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New RISI Report Identifies Pulp Mills At Risk For Closure In Southern U.S.

Friday, October 20, 2006

Press release from the issuing company

BEDFORD, MASSACHUSETTS (October 19, 2006) – RISI, the leading information provider for the global forest products industry, today announced the upcoming publication of a new risk assessment for 82 integrated and market pulp mills in the southern U.S. The study will provide an analysis of changing market conditions and rates mills according to various risk factors for closure. Keith Balter, RISI senior vice president for analytical and editorial products, commented, “Fundamental changes are occurring in the demand/supply balance for pulpwood in the U.S. South that will present the southern pulp and paper sector with major challenges in coming years. This report will be a valuable strategic planning tool for senior management and business analysts at any organization involved in pulpwood markets—from timberland management organizations, integrated forest products companies and OSB producers, to financial firms with investments in the sector.” The report, a revised and expanded update to a 2003 RISI study on southern pulpwood markets, will contain: - An updated risk assessment of 82 integrated and market pulp mills in the U.S. South, identifying specific mills facing significant competitive pressures. - Softwood and hardwood fiber consumption by mill, including roundwood consumption at the U.S. South’s 26 existing OSB mills and the 5 OSB mills that will become operational between now and 2008. - A regional assessment and five-year forecast of the pulpwood and chip supply, as well as the demand for pulp logs in the U.S. South. - A history and a five-year forecast of pulpwood prices (stumpage and delivered) for the U.S. South. In addition, the new study will feature the following brand-new content: - Individual timber basket analysis of fiber demand/supply conditions for pulp mills - Mill-level analysis of risk posed by the recent surge in OSB capacity - Effects of population pressures on timber markets - Mill risks resulting from proximity to coastal and urban areas - Effects of changing land ownership and use patterns The report, U.S. Southern Pulpwood: A Risk Assessment of Mill Capacity and Analysis of Regional Pulpwood Demand, Supply and Prices, is slated for publication in December 2006. A complete prospectus can be found at http://www.responsetrack.net/lnk/risiinfo678553/?12TQ5008SDZ. A 2005 companion study, Northern Pulpwood: Adapting to Changing Markets, is also available and focuses on the the northern US and eastern Canada.

 

 

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