Magazine (PDF) - SCA

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

Clean cause 

�� 

�� 

� ��

�� 

�� 

�� 

�� 

�� 

�� 

Contents Nº 2 2008 

�� 

6 

�� 

�� 

�� 

��

20 

26 

30 

16 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

Which is dirtier: a computer keyboard or a toilet 

seat? Do customers buy more if they move 

counterclockwise through a store? The answers 

in Shape Up. 

�� 

Poor hygiene is a big threat for industrialized 

countries as well as for developing ones. In Sweden, 

more people die from poor hygiene than die in 

traffic accidents. 

�� 

Russians want luxury even in the bathroom, children 

take more time for toilet training and Europe is 

better at dealing with growing mountains of waste. 

�� 

SCA’s new CEO Jan Johansson and his new organization 

will focus on growth of hygiene products. 

�� 

The Canadian contora pine thrives in Swedish 

forests and has advantages over Swedish pines. 

�� 

Shareholders left this year’s annual meeting with 

their own trees and Libero’s spring collection is 

inspired by the 1970s. 

�� 

Furniture made of corrugated board does more 

than just save trees and lower carbon dioxide emissions, 

it is also a thing of beauty. 

�� 

SCA’s profits rose during the first quarter. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

�� 

�� 

�� keyboards had so 

many bacteria that there was a risk 

of food poisoning, according to a study 

from University College London 

Hospital. Previous surveys have shown 

that offi ce keyboards contain 400 

times more bacteria on average than 

toilet seats. The culprit in this drama 

is mainly computer users eating lunch 

Luxury 

in front of their computer. Particles 

of food lodge in the keyboard and 

provide a home for millions of bacteria. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�Did you know that you make at least 

10 decisions when you buy toilet paper? 

For instance, should it be one-ply, twoply, 

three-ply or even four-ply paper? 

Different packages have different numbers 

of rolls, different lengths of rolls, 

not to mention all the different patterns 

that are available. There is also a lot of 

variation between brands in terms of 

quality. Most people don’t want paper 

that’s too rough, but on the other hand 

they don’t want it so soft that it falls 

apart when it gets wet, and it can’t leave 

lint either. 

“Comparing three-ply paper with 

one-ply paper isn’t relevant,” says Annette 

Storm Hanssen at SCA Tissue 

Europe. “They’re two completely different 

products!” 

The length for different toilet paper 

brands varies considerably, from under 

20 meters to over 60 meters, so buying 

something cheap can be expensive in 

the long run. 

��

Longer and heavier 

to save nature 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

The Russian retail trade continues to grow, posting sales of 100 

billion euros last year. The largest players in the market are now the 

Russian group X5, with roughly 5 percent of the market. The 

German group Metro is second largest and has succeeded in capturing 

almost 5 percent of the Russian retail market since it started up 

there in 2000, according to the Russian online daily Kommersant. 

�� 

�� 

�� 

�� 

�� 

�� 

� �� 

�� 

�� 

�� 

�Most people probably know that the smell 

of freshly baked bread increases our desire to 

buy things when we’re in the grocery store. 

But there are many other tricks to get us 

to consume more. For instance, purchases 

of everyday goods increase if customers 

move counterclockwise in a store rather 

than clockwise – the explanation is that it 

is easier for people who are right-handed. 

Similarly, we buy more when there is a blue 

background rather than red, argues the 

researcher and author Jens Nordfält in his 

prize-winning book Marknadsföring i butik 

(‘Marketing in Stores’), according to the 

Swedish daily Dagens Nyheter. 

He also shows how large price displays 

make us think the price is low, an effect that 

is pronounced if the display sign is lit with 

fluorescent lighting. The placement of goods 

is very important, as in where on the shelf an 

item is placed. Placing it at the end of a long 

aisle instead of the middle can increase sales 

by as much as 400 percent. 

��

�� 

�� 

�� 

�� 

�� 

Hygiene is a major concern throughout the world, 

in advanced and developing countries alike. 

A global survey found that people everywhere 

worry about getting sick because of poor hygiene, 

but it also turned up some surprising results. 

�� 

hygiene is a global issue. 

It is a matter of life and 

death in some places, 

while in other places 

it’s more about quality 

of life. To learn more 

about people’s habits 

illness, and only 5 percent do so on a regular 

basis. But even in Sweden, according 

to some calculations, more people 

die from poor hygiene than from traffi c 

accidents. The greatest problem here is 

poor hand hygiene in healthcare. 

“Rough estimates indicate that 

and attitudes on hygiene, SCA has done about 10 percent of all patients admit- 

a survey in nine countries. The survey ted are affected by infections related 

shows that people worry the most in to healthcare,” says Jonas Bonnedahl, 

Mexico, where nearly everyone (93 senior physician for infectious diseases 

percent) frets at one time or another at Kalmar County Hospital in south- 

about the risk of hygiene-related illern Sweden. “It would have been posnesses. 

One-fi fth of Mexicans say it’s a sible to avoid perhaps 20 to 30 percent 

constant fear. 

Of the countries surveyed, Sweden 

of these with better hand hygiene.” 

was the most relaxed on issues of hy- �� in bathrooms 

giene and illness. Half of Swedes never is seen as the single greatest threat to 

worry about the risk of hygiene-related health, according to the survey. After 

�� 

�� 

�� 

��

ALMOST A 

THIRD OF ALL 

CHINESE OFTEN 

REFRAIN FROM 

EATING DINNER 

AT AN AQUAIN- 

TANCE’S HOME 

BECAUSE 

OF HYGIENE 

CONCERNS. 

that come poor hand hygiene in food 

preparation, improper handling of food 

and the risk of infection from contacts 

with other people. 

