents to $99.59 a barrel in electronic trading on the New York Mercantile Exchange and was at $99.54 at 11:25 a.m. London time. The contract fell 0.4 percent to $98.70 on Jan. 13, the lowest close since Dec. 21. There will be no floor trading in New York today because of the Martin Luther King Jr. holiday.

Brent oil for February settlement was at $111.12 a barrel, up 68 cents on the London-based ICE Futures Europe exchange.

Send to a Friend

01.16.2012

Catalyst board of directors recommends support for recapitalization transaction

Catalyst Paper Corporation announced today that the company has entered into an agreement (the Agreement) for a recapitalization transaction that will result in a significantly reduced debt burden.

Catalyst Paper’s management team and Board of Directors believe that the proposed recapitalization offers substantial benefits to Catalyst Paper, including:

• enhanced flexibility to respond to the downturn in the market for paper, newsprint and pulp;
• improved capital structure: $315.4 million reduction in debt; and
• reduced cash interest expense: up to $25.5 million reduction in annual cash interest expense ($37.0 million if paid in kind to the maximum extent possible).

Catalyst Paper’s management team and Board of Directors believe that, in view of the challenges and risks to the company’s ongoing viability created by the current paper, newsprint and pulp markets and the company’s existing capital structure, the recapitalization is the best alternative available to the company and its noteholders, shareholders and other stakeholders. The new capital structure will provide a stronger financial base for the execution of the company’s operating strategy and enhance the long-term value of the company.

Send to a Friend

01.16.2012

Twin Rivers Paper Company Announces Additional Financing

Twin Rivers Paper Company, a leading manufacturer of lightweight specialty packaging, publishing and label papers, announced today it has secured additional financial support from the Finance Authority of Maine (FAME) and Business New Brunswick (BNB).

Business New Brunswick has agreed to provide a loan guarantee while FAME has agreed to provide loan insurance. Canadian Imperial Bank of Commerce (CIBC), the company’s current lender, has also approved an extension and amendments to Twin Rivers Paper's existing revolving credit facility.

"This support from FAME and BNB and the continued support of CIBC are expected to provide the momentum to allow us to continue towards our strategic objectives while affording greater financial flexibility to manage our business,” said Wayne Johnson, Vice President of Finance.

Send to a Friend

01.16.2012

UPM To Close Down The Albbruck Paper Mill and Transfer The Sheeting Lines To Plattling

UPM will permanently close down the unprofitable Albbruck paper mill in Baden-Württemberg, Germany. The discussions between UPM, the employee representatives and local authorities did not lead to a solution for continuing the operations at the mill. Neither was the search for an investor successful. The closure of the mill is affecting the 508 employees of the mill. The personnel reductions will take place on 31 January 2012.

“UPM Albbruck mill has been making a loss for several years due to the age and relatively small size of the machines and the mill is not cost competitive within UPM asset and global customer portfolio. Under the difficult circumstances the highly qualified employees have done an excellent job. Unfortunately, it would not have been possible to improve the mill’s profitability to an extent that would have allowed sustainable operations,” says Jyrki Ovaska, President, UPM’s Paper Business Group.

During the negotiations concerning reconciliation of interest and social plan, issues such as pension schemes, support for re-employment, relocations within the company, re-training and compensation payments were discussed and agreed.

Send to a Friend

01.13.2012

M-real divests the Reflex mill’s Premium Paper business to Hahnemühle FineArt GmbH and private shareholders of Hahnemühle

M-real Corporation, part of Metsäliitto Group, has agreed to divest the Reflex mill’s Premium Paper business to Walzmühle AG that is owned by Hahnemühle FineArt GmbH, the Hahnemühle management and private shareholders of Hahnemühle. The divestment includes the complete Premium Paper business and related assets as well as approximately 100 of M-real’s employees.

Premium Paper products are used in high-quality graphical end-uses, such as letterhead, brochures, books, calendars and envelopes.

The divestment is expected to be closed during 1Q 2012. The divestment would decrease M-real’s annual sales by approximately EUR 20 million and it would not have a material impact on M-real’s operative result.

