SFA Logo
Strategic & Financial Arguments(TM)
for the pulp and paper industry worldwide

August 2019

July 2019

Participating as industry experts in pulp and paper financing and M & A deals around the world  for over two decades, we continue to see the same mistakes made over and over.  This newsletter is designed to help you avoid costly mistakes we have seen others make.  We will be giving you one or two points each month to help improve your performance.
Graphic Packaging announces $600 million CRB machine

By Jim Thompson
On 8 Aug 19, Graphic Packaging announced that their Board of Directors has approved a new CRB machine project in the amount of $600 million.

I think makers of CRB (Coated Recycled Board, sometimes called Clay Coated Box Board) should be worried, very worried.  From what little information is available, it looks like this machine will be a cost efficiency leader on every measurable front.  Further, it looks like it will produce a superior product, competitively knocking the old standard multiply cylinder board product out of the market.  

This may be the death knell of cylinder board machines, at least in the CRB grades.  We'll see if Graphic Packaging can execute their plans.  

Others should be worried, notably Greif, as well as a few others.

Have a comment?  Email me at jim.thompson@ipulpmedia.com

Advertisement--listen to Pulp and Paper Radio International
If you have a casual question or a major deal, call me on my personal cell phone - 404-822-3412 or email me at jthompson@taii.com. We are here to help.




Jim Thompson, CEO
Talo Analytic International, Inc.



JRT Banker's Engineer