MEMPHIS, Tenn., Sept. 22, 2017 /PRNewswire/ -- International
Paper (NYSE: IP) today announced plans to invest approximately
$300 million to convert its No. 15
paper machine at the Riverdale Mill in Selma, Ala. from uncoated freesheet to high
quality whitetop linerboard and containerboard. The conversion is
targeted to be completed by mid-year 2019. The investment will add
450,000 tons of annual capacity, with flexibility to shift between
containerboard products.
Converting Riverdale No. 15 will position International Paper to
grow its Industrial Packaging business, continue to provide
attractive jobs to Riverdale team members and remain a significant
supplier of uncoated freesheet in North
America.
"Our customers expect us to support their growth and this
machine conversion will meet their needs," said Tim Nicholls, IP's senior vice president,
Industrial Packaging the Americas. "Our Industrial Packaging
business continues to focus on our customers in strategic channels
including our box business, domestic and export containerboard and
specialty grades."
Nicholls added its Industrial Packaging mill system allows the
business to optimize product mix, increase service and reduce
costs. "Our system runs most effectively when there is flexibility,
and this conversion will also help us define a more streamlined and
balanced system overall."
As a result of the machine conversion, the company will reduce
its annual uncoated freesheet capacity by 235,000 tons. The
remaining machine at the Riverdale Mill will continue to produce
uncoated imaging paper products.
"International Paper's uncoated freesheet business remains a
strategic part of the company and we are well positioned to support
current and future customer demand," said Mike Amick, Jr., IP's senior vice president,
Paper the Americas & India.
"This investment proactively repositions Riverdale No. 15 to serve
our growing packaging business, while enabling us to optimize our
North American Papers business."
About International Paper
International Paper
(NYSE: IP) is a leading global producer of renewable fiber-based
packaging, pulp and paper products with manufacturing operations in
North America, Latin America, Europe, North
Africa and Russia. We produce packaging products that
protect and promote goods, and enable world-wide commerce; pulp for
diapers, tissue and other personal hygiene products that promote
health and wellness; papers that facilitate education and
communication; and paper bags, cups and food containers that
provide convenience and portability. We are headquartered in
Memphis, Tenn., and employ
approximately 55,000 colleagues located in more than 24
countries. Net sales for 2016 were $21
billion. For more information about International
Paper, our products and global citizenship efforts, please visit
internationalpaper.com.
Certain statements in this press release are or may be
considered forward-looking statements, such as statements relating
to the timing, cost and impact of the paper machine conversion.
These statements reflect Company management's current views and are
subject to risks and uncertainties that could cause actual results
to differ materially from those expressed or implied in these
statements. Factors which could cause actual results to
differ include but are not limited to (i) the failure to
successfully convert the paper machine within the estimated
timeframe and budget; (ii) the failure to realize the expected
benefits from the conversion or delay in realization thereof; (iii)
industry, global economic and other conditions that could affect
the timing, cost and impact of the conversion; and (iv) other
factors that can be found in the Company's press releases and
Securities and Exchange Commission filings. The Company
undertakes no obligation to publicly update any forward-looking
statements, whether as a result of new information, future events
or otherwise.
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SOURCE International Paper