Wausau Paper Announces Plan to Add Paper Machine at Kentucky Converting Facility

The board of directors for Wausau Paper, headquartered in Mosinee, Wis., has approved plans to expand the company’s tissue and towel production capabilities in response to growing demand for environmentally friendly products.

The Wausau expansion project includes the installation of a paper machine capable of producing 75,000 tons per year of 100 percent recycled-content tissue and towel products. The new machine will be located at the company’s Harrodsburg, Ky., converting facility, with construction expected to start by the third quarter of 2011. The company hopes to have the new machine operational by the first quarter of 2013.

According to Wausau, the cost of the expansion project will be around $220 million, and includes building construction, a new paper machine, converting line enhancements and project-related expenses. The project received incentive commitments of about $7 million from the Kentucky Economic Development Finance Authority.

In a release announcing the project, Thomas Howatt, president and CEO of Wausau, says, "This investment will further extend our 'green' leadership position in the away-from-home towel and tissue market. The new machine will provide the capability to produce products at a quality level that is comparable to the best virgin-fiber products on the market today."

Howatt adds, "Our tissue segment has been our best performing business over the last decade and this investment will serve to accelerate its growth and profitability."