SCA to invest more than SEK 800 million in tissue machine upgrade and improved newsprint in USA and Sweden

STOCKHOLM, Sept. 1, 2011 (Press Release) - SCA will invest SEK 460m in a tissue machine upgrade in the US. A decision has also been made to rebuild a paper machine in Ortviken for the manufacture of improved newsprint, an investment totalling SEK 350m.

To meet demand for premium products in the US market, SCA has decided to invest in an upgrade of an existing tissue machine. The machine today has a capacity of 70,000 annual tons, which will remain unchanged. Production is estimated to commence during late 2012 or early 2013.

A newsprint paper machine in Ortviken, Sundsvall, will be rebuilt to allow production of improved newsprint. The machine's capacity is currently 245,000 annual tons, which will increase marginally since it is possible to produce higher density paper at the same speed. At the same time, capacity for pulp bleaching and water treatment will increase.

It is estimated that the rebuilt machine in Ortviken will commence operation during the third quarter of 2013.