BALAKHNA, Russia, March 17, 2016 (Press Release) -This will enable the Mill to operate in the normal way.
On March 04, 2016 the Arbitrazh (Commercial) court of Nizhny Novgorod region allowed JSC Volga’s petition for an instalment plan in the execution of the court decision in PAO MRSK of Centre and Privolzhie’s [Interregional Distribution Grid Company of Centre and Volga Region] case against JSC Volga. The case concerns the recovery of 658 million roubles in debt for the electricity transmission services.
The Paper Mill filed a petition requesting the debt be payable by instalments citing its inability to execute the court decision in one-time payment.
The court ruled that Volga’s indebtedness to PAO MRSK of Centre and Privolzhie will be repaid by equal monthly installments over a period of two years.
Volga’s management sees a viable solution in the ruling because it makes allowance for the Mill’s capacity to discharge its obligations to the partners, customers, employees and creditors, as well as tax obligations, while also maintain continuous operations.
BALAKHNA, Russia, March 17, 2016 (Press Release) -This will enable the Mill to operate in the normal way.
On March 04, 2016 the Arbitrazh (Commercial) court of Nizhny Novgorod region allowed JSC Volga’s petition for an instalment plan in the execution of the court decision in PAO MRSK of Centre and Privolzhie’s [Interregional Distribution Grid Company of Centre and Volga Region] case against JSC Volga. The case concerns the recovery of 658 million roubles in debt for the electricity transmission services.
The Paper Mill filed a petition requesting the debt be payable by instalments citing its inability to execute the court decision in one-time payment.
The court ruled that Volga’s indebtedness to PAO MRSK of Centre and Privolzhie will be repaid by equal monthly installments over a period of two years.
Volga’s management sees a viable solution in the ruling because it makes allowance for the Mill’s capacity to discharge its obligations to the partners, customers, employees and creditors, as well as tax obligations, while also maintain continuous operations.
TORONTO, ON, Jan. 8, 2016 (Press Release) -On January 7, Verso Paper Holdings LLC (“Verso”, Caa2 negative) announced that it has sold its subsidiary, Verso Androscoggin Power LLC (VAP) to Eagle Creek Renewable Energy LLC (unrated) for about $62 million. The sale is credit positive because it will strengthen the company’s liquidity position with no significant impact on operations and minimal cost impacts. Verso’s Caa2 Corporate Family Rating, SGL-4 Speculative Grade Liquidity rating and negative outlook remain unchanged.
Sale proceeds will bolster the company’s liquidity position as Verso continues to explore potential debt restructuring alternatives and while it continues to integrate NewPage (which it acquired January 2015). However, Moody’s expects the company’s liquidity to remain weak with few remaining non-core saleable assets, limited covenant headroom and expectations that the company will continue to utilize its credit facilities to fund cash requirements. Prior to the sale, Verso had about $10 million of cash and $62 million of committed unused availability (at 9/2015) to fund about $77 million of debt maturing in 2016. While we expect Verso will generate positive free cash flow over the next 12 months, the company will require further borrowing to service its debt.
Located in Maine, VAP owns four hydroelectric generation facilities associated with Verso’s Androscoggin pulp and paper mill. The sale is not expected to impact operations at the mill, which will continue to purchase electricity from VAP following the transaction.
Headquartered in Memphis, Tennessee, Verso is the largest coated paper producer in North America with proforma annual sales of about $3 billion. On January 7, 2015, Verso acquired NewPage Corporation for $1.4 billion. On November 16, 2015, the company announced it engaged advisors to explore potential restructuring alternatives.
TORONTO, ON, Jan. 8, 2016 (Press Release) -On January 7, Verso Paper Holdings LLC (“Verso”, Caa2 negative) announced that it has sold its subsidiary, Verso Androscoggin Power LLC (VAP) to Eagle Creek Renewable Energy LLC (unrated) for about $62 million. The sale is credit positive because it will strengthen the company’s liquidity position with no significant impact on operations and minimal cost impacts. Verso’s Caa2 Corporate Family Rating, SGL-4 Speculative Grade Liquidity rating and negative outlook remain unchanged.
Sale proceeds will bolster the company’s liquidity position as Verso continues to explore potential debt restructuring alternatives and while it continues to integrate NewPage (which it acquired January 2015). However, Moody’s expects the company’s liquidity to remain weak with few remaining non-core saleable assets, limited covenant headroom and expectations that the company will continue to utilize its credit facilities to fund cash requirements. Prior to the sale, Verso had about $10 million of cash and $62 million of committed unused availability (at 9/2015) to fund about $77 million of debt maturing in 2016. While we expect Verso will generate positive free cash flow over the next 12 months, the company will require further borrowing to service its debt.