Send to a Friend

01.13.2012

Non-recurring items in M-real's 4Q 2011 results

M-real Corporation, a part of Metsäliitto Group, is expected to book approximately EUR 205 million negative non-recurring items in the operating result of the last quarter of 2011. The main items are the following:

EUR 105 million cost provisions and write-downs in Office Papers business area related to the planned closure of the Alizay mill announced on 18 October 2011.
EUR 70 million cost provisions and write-downs in Speciality Papers business area related to the planned discontinuation of the unprofitable production at Gohrsmühle and Reflex mills announced on 18 October 2011.
EUR 25 million impairment of assets, write-downs and cost provisions in Consumer Packaging business area related to the restructuring at Äänekoski mill including the closure of the paper machine 2 announced on 2 November 2011.
EUR 5 million additional cost provisions and adjustments to the sales price in Market Pulp and Energy related to the divestment of Hallein pulp mill materialised in September 2011.

Of the total non-recurring items approximately EUR 190 million will have an impact at the EBITDA level. The write offs will reduce M-real's annual depreciations by approximately EUR 2 million from 2012 onwards.

Send to a Friend

01.13.2012

Oil Futures Head for Weekly Decline on Plans to Delay Iranian Embargo

Oil headed for its biggest weekly decline in a month on signs that the European Union may delay the enforcement of a ban on Iranian oil imports.

Futures have lost 2.3 percent this week after a European Union official said sanctions on Iran may be postponed by six months to allow some countries to find alternative petroleum supplies. The measures are also likely to include an exemption for Italy so crude can be sold to pay off debts to Eni SpA, the nation’s largest oil company, the official said.

“I think it’s in no one’s interests for this to escalate beyond words, which will probably keep tension high,” said Michael Hewson, an analyst at CMC Markets in London, which handles about $240 million a day in U.S. crude contracts. “Any flare-up in the Straits of Hormuz would obviously send oil spiking sharply but that would be something that both parties would want to avoid.”

Crude for February delivery was at $99.25 at 11:13 a.m. London time on the New York Mercantile Exchange. The contract yesterday fell $1.77 to $99.10, the lowest close since Dec. 30.

Brent oil for February settlement fell 48 cents to $110.78 a barrel on the London-based ICE Futures Europe exchange.

Send to a Friend

01.13.2012

Grand View Media Takes Over Operations of Shooting Sports Retailer

Grand View Media Group, a consumer, b-to-b and custom publisher in the outdoor market, has taken over management of Shooting Sports Retailer magazine, including all editorial, management, accounting, sales, production and circulation operations for the bi-monthly title and its digital products.

“Because we already have numerous outdoor titles, including Archery Business, a b-to-b magazine for archery retailers, it was a natural progression for us to go after firearms retailers,” says Grand View general manager Barry Lovette.

Grand View Media, a Birmingham, Alabama-based subsidiary of international information services and publishing company EBSCO Industries, publishes fifteen titles including the custom Cabela’s Outfitter Journal and consumer magazines Whitetail Journal, Predator Xtreme and Waterfowl & Retriever.

Send to a Friend

01.13.2012

Metso-supplied fine paper production line started up at Zhanjiang Chenming Pulp & Paper in China

The Metso-supplied fine paper production line, PM 1, of Zhanjiang Chenming Pulp & Paper Co., Ltd. came successfully on stream on September 1, 2011 at the company’s greenfield pulp and paper mill in Zhanjiang City, Guangdong Province, China.

The 11.15-m-wide PM 1 has an annual dimensional production capacity of close to 600,000 tonnes of wood free uncoated printing paper within the basis weight range of 45 to 120 g/m2. The design speed is 2,000 m/min.

Send to a Friend

01.13.2012

MWV Responds to Market Need for Matching Heavyweight Coated One-Side Cover

In the current array of competitive offerings, designers and brand owners have had to accept low brightness, off-white alternatives for their printed applications that require a heavyweight (14 pt and above) coated one-side cover. But that is no longer the case. MeadWestvaco Corporation announced today that its Commercial Print business has extended its Tango® C1S coated cover to include 14 through 24 pt. heavyweight calipers with the same 92 brightness, clean-white shade and consistent print performance that has made the Tango coated cover line the preferred choice of printers, designers and brand owners.

“Designers and brand owners have been asking for this, and we have responded,” said Steve Anderson, director, Marketing for MWV’s Commercial Print business. He continued, “In this competitive environment, our customers want to present a consistent, high quality brand image across any print campaign. In doing so, they need their direct mail pieces to match up with their brochures, and their pocket folders to match up with their in-store displays. By extending our C1S offering up to 24 pt. caliper, they can now do that.”

