shape

a magazine from sca on trends, markets and business Nº 2 2007

cafés Analysts
clean up with an eye
their act on the earth
packaging that camera:
saves lives A room of
how to sell one’s own
taboo products

TALK
IS CHEAP
8 TREND s red efining
ow it
as w e kn
media

Eight shareholders talk SCA * Kids as a trend * Turning waste to energy

epahs


04 Shape up
Which famous tennis star recommends buying
SCA shares? What is the name of the world’s
largest retail chain? Find out in Shape Up.
06 Shape cover
The world reads more print news than ever.

14
But many publishers are in trouble. Shape looks

Contents Nº 2 2007
at the trends changing the media map.
14 Trends
Read how to market tricky products, why kids
have become a trend and about packaging that
can save lives.
20 Profile
Shape meets Susanna Jacobson, a London-based
analyst who keeps track of the intersection where
global warming and business meet.
24 Technology
The new soda recovery boiler can provide an
entire pulp mill with heat and electricity.
26 SCA Inside
What do small stockholders think about SCA?
Shape meets eight who attended the recent annual
meeting. Read more of what’s on the way at SCA.
30 camera
Exclusive or plain. Camera peeks into the most
private of all rooms: the WC.
Shape investigates
megatrends in the 34 shaping a view
Between 2005 and 2010, SCA will lower its water
6
world of media

20 consumption by 15 percent. Daniel Solberg, in

charge of SCA’s Water Network, explains how.

The Future 24 SCA Shape is a magazine from SCA Address SCA,

Communications and Investor Relations, Box 7827,

of newspapers
103 97 Stockholm Telephone +46 8 788 5100
Fax +46 8 678 8130 Publisher Bodil Eriksson
Managing editor Anna Selberg

isn’t bleak, it’s just

Editorial Anna Selberg, SCA and Göran Lind, Kristin
Päeva, Appelberg Design Mats Wester, Appelberg
Printer Sörmlands Grafiska Quebecor AB,

different.
Katrineholm Cover photo Pysse Holmberg
SCA Shape is published in Swedish and English. The con-
tents are printed on GraphoCote 80 gram from SCA
Forest Products. Reproduction only by permission of

30
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.

[ 2 *2007 ] SHAPE SCA *

epahs


04 Shape up
Which famous tennis star recommends buying
SCA shares? What is the name of the world’s
largest retail chain? Find out in Shape Up.
06 Shape cover
The world reads more print news than ever.

14
But many publishers are in trouble. Shape looks

Contents Nº 2 2007
at the trends changing the media map.
14 Trends
Read how to market tricky products, why kids
have become a trend and about packaging that
can save lives.
20 Profile
Shape meets Susanna Jacobson, a London-based
analyst who keeps track of the intersection where
global warming and business meet.
24 Technology
The new soda recovery boiler can provide an
entire pulp mill with heat and electricity.
26 SCA Inside
What do small stockholders think about SCA?
Shape meets eight who attended the recent annual
meeting. Read more of what’s on the way at SCA.
30 camera
Exclusive or plain. Camera peeks into the most
private of all rooms: the WC.
Shape investigates
megatrends in the 34 shaping a view
Between 2005 and 2010, SCA will lower its water
6
world of media

20 consumption by 15 percent. Daniel Solberg, in

charge of SCA’s Water Network, explains how.

The Future 24 SCA Shape is a magazine from SCA Address SCA,

Communications and Investor Relations, Box 7827,

of newspapers
103 97 Stockholm Telephone +46 8 788 5100
Fax +46 8 678 8130 Publisher Bodil Eriksson
Managing editor Anna Selberg

isn’t bleak, it’s just

Editorial Anna Selberg, SCA and Göran Lind, Kristin
Päeva, Appelberg Design Mats Wester, Appelberg
Printer Sörmlands Grafiska Quebecor AB,

different.
Katrineholm Cover photo Pysse Holmberg
SCA Shape is published in Swedish and English. The con-
tents are printed on GraphoCote 80 gram from SCA
Forest Products. Reproduction only by permission of

30
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.

[ 2 *2007 ] SHAPE SCA *

shape up

illustration: getty images

Stefan Edberg
likes SCA
■ Former tennis champion
Stefan Edberg not only  
has six Grand Slam titles
under his belt, but he’s
also a passionate investor.
Edberg, who earned 20
million dollars in prize
money during his career,
now spends some 20 hours
a week in front of a stock
screen. In the Swedish eastern europe
monthly magazine for buying locally
investors Aktiespararen he
revealed his savings ■ Only three of the 10 largest retai- 250 million cubic
meters of new forest
strategy of holding a lers in eastern Europe are interna-
percentage of his savings tional, according to a report from
in shares equal to 100 the British research firm Planet  
minus his age (he’s now Retail. Those that have succeeded In Europe, some 65 percent of the annual growth
41). He says SCA is one of in establishing operations in in forests is harvested, which means a surplus of

photo: ibl bildbyrå

his five favorite stocks. markets in eastern Europe are the
German company Metro, the French
firm Auchan and the Turkish retailer
Migros Türk. Otherwise, the market
is dominated by domestic chains
such as X5 and Magnit in Russia or
about 250 million cubic meters a year, according
to the United Nations Economic Commission for
Europe. The growth in Europe’s forests offsets the
increase in carbon dioxide emissions. It is estima-
ted that one cubic meter of forest absorbs about
one ton of carbon dioxide.

India soon the fifth-largest market

Fozzy and Furshet in Ukraine.

If India continues its high rate of growth, the Indian consumer market will go from being the 12th largest in the
world to the fifth largest in 2025, according to a report from the consulting firm McKinsey.
paperboard
The middle class in India is expected to grow from 50 million today to almost 600 million in 2025. At the same on the rise
time, nearly 300 million Indians will be lifted out of poverty. This consumption pattern in India is also influenced Eastern Europeans prefer domestic retailers. However, German Demand for paperboard as a packaging
by urbanization in the country. Today 42 percent of Indians live in metropolitan areas. By 2025, that figure is Metro is successfully established in the east. material continues to grow. In 2006, sales
expected to reach 62 percent. increased 2.4 percent to almost 5 million
tons in western Europe, according to figures
The 10 largest retailers from CEPI, the Confederation of European
Paper Industries. In Germany,  
in the world in 2006 the largest market,
Sales in million USD, percentage of sales abroad sales increased  
Dirty hands 5 percent, Pack-
a killer   1 Wal-Mart, USA 376 430 22% News reports.
Paper and paper-
A lack of hand hygiene   2 Carrefour, France 122 214 53% board thus defend
among employees in
  3 Metro Group, Germany 87 360 55% their position as  
healthcare causes about
the most frequent-
5,000 deaths every year   4 Tesco, Britain 86 827 25% ly used packa-
in Britain, according to
  5 Seven & I (2) Japan 79 101 34% ging material in
a new study from City
Europe. Their
University in London.   6 Ahold, Netherlands 77 546 82% share is estima-
The infections spread
  7 Kroger, USA 69 549 0% ted at roughly 50
by healthcare workers
photo: ibl bildbyrå

PHoto: erich blunck

percent, versus
could have been preven-   8 Sears, USA 64 833 12%
24 percent for
ted by simply washing
  9 Costco, USA 64 737 20% plastic, 18 percent
photo: istockphoto

their hands, according to

for glass and 8
the study. In the US, the 10 Target, USA 62 584 0%
percent for metal
More can buy Barbie. By 2025, 600 million dirty hands of healthcare
source: Planet Retail packaging.
are expected to join India’s middle class. workers infect 5 percent
of patients.

*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *

shape up

illustration: getty images

Stefan Edberg
likes SCA
■ Former tennis champion
Stefan Edberg not only  
has six Grand Slam titles
under his belt, but he’s
also a passionate investor.
Edberg, who earned 20
million dollars in prize
money during his career,
now spends some 20 hours
a week in front of a stock
screen. In the Swedish eastern europe
monthly magazine for buying locally
investors Aktiespararen he
revealed his savings ■ Only three of the 10 largest retai- 250 million cubic
meters of new forest
strategy of holding a lers in eastern Europe are interna-
percentage of his savings tional, according to a report from
in shares equal to 100 the British research firm Planet  
minus his age (he’s now Retail. Those that have succeeded In Europe, some 65 percent of the annual growth
41). He says SCA is one of in establishing operations in in forests is harvested, which means a surplus of

photo: ibl bildbyrå

his five favorite stocks. markets in eastern Europe are the
German company Metro, the French
firm Auchan and the Turkish retailer
Migros Türk. Otherwise, the market
is dominated by domestic chains
such as X5 and Magnit in Russia or
about 250 million cubic meters a year, according
to the United Nations Economic Commission for
Europe. The growth in Europe’s forests offsets the
increase in carbon dioxide emissions. It is estima-
ted that one cubic meter of forest absorbs about
one ton of carbon dioxide.

India soon the fifth-largest market

Fozzy and Furshet in Ukraine.

If India continues its high rate of growth, the Indian consumer market will go from being the 12th largest in the
world to the fifth largest in 2025, according to a report from the consulting firm McKinsey.
paperboard
The middle class in India is expected to grow from 50 million today to almost 600 million in 2025. At the same on the rise
time, nearly 300 million Indians will be lifted out of poverty. This consumption pattern in India is also influenced Eastern Europeans prefer domestic retailers. However, German Demand for paperboard as a packaging
by urbanization in the country. Today 42 percent of Indians live in metropolitan areas. By 2025, that figure is Metro is successfully established in the east. material continues to grow. In 2006, sales
expected to reach 62 percent. increased 2.4 percent to almost 5 million
tons in western Europe, according to figures
The 10 largest retailers from CEPI, the Confederation of European
Paper Industries. In Germany,  
in the world in 2006 the largest market,
Sales in million USD, percentage of sales abroad sales increased  
Dirty hands 5 percent, Pack-
a killer   1 Wal-Mart, USA 376 430 22% News reports.
Paper and paper-
A lack of hand hygiene   2 Carrefour, France 122 214 53% board thus defend
among employees in
  3 Metro Group, Germany 87 360 55% their position as  
healthcare causes about
the most frequent-
5,000 deaths every year   4 Tesco, Britain 86 827 25% ly used packa-
in Britain, according to
  5 Seven & I (2) Japan 79 101 34% ging material in
a new study from City
Europe. Their
University in London.   6 Ahold, Netherlands 77 546 82% share is estima-
The infections spread
  7 Kroger, USA 69 549 0% ted at roughly 50
by healthcare workers
photo: ibl bildbyrå

PHoto: erich blunck

percent, versus
could have been preven-   8 Sears, USA 64 833 12%
24 percent for
ted by simply washing
  9 Costco, USA 64 737 20% plastic, 18 percent
photo: istockphoto

their hands, according to

for glass and 8
the study. In the US, the 10 Target, USA 62 584 0%
percent for metal
More can buy Barbie. By 2025, 600 million dirty hands of healthcare
source: Planet Retail packaging.
are expected to join India’s middle class. workers infect 5 percent
of patients.

