Document 198719

4.2011 A MAGA ZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS
SHAPE
SCA proposes
Georgiato Georgia
Pacific
Good
G
ood against
bad in the
BACTERIA
WAR
FOCUS:
GLOBAL
G
LOBAL
HOTTIES
O
S
How to enter
new markets
New Orleans after Katrina
GREEN
STUDENTS
REBEL
Elisabet Tapio Neuwirth
Shape is a magazine from SCA,
primarily geared toward customers,
shareholders and analysts, but also
for journalists, opinion leaders and
others interested in SCA's business
and development. Shape is
published four times a year. The
next issue is due in March 2012.
Publisher
Camilla Weiner
Managing Editor
Marita Sander
Editorial
Anna Gullers, Göran Lind,
Anne Hammarskjöld,
Appelberg
Design
Markus Ljungblom, Appelberg
Printer
Sörmlands Grafiska AB.
Katrineholm
Address
SCA, Corporate Communications,
Box 200, 101 23 Stockholm,
Sweden.
Telephone +46 8 7885100
Fax +46 8 6788130
SCA Shape is published in Swedish, English,
Spanish, German, French, Dutch and Italian.
The contents are printed on GraphoCote 90
gram from SCA. Reproduction only by permission of SCA Corporate Communications. The
opinions expressed herein are those of the
authors or persons interviewed and do not
necessarily reflect the views of the editors or
SCA. You can subscribe to SCA Shape or read
it as a pdf at www.sca.com.
Address changes can done at
www.sca.com/subscribe or by e-mailing
[email protected]
OUR WRITER ON
GOOD BACTERIA
IN THIS ISSUE of Shape, journalist
Elisabet Tapio Neuwirth takes a
closer look at probiotics, the bacteria that are beneficial to human
health (page 20).
Tapio Neuwirth lives with her
family in Sigtuna, just outside of
Stockholm.
In recent years, she has increasingly written about research,
medicine and health – topics that
require curiosity, accuracy and a
dose of humility during encounters with patients, researchers
and doctors. Among other as-
signments, she has been a project
manager for a Swedish cardiology journal and written numerous theme publications about
cardio-pulmonary diseases for the
Swedish Cardio-pulmonary Foundation, one of which was recently
distributed as an audiobook.
Tapio Neuwirth tries to live in
the here and now by socializing
with friends and family and
sampling good music, food and
books. For more physical gratification, she enjoys strength training
and walking.
THE CO-WORKER
SCA’S SOCIAL MEDIA SITES
Youtube.com/
SCAeveryday shows
commercials and videos from SCA’s
press conferences, presentations
and interviews with executives and
employees.
Slideshare.com/
SCAeveryday
is for investors and analysts, who
can download presentations from
quarterly reports and annual general
meetings.
Facebook.com/SCA is
intended to attract talent,
engage users and provide information
in a way that complements sca.com.
Scribd.com/
SCAeveryday
makes some 50 publications available,
including SCA’s sustainability report,
its “Hygiene Matters” report and
Shape magazine.
4.2011 A MAGA ZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS
SHAPE
SCA proposes
to GeorgiaPacific
Good against
bad in the
BACTERIA
WAR
FOCUS:
GLOBAL
HOTTIES
How to enter
new markets
New Orleans after Katrina
GREEN
STUDENTS
REBEL
Cover photo:
Upload / Nordicphotos
2 SCA SHAPE 42011
Twitter.com/SCAeveryday
provides a good summary of
every thing happening at sca.com and
in SCA’s social media. The aim is to
provide various users, journalists and
bloggers with relevant information.
Flickr.com/
HygieneMatters
supports the launch of the global
report “Hygiene Matters” with images.
30
Wheels on
wood.
CONTENTS
06. Markets in the limelight
Shape takes a look at the new economic dynamos in the world.
13. SCA in new markets
Exciting growth opportunities in BRICIT countries.
16. Loos on his mind
THE MILKY WAY.
A baby's bacterial flora
comes with milk.
Eric Treurniet turns the public toilet into a shopping experience.
20
20. Good bacteria against bad
Probiotics are bacteria that can make you healthier.
22. Student revolution in the US
The hurricane brought a green awareness to New Orleans students.
27. Technology improved
Östrand pulp mill replaces fuel oil with eco-friendly wood powder.
32. Nothing stays in Antarctica
A sensitive environment means all waste must be removed.
40. Innovation mood
SCA knows how to keep Moët & Chandon champagne cool.
04
ALSO....
SCA FLIRTS with Georgia-Pacific – page 4
GROWTH OPPORTUNITIES in focus – page 37
12 HOURS with Elin Olofsson – page 38
NEWS FROM SCA – page 41– 43
AT THE DOORSTEP.
SCA partners with home care
company in China.
DO YOU KNOW...
...how often scientists on Antarctica receive supplies? See page 32.
SCA SHAPE 32011 3
UPDATED
SCA PROPOSES TO GEORGIA-PACIFIC
SCA HAS DELIVERED a binding offer
for Georgia-Pacific’s European tissue
operations worth EUR 1.32bn. GeorgiaPacific’s European tissue operations have 5,000
employees and 15 production sites in seven
countries and had sales of EUR 1.25bn in 2010.
Consumer tissue accounts for some 60 percent of sales from Georgia-Pacific's European
tissue operations, while Away-From-Home tissue
accounts for about 30 percent. In their consumer
tissue business, close to 70 percent of sales are
branded products.
“The business is a very good strategic fit for us
and will strengthen our product offering and geographic reach in Europe,” says Jan Johansson,
SCA’s president and CEO. “The deal will also lead
to substantial synergies.”
Annual synergies are estimated at EUR 125m,
with full effect in three years after closing. With
fully realized synergies, earnings per share are
expected to increase by about 1.70 SEK.
“It is an aggressive move in a defensive market,”
Claes Rasmuson, an analyst at Swedbank, told
the news agency Direkt.
!
Close to 70 percent of
Georgia-Pacific's sales
in consumer tissue are
branded products.
China
CHINESE ELDERLY
CARE RIGHT TO THE DOOR
SCA IS PARTNERING WITH a Singapore
company, Econ Healthcare Group, to
provide door-to-door home nursing
services for the elderly in China.
“For cultural reasons, most elderly people in China prefer to stay at
home rather than in elderly homes,”
says Stephan Dyckerhoff, president
of SCA Hygiene North Asia. “This
service is in line with the Chinese
government’s plan to help 90 percent
of elderly people stay in their homes.”
A team of 10 nurses has already
been recruited in Shanghai and
trained for nearly three months.
Econ Healthcare Group is a leading
healthcare provider based in
Singapore.
SHARE OF SALES
Forest Products
Personal Care
Forest Products
Tissue
Packaging
16%
36%
Period: first 9 months of 2011
Personal Care
Tissue
Packaging
22%
23%
25%
4 SCA SHAPE 42011
SHARE OF OPERATING PROFIT
21%
Period: first 9 months of 2011
27%
30%
SEPTEMBER
Nordic
TISSUE
MACHINE
UPGRADE
SCA QUALIFIES FOR CARBON
DISCLOSURE LEADERSHIP INDEX
SCA is investing SEK
460m in a tissue machine
upgrade in the US to meet
demand for premium
products in that market.
The machine has an annual capacity of 70,000
tons, which will remain
unchanged. Production is
estimated to start during
late 2012 or early 2013.
SCA HAS QUALIFIED FOR THE Carbon Disclosure
Leadership Index for the second year in a row. The
index recognizes 26 Nordic companies with the
best reporting practices and performance to
tackle carbon dioxide emissions and climate
change.
“We are proud to be included in the
index,” says Patrik Isaksson, VP Environmental Affairs. “It’s a recognition that
SCA has good internal data management and handles risk and opportunities in relation to climate change in the
right way.”
The index is based on a study of 260
companies in the Nordic countries that
were asked about their information disclosure practices and performance on
CO2 emissions and climate change.
OCTOBER
EFFICIENCY
PROGRAM
Read more: www.cdproject.net
TENA AND TORK
INCREASE MARKET SHARES
Net sales for the first nine
months of 2011 rose 6 percent, excluding exchange rates
and divestments, as a result
of higher prices and volumes.
Including currency effects and
divestments, sales declined
1 percent to SEK 79,001m
(79,913).
