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Ziegler Paper Mill

Grellingen, Switzerland, 07 April 2011 -- Ziegler Paper Mill, a Swiss manufacturer of fine and specialty papers, increased net production in 2010 by 5% (from 62,200 metric tons to 65,000 metric tons). In spite of the weaker euro, U.S. dollar, and British pound, sales revenue also grew by 2% (from CHF 103 million to CHF 105 million).

Notwithstanding the difficult market environment, with steeply rising raw material prices, operational cash flow was maintained at a satisfactory level. Investments of CHF 4.1 million reflected the volume of the previous year. Ziegler Paper Mill remains free from debt and employs a workforce of 180 persons (165.6 FTE). In addition, the company is training 10 apprentices.

Even in the demanding 2010 business year, the mill continued to pursue its proven strategy: concentration on niche markets and specialities, further expansion of its geographic orientation, high quality, and intensive customer service and support.

Distribution of Ziegler’s sales markets continued virtually unchanged during the year under review: 45% of production was sold within Switzerland and 55% was exported. The lion’s share of exports went to Germany (20%), followed by the UK, Italy, USA, France, Austria, Benelux, and Spain. Business in dollars and pounds sterling continued to be restrained as a result of prevailing exchange rates, whereas efforts were stepped up on the domestic market. Eastern Europe, China, and now Australia are interesting for the further development of specialties business and offer a wealth of opportunities.

Ziegler Paper Mill is the world’s leading manufacturer of inkjet papers for transactional documents. The company’s share of the market for laminating base papers also grew steadily during the year under review. Premium-grade papers for graphics applications, which are being continually improved for the demanding Swiss market in particular, continue to be successful products for Ziegler Paper Mill.

The outlook for 2011 can be cautiously assessed as positive despite the continuing climb in the cost of pulp. As an independent family run Swiss company, Ziegler Paper Mill is endeavoring to continue meeting the demands of its customers in today’s very volatile market environment both at home and abroad as a reliable and stabile provider of top-quality products and services. The mill attaches great importance to the management of its net working capital, to strict cost discipline and particularly to maintaining high liquidity.

To better meet the demands of a sharply changing market and the increased customer requirements, the company's sales department has been strengthened. Since 01 April 2011, Peter Schreiner, has occupied the position of international sales manager and is a member of the extended executive committee.

The general meeting of 25 March 2011 confirmed Philipp Kuttler-Frey in his role as managing director and also elected him as the chairman of the board of directors, thus succeeding René L. Frey, who remains a director of the mill.


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