People are frequently reminded to 

wash their hands after they go to the 

bathroom, and a full 95 percent of respondents 

around the world say they 

do. In addition, 83 percent wash their 

hands before meals, although only half 

of Swedes do so. In other situations, 

hand hygiene varies signifi cantly among 

the countries surveyed. In China and 

Mexico it is more common for people to 

wash their hands after handling money. 

In Russia, nine out of ten people wash 

their hands when they come home. 

Views of health risks differ in the 

various countries. Nearly eight out of 

ten Mexicans see poor hygiene in food 

��

�� 

preparation as one of the biggest problems. 

Mexicans are also most likely to 

see hygiene risks in not bathing or taking 

a shower often enough. Russians 

and Chinese see greater danger from 

coming into contact with animals. 

�� hygiene affects people’s 

everyday behavior, the survey found. 

Virtually all those surveyed said they 

think most about hygiene and cleanliness 

in connection with visits to public bathrooms. 

More than half of respondents, 

and a full 70 percent of women, try to 

avoid using public facilities. 

Concerns about hygiene inhibit people 

in other situations as well. Almost a 

third of all Chinese often refrain from 

eating dinner at an acquaintance’s home 

because of hygiene worries. One out of 

three Americans and Chinese shun public 

transportation for the same reason. 

Many also consider hygiene when 

they visit restaurants, when they have to 

touch things in public spaces and when 

they go to swimming pools. In workplaces 

too, there is a fear of poor hygiene. 

One-third of all the people in the 

survey often worry about being infected 

by their colleagues. 

When it comes to personal hygiene, 

the most common practice is to shower 

or bathe once a day. Mexicans and 

Australians shower most frequently, 

whereas half of Chinese people shower 

at most twice a week. 

�� between 10 

and 30 minutes on their morning ablutions 

each day, but there are major cultural 

differences. Swedes and Chinese 

are done in less than 10 minutes, while 

Mexicans like to linger in the bathroom 

for more than half an hour. 

Despite growing awareness of environmental 

and climate issues, less than 

half of respondents said environmental 

concerns were critical in their decision to 

buy personal care products like sanitary 

napkins, soap and paper. Swedes and 

Russians give the least consideration to 

environmental aspects, while the French, 

Mexicans and Chinese have changed 

their behavior to the greatest extent. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�When it comes to taboo topics, there 

are also major cultural differences. Almost 

one-fifth of the French cannot 

imag ine discussing hair care with some- 

one else, whereas only 4 percent of people 

globally didn’t want to. In Mexico, 

almost half the people think it is embarrassing 

to talk about foot hygiene, and 

in China it is considered really awkward 

to talk about body hair. 

There are also differences between 

the sexes. Whereas women are more 

sensitive about discussing incontinence 

than men, men find it harder to talk 

about menstruation. Almost half the 

men think it is awkward to have to buy 

sanitary napkins and tampons. Most 

people surveyed, 85 percent, can imagine 

talking to their partner about various 

hygiene issues, but only 9 percent

can imagine discussing such things with 

strangers and new acquaintances. 

The fact that some topics related to 

hygiene are taboo presents major problems, 

especially for women in different 

parts of the world. Many women have 

to stay home from school or work during 

their period because of poor access 

to sanitation, which is sometimes the result 

of fear of talking about the subject. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�Those are the perceptions of how to be 

clean and fresh, on average in the countries 

surveyed. For a woman to be viewed 

as clean and fresh, both women and men 

see shaved legs as most important. After 

that come using perfume and jewelry, having 

long hair, avoiding make-up, putting 

one’s hair up and using skin cream. The 

demands are highest for Russian women. 

Russia has the most people who appreciate 

women shaving their legs and wearing 

jewelry and make-up. The French and 

Mexicans like women to use perfume, 

MEXICANS AND 

AUSTRALIANS 

SHOWER MOST 

FREQUENTLY. 

while Swedes prefer a natural scent. 

In China and Germany, a quarter of 

the people say women can keep their 

legs hairy. As for men, it is better that 

they shave, cut their hair and nails, avoid 

creams and make-up and preferably use 

cologne. 

In Mexico in particular, people appreciate 

men who use scents, whereas 

the majority in China prefer that men 

skip the cologne. Mexicans like a wellgroomed 

beard, but Chinese prefer 

clean-shaven men. Germans and Americans 

have a positive view of long hair 

for men, and Russians think it’s nice for 

men as well as women to have longer 

well-manicured nails. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

1 

3 

5 

�� 

�� 

�� 

�� 

2 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

4 

6 

�� 

�� 

�� 

SCA raises knowledge 

about hygiene 

�� 

�� 

�� 

�� 

�� 

�� 

�� involving attitudes toward 

hygiene, is presented in the accompanying article. 

“We’ve worked for a long time with raising the 

level of knowledge in the product categories and 

brands we have,” says Bodil Eriksson, senior vice 

president, corporate communications, at SCA. 

“The surveys we’re now carrying out take an integrated 

approach to hygiene based on a number 

of different aspects.” 

Many issues related to hygiene are strictly taboo. Silence and 

ignorance make life shorter and more diffi cult for many people 

in the world. 

“For SCA, which is one of the world’s biggest manufacturers 

of hygiene products, there are both human and business-based 

reasons for calling attention to and discussing hygiene issues,” 

Eriksson says. The results of the surveys and other initiatives in 

the hygiene fi eld will be shown on SCA’s website and presented 

at various events. 

