We all have felt the direct impact of the recession, and if you listen to the pundits you don't know if we're on our way to recovery or still waiting to hit bottom. While it's no doubt these are uncertain times, we aren't helpless in keeping ourselves and our careers on track. A recent article by The Creative Group offers some helpful tips to do just that.
1. Find your niche. What can you do really well that few others in your firm can? If you're having a hard time coming up with ideas, it's time to revamp your skill set. Identify abilities that are in strong demand, both within your company and in general. Also, master processes or activities that are instrumental to your organization – particularly those that make your manager's job easier.
Don't wait until your career hits the skids to diversify your skill set and increase your marketability. The best time to take action is when you are in a good place professionally. If you're angling to hone your HTML skills, for instance, your firm may subsidize training, a far more desirable option than funding it yourself.
2. Shore up your soft skills. Hard skills aren't the only ones that can earn staff members a spot in the company's lifeboat. When budgets constrict, spirits sag; if your presence lifts the collective mood, your manager has one more reason to keep you on board.
All firms prize people who can mentor new team members, talk a client off the ledge and build consensus on projects. In fact, these "softer" traits often are more highly regarded than specific how-to abilities because managers feel they can more easily teach someone a process or software program than fine-tune their people skills.
One relatively painless way to enhance your communication abilities is to observe those who excel in this area. Notice how they craft their messages or deliver tough news. If your role models seem open to it, you might ask them to mentor you. In addition, many firms offer training courses that can help you improve your soft skills.
3. Get credit where it's due. Communicating well with others boosts your career prospects, and so does spreading the word about your accomplishments. Many feel reluctant to highlight their achievements because it feels like bragging, but those who are most adept at building visibility do so without coming across as egomaniacs. Here are a few ways to help draw attention to your triumphs:
Issue reports. Even if they aren't requested, let your manager know that you'd like to send weekly status updates. This provides a vehicle for keeping your supervisor informed of your contributions.
Thank the team. Call attention to successes by sending an e-mail recognizing those who helped with a group effort and copying relevant managers.
Pass it along. Receive a gushing e-mail from a client? Be sure to forward it to your manager. Just take care in how you position it: Try, "Wow – this really worked well; we should do it more often," versus, "I rock! Score another victory for me!"
4. Be ready for anything. Always have a "Plan B" for your career. The first step is to update your resume and portfolio. This not only prepares you to launch an instant job search but also gives you a sense of any skills gaps you should fill. For example, if you notice most of the samples in your portfolio are similar, you might seek out a new type of assignment or take on pro bono work.
It's also wise to nurture your network. The best time to approach new people is when you don't need anything from them, so make an effort to build relationships while you're happily employed. Participate in organizations such as InSource, a group for in-house creatives, or local Ad Clubs or Adobe User Groups. Websites such as LinkedIn.com and design:related.com also allow you to connect with new contacts from the comfort of your own home. Creating quality relationships will help you in good times and bad.
Remember that the techniques that can help you secure new employment or keep the job that you love are the same in any market conditions. Stay positive and be proactive in keeping your skills and knowledge base current, and you'll survive in both good times and bad
GM’s Marketing Woes Worsen
A recent Ad Age article likens marketing at General Motors to stuffing towels into the bow of the Titanic.
Last week the troubled automaker reduced its marketing and communications staff 20% -- an estimated 60 to 80 people -- as part of a wider 1,600-person reduction, and Automotive News is reporting that GM will announce this week that it's going to close Pontiac. Another brand slated for disposal, Saturn, is spending what appears to be millions on regional ads themed "We're still here," yet sales for the brand sunk 62% in the first quarter, and it seems unlikely consumers are putting too much store by Saturn's reassurances, given that everyone is anticipating the marque's demise.
According to GM, its similarly consumer-soothing "Total Confidence" campaign, which protects consumers for up to nine car payments up to $500 monthly in case of job loss, has raised traffic to dealerships. But so far, it hasn't converted that traffic into sales.
On top of all that, while GM intends to participate in the network TV upfront next month, when marketers reserve ad time for the upcoming season, it may be forced to do so on a "cash-only" basis.
The government is requiring GM to reach acceptable agreements with creditors by June 1 in order to avoid bankruptcy, and that deadline is fast approaching. It's also far from fortuitous for the media world, given that it occurs a month after the TV upfront. GM spent some $2 billion in total measured media last year, and media sellers worry that the marketer -- not to mention Chrysler, which spent $700 million last year -- won't be able to pay for time it corrals in the upfront.
Last week the troubled automaker reduced its marketing and communications staff 20% -- an estimated 60 to 80 people -- as part of a wider 1,600-person reduction, and Automotive News is reporting that GM will announce this week that it's going to close Pontiac. Another brand slated for disposal, Saturn, is spending what appears to be millions on regional ads themed "We're still here," yet sales for the brand sunk 62% in the first quarter, and it seems unlikely consumers are putting too much store by Saturn's reassurances, given that everyone is anticipating the marque's demise.
According to GM, its similarly consumer-soothing "Total Confidence" campaign, which protects consumers for up to nine car payments up to $500 monthly in case of job loss, has raised traffic to dealerships. But so far, it hasn't converted that traffic into sales.
On top of all that, while GM intends to participate in the network TV upfront next month, when marketers reserve ad time for the upcoming season, it may be forced to do so on a "cash-only" basis.
The government is requiring GM to reach acceptable agreements with creditors by June 1 in order to avoid bankruptcy, and that deadline is fast approaching. It's also far from fortuitous for the media world, given that it occurs a month after the TV upfront. GM spent some $2 billion in total measured media last year, and media sellers worry that the marketer -- not to mention Chrysler, which spent $700 million last year -- won't be able to pay for time it corrals in the upfront.
