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Displaying items by tag: BillerudKorsnäs

With the European Parliament voting to significantly cut plastic bag use by 2019, BillerudKorsnäs has launched two new families of paper for use in carriers for the food and retail sectors. The products offer outstanding value, quality, and flexibility and are produced from renewable raw materials. The fact that they are biodegradable means they pose far less of a threat to waterways than plastics

BillerudKorsnäs has launched two new paper product families, aimed at meeting growing demand for paper bags and carriers within the retail and food sectors. The Xpression and Basix product lines both offer outstanding strength, printability and environmental credentials, but are carefully designed for use in distinct applications.

bill bags

The Xpression range of high-quality kraft paper products is suitable for use in paper carriers produced for use in retail and in other sectors. Papers in the range offer benefits across the value chain. They allow for outstanding colour and text reproduction during printing and enable brand owners to produce strong, durable and appealing carrier bags that reflect on their brands in the best possible way.

The Basix range of kraft paper, meanwhile, is intended for use in consumer bags that provide protection for food, or that are used in other daily applications. The range consists of stiff papers with an even quality that allows for effective and functional conversion as well as easy-to-use end products. The papers boast good printability, and grease-resistant variants are available for paper bags that come into close contact with greasy food, such as Danish pastries and French fries.

Marcus Lager, Business Segment Director at BillerudKorsnäs, says there has been an increase in demand for quality paper products, particularly in Europe where tough measures have been introduced to reduce the use of plastic bags and plastic carrier bags.

In April, the European Parliament voted in favour of new targets that will force nations within the EU to reduce plastic bag use by 80 per cent before 2019," Lager says. "Many consumers have also expressed a strong preference for sustainable, non-plastic alternatives, both in retail and food retail situations."

Luigi Fiorini, President of global packaging manufacturer Fiorini International, says a major advantage of the Xpression and Basix ranges is their strong environmental credentials. BillerudKorsnäs is recognised as an industry leader in terms of sustainability and environmental focus.

Patrik Bosander, Business Development Director at BillerudKorsnäs, says, "The independent research body IVL Svenska Miljöinstitutet (IVL Swedish Environmental Institute) conducted climate change impact studies on all the products manufactured in three of our Swedish paper mills. The results showed that our products had a very small carbon footprint. This is due to the paper being made from renewable raw material from sustainable forestry, as well to our investments in environmentally effective technology."

About Fiorini International

Fiorini International is a market-leading company that produces packaging for the industrial, retail and fashion sectors. The company has modern plants in Italy and the Czech Republic, employs some 420 people and has an annual turnover of about 100 million euros. Fiorini International has customers all over the world and recently won the "Best Converter" prize at the prestigious La Vedovella awards in Italy.

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Thursday, 12 June 2014 05:52

BillerudKorsnäs packages Spotify

bill jonBillerudKorsnäs and Berghs School of Communication are giving Spotify a physical form. The collaboration is called SPICE:14 and is this year’s edition of a packaging design contest for students at Berghs. This is the first time an online brand will be physically packaged.

SPICE (Sustainable Packaging & Innovation Communication Event) is taking place for the fifth year in a row. In the first year, the event was merely a contest that Berghs students participated in, but now SPICE is part of the "Sustainable Packaging Design" course at Berghs.

This year, SPICE has been commissioned by the Swedish international music service Spotify. The company wants to try out a new way to reach consumers with its online music service.

"We’re delighted to have the opportunity to take part in SPICE. We get a lot of requests, and the reason we said ‘yes’ to this event was that it felt well organised and planned. There was also a clear schedule for us to consider," says Jonathan Forster, MD of Spotify Nordic.

Spotify is now putting the finishing touches to the brief that the students will receive when the course begins at the end of September.

"We want it to be fun for both Spotify and the students, but still be defined so narrowly so that they know what the scope is and what we want to achieve. It’ll be exciting to see what kinds of creative solutions the students come up with during the autumn," says Jonathan Forster.

Jimmy Nyström, Business Development Director at BillerudKorsnäs and Project Manager for SPICE:14 says that BillerudKorsnäs likes challenging the conventional and finding new packaging solutions.

"This is the first time we’ve been involved in packaging an internationally renowned digital brand, which shows that even digital brands need physical packaging to reach their target audience."

"The collaboration with BillerudKorsnäs is in line with the way Berghs structures its full-time courses – reality-based cases supported by specialists with excellent knowledge of the industry," says Pål Pettersson, Head of Graphic Design, Berghs School of Communication.

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billkorlogoBillerudKorsnäs´ Board of Directors has authorized an investment of over 450 MSEK for environmental improvements at the production unit in Gävle.

The investment includes a new sedimentation basin, developments in the pulp mill and a large number of related water-saving measures. This will be implemented in 2014 and 2015 and will be completed by the beginning of 2016.