Operating profit for the first
nine months of 2011 declined
1 percent, excluding restructuring costs and currency effects,
compared with the year-earlier
period. Higher prices and volumes, along with cost savings,
compensated for most of the
slightly more than SEK 3bn
higher raw material costs, and
higher costs for energy and
distribution. The strengthening
Did you wash
of the Swedish krona had
your hands extra
carefully on Global Handa negative impact of SEK
washing Day, October 15?
700m on operating profit.
SCA and millions of
Growth in hygiene
people worldwide
operations remained
celebrated it.
favorable in emerging markets, where sales of Tissue and
Personal Care products rose
10 and 12 percent, respectively. So far this year, SCA’s global
brands TENA (incontinence
care) and Tork (AFH tissue)
have increased their market
shares.
SCA initiated a restructuring
program during the third
quarter, primarily in hygiene
and packaging, which will
generate about SEK 700m
in annual savings, within a
two-year period.
An efficiency enhancement program was
launched during the third
quarter, primarily in the
Hygiene and Packaging
operations. Total restructuring costs will amount
to SEK 1,400m, including SEK 900m in items
affecting cash flow. The
measures will lead to annual savings of about SEK
700m in a two-year period.
NOVEMBER
PARTNER
DOWN UNDER
SCA forms a joint venture
partnership for its existing
operations in Australasia
with the Australian company Pacific Equity Partners
(PEP).
“This deal secures our
access to local competence and the local capital
market and enables a
faster development of
the operations”, says Jan
Johansson, CEO SCA.
1 SEK=0,11 EUR
SCA SHAPE 32011 5
FOCUS: NEW MARKETS
FEATURE
The new high-rise
buildings are symbols
for the booming economy
in China.
Economic
dynamos
SHAKE THE WORLD
The BRIC countries and other emerging markets are growing
at rates that far eclipse those of the developed world. With
their booming industrial output and rapidly expanding middle
classes, foreign companies are eager to be present on the
market. SCA has two strategies when making an entrance.
TEX T: NANCY PICK PHOTOS: PER-ANDERS PETTERSSON, GETT Y IMAGES
6 SCA SHAPE 42011
Thousands of
Chinese workers
come from rural areas to
cities to work, like here
in central Lanzhou,
China.
SCA SHAPE 42011 7
STEPHAN SCHACHER, GALLERYSTOCK
FOCUS: NEW MARKETS
KNOWN BY THE ACRONYM BRICS, or BRICITs,
they have the power to make the world’s current
richest countries shake in their shoes. Brazil,
Russia, India and China (sometimes Indonesia
and Turkey are included) are on the rise. Together, they make up 40 percent of the world’s
population and a quarter of its land area.
By 2035, the combined economies of the six
BRICIT countries will likely become larger than
those of the world’s seven leading industrialized
countries now. Of course, to succeed they will
need stable politics and a dose of good luck, with
global climate change something of a wild card.
Across the world, the BRICITs and other
countries experiencing rapid industrialization
are called emerging markets. Typically, these
dynamic economies boast an expanding middle
class, a key factor for investors. By 2020, China
alone is poised to have 1 billion citizens with
middle-class incomes, whose purchases could
drive economic expansion on a global scale.
One complicating factor is that private consumption does not always match economic
growth. In Russia, people tend to spend much
of what they earn, partly because bank interest
rates on savings fail to keep pace with inflation.
In China, by contrast, households have a high
rate of savings, in part because people must pay
for a portion of their medical care. Recently, the
Chinese government has said it plans to encourage more consumer spending.
In addition to the BRICITs, economic analysts list as many as 40 emerging markets worldwide. Another leading dynamo is Mexico along
with smaller markets like Egypt, Nigeria, the
Philippines and Vietnam growing very fast.
8 SCA SHAPE 42011
In Brazil, the SCA
category with by far
the biggest potential is
incontinence care.
SCA tapping
NEW MARKETS
BRAZIL
Gross national
income, per capita:
9,400 US dollars
(EUR 6,266)
Economic growth
rate, 2011: 3.9 percent
Population: 195 million
Aged 65+: 7.4 percent
Shape magazine took a look at SCA’s business in four of the
BRICIT countries, Brazil, Russia, China and Turkey.
Of them, three boast annual per capita incomes above 9,000
US dollars, indicating a growing middle class. Although
China’s per capita income remains much lower, it is rising
fast, and its economy remains red hot.
TEX T: NANCY PICK PHOTO: GALLERYSTOCK
BRAZIL
A
LTHOUGH YOUNG com-
pared to Europe,
Brazil’s population is
aging, with about 7 percent currently aged 65 or older. That’s a completely different picture from 20 years ago, when
the elderly population was only a tiny minority.
Brazil represents a new market for SCA. In
September 2011, SCA acquired Pro Descart, a
family-owned manufacturer near São Paolo
with the No.2 position in Brazil’s incontinence
care market.
“We think that, in Brazil, the category with by
far the biggest potential is incontinence care,”
says Jan Schiavone, president of SCA South
America. “Now that we have our own company,
we intend to start growing fast.”
As a factor in SCA’s favor, Brazil’s market for
incontinence products remains fragmented,
divided among many small companies. A typical
family operation might manufacture incontinence care products for a limited local market,
using a secondhand machine.
Another key factor is government
support. “The Brazilian government
has launched a reimbursement program for
healthcare necessities, including incontinence
care, and this should help increase our sales,”
Schiavone says.
In terms of sales focus in Brazil, SCA is looking to individuals rather than to institutions like
nursing homes. “In Latin America, most elderly
people are cared for at home by their families,”
Schiavone says. “That means most sales of
incontinence care products are made through
pharmacies and retail chains.”
Besides incontinence care products, other
areas with strong sales potential include baby
diapers and Away-From-Home tissue, such
as restaurant napkins. “Brazilians are starting
to spend more and more time out of their
homes,” he says. “Big chains like Starbucks
and Applebee’s are coming, and that means
this category will grow.”
SCA SHAPE 42011 9
If you know how to deal
with it, the inefficiency
provides opportunities
for good margins.
RUSSIA
S
INCE THE FALL of
Communism two decades ago, Russia’s consumers have become vastly more
sophisticated, demanding choice and
higher quality. While its middle class has grown,
the country nonetheless displays some unusual
consumer behavior, shaped partly by the huge gap
between rich and poor. In addition, people tend to
spend whatever money they have, making buying
patterns somewhat inconsistent.
Business in Russia brings both challenges and
rewards. “In Russia, competition in many areas
remains relatively weak, but you have a lot of other
‘enemies,’ like inefficiency and corruption,” says
Ingolf Braun, general manager of SCA Hygiene
Russia. “In fact, if you know how to deal with it,
the inefficiency provides opportunities for good
margins.”
SCA HAS BEEN DOING BUSINESS in Russia for 17
years, longer than in emerging markets like Brazil,
China or Turkey. SCA’s biggest Russian position is
in tissue, with double-digit growth figures in the
1st half of 2010.
SCA first entered the Russian tissue market
in the mid-1990s, launching Libresse (feminine
care) and Libero (baby diapers). Then in 1998,
SCA purchased a tissue mill in Svetogorsk, close
10 SCA SHAPE 42011
to the Finnish border. Up until the
mid-1990s only one type of toilet paper
had been available, a very basic one-ply
product. Initially, that was what SCA produced,
becoming a market leader. Over time, as consumers began demanding higher quality, SCA began
producing two- and three-ply toilet tissue, as well
as Zewa hankies and household paper towels.
NOT LONG AGO, SCA began building its own facto-
ries in Russia. In 2010, SCA completed construction of its Sovetsk tissue mill south of Moscow
that produces some 30,000 tons of toilet tissue
annually. Plans call for tripling its capacity in 2013
by installing a second paper machine with a capacity of 60,000 tons per year, cementing SCA’s No.1
position in the market.
In 2010, SCA opened a personal care factory in
Veniov, where it manufactures Libero baby diapers
and TENA incontinence care products. In baby
diapers, says Braun, “the big boom is over, as there
are not as many babies being born, and market
penetration has reached a fairly high level. Now,
growth is driven more by an increasing share of
premium qualities.”
As for the incontinence care market, “penetration is very low, and the market could grow up to
20 percent per year. We have the ambition to make
TENA the No. 1 brand in Russia.”