One of SCA’s aims is to increase the rate of growth in the hygiene 

category. Developing countries in particular have great potential, 

as their use of hygiene products is still very limited and the disposable 

income rises in many countries. Another trend that suggests 

increased use of hygiene products is aging populations. 

“People who have moved out of poverty begin almost immediately 

to give priority to personal hygiene,” Eriksson says. “In India 

alone, some 430 million people are leaving the poverty stage, 

and the trend are similar in China and South America.” 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

In Mexico, SCA has 

already developed feminine 

sanitary protection 

for a target group 

that is less well off. 

This has in part meant 

making simpler products 

that can be sold at 

a low price, and also 

making the products 

more easily available. 

“The products are sold 

in small stands in rural 

areas so that everyone 

can get hold of them. 

In some places we sell 

them in a one-pack version,” 

Eriksson says.

„Über kleine 

Pannen lachen…“ 

für extra starke Saugkraft! 

…dank Zewa Wisch&Weg mit der SOS-Formel 

www.zewa.de 

�� 

�� 

�� 

�� 

�� 

�� 

ZEWA WISCH& WEG 

Mit einem Wisch ist alles weg

�� 

�� 

�� 

Singapore’s Jack Sim wants to give status to toilets 

and break the taboo of talking about pee and 

poo. He founded the World Toilet Organization 

seven years ago in a bid to improve global 

sanitary conditions. 

�� the World Toilet Organization 

and its logo in the form of a 

toilet seat probably draw a lot of smiles. 

That’s fi ne with its founder, Jack Sim. 

He sees humor as an effective tool to get 

people to dare to talk about toilets, pee 

and poo. Because if you’re going to do 

something about the sanitary situation, 

you have to be able to speak frankly. 

“The key to the future is raising the 

status of having good toilets, and thus 

the demand for them,” Sim says. “That’s 

much more effective than just informing 

people about the clear health benefi ts.” 

His goal is to get people to want to put 

money into good toilets in the same way 

they want a TV or cellphone. “We’re trying 

to infl uence people’s view of toilets 

�� 

in different parts of the world so that it 

will be considered low status not to have 

one,” he says. “Then there will be more 

people who give that priority.” 

His interest in toilets was sparked 

some 10 years ago when he read an article 

in which Singapore’s prime minister 

at the time, Goh Chok Tong, said the 

state of a country’s public toilets could 

be used as a measure of the country’s 

social graciousness. 

�� in Singapore 

were in a miserable state, I decided 

to do something about it and 

formed the Restroom Association of 

Singapore,” Sim recalls. In the course 

of an outreach program that involved 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

cleaning up toilets in Sri Lanka, he discovered 

there were another 15 toilet 

organizations in the world, but no umbrella 

organization. “So I founded the 

World Toilet Organization in order to 

gather and spread knowledge,” he says. 

“There’s an enormous need. In a world 

where 40 percent of the population 

doesn’t have access to toilets and millions 

of people die as a result, it’s time 

we start acting. 

Since the start of his WTO in 2001, the 

number of member countries has grown 

to 46, and about a hundred organizations 

and government authorities are involved. 

The group has established a college, and 

each year it holds a summit in one of the 

member countries to discuss issues, demonstrate 

technical and practical solutions, 

disseminate good examples and develop 

concrete plans of action. “In order for there 

to be any action and not just a lot of talk, 

we hold workshops instead of lectures,” 

Sim says. “The working groups are composed 

so that they each have all the skills 

and authority to make decisions.” 

�� importance of 

the sanitary situation has increased dramatically, 

especially in Asia, he says, and 

things have started to happen. In China, 

Beijing is investing USD 100 million to 

build 4,000 first-class toilets in time for 

this summer’s Olympics. “It’s spread 

to other parts of China,” Sim says. “In 

Shanghai, people have started improving 

the toilets and have produced a number 

of new public toilets, for taxi drivers, in 

shopping malls and for general use.” 

Another example is the Indian organization 

Sulabh International, which has 

built a number of public toilets that are 

now run and attended by the “lowercaste” 

Dalits. The result has been not just 

improved sanitation but also a chance to 

break the caste system by giving the lowest 

caste improved conditions and an opportunity 

to make money and send their 

children to school. “It never works just 

relying on donations,” Sim says. “So it’s 

a really good example of how sanitary 

improvements can take place based on 

business principles.” 

�� 

�� 

�� 

�� 

�� 

�� 

�To improve welfare and bring about economic 

development in a country, access to 

adequate toilets is needed. Many countries 

lose substantial sums by having to wait in 

line each day for the small number of public 

toilets available or look for a secluded 

place to see to their needs. The World 

Health Organization calculates that investments 

in improved sanitation can 

save half an hour a day for people with 

poor access to sanitation. For a household 

with six people, that means 21 

hours a week that can instead be spent 

working or studying. 

Investments in improved sanitation 

also yield a number of other economic returns. 

Nowadays, poor sanitation causes 

a number of different diarrhea diseases 

in developing countries. Better sanitation 

reduces both healthcare costs and 

lost working hours. 

For women, improved sanitation is especially 

important. Many girls stop going to 

school when they begin to menstruate because 

they lack access to good toilets. Similarly, 

many women have to stay home from 

work during menstruation when there are 

no toilets. ��

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

Libresse bindor ser olika ut fram och bak. Eftersom de är formade efter din kropp blir de både 

säkrare och bekvämare. Läs mer på www.libresse.se FEEL SECURE. WEAR LIBRESSE. RESSE. RESSE

�� 

�� 

�� 

�� 

�� 

For shopping-crazed Russians, 

the ongoing love story 

with wellknown and strong 

brands also includes less 

glamorous areas. When Russian 

consumers today choose 

toilet paper, it has to have the 

right label on the roll. 

a 

�� 

fter decades of using the party 

organ Pravda as their closest 

companion in the bathroom, 

Russians are about to discover 

a luxury that many Western consumers 

take for granted – soft toilet paper. 

