BOWATER PAPER MILLS

Press, Volume LXXXVIII, Issue 26847, 27 September 1952, Page 7

BOWATER PAPER MILLS

Output Sold For Next

15 Years

NEW YORK, September 25. Sir Eric Bowater has announced the entire newsprint and pulp production of Bowater’s Corner Brook and East Tennessee mills has been sold out for the next 15 years. He said he believed the Bowater Paper Corporation was the only one in the world with production from two mills sold out so far ahead. Production potential in Tennessee was 130,000 tons of newsprint and 50,000 tons of sulphate pulp a year. x Contracts of the Corner Brook mill in the southern United States have been transferred to the southern mill to save shipping costs and new northern contracts have been signed for Corner Brook production. The fact that the Bowater organisation is one of the largest in the world for production and marketing of all types. of paper as well as newsprint explains why it could have production of two newsprint mills “sold out” for a long time, trade observers here commented.

Bowater, which owns its own shipping facilities, has paper producing and sales units in Britain, Scandinavia, Australia, South Africa and elsewhere. Bowater’s Newfoundland mill now has a rated annual capacity of 305,000 tons, which makes it one of the largest single mills of its kind. Prices, it was pointed out, have little effect on commitments, since most contracts give scant assurance of a set price for any length of time.