NORBERT WIESNETH, GALLERYSTOCK
FOCUS: NEW MARKETS
RUSSIA
Gross national
income, per capita:
9,900 US dollars
(EUR 6,599)
Economic growth
rate, 2011: 4 percent
Population: 142 million
Aged 65+: 13 percent
The Russians like it
sophisticated and
classy. The gap between
rich and poor in Russia is
big, but a growing number of Russians demand
premium products.
SCA SHAPE 42011 11
FEATURE
TURKEY
Gross national
income, per capita:
9,900 US dollars
(EUR 6,599)
Economic growth
rate, 2011: 8.8 percent
Population: 73 million
Age 65+: 6 percent
The young Turks
are modern and urban
and like to shop.
MARK HORN, GALLERYSTOCK
12 SCA SHAPE 42011
FOCUS: NEW MARKETS
TURKEY
Making an
A
YOUTHFUL NATION with a high birth rate,
Turkey continues to rapidly modernize
and urbanize, while seeing tremendous economic growth. Fired by entrepreneurial energy, the country has
an expanding middle class enjoying its newfound
purchasing power. Women, however, remain underrepresented in the workforce.
In Turkey, SCA is moving fast into a broad range
of hygiene products, with baby diapers and feminine protection taking priority, while incontinence
care shows room for rapid growth.
“Turkey is very dynamic,” says Håkan Molin,
vice president for SCA Middle East, Africa and
Turkey. “It’s an interesting place for us to be, a potential hub for big and small markets in the Middle
East and Central Asia.”
In July of 2011, SCA bought 50 percent of Komili,
the fourth-largest producer of baby diapers in
Turkey. Komili – owned by Yıldız Holding, the largest Turkish food group – sells baby diapers under
the Baby Star brand and feminine protection under
the Rozi brand. In Turkey, sales of these categories
continue to grow.
EVEN MORE INTERESTINGLY, Komili also produces
toiletries like soaps and shampoos, providing an
opportunity for SCA to expand its hygiene offering.
“It’s exciting for us to enter a new category,”
Molin says.
Also in the summer of 2011, SCA acquired 95
percent of San Sağlık, the second-largest producer
of incontinence care products in Turkey. Under its
Glory brand, the company sells mainly to hospitals,
pharmacies and medical supply stores. Distribution through retail chains remains a promising
option, still unexplored.
Initially, SCA considered entering the Turkish
market more than a decade ago, but it got discouraged by the country’s fi nancial crisis of 2000-2001.
Since then, the country has worked hard to stabilize its banking system and keep inflation under
control. “Investing in Turkey is not without risks,”
says Molin, “but the country’s track record over the
past 10 years has been extraordinarily strong.”
ENTRANCE
MARIA DURON
SCA vice president for
strategy processes
When entering a hot
new market, local
partnerships are crucial
for SCA.
TO RUSH IN and build a manufac-
turing plant is not SCA’s strategy when it wants to enter a new
market.
Before choosing a site, SCA
studies the global landscape,
looking for countries with a rising
middle class. “That’s one of the
main drivers for us, because economic growth leads to domestic
consumption,” says Maria Duron,
SCA vice president for strategy
processes in Stockholm. No matter
how fast it is growing, the country
must also demonstrate reasonable stability—both political and
financial.
When entering a new market,
SCA typically chooses between
two approaches. In one, SCA
creates a joint venture partnership
with a local company that offers
both production capacity and distribution
ability. Alternatively,
SCA builds up the
market by partnering
with a local manufacturer until there is
enough volume for
SCA to justify building
its own factory.
“In China we have
chosen to combine
both approaches, in
order to get on our feet quickly and
harness the country’s growth,”
says Ulf Söderström, president of
SCA Asia Pacific.
When entering the market in
Turkey, SCA was looking for a suitable partner from the beginning.
“Big family companies dominate
Turkish business, and it’s not easy
to enter in this market,” says Håkan
Molin, vice president for SCA Middle East, Africa and Turkey. “Local
partners come with established
distribution networks, strong
brands and a base for manufacturing, which is of course very
helpful.”
GENERALLY, SCA isn’t the only major
company scouting for opportunities. “In places like China, Russia
and Brazil, the main multinational
competitors are already there,
often in addition to strong regional
or local players,” Duron says. To
ensure profitability, SCA looks for
categories with high growth potential combined with low market
penetration.
SCA SHAPE 42011 13
In any discussion about
incontinence, SCA brings a
lot of expertise to the table.
STEPHEN WILKES, GALLERYSTOCK
CHINA
CHINA
Gross national
income, per capita:
4,300 US dollars
(EUR 2,866)
Economic
growth rate, 2011:
9.5 percent
Population:
1.34 billion
Age 65+: 8 percent
I T’S NOT EXACTLY a secret that
China’s economy is booming.
The fast-developing economy
in this region means that people
have increasingly more money to
spend. Yet the progress is spread unevenly, with the earnings gap between urban
and rural workers wider than ever.
Over the last few years, SCA has begun positioning itself to take advantage of China’s growth, with
top priorities being TENA (incontinence care) and
Tork (Away-From-Home tissue such as restaurant
napkins).
“China is amazing,” says Ulf Söderström, president of SCA Asia Pacific, who is based in Shanghai.
“If you look at the next five years, 66 percent of the
growth in hygiene products will come from the
Asia Pacific region, and most of that will be in China. The booming economy in this region means
that people can spend more money, especially on
hygiene products. This provides a good base for
our business.”
SCA does not operate its own factories in
China – yet. To date, SCA’s biggest investment in
the country has been buying 19 percent of Vinda.
Hong Kong-based Vinda is the
fourth-largest tissue producer
in China. This was a wise move
for SCA, given that consumer
tissue is now the fastest-growing
hygiene category in China.
Two years ago, SCA also began selling incontinence care products in China, and “sales are
taking off really fast,” Söderström says. Here, government involvement plays an important role. “In
its latest five-year plan, the Chinese government
placed elderly care very high on its priority list. In
any discussion about incontinence, SCA brings a
lot of expertise to the table.”
Feminine protection may have the least growth
potential in the hygiene domain, as market penetration is already high. However, for all other
hygiene products, penetration remains quite low.
“This means that we have great opportunities
here,” Söderström says.
For now, SCA’s business in China remains
relatively small, but it’s unlikely to stay that way.
SCA is developing its distribution channels, and
ultimately, he says, “the plan is to make China a big
part of our global hygiene business.”
10 QUESTIONS
Tribute
TO THE LOO
Eric Treurniet is the founder
of the new toilet shop company 2theloo,
which offers facilities on shopping streets
and at gas stations, train stations and
malls. Based in Amsterdam, the start-up
company is growing fast.
TEX T: NANCY PICK PHOTOS: MALOU VAN BREEVOORT
Treurniet – is your name French?
“No, it’s a Dutch name that means ‘don’t be sad’.”
Well, you shouldn’t be, considering the success
with your company. How did you get the idea
for 2theloo?
“The idea came to me when I was in Bruges,
in Belgium, shopping with my wife and kids. At
several points we were looking for a toilet, and
then at the end of the day we were walking down
a shopping street and I saw an empty storefront.
I thought, ‘We’ve been looking for a toilet so many
times now today, why not start a toilet store?’ That
was at the end of 2009.”
16 SCA SHAPE 42011
SCA – A PREMIUM
PARTNER
Eric Treurniet
Age: 41
Family: Married. His
wife works in the family
business, and they have two
daughters, ages 3 and 6.
Lives: In Bussum, outside
Amsterdam.
Education: He studied
law at the University of
Amsterdam.
Hobbies: Sports has
always been his passion,
and he plays tennis and golf.
SCA has been a partner with
2theloo since it began in
February 2011. “We went looking for a company with a green
profile, because we believe in
sustainability,” says 2theloo
founder Eric Treurniet. It turned
out to be a good match. “SCA
was the first company that really
believed in our idea,” he says.
2theloo uses Tork tissue in all
its toilet facilities. Its shops sell
a range of SCA consumer products, from Libresse sanitary
pads to Tempo handkerchiefs.
2theloo is also experimenting with co-branding together
with SCA. Initially, the shops
are offering small packages of
diapers, two per pack, under
the 2theloo name. “It’s a logical
partnership,” Treurniet says.
SCA SHAPE 42011 17
10 QUESTIONS
Condoms, tampons or stuff you might need when
going to the loo, or need while shopping, are sold in
the toilet shops.
