Background Information & Press Releases

provided by Richard W. Hall

“Two shipments of imported chips landed in Mobile, AL this quarter, both from Amcel Forestal e Cellulose SA, Champion International Corp's subsidiary softwood plantation and woodchip export facility in Amapa, Brazil. The first shipment arrived on Jan. 11th, with Champion describing the venture as a "spot market" business, planning future sales into the Southern U.S. on a seasonal basis. The second shipment, 40,000 green tons of pine chips, was further trucked to Gaylord Container Corp.'s linerboard mill in Bogalusa, LA. Prices for either shipment were not disclosed. Champion estimates total hardwood exports of two million green tpy from its Brazilian subsidy to be available by 2004, while softwood chip exports are expected to remain between 800,000 and one million tpy.” Source: TimberMart-South1st Quarter 1998

“The large northern hemisphere companies also need to secure additional sources of cheap raw materials in Asia and Latin America. A key asset coveted by International Paper was Champion’s Brazilian subsidiary, which has two paper mills, as well as 1.5 million acres of timberland and savannah, a key source of cheap wood.” Source: Financial Times May 14, 2000

“According to informed sources, International Paper may be on track to supply its white papers mill in Cantonment, Fla. with 100% eucalyptus chips from South America. At least part of the tonnage would come from IP's Amcel facility in northern Brazil. In 2002 the Cantonment mill reportedly consumed just under two million tons of both hardwood and softwood fiber.” Source: Industry Report December 2003