Gorham Paper and Tissue LLC White Mountain Tissue...
Transcript of Gorham Paper and Tissue LLC White Mountain Tissue...
Gorham Paper and Tissue LLC White Mountain Tissue LLC
2016 New Hampshire Energy Summit
October 3, 2016
Dick Arnold, CEO
Introduction ~ Who we are…
2 2016 New Hampshire Energy Summit
• Who we are…120 employees with 70,000 tons of production capacity • Gorham Paper and Tissue started in May of 2011 when it re-started the
former Fraser Papers facility. The legacy of Gorham is extensive, dating back to 1852 when the operation opened as a saw mill.
• White Mountain Tissue began as a joint venture between the Gorham facility and the Old Town pulp mill, and launched with an investment of $35 million to install a state-of-the-art tissue machine. We are one of North America’s only independent parent roll tissue suppliers.
Introduction ~ What we do….
3 2016 New Hampshire Energy Summit
• What we do…produce tissue & towel products • North American Market is about 9.2 MM tons • Growing annually at a rate of 1-1/2 to 2% • Historically, we have manufactured Parents Rolls for independent
converters • Today…we have expanded our capabilities, White Mountain Tissue offers
Consumer Paper Products
Our Business
4 2016 New Hampshire Energy Summit
o Inputs ~ Controlling fiber, energy & people
The winters of 2013 & 14 were disastrous for the business
due to gas volatility forcing us to curtail operations
Customers looked elsewhere due to our erratic operations
o Outputs ~ Parent Rolls, Consumer Products & Waste
Responsiveness to our customer base/market
Efficient Operations
Spend lots of time rebuilding relationships following 2014
o Attributes ~ Quality, Service/Performance & Value
Customer confidence
Stability & Reliability
Competitiveness (new facilities south of Mason-Dixon line)
Responsible Sourcing & Sustainability practices
MysticTM
Luxury Products • Ultra-Soft Bath Tissue with Aloe-E • Extra Soft/Strong Kitchen Towel • Facial ~ Aloe-E or anti-viral
White Mountain Summit Products • Ultra-Soft and Strong Bath Tissue 2-ply • Premium Bath Tissue 2-ply • 1000 count 1-ply • Kitchen Towels (1-ply, 2-ply & recycled) • Napkin
White Mountain Professional Products • Hard wound & center-pull • Multi-fold and C-fold • JRT and Standard Roll • Kitchen Towel • Kraft, Natural & White
Private Label
Our Product Line
Our Energy Platform
6 2016 New Hampshire Energy Summit
o Energy ~ NG & LFG, Hydro & Public Service Power, Water & Heat (steam)
Gas ~ annualized at 700,000 DT
Invested $6 MM in 2011
Direct connection to PNGTS pipeline
Methane Gas pipeline from District Landfill
Power ~ annualized at 80,000 MW’s
95% is hydropower
Interconnect agreement Gorham, Brookfield and Eversource
Gorham could not compete with a public service supply only
Concerns….
7 2016 New Hampshire Energy Summit
o From an Energy Perspective,
Oil back-up is inefficient…but partially mitigates risk
New tissue machine dependent on NG
Higher energy consumption during winter months ~ 3000 DT/day
Impact of NG volatility
Historically, increased energy costs during winter months have negated our
margins; but eventually
Impacts our long-term viability and jobs……….
At the end-of-the-day, we need stability in our gas supply to remain competitive
with those south of us………
Also, there may be growth opportunities with a stable NG supply, i.e. small-scale
CHP units, expansion, converting, etc.
Thank You
8 2016 New Hampshire Energy Summit