What is a toilet store? Is it anything like
the freestanding public pay toilets you see
on city streets?
“The concept is a combination of a retail shop
and a toilet facility. The retail we offer is always
relevant, stuff you might need when you go to
the loo. You can buy tampons, or items ladies use
while standing in front of the mirror. Or things
you might need while walking and shopping,
like toothpicks after a meal. Often, the products
are in sort of funny packaging—for example, our
mineral water is called 2thel’eau.
“We hired a Dutch design agency to assist us in
translating our ideas. We want to make 2theloo
into an experience, different from any other toilet
facility. We think that when you enter the toilet,
you should be surprised. The walls of the stalls
might have pictures of people taking a peek at
you. Or animals looking at you, like ostriches.
We’re opening a store in Utrecht that has a picture
of the White House. When you sit down, you’re
sitting on the lawn of the White House.”
What were you doing before you started
2theloo?
“I was a partner at a sports marketing agency,
PRO SPORT. We advised sports organizations
about media, and we set up competitions.
When the idea for 2theloo came to me, I had a
conversation early in the process with my current
partner, Almar Holtz. He was working at Disney,
in charge of consumer goods for the African
continent. He became enthusiastic about the
2theloo idea as well. That was where we started.
18 SCA SHAPE 42011
“Women
spend an
average of
1.5 minutes
using the
toilet, and
men only
40 seconds.”
Eric Treurniet
Then we consulted PricewaterhouseCoopers for
the business phase, and it turned out they found
the idea interesting.”
Humor seems essential to your marketing
strategy — like the company name…
“In the UK, ‘too-da-loo’ is a well-known
expression, meaning ‘goodbye.’ Quite a lot of
people in the Netherlands use this phrase as well.
So 2theloo has a double meaning. I think it works
as a brand.”
So it seems your company is growing fast?
“We launched in February 2011 and we’ve
been very busy. Currently we have 10 shops
operational, with six more opening this year, and
in 2012 we expect to open about 50. Beyond the
Netherlands, we’ll have locations in Belgium,
the UK, France, Spain, Portugal, Germany,
Poland and Israel. We’re also negotiating deals
in Scandinavia, Lithuania and Russia.
“The largest facility is located in a shopping
mall, close to Antwerp. It has a total of 35 toilets,
of which about 20 are for women, 10 are for men,
and five are a combined ‘family room,’ as we call
it. Each family room has a large toilet for mom
and dad, and a small toilet for the kids. You’re
divided by a narrow vertical wall, so you can see
your parent sitting next to you.“
An interesting concept. So in general, women
need more toilets?
“If you look at global averages, women use the
toilet seven or eight times a day, compared to five
or six for men. Also, women spend an average
of 1.5 minutes using the toilet, and men only 40
seconds. Plus our facilities are positioned in areas
where women are over-represented, like shopping
malls.”
How much does it cost to use your facilities?
“The toilet costs 1 euro in our flagship shop
in Amsterdam. Most of the other locations cost
50 euro cents. Plus you get a 50-cent discount
voucher for the shop, so basically, you’re using the
loo for free.”
Are you ever embarrassed about your line
of work, when you run into old friends?
“No, I’m not embarrassed because we’re a
successful operation. People think 2theloo is cool
and fun.”
Do you tell toilet jokes?
“I’m more of a listener, not the one telling the
jokes. I think what’s unusual about me is that I’m
creative. Not that I’m a painter or a musician, not
at all, but in a business sense.”
FEATURE
“We think that
when you
enter the toilet,
you should
be surprised.”
Eric Treurniet
A family room has
a normal-sized toilet
for grown-ups and
another small toilet
for kids, like the one
Eric is trying out.
SCA SHAPE 42011 19
MARKET
Are our modern
lifestyles "too clean"
for our health? Some
suggest that dirtier
homes and uncleaned and
unprocessed food would
promote our health.
BACTERIA
to stay healthy
It’s an ongoing tug-of-war between good and bad bacteria.
Probiotics are attracting considerable interest around the world, with
attention focused on the struggle between “healthy” and “unhealthy”
microorganisms in the body’s ingenious ecosystem.
TEXT: ELISABET TAPIO NEUWIRTH PHOTOS: GETTY IMAGES
DOES THE BACTERIAL FLORA of humans constitute
an organ on its own? Indeed, there are scientists
who would like to assign that title to the billions
of bacteria living and flourishing in the stomach
and gastrointestinal tract. The bacteria are invisible to the naked eye but are immensely important
since they constitute part of our immune defense
system, providing protection against pathogenic
organisms and fighting off infections and illnesses.
Healthy bacterial flora contains and can fend off
continual attacks from “bad” bacteria, but in some
cases an imbalance may arise, with the bad bacteria getting the upper hand. In the quest for ways
20 SCA SHAPE 42011
to reestablish balance in the bacterial flora, researchers around the world have studied probiotic
bacteria, living microorganisms that, in the right
quantities, have a positive effect on people’s health.
A Swedish biotech company has taken a great step
forward in this field by carefully identifying and
clinically studying the bacterial strain Lactobacillus
reuteri, which originates in breast milk.
“When a baby is born, it has no developed bacterial flora of its own,” says Peter Rothschild, managing director of the company BioGaia in Stockholm.
“But in childbirth, the baby is exposed to the mother’s bacterial flora in her vagina and digestive tract,
FEATURE
and the baby takes in further bacteria through
breast milk – in a balance of both good and bad –
that help develop its immune system. The bacterial
flora is usually fully developed by the time the child
is about 1 year old.
“In that way, breast milk is fantastic also for
those of us who work with developing and producing probiotic products.”
The intestinal flora is very important to our
health, but in order for probiotics to have a real
benefit, the right bacteria have to end up in the
right place in the body’s advanced ecosystem,
Rothschild explains.
“Over the years, we’ve studied Lactobacillus
reuteri very closely and found a variety of strains
in the species, all of which have different functions
in the body,” he says. “One could be to counteract
the stomach bacterium Helicobacter pylori, another
the formation of plaque on the teeth. In our studies, we’re also investigating how many bacteria
are needed to have an effect. Every species has to
adjust to its target area.”
SOME STUDIES suggest that our modern, clean life-
style is one cause of the imbalance in our bacterial
flora. Unlike previous generations, we eat food that
is cleaned and processed, then boiled or baked.
We clean our homes and gargle with antibacterial
agents. We smoke, drink alcohol and have stressful
lives, which all have an adverse effect on the bacteria. And when we get really sick, we take antibiotics, which are effective in killing bacteria but do not
distinguish between good and bad ones. The digestive tract consists of two pounds (one kilogram) of
bacteria from a thousand or so different strains,
and after a round of antibiotics it can take up to six
months for the bacterial flora to recover. A person
may suffer from stomach pains while undergoing
treatment with antibiotics, which can cause people
to stop the treatment too soon.
“That should never be done because the bad
bacteria, the pathogens, will do anything to survive
and can therefore become resistant to the antibiotics, which could ultimately lead to the development of multi-resistant bacteria,” Rothschild
says. “Our studies show that if probiotics are taken
together with an antibiotic, people rarely suffer any
side effects, and that may help motivate people to
complete the treatment. If they continue to take
probiotics afterwards, their bodies will also have a
chance to restore the bacterial flora.
“Or you take probiotics as a preventive measure,”
he says. “That way, you simply stay healthier.”
PROBIOTIC PRODUCTS
IN THE PERSONAL
CARE MARKET
“Breast
milk is
fantastic
also for
those of
us who
work with
developing and
producing
probiotic
products.”
Peter Rothschild,
managing director
of BioGaia.
BioGaia is a world leader in probiotic bacteria
products, working closely with doctors around
the world and selling its products mainly in drugstores. SCA and BioGaia have signed a longterm partnership agreement to develop new
products in the future with a focus on health.
SCA is a leader in incontinence protection and
elderly care. BioGaia’s main focus is digestive
and oral health, and the company continues to
develop in other health fields.
“We’re not there yet, but together we’re
looking for new ways to combine our core areas,” says Rolf Andersson, senior hygiene adviser
at SCA.
The microflora in the digestive tract changes
as a person ages, which can lead to diarrhea
and/or constipation, which is common among
older people. By adding probiotic stomach
bacteria, the microflora can be restored, thus
improving the well-being and quality of life of
such people.