Located in Maine, VAP owns four hydroelectric generation facilities associated with Verso’s Androscoggin pulp and paper mill. The sale is not expected to impact operations at the mill, which will continue to purchase electricity from VAP following the transaction.
Headquartered in Memphis, Tennessee, Verso is the largest coated paper producer in North America with proforma annual sales of about $3 billion. On January 7, 2015, Verso acquired NewPage Corporation for $1.4 billion. On November 16, 2015, the company announced it engaged advisors to explore potential restructuring alternatives.
YORK, PA, Oct. 14, 2015 (Local News) -Glatfelter, the York-based paper company, has been awarded $6 million in state grants for security upgrades and work associated with a conversion to natural gas power.
While the grant money had already been awarded by the Pennsylvania Office of the Budget, Kenetha Hansen, who spoke at Wednesday's York County Commissioner's meeting in her role as an assistant secretary of the York County Industrial Development Authority, said that the money has not yet been disbursed.
The commissioner's approval Wednesday should be a step in the right direction to get the money flowing.
YORK, PA, Oct. 14, 2015 (Local News) -Glatfelter, the York-based paper company, has been awarded $6 million in state grants for security upgrades and work associated with a conversion to natural gas power.
While the grant money had already been awarded by the Pennsylvania Office of the Budget, Kenetha Hansen, who spoke at Wednesday's York County Commissioner's meeting in her role as an assistant secretary of the York County Industrial Development Authority, said that the money has not yet been disbursed.
The commissioner's approval Wednesday should be a step in the right direction to get the money flowing.
The refinancing operation, adapting to new regulatory framework for renewable energy, will allow the company to amortize the previous funding and liquidity have an additional 31 million euros.
Ence Energía y Celulosa has signed the refinancing of project finance loans of their plants generating electricity with biomass Huelva (50MW) and Merida (20MW). The company reduces the spread of 100 basis points over Euribor.
With this operation, Ence finances the two plants into one project finance loan agreement for a total amount of 135 million euros with a maturity of 10 years.
The refinancing operation, adapting to new regulatory framework for renewable energy, will allow the company to amortize the previous funding and liquidity have an additional 31 million euros.
The refinancing operation, adapting to new regulatory framework for renewable energy, will allow the company to amortize the previous funding and liquidity have an additional 31 million euros.
Ence Energía y Celulosa has signed the refinancing of project finance loans of their plants generating electricity with biomass Huelva (50MW) and Merida (20MW). The company reduces the spread of 100 basis points over Euribor.
With this operation, Ence finances the two plants into one project finance loan agreement for a total amount of 135 million euros with a maturity of 10 years.
The refinancing operation, adapting to new regulatory framework for renewable energy, will allow the company to amortize the previous funding and liquidity have an additional 31 million euros.
APPLETON, WI, May 28, 2015 (Appleton Post-Crescent ) -Georgia-Pacific and other area paper companies may have to contribute a greater share in the $1 billion Fox River cleanup than they realized, according to a new federal court ruling.
U.S. District Judge William Griesbach, who earlier appeared ready to leave NCR Corp. with responsibility for the entire cleanup of river, now says the company may be no more than 28 percent liable, at least for the section of the river between De Pere and Green Bay.
The new ruling is based on experts' testimony on how to apportion responsibility based on estimates of the amount of PCBs released into the river by each of the potentially responsible companies.
APPLETON, WI, May 28, 2015 (Appleton Post-Crescent ) -Georgia-Pacific and other area paper companies may have to contribute a greater share in the $1 billion Fox River cleanup than they realized, according to a new federal court ruling.
U.S. District Judge William Griesbach, who earlier appeared ready to leave NCR Corp. with responsibility for the entire cleanup of river, now says the company may be no more than 28 percent liable, at least for the section of the river between De Pere and Green Bay.
The new ruling is based on experts' testimony on how to apportion responsibility based on estimates of the amount of PCBs released into the river by each of the potentially responsible companies.
PORTLAND, ME, May 7, 2015 (Bangor Daily News) -Managers of the shuttered Great Northern Paper mill were ordered in February to pay $9.2 million to a natural gas supplier, with half the payment covering fuel the East Millinocket mill owners promised to buy, but never did.
