1 / 17

Hallmark

Hallmark . April 12th, 2010. Agenda. SAP conversion update. 1. Invoicing. 2. Cwt to per thousand sheets. 3. Forecasting. New product introductions. Buying direct vs. merchant – update on Hallmark.com project. Pricing on mill brands, Shasta, Howard Felt, and Luxfelt. Terms. SAP Update.

tyne
Télécharger la présentation

Hallmark

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Hallmark April 12th, 2010

  2. Agenda • SAP conversion update. 1. Invoicing. 2. Cwt to per thousand sheets. 3. Forecasting. • New product introductions. • Buying direct vs. merchant – update on Hallmark.com project. • Pricing on mill brands, Shasta, Howard Felt, and Luxfelt. • Terms.

  3. SAP Update • New process being designed that will allow NP to hold back invoices on consignment items. • Anand is finishing up development and will test this week. • /cwt conversion to /m sheets. - We will convert to a maximum of two decimal points to accommodate SAP. Example: 27.5x40 80# 338M Shasta = $66.15/cwt = $223.59/m • NP still needs a forecast on consignment items for production and inventory planning. How will this be handled post conversion?

  4. New product introductions CONSERVATION™ - 100% post-consumer, FSC. - 92 Bright White PC 100. - 24W/60T, 70T, 80T, 80C, 110C. - Economical price. CLASSIC CREST® Digital - Addition of 24W and 130# DTC in Solar White, Classic Natural White, and Recycled 100 Bright White. ENVIRONMENT® folding board - 18pt solid, 92 Bright, 100% post-consumer, FSC, Green-e, Green Seal, Carbon Neutral Plus. - 125# basis weight.

  5. Buying direct vs. merchant Hallmark.com project through MSP and Mimeo West. - CORONADO® and CLASSIC® Linen. - 3 months of samples sent for various trials. - First 5,000 lb. order of CORONADO® Stipple placed by Frank Parsons in Pittsburgh, PA the week of 4/5. When do you buy direct vs. through merchant channel?

  6. Total Hallmark • 2009 Volume – 4,756,202# • 2008 Volume – 7,200,368# 33% Decline

  7. Shasta - Tiara 2009 Volume -- 3,558,666# 2008 Volume -- 4,929,274# 28% Decline Uses Shasta Marking Roll on PM Added 20% PCW in 2009 at no cost to Hallmark Caliper change in exchange for $1.00/cwt price decrease February, 2000 Price $72.08 January, 2010 Price $66.15 Pricing activity last two years: $3.00/cwt increase 1/1/08 $2.50/cwt increase 9/1/08 $1.00/cwt decrease 1/1/10 Sales & Item Information Pricing History

  8. Shasta – Warm White 2009 Volume – 695,704# 2008 Volume – 1,172,222# 41% Decline Uses Shasta Marking Roll on PM Added 20% PCW in 2009 at no cost to Hallmark Caliper change in exchange for $1.00/cwt price decrease February, 2000 Price $72.08 January, 2010 Price $66.15 Pricing activity last two years: $3.00/cwt increase 1/1/08 $2.50/cwt increase 9/1/08 $1.00/cwt decrease 1/1/10 Sales & Item Information Pricing History

  9. Shasta - Pink 2009 Volume – 72,912# 2008 Volume – 73,039# Level Uses Shasta Marking Roll on PM Added 20% PCW in 2009 at no cost to Hallmark Run on A5 with different felt pattern? Or another machine with a different felt pattern? March, 2004 Price $58.90 January, 2010 Price $68.50 Pricing activity last two years: $3.02/cwt increase 1/1/08 $3.00/cwt increase 9/1/08 Sales & Item Information Pricing History

  10. Luxfelt 2009 Volume – 85,472# 2008 Volume – 224,286# 62% Decline Uses Gainsborough Felt Roll on the PM January, 2002 Price $58.90 January, 2010 Price $69.00 Pricing activity last two years: $3.52/cwt increase 1/1/08 $3.00/cwt increase 9/1/08 Propose: Move to 40,000# order minimums? Investigate switching to Sundance or Shasta finish Sales & Item Information Pricing Information

  11. Howard Felt 2009 Volume – 159,867# 2008 Volume – 385,345# 58% Decline Uses Sundance Felt on PM Color shade is Sundance Ultra White and Howard Linen Warm White June, 2001 Price $55.86 January, 2010 Price $66.50 Pricing activity last two years: $2.37/cwt increase 1/1/08 $3.00/cwt increase 9/1/08 Propose: minimum order quantities Sales & Item Information Pricing Information

  12. NP Brands 2009 Volume – 183,580# 2008 Volume – 416,202# 55% Decline Majority of volume in Environment, Esse and Teton Esse and Environment have deviated pricing Esse has not had an increase since 2007 Environment program was new in 2008 and has not had an increase yet Proposal: Implement a $5/cwt increase. Sales Information Brand Sale Information

  13. Terms • Current terms are Net 10 days. • Consignment • Other standard NP terms – 2% 20, n21

  14. Appendix

  15. Forecast SBHK NBHK

  16. Recent Pulp Announcements • Södra first out with $30 May NBSK increase • North American pulp prices are poised to rise mostly $50/tonne in April, when levels will increase for a 10th time in the 11 months since an unprecedented bull run began last June. North American mills have entered a season of maintenance downtime that will further crimp spring supplies during a time when buyers around the globe are suffering from what many contacts are calling "the Chile effect," where an undersupplied market forces them to take tonnage at higher and higher prices. The benchmark northern bleached softwood kraft (NBSK) market pulp list price in the USA was widely expected this week to reach $960/tonne for this month, up $50 from March, and up $325 and 51% since last May, according to PPI Pulp & Paper Week. The last time the NBSK in the USA was around $960 was in fourth quarter 1995, when NBSK was $955. • US northern bleached hardwood kraft (NBHK) pulp prices for example rose $40-50/tonne from February to $810-820/tonne in March, up 47% from a year earlier. • Södra Cell AB in Sweden announced today that it will increase its May 1 northern bleached softwood kraft (NBSK) pulp price in Europe by US$30 per tonne, to $960/tonne. This is the first announcement by a pulp producer for May pricing. • Producers representing at least three-fourths of North American uncoated freesheet (UFS) capacity this week were behind a new, $3/cwt ($60/ton) price increase across all grades, effective in early May. The May hike follows a successful $40/ton increase on just cutsize and rolls achieved in March, and will lift long-flat levels for forms bond and laser MOCR.

  17. Paper Mill Price Announcements • Producers representing at least three-fourths of North American uncoated freesheet (UFS) capacity this week were behind a new, $3/cwt ($60/ton) price increase across all grades, effective in early May. The May hike follows a successful $40/ton increase on just cutsize and rolls achieved in March, and will lift long-flat levels for forms bond and laser MOCR. • The largest North American producer, Domtar, on Wednesday announced a $60/ton increase effective May 10. The third largest producer, Boise, also set a May 10 effective date • Sappi to increase coated fine paper prices by at least 10% effective June 1 • Finch Paper LLC today told customers it will increase its May 10 prices in the U.S. of uncoated freesheet (UFS) paper by US$60 per ton ($3 cwt). In its letter to customers, it said the increases apply to its Finch brand opaque rolls, casa opaque rolls, offset rolls, xerographic, laser, label cut size, and envelope grades. • Wausau increased by $3/cwt • Neenah Paper announces general market increase for shipments April 5th. Classic brands and Environment effective with shipments dated May 17th.

More Related