Mercer International - QwikReport

MERCER INTERNATIONAL : http://www.mercerint.com/ : QwikReport

Our Operations

Mercer International Pulp Mills

	Rosenthal	Stendal	Celgar
Age of Mill	Rebuild 1999	Greenfield 2004	Rebuild 1993
Capacity	330,000	645,000	500,000
Product	NBSK Pulp	NBSK Pulp	NBSK Pulp
Fiber Species	0-30% Pine 70-100% Spruce	70% Pine 30% Spruce	25% Douglas Fir 65% SPF 10% Cedar/Hemlock
Bleaching	ECF + TCF	ECF + TCF	ECF
Environment (certification)	PEFC/FSC CoC	PEFC/FSC CoC	CSA/SFI/PEFC/FSC CoC
Principal Markets	Western Europe	Western Europe	North America/Asia

Stressing our world-class, modern equipment and professional, focused approach to the market has raised Mercer's profile in Europe. We have also demonstrated our ability to supply high-quality pulp in guaranteed volumes, allowing us to form secure, long-term partnerships with our customers. The high quality of our fiber base allows all of our operations to capitalize on their unique blends to produce a select brand of pulp that meets our customers' stringent reinforcement requirements. As a result, we are well positioned to continue our growth strategy in lightweight printing and writing papers and personal hygiene products to meet increasing global demand. Our overall European strategy has been to develop a market that will accept the pulp from both German mills by differentiating customers and the pulps they prefer. Rosenthal, for example, is able to provide two distinct grades that offer optimal strength properties to satisfy our customers' diverse needs. Our Celgar mill is well-positioned to continue to supply the growing Asian markets. We are also becoming a supplier of choice for large North American customers who value our modern approach and facilities. Mercer's two mills in Germany are well located to service the European market. Our highly flexible and efficient supply chain allows our customers to significantly improve their working capital by reducing inventory. Stendal's customers show increasing confidence in our ability to deliver what we initially promised at the mill's start-up: premium, high-quality pulp, and consistent, on-time deliveries at market prices. This customer confidence has grown to the point where we have in many cases become the preferred supplier.

With the closure of aging North American NBSK pulp mills becoming a reality, NBSK customers face an era of tighter supply as capacity decreases. The advantages of buying pulp from Mercer's new mills are therefore clearer than ever: lower production costs will ensure long-term viability, and higher, more consistent quality will make Mercer the most reliable long-term partner.

Rosenthal - Model of Clean, Efficient Productivity

The Rosenthal mill produces approximately 330,000 ADMT/yr of highgrade NBSK pulp. The first sulphate kraft pulp mill built in Germany in more than half a century, Rosenthal utilizes local pine and spruce fiber obtained in accordance with Germany's strict sustainability regulations. Rosenthal produces two grades of pulp: elemental chlorine-free (ECF) and totally chlorine-free (TCF), both grades characterized by high static and dynamic strength and superior reinforcement properties.

Stendal - World's Most Modern NBSK Mill

Mercer completed its greenfield NBSK pulp mill at Stendal in 2004 and ramped up production through 2005. The second largest industrial capital investment project undertaken in eastern Germany since reunification, Stendal had an initial design capacity of 552,000 ADMT/year and is already up to 645,000 ADMT/year. Its pulp is produced primarily from abundant and sustainable locally sourced pine, with a large fraction of spruce. Like Rosenthal, Stendal meets or exceeds Germany's strict environmental regulations regarding air and water emissions and forest sustainability. Stendal's production is typically complementary to Rosenthal's, allowing Mercer to satisfy a wide variety of customer needs from the two mills.

Celgar - Ensuring Superior Quality and Reliability

A C$850 million modernization program completed in the early 1990s made Celgar the most modern NBSK pulp mill in North America, increasing production capacity to approximately 440,000 ADMT/yr. Since acquiring the mill in 2005, Mercer has completed a further C$28 million investment that again improved quality, and increased capacity to approximately 500,000 ADMT/yr. The mill uses an ideal blend of local long-fiber softwood species - spruce, pine, fir and cedar - to produce pulp for Mercer's customers in North America and Asia.

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This page was created on Fri Sep 10, 2010 at 8:02:43 PM Pacific Time.