And the roll has to have the right label. 

“For a growing number of Russians, 

the brand is critical, even when they 

choose everyday products like toilet 

paper,” says Ingolf Braun, head of SCA 

Consumer Tissue Region East, who 

continues: “People who have money buy 

more expensive and better brands like 

our Zewa, which is viewed as a Western 

brand – something that guarantees 

quality in the eyes of most Russians.” 

The Russian market for tissue is 

growing 9 percent a year; SCA’s Zewa 

brand is the market leader with a market 

share of over 30 percent market in 

value. “In Russia, what matters is the 

brand,” Braun says. “Compared with 

mature markets in the West, the share of 

domestic brands in Russia is very low.” 

The region Braun is in charge of today 

falls into two segments. First are 

countries such as Hungary and the 

Czech Republic, which are increasingly 

approaching Western patterns of consumption. 

Then come countries like 

Russia and Romania, which are farther 

from the levels of Western countries. 

Historically, Russians’ consumption of

tissue is low, even taking into account 

their lower purchasing power. 

Today the average Russian consumes 

1.4 kilograms of tissue a year, compared 

with Hungary who use an average of 8 kg 

a year. Not to mention the US, where the 

average consumption is 21 kg. 

��, statistics like these 

don’t tell the whole truth. The Russian 

economic boom, largely based on oil 

and gas sales, is spread very unevenly. 

The growing number of middle-class 

Russians with money to spend are found 

mainly in major cities like St. Petersburg 

and Moscow, or in the Russian “Klondike” 

towns that have grown up around 

oil and gas deposits. Tissue consumption 

in Moscow is about 8 kg a year on average, 

on par with Hungary, Braun says. 

At home, the Russian delight in luxury 

and status is also refl ected in the choice of 

toilet paper. “Compared with our other 

markets, the Russians are really fond of 

different types of luxury, especially colored 

and perfumed paper,” Braun says. 

In the arena of international politics, 

Russia under Vladimir Putin has returned 

to some of the nationalist thoughts of the 

Soviet era. But on store shelves, there is 

complete détente when it comes to foreign 

infl uences and products. “I worked 

in China for three years before, and there 

was a clear trend in favor of domestic 

brands,” Braun says. “That’s not seen in 

Russia at all in the same way. But then 

Chinese producers for the domestic market 

maintain high quality.” 

�� in Russia has 

created capacity problems at times for 

SCA, and two years ago, an agreement 

was signed to invest in a new plant in 

Sovetsk, south of Moscow. In April 

2009, when the new facility reaches full 

capacity, it will have an annual capacity 

of 30,000 tons. 

The economic boom that is driving 

the sale of consumer goods also creates 

new challenges for manufacturers. Full 

order books for Russian construction 

companies are driving up costs for new 

investments. 

�� also taking off in other 

strategically important areas. In glaring 

contrast to their colleagues in western 

Europe and the US, the heads of Russian 

television are enjoying good times. “The 

price of TV advertising rose 75 percent 

last year, and the year before it rose 40 

percent,” says Peter Steiner, marketing 

director of SCA Consumer Tissue Region 

East. “At the same time, TV ads are 

our principal channel to the consumer 

and are critical for the brand.” 

Instead of sitting back and enjoying 

the rapid growth, both Steiner and 

Braun are eagerly eyeing attractive 

new markets in the region. “Both Kazakhstan 

and Ukraine are interesting 

markets,” Braun says. 

�� 

�� 

�� 

�� 

�� 

� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

� �� 

�� 

�� 

� �� 

�� 

� �� 

�� 

�� 

� �� 

�� 

�� 

�� 

� �� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

Ready, set, go… 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� before the advent of disposable 

diapers, children were put on the 

potty as early as six months of age. In the 

1980s, many children were toilet trained 

by the age of three. Today, children in the 

Western world are usually around four 

before they can totally manage on their 

own and go without a diaper during the 

day. One reason for this is thought to be 

today’s super-effi cient diapers, which 

absorb all fl uids and leave the outer layer 

dry. Diapers, quite simply, aren’t uncomfortable 

enough for children themselves 

to feel the need to get rid of a full diaper. 

“There haven’t been studies of how 

four-year-olds, for instance, are affected 

by having diapers, but I can’t imagine 

that children think it’s fun,” says Anna- 

Lena Hellström, a urotherapist and lecturer 

at Göteborg University. 

�� is a sensitive phase 

that is easily disturbed by changes in 

children’s day-to-day lives. 

“When children start preschool, when 

their mother or father returns to work or 

when they get a new brother or sister, diapers 

can once again feel more secure than 

the potty,” Hellström says. So it may be 

good not to start toilet training when major 

changes are going on in the family. 

The question is whether there is an ideal 

age for children to give up diapers. Researchers 

have yet to fi nd a specifi c “toilet 

gene” that would indicate when the time 

for toilet training is most approp riate, 

but there are several well-supported 

hypotheses. German researchers have 

�� 

determined that on average children’s diapers 

stay dry during the day at 28 months 

and overnight at 33 months. But individual 

variations are considerable, and roughly 

20 percent of fi ve-year-olds don’t have full 

control of bladder or bowel. 