*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *


In the midst of the digital media revolution,
new records for print newspaper readership are
being set worldwide. The future is not bleak,
it’s just different, says Sverre Munck, executive
vice president of international operations for the
Freedom
Norwegian media group Schibsted.
ofatexpression
by Mattias Andersson photo GETTY IMAGES
no charge
w e find the evidence
overwhelming: This
is change on the grand
scale, driven by a fun-
damentaltransforma-
tion in the connection between humans
and information. “The social impact is
likely to rival the advent of movable type
and mass literacy,” was the finding of
the report “Newspaper Next” from the
American Press Institute. It continues in
a blend of nostalgia, self-criticism and a
doomsday atmosphere:
“Less than a lifetime ago, the news-
paper was the state-of-the-art pipeline,
the only comprehensive information
feed to tide people over from yesterday
to tomorrow. There was no substitute.
The near monopoly ended decades ago,
but a sense of indispensability still col-
ors the industry’s consciousness.”
Taking a quick look, everything
should be fine and dandy in the media
market. The economy is at full speed
in most countries, and readership has
never been greater. Never before has an
industry had so many people in such a
strong grip for such a large part of their
waking hours.
shape cover
Aging readers. In the US,
60 percent of adults born in the
1930s read a daily newspaper,
compared to 40 percent for those
born in the 1950s and 20 percent
for those born in the 1970s.
The average American adult spends
seven and a half hours of each waking
day on some form of media consump-
tion; other Westerners show a similar
tendency.
In rapidly growing economies
like China and India, hundreds of thou-
sands of news-hungry consumers are
added each week.
Still, there are such hard winds blow-
ing across the newspaper seas that many
of the older battleships are set to found-
er. Heavyweights like The Los Angeles
Times and the French daily Libération
are tottering on the brink of bankrupt-
cy. At The New York Times – known
in the industry as the Gray Lady – the
fourth generation of owners, the Ochs-
Sulzberger family, are contending with
dissatisfied investors demanding a bet-
ter yield on their money.
Newspaper mogul Rupert Murdoch

and his News Corp empire have sub-
mitted a bid for the institutions Dow
The average American adult spends seven and a half
Jones and The Wall Street Journal. The hours of each waking day on some form of media consumption;
bid was described as friendly, but Mur-
doch’s comments in an interview – that
other Westerners show a similar tendency.”
he is “frustrated by the long stories” and
[ 2 *2007 ] SHAPE SCA *

In the midst of the digital media revolution,
new records for print newspaper readership are
being set worldwide. The future is not bleak,
it’s just different, says Sverre Munck, executive
vice president of international operations for the
Freedom
Norwegian media group Schibsted.
ofatexpression
by Mattias Andersson photo GETTY IMAGES
no charge
w e find the evidence
overwhelming: This
is change on the grand
scale, driven by a fun-
damentaltransforma-
tion in the connection between humans
and information. “The social impact is
likely to rival the advent of movable type
and mass literacy,” was the finding of
the report “Newspaper Next” from the
American Press Institute. It continues in
a blend of nostalgia, self-criticism and a
doomsday atmosphere:
“Less than a lifetime ago, the news-
paper was the state-of-the-art pipeline,
the only comprehensive information
feed to tide people over from yesterday
to tomorrow. There was no substitute.
The near monopoly ended decades ago,
but a sense of indispensability still col-
ors the industry’s consciousness.”
Taking a quick look, everything
should be fine and dandy in the media
market. The economy is at full speed
in most countries, and readership has
never been greater. Never before has an
industry had so many people in such a
strong grip for such a large part of their
waking hours.
shape cover
Aging readers. In the US,
60 percent of adults born in the
1930s read a daily newspaper,
compared to 40 percent for those
born in the 1950s and 20 percent
for those born in the 1970s.
The average American adult spends
seven and a half hours of each waking
day on some form of media consump-
tion; other Westerners show a similar
tendency.
In rapidly growing economies
like China and India, hundreds of thou-
sands of news-hungry consumers are
added each week.
Still, there are such hard winds blow-
ing across the newspaper seas that many
of the older battleships are set to found-
er. Heavyweights like The Los Angeles
Times and the French daily Libération
are tottering on the brink of bankrupt-
cy. At The New York Times – known
in the industry as the Gray Lady – the
fourth generation of owners, the Ochs-
Sulzberger family, are contending with
dissatisfied investors demanding a bet-
ter yield on their money.
Newspaper mogul Rupert Murdoch

and his News Corp empire have sub-
mitted a bid for the institutions Dow
The average American adult spends seven and a half
Jones and The Wall Street Journal. The hours of each waking day on some form of media consumption;
bid was described as friendly, but Mur-
doch’s comments in an interview – that
other Westerners show a similar tendency.”
he is “frustrated by the long stories” and
[ 2 *2007 ] SHAPE SCA *
shape cover
that he rarely reads an article in WSJ all
the way to the end – have caused con-
cern about the future.
Considering they’re in an industry
focused on news, newspaper companies
have been surprisingly reluctant to em-
brace changes in their own operations.
In a world characterized by tech-
nological development, cross-border
business deals and an aggressive drive to
improve productivity, the major news-
papers have been remarkable strong-
holds of conservatism when it comes to
their own core activity – the method of
packaging and distributing information.
Many of the newspapers that are now
facing a crash diet developed their bad
habits in the shelter of cozy monopo-
lies. Even before computer technol-
ogy opened the digital floodgates, many
were already struggling with escalating
costs, cumbersome organizations and a
lack of self-awareness.
“Traditional paid newspapers have
had a long decline, and the trend is con-
tinuing, but personally I don’t see the
future as bleak,” says Sverre Munck, ex-
ecutive vice president for international
operations for the Norwegian media
group Schibsted, adding:
“Most trends today are headed to-
wards digital. But a strong trend in the
printed media is free newspapers, which
are growing rapidly. In Spain, for in-
stance, half the newspaper circulation
today is free newspapers.”
The Schibsted media group started
as a printing house in Norway in 1839,
global advance
in the newspaper
industry
 1 .4 billion read paid newspapers
every day.
 In five years, the number of
newspaper readers in the world
has increased 9.95 percent.
 The number of free newspapers
increased from 12 million a day
in 2001 to 28 million in 2005.
(source: World Association of Newspapers)
*SCA SHAPE [ 2 *2007 ]
but its successful expansion and invest-
ment in digital media over the last ten
years have turned this Norwegian com-
pany into a role model, its headquarters
becoming a place of pilgrimage for del-
egations from crisis-stricken newspaper
companies from far and wide.
“We’re not better than others at pre-
dicting the future, but we’ve been quick-
est to adapt to changes,” says Munck.
In its Norwegian home market, the
media company owns the two largest
newspapers, Verdens Gang and Af-
tenposten, as well as a large number
of local papers. In Sweden, the com-
pany is part-owner of two of the most
noted turnarounds in the national mar-
ket – the tabloid Aftonbladet and the
morning paper Svenska Dagbladet.
Both were the number-two papers in
their markets, suffered from chronic
problems with profitability and had a
deeply engrained aversion to any kind
of change. The turnaround began first
at Aftonbladet, and the newspaper is
now the largest in Sweden, particularly
online. Svenska Dagbladet has lifted
itself out of what was considered to be
a permanent crisis and today is a profit-
able newspaper with a successful online
business news venture.
Even though newspapers with high
profiles are attracting the most attention,
it’s in a less glamorous area of tradition-
al newspaper operations that Schibsted
celebrated its greatest triumph. With
the digital revolution, traditional classi-
fied ads have moved online, lost forever
as a steady source of income. Today, the
Most trends today are
headed towards digital. But
a strong trend in the printed
media is free newspapers,
which are growing rapidly,
says Sverre Munck, executive
vice president for interna-
tional operations for the
Norwegian media group
Schibsted.
We’re not better than others at
predicting the future, but we’ve been quickest
to adapt to changes.”
digital advertising websites finn.no and
blocket.se are increasingly important
cash cows for Schibsted.
“I see the decision to hive off finn.no
from Aftenposten and allow it to com-
pete as a separate operation is one of the
most important strategic decisions in
Schibsted’s history. In order to succeed,
you need owners that are willing to pay
the price of cannibalizing between dif-
ferent divisions at the start,” Munck
notes.
After its success with the free
newspaper 20 minutes in France and
Britain, Schibsted is eying other coun-
tries in Europe.
“We have experience with free news-
papers and digital development. There,
we’re farther along than many others.
We’ll be investing considerably more
outside Norway and Sweden in the next
few years, with the exception of Britain
and the US, where they’re already much
farther ahead and we don’t have the
same advantages,” Munck says.
One of the decisive factors is whether
newspaper revenues from online adver-
tising can compensate for the future loss
of ads in the printed newspaper. Cer-
tainly, local ads are growing rapidly, but
in the Nordic countries, they still only
represent about 10 percent of total ad
revenues, while in most other countries
the figure is considerably lower.
Once again, Munck sees opportuni-
ties in what most people see as a threat.
“I believe there will be a second wave
of growth after the next economic
downturn. By then, many of the estab-
lished newspapers will also have been
knocked out,” he notes.
He is more optimistic about the de-
velopment in printed media globally.
“Globally, I strongly believe in growth
with Indian and China. They’ll go off-
line at the same time as going online. It’s
incredibly inspiring to see how newspa-
pers develop there,” Munck says.
In the rapidly growing econo-
mies, there are new target groups that
are hungry for information and now
also have money to get it. The situation
is the reverse in established markets.
“When 20 minutes was launched in
Spain, the newspaper El País increased
its number of pages. That was a mis-
take. In France, Le Monde published
a supplement once a week which was a

summary of The New York Times and
was a fantastic product. But that wasn’t
the answer to the challenge from free
newspapers. Readers don’t want more
content in their papers,” says Munck.
If the Norwegian experience high-
[ 2 *2007 ] SHAPE SCA *
shape cover
that he rarely reads an article in WSJ all
the way to the end – have caused con-
cern about the future.
Considering they’re in an industry
focused on news, newspaper companies
have been surprisingly reluctant to em-
brace changes in their own operations.
In a world characterized by tech-
nological development, cross-border
business deals and an aggressive drive to
improve productivity, the major news-
papers have been remarkable strong-
holds of conservatism when it comes to
their own core activity – the method of
packaging and distributing information.
Many of the newspapers that are now
facing a crash diet developed their bad
habits in the shelter of cozy monopo-
lies. Even before computer technol-
ogy opened the digital floodgates, many
were already struggling with escalating
costs, cumbersome organizations and a
lack of self-awareness.
“Traditional paid newspapers have
had a long decline, and the trend is con-
tinuing, but personally I don’t see the
future as bleak,” says Sverre Munck, ex-
ecutive vice president for international
operations for the Norwegian media
group Schibsted, adding:
“Most trends today are headed to-
wards digital. But a strong trend in the
printed media is free newspapers, which
are growing rapidly. In Spain, for in-
stance, half the newspaper circulation
today is free newspapers.”
The Schibsted media group started
as a printing house in Norway in 1839,
global advance
in the newspaper
industry
 1 .4 billion read paid newspapers
every day.
 In five years, the number of
newspaper readers in the world
has increased 9.95 percent.
 The number of free newspapers
increased from 12 million a day
in 2001 to 28 million in 2005.
(source: World Association of Newspapers)
*SCA SHAPE [ 2 *2007 ]
but its successful expansion and invest-
ment in digital media over the last ten
years have turned this Norwegian com-
pany into a role model, its headquarters
becoming a place of pilgrimage for del-
egations from crisis-stricken newspaper
companies from far and wide.
“We’re not better than others at pre-
dicting the future, but we’ve been quick-
est to adapt to changes,” says Munck.
In its Norwegian home market, the
media company owns the two largest
newspapers, Verdens Gang and Af-
tenposten, as well as a large number
of local papers. In Sweden, the com-
pany is part-owner of two of the most
noted turnarounds in the national mar-
ket – the tabloid Aftonbladet and the
morning paper Svenska Dagbladet.
Both were the number-two papers in
their markets, suffered from chronic
problems with profitability and had a
deeply engrained aversion to any kind
of change. The turnaround began first
at Aftonbladet, and the newspaper is
now the largest in Sweden, particularly
online. Svenska Dagbladet has lifted
itself out of what was considered to be
a permanent crisis and today is a profit-
able newspaper with a successful online
business news venture.
Even though newspapers with high
profiles are attracting the most attention,
it’s in a less glamorous area of tradition-
al newspaper operations that Schibsted
celebrated its greatest triumph. With
the digital revolution, traditional classi-
fied ads have moved online, lost forever
as a steady source of income. Today, the
Most trends today are
headed towards digital. But
a strong trend in the printed
media is free newspapers,
which are growing rapidly,
says Sverre Munck, executive
vice president for interna-
tional operations for the
Norwegian media group
Schibsted.
We’re not better than others at
predicting the future, but we’ve been quickest
to adapt to changes.”
digital advertising websites finn.no and
blocket.se are increasingly important
cash cows for Schibsted.
“I see the decision to hive off finn.no
from Aftenposten and allow it to com-
pete as a separate operation is one of the
most important strategic decisions in
Schibsted’s history. In order to succeed,
you need owners that are willing to pay
the price of cannibalizing between dif-
ferent divisions at the start,” Munck
notes.
After its success with the free
newspaper 20 minutes in France and
Britain, Schibsted is eying other coun-
tries in Europe.
“We have experience with free news-
papers and digital development. There,
we’re farther along than many others.
We’ll be investing considerably more
outside Norway and Sweden in the next
few years, with the exception of Britain
and the US, where they’re already much
farther ahead and we don’t have the
same advantages,” Munck says.
One of the decisive factors is whether
newspaper revenues from online adver-
tising can compensate for the future loss
of ads in the printed newspaper. Cer-
tainly, local ads are growing rapidly, but
in the Nordic countries, they still only
represent about 10 percent of total ad
revenues, while in most other countries
the figure is considerably lower.
Once again, Munck sees opportuni-
ties in what most people see as a threat.
“I believe there will be a second wave
of growth after the next economic
downturn. By then, many of the estab-
lished newspapers will also have been
knocked out,” he notes.
He is more optimistic about the de-
velopment in printed media globally.
“Globally, I strongly believe in growth
with Indian and China. They’ll go off-
line at the same time as going online. It’s
incredibly inspiring to see how newspa-
pers develop there,” Munck says.
In the rapidly growing econo-
mies, there are new target groups that
are hungry for information and now
also have money to get it. The situation
is the reverse in established markets.
“When 20 minutes was launched in
Spain, the newspaper El País increased
its number of pages. That was a mis-
take. In France, Le Monde published
a supplement once a week which was a