Neenah Paper: Chip Chart
Neenah Paper makes it easy to compare paper colors with its newly updated online Color Comparison Chart. All of Neenah’s premium brands are represented, and one has only to click on a color to place it in the comparison grid. It’s a convenient way to see how different papers work together.“This is basically an online version of our popular chip charts,” says Tom Wright, Director of Design at Neenah Paper. “You can compare different colors within a brand or between brands and order samples of your selections, making this chart an invaluable tool for anyone putting design projects together. You get everything you need all in one place, so it’s great for a quick, at-a-glance reference.”
When a color is chosen, it is displayed in a larger window, along with brand and color name, and placed in the grid. The user can compare up to nine colors in the grid, and order samples directly from this page. There are individual color charts for each brand that provide additional information such as environmental certifications and attributes as well as available weights and finishes.
Good News for Catalogers - USPS Sale
In a recent Multi Channel Merchant article, I saw that the U.S. Postal Service is having a“Summer Sale” for Standard Mailers. The plans are tentative, since the Board of Governors and Postal Regulatory Commission must approve them. Here's the gist:
• The sale will run from July 1, 2009 through Sept. 30, 2009.
• Mailers who mailed more than1 million Standard letters and/or flats from Oct. 1, 2007 through March 31, 2008 are eligible to participate in the sale. (About 3,250 mailers account for 75% of Standard Mail volume)
• Mailers will receive a rebate of 30% on any mail volume in that period which is over the past threshold. • Mailers’ rebates will be adjusted if their October 2009 volume is less than their October 2008 mail volume.
Here’s how the USPS will determine the rebates: Oct. 1, 2008 through March 31, 2009 volume divided by Oct. 1, 2007 through March 31, 2008 volume = trend.
Trend x July 1, 2008 through Sept. 30, 2008 volume = threshold.
July 1, 2009 through Sept. 30, 2009 postage divided by July 1, 2009 through Sept. 30, 2009 volume = average postage. July 1, 2009 through Sept. 30, 2009 volume - threshold x average postage x 0.30 = unadjusted rebate.
October 2008 volume x trend minus October 2009 volume = October adjustment.
Unadjusted rebate - October adjustment x 0.30 = final rebate.
Mailers will pay full postage during the summer. After Oct. 31, 2009, the USPS will determine the rebate each mailer is due. Rebates will be credited to the mailer’s permit account before Dec. 31, 2009.
To read the complete article, click here
• The sale will run from July 1, 2009 through Sept. 30, 2009.
• Mailers who mailed more than1 million Standard letters and/or flats from Oct. 1, 2007 through March 31, 2008 are eligible to participate in the sale. (About 3,250 mailers account for 75% of Standard Mail volume)
• Mailers will receive a rebate of 30% on any mail volume in that period which is over the past threshold. • Mailers’ rebates will be adjusted if their October 2009 volume is less than their October 2008 mail volume.
Here’s how the USPS will determine the rebates: Oct. 1, 2008 through March 31, 2009 volume divided by Oct. 1, 2007 through March 31, 2008 volume = trend.
Trend x July 1, 2008 through Sept. 30, 2008 volume = threshold.
July 1, 2009 through Sept. 30, 2009 postage divided by July 1, 2009 through Sept. 30, 2009 volume = average postage. July 1, 2009 through Sept. 30, 2009 volume - threshold x average postage x 0.30 = unadjusted rebate.
October 2008 volume x trend minus October 2009 volume = October adjustment.
Unadjusted rebate - October adjustment x 0.30 = final rebate.
Mailers will pay full postage during the summer. After Oct. 31, 2009, the USPS will determine the rebate each mailer is due. Rebates will be credited to the mailer’s permit account before Dec. 31, 2009.
To read the complete article, click here
GM Cuts Marketing Staff
General Motors Corp. is laying off 20% of its marketing and communications staff, according to a spokeswoman, as part of its trimming 1,600 white-collar jobs. While the company would not disclose the size of its marketing department or the scope of the layoffs, according to one estimate, the department employs 220 people, indicating about 45 posts will be lost.
The move comes as GM struggles to meet the federal government's June 1 deadline for it to restructure or face bankruptcy court. To read the complete article, click here.
The move comes as GM struggles to meet the federal government's June 1 deadline for it to restructure or face bankruptcy court. To read the complete article, click here.
French Paper: THink on Paper
French Paper has launched its new series of ads in industry publications such as HOW, and Communication Arts. French Paper Company will be running the “THink on PAPER” series of 24 ads, each on a different color French sheet for the next two years.
Designed by Charles S. Anderson Design Company, these ads use limited printing techniques to maximum effect on the kind of color paper that only French can manufacture. For samples contact your friendly Millcraft Paper rep.
Designed by Charles S. Anderson Design Company, these ads use limited printing techniques to maximum effect on the kind of color paper that only French can manufacture. For samples contact your friendly Millcraft Paper rep.
Paper as Fashion
As a merchant rep, it’s a given to have a love of all things paper. So imagine my delight when I saw that Chanel featured paper accessories as part of their Spring Couture ’09 Show in Paris last month.
According to the Chanel website, there were 7,000 handmade paper flowers, which took a total of 4,800 hours of work to assemble and 4,000 square meters of paper were needed to create these ephemeral sculptures - and I thought making a perfect bound dummy was difficult.
Closing the Paper Loop with Whole Foods
Mohawk Fine Papers, Inc. helped Whole Foods Market become the first national retailer to produce all of its national in-store Earth Month materials using "third generation" closed-loop recycled papers.
"Closed-loop" means that Whole Foods Market has recycled and reused its own paper for zero waste. The Company took its own paper waste and had it de-inked and recycled into paper pulp. The pulp was then sent to Mohawk to be manufactured into new paper for the production of its Earth Month materials. Typically, Whole Foods Market immediately recycles its in-store materials as soon as they become outdated; however, for this program the company saved and stored all outdated materials with the purpose of creating enough volume to manufacture new paper for itself.
