Kimberly-Clark (K-C) has confirmed it will permanently close its Fullerton, CA, tissue plant in the first half of 2020. The move is part of previously announced restructuring plans that will see the company closing around 10 sites and cutting 12 - 13% of its global workforce in a bid to improve costs. The Fullerton plant was opened in 1956 and employed 330 people. Company spokesperson Terry Balluck
Focus Report: News
Kimberly-Clark to permanently close Fullerton plant
FR
During the year, the company said it “increased growth, improved profitability and strengthened our competitiveness for the future”. This was done through innovations and investments in sales and marketing that it said strengthened its market positons and brands. The company’s online sales also increased to SEK13bn, corresponding to 10% of net sales. Price increases and an improved product were also noted in all business areas. The group-wide cost-savings programme was concluded at the end of 2019. Activities to improve underperforming market positions continued and resulted in improved profitability in several markets. In Latin America, the company strengthened its market positions and organic net sales increased 10%. The company’s China-based subsidiary Vinda strengthened its position as market leader in tissue and launched Feminine Care with the Libresse brand. In Asia, organic net sales rose 11%. Additional sustainability targets for packaging were also established, with a particular focus on plastic packaging. The company also invested in sustainable technology for alternative fibre for tissue production. In consumer tissue, the company reported net sales of 10.6% to SEK49,904m for the January-December period. Emerging markets accounted for 47% of net sales.Adjusted EBITDA increased 60% to SEK5,321m. This increase was mainly due to higher prices, a better mix, higher volumes, lower raw materials and energy costs, and cost saving. In the consumer tissue business, the company has finalised some negotiations and agreed on price decreases in Europe. The company added that the decreases are on “average low single-digits” and will have an impact in the first quarter of 2020.
Clearwater Paper appoints Arsen S. Kitch as CEO Clearwater Paper has appointed Arsen S. Kitch - the company’s senior vice president and general manager of its consumer products division - as chief executive as of 1 April. He succeeds Linda K. Massman, who the company said will retire from Clearwater Paper after serving in the chief executive position since January 2013. The company also announced that Alexander Toeldte transitioned from chair to independent executive chair of the board on 1 March. Kitch has served as senior vice president and general manager of Clearwater Paper’s consumer products business since 2018. Prior to that, he served as vice president of finance and vice president of financial planning and analysis since joining the company in 2013. He said: “Today, Clearwater Paper has a healthy business and a strong team focused on driving results and building on our recent momentum of solid operational results.” Clearwater Paper manufactures quality consumer tissue, AfH tissue, parent roll tissue, bleached paperboard and pulp. said: "We announced the closure of the Fullerton facility in January of 2018, as part of our global restructuring programme. “These business decisions are not taken lightly, and our priority continues to be on our employees and supporting them through this transition." Headquartered in Irving, Texas, KimberlyClark makes tissue products including Kleenex, Kotex, Cottonelle and Huggies.
Irving boosts ultra-premium capacity with TAD investment Irving Consumer Products invests in second TAD machine following Macon start-up. The machine is planned to start-up in 2022 and will increase the company’s production of ultra-premium products to the North American market, adding 75,000tpy to Irving’s current production. It is a repeat order of the Advantage ThruAir machine that was started up by the company 2019. Valmet’s scope of delivery will comprise of a complete tissue production line with
stock preparation equipment. The new line will include an Advantage ThruAir tissue machine including an OptiFlo II TIS headbox, ThruAir Dryers and Air system and an Advantage SoftReel reel. It also includes mist and dust systems, automation systems, basic mill engineering and advisory services. The value of the new order is not disclosed. Robert K. Irving, president of Irving Consumer Products, said: “The new TAD machine will help Irving Consumer Products continue to grow and deliver ultra-premium quality tissue paper products to our customers.” Previously Valmet has delivered one ThruAir machine to Irving’s Macon, Fort Edward, Toronto site, as well as carried out major rebuilds of tissue machines TM1 and TM2 to Saint John. Irving recently announced it is doubling capacity of ultra-premium household paper products at its Macon plant and is immediately initiating an expansion of the plant. Tissue World Magazine | Focus Report 2020
3