summary of The New York Times and
was a fantastic product. But that wasn’t
the answer to the challenge from free
newspapers. Readers don’t want more
content in their papers,” says Munck.
If the Norwegian experience high-
[ 2 *2007 ] SHAPE SCA *
shape cover
Online operations are king
and have to be made the central part of all
news company operations.”
lights the need for new business models
in established companies, the models
mean new working methods for edito-
rial boards.
“Online operations are king and have
to be made the central part of all news
company operations,” the American
media guru Mario Garcia insists.
Garcia is the architect behind
the design of a number of well-known
newspapers like The Wall Street Jour-
nal and recently received an award for
his new design for the French paper La
Tribune. His good news for the newspa-
per industry is that the basis of operations
– choosing and packaging news – pro-
vides them with favorable conditions for
defending and extending their position
in a world awash with information.
Alongside search engines like Yahoo
and Google and e-trade websites like
eBay, media companies are defending
their leading positions online.
In order to grow and to defend these
positions, companies have to sharpen
their tools and remember to deliver what
readers want, rather than what journal-
ists want to write.
“Readers have become more selec-
tive and are demanding more from their
editors. But readers are still demanding
good journalism,” Garcia notes.
Journalists that have recently adjust-
ed their texts from broadsheet to the nar-
rower tabloid format now have to learn
the rules of the online game. And that
doesn’t mean primarily writing shorter
texts. In fact, online readers often read
longer texts, according to Garcia’s sur-
veys of the American market. However,
catchier headlines and strong leads are
10*SCA SHAPE [ 2 *2007
2006]]
needed online, along with texts that,
like exciting TV series, captivate read-
ers and persuade them, every twenty
lines, to continue on to the next page.
One major challenge is to find new
business models and revenues. Despite
strong growth, online advertising ac-
counts for only a fraction of newspaper
revenues.
Traditional newspapers also
have faithful readers, like Timothy
Balding at the industry organization
World Association of Newspapers. He
notes that the association’s own figures
indicate global growth and a marginal
increase in Europe as well:
“The growing number of publica-
tions in the world has gone unnoticed
by many pundits who are obsessed with
the digital media revolution. Despite the
sharp focus on digital trends, printed
newspapers have been responsible for
a number of new innovations,” he says
and points to printed free newspapers as
an example.
“I don’t think we’ll see fewer printed
media overall, but in the established me-
dia companies, the printed paper will
no longer have the same central posi-
tion,” says Garcia, adding that the ru-
mors of the death of the newspaper are
premature.
“When the art of book printing made
its breakthrough, the Church worried
that it would empty the pews of wor-
shippers. A few hundred years later,
newspapers in the 18th century were
supposed to mean the end of the book.
None of this happened, and I don’t
think newspapers will die out; they’ll
just change.” ▲

DM boosts demand for newsprint
■ Structural changes in the media
industry have meant increased de-
mand for newsprint for direct mail.
And the outlook is good for dra-
matic growth in sales of newsprint
in developing countries, according
to Rolf Johannesson, marketing
manager, SCA Graphic Sundsvall.
The Internet has sparked a
veritable revolution in the daily-
newspaper industry. The papers
that have been quickest to adapt
to the new media also seem to
be the ones that are doing best.
Deliver what readers
want, rather than what
European newspapers have been
journalists want to write,
recommends the
American media guru
Mario Garcia.
8 hot trends in the
media industry
1
From monopolY to limitless cyberspace
■ It wasn’t long ago that newspaper moguls were sitting comfortably on their
thrones of printing presses and distribution channels. TV and radio stations
were often state monopolies or licensors that ran operations in networks with
extremely limited bandwidth.
With satellite and now digital technology, a lack of space has been transfor-
med into a surplus with relatively low entry thresholds for new players. The
advertising pie has grown, but the number of players fighting for a slice of the
action has increased many times over.
generally faster than American
papers in making the switch, and
this is evident in the trend towards
stronger demand for newsprint in
Europe.
“The Internet is now the fastest-
growing advertising medium. How-
ever, we see that Internet advertis-
ing needs the support of print ads
in daily papers or via DM in order
to grab consumers’ attention and
get them to go to the web to find
out more or make their purchases.
The volume of direct mail has
increased dramatically in recent
years and is now consuming enor-
mous amounts of newsprint,” says
Rolf Johannesson.
He is convinced that consump-
tion of newsprint, while remaining
at a stable level in Europe, will
increase heavily in developing
countries.
“The producers that have in-
vested in modern, efficient paper
production facilities will be the
ones that are best equipped to
meet the structural transformation
that we are now under-going.”
2. Locals and spe-
cialists selling
well
■ It’s easier and cheaper today to
produce newspapers. This has led
to a veritable explosion in the mag-
azine industry with more specialist
publications. The same mechanism
is at work in the news business – the
hunt for unique and clearly defined
target groups – which has given rise
to”On-line
more localverksamheten
newspapersär kung och
focused
måste
on smaller, clearly defined geo- i alla
sättas som den centrala delen
nyhetsorganisationers verksamhet”,w
graphic areas. Many local newspa-
pers are already used to working
with limited resources and with
employees who can write, take
photographs and edit their own
web pages. The traditional national
media have the greatest problem,
as they target everybody and thus
risk reaching no one.
3. readers taking
power from jour-
nalists
■ What journalists write about

is often not the same thing their
audience wants to read about.
Readers want more local material,
practical advice about their pri-
vate finances and purchases, and
entertainment – especially about
royals, if you please. Even editors
outside one-party states have had
[ 2 *2007 ] SHAPE SCA *11
shape cover
Online operations are king
and have to be made the central part of all
news company operations.”
lights the need for new business models
in established companies, the models
mean new working methods for edito-
rial boards.
“Online operations are king and have
to be made the central part of all news
company operations,” the American
media guru Mario Garcia insists.
Garcia is the architect behind
the design of a number of well-known
newspapers like The Wall Street Jour-
nal and recently received an award for
his new design for the French paper La
Tribune. His good news for the newspa-
per industry is that the basis of operations
– choosing and packaging news – pro-
vides them with favorable conditions for
defending and extending their position
in a world awash with information.
Alongside search engines like Yahoo
and Google and e-trade websites like
eBay, media companies are defending
their leading positions online.
In order to grow and to defend these
positions, companies have to sharpen
their tools and remember to deliver what
readers want, rather than what journal-
ists want to write.
“Readers have become more selec-
tive and are demanding more from their
editors. But readers are still demanding
good journalism,” Garcia notes.
Journalists that have recently adjust-
ed their texts from broadsheet to the nar-
rower tabloid format now have to learn
the rules of the online game. And that
doesn’t mean primarily writing shorter
texts. In fact, online readers often read
longer texts, according to Garcia’s sur-
veys of the American market. However,
catchier headlines and strong leads are
10*SCA SHAPE [ 2 *2007
2006]]
needed online, along with texts that,
like exciting TV series, captivate read-
ers and persuade them, every twenty
lines, to continue on to the next page.
One major challenge is to find new
business models and revenues. Despite
strong growth, online advertising ac-
counts for only a fraction of newspaper
revenues.
Traditional newspapers also
have faithful readers, like Timothy
Balding at the industry organization
World Association of Newspapers. He
notes that the association’s own figures
indicate global growth and a marginal
increase in Europe as well:
“The growing number of publica-
tions in the world has gone unnoticed
by many pundits who are obsessed with
the digital media revolution. Despite the
sharp focus on digital trends, printed
newspapers have been responsible for
a number of new innovations,” he says
and points to printed free newspapers as
an example.
“I don’t think we’ll see fewer printed
media overall, but in the established me-
dia companies, the printed paper will
no longer have the same central posi-
tion,” says Garcia, adding that the ru-
mors of the death of the newspaper are
premature.
“When the art of book printing made
its breakthrough, the Church worried
that it would empty the pews of wor-
shippers. A few hundred years later,
newspapers in the 18th century were
supposed to mean the end of the book.
None of this happened, and I don’t
think newspapers will die out; they’ll
just change.” ▲

