Sustainable Paper Solutions
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1 August 2016 Sustainable Paper Solutions James Moody Tacoma Mill Quality Manager
2 Who is WestRock? We aspire to be the premier partner and unrivaled provider of paper and packaging solutions in consumer and corrugated markets. Countries with operations include: operating and business locations Argentina Brazil Canada China CzechRepublic France Germany India Japan Mexico Spain United States United Kingdom and severalothers 8 million tons of recycled fiber recovered annually 3,370 patents granted and pending 39,500 + employees working in 30 + countries around the globe + 6 billion beverage cartons produced each year 40 + million corrugated containers produced each day million Pumps manufactured for hand soap ~13 million tons of mill capacity annually
3 Our packaging solutions Beverage Corrugated Container Folding Carton Home, Health & Beauty Merchandising Displays Partitions & Protective Pkg. Paperboard multiple packaging Packaging machinery Corrugated containers to protect, ship, store and display products Automated packaging machinery Folding cartons Food service packaging Express mail envelopes Pumps, sprayers, aerosol actuators Dispensing closures Adherence packaging Temporary promotional and permanent point-of-purchase displays Solid fiber partitions Corrugated partitions Die-cut paperboard components 3
4 Our paper solutions Paperboard Solid Bleached Sulfate (SBS) Coated Unbleached Kraft (CUK) Coated Recycled Board (CRB) Uncoated Recycled Board (URB) Containerboard/ Kraft Paper Virgin and recycled linerboard Coated white top linerboard Corrugated medium White top linerboard Kraft paper Pulp Fluff pulp Bleached market pulp (SBSK) Unbleached market pulp (UKP) Recycling All grades of recycled fiber and non-fiber materials Waste brokerage services 4
5 Our global operating platform supports local implementation 104 corrugated converting facilities 39 folding carton plants 28 corrugated and consumer mills 24 merchandising display facilities 22 recycling facilities 15 packaging partition plants 11 pump and dispensing facilities 3 packaging machinery facilities 5
6 Our Tacoma mill Employees: Products: 430 full-time PM3: ECF Bleached and Unbleached Bag, Multiwall, and other specialty grades (grease-resistance) Basis weight grades: PM4: 2-ply Linerboard for use in corrugated packaging (Kraft, White Top, Wet Strength) PM5: Unbleached kraft pulp PM3 30 lb/3msf 42 lb/msf PM4 35 lb/msf 72 lb/msf Fiber types: <25% OCC ~50% OCC Machines: PM3 PM4 Machine#/wire width: <167 <242 Tacoma Mill Highlights Production: Tons/day: 1,400-1,500 Annual tons: 500,000 Pulping capacity: Virgin Softwood: ~1,100 TPD OCC: ~500 TPD Power boilers: 6PB Natural Gas 7PB Hog Fuel (450TPD) Recovery boilers: 4PB Chemical Recovery Turbines: MW (Average over 24 hours) The Tacoma mill supports WestRock s position as the second largest producer of kraft paper in North America. We are an integral part of the PNW recycling economy. 40% of the fiber we use is recovered fiber from OCC. 6
7 Our sustainability pillars Sustainability is key to the WestRock long-term business strategy. We continuously work to create lasting value for our stakeholders, while operating our business safely, using natural resources responsibly, and investing in our communities. People Planet Performance 7
8 Sustainability Goals
9 Responsible fiber sourcing Forest Resources ~ 31 million tons of chips and roundwood ~ 4 million tons of biomass Virgin 60% ~13.3 MM tons production capacity Recycled 40% Recycling ~8 million tons of recycled fiber 9 Fresh fiber from well-managed forests is a vital component for maintaining the paper fiber cycle. The other key component of the paper cycle is a strong recovery network that values and collects discarded paper products specifically for reuse. David Ford, Metafore s president and CEO 2006 Source: K report
10 Reducing impact on climate and water resources Achieving these goals will impact our carbon footprint, reduce waste and help to increase transparency in our water use, while targeting areas where risk is high and solutions are needed. 10
11 Putting sustainability into action We work within our own manufacturing facilities and within our customers facilities toward achieving sustainability goals. Challenge Solution Reduce Tacoma mill water consumption due to drought. Our Tacoma mill reduced water consumption by 10% by Reutilizing pulp machine white water Reducing use of primary clarifier center well dilution water Decrease packaging weight to help customers reduce shipping costs. Our recent product innovations: Ultralightweight liners & mediums for corrugated box construction Meta e packaging design for e- commerce market all paper pack, 100% recyclable 11
12 Ultralightweight Liners & Mediums: Designed to enable reduced Total Cost of Ownership for the corrugated converter Ultralightweights 14, 16, 18, 20 lb kraft liners 14, 16, 18, 20 lb mediums Reduces corrugated converters total cost ($/MSF) when used in combination with WestRock high performance mediums or liners Conventional lightweights 23 & 26 lb kraft liners 23 lb mediums Produced only by WestRock 12
13 Meta e Smart Karton All Paper Pack Technology Single SKU corrugated case and cohesive paper solution is available as an automated on-site flexible package and also as a knock-down for distribution center, back-of-house fulfillment. Meta e eliminates scrap, reduces space requirements, and lowers cost. Eliminate costly void fill materials Improve blocking and bracing of primary product Reduce primary product damage Improve production efficiencies Automated for labor reduction 100% recyclable 13 Developed in cooperation with Smart Karton, Inc.
14 Experience WestRock A culture where people are treated with integrity, trust and respect and empowered to understand customer needs to help them compete and win Innovative solutions from a broad portfolio of quality paper products delivered reliably by a highly capable commercial, supply chain, logistics and technical service team Helping you grow your business -- an easy to work with partner on new products and solutions 14
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