A Swedish study found that all children, 

even infants, are aware that they 

are peeing. It was also observed that 

many children could control their bladders 

at the age of 18 months, a period that 

can thus be suitable for toilet training, 

according to Swedish researchers. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

t�� 

he percentage of garbage that 

is not recycled or burned is 

now down to 5 to 10 percent 

in Sweden and other countries 

in northern and central Europe,” says 

Jan-Olov Sundqvist, a waste researcher 

at IVL Swedish Environmental Institute. 

“In the new EU countries and in a number 

of countries in southern Europe, the proportion 

is unfortunately the reverse, and 

only 5 to 10 percent is recycled.” 

Northern Europeans produce about 

500 kilograms of household waste per 

person per year. In the new EU countries 

the fi gure is slightly lower because consumption 

is also lower. In many places, 

however, economic growth is higher 

than in the West, which means that the 

amount of garbage is increasing. This is 

a problem that has already been taken 

up at the EU level. 

“There is a lot of activity under way in 

the EU on waste management,” Sundqvist 

says. “The new EU countries have been given 

requirements to reduce dumping and 

increase recycling. But Rome wasn’t built 

in a day. Sweden worked at it for quite a 

while before we got to where we are today. 

I think waste management in Europe 

�� 

�� 

�� 

�� 

�� 

will look quite different in 10 years.” 

One reason for effi cient waste management 

in northern Europe is the climate. 

There are district heating networks 

that have developed in quite a different 

way than elsewhere, and burning garbage 

is one way of heating houses. In southern 

Europe, the alternative is mainly producing 

electricity. There is thus less economic 

incentive, because of the energy losses 

and the revenues aren’t as high. 

Sundqvist believes the best way to 

bring about a change in behavior is 

through economic or legal sanctions, 

making it expensive or a crime not to sort 

one’s garbage. “Information works to a 

limited degree,” he says. “To continue 

from there, stronger incentives are 

needed.” 

The greatest threats in waste management 

today, Sundqvist says, come 

from things like the chemicals hidden 

in building materials and the built-in 

technology in cellphones. The chemical 

industry puts different additives in 

plastic and paint, for example. “That 

means that we have uncontrolled use of 

hazardous chemicals that are built into 

common, everyday products,” he says. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

Jan Johanss on puts 

�� 

�� 

c 

�� 

With new CEO Jan Johansson, SCA has 

stepped up the tempo in the consumer goods 

segment. A new organization is providing 

better conditions to take advantage of the 

great growth potential for hygiene products. 

�� 

onsumer products have been lost in a forest 

of goods. That, in short, is the challenge 

for SCA’s strategy. With its widespread 

perception in fi nancial markets as a forest 

company, SCA is not valued as it deserves 

to be, and its growth prospects for hygiene products are 

not fully getting across to the markets. 

The challenge gained new force when Jan Johansson 

took over as CEO in November, having said earlier that 

SCA has to improve growth and profi tability. In April this 

year, SCA took the fi rst major step toward this goal when 

it introduced its new organization, with the aim of placing 

greater focus on growth in the company’s tissue and personal 

hygiene products. 

“We’re introducing a global hygiene category organization,” 

Johansson says. “That means that decisions about 

what markets and products to concentrate on in the hygiene 

category are made by the corporate senior management 

team. There will be a clear global strategic focus in 

our priorities. That’s what determines whether priority 

will be given to Denmark or China, for instance.” 

The new global hygiene category organization is being 

created by concentrating resources from the differ- 

ent business areas into an overall organization under the 

management of Gunnar Johansson, former head of SCA’s 

Personal Care business group. 

With the new organization, Jan Johansson emphasizes, 

SCA is making clear for the fi rst time that the company’s 

growth will take place primarily in the hygiene segment. 

The reason is clear: the growth potential for hygiene 

products is signifi cantly higher. This is especially true in 

growth economies such as Russia, China and Mexico. 

“Improved hygiene is something that comes early in the 

economic development of a country and a family,” he says. 

“We have to expand where the opportunities for growth 

are greatest. Moreover, the hygiene segment is less sensitive 

to fl uctuations in the economy. People need hygiene 

products in a recession too.” 

�� position in several areas 

in hygiene: baby diapers, feminine care products and incontinence 

products as well as tissue for consumers and 

away-from-home tissue. The two brands TENA, for incontinence 

products, and Tork, in tissue, have revenues 

of more than EUR 1 billion each, and Johansson stresses 

the importance of fi nding more big sellers. “There’s a

“ Improved hygiene is something that comes 

early in economic development.” 

��

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

“ For consumers in stores, the environmental 

aspect will become more and more important.” 

��

clear trend that many retailers are limiting the number of 

brands, so you have to have the No. 1 or No. 2 position in 

the market.” 

All of SCA’s hygiene products have significant growth 

opportunities, and Johansson thinks they are greatest for 

incontinence products. “We’re the world leader here with 

26 percent of the market,” he says. “When we enter a new 

country, we often create a brand-new market. Even in a 

developed market like Europe, there’s a potential of 30 

percent if you look at how many people would really need 

incontinence protection.” 

Add to that the demographic changes in the West that will 

drive the market for incontinence products. Today there are 

almost 20 million people in the EU over the age of 80. By 

2050 or so, that number will rise to an estimated 50 million. 

Otherwise, Johansson sees the greatest opportunities in 

the growth economies. These include parts of Latin America, 

India, China and eastern Europe, especially Russia, 

where SCA is now expanding with its own production of 

tissue and personal care products. “Another market I have 

a lot of faith in is the Middle East, a region where there is 

positive economic development in many areas,” he says. 

At the end of 2007, SCA formed a joint-venture company 

to produce and sell feminine care products in the Middle 

East and Egypt. 