DM boosts demand for newsprint
■ Structural changes in the media
industry have meant increased de-
mand for newsprint for direct mail.
And the outlook is good for dra-
matic growth in sales of newsprint
in developing countries, according
to Rolf Johannesson, marketing
manager, SCA Graphic Sundsvall.
The Internet has sparked a
veritable revolution in the daily-
newspaper industry. The papers
that have been quickest to adapt
to the new media also seem to
be the ones that are doing best.
Deliver what readers
want, rather than what
European newspapers have been
journalists want to write,
recommends the
American media guru
Mario Garcia.
8 hot trends in the
media industry
1
From monopolY to limitless cyberspace
■ It wasn’t long ago that newspaper moguls were sitting comfortably on their
thrones of printing presses and distribution channels. TV and radio stations
were often state monopolies or licensors that ran operations in networks with
extremely limited bandwidth.
With satellite and now digital technology, a lack of space has been transfor-
med into a surplus with relatively low entry thresholds for new players. The
advertising pie has grown, but the number of players fighting for a slice of the
action has increased many times over.
generally faster than American
papers in making the switch, and
this is evident in the trend towards
stronger demand for newsprint in
Europe.
“The Internet is now the fastest-
growing advertising medium. How-
ever, we see that Internet advertis-
ing needs the support of print ads
in daily papers or via DM in order
to grab consumers’ attention and
get them to go to the web to find
out more or make their purchases.
The volume of direct mail has
increased dramatically in recent
years and is now consuming enor-
mous amounts of newsprint,” says
Rolf Johannesson.
He is convinced that consump-
tion of newsprint, while remaining
at a stable level in Europe, will
increase heavily in developing
countries.
“The producers that have in-
vested in modern, efficient paper
production facilities will be the
ones that are best equipped to
meet the structural transformation
that we are now under-going.”
2. Locals and spe-
cialists selling
well
■ It’s easier and cheaper today to
produce newspapers. This has led
to a veritable explosion in the mag-
azine industry with more specialist
publications. The same mechanism
is at work in the news business – the
hunt for unique and clearly defined
target groups – which has given rise
to”On-line
more localverksamheten
newspapersär kung och
focused
måste
on smaller, clearly defined geo- i alla
sättas som den centrala delen
nyhetsorganisationers verksamhet”,w
graphic areas. Many local newspa-
pers are already used to working
with limited resources and with
employees who can write, take
photographs and edit their own
web pages. The traditional national
media have the greatest problem,
as they target everybody and thus
risk reaching no one.
3. readers taking
power from jour-
nalists
■ What journalists write about

is often not the same thing their
audience wants to read about.
Readers want more local material,
practical advice about their pri-
vate finances and purchases, and
entertainment – especially about
royals, if you please. Even editors
outside one-party states have had
[ 2 *2007 ] SHAPE SCA *11
shape cover

a tendency to instruct readers and, 5. free for all

somewhat rightly, have claimed that
journalism is different from producing
hot dogs or sneakers. Journalists have
■ Free newspapers abound in subway stations and other local-transit junc-
tions in urban areas. The number of free newspapers has increased from
The Internet today
often preferred to report on foreign
countries than compare telecom
12 million a day in 2001 to 28 million in 2005. At the same time, an ever-
declining share of people who read paid newspapers pay full price. Today,
is swarming with
rates. most newspapers – purely as an instinct of self-preservation – also give their
material away for free online. Exceptions to date have been heavy hitters with
ghost bloggers and
empty discussion
In the news arena, these different
views weren’t a problem – in any case unique material aimed at a clear, well-to-do target group like The Financial
Times and The Economist. Free news is being set as the norm.
not on editorial boards – as long as
readers in reality had no other alter- forums abandoned by their
natives. Today the power of balance
has tipped in the readers’ favor, and webmasters. The blog trend,
even highbrow newspapers have been
forced to adapt to readers’ demands. as measured in the number of
There is ongoing debate in a number
of fields on topics like the erosion of
blogs, is thus predicted to pla-
foreign news reporting, which has suf-
fered the greatest cuts.
teau this year and then decline
At the same time, using the Internet,
the public can now follow the French
over the next few years.”

6 8
elections in Le Monde, American
politics in The Washington Post and
Indian business developments via a
number of lively Indian newspapers
on location. Research results, reports
and information about the stock mar-
ket and other matters are freely avai-
lable online to people who were once
reduced to following some stressed
foreign correspondent at the national
paper in their own distribution area.
4. the hunt for the
exlusive reader
■ Quick reactions have become even
quicker now that adaptive creature
known as man has polished his sorting
skills to avoid drowning in a flood of
information. The scanner is the new
kind of reader who quickly sifts out
what is unimportant or already known
and rarely reads an article from begin-
ning to end. The time that an average
newspaper reader takes to study
the front page of the morning paper
has shrunk from 25 to 10 seconds.
Research also shows that scanners
are found to a considerably greater
extent among young readers.
It takes the
average newspa-
per reader ten
seconds to study
the front page
of the morning
paper.
the invasion of citizen journalists
■ Citizen newspapers or citizen jour-
nalism, as with blogging, was given
its start by digital technology. No ex-
pensive printing presses are needed
on the Internet, and journalists have
a direct channel to an audience of
billions. The dazzling success story
in this genre is Ohmy News, a South
Korean online newspaper with
700,000 daily visitors. What makes
the newspaper unique is that it is
written by amateurs who receive no
pay for their work.
The newspaper started as a politi-
cal project. Its founder, journalist Oh
Yeon Ho, wanted to balance what he
considered to be politically conser-
vative media in his home country.
Despite its not-for-profit platform,
Ohmy News has operated in the
black since 2003 and has started a
branch in the US. Nor have its citizen
writers come away empty-handed.
Readers can easily donate money
using their cell phone or credit card
for the articles they like best. The
record to date is said to be 30,000
dollars.
According to founder Oh, the rea-
son for the newspaper’s success is
that “in South Korea, we have useful
strengths among the population.
They’re well-educated and eager to
change the system.”
Ohmy News has been an inspira-
tion to friends of citizen journalism
the world over. However, elsewhere,
the appearance of amateurs has
created more problems that it has
addressed. The Metro newspaper
in Sweden made a big deal out of
hiring a group of enthusiasts as local
correspondents in Stockholm. But it
turned out to take so much energy to
administer these untrained enthusi-
asts that the project was quickly put
on the back burner.
Still, citizens have made their entry
in the media in other ways as well.
For major news events, it is increa-
singly common to have pictures ta-
ken by amateurs equipped with the
usual camera cell phones and video
cameras.
Citizen journalism has also come
under criticism for promoting the
spread of rumors and errors. After
Hurricane Katrina, bloggers and
amateur reporters were assigned a
large share of the blame for exagge-
rated stories of violence and assaults
in the wake of the storm.
7. daily newspapers
are not selling news
■ In a connected world, it’s difficult to
be the first one out with the news on
paper. A survey of Wall Street Journal
readers showed that they already knew
60 percent of the most important news
of the day when they picked up the
paper. Anyone who understands exactly
where in the information cycle pure
news, background and follow-up stories
should be placed can be the reader’s
best friend. Now, after a sluggish start,
many newspapers have begun to invest
in earnest in their online news, which
has employed a growing number of
journalists. In particular, newspapers
with a leading position in national
markets have been able to compete in
the news race with TV and radio with
continually updated news online.
blogs on the decline
■ With blogs – and their filmed
counterpart, vlogs – people other
than writers, career politicians and
various celebrities have also had
an opportunity to keep a diary in
public. The wide reaches of the
blogosphere provide a habitat for
a dizzying array of flora: everyone
from professional opinion-makers
– politicians, editorial writers and
others who have found yet another
channel to express their paid views
– to individuals conveying private
reflections largely of interest to
their friends and family.
So far, the blog’s main contribu-
tion to the media world has been
as an experimental workshop for
budding media careers and writ-
ing projects as well as an important
source of information for traditional
media in a number of political scan-
dals. These include the departure of
the American television personality
Dan Rather from his job at CBS after
a political blog revealed errors in
investigative reporting about Presi-
dent Bush.
Blogs have also given semi-official
status to all the gossip circulating on
editorial boards and the corridors
of politics. PR consultants, lobby-
ists and marketers use blogs today
in the same way that people once
used letters to the editor in order
to stimulate popular opinion and
promote their personal agendas for
paying clients.
Established players who are wor-
ried about the future have staked
a claim in their own blog territory
with the help of money. One of these
is the newspaper mogul Murdoch
(News Corporation), who acquired
the popular blogging network
MySpace.
Like established information
providers, bloggers have discovered
that unique information is required
to maintain an audience, and that
requires time and effort.
The Internet today is swarming with
ghost bloggers and empty discussion
forums abandoned by their webmas-
ters. The blog trend, as measured in
the number of blogs, is thus pre-
dicted to plateau this year and then
decline over the next few years.

12*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *13

shape cover

a tendency to instruct readers and, 5. free for all

somewhat rightly, have claimed that
journalism is different from producing
hot dogs or sneakers. Journalists have
■ Free newspapers abound in subway stations and other local-transit junc-
tions in urban areas. The number of free newspapers has increased from
The Internet today
often preferred to report on foreign
countries than compare telecom
12 million a day in 2001 to 28 million in 2005. At the same time, an ever-
declining share of people who read paid newspapers pay full price. Today,
is swarming with
rates. most newspapers – purely as an instinct of self-preservation – also give their
material away for free online. Exceptions to date have been heavy hitters with
ghost bloggers and
empty discussion
In the news arena, these different
views weren’t a problem – in any case unique material aimed at a clear, well-to-do target group like The Financial
Times and The Economist. Free news is being set as the norm.
not on editorial boards – as long as
readers in reality had no other alter- forums abandoned by their
natives. Today the power of balance
has tipped in the readers’ favor, and webmasters. The blog trend,
even highbrow newspapers have been
forced to adapt to readers’ demands. as measured in the number of
There is ongoing debate in a number
of fields on topics like the erosion of
blogs, is thus predicted to pla-
foreign news reporting, which has suf-
fered the greatest cuts.
teau this year and then decline
At the same time, using the Internet,
the public can now follow the French
over the next few years.”

6 8
elections in Le Monde, American
politics in The Washington Post and
Indian business developments via a
number of lively Indian newspapers
on location. Research results, reports
and information about the stock mar-
ket and other matters are freely avai-
lable online to people who were once
reduced to following some stressed
foreign correspondent at the national
paper in their own distribution area.
4. the hunt for the
exlusive reader
■ Quick reactions have become even
quicker now that adaptive creature
known as man has polished his sorting
skills to avoid drowning in a flood of
information. The scanner is the new
kind of reader who quickly sifts out
what is unimportant or already known
and rarely reads an article from begin-
ning to end. The time that an average
newspaper reader takes to study
the front page of the morning paper
has shrunk from 25 to 10 seconds.
Research also shows that scanners
are found to a considerably greater
extent among young readers.
It takes the
average newspa-
per reader ten
seconds to study
the front page
of the morning
paper.
the invasion of citizen journalists
■ Citizen newspapers or citizen jour-
nalism, as with blogging, was given
its start by digital technology. No ex-
pensive printing presses are needed
on the Internet, and journalists have
a direct channel to an audience of
billions. The dazzling success story
in this genre is Ohmy News, a South
Korean online newspaper with
700,000 daily visitors. What makes
the newspaper unique is that it is
written by amateurs who receive no
pay for their work.
The newspaper started as a politi-
cal project. Its founder, journalist Oh
Yeon Ho, wanted to balance what he
considered to be politically conser-
vative media in his home country.
Despite its not-for-profit platform,
Ohmy News has operated in the
black since 2003 and has started a
branch in the US. Nor have its citizen
writers come away empty-handed.
Readers can easily donate money
using their cell phone or credit card
for the articles they like best. The
record to date is said to be 30,000
dollars.
According to founder Oh, the rea-
son for the newspaper’s success is
that “in South Korea, we have useful
strengths among the population.
They’re well-educated and eager to
change the system.”
Ohmy News has been an inspira-
tion to friends of citizen journalism
the world over. However, elsewhere,
the appearance of amateurs has
created more problems that it has
addressed. The Metro newspaper
in Sweden made a big deal out of
hiring a group of enthusiasts as local
correspondents in Stockholm. But it
turned out to take so much energy to
administer these untrained enthusi-
asts that the project was quickly put
on the back burner.
Still, citizens have made their entry
in the media in other ways as well.
For major news events, it is increa-
singly common to have pictures ta-
ken by amateurs equipped with the
usual camera cell phones and video
cameras.
Citizen journalism has also come
under criticism for promoting the
spread of rumors and errors. After
Hurricane Katrina, bloggers and
amateur reporters were assigned a
large share of the blame for exagge-
rated stories of violence and assaults
in the wake of the storm.
7. daily newspapers
are not selling news
■ In a connected world, it’s difficult to
be the first one out with the news on
paper. A survey of Wall Street Journal
readers showed that they already knew
60 percent of the most important news
of the day when they picked up the
paper. Anyone who understands exactly
where in the information cycle pure
news, background and follow-up stories
should be placed can be the reader’s
best friend. Now, after a sluggish start,
many newspapers have begun to invest
in earnest in their online news, which
has employed a growing number of
journalists. In particular, newspapers
with a leading position in national
markets have been able to compete in
the news race with TV and radio with
continually updated news online.
blogs on the decline
■ With blogs – and their filmed
counterpart, vlogs – people other
than writers, career politicians and
various celebrities have also had
an opportunity to keep a diary in
public. The wide reaches of the
blogosphere provide a habitat for
a dizzying array of flora: everyone
from professional opinion-makers
– politicians, editorial writers and
others who have found yet another
channel to express their paid views
– to individuals conveying private
reflections largely of interest to
their friends and family.
So far, the blog’s main contribu-
tion to the media world has been
as an experimental workshop for
budding media careers and writ-
ing projects as well as an important
source of information for traditional
media in a number of political scan-
dals. These include the departure of
the American television personality
Dan Rather from his job at CBS after
a political blog revealed errors in
investigative reporting about Presi-
dent Bush.
Blogs have also given semi-official
status to all the gossip circulating on
editorial boards and the corridors
of politics. PR consultants, lobby-
ists and marketers use blogs today
in the same way that people once
used letters to the editor in order
to stimulate popular opinion and
promote their personal agendas for
paying clients.
Established players who are wor-
ried about the future have staked
a claim in their own blog territory
with the help of money. One of these
is the newspaper mogul Murdoch
(News Corporation), who acquired
the popular blogging network
MySpace.
Like established information
providers, bloggers have discovered
that unique information is required
to maintain an audience, and that
requires time and effort.
The Internet today is swarming with
ghost bloggers and empty discussion
forums abandoned by their webmas-
ters. The blog trend, as measured in
the number of blogs, is thus pre-
dicted to plateau this year and then
decline over the next few years.

