Board Converting News, September 14, 2020

Domtar Enters (CONT’D FROM PAGE 22)

Domtar has chosen Voith to provide a complete recycled stock preparation system for the recently announced con- version of the Kingsport Mill in Kingsport, Tennessee. The system includes Voith’s BlueLine products including water, sludge and reject handling systems, which will reportedly maximize both efficiency and quality. AICC Webinar To Help Improve Press Efficiency, Graphics AICC, The Independent Packaging Association, with the support of AICC Education Investor JB Machinery, is offer- ing Infra-Red Dryers for Improved Productivity, Improved Press Efficiency, and Better Graphics, a new webinar, Tuesday, September 29, at 2:00 pm EST. Registration for Infra-Red Dryers for Improved Produc- tivity, Improved Press Efficiency, and Better Graphics is $100 for members. This webinar is part of the All Access Pass. Pass holders can use their promo code to register at no additional cost. AICC members lower training costs and streamline payments with the All Access Pass. For one payment of $1,695, participating companies are given a code that all employees can use to register for every webinar sched- uled from September 2020-August 2021. Learn more at www.AICCbox.org/Pass . Register for the Infra-Red Dryers webinar at www.AICCbox.org/Calendar .

result in a workforce reduction of approximately 780 em- ployees. The Kingsport and Ashdown paper machines, which have been idled since April 2020, will not recom- mence operations. Port Huron and Ridgefields mills are expected to shut down by the end of the 1Q of 2021. Producing Recycled Linerboard Once in full operation, the Kingsport mill will produce and market approximately 600,000 tons annually of high-quality recycled linerboard and medium. The conver- sion is expected to be completed by the 1Q of 2023. Domtar estimates the conversion cost to be between $300 and $350 million. Once fully operational, the mill is expected to be a very low-cost, first quartile recycled liner- board mill in North America. The converted mill is expect- ed to directly employ approximately 160 employees. The company will complete the conversion of the Ash- down mill to 100 percent softwood and fluff pulp, which will require $15 to $20 million of capital investments and will take 12 to 14 months to implement. The mill will pro- duce additional market hardwood pulp until it converts the fiberline to softwood pulp. The conversion of the fiberline to 100 percent softwood is also necessary for an eventual expansion into container- board. Following the fiberline conversion, Ashdown will be a market pulp mill with annual capacity of 775,000 tons of fluff and softwood pulp.

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September 14, 2020

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