SCA’s clear new growth focus on hygiene raises a number 

of questions. For instance, will it be possible to keep up the 

pace in forest and packaging operations, which will have 

an important role in generating cash flow for the growth in 

hygiene operations? 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

“I don’t see anything strange about that,” Johansson 

says. “In almost no other company is it only a question of 

going full-speed in all parts of operations. Besides, it’s nice 

to generate money.” 

The strategy is also giving new life to the question of 

SCA’s structure. Why keep all the parts when there is such 

a clear division between hygiene products and the other 

operations? 

“What speaks in favor of keeping the structure is that 

the different parts of SCA are doing as well or better than 

our competitors, so there’s no reason for a change in ownership. 

What speaks against keeping the structure is that 

SCA is not seen in financial markets as a consumer goods 

company so it winds up with the forest analysts, which affects 

the value. 

�� about SCA is 

still limited in some parts of the financial market. “I’ve 

met people in London who know our strong brands 

but not that SCA is behind them,” he says. “We have to 

change that.” 

But there are also other reasons for more closely connecting 

the SCA brand with consumer goods. One of the 

most important is SCA’s strong environmental profile. 

SCA was recently ranked as one of the best companies in 

the world in environmental and social issues by the British 

analyst company Innovest. 

“For consumers in stores, the environmental aspect will 

become more and more important, so they need to know 

what the product and SCA stand for,” Johansson says. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

The contorta pine is a 

newcomer to Swedish 

forests. Planting began 

almost 40 years ago, 

and the new source of 

timber is now coming 

into use in the production 

of sawn wood 

products as well as 

pulp and paper. 

�� 

n the 1960s, many people were 

worried about a future shortage 

of timber in Sweden. That 

made forest companies start 

eyeing the faster-growing varieties 

of trees found in other 

parts of the world. The Canadian 

contorta pine (also called lodgepole 

pine) had already been test-planted 

in a number of smaller stands as early 

as the 1920s and 1930s, but demands 

were growing for a more systematic investment 

to increase total production in 

Swedish forests. SCA was one of the pioneers 

and began growing contorta on a 

large scale in the early 1970s. The seeds 

were carefully selected to fi t the Swedish 

climate. 

“Most of the pine was planted from 

the late 1970s to the mid-1980s,” says 

Åke Westberg, project director at SCA 

Forest Products. “Then the trend eased 

up a bit, but SCA has continued to plant 

it every year, and we will continue to do 

so in the future.” 

��term, contorta can provide 

major increases in production. It 

grows 40 percent faster than Swedish 

�� 

�� 

�� 

pine, and it has been shown to withstand 

damage from moose and fungus 

attacks. “So more contorta pine survive 

to maturity compared with Swedish 

pine,” Westberg notes. 

So far, though, the contorta stands in 

Swedish forests have not advanced that 

far. In about 30 years, at the earliest, the 

oldest plantings will be ready for harvesting. 

But thinning has already started 

in earnest, and that provides a signifi 

cant source of new timber. “About 

200,000 cubic meters of contorta timber 

are now coming out each year from 

thinning in our forests,” Westberg says. 

“And the fi gure will rise toward a halfmillion 

within a decade.” 

�� timber has 

largely been used for the manufacture of 

CTMP, or chemo-thermomechanical 

pulp, the basis of liquidboard material. 

“That’s where contorta has unique 

properties,” Westberg says. “The board 

gets bulky, which means you can reduce 

the weight and keep the thickness. This 

has been used for things like milk cartons, 

where you want a lot of fl exible 

rigidity so that the packages keep their 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

�� 

On our own 

land the target 

is to have 20 

percent of the 

surface we 

harvest each 

year replanted 

with contorta. 

�� 

�� 

�� 

�� 

�� 

shape even when they are stacked on top 

of one another. At the same time, you 

want the weight as low as possible.” 

He explains how the unique properties 

of contorta are due to the fi bers looking 

different than in Swedish pine. The advantages 

have also been made apparent 

in plant tests with bleached sulfate pulp, 

which is used for producing tissue for paper 

towels, toilet paper and the like. The 

contorta fi ber provides a high degree of 

strength even when there is little energy 

used in paper production, which contributes 

to its useful product qualities. 

�� as well, this 

newcomer to Swedish forests has shown 

that it has come into its own. The thicker 

logs will be used for sawing into timber 

and further processing, such as glulam, 

interior panels and other visible wood 

products. “We’ve also investigated the 

properties of the wood in impregnation 

and painting,” Westberg says. “And 

we’ve concluded that contorta has the 

same areas of use as both regular pine 

and spruce.” 

In some cases, contorta has even turned 

out to have better properties than Swed- 

ish varieties of trees. Because it grows 

quickly, there is more space between the 

annual rings, which gives it a different 

structure, and there is also more space 

between each ring of branches, which 

provides advantages when producing 

knot-free products. 

“Nowadays, people usually don’t 

want to have any knots in window 

frames and other products. So the knots 

are cut away and the ends glued together,” 

Westberg says. “If there’s a lot 

of space between the knots, the results 

from sawing will be better because less 

material will be lost.” 

��it will take 10 to 20 

years before the contorta trees are big 

enough for sawing. Westberg is convinced 

that the Canadian pine will take 

on an ever growing role in paper and 

pulp plants as well as sawmills. Today 

SCA has about 280,000 hectares of 

contorta planted, which is almost half 

the total area of contorta in Sweden. 

“On our own land the target is to have 

20 percent of the surface we harvest 

each year replanted with contorta,” 

Westberg says. 