12*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *13

 trend

Before, design and designer

Booming
brands were something
incredibly expensive that
only a few people bought.”
distribution chain,” she says. “We sign ous year. Bugaboo forecasts growth of 25
agreements with all our suppliers and percent for 2007.
choose products that we stand by.” Even though both the large chains and
Among the baby carriages that the small stores are increasing their sales, the
store carries are two relatively new brands market is far from saturated. Well-known
PHOTO: istockphoto

that have become increasingly common brands like Burberry, Kenzo, Adidas and
on the sidewalks of Europe: Urban Jungle Nike are updating their collections each
and Bugaboo. season. There are also new “smart gad-

CHILDREN’S MARKET The first Bugaboo baby carriage was

Fewer and fewer children are being born in Europe,
yet the range of products for little ones is bigger than
ever. Trend-conscious parents are spending large
sums of money on baby carriages and other items that
meet their exacting demands for form and function.
A European woman today has
on average 1.52 children. Temporary in-
creases have been noted in different areas,
but in general the birth rate in the West-
ern world has been on a clear decline over
the last few decades. Many women wait
until well into their 30s to start a fam-
ily, when they are well established in the
labor force and have a decent salary at
their disposal.
“The consequences could be that par-
ents are investing more in the few children
they have, ” says Hans Lundström, a de-
mographer at Statistics Sweden.
This is a theory that is supported by sales
statistics. Statistics Sweden’s figures for the
Swedish market show that sales of chil-
dren’s clothing have more than doubled in
10 years, from 42 million euros in 1997
to 95 million euros in 2006. Sales in the
toy market increased almost as much,
from 200 million euros in 1997 to almost
359 million euros in 2006.
The birth rate rose somewhat in the
first half of this decade – from 1.55 chil-
dren per woman in 2000 to 1.77 in
2005– but this hardly accounts for the
increase in sales of children’s products.
The large European chain stores con-
firm the trend. Prénatal is an international
chain for children’s clothing that opened
its first store in Milan in 1963. Today the
chain has grown to more than 400 stores
in eight countries – Italy, Spain, the Neth-
erlands, Greece, Portugal, Mexico, Russia
and Cyprus – with annual sales of more
than 400 million euros. And there are fur-
ther plans for expansion. In 2006, Pré-
natal began a global franchising project
aimed at developing the company’s com-
mercial concept in countries where the
chain was not yet represented.
Some niche companies are also invest-
ing in expansion. Simpleworld is a chil-
dren’s store in downtown Stockholm that
opened its doors in 2003. Now its own-
ers are challenging other entrepreneurs
to spread the company’s concept in other
directions via franchising.
“The business concept was born at the
end of the 1990s when I had three children
within three years,” says Nina Hahn, presi-
dent and founder of Simpleworld. “We saw
that the market for children’s products was
a highly neglected industry. There wasn’t
the selection that parents wanted.”
The aim is to base the store’s range
of products on safety, function and de-
sign, she says.
“Before, design and designer brands
were something incredibly expensive that
only a few people bought,” Hahn says.
“Today, there are new brands that have
made a name for themselves, and many
established brands have lowered their
prices for their children’s collections.”
She has also noticed increased aware-
ness and greater social responsibility
among suppliers.
“Many have introduced codes of con-
duct and environmental policies that ex-
tend from the factory floor through the
Today’s parents want
to live an active life,
and for that they need
technically advanced
baby carriages.
foto: istockphoto
Stylish and smart for tomorrow’s parents
■ Today’s parents are more fashion-
conscious and mobile than previous
generations. These are two strong
trends that SCA has captured with a
couple of this spring’s product
launches. Along with the new design
diaper – Spring Collection – with fun,
trendy patterns, there is a new
category of disposable items that
make everyday life easier when you’re
on vacation, sitting in a café or out
shopping.
introduced in the Netherlands in
1999, and now they are sold
in 32 countries. Sales to-
taled 55 milion euros
in 2006, up 28 per-
cent from the previ-
The products go by the names
Easy Change, a disposable changing
table mat, and Easy Meal, a dispos-
able bib.
“Today, parents of small children
often lead really active lives and don’t
always change diapers on their
changing table at home,” says Fredrik
Krook, category marketing manager
at SCA Personal Care. “At the same
time, our surveys show that many
people think the hygiene of public
gets” continually turning up in the mar-
ket, especially for technologically minded
parents. How about a mobile bottle
warmer with a 12-volt plug for your car,
or a baby video monitor for people who
want not only to hear but also to see their
sleeping baby from another room?
Susanna Lidström
changing tables is unsatisfactory.”
SCA’s surveys, which were carried
out by the opinion institute SIFO,
also showed that nearly half of all
parents are receptive to the idea of
disposable bibs.
“Many people don’t want to have
to wash or wipe off the same old
bib,” Krook says. “Easy Meal makes
things easy on trips, and going out
for a bite to eat doesn’t have to mean
a sticky, smelly bib in your bag.”

14*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *15

 trend

Before, design and designer

Booming
brands were something
incredibly expensive that
only a few people bought.”
distribution chain,” she says. “We sign ous year. Bugaboo forecasts growth of 25
agreements with all our suppliers and percent for 2007.
choose products that we stand by.” Even though both the large chains and
Among the baby carriages that the small stores are increasing their sales, the
store carries are two relatively new brands market is far from saturated. Well-known
PHOTO: istockphoto

that have become increasingly common brands like Burberry, Kenzo, Adidas and
on the sidewalks of Europe: Urban Jungle Nike are updating their collections each
and Bugaboo. season. There are also new “smart gad-

CHILDREN’S MARKET The first Bugaboo baby carriage was

Fewer and fewer children are being born in Europe,
yet the range of products for little ones is bigger than
ever. Trend-conscious parents are spending large
sums of money on baby carriages and other items that
meet their exacting demands for form and function.
A European woman today has
on average 1.52 children. Temporary in-
creases have been noted in different areas,
but in general the birth rate in the West-
ern world has been on a clear decline over
the last few decades. Many women wait
until well into their 30s to start a fam-
ily, when they are well established in the
labor force and have a decent salary at
their disposal.
“The consequences could be that par-
ents are investing more in the few children
they have, ” says Hans Lundström, a de-
mographer at Statistics Sweden.
This is a theory that is supported by sales
statistics. Statistics Sweden’s figures for the
Swedish market show that sales of chil-
dren’s clothing have more than doubled in
10 years, from 42 million euros in 1997
to 95 million euros in 2006. Sales in the
toy market increased almost as much,
from 200 million euros in 1997 to almost
359 million euros in 2006.
The birth rate rose somewhat in the
first half of this decade – from 1.55 chil-
dren per woman in 2000 to 1.77 in
2005– but this hardly accounts for the
increase in sales of children’s products.
The large European chain stores con-
firm the trend. Prénatal is an international
chain for children’s clothing that opened
its first store in Milan in 1963. Today the
chain has grown to more than 400 stores
in eight countries – Italy, Spain, the Neth-
erlands, Greece, Portugal, Mexico, Russia
and Cyprus – with annual sales of more
than 400 million euros. And there are fur-
ther plans for expansion. In 2006, Pré-
natal began a global franchising project
aimed at developing the company’s com-
mercial concept in countries where the
chain was not yet represented.
Some niche companies are also invest-
ing in expansion. Simpleworld is a chil-
dren’s store in downtown Stockholm that
opened its doors in 2003. Now its own-
ers are challenging other entrepreneurs
to spread the company’s concept in other
directions via franchising.
“The business concept was born at the
end of the 1990s when I had three children
within three years,” says Nina Hahn, presi-
dent and founder of Simpleworld. “We saw
that the market for children’s products was
a highly neglected industry. There wasn’t
the selection that parents wanted.”
The aim is to base the store’s range
of products on safety, function and de-
sign, she says.
“Before, design and designer brands
were something incredibly expensive that
only a few people bought,” Hahn says.
“Today, there are new brands that have
made a name for themselves, and many
established brands have lowered their
prices for their children’s collections.”
She has also noticed increased aware-
ness and greater social responsibility
among suppliers.
“Many have introduced codes of con-
duct and environmental policies that ex-
tend from the factory floor through the
Today’s parents want
to live an active life,
and for that they need
technically advanced
baby carriages.
foto: istockphoto
Stylish and smart for tomorrow’s parents
■ Today’s parents are more fashion-
conscious and mobile than previous
generations. These are two strong
trends that SCA has captured with a
couple of this spring’s product
launches. Along with the new design
diaper – Spring Collection – with fun,
trendy patterns, there is a new
category of disposable items that
make everyday life easier when you’re
on vacation, sitting in a café or out
shopping.
introduced in the Netherlands in
1999, and now they are sold
in 32 countries. Sales to-
taled 55 milion euros
in 2006, up 28 per-
cent from the previ-
The products go by the names
Easy Change, a disposable changing
table mat, and Easy Meal, a dispos-
able bib.
“Today, parents of small children
often lead really active lives and don’t
always change diapers on their
changing table at home,” says Fredrik
Krook, category marketing manager
at SCA Personal Care. “At the same
time, our surveys show that many
people think the hygiene of public
gets” continually turning up in the mar-
ket, especially for technologically minded
parents. How about a mobile bottle
warmer with a 12-volt plug for your car,
or a baby video monitor for people who
want not only to hear but also to see their
sleeping baby from another room?
Susanna Lidström
changing tables is unsatisfactory.”
SCA’s surveys, which were carried
out by the opinion institute SIFO,
also showed that nearly half of all
parents are receptive to the idea of
disposable bibs.
“Many people don’t want to have
to wash or wipe off the same old
bib,” Krook says. “Easy Meal makes
things easy on trips, and going out
for a bite to eat doesn’t have to mean
a sticky, smelly bib in your bag.”

