virginia pulp and paper perspectives...virginia pulp and paper perspectives virginia loggers...
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Virginia Pulp and Paper Perspectives
Virginia Loggers Association 15th Annual MeetingAugust 19, 2017
Kirby Funderburke, Operations Director Eastern Division
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WestRock Paper and Packaging
~$15.2 billion(1)~45,000
employees
~300 facilitiesAmerica, Europeand Asia-Pacific
#1 North America Consumer Paperboard#2 North America Folding Carton#1 North America Merchandising Displays#2 Beverage multi-pack packaging
#2 North America Containerboard#2 North America Corrugated Packaging#2 Brazil Corrugated Packaging#1 India Containerboard
Note: *Includes North America, Brazil and India; pie pieces not to scale(1) Includes LTM sales March 2017 for WestRock, MPS and U.S. Corrugated; excludes Home, Health & Beauty, and Land &
Development. Source of rankings: Company and market research. Rankings are based on capacity.
Corrugated Container*
ContainerboardMills*
Beverage
Folding Carton
Merchandising Displays
Multi Packaging Solutions
RTS
Consumer Mills
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Our global operating platform supports local economies
115 Corrugated Container 13 Literature
61 Folding Carton 4 Sheeting + Extrusion
27 Corrugated and Consumer Mills 3 Packaging machinery
23 Merchandising Displays 3 Transaction cards
22 Recycling 2 Tubes
15 Packaging partition (RTS) 1 Rigid packaging
14 Labels
The above list includes operating facilities only, does not include sales and design, research and development, engineering offices
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Pulpwood and Paper-Quality Chip Consumers
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6Source: https://www.greenerpackage.com/renewable_resources/report_sustainability_drive_global_paper_packaging_growth
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8Source: Virginia Department of Forestry
Virginia Total Harvest in Tons
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9Source: Virginia Department of Forestry
Harvested Pine and Hardwood Pulpwood Tons
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Forisk projects U.S. housing starts of 1.25 million for 2017.
Source: Q2 2017 FRQ
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026
Hou
sing
Sta
rts,
'000
Fannie Mae Freddie Mac NAHB PNC Wells Fargo Forisk: 2017, April
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A U.S. shortage in qualified truck drivers pressured salaries higher the past two years. Log truck driver compensation in the South and West are competitive with other rural trucking industries and long-haul freight companies. Salary increases cost the wood supply chain an additional $90 million.
Source: Q1 2017 FRQ *All values indexed to level of 100, at the national average salary for logging equipment operators in 2015.
Truck Driver Compensation Index for Three Industries by Region in the U.S.
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Historic Diesel Prices in the Lower Atlantic
Source: U.S. EIA
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Source: https://blog.forest2market.com/us-south-timber-prices-drop-in-1q2017
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Thank you.