The term "third-generation" means that the same fibers have been used to manufacture paper three separate times. Essentially, the paper's "life" began as virgin fiber paper, which was used and then recycled. Mohawk took the recycled fiber and manufactured it as 100% postconsumer waste paper, which was used by Whole Foods Market, then once again recycled and re-manufactured by Mohawk into 100% postconsumer waste paper.
The papers that Whole Foods Market used and ultimately recycled were Mohawk Via 100% PC Cool White and Mohawk Options 100% PC White. Because Mohawk's 100% postconsumer waste papers are all FSC (Forest Stewardship Council) certified, and because Whole Foods Market used Mohawk to remanufacture the paper, together the two companies were able to ensure the integrity of the environmental properties of the paper along with any third-party environmental certifications. This is unusual for third-generation papers since much of the recycled pulp is exported from the U.S. for manufacturing. Whole Foods Market's closed-loop program was an entirely domestic endeavor.
According to Mohawk's Environmental Calculator, Whole Foods Market created a significant environmental savings by using closed-loop papers. 20,000 pounds of third-generation 100% postconsumer waste paper were used for the Earth Month materials, creating an environmental savings equal to:
192 trees preserved for future use
554.42 pounds of waterborne waste not created
81,557 gallons of wastewater flow saved
9,024 pounds of solid waste not generated
17,768 pounds of greenhouse gases prevented
136,000,000 BTUs energy not consumed
Because Mohawk manufactured the paper with wind-generated electricity, an additional impact was created: 9,232 pounds of air emissions were not generated (which means that 4 barrels of crude oil were not used) and the savings was equal to not driving 10,000 miles or planting 624 trees.
Rene Harbison of Studio Azul, Inc. is a print production consultant who acted as vendor liaison for the program. "Mohawk and Whole Foods Market have similar environmental stories and visions. Mohawk went above and beyond to help create the opportunity for Whole Foods Market to be the first national retail company to implement a closed-loop recycling program and draw further awareness of the global need to recycle," says Harbison.
"Closed-loop" means that Whole Foods Market has recycled and reused its own paper for zero waste. The Company took its own paper waste and had it de-inked and recycled into paper pulp. The pulp was then sent to Mohawk to be manufactured into new paper for the production of its Earth Month materials. Typically, Whole Foods Market immediately recycles its in-store materials as soon as they become outdated; however, for this program the company saved and stored all outdated materials with the purpose of creating enough volume to manufacture new paper for itself.
The term "third-generation" means that the same fibers have been used to manufacture paper three separate times. Essentially, the paper's "life" began as virgin fiber paper, which was used and then recycled. Mohawk took the recycled fiber and manufactured it as 100% postconsumer waste paper, which was used by Whole Foods Market, then once again recycled and re-manufactured by Mohawk into 100% postconsumer waste paper.
The papers that Whole Foods Market used and ultimately recycled were Mohawk Via 100% PC Cool White and Mohawk Options 100% PC White. Because Mohawk's 100% postconsumer waste papers are all FSC (Forest Stewardship Council) certified, and because Whole Foods Market used Mohawk to remanufacture the paper, together the two companies were able to ensure the integrity of the environmental properties of the paper along with any third-party environmental certifications. This is unusual for third-generation papers since much of the recycled pulp is exported from the U.S. for manufacturing. Whole Foods Market's closed-loop program was an entirely domestic endeavor.
According to Mohawk's Environmental Calculator, Whole Foods Market created a significant environmental savings by using closed-loop papers. 20,000 pounds of third-generation 100% postconsumer waste paper were used for the Earth Month materials, creating an environmental savings equal to:
192 trees preserved for future use
554.42 pounds of waterborne waste not created
81,557 gallons of wastewater flow saved
9,024 pounds of solid waste not generated
17,768 pounds of greenhouse gases prevented
136,000,000 BTUs energy not consumed
Because Mohawk manufactured the paper with wind-generated electricity, an additional impact was created: 9,232 pounds of air emissions were not generated (which means that 4 barrels of crude oil were not used) and the savings was equal to not driving 10,000 miles or planting 624 trees.
Rene Harbison of Studio Azul, Inc. is a print production consultant who acted as vendor liaison for the program. "Mohawk and Whole Foods Market have similar environmental stories and visions. Mohawk went above and beyond to help create the opportunity for Whole Foods Market to be the first national retail company to implement a closed-loop recycling program and draw further awareness of the global need to recycle," says Harbison.
Bail Out for the Paper Industry
A recent article by Graphic Arts Online reports that the paper industry may receive much needed tax support, but not if environmentalists have anything to say about it.
A tax clause benefiting paper mills is threatened as environmentalists complain they are receiving a billion dollar bailout from an obscure tax provision meant to drive development of alternative fuels. A 2005 transportation bill passed by Congress included a $.50 per gallon subsidy to encourage companies to blend biofuels and fossil fuels—the credit was extended two years ago to include nontransportation energy sources. Paper companies who burned black liquor—a wood byproduct—to fuel operations for decades reportedly saw an opportunity to take advantage of the provision by adding diesel, a fossil fuel, into its already used biofuel.
International Paper received a $71 million check last month from the Internal Revenue Service for 15 mills over a one-month period. Verso Paper received $29.7 million for a single mill.
The credit is set to expire at the end of the year with an estimated potential windfall to the paper industry as high as $6 billion. The credits could provide a much-needed 2009 lifeline for the industry, according to a Deutsche Bank report released last month titled “Liquored Up?”
Paper industry advocates say the incentive is fair because it if applies equally to all firms engaged in the practice, noting that the industry should benefit from its long-term efforts to use renewable energy. Plus, they say, adding diesel fuel to the mix increases the efficiency of boilers and other pollution controls.