14*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *15

trend
Ad promoting all-purpose-cloth for pain-
ting and refurbishing, car and bicycle mainte-

CLEAN HANDS,
nance, gardening and many more appliances

SAFER RESTAURANTS
Patrons who suffer from stomach illness after eating at McDonald’s
a restaurant are probably a restaurant owner’s worse chose Tork
nightmare. Stricter regulations for employee hygiene in ■ In more and more McDonald’s
restaurants in Europe went into effect about a year ago. restaurants around Europe, SCA’s
products are now being used in the
restrooms for customers and in the
kitchen. Tork has long been used at
In the United States, thousands Gun Ax is one of some 20 restaurant McDonald’s in the Nordic countries.
of patients end up in the hospital each inspectors in the municipality of Stock- Starting last year, McDonald’s in Ger-
year with food-poisoning they received holm. She visits at least five restaurants a many, France and Britain also chose
from eating at a restaurant. More than a week and admits it’s hard for a restaurant to use SCA’s products. SCA Tissue
thousand of them end up dying. So says patron to determine whether the hygiene won this prestigious order in intense
competition with other suppliers.
a study from the U.S. Centers for Disease at a restaurant is substandard.
Previously, McDonald’s did its paper
Control and Prevention (CDC). In a sur- “It takes a few hours before the food can napkin purchasing only at the corpo-
vey in one municipality in southern Swe- get to their stomach, and that’s when the rate level.
den in 2005, more than one out of every first symptoms appear,” she says. “McDonald’s was very satisfied with
10 restaurants was cited for employee hy- The likelihood that restaurant patrons SCA having delivery coverage across
giene violations. will connect their stomachaches to a visit the whole of Europe,” says Catarina
In the United Kingdom, restaurants can to a restaurant is not great, unless they’re Wickström, SCA Tissue. “The partner-
ship has worked well, and our goal is to
receive stars, smiley-faces or other sym- part of a larger party that ate the same reach out to other countries in Europe.
bols indicating they have proper hygiene thing, which isn’t all that common. Right now, we’re working together to
controls. In the United States, Canada and “So there’s rarely a connection with the develop the optimal solution for
New Zealand there are also such systems restaurant,” Ax says. PETRA LODÉN McDonald’s.”
warning about the (un)cleanliness of res-
taurants. Since January 2006, restaurants
Does the restaurant staff
within the EU must keep clear records of have clean hands?
their hygiene routines and be prepared to
show them at regular inspections.
In some restaurants cited in Sweden
there was neither soap nor paper tow-
els. In others, the sink was cluttered or
blocked, making it difficult for people to
wash their hands. So it’s not hard to un-
derstand that there is a risk that undesir-
able bacteria are being transferred to the
food being served.
Most restaurants choose to have pa-
per towels for both employees and guests.
There is no regulation specifying that res-
taurants have to have disposable towels,
but the Swedish National Food Admin-
istration recommends it.
“It’s really good to have paper towels,”
says Elin Forsgren, a lawyer at the Swedish
PHOto: getty images

Hotel and Restaurant Employers’ Associa-

tion. “There’s no law mandating it, though
it would be expensive to have terrycloth
towels. They have to be changed frequently,
preferably every time they’re used.”

16*SCA SHAPE [ 2 *2007 ]

trend
Ad promoting all-purpose-cloth for pain-
ting and refurbishing, car and bicycle mainte-

CLEAN HANDS,
nance, gardening and many more appliances

SAFER RESTAURANTS
Patrons who suffer from stomach illness after eating at McDonald’s
a restaurant are probably a restaurant owner’s worse chose Tork
nightmare. Stricter regulations for employee hygiene in ■ In more and more McDonald’s
restaurants in Europe went into effect about a year ago. restaurants around Europe, SCA’s
products are now being used in the
restrooms for customers and in the
kitchen. Tork has long been used at
In the United States, thousands Gun Ax is one of some 20 restaurant McDonald’s in the Nordic countries.
of patients end up in the hospital each inspectors in the municipality of Stock- Starting last year, McDonald’s in Ger-
year with food-poisoning they received holm. She visits at least five restaurants a many, France and Britain also chose
from eating at a restaurant. More than a week and admits it’s hard for a restaurant to use SCA’s products. SCA Tissue
thousand of them end up dying. So says patron to determine whether the hygiene won this prestigious order in intense
competition with other suppliers.
a study from the U.S. Centers for Disease at a restaurant is substandard.
Previously, McDonald’s did its paper
Control and Prevention (CDC). In a sur- “It takes a few hours before the food can napkin purchasing only at the corpo-
vey in one municipality in southern Swe- get to their stomach, and that’s when the rate level.
den in 2005, more than one out of every first symptoms appear,” she says. “McDonald’s was very satisfied with
10 restaurants was cited for employee hy- The likelihood that restaurant patrons SCA having delivery coverage across
giene violations. will connect their stomachaches to a visit the whole of Europe,” says Catarina
In the United Kingdom, restaurants can to a restaurant is not great, unless they’re Wickström, SCA Tissue. “The partner-
ship has worked well, and our goal is to
receive stars, smiley-faces or other sym- part of a larger party that ate the same reach out to other countries in Europe.
bols indicating they have proper hygiene thing, which isn’t all that common. Right now, we’re working together to
controls. In the United States, Canada and “So there’s rarely a connection with the develop the optimal solution for
New Zealand there are also such systems restaurant,” Ax says. PETRA LODÉN McDonald’s.”
warning about the (un)cleanliness of res-
taurants. Since January 2006, restaurants
Does the restaurant staff
within the EU must keep clear records of have clean hands?
their hygiene routines and be prepared to
show them at regular inspections.
In some restaurants cited in Sweden
there was neither soap nor paper tow-
els. In others, the sink was cluttered or
blocked, making it difficult for people to
wash their hands. So it’s not hard to un-
derstand that there is a risk that undesir-
able bacteria are being transferred to the
food being served.
Most restaurants choose to have pa-
per towels for both employees and guests.
There is no regulation specifying that res-
taurants have to have disposable towels,
but the Swedish National Food Admin-
istration recommends it.
“It’s really good to have paper towels,”
says Elin Forsgren, a lawyer at the Swedish
PHOto: getty images

Hotel and Restaurant Employers’ Associa-

tion. “There’s no law mandating it, though
it would be expensive to have terrycloth
towels. They have to be changed frequently,
preferably every time they’re used.”

16*SCA SHAPE [ 2 *2007 ]