“We are building a great deal here on BioGaia’s
experience with probiotic bacteria while at the
same time maintaining great focus on the needs
of older people,” Andersson notes.
Another area where a partnership could be
rewarding is urinary tract infections (UTI). The
risk of being affected increases as a person
gets older, especially for women who are urineincontinent.
Production of beneficial lactic acid bacteria
declines after menopause, and as a result many
women lose natural protection in their urinary
tract. So some bacteria have an easier time becoming established in the area, causing UTI.
“One way to prevent the development of UTI
could be to add probiotic lactic acid bacteria
and thus restore the microbiological balance.
The partnership is very exciting, and we see unlimited opportunities in product development,”
Andersson says.
BioGaia’s
main focus is
digestive and
oral health, but
the company
continues to
develop in other
health fields.
SCA SHAPE 32011 21
FEATURE
Laney White, past
president of the Tulane
Environmental Action
League.
FEATURE
Green student
REVOLUTION
TEX T: THETA PAVIS PHOTO: PONTUS HÖÖK
University students in a city that was
devastated by Hurricane Katrina came
back from the disaster with a renewed
commitment to protecting the
environment.
MARKET
Being there post-Katrina
was a big wake-up call...
IN 2009, White and other students work-
S
TUDENTS WHO ATTEND Tulane
University have plenty of
good reasons to go there. It’s a
rigorous, top-ranked private
school set in a beautiful campus covered with enormous live oak trees.
It’s also right in the middle of a city that
is still recovering from one of the worst
natural disasters to ever hit the United
States – and surprisingly, some students
like that.
After Hurricane Katrina slammed
into the city in 2005, 80 percent of New
Orleans was underwater and the Tulane
campus was shut down for only the
second time in its history. Some worried
that students would never come back,
but those who did seemed committed to
making a difference. While the school
has a history of public service dating
back to the 1960s, Katrina seems to
have strengthened that commitment.
One place where you can see this is in
the environmental activism of Tulane’s
undergraduates.
“Being there post-Katrina was a big
wake-up call to the fact that we were
24 SCA SHAPE 42011
ing with TEAL learned of a Greenpeace
campaign aimed at stopping a large paper
manufacturer from sourcing its products
from old-growth forests. Students found
that the university was getting its toilet
paper and other products from that company, and they asked the school to find a
more environmentally sound alternative.
The university was receptive but told
the undergraduates they would have to
do the research themselves. Undeterred,
the students pored over the research and
then contacted SCA about the Tork brand
of products which are made from 100
percent recycled content.
“The students had a concern and did
the research to propose a solution,” says
Liz Davey, Tulane environmental affairs
director. “It was impressive how they
worked with the salesmen and learned
about who in the university makes these
decisions and what the criteria are.
That is the work of sustainability – for
each piece of our daily lives, looking
at it thoughtfully and looking at the
alternatives and what it takes to make
the change. It was a really good case of
student activism.”
In the end, with the hard work of
the students, Tulane switched to Tork
products.
Luke LaVanway, the current
TEAL president, was an officer in the
organization during the campaign. Now
21 and majoring in political science, he
hopes more people will get involved in
this work.
“I think environmental activism is
a great way for anyone who wants to
give back,” he says. “Instead of just
working at schools and hospitals, why
not the environment? It needs care
too. I think more people should see
environmentalism as a way of giving back
to the community.”
The students’ concern dovetailed nicely
with the university’s efforts to get some of
SCA supported
the Gulf oil spill cleanup.
Tork wipers were used
onboard boats to help
sanitize equipment and
clean tools, and for
general cleaning
applications.
PHOTO: SCA
on the front lines of global warming,”
says Laney White, 24, past president
of the Tulane Environmental Action
League (TEAL). “The students are more
idealistic, especially in New Orleans,
because they wanted to help rebuild.”
AID TO THE AREA
BESIDES PROVIDING Tulane’s
campus with tissue products,
SCA has another connection to
the New Orleans area. In the fall
of 2010, SCA donated more than
US 200,000 dollars of Tork products to support the massive Gulf
The Tulane students’
environmental concern
has made some of the
campus bulidings LEED
certified.
Coast oil spill cleanup efforts.
SCA donated wiper products
for the cleanup through the Gifts
In Kind International organization. The wipers were used by
nonprofit and grassroots volunteer groups to aid in the cleanup
and disaster relief efforts.
“Supporting the Gulf oil spill
cleanup is one of the many ways
we demonstrate our longstanding commitment to improving
the environment, while showing we care for the communities
where we live and operate,” says
Don Lewis, president, SCA Tissue North America.
SCA entered the North American market in 2001.
its buildings LEED certified. So far Tulane
has one certified building. “We have an
overall goal of reducing our greenhouse
gas emissions, and we are working to
achieve LEED certification in all major
construction and renovation projects,”
Davey says. The students’ environmental
concern over the tissue products “helped
move us down the road toward certifying
buildings,” she says.
LEED certification is a complicated
process that takes into account every
aspect of a building, including its impact
on the surrounding area and the products
used inside. In fact, the use of Tork paper
products can be used to meet LEED
certification criteria.
LaVanway says the campaign that
brought Tork products to campus shows
that people care about corporate practices
and their environmental impact. “SCA’s
Tork products were a great alternative,”
he says. “We ended up using their
recycled products.”
White, who stayed in New Orleans
after graduation to sign on with
AmeriCorps VISTA (sometimes called
the “domestic Peace Corps”), works
with a national nonprofit, Global Green
USA, helping low-income families. She
says it was exciting to see a grassroots
campaign successfully change a large
market. “We came in with a plan, and the
university was trying to green its image.
They were excited that students were
getting involved. It all happened really
quickly.”
Meanwhile, the work of rebuilding the
community in New Orleans and creating
a greener campus continues. After
Katrina, Tulane added a unique public
service requirement to the undergraduate
curriculum. Students have to take a class
and then do a service project, which
can be another class, an internship or
a research project, Davey says. “There
are more students here now than have
ever been on campus before,” she says.
“There’s tremendous interest in Tulane
after Katrina, in part because of the
service requirement. And there is a sense
of wanting to be a part of history and
wanting to help bring the city back, and
making it a stronger community.”
SCA SHAPE 42011 25
I love being pregnant.
I’m always guaranteed
to get a seat.
People always offering to give up their seat, I could get used
to this. That, and the glossy hair, the strong nails and glowing
skin. There are certainly some advantages to being pregnant.
Unfortunately the pressure on my bladder isn’t one of them.
But there is no way I’d let a little bladder weakness stop me
from enjoying this special time in my life.
TENA liners and pads are specifically designed to absorb the
thinner faster flow of slight bladder weakness, with the added
benefit of odour control. So that you feel fresh and confident
throughout the day.
For a free sample visit TENA.com.au
TECHNOLOGY
Replacing this tube
with a new one reduced
the carbon dioxide
footprint by 80 percent.
Turn page and se how.
Double gain
from a new lime kiln
Even before its commissioning,
the new lime kiln at SCA’s
Östrand pulp mill is attracting
a lot of interest. It is the first
in the world to substitute fuel
oil for wood powder, which is
eco-friendly – and cheaper.
TEX T: ULF WIMAN
PHOTO: MATHIAS JOHANSSON
TECHNOLOGY
T
HE SCA ÖSTRAND PULP MILL in Timrå,
390 kilometers north of Stockholm, is
a major producer of totally chlorine free
bleached sulfate kraft pulp. About half
the mill’s output is used for the SCA
Group’s own needs to manufacture publication
paper and hygiene products, and the rest is sold
to external customers. The Östrand mill also produces CTMP (chemical thermo-mechanical pulp)
for hygiene, packaging and other products.
Partly out of environmental considerations
and partly with an eye to the mill’s future capacity
needs, SCA Östrand decided to install a large new
lime kiln to replace the two existing oil-fired ones.
Lime kilns play an important part in the chemical
recovery process at sulfate pulp mills. They
convert lime sludge, a waste product from the
process that consists mainly of calcium carbonate,
into calcium oxide that is reused in the pulp
production process.
The construction of Östrand’s new lime kiln,
one of the largest in Europe, started in 2010. By
early autumn of 2011 the machines were in place.
If the first tests meet the objective – 24/7 operation
without downtime due to the machine – production
proper will start.