��

�� 

�� 

�� 

�� 

The new CEO’s speech and a spruce to take home 

were two memorable features of SCA’s Annual General 

Meeting on April 8. 

�� 

�� 

alight rain fell on shareholders 

as they made 

their way to SCA’s Annual 

General Meeting 

on a Tuesday afternoon in April. In accordance 

with tradition, the meeting 

was held on the campus of Stockholm 

University. Inside the Aula Magna 

lecture hall, nearly 400 participants 

were greeted with birdsong and spring 

fl owers. 

Shareholders were eager to hear 

what the new CEO, Jan Johansson, 

had to say. He told how he started his 

career at SCA 38 years ago in the form 

of a summer job in Sundsvall. He also 

noted the improvement in earnings, 

largely the result of higher prices. 

Both Sverker Martin-Löf, Chairman 

of the Board, and Johansson 

mentioned the Procter & Gamble 

transaction as one of the most important 

events of 2007. 

Johansson also talked about sustainable 

development, telling shareholders 

that after the meeting they 

would receive a tiny spruce tree, which 

they were encouraged to take home 

and plant. That was one way of doing 

one’s share in reducing carbon emissions, 

as growing spruce absorb more 

carbon dioxide than mature forests. 

The audience was told to be careful 

about keeping the plant indoors, as it 

can grow up to 25 meters tall.

�� 

�� 

1. When did you become a shareholder? 

2. Why are you attending the Annual General Meeting? 

3. What do you think the share will do? 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�Drypers Newborn, the fi rst disposable 

diaper product for newborn 

babies in the economy segment, was 

recently launched in Singapore, 

Malaysia and Thailand. 

Drypers Newborn was specially 

developed for care of newborn 

babies’ sensitive skin, focused on 

overall softness and comfort. With 

the launch last year of both Drypers 

Newborn and Drypers XXL – a 

larger diaper for bigger babies, with 

stronger absorption capacity – Drypers 

now offers consumers in 

Southeast Asia a complete diaper 

range that meets babies’ needs at 

every stage of growth. 

�� 

�� 

�The new equipment on the stretch 

sides machine at Swanson, New 

Zealand, is able to produce stretch 

sides on Treasures Ultra diapers. Treasures 

was recently launched in the New 

Zealand market in Crawler, Walker, 

Toddler and Junior sizes, and its 

stretch sides are proving a popular 

feature in nappy design. 

Barrie McDermott, manager engineering, 

said the new equipment 

ensures that Treasures product development 

is able to better respond to worldwide 

trends. 

“Globally, there is a signifi cant movement 

towards a stretch diaper”, he says. 

��

� 

�� 

Libero is repeating last year’s hit with a specially 

designed diaper. This year’s collection was designed by 

the young Swedish designer Karolina Kling. As with 

last year, the diapers are being sold in a limited edition. 

�� diaper 

is more like regular underwear, 

such as panties or underpants. The 

spring collection includes six different 

patterns that recall the fashions 

of the 1970s with creative fi gures 

and shapes. 

“My design style is the same, 

whether I’m designing clothes or 

diapers,” Kling says. “One of my 

best friends, who just had a baby, 

was my sounding board. She likes 

the diaper patterns, and I hope 

they’ll appeal to other young, fashion 

conscious parents.” 

She describes her patterns as be- 

�� 

longing to a make-believe world 

where different fi gures meet. She 

tells how she was inspired in part by 

her collection of miniature objects, 

plastic fi gures and Japanese toys. 

The diapers have the same fi t and 

quality as other Libero Up&Go diapers, 

and the price is also the same. 

Last year, the entire production 

sold out quickly. The specially designed 

Up&Go diapers will be sold 

in the Nordic countries, the Baltic 

states and Hungary. Linus Clausen, 

head of Nordic marketing for Libero, 

says he expects the diapers to be 

sold out by the second half of June. 

�� 

�� 

��

�SCA’s graphic paper mill in Laakirchen 

has launched a new paper, 

Grapho Verde, with 50 percent recycled 

fi bre. The paper is a result of the 

increased environmental awareness. 

“We have launched a paper grade, 

Grapho Verde, with high content of 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

Grapho Verde meets demand for more 

environmentally friendly paper 

de-inked pulp, says Mark Lunabba, 

mill manager at SCA Laakirchen in 

Austria. “As a result of the favorable 

demand for this paper and our positive 

experiences of using a high proportion 

of recovered paper, we now 

need to increase our capacity for de- 

�� 

�� 

�� 

�� 

�The 2nd Global Forum on Incontinence 

(GFI), an international 

platform for debate and shared 

insight into incontinence, met in 

Nice, France, this April. The event is 

the second such meeting supported 

by SCA and its brand TENA. The 

meeting gathered together over 250 

politicians, health administrators, 

care providers and patient groups. 

Their shared goal was to address the 

intricate issues involved in balancing 

health economics with the quality of 

life for patients and their care givers. 

“There is a growing concern that 

the political will, funding provision, 

access to services, and clinical best 

practice relating to incontinence issues 

are potentially failing patients,” said 

Professor Ian Milsom of the Sahlgrenska 

Academy at the University of 

Gothenburg, Sweden, and chairman 

of the GFI. 

The clear consensus was that the 

issue needs to be higher on the healthcare 

agenda. Speakers gave examples 

from several countries where multidisciplinary 

and more sensitive approaches 

to incontinence reduced the 

stress, inconvenience and prejudices 

faced by those suffering the condition. 

inked pulp.” The Laakirchen facility 

invests EUR 10 million to increase 

the percentage of recycled fi bre in its 

products. The aim is to reduce the use 

of pulp-wood raw material, energy 

consumption and thus the carbon dioxide 

emissions without compromising 

the high quality of the print results. 