 trend
PHOTO: getty images
NEW PACKAGING
VITAL TO LIFE
A heart must be transplanted within four hours. But
it’s not just time that is crucial: keeping the tempera-
ture constant also plays a vital role. All this places
major demands on packaging.
Packaging should suit its pur-
pose and be easy to use, but some situ-
ations are highly complicated. In the
biochemistry industry, demand for tem-
perature-controlled packaging solutions
is continually growing, and the pharma-
ceutical industry in particular has a great
need for these. Packaging for the trans-
portation of human organs in conjunc-
tion with transplants is just a small part
of this industry, but certainly a very im-
portant one.
When an organ is to be moved from
one hospital to another, emergency trans-
portation is arranged by a security firm,
sometimes by airplane. Different organs
can keep for different periods of time
without access to blood circulation –
18*SCA SHAPE [ 2 *2007 ]
Temperature stabi-
lity is the key when
transporting an
organ.
what is called ischemia time. A heart
must be transplanted within four hours
from the time the donor’s respirator is
turned off, while kidneys can manage for
up to 24 hours. But speedy shipment is
not the only vital factor. Maintaining the
right temperature is also a matter of life
or death.
Cool Logistics in Bedfordshire in east-
ern England is a company that specializes
in packaging that solves the temperature
problem in different kinds of transpor-
tation. In most cases, it simply involves
maintaining the temperature of a regu-
lar refrigerator, between 2 and 8 degrees
Celsius (36-46 Fahrenheit), although
the requirements may vary considerably.
So do the temperature conditions in the
local environment. Transporting an item
during the winter in Moscow is not the
same as during the summer in southern
Europe.
“Stability is the key word rather than
the actual cooling,” says Richard Perkes,
commercial director at Cool Logistics,
who has extensive experience with pack-
aging solutions as the company’s former
technical manager.
The temperature of transported or-
gans must be kept stable. This is achieved
using different types of cooling elements
in the packaging, which are adjusted de-
pending among other things on where the
transportation takes place. The insula-
tion material is often polystyrene or poly-
urethane. In recent years, the trend has
been toward using more advanced vacu-
um insulation panels, which also reduce
volume considerably.
Requirement standards for tempera-
tures are becoming increasingly rigorous,
as are inspections for ensuring that these re-
quirements are met, according to Perkes.
The number of registered donors is
steadily increasing in Sweden, but un-
fortunately this is not reflected in the
number of actual transplants being per-
formed, and in some European countries
the number of donors is actually declin-
ing. In countries that are part of the co-
operation organizations Eurotransplant
and Scandiatransplant, some 6,500 or-
gan transplants were performed in 2006,
with about 600 of these successful heart
transplants. There could be more if there
were greater knowledge about people’s
desire to donate.
Gunnar lanzky-otto
■ Since October last year, SCA is the
sole owner of Cool Logistics, which also
has production in the Czech Republic.
Cool Logistics, founded in 2000, has
at its disposal today the most extensive
test facilities for temperature-controlled
packaging in Europe.
The temperature-controlled packaging
solutions division is growing in part
because of new requirements that are
continually being added in the pharma­
ceutical industry. These involve not just
the right temperature but also whether
the size and weight of the packaging are
efficient in transportation despite the
complicated insulation.
AD MAKES “HUSH HUSH”
PRODUCTS NORMAL Urine leakage
When customers don’t want to admit they need a pro-
d­­­­uct, how should it be marketed? Viagra, Head & Shoul­ of women
ders and TENA are a few of the names that have succeed-
ed with their campaigns. The keyword is “normalize.”
At the launch of Viagra, perhaps
the world’s best-known pharmaceutical
product, its maker hired Pelé, the finest
athlete in history in the view of many peo-
ple. The ad never said Pelé had problems
with impotence, but he was the right age.
Moreover, he was Latin American macho,
athletic and world-famous. The pharma-
ceutical company also came up with a new
phrase – erectile dysfunction.
The aim was to normalize the prod-
uct, play down the issue, let consumers
know they didn’t have to be ashamed of
their need. Today, Viagra is no longer sur-
rounded by the same sense of taboo. The
same is true of products like diapers, sani-
tary napkins and panty liners.
“For generations ago, you could only
buy sanitary napkins in Sweden at the
state-run drugstore,” says Bengt Eriksson,
category brand manager at SCA Personal
Care. “You got them in brown paper bags.
Today, women can send their husbands to
7-Eleven to buy sanitary napkins and tam-
pons.”
An interesting comparison can be made
to dandruff, which is no longer taboo.
“Head & Shoulders has repositioned dan-
druff shampoo from a medical product to
a daily hygiene product,” Eriksson says.
But some products and issues are still
surrounded by prejudice and a sense of
shame. One example is incontinence.
Marketing in this segment involves break-
ing the sense of taboo. Normalization is
also a keyword in marketing.
“TV is a normalizing medium, so it’s
quite suitable for taboo products,” says
Andy Ravan at the British advertising
agency DLKW, which is in charge of ad-
vertising for SCA’s TENA incontinence
protection. “Not only do we reach a lot of
people, but the message is indirectly con-
veyed that incontinence is so common that
affects 10 percent
■ Urine leakage is more common
than people think. About 10 percent
of women in the Western world
it can be shown on TV.” have problems with involuntary
Eriksson explains the approach: “In our urine leakage. SCA’s Tena line of
commercials, we talk about how inconti- products are the most frequently
nence is as common as hay fever. This way, used products in the world for
people with incontinence problems.
we achieve two things. We establish a con- They are sold to two customer
nection to something harmless and com- groups, private consumers and
pletely lacking a sense of taboo. It’s implied healthcare providers.
that we’re saying it’s common.” “In our marketing communication
The products have been named Lady with private consumers, we want to
get rid of the medical link. But if we
Mini Magic and TENA Pants Discreet,
go too far, then we won’t be cred-
which are supposed to convey a sense of ­ible in healthcare. So we have to
PHOto: getty images
an exciting as well as technically advanced highlight the advantages of the
product. product, which both groups are
“Using words like ‘mini,’ ‘discreet’
and ‘magic,’ which are commonly used
looking for,” says Bengt Eriksson,
category brand manager at SCA
in ads for everything from condoms to Personal Care.
cell phones, positions the product as
something completely normal,” Ravan
says. “The words also suggest that it in-
volves a technically advanced product.”
Ravan talks about the importance of ca-
sual, positive references in everything from
the choice of words in the advertising and
marketing campaign to the design of the
packaging and the products.
Eriksson agrees. “The package has to
be attractive yet discreet,” he says. “Peo-
ple should be able to buy it in their gro-
cery store without customers behind them
knowing what they’re buying.”
The other keyword in the marketing is
“active.” People want to show that they
can still live a completely normal, active
life despite their incontinence.
“In the newspaper ads and TV-commer-
cials, they’ve used a picture of this tough
guy on a motorcycle,” Ravan says. “Anoth-
er ad campaign shows a whole family out
biking together.”
Per Öqvist
[ 2 *2006 ] SHAPE SCA *19
 trend
PHOTO: getty images
NEW PACKAGING
VITAL TO LIFE
A heart must be transplanted within four hours. But
it’s not just time that is crucial: keeping the tempera-
ture constant also plays a vital role. All this places
major demands on packaging.
Packaging should suit its pur-
pose and be easy to use, but some situ-
ations are highly complicated. In the
biochemistry industry, demand for tem-
perature-controlled packaging solutions
is continually growing, and the pharma-
ceutical industry in particular has a great
need for these. Packaging for the trans-
portation of human organs in conjunc-
tion with transplants is just a small part
of this industry, but certainly a very im-
portant one.
When an organ is to be moved from
one hospital to another, emergency trans-
portation is arranged by a security firm,
sometimes by airplane. Different organs
can keep for different periods of time
without access to blood circulation –
18*SCA SHAPE [ 2 *2007 ]
Temperature stabi-
lity is the key when
transporting an
organ.
what is called ischemia time. A heart
must be transplanted within four hours
from the time the donor’s respirator is
turned off, while kidneys can manage for
up to 24 hours. But speedy shipment is
not the only vital factor. Maintaining the
right temperature is also a matter of life
or death.
Cool Logistics in Bedfordshire in east-
ern England is a company that specializes
in packaging that solves the temperature
problem in different kinds of transpor-
tation. In most cases, it simply involves
maintaining the temperature of a regu-
lar refrigerator, between 2 and 8 degrees
Celsius (36-46 Fahrenheit), although
the requirements may vary considerably.
So do the temperature conditions in the
local environment. Transporting an item
during the winter in Moscow is not the
same as during the summer in southern
Europe.
“Stability is the key word rather than
the actual cooling,” says Richard Perkes,
commercial director at Cool Logistics,
who has extensive experience with pack-
aging solutions as the company’s former
technical manager.
The temperature of transported or-
gans must be kept stable. This is achieved
using different types of cooling elements
in the packaging, which are adjusted de-
pending among other things on where the
transportation takes place. The insula-
tion material is often polystyrene or poly-
urethane. In recent years, the trend has
been toward using more advanced vacu-
um insulation panels, which also reduce
volume considerably.
Requirement standards for tempera-
tures are becoming increasingly rigorous,
as are inspections for ensuring that these re-
quirements are met, according to Perkes.
The number of registered donors is
steadily increasing in Sweden, but un-
fortunately this is not reflected in the
number of actual transplants being per-
formed, and in some European countries
the number of donors is actually declin-
ing. In countries that are part of the co-
operation organizations Eurotransplant
and Scandiatransplant, some 6,500 or-
gan transplants were performed in 2006,
with about 600 of these successful heart
transplants. There could be more if there
were greater knowledge about people’s
desire to donate.
Gunnar lanzky-otto
■ Since October last year, SCA is the
sole owner of Cool Logistics, which also
has production in the Czech Republic.
Cool Logistics, founded in 2000, has
at its disposal today the most extensive
test facilities for temperature-controlled
packaging in Europe.
The temperature-controlled packaging
solutions division is growing in part
because of new requirements that are
continually being added in the pharma­
ceutical industry. These involve not just
the right temperature but also whether
the size and weight of the packaging are
efficient in transportation despite the
complicated insulation.
AD MAKES “HUSH HUSH”
PRODUCTS NORMAL Urine leakage
When customers don’t want to admit they need a pro-
d­­­­uct, how should it be marketed? Viagra, Head & Shoul­ of women
ders and TENA are a few of the names that have succeed-
ed with their campaigns. The keyword is “normalize.”
At the launch of Viagra, perhaps
the world’s best-known pharmaceutical
product, its maker hired Pelé, the finest
athlete in history in the view of many peo-
ple. The ad never said Pelé had problems
with impotence, but he was the right age.
Moreover, he was Latin American macho,
athletic and world-famous. The pharma-
ceutical company also came up with a new
phrase – erectile dysfunction.
The aim was to normalize the prod-
uct, play down the issue, let consumers
know they didn’t have to be ashamed of
their need. Today, Viagra is no longer sur-
rounded by the same sense of taboo. The
same is true of products like diapers, sani-
tary napkins and panty liners.
“For generations ago, you could only
buy sanitary napkins in Sweden at the
state-run drugstore,” says Bengt Eriksson,
category brand manager at SCA Personal
Care. “You got them in brown paper bags.
Today, women can send their husbands to
7-Eleven to buy sanitary napkins and tam-
pons.”
An interesting comparison can be made
to dandruff, which is no longer taboo.
“Head & Shoulders has repositioned dan-
druff shampoo from a medical product to
a daily hygiene product,” Eriksson says.
But some products and issues are still
surrounded by prejudice and a sense of
shame. One example is incontinence.
Marketing in this segment involves break-
ing the sense of taboo. Normalization is
also a keyword in marketing.
“TV is a normalizing medium, so it’s
quite suitable for taboo products,” says
Andy Ravan at the British advertising
agency DLKW, which is in charge of ad-
vertising for SCA’s TENA incontinence
protection. “Not only do we reach a lot of
people, but the message is indirectly con-
veyed that incontinence is so common that
affects 10 percent
■ Urine leakage is more common
than people think. About 10 percent
of women in the Western world
it can be shown on TV.” have problems with involuntary
Eriksson explains the approach: “In our urine leakage. SCA’s Tena line of
commercials, we talk about how inconti- products are the most frequently
nence is as common as hay fever. This way, used products in the world for
people with incontinence problems.
we achieve two things. We establish a con- They are sold to two customer
nection to something harmless and com- groups, private consumers and
pletely lacking a sense of taboo. It’s implied healthcare providers.
that we’re saying it’s common.” “In our marketing communication
The products have been named Lady with private consumers, we want to
get rid of the medical link. But if we
Mini Magic and TENA Pants Discreet,
go too far, then we won’t be cred-
which are supposed to convey a sense of ­ible in healthcare. So we have to
PHOto: getty images
an exciting as well as technically advanced highlight the advantages of the
product. product, which both groups are
“Using words like ‘mini,’ ‘discreet’
and ‘magic,’ which are commonly used
looking for,” says Bengt Eriksson,
category brand manager at SCA
in ads for everything from condoms to Personal Care.
cell phones, positions the product as
something completely normal,” Ravan
says. “The words also suggest that it in-
volves a technically advanced product.”
Ravan talks about the importance of ca-
sual, positive references in everything from
the choice of words in the advertising and
marketing campaign to the design of the
packaging and the products.
Eriksson agrees. “The package has to
be attractive yet discreet,” he says. “Peo-
ple should be able to buy it in their gro-
cery store without customers behind them
knowing what they’re buying.”
The other keyword in the marketing is
“active.” People want to show that they
can still live a completely normal, active
life despite their incontinence.
“In the newspaper ads and TV-commer-
cials, they’ve used a picture of this tough
guy on a motorcycle,” Ravan says. “Anoth-
er ad campaign shows a whole family out
biking together.”
Per Öqvist
[ 2 *2006 ] SHAPE SCA *19
profile
The hidden value in
going green
“Traditional share analysis methods fail to account
for some 70 percent of a company’s worth,” says
Susanna jacobson, an analyst with Innovest
who specializes in environmental issues within the
s
forestry and paper industry.
by Anna mcqueen PHoto EVA EDSJÖ
usanna Jacobson finds herself in the
middle of the controversy, in many
respects. The 27-year-old Swede works
in one of the world’s most hectic areas:
London’s financial center. And, as an
analyst, she specializes in an issue that stands at
the top of the list of problems around the world:
global warming.
Environmental thinking is hardly a new issue in
the business world. But in recent years, the many
voices raised in alarm over global warming have
spurred an increasingly intense debate, making the
issue a priority for customers as well as for CEOs
and investors.
It is this third group, investors, who make up the
primary target of Susanna Jacobson’s company,
Innovest Strategic Value Advisors.
“We look at extra-financial risk and opportu-
nity,” says Susanna Jacobson. “This includes any
environmental or social and strategy governance-
related issues, and the hidden values that tradi-
tional financial analysts don’t tend to examine.
We believe that around 70 percent of a company’s
true value is not covered by traditional analysis.
Long-term sustainability is fundamental, and we
20*SCA SHAPE [ 2 *2007 ]
examine whether they have clear structures in place
to mitigate risk, and strong R&D to identify early
opportunities in the marketplace.”
Innovest company scores are used to advise cli-
ents on investment potential. With a client portfo-
lio of pension funds, advisory and consulting
firms, industrial corporations and institutional
investors such as UBS, Henderson Global Advi-
sors, HSBC and BNP Paribas, Innovest is typically
used as an add-on to traditional analysis.
Jacobson believes sustainable forest
management is key to forest and paper compa-
nies. “Without it, they won’t survive in the long
term,” she says. Poor management can engender
a series of risks, including operational risks, which
include the fact that because customers are looking
to buy more sustainable forest products, compa-
nies should be looking to gain access to this market
by providing certified sustainable products.
Other risks are regulatory in nature. If compa-
nies are looking to operate in different countries,
they need to understand the different regulations
and how to respond to them. There are also risks
to reputation: if a company is heavily criticized
Sustainable forest by NGOs, that will affect its brand value, lead-
management is key ing to long-term financial loss.
to forest and paper
companies, thinks
“We also look at what percentage of a compa-
Susanna Jacobson. ny’s energy comes from biofuels, to what extent
companies are researching liquid biofuels and
whether they are selling excess electricity from
power generation in mills,” Jacobson says. In-
novest also looks at how companies manage hu-
man resources, how they retain and attract staff,
and how they manage any layoffs.
Environmental and social issues have become
increasingly important when companies enter new
markets.
“As companies move to China and Brazil to set
up new mills, if they are investing in good commu-
nication with stakeholders affected by their opera-
tions, they won’t be faced with a hostile reception
from local communities, authorities and NGOs,”
Jacobson explains.
Innovest also considers how a company handles
personnel issues, how it keeps good people and at-
tracts new employees, and how redundancies are
dealt with. Environmental and social issues are
also a prime concern when a company is entering
new markets.
Another way to access new markets is to move
towards certification. “There is increasing global
demand for eco-certified products, and this is an
We look at extra-financial risk and oppor-
tunity. This includes any environmental or
social and strategy governance-related issues,
and the hidden values that traditional finan-
cial analysts don’t tend to examine. ”
NAME: Susanna Jacobson
AGE: 27 years old
BORN: Malmö, Sweden
LIVES: In London since 1999
CAREER: “I studied business at the