“The equipment isn’t exactly rocket science,”
says Håkan Wänglund, project manager. “The
challenge is rather that we will run the lime kiln on
pulverized fuel pellets instead of the fuel oil that all
other lime kilns use.”
In fact, the Östrand lime kiln is the first one
globally to run entirely on wood powder. So what
was the reason for choosing this solution?
“First of all, using fuel oil isn’t environmentally friendly,” Wänglund says. “On top of that, oil
prices are high and we have no control over them.
Now we’ll reduce our yearly fuel oil consumption
by 17,000 cubic meters. We’ll save a lot of money,
but we’ll also reduce our carbon footprint
by 80 percent.”
“We’ll save a lot of money,
but we’ll also reduce
our carbon footprint by
80 percent”.
Inside this tube are two brick
layers. The one closer to the
metal cover is for insulation,
while the inner one is for wear
resistance.
The new lime kiln at the SCA Östrand
pulp mill in Timrå is basically a steel tube
125 meters long and 4.5 meters wide.
Brick layer
Brick layer
125 m
4.5 m
5m
28 SCA SHAPE 42011
The tube rests horizontally at a 1.4-degree
angle on four bearings about five meters
above the ground.
ILLUSTRATION: KJELL THORSSON
What’s more, the wood powder that will be used
is part of an SCA business loop. The fuel pellets
that Östrand uses to grind to wood powder are
made from sawdust from SCA’s sawmills in Sundsvall and elsewhere. The sawdust is made into fuel
pellets by SCA’s plant in Härnösand, 39 kilometers
west-northwest of Timrå. The same trucks that
bring sawdust to the pellet mill, brings pellets back
to the pulpmill, thus avoiding empty runs.
“Everybody wins, as does the environment,”
Wänglund says.
Besides the considerable environmental gains,
the other main reason for installing the new lime
kiln is that Östrand’s existing two lime kilns are
hitting their capacity ceiling. There is simply no
capacity left to grow the operation to the significantly increased output levels that the pulp mill
plans for the future. This problem is solved with the
new lime kiln, which has capacity well beyond current needs.
“When the new lime kiln is in place, the pulp
mill can increase its production by 10,000 metric
tonnes a year,” Wänglund says. “Looking to the
future, the lime kiln has the capacity to match the
need for a production of 800,000 tonnes of craft
pulp, almost twice the present production.”
Having one high-capacity lime kiln instead of
two smaller ones aligns with another long-term
SCA objective – to rely on one machine per process
phase and still increase output.
There is yet another loop in the system, one that
Wänglund says is quite uncommon. “The
sulfate process produces odorous gases,” he
says. “These will be collected and routed back to
the burner in a canal system. Not only does this reduce the smell, but the gas is rich in energy, which
we’ll recover.”
The project has caused a stir in the industry.
This is not surprising, since all kraft pulp mills want
to improve their sustainability as well as reduce
their fuel oil consumption. “A lot of our colleagues
around the world have contacted us to learn more
about what we’re doing,” Wänglund says. A HOT PROCESS
The lime sludge, which mainly consists of calcium
carbonate, is fed at the top end. On its way down
through the rotating tube it gets increasingly hot.
When it reaches a temperature of 1,100 degrees
centigrade, it is converted into calcium oxide.
Using wood powder for fuel instead of the
traditional fuel oil, Östrand faces a challenge to get
the kiln flame to burn with the right intensity, which
is crucial for the process. With fuel oil, which has
an even quality, this is rather easy. This is not the
case with the wood powder. There is a risk that the
size of the wood powder corns vary over time. To
secure a stable process, the powder must have an
even size no larger than 1 millimetre in diameter.
The tube rotates slowly during
the process.
At the tube’s lower
end is a giant
55-megawatt burner,
almost 10 meters long.
SCA SHAPE 42011 29
SHAPE UP
EVERLASTING SHOWER
WHAT WOULD YOU THINK of shower-
ing for eight minutes using just
8.5 liters of water? That idea is no
longer a dream. A student from Lund
Institute of Technology in Sweden
has made a prototype for just such a
shower. The 2 ¼ gallons can be used
over and over again and are cleaned
between each cycle.
The shower consists of a filter
DANGEROUS,
MORE DANGEROUS
THE MOVIE Contagion, which
premiered in October, is about
an extremely infectious and
deadly virus that spreads fear
and claims lives across the
world. The film is just one in a
long line of similar doomsday
scenarios involving infectious
diseases that have been shown
in movie theaters over the past
few decades. Perhaps it’s because we’ve seen so many films
of this type that we are quick to
heed recommendations by
authorities to wash our hands
and use hand sanitizers to
guard against flu epidemics
and the outbreak of the winter
vomiting bug.
30 SCA SHAPE 42011
made of electropositive nano-aluminum fibers, a technology developed by NASA for cleaning water in
space. The fibers attract all kinds
of particles, including bacteria and
viruses, and the filter only needs
changing after about 30,000 gallons.
In order to further extend its life, the
filter is combined with a washable
pre-filter.
Ride with
style
“Vespa Daniela,” made entirely of wood,
is a masterpiece of Portuguese carpenter
Carlos Alberto. The motorbike is named
after his daughter.
Meatless Mondays
for the climate
THE CHAIRMAN OF THE UN Intergov-
ernmental Panel on Climate Change,
Rajendra K. Pachauri, who is also
a Nobel Peace Prize laureate, gives
up meat on Mondays. One initiative that is spreading internationally
is to eat vegetarian one day a week
– preferably on Monday. The “Meat
Free Mondays” campaign aims to
help the climate and promote good
DID YOU KNOW THAT…
health with meatless Mondays.
A growing number of individuals,
restaurants, schools, companies and
others have accepted the challenge,
which is an initiative from The Monday Campaigns movement, which
is encouraging Americans to make
smart choices that benefit their health
and well-being at the beginning of
each week.
THE WORD “HYGIENE” comes from
the Greek Hygeia, the name of the
goddess of health. Hygeia was the
daughter of Asclepius, the Greek god
of medicine, and is usually depicted
with a snake in her hands.
Dogs sniff out
sick fir trees
SICK TREES in the forest can be
tracked down by dogs trained to
recognize the scent of firs that have
been attacked by bark beetles. In
a study from the Swedish University
of Agricultural Sciences, dogs could
track down a tree under attack from
a distance of 150 yards.
Forests carry
a big climate load
We know that the world’s
forests are enormously
important for the climate.
But a new study published in Science magazine shows that their
ability to store carbon and
absorb carbon dioxide is
far greater than previously understood.
The world’s forests
absorb 2.4 billion metric
tons of carbon each year
—equivalent to nearly a
third of the annual carbon dioxide emissions
caused by human burning of fossil fuels.
By far of greatest importance for the climate
are the endangered rain
forests, which alone account for about half of
total carbon uptake, even
though they cover less
than a tenth of the Earth’s
surface.
SCA SHAPE 42011 31
FEATURE
Frozen
ASSETS
Nothing stays on the ice. At Scott Base in Antarctica,
waste management is at its most extreme. Anything
brought to the research base has to be either consumed
or shipped back to mainland New Zealand. Here,
sustainability is essential.
TEX T: SUSANNA LINDGREN PHOTO: WENDY CL AVANO. KEN RYAN AND NANCY COX,
ANTARCTICA NEW ZEAL AND PICTORIAL COLLECTION
32 SCA SHAPE 32011
OUTLOOK
Bad weather during field training.
It takes ten
days to sail from
Christchurch to
Antarctica. Planning
the cargo is a challenge,
as the next shipment
will only come in
12 months.
T
THE ENVIRONMENT AT Scott Base, New
Zealand’s permanent research support center in Antarctica, is extreme in
many ways. With a mean temperature
of –19.6˚C, the summer temperature
only occasionally goes above freezing, and in
wintertime the thermometer can show –57˚C. Add
the wind to that and try to imagine how harsh the
conditions can be. The base is exposed to the full
strength of southerly blizzards, and winds have
been recorded in gusts up to 185 kilometers per
hour. In spite of these extreme conditions, a staff
of 13 stays at the base all year round.
“But they rarely stay more than one season,”
says Michael Nottage, who works for Antarctic
New Zealand.
