Vida Paper takes innovative step

In announcing yet further investment in new developed pulp production at Lessebo paper mill, VIDA ABs majority shareholder Santhe Dahl confirmed his belief that: The future of papermaking for small mills in an industry of multinational giants depends upon listening to our customers and the markets and then through investment, innovation and flexibility meeting the demands of both. Diversification into Cellulose issolving Pulp production is a clear and practical application of this theory and our company is prepared to invest.

The first step in the project will increase, through new investment, the invoiced volume from 52.000 tonnes of paper to 70.000 tonnes of pulp and paper. VIDA Paper AB's CEO Jan Fjeldsa notes that: Economy of scale together with the decision to depend on three trategic business areas; Premium Paper, Dissolving Pulp and Energy Production will add further stability to the future at Lessebo"

"Resultant from this project, we now have the ability to further improve the quality of our Premium Papers with a full focus on the optimal pulp mixture and particularly so when taken with the additional investment in a new Quality Control System being installed on PM3,E commented Henrik Thuresson, Mill Sales and Marketing Director. "We are very optimistic that these developments will further consolidate us as "the" Premium Uncoated Paper supplier in Europe."

The initial phase of the Cellulose Pulp production project will temporarily reduce the volume of finished paper manufactured at the mill and some less profitable volume in production will be sacrificed to that end, however, Henrik Thuresson, is keen to stress hat none of the millEs valued primary contracts with our major customers and merchant groups will be effected by this temporary reduction.

The new dissolving pulp will be in production early in Autumn 2011 and comprise a volume of 28.000 tonnes per annum.