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The Final Word by Jim Thompson
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The price of the IP sale (mentioned in our lead column) was a bit surprising. IP sold a combined total of 970,000 annual tons for about USD 484 per annual ton or USD 174,000 per daily ton. To our way of thinking, this is within the price range of new capacity. Of course, we're mixing apples and oranges a bit, since New Johnsonville has a pulp mill, but it still seems on the rich side for us, particularly when you consider nearly 2/3 of this capacity is in taxed-and-regulated-to-death California.


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