The American Forest and Paper Assn. says, "if Congress were to revoke the alternative fuel incentive, it could lead to sudden plant closures, job losses, and economic disruption that would have not otherwise occurred. The resulting loss of the forest product industry’s renewable energy generation and use would be a blow to the nation’s ongoing efforts to support and expand this type of clean-burning, environmentally friendly energy production. "
A tax clause benefiting paper mills is threatened as environmentalists complain they are receiving a billion dollar bailout from an obscure tax provision meant to drive development of alternative fuels. A 2005 transportation bill passed by Congress included a $.50 per gallon subsidy to encourage companies to blend biofuels and fossil fuels—the credit was extended two years ago to include nontransportation energy sources. Paper companies who burned black liquor—a wood byproduct—to fuel operations for decades reportedly saw an opportunity to take advantage of the provision by adding diesel, a fossil fuel, into its already used biofuel.
International Paper received a $71 million check last month from the Internal Revenue Service for 15 mills over a one-month period. Verso Paper received $29.7 million for a single mill.
The credit is set to expire at the end of the year with an estimated potential windfall to the paper industry as high as $6 billion. The credits could provide a much-needed 2009 lifeline for the industry, according to a Deutsche Bank report released last month titled “Liquored Up?”
Paper industry advocates say the incentive is fair because it if applies equally to all firms engaged in the practice, noting that the industry should benefit from its long-term efforts to use renewable energy. Plus, they say, adding diesel fuel to the mix increases the efficiency of boilers and other pollution controls.
The American Forest and Paper Assn. says, "if Congress were to revoke the alternative fuel incentive, it could lead to sudden plant closures, job losses, and economic disruption that would have not otherwise occurred. The resulting loss of the forest product industry’s renewable energy generation and use would be a blow to the nation’s ongoing efforts to support and expand this type of clean-burning, environmentally friendly energy production. "
Seven Deadly Sins
Terra Choice has just released its North American summary report: The Seven Sins of Green Washing. The challenge and call to action of the report is to discourage greenwashing by putting practical tools in the hands of consumers and companies, while still encouraging and rewarding genuine efforts towards sustainable innovation.
Sin of the Hidden Tradeoff committed by suggesting a product is “green” based on an unreasonably narrow set of attributes without attention to other important environmental issues.
Sin of No Proof committed by an environmental claim that cannot be substantiated by easily accessible supporting information or by a reliable third party certification.
Sin of Vagueness committed by every claim that is so poorly defined or broad that its real meaning is likely to be misunderstood by the consumer.
Sin of Irrelevance committed by making and environmental claim that may be truthful but is unimportant or unhelpful for consumers seeking environmentally preferable products.
Sin of Lesser of Two Evils committed by claims that may be true within the product category, but that risk distracting the consumers from the greater environmental impacts of the category as a whole.
Sin of Fibbing, the least frequent sin, is committed by making environmental claims that are simply false.
Sin of Worshipping False Labels committed by creating fake labels or false suggestions of third party endorsements.
This last sin was so big they added it to the original six from last year, as it deserved it own category. To read the complete report, click here
Swatchbook Update: Environment
Neenah Paper presents a newly updated ENVIRONMENT Papers swatchbook that reflects a new breed of sustainable, post consumer recycled paper. Now greener than ever, the brand is entirely FSC Certified, Green Seal Certified, and made with 100% renewable green energy.
ENVIRONMENT Papers was the first premium Writing, Text and Cover post consumer fiber recycled paper brought to market back in 1990. The brand now offers papers manufactured with four different levels of post consumer fiber, with the balance of pulp either FSC Certified fiber or alternative fiber such as bamboo and bagasse. In 2007 Neenah Paper acquired another environmentally preferable brand known as EVERGREEN Papers. Neenah took the most popular colors from the brand and incorporated them into ENVIRONMENT Papers, creating an exciting new color palette that is crisp, yet natural.
"It's important in today's market to bring clarity to product lines, avoid duplication between brands," says Kathy Kemps, Senior Brand Manager for Neenah Paper. "These two brands are a perfect example of 1+1=3. Both great brands on their own, but together-extraordinary."
Just as remarkable is ENVIRONMENT Smooth Digital PC 100 White, the newest addition to the HP Indigo certified Neenah Digital collection. It has the same Universal Digital Finish as all Neenah Digital papers and has been optimized for use on all digital presses as well as office and desktop equipment.
Project Potico
The World Resources Institute(WRI)and NewPage Corporation have formed a partnership to protect forests in Indonesia . NewPage is funding WRI 's “Project POTICO”(Palm Oil,Timber,Carbon Offsets), an initiative to combat illegal logging and preserve virgin rainforests in Indonesia by diverting new oil palm plantations to degraded lands.
“Deforestation is having a significant impact on people, biodiversity and the climate,” said Jonathan Lash , president of WRI. “Project POTICO will relieve pressure on Indonesia's virgin tropical rainforests, reduce greenhouse gas emissions from forest clearing, and prevent the loss of biodiversity in forests slated for conversion to oil palm plantations . Well-designed oil palm plantations in degraded areas would create local jobs and protect traditional livelihoods of forest-dependent people.”
“Project POTICO, in combination with the U.S. Lacey Act, will help level the global playing field by minimizing illegal logging and reducing the amount of product brought into the United States that is produced in violation of the law,” said Rick Willett , president and chief operating officer for NewPage. Recent amendments to the Lacey Act now make it illegal to import into the U.S. wood or paper derived from illegally harvested trees. “We are making an investment in this project because we strongly believe that major improvements must be made globally in the area of sustainable forest management.”
Indonesia 's tropical rainforests are being cleared at a rapid rate, primarily by construction of oil palm plantations. One consequence is that Indonesia has now become, according to some estimates, the world's third largest emitter of greenhouse gases. Although the country has at least 50 million acres of degraded land that could be used for plantations, oil palm, timber, and rubber plantations continue to push into virgin forests and fuel illegal logging.
Palm oil, derived from the fruit of oil palm trees, has become extremely popular for use in snack foods. A versatile oil, it is also used in consumer products such as soaps and cosmetics, and more recently to create biofuel. Indonesia is now the world's largest palm oil producer, which has led to a dramatic depletion of the nation's forest cover.
