Smurfit-Stone Container

Smurfit-Stone Container

Financial Information
200720062005
Total Revenue (US$M)7,4207,1576,812

Smurfit-Stone Container Corporation (nasdaq|SSCC) is a global paperboard and paper-based packaging company based in Creve Coeur, Missouri, and Chicago, Illinois. It has approximately 21,000 employees. The company is the world's largest paper recycler and the industry's largest paper based packaging company.

History

Smurfit-Stone was formed in 1998 as a result of the merger between St. Louis-based Jefferson Smurfit Corporation (JSC) and Chicago-based Stone Container Corporation In May 2000 Smurfit-Stone acquired St. Laurent Paperboard Inc. and in September 2002, the company acquired a containerboard mill and related operations in Stevenson, Alabama from MeadWestvaco. Smurfit-Stone operates approximately 150 manufacturing facilities consisting of recycling plants, paper mills, and corrugated container plants that make up the largest integrated packaging system in the industry. [ [http://www.smurfit-stone.com Smurfit-Stone Company website] June 2, 2008]

Products and Services

Smurfit-Stone has one of the widest selections of paper-based packaging products in the industry. The company provides customers with environmentally sustainable products such as corrugated boxes and protective packaging, corrugated pallets, containerboard, kraft paper, market pulp, packaging equipment, and point of purchase displays. [ [http://www.smurfit-stone.com Smurfit-Stone Company website] May 31, 2008] A few examples of Smurfit-Stone’s environmentally sustainable packaging are:

"-The eight-sided META case, which provides corrugated packaging that utilizes less material while offering improved stacking strength, stronger shelf impact, and other benefits. [ [http://www.smurfit.com:8080/files/Enviromental_Report_2007.pdf Smurfit-Stone Environmental Report] ] "

"-The EnviroShell, which serves as a recyclable, corrugated alternative to traditional blister packs and includes easily separated and recycled PET inserts. These inserts help lead to EnviroShell’s 89 percent reduction in plastic use compared to the traditional blister packs. [ [http://www.smurfit.com:8080/files/Enviromental_Report_2007.pdf Smurfit-Stone Environmental Report] ] "

"-RecyclaCorr is a fully recyclable product that offers a replacement to wax imbued mediums. It provides strength under both dry and humid conditions and has 100% recycled fiber content. Some common applications of RecyclaCorr include packaging produce, protein, beverages, bakery products, products that sustain freeze/ thaw cycles, and products that require high humidity storage. [ [http://www.packaging-online.com/paperboardpackaging/article/articleDetail.jsp?id=429757 Packaging Online] May 31, 2007] "

Smurfit-Stone also provides services to its customers, which include recycling solutions, packaging research and development, and pulp and paper services.

afety

Smurfit-Stone has been an industry leader in safety performance since 2001. In 2007, Smurfit-Stone’s U.S. operations had an OSHA recordable case rate of 1.05, the best in company and industry history. This represents an 84 percent improvement in the company’s recordable case rate since the implementation of Smurfit-Stone’s SAFE process in 1995. [ [http://www.smurfit.com:8080/files/Enviromental_Report_2007.pdf Smurfit-Stone Environmental Report] ] The SAFE process, which stands for Smurfit-Stone Accident-Free Environment, promotes five core beliefs:

1. All injuries are preventable

2. Safety is everyone’s responsibility

3. Working safely is a condition of employment

4. Training employees to work safely is essential

5. Safety is good business

Environmental

Air

Smurfit-Stone sets out to solve sustainable packaging requirements of its customers without threatening the ability of future generations to fill their needs. To ensure this mission is carried out, the company works to reduce its environmental footprint in every way possible. Smurfit-Stone is a member of the Chicago Climate Exchange (CCX), committing to achieve greenhouse gas emission reductions of 6 percent below baseline by 2010. The company has also put its Load Max Initiative into place, which reduces green house gas emissions by maximizing trailer usage and thereby placing fewer trucks on the highway. [ [http://www.smurfit.com:8080/files/Enviromental_Report_2007.pdf Smurfit-Stone Environmental Report] ] Overall, Smurfit-Stone has reduced its use of fossil fuel by 20% since 1998 and has already met the obligation of CCX Phase I to reduce green house gas emissions by 312,000 tons, a goal that was met by utilizing such practices as the combined heat and power process (CHP) to burn biomass in mills. [ [http://www.smurfit.com:8080/files/Enviromental_Report_2007.pdf Smurfit-Stone Environmental Report] ]