The arbitration award granted by attorney Peter DeTroy stems from an agreement the mill owners reached in 2012 to buy compressed natural gas delivered by truck from the Massachusetts-based Xpress Natural Gas, or XNG.
XNG claimed that it invested $4.5 million to buy equipment to prepare for the conversion of the mill's boiler systems to also burn natural gas.
PORTLAND, ME, May 7, 2015 (Bangor Daily News) -Managers of the shuttered Great Northern Paper mill were ordered in February to pay $9.2 million to a natural gas supplier, with half the payment covering fuel the East Millinocket mill owners promised to buy, but never did.
The arbitration award granted by attorney Peter DeTroy stems from an agreement the mill owners reached in 2012 to buy compressed natural gas delivered by truck from the Massachusetts-based Xpress Natural Gas, or XNG.
XNG claimed that it invested $4.5 million to buy equipment to prepare for the conversion of the mill's boiler systems to also burn natural gas.
NORTHBROOK, IL, Dec. 16, 2014 (PRNewswire) -KapStone Paper and Packaging Corporation (KS) today announced that its Board of Directors has approved the initiation of a regular quarterly dividend of $0.10 per share. Roger Stone, chairman of the board of directors and chief executive officer, commented, "After the successful Longview Fibre acquisition and subsequent debt reduction, management and the board of directors believe that it is financially prudent to return capital to our shareholders in the form of a regular dividend."
Stone added, "Our dividend is sized to keep KapStone well-positioned to fund future acquisitions and internal investment projects." The dividend record date is December 30, 2014, and the dividend payment date is January 12, 2015. Future declaration of quarterly dividends, however, will remain subject to the final determination of KapStone's Board.
About the Company
Headquartered in Northbrook, IL, KapStone Paper and Packaging Corporation is the fifth largest producer of containerboard and corrugated packaging products and is the largest kraft paper producer in the United States. The Company is the parent company of KapStone Kraft Paper Corporation and KapStone Container Corporation which includes four paper mills and 21 converting plants, respectively, across the US. The business employs approximately 4,600 people.
NORTHBROOK, IL, Dec. 16, 2014 (PRNewswire) -KapStone Paper and Packaging Corporation (KS) today announced that its Board of Directors has approved the initiation of a regular quarterly dividend of $0.10 per share. Roger Stone, chairman of the board of directors and chief executive officer, commented, "After the successful Longview Fibre acquisition and subsequent debt reduction, management and the board of directors believe that it is financially prudent to return capital to our shareholders in the form of a regular dividend."
Stone added, "Our dividend is sized to keep KapStone well-positioned to fund future acquisitions and internal investment projects." The dividend record date is December 30, 2014, and the dividend payment date is January 12, 2015. Future declaration of quarterly dividends, however, will remain subject to the final determination of KapStone's Board.
About the Company
Headquartered in Northbrook, IL, KapStone Paper and Packaging Corporation is the fifth largest producer of containerboard and corrugated packaging products and is the largest kraft paper producer in the United States. The Company is the parent company of KapStone Kraft Paper Corporation and KapStone Container Corporation which includes four paper mills and 21 converting plants, respectively, across the US. The business employs approximately 4,600 people.
DS Smith (DSS) has registered 2.3% growth in its corrugated box volumes in the first half of 2014 ending October 31, as it announced plans to expand its footprint in the Turkish and Greek markets in addition to the recent corrugated business acquisition in Spain. The firm's revenue declined by 5%, mainly due to adverse foreign exchange developments, while its profit before tax climbed by 45% to £123 million ($193 million).
DSS saw growth in its corrugated volume across all markets it operates in, with particularly strong growth in central and eastern Europe.
DSS CEO Miles Roberts said that the firm saw "incredible" growth in Poland, where DSS would need to build one more corrugated plant to satisfy all customer-led demand for its packaging products.
In mature markets, the firm reported flat box volume development in the UK and "positive" advancement in western Europe as well as higher-than-overall corrugated box growth in Italy.
DSS said that despite the positive sales results, its divisions in France, Benelux and Spain recorded falling margins.
The firm also announced that it signed a five-year contract with the multinational consumer goods company Mondelez to supply its entire corrugated packaging needs in Europe.
M&As to continue:DSS recorded a net £9 million inflow from its acquisitions and disposals in H1. In the period, the firm bought the Croatian injection moulding company Kaplast and the Italian recycled paper company Italmaceri. It also sold its Scandinavian foams business for £23 million.