Through Project POTICO, WRI will implement a three-year strategy designed to curb new oil palm plantations from clearing Indonesia 's virgin forests. The strategy will divert new oil palm plantations onto degraded lands and bring forests that were slated for conversion into certified sustainable forestry or conservation status. Project POTICO is designed to help curb illegal logging, which often occurs hand-in-hand with oil palm plantation development.
The project seeks to convert up to 1.25 million acres of degraded land into oil palm plantations. Lands slated to be oil palm plantations will remain standing as protected forest or will be sustainably managed to supply Forest Stewardship Council -certified wood or fiber for use in paper products.
“A key component of our sustainability strategy at NewPage is proactive involvement in improving the global environment, which aligns perfectly with our partnership with WRI and the strategy behind Project POTICO,” said Dave Bonistall, vice president, Environmental, Health and Safety. “We are very pleased to be a partner with WRI on this very important project and look forward to achieving great success in significantly reducing illegal logging in Indonesia .”
NewPage customers can also support this initiative by purchasing select NewPage products where a portion of the proceeds from the paper sale will be contributed to Project POTICO. Customers can use the Project POTICO logo on their printed communications which symbolizes their contribution.
Another Industry Casualty
April 16 (Bloomberg) -- AbitibiBowater Inc., North America’s biggest newsprint maker, sought bankruptcy protection after U.S. lenders refused to accept a proposed debt restructuring.
AbitibiBowater had assets of $9.9 billion and debt of $8.78 billion on Sept. 30, according to a Chapter 11 petition filed today in U.S. Bankruptcy Court in Wilmington, Delaware. Thirty-one affiliates also entered bankruptcy. The Montreal- based company plans to seek court protection in Canada tomorrow.
“Today’s announced decisions ensure business continuity for AbitibiBowater and were made only after all other viable options to recapitalize our long-term debt were exhausted,” Chief Executive Officer David Paterson said in a statement.
Paterson had sought to refinance debt to reduce borrowing costs that reached $203 million in last year’s second quarter. AbitibiBowater, which sold timberlands in Quebec to repay debt, is struggling with a drop in North American paper demand as newspapers lose readers and advertisers to the Internet. The company owns about 43 percent of U.S. and Canadian newsprint capacity, according to RBC Capital Markets.
“This is a relief,” Paul Quinn, an analyst of paper and forest-products companies at RBC in Vancouver, said of today’s bankruptcy filing. “Abitibi tried to reorganize outside the courts, but the goal posts kept moving.”
AbitibiBowater plans to borrow as much as $200 million from Fairfax Financial Holdings Ltd. and Avenue Management LLC to fund some Bowater operations as it reorganizes, according to the statement.
Bowater Exchange
AbitibiBowater’s most recent drive to restructure its debt began in February when the company sought creditor support to exchange $1.8 billion of notes issued by its Bowater subsidiary for new notes.
AbitibiBowater later proposed a recapitalization plan for its Abitibi-Consolidated unit that would have reduced net debt by about $2.4 billion. Abitibi said in a regulatory filing on March 16 that it might have to seek bankruptcy protection unless it completed the refinancing.
The 35 largest unsecured creditors of AbitibiBowater and its affiliates are owed about $2.7 billion, according to court papers. Bank of New York Mellon Global Corporate Trust is trustee for the company’s $600 million in 7.95 percent notes due 2011; $400 million in 6.5 percent notes due 2013 and $368.9 million in convertible notes due 2013.
The bank is also trustee for $248.1 million in 9 percent debentures due this year; $234.4 million in floating rate senior-notes due 2010; and $125 million in 9.5 percent debentures due 2012.
Declining Demand
U.S. and Canadian demand for newsprint fell a combined 33 percent in February, the most in at least 27 years, according to the Montreal-based Pulp and Paper Products Council. Publishers of the Chicago Tribune, Philadelphia Inquirer, Minneapolis Star Tribune and New Haven Register filed for bankruptcy after industrywide print-advertising sales plunged the most in 37 years in the third quarter, according to the Newspaper Association of America.
With newsprint demand slumping, AbitibiBowater and other producers in the U.S. and Canada have sought to keep prices up by shutting mills and boosting newsprint exports.
Gannett Co. Chief Financial Officer Gracia Martore said on a conference call today she expected newsprint prices to fall this year because of a surplus. McLean, Virginia-based Gannett, the owner of USA Today, is the biggest U.S. newspaper publisher.
Mill Closings
“Oversupply in the newsprint market is still a factor and more capacity will have to be shut,” Quinn said. “It’s too early to know which mills will come out the other side of the bankruptcy process.”
AbitibiBowater has 23 pulp and paper mills and 30 wood- products plants in the U.S., Canada, the U.K. and South Korea. The company was formed in the October 2007 merger of Bowater Inc. and Abitibi-Consolidated Inc., a transaction valued at about $4.8 billion in stock. The newsprint makers said at the time the combination would cut costs by $250 million a year.
AbitibiBowater’s financial advisers are Blackstone Advisory Services LP and BMO Capital Markets. Paul, Weiss, Rifkind, Wharton & Rice LLP, Stikeman Elliott LLP and Troutman Sanders LLP are providing legal advice, the company said.
AbitibiBowater had assets of $9.9 billion and debt of $8.78 billion on Sept. 30, according to a Chapter 11 petition filed today in U.S. Bankruptcy Court in Wilmington, Delaware. Thirty-one affiliates also entered bankruptcy. The Montreal- based company plans to seek court protection in Canada tomorrow.
“Today’s announced decisions ensure business continuity for AbitibiBowater and were made only after all other viable options to recapitalize our long-term debt were exhausted,” Chief Executive Officer David Paterson said in a statement.
