Georgia-Pacific

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Georgia-Pacific LLC is an American pulp and paper company and subsidiary of Koch Industries. Based in Atlanta, Georgia the company is one of the world's leading manufacturers of tissue, pulp, paper, packaging, building products, and related chemicals with "approximately 300 manufacturing facilities across North America, South America, and Europe." In 2005 the company was acquired by Koch Industries.[1]

Koch Wiki

The Koch brothers -- David and Charles -- are the right-wing billionaire co-owners of Koch Industries. As two of the richest people in the world, they are key funders of the right-wing infrastructure, including the American Legislative Exchange Council (ALEC) and the State Policy Network (SPN). In SourceWatch, key articles on the Kochs include: Koch Brothers, Koch Industries, Americans for Prosperity, American Encore, and Freedom Partners.

Support for the American Legislative Exchange Council

Georgia-Pacific was a ALEC 2011 Annual Meeting Louisiana Host Committee member.[2]

About ALEC
ALEC is a corporate bill mill. It is not just a lobby or a front group; it is much more powerful than that. Through ALEC, corporations hand state legislators their wishlists to benefit their bottom line. Corporations fund almost all of ALEC's operations. They pay for a seat on ALEC task forces where corporate lobbyists and special interest reps vote with elected officials to approve “model” bills. Learn more at the Center for Media and Democracy's ALECexposed.org, and check out breaking news on our PRWatch.org site.


Georgia-Pacific Facilities

Georgia-Pacific owns and operates the following mills[3]:

  • Naheola mill in Pennington, AL, which began operations in 1958. Currently, the principle products from the Naheola mill include both plate stock and cup stock for use in the food service market.
  • The Crossett mill, located in Crossett, AR, produces bleached paperboard grades, including folding carton, plate stock, bleached linerboard, and various cup stock grades.
  • The recently acquired Brewton mill, located in Brewton, AL, produces folding carton, blister packaging, and skin packaging grades.

Existing Coal Plants

Plant Name State Year(s) Built Capacity
Fort James Muskogee Mill Power Plant OK 1978, 1979, 1982 114 MW

Fort James provides power to Georgia-Pacific's Muskogee paper mill.

History

Georgia-Pacific was founded by Owen Robertson Cheatham in 1927 in Augusta, Georgia as the Georgia Hardwood Lumber Co. Over the years it expanded, adding sawmills and plywood lumber mills. The company acquired its first west coast facility in 1947 and changed its name to Georgia-Pacific Plywood & Lumber Co. in 1948. In 1956 the company changed its name to Georgia-Pacific Corp. In 1957 the company entered the pulp and paper business by building a kraft pulp and linerboard mill at Toledo, Oregon. The company continued to make acquisitions, including US Plywood Corp. in 1987, Great Northern Nekoosa Corp. in 1990 and the Fort James Corp. in 2000. In August 2001, Georgia-Pacific completed the sale of four uncoated paper mills and their associated businesses and assets to Canadian papermaker Domtar for US$1.65 billion.[4]

Hurt by asbestos-related legal settlements, falling lumber prices, and rising energy costs, Georgia-Pacific was acquired by Koch Industries in 2005 for $21 billion.[5] Georgia-Pacific was removed from the NYSE (it had traded under the symbol GP) and shareholders surrendered their shares for about $48/share.

The Georgia-Pacific Tower in Atlanta continues to house the company's headquarters.

Coal Products

At the Coal Prep 2008 Exhibition and Conference, Georgia-Pacific Chemicals LLC unveiled its new patent-pending Talon (TM) Mining Reagents product line in conjunction with its distributor, Freedom Industries. According to Georgia-Pacific, the use of Talon reagents improve coal yields by selectively binding to clay in the flotation separation process, reducing ash content and resulting in a low-moisture, high-BTU/ton coal.[6]

Pre-merger Financials

Financial Information
  2005* 2004 2003
Net Sales
(US$M)
Private 19,656 20,255
Net Income (Loss)
(US$M)
Private 623 254
* Georgia-Pacific was acquired by Koch Industries, Inc., in December 2005. The company no longer publicly reports financial information

Environmental Issues

Based on year 2000 data,[7] researchers at the Political Economy Research Institute of the University of Massachusetts named Georgia-Pacific as the fifteenth-largest corporate producer of air pollution in the United States. In that year, Georgia-Pacific facilities released more than 22,000,000 pounds of toxic chemicals into the air.[8] Georgia-Pacific has also been linked to some of the United States' worst toxic waste sites.