As purchasing officer for the Scott Base, he has
visited the research center 15 times, and like nearly
everyone else he has chosen to do so during the
southern hemisphere summer, from October to
February. During those months, research teams
focused on climate change, animal life, glaciers,
the dry valley vegetation, seawater research
and other topics visit for various lengths of time,
depending on the research and planned expeditions. The base works a bit like a boarding hostel,
with shared bedrooms, one large dining room and
an industrial kitchen complete with chefs. In the
summer the base has a transient population of
around 60-plus staff, and about 80 people can be
accommodated at the same time.
SCA SHAPE 42011 33
OUTLOOK
In times of need: The toilet tent at field camp.
New Zealand Scott Base rugby team in action.
“All that waste is transported in containers
and shipped back frozen”.
From Scott Base it is closer to the South Pole (1,353
kilometers) than to Christchurch (3,832 kilometers), where Antarctic New Zealand has its operational offices. Due to this remote location, a lot of
planning is required to make sure that supplies of
food, heat, electricity and freshwater are maintained, especially since big shipments of everything from food and toilet tissue to spare parts for
machinery arrive only once a year.
“The biggest challenge is in the planning, to
make sure we order the right amount, get what we
ordered and get it on time,” Nottage says.
The annual shipment from Christchurch to Antarctica takes about 10 days. Organizing supplies
for the base and for the visiting field units is not
only about figuring out what will be needed for the
next 12 months. It’s just as important to order the
most suitable products for the harsh yet sensitive
environment at the base.
“WHILE VISITING THE BASE, it’s the quietness and the
pristine environment – still undamaged by human
interference, that always makes the deepest impact
on me,” Nottage says. Part of his job is to make sure
it stays that way, he adds.
“We are constantly working to minimize our
footprint in Antarctica,” he says. “Everything
that goes down there has to be either consumed
or brought back. Every piece of cardboard, plastic
or glass, as well as human waste products or scrap
metal, has to go back to Christchurch for recycling.”
All freshwater used at the base is produced from
34 SCA SHAPE 42011
the seawater, and a wastewater plant makes sure
that the water going back to the Southern Ocean
is clean. The remaining solid cake is also shipped
back for recycling. To make sure the cleaning process works smoothly, it’s important to use highly
degradable products that meet the environmental
requirements set up for the base, like the toilet tissue products supplied by SCA.
“We have to buy two types of toilet paper,” Nottage says. “The one for the base itself has to be the
softest one-ply available to make sure the sewage
plant can handle it. For the field use, out on the ice
or in the valley, two-ply paper is used, and all that
waste is transported in containers and shipped
back frozen to be disposed of at a treatment plant in
New Zealand.”
About 13 tons of waste is brought back annually,
and Michael Nottage is keen to lower that figure,
something he is discussing with SCA.
The environmental concerns are passed through
to every visitor, to make sure that it’s as natural to
bring back every piece of rubbish to be disposed
at the right place as it is to dress for an outdoor
temperature at –20˚C when leaving the comfort of
+20˚C inside the base.
For those remaining at the base there are plenty
of indoor activities, such as a movie theater, library,
gym and sauna, as well as a bar with a dartboard.
Outdoor activities depend on the weather, but it’s
popular to borrow cross-country skis at the base
and tour the southernmost ski field in the world,
or go kite-skiing on the ice, or if the snow level permits, grab a push bike for a tour.
FEATURE
RENEWED
CONTRACT
Scott Base in
Antarctica is a
longtime user of
SCA products. The
contract for a hygiene solution from
Tork has recently
been renewed,
and the base is
upgrading to the
next generation of
dispensers and hygiene equipment.
Strong product
performance and
strong sustainability credentials have
been key factors for
the partnership.
Supplies being
unloaded. The same
ship brings back
13 tons of waste to
New Zeeland annually.
We use zero chlorine chemicals. We produce nearly 500 GWh of green
electricity. Our wastewater is so clean that fish thrive in it. Now we are taking
and are investing SEK 500m to replace two old oil-fired lime
a further
kilns with a single new kiln that will be run on fuel pellets from SCA BioNorr.
This investment will allow us to reduce carbon emissions from fossil fuels
by 80 percent!
The project has been named Bio Loop 2011 and means that we can continue
to increase production at Östrand pulp mill – but with a smaller and smaller
environmental footprint.
www.scasundsvall.com
SCA ÖSTRAND
MELLERSTEDT DESIGN
Leaving the smallest
possible footprint
ECONOMY
Cost-cutting programs over the past
few years have made SCA a stronger
company with better prospects for
expansion. That was the main message
at SCA's Capital Market Day.
Focus on
GROWTH
OPPORTUNITIES
TEX T: CECILIA VINELL ILLUSTRATION: ISTOCKPHOTO
I N MID-SEPTEMBER, SCA held its
Capital Market Day in Stockholm, an
event that attracted many investors,
analysts and journalists.
“The company’s cost-cutting
programs have made SCA a stronger
company, creating better conditions
for growth,” said Jan Johansson, CEO
of SCA. In 2010, for example, efficiency
programs generated savings of SEK
1 billion (EUR 105 million). With this
reduced cost base, the company is able
to increase its focus on growth to a
larger extent than during the last year’s
financial crisis.
With 75 percent of sales in Europe,
SCA needs to grow both in mature and
emerging markets. Jan Johansson was
pleased with the fact that SCA’s global
TENA and Tork brands, which each
generate more than EUR 1 billion in
annual sales, both strengthened their
market share in 2010, a trend that has
continued during 2011.TENA is global
No. 1 in incontinence care and Tork
is global No. 2 in Away-From-Home
tissue. Hygiene products, which account for 60 percent of sales, offer good
growth potential.The global market for
hygiene products amounts to SEK 675
billion and growth is driven by population growth, aging populations, increased market penetration and higher
disposable income.
Emerging markets account for 21
percent of sales for SCA’s hygiene businesses and they showed a sales growth
of 11 percent in local currencies during
the first nine months of 2011. SCA has recently made investments in a number of
growth markets, such as the acquisitions
of hygiene products companies in Turkey (Komili and San Saglik) and Brazil
(Pro Descart). With the purchase of Pro
Descart in Brazil, SCA now has operations in every Latin American country.
ACCORDING TO Jan Johansson, SCA
continues to expand in Southeast Asia as
well, both geographically and in terms of
new product categories. Ulf Söderström,
president of SCA Asia Pacific, said,
“More than 60 percent of future growth
in the hygiene products market will come
from the Asia-Pacific region.”
The company is investing resources
to increase its presence in the region
and expand its range of products. “Innovation is incredibly important in this
part of the world,” Söderström said.
SCA recently opened a global innovation center in Shanghai. The center
developed the TENA Belt, an incontinence care product with focus on skin
comfort, which went from concept to
launch in just seven months.
Jan Johansson stressed the importance of innovation and sustainability as integral parts of the company’s
strategy. “We have boosted the pace of
new product launches in all categories,”
he said. Sustainability has become a
true business driver since excellence in
the area not only reduces cost and risk
but also improves competitiveness and
strengthens the brand.
SCA SHAPE 32011 37
12 HOURS
with Elin Olofsson
Name: Elin Olofsson
Job: Timber buyer for SCA,
Örnsköldsvik office, Sweden
Age: 26
Lives: Umeå, Sweden
Family: Partner Fredrik, who
does research on fertilizing
forests. Dog Igor.
38 SCA SHAPE 42011
Interests: Orienteering, hiking,
all kinds of outdoor activities.
Bookworm. Suggested reading?
Forest of Hours, by Kerstin Ekman
Hidden talent: Can recite pi to
48 digits. Third place in the 2011
Spanish Open championship in
orienteering.
Instead of loose
-leaf binders
on her of fice sh
elf,
axes, snowshoe Elin has
s and skis for
deep snow.
“I rarely know what a workday
will look like ahead of time”, says
Elin, who likes spending most of
her days outdoors.
forest.
lue of the
ting the va measured.
a
im
st
e
r
ee are
data fo
C ollecting r and height of the tr
te
e
m
ia
d
e
h
T
Elin bumps into the landowner Erik who invites her over
for coffee and home made cookies.
TEX T/PHOTO: ANNA GULLERS
I “
T’S NOT THAT great having
a moose on the roof of your
car,” Elin Olofsson says.
Elin, a timber buyer for SCA,
is talking on the phone with
a colleague while driving through
the forests of northern Sweden,
the forests that are Elin’s “office”.
Up here, close car encounters with
moose are one of the workplace
risks that are less common
further south.