Paterson had sought to refinance debt to reduce borrowing costs that reached $203 million in last year’s second quarter. AbitibiBowater, which sold timberlands in Quebec to repay debt, is struggling with a drop in North American paper demand as newspapers lose readers and advertisers to the Internet. The company owns about 43 percent of U.S. and Canadian newsprint capacity, according to RBC Capital Markets.
“This is a relief,” Paul Quinn, an analyst of paper and forest-products companies at RBC in Vancouver, said of today’s bankruptcy filing. “Abitibi tried to reorganize outside the courts, but the goal posts kept moving.”
AbitibiBowater plans to borrow as much as $200 million from Fairfax Financial Holdings Ltd. and Avenue Management LLC to fund some Bowater operations as it reorganizes, according to the statement.
Bowater Exchange
AbitibiBowater’s most recent drive to restructure its debt began in February when the company sought creditor support to exchange $1.8 billion of notes issued by its Bowater subsidiary for new notes.
AbitibiBowater later proposed a recapitalization plan for its Abitibi-Consolidated unit that would have reduced net debt by about $2.4 billion. Abitibi said in a regulatory filing on March 16 that it might have to seek bankruptcy protection unless it completed the refinancing.
The 35 largest unsecured creditors of AbitibiBowater and its affiliates are owed about $2.7 billion, according to court papers. Bank of New York Mellon Global Corporate Trust is trustee for the company’s $600 million in 7.95 percent notes due 2011; $400 million in 6.5 percent notes due 2013 and $368.9 million in convertible notes due 2013.
The bank is also trustee for $248.1 million in 9 percent debentures due this year; $234.4 million in floating rate senior-notes due 2010; and $125 million in 9.5 percent debentures due 2012.
Declining Demand
U.S. and Canadian demand for newsprint fell a combined 33 percent in February, the most in at least 27 years, according to the Montreal-based Pulp and Paper Products Council. Publishers of the Chicago Tribune, Philadelphia Inquirer, Minneapolis Star Tribune and New Haven Register filed for bankruptcy after industrywide print-advertising sales plunged the most in 37 years in the third quarter, according to the Newspaper Association of America.
With newsprint demand slumping, AbitibiBowater and other producers in the U.S. and Canada have sought to keep prices up by shutting mills and boosting newsprint exports.
Gannett Co. Chief Financial Officer Gracia Martore said on a conference call today she expected newsprint prices to fall this year because of a surplus. McLean, Virginia-based Gannett, the owner of USA Today, is the biggest U.S. newspaper publisher.
Mill Closings
“Oversupply in the newsprint market is still a factor and more capacity will have to be shut,” Quinn said. “It’s too early to know which mills will come out the other side of the bankruptcy process.”
AbitibiBowater has 23 pulp and paper mills and 30 wood- products plants in the U.S., Canada, the U.K. and South Korea. The company was formed in the October 2007 merger of Bowater Inc. and Abitibi-Consolidated Inc., a transaction valued at about $4.8 billion in stock. The newsprint makers said at the time the combination would cut costs by $250 million a year.
AbitibiBowater’s financial advisers are Blackstone Advisory Services LP and BMO Capital Markets. Paul, Weiss, Rifkind, Wharton & Rice LLP, Stikeman Elliott LLP and Troutman Sanders LLP are providing legal advice, the company said.
Print Industries of America - Magazine Debut
The world's largest printing industry association, Printing Industries of America, debuted it's new magazine Tuesday, "Printing Industries of America: The Magazine", with format and content determined by hundreds of Printing Industries of America's members responding to a survey. The Magazine's publisher is Mary Garnett, Executive Vice President at Printing Industries; and Managing Editor is Dee Gentile, whose senior editorial positions at the organization have included Managing Editor of GATFWorld and Management Portfolio.
The Magazine draws from the most popular sections of GATFWorld and Management Portfolio magazines with emphasis on Technology and related, application-oriented Solutions content, as these were members' most requested topics.
The What's Hot! and Etcetera sections give Printing Industries of America the option to provide timely coverage on current events and information.
Michael Makin, President & CEO of Printing Industries of America, says, "The Magazine draws from the best of GATFWorld, which provided reliable, unbiased, expert coverage of today's technology; and Management Portfolio, which delivered insightful and thought-provoking articles to assist printing companies in managing for growth and profitability."
The Magazine includes the following key sections: Technology, Solutions, What's Hot!, Resources, and Etcetera. In addition, the magazine will continue to provide substantive and pertinent information from the Government Affairs Department, along with economic insights and essential environmental updates.
Technology. Covers technology in use, new technologies, and technology updates.
Solutions. Now that you know about technology, how do you implement it? This section provides the how-to, practical information for plant operations, business management, sales and marketing, finance, managing people, and more.
What's Hot! Covers truly hot, new information and new challenges facing organizations and the industry. It also covers current trends and issues that could impact members' businesses.
Resources. Covers the best resources for members. These include upcoming conferences, workshops, webinars or seminars; as well as new books or reports on technology or business management.
The premier issue of The Magazine focuses on offset technologies, looking at new technologies and detailing potential solutions. Technology concentrates on automation and benchmarking. Solutions offers insights on business development and managing facility assets and customers. What's Hot! focuses on vision technology and the new Consumer Product Safety Improvement Act of 2008.
"Printing Industries of America continues to strive to provide information on leading-edge technologies and critical information on how to improve our members' profitability," says Makin. "We believe it is our responsibility to champion the use of print and provide our members with the knowledge they need to survive and thrive in today's competitive environment."
The Magazine draws from the most popular sections of GATFWorld and Management Portfolio magazines with emphasis on Technology and related, application-oriented Solutions content, as these were members' most requested topics.
The What's Hot! and Etcetera sections give Printing Industries of America the option to provide timely coverage on current events and information.
Michael Makin, President & CEO of Printing Industries of America, says, "The Magazine draws from the best of GATFWorld, which provided reliable, unbiased, expert coverage of today's technology; and Management Portfolio, which delivered insightful and thought-provoking articles to assist printing companies in managing for growth and profitability."