Like all large manufacturers, each year the U.S. Environmental Protection Agency requires Georgia-Pacific to report publicly quantities of certain chemicals that facilities release into the air, water, and onto land. For the most recent reporting period – 2006 (as of Spring 2008) – the company showed a 12 percent decrease in these releases from 2005. From 2000 to 2006, Georgia-Pacific has reduced its total releases and transfers of these specified compounds by 26 percent.

In 1995, the company drew criticism for allegedly pressuring the U.S. Senate Judiciary Committee to approve legislation that would allow Georgia-Pacific to "avoid installing pollution gear at many of its plants."[9]. In 1996, Georgia-Pacific agreed to pay for at least US$26,000,000 in environmental measures and $6,000,000 in fines to settle allegations that particle emissions from its facilities endangered people and crops in the southeastern U.S.[10]

Georgia-Pacific is also involved in several remediation sites, many of which were landfills used by other manufacturers, municipalities and other businesses, and individuals. Two of the primary remediation sites - the Fox River in Wisconsin and Kalamazoo River in Michigan - involve the cleanup of PCBs. Many years ago, GP predecessor companies and others recycled wastepaper, including carbonless paper, into other paper products. At the time, carbonless paper was made with a chemical containing PCBs. The PCBs were washed from the paper and discharged in the mills' wastewater to the rivers.[11]

In 2007, the United States Environmental Protection Agency announced legal agreements among the EPA, Michigan, Georgia-Pacific, and Millennium Holdings requiring the companies to clean up an estimated $21,000,000 worth of environmental damage to the Plainwell Impoundment Area. Another settlement required an additional $15,000,000 of environmental work on the Kalamazoo River Superfund site. [12]

Directors

Accessed November 2007: [13]

  • David L. Robertson, chairman of the board, Georgia-Pacific, and president and chief operating officer, Koch Industries
  • James Hannan, CEO and president, Georgia-Pacific
  • Bill Caffey, executive vice president, operations excellence and compliance, Georgia-Pacific
  • Steve Feilmeier, executive vice president and chief financial officer, Koch Industries
  • Richard Fink, executive vice president, Koch Industries
  • Dale Gibbens, vice president of human resources, Koch Industries
  • Charles Koch, chairman and chief executive officer, Koch Industries
  • James L. Mahoney, vice president, operations excellence and compliance, Koch Industries
  • Joseph W. Moeller, vice chairman, Koch Industries
  • John Pittenger, senior vice president, Koch Industries

Contact Information

Georgia-Pacific LLC
133 Peachtree Street, N.E.
Atlanta, GA 30303
Phone: (404) 652-4000
Website: http://www.gp.com

Resources and articles

Related Sourcewatch articles

References

  1. Company Overview, Georgia-Pacific Corporation, accessed September, 2009.
  2. [American Legislative Exchange Council, 2011 Conference Sponsors, conference brochure on file with CMD, August 11, 2011]
  3. "Mill Facilities" Georgia-Pacific, September 2009
  4. "Georgia-Pacific Group has completed the sale of a portion of its pulp and paper assets, including its standalone uncoated fine paper mill at Ashdown, to Domtar Inc. for $1.65 billion.", Arkansas Business, August 13, 2001.
  5. "US: Koch Buys Georgia-Pacific" Bloomberg.com, November 14th, 2005
  6. "Georgia-Pacific Launches Talon(TM) Mining Reagents at Coal Prep 2008 to Help Coal Companies Meet Growing Global Demand" PR Newswire, April 28, 2008
  7. "Political Economy Research Institute Toxic 100 Corporate Toxics Information Project Technical Notes" Univ of Mass Website, September 2009
  8. "THE TOXIC 100: Top Corporate Air Polluters in the United States" Political Economy Research Institute Website, September 2009
  9. "Tall Timber and the EPA" New York Times, May 21, 1995
  10. "U.S. and Georgia-Pacific Settle Environmental Case" New York Times, July 19, 1996
  11. "Green Bay Operations/Environmental" Georgia-Pacific Website, September 2009
  12. "EPA: Georgia-Pacific to fund new cleanup work at Michigan's Kalamazoo River Superfund Site" Environmental Protection Agency, September 2009
  13. Board of Directors, Georgia-Pacific Corporation, accessed November 24, 2007.

External Resources

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