GraphoVerde is an uncoated 

paper used for printing magazines, 

catalogues and supplements. 

��

�� 

�� corrugated 

to 

board is cheeky, bold and fashionable – 

and it comes in large part from recycled 

paper. Every ton of paper that’s recycled 

saves 17 trees, 4,200 kilowatt hours of 

electricity and 7,000 liters of water. And 

�� 

more importantly, carbon dioxide emis- 

�� 

sions in the atmosphere are reduced. 

Sergei Gerasimenko came to Sweden in 

1990 from Odessa in what was then the 

Soviet Union, today Ukraine. Two years 

later, he began designing and producing 

furniture made of corrugated board. 

The sofas in ReturDesign’s premises 

�� 

in Stockholm’s Kungsholmen district 

�� 

are stable and surprisingly beautiful. 

�� 

�� 

The furniture’s appearance varies more 

�� 

than you might think. 

�� 

One armchair is made of cardboard 

with a barrier layer, which gives it a 

beautiful luster. Another is upholstered 

in gray fabric. A third is painted red. 

Cube-shaped stools have dots on their 

sides to resemble giant dice. There are 

�� 

��

�� 

�� 

also bookshelves, chairs and tables, all 

made of corrugated board. 

“For me, it was almost criminal not to 

make furniture that is degradable,” Gerasimenko 

says. “Making furniture that lasts a 

thousand years, when we humans have a hundred 

at most, is sick. And all this in a society 

where everyone redecorates and gets new furniture 

every fi ve years or even sooner. 

“People don’t understand what harm 

they’re doing to nature when they change 

their furniture, buy goods from the other 

side of the globe or throw bandages down 

the drain. We’re destroying our planet at a 

terrible rate.” 

About 40 percent of the corrugated board 

used in the furniture comes from recycled 

paper. Long fresh fi bers are needed on the 

surfaces to make the cardboard stronger 

and fi rmer so it can be folded. Fibers from 

recycled paper are broken down and can 

easily crumble into pieces. 

��

�� 

ReturDesign’s main niche is interiors 

for trade fairs and exhibitions. 

“Then corrugated board is unbeatable,” 

he says. “The furniture is easy to transport 

because of its light weight, easy to set 

up, and it can quickly be dismantled.” 

Gerasimenko designs all the furniture, 

which can be custom-ordered. If 

someone has ordered a bookshelf two 

meters tall, he might ask if it’s OK to 

make it eight centimeters higher or two 

centimeters shorter so the material can 

be used optimally. 

The strangest thing is a casket made 

of corrugated board, a piece Gerasimenko 

doesn’t like to handle but still 

makes on order. 

He tries to make all the furniture 

so that it can be folded or dismantled 

to be shipped more cheaply, minimizing 

the environmental impact by using 

fl at packages. 

When its time is up, the furniture is 

sent to the paper recycling station, in 

keeping with the times. 

“Corrugated board is durable and 

ecologically sustainable,” Gerasimenko 

says. 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

Profi t rose to SEK 1,9 billion 

��SCA 

increased its profi t during the fi rst quarter 

this year despite rising prices for raw 

materials. Behind the increase in profi t 

are better earnings in Tissue and Personal 

Care operations. 

SCA had profi t before tax of SEK 

1,946 million for the fi rst three months 

of the year, compared to profi t of SEK 

1,863 million for the same period last 

year. At the same time, sales increased 

to 27,513 million, compared to SEK 

25,615 million. 

“The SCA Group increased net sales 

by 7 percent, driven by acquisitions 

and favorable sales development, especially 

in emerging markets, where sales 

growth was 14 percent. These factors, 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

along with an improved product mix, 

contributed to 8 percent growth in operating 

profi t,” says CEO Jan Johansson. 

The improvement in profi t for the 

Group came despite higher costs for raw 

materials and energy. The Tissue business 

area increased its operating profi t 

by a full 61 percent as a result of acquisitions 

and price increases. Personal Care 

increased its operating income by 10 

percent due to higher volume and a better 

product mix. 

��, however, 

higher costs for raw materials and 

energy resulted in a 5 percent decrease 

in its operating profi t, excluding the divestment 

of its North American packa- 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

ging operations. Earnings for the Forest 

Products business area were on par with 

those for the preceding year. 

In the Q1 report, corporate senior 

management team noted that the 

economy has weakened in the US and in 

some segments in Europe in the wake of 

fi nancial uncertainties, which makes it 

diffi cult to compensate in every segment 

for price increases for raw materials. 

However, tissue and personal care products 

are relatively insensitive to fl uctuations 

in the economy. 

“It’s been a good start to the year 

for most of our operations. For Packaging, 

however, the costs increased by 

the end of the period, which affected 

the profit in a negative way.” 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

��

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� |�� 

�� |� �� 

�� |� �� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

�� 

be seen � be moved � be secure 

�� 

Pravda.dk

�� going to happen. 

�� ®� 

TENA Ultimate Pads provide outstanding protection. They feature a 

multi-inlet top sheet that absorbs liquid quickly to help keep you dry 

and comfortable. And like all TENA products, they are specially designed 

with micro-beads inside the pad to quickly lock in liquid and fight odour. 

Real Protection. For real life. 

Found in aisles where bladder control products are sold. Consult your doctor about bladder control problems. TENA® is a registered trademark of SCA Hygiene Products.

Magazine (PDF) - SCA

Create successful ePaper yourself

Delete template?

Save as template?