The Magazine includes the following key sections: Technology, Solutions, What's Hot!, Resources, and Etcetera. In addition, the magazine will continue to provide substantive and pertinent information from the Government Affairs Department, along with economic insights and essential environmental updates.
Technology. Covers technology in use, new technologies, and technology updates.
Solutions. Now that you know about technology, how do you implement it? This section provides the how-to, practical information for plant operations, business management, sales and marketing, finance, managing people, and more.
What's Hot! Covers truly hot, new information and new challenges facing organizations and the industry. It also covers current trends and issues that could impact members' businesses.
Resources. Covers the best resources for members. These include upcoming conferences, workshops, webinars or seminars; as well as new books or reports on technology or business management.
The premier issue of The Magazine focuses on offset technologies, looking at new technologies and detailing potential solutions. Technology concentrates on automation and benchmarking. Solutions offers insights on business development and managing facility assets and customers. What's Hot! focuses on vision technology and the new Consumer Product Safety Improvement Act of 2008.
"Printing Industries of America continues to strive to provide information on leading-edge technologies and critical information on how to improve our members' profitability," says Makin. "We believe it is our responsibility to champion the use of print and provide our members with the knowledge they need to survive and thrive in today's competitive environment."
Translucent sheets – how do they do that?
Translucent sheets, also referred to as vellum, are made from the same wood pulp as regular opaque sheets. Well, almost. In the case of translucents, the pulp is specially fibrillated, which creates fine hairs on each fiber and allows them to create a tightly interwoven mass of pulp.
Where the pulp recipe for opaque sheets asks for fillers and more before they undergo the actual papermaking process, naturally translucent sheets forgo this option. They are simply heated up and pressed several times to get rid of any extra air pockets, which makes them very compact.
An easy way to tell the difference is by looking at a translucent and an opaque sheet of the same weight. The opaque sheet is noticeably thicker than the translucent one.
Natural vs. Chemical
Translucent sheets are usually referred to as “chemically” or “off-machine transparentized.” In this case, the sheets are first manufactured as opaque papers and then treated with petroleum-based resins, heated and cured to make the paper translucent (think of what happens to the paper plate your slice of pizza had been on). This process tends to make the fibers more brittle and due to the added resins, the paper is not recyclable. However, they are great for printing heavy coverage and for use as a fly sheet. Sheets that are chemically transparentized tend to be whiter than their natural counterparts, some examples are Neenah Paper UV Ultra II and Yupo Translucent.
Naturally transparentized sheets are made the same way as an opaque white sheet, but undergo a more rigorous process during the pulping phase to achieve their “natural” translucency. Due to the way they are manufactured they lend themselves well to folding and scoring, and are great for envelopes, belly bands, and wraps, however they tend to be a bit duller in whiteness. There’s always a tradeoff.
How will you know which is which?
Most mills identify if their paper is naturally transparent and recyclable. Another easy way to tell one from the other is by looking at the product items being offered. Chemically transparentized sheets are more brittle and do not fold without cracking. So, they are not recommended for folding (and saddle stitching) and if you're looking for envelopes, only naturally translucent sheets are recommended for that: Neenah’s Clearfold or CT by Reich.
On the greener side...
In terms of recycling, any naturally translucent sheet is recyclable; and if you're looking for FSC papers, check out Clearfold by Neenah Paper along with CT by Reich Paper. If planning to use one these papers for an upcoming project, contact your Millcraft rep for more information or samples.
Where the pulp recipe for opaque sheets asks for fillers and more before they undergo the actual papermaking process, naturally translucent sheets forgo this option. They are simply heated up and pressed several times to get rid of any extra air pockets, which makes them very compact.
An easy way to tell the difference is by looking at a translucent and an opaque sheet of the same weight. The opaque sheet is noticeably thicker than the translucent one.
Natural vs. Chemical
Translucent sheets are usually referred to as “chemically” or “off-machine transparentized.” In this case, the sheets are first manufactured as opaque papers and then treated with petroleum-based resins, heated and cured to make the paper translucent (think of what happens to the paper plate your slice of pizza had been on). This process tends to make the fibers more brittle and due to the added resins, the paper is not recyclable. However, they are great for printing heavy coverage and for use as a fly sheet. Sheets that are chemically transparentized tend to be whiter than their natural counterparts, some examples are Neenah Paper UV Ultra II and Yupo Translucent.
Naturally transparentized sheets are made the same way as an opaque white sheet, but undergo a more rigorous process during the pulping phase to achieve their “natural” translucency. Due to the way they are manufactured they lend themselves well to folding and scoring, and are great for envelopes, belly bands, and wraps, however they tend to be a bit duller in whiteness. There’s always a tradeoff.
How will you know which is which?
Most mills identify if their paper is naturally transparent and recyclable. Another easy way to tell one from the other is by looking at the product items being offered. Chemically transparentized sheets are more brittle and do not fold without cracking. So, they are not recommended for folding (and saddle stitching) and if you're looking for envelopes, only naturally translucent sheets are recommended for that: Neenah’s Clearfold or CT by Reich.
On the greener side...
In terms of recycling, any naturally translucent sheet is recyclable; and if you're looking for FSC papers, check out Clearfold by Neenah Paper along with CT by Reich Paper. If planning to use one these papers for an upcoming project, contact your Millcraft rep for more information or samples.
Direct Mail Delivers - Webinars by USPS
The USPS is hosting free Webinars to show you how to create and send Direct Mail from your computer.
Direct Mail is one of the most cost-effective ways to reach customers, and now it’s easier than ever. The Postal Service has been working together with several online service providers to provide useful tips and helpful resources to make a Direct Mail campaign produce strong results.
The USPS is offering webinars that are designed to give businesses some smart and imaginative solutions for planning a Direct Mail advertising campaign. The webinars can be found on the USPS website and anyone can sign up for free.
