heinzel pulp - Heinzel Group

für den weiteren Werksausbau, die Umweltverträglichkeitsprüfung für das Projekt „Pöls 500+“, konnte positiv erledigt
werden. Der stufenweise Ausbau, bei dem in einem ersten Schritt die Erweiterung der Zellstoffproduktion auf 420.000
Tonnen vorgesehen ist, kann somit verwirklicht werden.
GENERAL ECONOMIC CONDITIONS A slight improvement of the European economic data was recorded in 2005. Measured against the growth
rates in the USA, Latin America, and Asia, the economy in Europe was, however, significantly weaker. Despite the optimistic mood in the early
part of the year, the anticipated recovery of the paper business did not materialize, and the demand for pulp did not increase. At an almost
constant rate of exchange of EUR/USD 1.24, the market price for softwood pulp dropped by 2 percent to EUR 490/t. Unexpectedly, the market
for hardwood pulp grades was more favorable because the significant increase of output from Asia and Latin America was offset by the
closure of plants in the Northern hemisphere.
THE HEINZEL GROUP After the satisfactory results of the previous year, when the excellent operating results of our Group companies were
enhanced even further by extraordinary effects, 2005 was far less positive for the Heinzel Group. At EUR –13.4 million, the operating result
of the Group was substantially lower than that posted in the previous year, and this had a variety of causes. The pulp plants suffered result
reductions because of declining prices, as well as extraordinarily long shut-downs to implement investments and major repairs, and it was
not possible to compensate them by increases in production and sales. The largest negative effect occurred because of the unsatisfactory
start-up of operations of board machine BM 11 in our plant in the Netherlands. Technical difficulties led to an excessive amount of waste and
second grade and resulted in significant losses. The trading sector, however, again increased quantities and showed an improvement in the
operating result. The Group’s financial result also declined because, at the end of the year, provisions had to be made for USD hedging operations.
Additionally, as anticipated, it was not possible to replicate the high extraordinary income of the previous year from divestiture of
companies and tax refunds. The Group’s most important investments in 2005 were the expansions of the pulp plants with the goal of expanding
capacity and lowering costs. These sub-projects were completed very successfully, and operations were started up. EUR 33 million were
expended for the expansion of BM 11, however, its start-up of operations did not meet the high expectations. On the other hand, the expansion
of the new BCTMP aspen pulp plant in Estonia progressed very well and is both within the budget and on schedule.
ZELLSTOFF PÖLS AG By expanding the digester cookingzone and other facilities, Zellstoff Pöls AG was able to increase its pulp and paper
output in 2005 to 342,000 tons. A significant milestone for a further expansion of the plant, the environmental impact assessment for the
“Pöls 500+” project, was successfully completed. The new expansion, which will be carried out in stages, can now be implemented; the
first stage will result in an increase in the pulp production to 420,000 tons.
ABSATZVOLUMEN 2005 – HEINZEL GROUP ® TOTAL
Sales volume 2005 – HEINZEL GROUP ® total
55,860 tons publication
papers and other grades
883,665 tons
pulp
TOTAL 1,834,395 tons
56,399 tons printing and
writing papers
240,787 tons kaolin
and chemicals
597,684 tons paperboard
EIGENPRODUKTION 2005 – HEINZEL GROUP ® TOTAL
Own production 2005 – HEINZEL GROUP ® total
609,850 tons pulp
TOTAL 789,007 tons
ZELLSTOFF PÖLS AG ANNUAL REPORT 2005
23,451 tons
chemicals
155,706 tons
paperboard
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