- This is an important environmental investment for Gävle completely in line with the vision that our products shall have a minimal environmental impact and the best possible function in order to contribute to a sustainable future, says Christer Simrén, COO at BillerudKorsnäs

In addition to the environmental benefits, improved water quality and reduced use of electricity, the quality of the products will increase. This investment follows on the energy-related investments made in 2012 which greatly improved the production unit's sustainability performance in terms of energy efficiency and reduction of fossil fuel use.

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CEO Per Lindberg comments on the development during Q1 2014:

billkorlogo“We have started the year in a good way by delivering a strong result for the first quarter without any major hick-ups in our operations. Our adjusted operating profit reached SEK 555 million and our margin was 10%. The cash flow was quite strong and we are back on a net debt/equity level of 0.78 even after the consolidation of Bomhus Energi AB.

We experienced some price reductions compared to the previous quarter within the business areas Packaging Paper and Containerboard, primarily within the sack and fluting product groups. But the demand was good and mix, volume and currency improvement offset the price effects. The price pressure that we have anticipated from increased capacity on the market has not been realised yet and perhaps we have overestimated the impact. Time will tell.

Our integration efforts are moving forward relentlessly and we continue to realise synergies as planned for 2014. The pace of realisation is expected to slow down though as the activities now mostly contain implementation of new systems and ways of working. Integration continues to be a high priority, and we are setting the foundation of a new common culture by starting implementation of our corporate values.

In our quest to reach our long-term financial targets and 15-20% organic growth by 2018, we have stated that we within our financial policy would focus on restoring margins, pay down debt and manage our capital employed. I think we clearly show that we are moving forward on this path. We see improved margins as an effect of synergy realisation and our net debt/equity ratio has come down further. Our working capital improvement project is moving into implementation and many activities are being performed to reach a working capital level of 10% of sales. From our asset review we are developing the plans regarding our future asset structure, plans that will be communicated in due time.”

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billkorlogoBillerudKorsnäs´ Board of Directors has approved a 180 MSEK investment for paper machine 6 at the Gruvön production unit. The investment is an important part of the value growth strategy for the BillerudKorsnäs business area Containerboard. The objective of the investment is to further enhance the leading quality position of the fluting produced, particularly when it comes to strength parameters.

The approved investment includes rebuilding the press part of the paper machine and sections of the pulping line and wood room. It is planned to be carried out mainly during 2015.The investment will, in addition to the enhanced quality properties, also allow for a higher production output, approximately 40 000 ton.

”Billerud Flute® is already today world leading with its unique strength properties. Through the investment and its product quality impact, we want to create further value for users of Billerud Flute® in demanding corrugated applications. This value creation is the core of the strategy for our business area Containerboard.”, explains Lennart Eberleh, SVP Containerboard.

Paper machine 6 produces virgin fibre based fluting, Billerud Flute®, with unique strength properties, also under humid conditions. It is being used for corrugated solutions for transport of for example fruit and vegetables and for heavy duty goods. Billerud Flute® from PM6 at the Gruvön production unit is an example of the leading packaging materials supplied by BillerudKorsnäs that create value at customers all over the world through greater results, in the form of increased productivity or reduced waste, and that also contribute to a brighter future for us all.

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2014-01-15 091045Packaging material company BillerudKorsnäs AB has signed a multi-year agreement with Tieto regarding the integration and implementation of the Tieto Integrated Paper Solution (TIPS) business system, which has been customized for the packaging industry. The aim is to add value for BillerudKorsnäs customers.

The solution is part of an initiative by BillerudKorsnäs to create the most reliable and efficient delivery chain in the industry.

"Tieto has a sound knowledge of the industry, and this standardized solution will help ensure we can provide even better service to our customers," says Johan Fahlroth, Director Supply Chain Customer Service, BillerudKorsnäs.

TIPS is a centralized sales and planning system that integrates business, planning and production processes in real time. The BillerudKorsnäs solution covers Customer Service Centers all over the world, and paper and board mills in Sweden, Finland and the UK.

"The solution will also enable us to reduce our IT costs, increase efficiency and simplify integration in relation to our customers, transport providers and suppliers," continues Johan Fahlroth.

"Through this agreement, BillerudKorsnäs has invested a great deal of trust in us and is positioning us as the leading supplier of this type of solution in Sweden," says Mats Lidström, Customer Manager, Tieto.

The agreement was signed in February, and the project is estimated to be completed during the second half of 2016. Apart from implementation, the project also involves upgrading the existing TIPS solution, training key users, providing support and carrying out project management for orders.

Published in European News

CEO Per Lindberg comments on the development during Q4 2013:

per lindberg ppw“We have closed the books for the first successful year as the new company BillerudKorsnäs. It has been a year of change and I am very pleased to see that the integration is proceeding very well. The underlying performance in the fourth quarter was strong even if the production towards the end of the year suffered from some unexpected incidents. Our adjusted operating profit reached SEK 226 million corresponding to an adjusted operating margin of 5%. This includes some additional negative impact from the planned maintenance shutdowns and the previously announced costs for production problems of SEK 70 million.