Forestry

Smurfit-Stone is a founding member of the Sustainable Forest Initiative (SFI). By subscribing to the SFI Environmental Standards, Smurfit-Stone has earned the SFI Certified Sourcing Label, which validates that its packaging adheres to the highest standards of environmental sustainability. In order to obtain this label, Smurfit-Stone is required to maintain two-thirds of its raw materials for packaging from SFI-certified sources and must also make efforts to inform landowners on the importance of practicing sustainable forestry.Smurfit-Stone utilizes a Forest Resources program, which provides high-quality virgin wood fiber to its mills, manages company forestlands (approximately 1 million acres), and maintains a nursery and tree improvement program. The nurseries in this program grow over 24 million pine seedlings annually to replace trees that have been harvested by Smurfit-Stone. The manufacturing process used by Smurfit-Stone’s kraft paper mills utilizes every party of every tree. Bark and sawdust are used as biomass fuel for boilers; the debarked tree is processed into fiber, which is refined to make paper; the remaining chemicals are recovered and reused as a source of fuel for the boilers; and the wood residuals that Smurfit-Stone cannot use are sent to third parties who reuse them as biomass fuel or to enrich soil quality. [ [http://www.smurfit.com:8080/files/Enviromental_Report_2007.pdf Smurfit-Stone Environmental Report] ]

Recycling

Smurfit-Stone is also among the leading collectors of recycled paper and non-paper based recovered materials worldwide, operating the world’s largest paper recycling business. In 2007, Smurfit-Stone collected a record 7 million tons of recyclable materials, and annually reuse approximately 45% of collected fiber in Smurfit-Stone mills. Smurfit-Stone has also recently begun using their capabilities to recycle third party wastes such as plastic, metal, and glass. [ [http://www.smurfit-stone.com Smurfit-Stone Company website] June 2, 2008]

ustainability

In continuing efforts to promote environmental sustainability throughout the industry, Smurfit Stone is a member of the World Business Council for Sustainable Development (WBCSD), an organization that provides a medium for companies to share knowledge and experience, expand sustainable development, and voice company positions on relevant issues. Smurfit-Stone partners with organizations such as The National Council for Air and Stream Improvement, the Rocky Mountain Elk Foundation, the Michigan United Conservation Club, and the Alabama Treasure Forest Association. ["Smurfit-Stone's 2007 Sustainability report]

Smurfit-Stone carries out its business in compliance with the environmental, health, and safety principles of the American Forest and Paper Association. They conduct routine evaluations to confirm the status of this compliance and to monitor their facilities’ environmental management systems.

Community Involvement

Smurfit-Stone actively takes a role in improving local communities with financial and volunteer-based contributions. Some of these include:

-In December 2007, Smurfit-Stone Container Company pledged $1 million to the YMCA of Greater St. Louis. They now aim to raise $30 million for the organization by 2009.

-In March, 2007, Smurfit-Stone provided their company wellness center to the YMCA in West Point, VA. The building is now used to house the Greater West Point Family YMCA.

-Smurfit-Stone’s recycling division has sponsored American Cancer Society fundraising events for more than 10 years, raising around $1 million to directly benefit the St. Louis Hope Lodge Center.

-Smurfit-Stone works with several other organizations such as Habitat for Humanity, Project Learning Tree, American Red Cross, United Way, March of Dimes, and Juvenile Diabetes Research Foundation. [ [http://www.smurfit.com:8080/files/Enviromental_Report_2007.pdf Smurfit-Stone Environmental Report] ]

References

External links

* [http://www.smurfit-stone.com/ Company web site]


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