The webinar topics include:
Customizing Your Mail Pieces - Wednesday, April 15, 2009 1:00 PM - 2:00PM EDT You will learn about personalized marketing strategies, and how timely, relevant, and personalized marketing can increase your response rates.
Mail Piece Design - Wednesday, April 29, 2009 1:00 PM - 2:00PM EDT
In this webinar, you will learn how to create effective headlines, how to write effective copy, and how to select graphics that get you the best response possible.
The webinars will teach you how to create postcards, purchase mailing lists, and design entire mailing campaigns on your computer from start to finish, while providing training and ideas from industry experts.
Direct Mail is one of the most cost-effective ways to reach customers, and now it’s easier than ever. The Postal Service has been working together with several online service providers to provide useful tips and helpful resources to make a Direct Mail campaign produce strong results.
The USPS is offering webinars that are designed to give businesses some smart and imaginative solutions for planning a Direct Mail advertising campaign. The webinars can be found on the USPS website and anyone can sign up for free.
The webinar topics include:
Customizing Your Mail Pieces - Wednesday, April 15, 2009 1:00 PM - 2:00PM EDT You will learn about personalized marketing strategies, and how timely, relevant, and personalized marketing can increase your response rates.
Mail Piece Design - Wednesday, April 29, 2009 1:00 PM - 2:00PM EDT
In this webinar, you will learn how to create effective headlines, how to write effective copy, and how to select graphics that get you the best response possible.
The webinars will teach you how to create postcards, purchase mailing lists, and design entire mailing campaigns on your computer from start to finish, while providing training and ideas from industry experts.
Strathmore Graphics Gallery Promotion
The Strathmore Graphics Gallery promotion showcases three stunning identity systems housed in a beautifully crafted, oversized, wiro-bound portfolio. The cover design is based on Marian Bantjes’ interpretation of the historic Strathmore thistle, which Pentagram NY translated into the new Strathmore ream wrap. French-fold pages hold the pullout samples of each identity’s letterhead, business card and envelope. Produced on Strathmore Writing Wove, Ultimate White the promotion elegantly presents the Strathmore Show winning entries:
The AdamsMorioka identity, designed by AdamsMorioka, Beverly Hills, CA, is an in-your-face, unforgettable system loaded with color and personality that is produced on Strathmore Pure Cotton. In the promotion, Sean Adams reveals how he and partner Noreen Morioka unwittingly went against the grain in a design move that ultimately became the perfect symbolism for the bold and creative work of this award-winning firm. “There’s so much going on with this stationery—it does everything but take you to lunch,” says Adams.
The Urban Design Group identity, designed by David Carter Design Associates, Dallas, TX, is a sleek and sophisticated system produced on environmentally sustainable Strathmore Script. According to Donna Aldridge of David Carter, this leading international architectural firm needed a logo that was, “clean, contemporary and solid,” but didn’t communicate any singular architectural aesthetic. The powerful red emphasizes the word “design” while the gray provides a solid foundation.
The Hagin Investment Management identity, designed by Thinkso Creative, New York, NY, is a fusion of modern art, complex software, quantitative strategies and aggressive upstarts and is produced on Strathmore Writing. The logo is transformable, it looks like an H, the dot-and-dash motif looks digital and the five-by-five grid represents the strategy of the company. Brett Traylor of Thinkso says, “The whole thing is bold and bright with out-of-the-can colors that reflect Mr. Hagin’s interest in modern art.”
10 principles for managing, marketing and motivating in a recession
Even if you're not in the midst of a bailout, bankruptcy or a merger, chances are this "Great Recession" has created turmoil and uncertainty in your business.
What we are living through today may be a once-in-a-lifetime economic downturn. It's a time when tough short-term decisions may need to be made. But smart marketers must always keep one eye on the future and not forget what it is they want to create for their companies. Adage Age offers up 10 principles for managing, marketing and motivating in a recession that work equally well in good times and bad. To read the complete article, click here
What we are living through today may be a once-in-a-lifetime economic downturn. It's a time when tough short-term decisions may need to be made. But smart marketers must always keep one eye on the future and not forget what it is they want to create for their companies. Adage Age offers up 10 principles for managing, marketing and motivating in a recession that work equally well in good times and bad. To read the complete article, click here
Inspiring Apple
Ever wonder what the story was behind the iconic logo? Well Rob Janoff, inventor of the Apple logo explains how it all started with a trip a to the grocery store. “For inspiration, the first thing I did was go to the supermarket, buy a bag of apples and slice them up. I just stared at the wedges for hours,” recalls Janoff. The fruit of his labor: a simple 2-D monochromatic apple, with a healthy bite taken from the right side. For the full story, check out zlok
A Study in Contrasts
Pantone has released the Fashion Color Report: Fall 2009. Touting it as a study in contrasts, it offers a range of color combinations resulting in distinct yet cohesive palettes.
"The fall 2009 palette is more unique and thoughtful than the typical autumnal hues of years past," said Leatrice Eiseman, executive director of the Pantone Color Institute. "Designers recognize the desire for fundamental basics that speak to current economic conditions, but also understand the need to incorporate vibrant color to grab the consumers' eyes and entice them to buy."
To view the complete report, click here.
Call for Entries: Mohawk 10 Show
Mohawk Fine Papers celebrates the designers who make concrete the complex communications of our culture, who go beyond the expected and make visuals extraordinary.
Mohawk invites you to show the best of your work in Mohawk Show 10. Five winners will receive $5000 each. And finalists will be awarded $500 each. This year's show offers the “Specialty Finishes Award” for work featuring special embellishments such as embossing, engraving, foil stamping, thermography and more. Entries are being accepted from now until May 29, 2009. A jury of four distinguished designers will act as judges to choose five best-of-show winners. Enter as many projects as you like. There are no entry fees. To download an entry form, click here.
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