During the quarter business has been relatively stable. We mostly saw stable demand, however with some typical year-end destocking. Prices were more or less stable as well. The start of 2014 has been quite good and we will run production on full capacity in the first quarter. The market will be more competitive and we are anticipating some pressure on prices in local currency for some of the products within business areas Containerboard and Packaging Paper beyond the first quarter.

We continue to realise synergies in a rapid pace, and we continue to expect to reach the target of SEK 530 million annual run-rate reduction during 2014. The integration efforts in 2014 are moving into the next phase when many new systems are implemented and new ways of working are introduced. Integration will therefore continue to be a high priority.

In November we had our first Capital Markets Day where we communicated how we are building a company to deliver value to customers and shareholders. It was well received and gave us further confidence to continue in building a value-creating world-class company for the long term.”

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billkorlogoBillerudKorsnäs fourth quarter results are stable, but negatively impacted by unexpected production problems. The problems have primarily included two longer unplanned stops at the Frövi mill and a quality related problem in Gruvön, with a total impact on the results of approximately SEK 70 million. Operating profit for the fourth quarter of 2013 will amount to approximately SEK 195 million. Non-recurring integration costs are estimated to approximately SEK 30 million and the operating profit adjusted for integration costs is estimated to approximately SEK 225 million.

"Production at the end of the year has not really gone our way. We have suffered from some unusual incidents, and it is without doubt exceptional that these problems could occur during the same quarter. Production is now in full swing again and we are completely comfortable with the actions taken. These issues do not affect our view of the future as the underlying business is stable. We are building a company to deliver value to customers and shareholders for a long time to come”, says Per Lindberg, President & CEO.

Toward the end of the fourth quarter, the company has had longer stops in Frövi on two occasions caused by defects in steam generation and distribution. The repairs were extensive and complex resulting in further loss of time and thus production. The negative impact on operating profit is expected to amount to approximately SEK 40 million.

Also, during the end of quarter a quality problem was detected at Gruvön. The problem is solved by preventive measures in the process by investments and improved quality procedures. The negative impact on operating profit is expected to amount to approximately SEK 30 million.

The results are still preliminary and have not been reviewed by the auditors.

BillerudKorsnäs will publish its year-end report for 2013, on February 18, 2014 at 07:00 CET.

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Tuesday, 14 January 2014 10:00

Changes in 2014 Nomination Committee

billkorlogoIn October, 2013, it was announced that the Nomination Committee for the 2014 Annual General Meeting in BillerudKorsnäs consisted of Mia Brunell Livfors, appointed by Investment AB Kinnevik, Michael M.F. Kaufmann, appointed by Frapag Beteiligungsholding AG, Björn Franzon, appointed by Swedbank Robur fonder and Frank Larsson, appointed by Handelsbanken fonder.

In December 2013, ownership changes occurred in BillerudKorsnäs among the major shareholders in connection with Investment AB Kinnevik’s sale of its shareholding in BillerudKorsnäs. In accordance with the instructions for appointment of the Nomination Committee, the composition of the committee has now been changed in order to reflect these ownership changes. The members of the newly composed Nomination Committee, appointed by the major shareholders in the company based on known shareholding as per 30 December 2013, are:

  • Michael M.F. Kaufmann appointed by Frapag Beteiligungsholding AG
  • Mathias Leijon, appointed by Nordea Fonder
  • Björn Franzon, appointed by Swedbank Robur fonder
  • Peder Hasslev, appointed by AMF Försäkring & Fonder

Mia Brunell Livfors and Frank Larsson have resigned from the Nomination Committee.

Information about the work of the Nomination Committee can be found at the BillerudKorsnäs website Shareholders wishing to make proposals to the Nomination Committee should submit their proposal in writing via e-mail to This email address is being protected from spambots. You need JavaScript enabled to view it. or by mail to BillerudKorsnäs AB (publ), Att: Valberedningen, Box 703, 169 27 Solna, Sweden. The Annual General Meeting will be held in Stockholm on 6 May 2014.

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billkorlogoBillerudKorsnäs has investigated the conditions for pyrolysis oil production from forestry residues at the Skärblacka pulp and paper mill. The project was granted EU support within the framework of the NER300 programme in December 2012.

The BillerudKorsnäs investigation has shown that there are technical solutions at hand for the production of pyrolysis oil but that the commercial environment at current conditions, and as assumed in the short to mid-term future development, is not solid enough. BillerudKorsnäs has therefore decided to discontinue the pre-study in its current form.

“We are naturally not happy with having to discontinue a project that we have believed in, but the experience learned is extensive. We will continue to monitor development in these issues and we are ready to act on business opportunities if the conditions would change. We remain committed to our growth agenda in our core markets and to our focus towards smarter packaging solutions.” comments Per Lindberg, CEO of BillerudKorsnäs AB.

Published in European News
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