Last month, the firm received a binding offer for the purchase of its 60,000 tonne/yr white-top testliner mill in Nantes, France. The prospective buyer is reportedly the US private equity firm OpenGate Capital. According to RISI sources, the deal is expected to be finalized by the end of January 2015.
DSS is also strengthening its corrugated packaging footprint across Europe. In November, DSS announced it acquired the Spanish corrugated packaging business Andopack for £35 million.
Last week, the firm announced that it is in talks to acquire several corrugated packaging businesses in western Turkey and Greece.
Roberts said that he views the Turkish and Greek markets as strategic for his firm now that the Greek economy is "starting to move forward" and the Turkish market lacks the presence of a pan-European corrugated packaging supplier.
DSS said that the firm continues to pursue its strategy of reducing its internal paper supply from 70% to 50%, citing the importance of "flexibility for its customer solutions." The firm added that it intends to reach its goal either through paper capacity reduction or via growth in corrugated packaging capacity.
Mixed prospects for input costs:While commenting on his expectations with regard to the firm's cost developments, Roberts said that steady recycled fiber prices are foreseen, which would, in his view, continue the developments of the past two years.
On the energy side, currently falling oil prices have led to dropping energy prices, although the firm has not seen the effect of lower prices, Roberts said.
"[We have not seen] much effect this year as we hedge. But looking out over the following 12 to 15 months, then we expect those low energy costs could come through, if they hold," Roberts said.
DSS's group finance director Adrian Marsh added: "If we have a milder winter, if Russia doesn't do anything crazy, then we could start to have potential benefit next year and the year after."
DS Smith (DSS) has registered 2.3% growth in its corrugated box volumes in the first half of 2014 ending October 31, as it announced plans to expand its footprint in the Turkish and Greek markets in addition to the recent corrugated business acquisition in Spain. The firm's revenue declined by 5%, mainly due to adverse foreign exchange developments, while its profit before tax climbed by 45% to £123 million ($193 million).
DSS saw growth in its corrugated volume across all markets it operates in, with particularly strong growth in central and eastern Europe.
DSS CEO Miles Roberts said that the firm saw "incredible" growth in Poland, where DSS would need to build one more corrugated plant to satisfy all customer-led demand for its packaging products.
In mature markets, the firm reported flat box volume development in the UK and "positive" advancement in western Europe as well as higher-than-overall corrugated box growth in Italy.
DSS said that despite the positive sales results, its divisions in France, Benelux and Spain recorded falling margins.
The firm also announced that it signed a five-year contract with the multinational consumer goods company Mondelez to supply its entire corrugated packaging needs in Europe.
M&As to continue:DSS recorded a net £9 million inflow from its acquisitions and disposals in H1. In the period, the firm bought the Croatian injection moulding company Kaplast and the Italian recycled paper company Italmaceri. It also sold its Scandinavian foams business for £23 million.
Last month, the firm received a binding offer for the purchase of its 60,000 tonne/yr white-top testliner mill in Nantes, France. The prospective buyer is reportedly the US private equity firm OpenGate Capital. According to RISI sources, the deal is expected to be finalized by the end of January 2015.
DSS is also strengthening its corrugated packaging footprint across Europe. In November, DSS announced it acquired the Spanish corrugated packaging business Andopack for £35 million.
Last week, the firm announced that it is in talks to acquire several corrugated packaging businesses in western Turkey and Greece.
Roberts said that he views the Turkish and Greek markets as strategic for his firm now that the Greek economy is "starting to move forward" and the Turkish market lacks the presence of a pan-European corrugated packaging supplier.
DSS said that the firm continues to pursue its strategy of reducing its internal paper supply from 70% to 50%, citing the importance of "flexibility for its customer solutions." The firm added that it intends to reach its goal either through paper capacity reduction or via growth in corrugated packaging capacity.
Mixed prospects for input costs:While commenting on his expectations with regard to the firm's cost developments, Roberts said that steady recycled fiber prices are foreseen, which would, in his view, continue the developments of the past two years.
On the energy side, currently falling oil prices have led to dropping energy prices, although the firm has not seen the effect of lower prices, Roberts said.
"[We have not seen] much effect this year as we hedge. But looking out over the following 12 to 15 months, then we expect those low energy costs could come through, if they hold," Roberts said.
DSS's group finance director Adrian Marsh added: "If we have a milder winter, if Russia doesn't do anything crazy, then we could start to have potential benefit next year and the year after."