MWV’s Tango line is available as a coated one-side or coated two-side cover from 8 pt. through 24 pt. (or the equivalent of 70# to 170# cover). MWV will continue to offer its 86 brightness Tango Blanks product in heavyweight C1S calipers for less critical print applications.

Send to a Friend

01.12.2012

Buckeye Announces Closure of Americana Cotton Linter Pulp Production Line

Buckeye Technologies Inc. today announced the closure of its Americana, Brazil cotton linter pulp production line. The company will work closely with its customers to continue to meet their needs from its Memphis, Tennessee facility.

Buckeye's Chairman and Chief Executive Officer John Crowe said, “This closure has become necessary due to the facility’s uncompetitive cost position for the products it makes. This is primarily driven by the high cost of its cotton linter raw material supply. It is unfortunate that this closure will result in the termination of employment for approximately 60 dedicated employees. We have owned and operated the facility since 2000, and we value and appreciate the many contributions of the organization over the past 12 years. Buckeye will continue to operate the waste water treatment facility for the shared industrial site while we continue discussions with interested parties for the sale of the facility.

We expect to incur about $2.4 million in restructuring expenses in calendar 2012 and a non-cash asset impairment charge of about $49 million in the October-December 2011 quarter. The closure is expected to generate an approximate $20 million cash benefit, primarily due to tax benefits related to the investment loss, assuming we are able to utilize all of our potential cellulosic biofuel credits by June 2016. Any additional cash benefit will be dependent on the final outcome of the facility sale process.”

Send to a Friend

01.12.2012

Oil Advances From Lowest This Year on Nigeria Disruptions, Iranian Tension

Oil rose from the lowest settlement in almost two weeks in New York on concern that a strike in Nigeria and the threat of sanctions against Iran’s nuclear program will curb crude supplies.

Futures gained as much as 1.3 percent after sliding 1.3 percent yesterday. A Nigerian union said it started shutting platforms in Africa’s largest crude producer to support protests against the end of fuel subsidies. Japan said it may reduce petroleum imports from Iran, which has threatened to shut the Strait of Hormuz in response to sanctions on its oil exports.

“Tensions in Nigeria are helping to keep a solid floor under prices,” Andrey Kryuchenkov, an analyst at VTB Capital in London who correctly predicted crude would end 2011 near $100 a barrel. “Growing concerns over global crude shipments escalated as Tehran threatened to shut the Strait of Hormuz while the Pentagon made it clear that closing this vital checkpoint remains out of the question.”

Crude for February delivery on the New York Mercantile Exchange gained as much as $1.34 to $102.21 a barrel in electronic trading. It was at $102.13 at 11:32 a.m. London time. The contract yesterday slipped $1.37 to $100.87, the lowest close since Dec. 30. Prices are up 3.3 percent this year.

Brent oil was trading $1.37 higher at $113.61 a barrel on the London-based ICE Futures Europe exchange.

Send to a Friend

01.12.2012

Chesapeake installs new folder at Hicksville, Long Island, NY

Chesapeake Pharmaceutical and Healthcare Packaging, a leading global supplier of paperboard packaging, has installed its second Vijuk MV-2011 Large Format Folder at its Hicksville, Long Island, NY facility. The folder, which is part of a major global investment program, will produce patient-information leaflets for the healthcare market.

Christopher Cassidy, Chesapeake VP Sales & Marketing – North America, stated, “This purchase is in response to the FDA requirement for larger font sizes and additional prescribing information for packaging inserts. This recommendation is expected to manage the risk of medical product use and reduce medication errors. The increased type size necessitates the need for larger inserts. It’s a challenge for many pharmaceutical companies to meet this requirement without having to make major changes to their existing packaging lines. Chesapeake can now offer an effective solution.”

The MV-11 Outsert System folds outserts as small as 1-1/8” x 1-1/8”, flatter, 15% thinner, and with up to 40% more panels than previous models. The MV-11 Triple Knife Outsert System can fold outserts with up to 238 panels; it also features an upgraded glue system and a digital water score system.

Send to a Friend

Paperclips Blog | AbitibiBowater Results

View by Week:

Category:

Popular Keywords