Update on Price Increase Announcements

After a quiet first quarter in regards to pricing announcements, both Verso Paper and NewPage Corporation announced increases for their coated freesheet and coated groundwood stocks last week. The amount of increase is $1.50/cwt ($30/ton) for coated freesheet and $3/cwt ($60/ton) for coated groundwood products. Verso also announced a $3/cwt increase on their supercalendered products. Increases are scheduled to take effect 5/1.

Another increase was announced today by Sappi, whose domestic product portfolio consists of coated freesheet. The increase amount was similar to the Verso and NewPage announcements of $1.50/cwt; however, the date of effect will be 6/1.

Combined, the three paper manufacturers account for over 50% of the domestic coated groundwood market and 80% of the coated freesheet market. If remaining mills announce similar increases, the last question will be whether these increases can be sustained over time by demand.

The Brown Paper Group will continue to monitor the market and keep you informed in regards to pricing. We remain committed to offering our customers great products and service at the most competitive pricing in all market conditions.

Suppliers / Market News

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• Nova Scotia Announces $14.8 Million for Port Hawkesbury Mill

Catalog / Magazine News

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