Elin is one of some 50 buyers who
keep SCA well supplied with timber.
Since SCA’s own forest holdings
can’t provide all the wood for its
industries, it buys from forests of
private owners, and the number of
timber buyers has increased in recent years. So far, only six of them are
women, but just a few years ago there
were no women doing this job. On
this October morning, Elin is going to
inspect a few stretches of woodland
outside Örnsköldsvik. A landowner
wants to harvest some of his forest,
and Elin, on behalf of SCA, is a possible buyer and has to determine how
much it’s worth.
“Our job is to give good advice
about the logging so the landowner
doesn’t lose money. But at the end of
the day you must accept the seller’s
decision, even if his or her ideas
are not optimal - forests are often
a sensitive topic. A good timber
buyer is perceptive
and respects
other people’s
views,” Elin
says.
As a timber
buyer, you
also have to
be pretty competitive and enjoy
“Animals behave
rationally. I always
feel safer in the
forest than in
the city”. Elin Olofsson
Igor, Elin’s
Norrbotten
spitz, loves
to lounge
on the rug
at work.
Outdoors he
will quickly
gulp down
a forest
mouse.
trying to bring in the volume that’s
needed for the month, Elin says. And
you have to enjoy doing business.
“The best thing about the job is that
it’s open-ended,” she says. “I rarely
know what a workday will look like
ahead of time. And then you’re outdoors. Not least, the weather will affect my day. Am I afraid of bears? No,
animals behave rationally. I always
feel safer in the forest than in the city.
People can act any odd way.”
SCA SHAPE 42011 39
MARKET
Packaging that
gives champagne
THE CHILLS
A special case for Moët et Chandon champagne keeps the drink
cool and can be reused. Fresh Pack is not only an example of
innovative design, it’s also the result of a strictly controlled process.
TEX T: KONSTANTIN C IRINA PHOTO: SCA
MOËT ET CHANDON wanted a new summer
case for its world-famous champagne
that would be aesthetic and functional
and could also offer costumers a bonus.
To meet this need, the company turned
to SCA Packaging Nicollet in France. The
assignment was to combine the words
“freshness” with “nomadism”, to emphasize carefree summertime consumption
of Moët et Chandon champagne. It was
also important that sustainable thinking
go into the new case.
The SCA team came up with the idea of
an isothermal case — an insert enclosed in
an exterior ecological package — to keep
the champagne cool for two hours, perfect
for a picnic. But designing a premium
made-to-measure industrial product is
challenging.
“Insulation is a very exact science,”
says Frédérique Sementery, the project
manager at SCA “An air leak at the closure
of the insert would have affected its hermetic qualities.”
Every detail had to be designed precisely, right up to the fold of the insert.
Even though finding a good packaging solution is a creative process, SCA’s
Design Center follows determined steps
to make sure the result is “design that is
more than just design.”
“The process at the Design Center is
genuine applied research,” says JeanDavid Jacoby, international brand manager at Moët et Chandon. “When the teams
from SCA propose a project to us, we know
that it is feasible industrially.”
PATRICE BARAUD, the development man-
ager for the project at Moët et Chandon,
says that this approach saves time. “We
can go faster in development in order to
better satisfy our customer,” he says.
The case offers a sustainable element,
as it can be reused in other circumstances,
and improvements will be made.
”In the future, for sure, we will use a
biodegradable polyester fi lm which was
not possible at the time of the design of
Fresh Pack,” Baraud says.
Fresh Pack won the Formes de Luxe
award at the luxury packaging fair Luxe
Pack 2010 in Monaco.
Moët et Chandon has also released
festive versions of Fresh Pack for the
year-end holidays.
News from SCA
SCA INSIDE
Time to shake the
LIBERO BOOTY
This year’s autumn collection of Libero Up&Go
Limited edition has a dance theme.
The diapers are extra thin for all kids to enjoy
the freedom of moving easily. As an extra feature,
all Libero fans can create their own dance videos
from an application on www.libero.com. Chose
between four dancing babies, add the music and
upload your video on Facebook.
INVESTORS PAY
THE FOREST A VISIT
“IT'S DIFFICULT TO BE PERFECT, but we must
never stop striving for it”. That is the message that Björn Lyngfelt gave to SRI (Socially
Responsible Investments) investors during a
visit to SCA’s forest products operations in
Sundsvall, Sweden in September. The purpose of the day was to communicate SCA’s
sustainability initiatives in general and the
Forest Products’ operations in particular.
SRI investors are growing in importance.
The proportion of investors who examine
SCA from a sustainability perspective is 23
percent, an increase of 18 percentage points
since 2004.
“This will help me answer questions about
SCA in a much better way than just reading reports,” said Richard Torgerson, senior
analyst, corporate governance at Folksam.
MY FIRST HOUSE
THIS HOUSE CAN BE YOURS without taking
out an expensive mortgage. SCA has
developed a strong and stable house
– a children’s playhouse, actually
– for the toy manufacturer iToy.
The house, which weighs just
3.7 kilograms, is suitable for
use indoors or outdoors.
It comes unprinted so that
children can paint it as colorfully as they like.
“The combination of
cardboard and toys sparked
our play instinct,” says
Torsten Biermann, product
manager at SCA.
SCA SHAPE 42011 41
SCA INSIDE
TAMPONS
with a twist
JUST MONTHS after the launch, the new Libresse
72
HOURS
tampons have increased their market share in
Norway and Sweden.
Among other advantages the new generation
of Libresse tampons now come with an easy
twist opening.
A “72-HOUR RACE to Innovation”
in September gave participants three days to come up
with innovative ideas and turn
them into feasible projects. The
race aimed to generate new
business ideas for the Ortviken
papermill, and also to improve
SCA Forest Products’ innovation process.
The result was several completely new projects so well
designed they could be put into
effect right away.
The 72-hour race concept
was created by Kaj Mickos, and
this was the first one ever held
in the forestry industry.
HELP TO THE
HORN OF AFRICA
SCA HAS DONATED feminine
care products to women
affected by the famine and
unrest in Somalia. Some
1.6 million products have
been distributed in camps
where people have taken
refuge after fleeing the
country’s conflicts and
drought. Sanitary products are very important for
the health and dignity of
women and girls.
“Thanks to SCA’s donation, we can distribute
feminine care products to
42 SCA SHAPE 42011
women who have fled to
Ethiopia,” says Hans ten
Feld at UNHCR, the United
Nations refugee agency.
“It seems obvious that
SCA would help out in the
extremely difficult situation that has arisen in the
Horn of Africa,” says Kersti
Strandqvist, senior vice
president of Corporate
Sustainability at SCA.
“After food and water,
access to hygiene products
is necessary to prevent
illnesses.”
Somalia
FEATURE
SCA
INSIDE
1 euro to the Red Cross for
every SCA Facebook like.
(The aim is to reach 5,000 new likes)
DIAPERS TO
FLOOD VICTIMS
AFTER THE OCTOBER floods in Thailand
– the worst in 50 years – SCA associates there were offered a half-day off
from work to volunteer their help with
packing food and products for distribution to the flood victims. SCA sent
cartons of diapers to a rescue center,
as a small gesture to help alleviate the
distress of parents and families with
young children affected by the floods.
The American President
Barack Obama enjoys lunch
with his staff and SCA’s
Tork Xpressnaps.
LEGO AND TEMPO LOOKING
FOR NEW COSTUMES
TWO CLASSIC products are
looking for a new packaging design. Tempo
tissue wants a new pack
design and, most importantly, a new shape for
the standard Tempo
tissue box. LEGO is
looking for a new innovative packaging design
to replace the current
LEGO “Bricks & More”
starter set box.
This third edition of the SCA
Design Challenge, launched
in September 2011, is open
to students and
non-professional
packaging
designers.
The winner will
be announced in
March 2012.
For more info:
www.scapackagingdesign-challenge.com
SOUTH AFRICANS
LOVE CUDDLERS
THE DIAPER BRAND CUDDLERS has beat-
en all its rivals in a large South African
consumer survey and has been named
“2011 Iconic Brand” in the diapers
category.
The Iconic Brand survey takes place
each year, and 15,000 South African
consumers participate.
Together with the local partner
Nampak Tissue, SCA produces and
sells products of the Cuddlers baby
care range in South Africa through the
Sancella SA joint venture.
SCA SHAPE 32011 43