IP keeping Fort Madison tons for own box plants

Pulp & Paper, Oct 2004

CONTAINERBOARD

International Paper Co. (IP) will use all of the semichemical corrugating medium made at the former Box USA mill in Fort Madison, Iowa, in its own box plants starting this month, a contact said.

As a result, no tons from the one-machine, 85,000-tpy mill would be sold to the open market, as was previously done by Box USA, a buyer contact said.

IP acquired the mill as part of the $605-million purchase of Box USA in July (including $205 million of Box USA debt). Box USA also has a share of the capacity at the 150,000-tpy Groveton, N.H., medium mill.

With Box USA's 25 converting plants, IP's Containerboard to box integration level was expected to rise from 63% to 74%.