Gothenburg School of Business and
Commercial Law in Sweden.
Then I came to London to do a BSc
in Environmental Management
and Policy at the London School of
Economics. I joined Innovest in
October 2005 following the acquisi-
tion of Core Ratings.”
[ 2 *2007 ] SHAPE SCA *21
profile
The hidden value in
going green
“Traditional share analysis methods fail to account
for some 70 percent of a company’s worth,” says
Susanna jacobson, an analyst with Innovest
who specializes in environmental issues within the
s
forestry and paper industry.
by Anna mcqueen PHoto EVA EDSJÖ
usanna Jacobson finds herself in the
middle of the controversy, in many
respects. The 27-year-old Swede works
in one of the world’s most hectic areas:
London’s financial center. And, as an
analyst, she specializes in an issue that stands at
the top of the list of problems around the world:
global warming.
Environmental thinking is hardly a new issue in
the business world. But in recent years, the many
voices raised in alarm over global warming have
spurred an increasingly intense debate, making the
issue a priority for customers as well as for CEOs
and investors.
It is this third group, investors, who make up the
primary target of Susanna Jacobson’s company,
Innovest Strategic Value Advisors.
“We look at extra-financial risk and opportu-
nity,” says Susanna Jacobson. “This includes any
environmental or social and strategy governance-
related issues, and the hidden values that tradi-
tional financial analysts don’t tend to examine.
We believe that around 70 percent of a company’s
true value is not covered by traditional analysis.
Long-term sustainability is fundamental, and we
20*SCA SHAPE [ 2 *2007 ]
examine whether they have clear structures in place
to mitigate risk, and strong R&D to identify early
opportunities in the marketplace.”
Innovest company scores are used to advise cli-
ents on investment potential. With a client portfo-
lio of pension funds, advisory and consulting
firms, industrial corporations and institutional
investors such as UBS, Henderson Global Advi-
sors, HSBC and BNP Paribas, Innovest is typically
used as an add-on to traditional analysis.
Jacobson believes sustainable forest
management is key to forest and paper compa-
nies. “Without it, they won’t survive in the long
term,” she says. Poor management can engender
a series of risks, including operational risks, which
include the fact that because customers are looking
to buy more sustainable forest products, compa-
nies should be looking to gain access to this market
by providing certified sustainable products.
Other risks are regulatory in nature. If compa-
nies are looking to operate in different countries,
they need to understand the different regulations
and how to respond to them. There are also risks
to reputation: if a company is heavily criticized
Sustainable forest by NGOs, that will affect its brand value, lead-
management is key ing to long-term financial loss.
to forest and paper
companies, thinks
“We also look at what percentage of a compa-
Susanna Jacobson. ny’s energy comes from biofuels, to what extent
companies are researching liquid biofuels and
whether they are selling excess electricity from
power generation in mills,” Jacobson says. In-
novest also looks at how companies manage hu-
man resources, how they retain and attract staff,
and how they manage any layoffs.
Environmental and social issues have become
increasingly important when companies enter new
markets.
“As companies move to China and Brazil to set
up new mills, if they are investing in good commu-
nication with stakeholders affected by their opera-
tions, they won’t be faced with a hostile reception
from local communities, authorities and NGOs,”
Jacobson explains.
Innovest also considers how a company handles
personnel issues, how it keeps good people and at-
tracts new employees, and how redundancies are
dealt with. Environmental and social issues are
also a prime concern when a company is entering
new markets.
Another way to access new markets is to move
towards certification. “There is increasing global
demand for eco-certified products, and this is an
We look at extra-financial risk and oppor-
tunity. This includes any environmental or
social and strategy governance-related issues,
and the hidden values that traditional finan-
cial analysts don’t tend to examine. ”
NAME: Susanna Jacobson
AGE: 27 years old
BORN: Malmö, Sweden
LIVES: In London since 1999
CAREER: “I studied business at the

Gothenburg School of Business and
Commercial Law in Sweden.
Then I came to London to do a BSc
in Environmental Management
and Policy at the London School of
Economics. I joined Innovest in
October 2005 following the acquisi-
tion of Core Ratings.”
[ 2 *2007 ] SHAPE SCA *21
profile
Jacobson believes
the industry is
inherently sus-
tainable and will
survive, but its
strategy must be
rethought.
area of huge potential growth that we measure,”
Jacobson says. “More and more companies and
governments are introducing policies whereby they
will only buy wood certified by the Forest Steward-
ship Council standard, endorsed by a large num-
ber of environmental groups as a truly sustainable
certification scheme. The demand is growing and
is currently much greater than supply.” There is
The use of carbon uptake by planting or con-
serving forests is an area of great potential and increasing
one where companies can score highly, but Jacob- global demand
son believes current systems are too complicated for eco-certi-
and bureaucratic. So far, just one company has ob-
fied products,
tained credits for planting forests under the Kyoto
treaty, but other schemes like the Chicago Climate and this is an
for cutting C02 emissions between now and 2050
involves sustainable forest management and car-
bon uptake,” Jacobson says. “However, it must
be understood that plantations can have complex
environmental impacts that sometimes outweigh
the positive carbon uptake effect.”
Despite its key role in countering the effects of
climate change, the paper and forestry industry is
under threat from our changing climate, including
increased fire risk, severe water loss due to changes
in evaporation and precipitation patterns, flood
damage to low-lying countries and island states,
and loss of coastal land to rising sea levels. It is
estimated that the industry could lose as much
as USD 42 billion if CO2 levels reach twice their
pre-industrial concentrations, as a direct result of
extreme weather brought about by the phenom-
enon.
Still, Jacobson believes the industry is inher-
ently sustainable and will survive, but its strategy
must be rethought. “They must use wood more
efficiently and diversify into new, more sustain-
able products, use fewer chemical processes, and
fewer non-renewable resources,” she says. “The
outlook is very bright but there is a lot still left
to do, and quickly, because these companies are
facing increasingly stringent regulatory require-
ments.” ▲
Innovest gives SCA
top marks
★ Innovest ranks SCA as one of the
world’s leading companies when it
comes to environmental and social
issues and strategic planning.
★ 2006 SCA was chosen again as one
of the world’s most sustainable
companies in Innovest’s Global 100.
★ Ranked against 30 comparable
international companies, SCA
Exchange are proving simpler, and companies can
more easily get credits for planting forests which
can then be sold to other companies who can use
them to offset their emissions.
Forests are important if CO2 emissions are to
be reduced to acceptable levels. According to a
3HEGAVEYOUYOURNAMEYOURFIRSTBIKE
area of huge
ANDTENDERLOVINGCARE
comes out above average and SCA
sits in the top quartile in the
potential Innovest index for forestry and
growth that paper companies.
!ND SHE DESERVES THE BEST4HAT MEANS GIVING HER THE NEW4%.! PRODUCTS
we measure.” ★ Innovest points out that SCA is the
biggest player within reclaiming and WITH&EEL$RY©FOROUTSTANDINGDRYPROTECTIONAGAINSTBLADDERWEAKNESS
reusing recycled fiber. The compa- 7ITH&EEL$RYYOUGIVEHERMORESECURITYBUTALSOGREATERCOMFORT)NOTHERWORDS
U.N. report, emission of greenhouse gases must ny’s level of self-reliance in terms
decrease 50-85 percent by the year 2050 for global of energy and methods of reducing SHEGETSTHECONFIDENCEANDTHEFREEDOMTOCONTINUELIVINGLIFETOTHEFULL
warming to be held in check. resource consumption are also !SKYOURLOCALCHEMISTFOR4%.!PROTECTIONWITH&EEL$RY"ECAUSEONLYTHE
“The Intergovernmental Panel on Climate exemplary, according to Innovest.
BESTISGOODENOUGH
Change has said that 20 percent of the solution

22*SCA SHAPE [ 2 *2007 ] 4%.!\"ETTER#AREATA,OWER4OTAL#OST\WWWTENACOM

profile
Jacobson believes
the industry is
inherently sus-
tainable and will
survive, but its
strategy must be
rethought.
area of huge potential growth that we measure,”
Jacobson says. “More and more companies and
governments are introducing policies whereby they
will only buy wood certified by the Forest Steward-
ship Council standard, endorsed by a large num-
ber of environmental groups as a truly sustainable
certification scheme. The demand is growing and
is currently much greater than supply.” There is
The use of carbon uptake by planting or con-
serving forests is an area of great potential and increasing
one where companies can score highly, but Jacob- global demand
son believes current systems are too complicated for eco-certi-
and bureaucratic. So far, just one company has ob-
fied products,
tained credits for planting forests under the Kyoto
treaty, but other schemes like the Chicago Climate and this is an
for cutting C02 emissions between now and 2050
involves sustainable forest management and car-
bon uptake,” Jacobson says. “However, it must
be understood that plantations can have complex
environmental impacts that sometimes outweigh
the positive carbon uptake effect.”
Despite its key role in countering the effects of
climate change, the paper and forestry industry is
under threat from our changing climate, including
increased fire risk, severe water loss due to changes
in evaporation and precipitation patterns, flood
damage to low-lying countries and island states,
and loss of coastal land to rising sea levels. It is
estimated that the industry could lose as much
as USD 42 billion if CO2 levels reach twice their
pre-industrial concentrations, as a direct result of
extreme weather brought about by the phenom-
enon.
Still, Jacobson believes the industry is inher-
ently sustainable and will survive, but its strategy
must be rethought. “They must use wood more
efficiently and diversify into new, more sustain-
able products, use fewer chemical processes, and
fewer non-renewable resources,” she says. “The
outlook is very bright but there is a lot still left
to do, and quickly, because these companies are
facing increasingly stringent regulatory require-
ments.” ▲
Innovest gives SCA
top marks
★ Innovest ranks SCA as one of the
world’s leading companies when it
comes to environmental and social
issues and strategic planning.
★ 2006 SCA was chosen again as one
of the world’s most sustainable
companies in Innovest’s Global 100.
★ Ranked against 30 comparable
international companies, SCA
Exchange are proving simpler, and companies can
more easily get credits for planting forests which
can then be sold to other companies who can use
them to offset their emissions.
Forests are important if CO2 emissions are to
be reduced to acceptable levels. According to a
3HEGAVEYOUYOURNAMEYOURFIRSTBIKE
area of huge
ANDTENDERLOVINGCARE
comes out above average and SCA
sits in the top quartile in the
potential Innovest index for forestry and
growth that paper companies.
!ND SHE DESERVES THE BEST4HAT MEANS GIVING HER THE NEW4%.! PRODUCTS
we measure.” ★ Innovest points out that SCA is the
biggest player within reclaiming and WITH&EEL$RY©FOROUTSTANDINGDRYPROTECTIONAGAINSTBLADDERWEAKNESS
reusing recycled fiber. The compa- 7ITH&EEL$RYYOUGIVEHERMORESECURITYBUTALSOGREATERCOMFORT)NOTHERWORDS
U.N. report, emission of greenhouse gases must ny’s level of self-reliance in terms
decrease 50-85 percent by the year 2050 for global of energy and methods of reducing SHEGETSTHECONFIDENCEANDTHEFREEDOMTOCONTINUELIVINGLIFETOTHEFULL
warming to be held in check. resource consumption are also !SKYOURLOCALCHEMISTFOR4%.!PROTECTIONWITH&EEL$RY"ECAUSEONLYTHE
“The Intergovernmental Panel on Climate exemplary, according to Innovest.
BESTISGOODENOUGH
Change has said that 20 percent of the solution

22*SCA SHAPE [ 2 *2007 ] 4%.!\"ETTER#AREATA,OWER4OTAL#OST\WWWTENACOM

technology

In a back-pressure turbine, the pressure

INLET 1
of the steam from the boiler is reduced.
The steam then expands, causing the
INLET 2 turbine to rotate. A generator on the
turbine’s axis produces energy.

Efficient
The recovery boiler/turbine
combination has two steam
inlets and a total of five
outlets from the turbine. This
means that all the steam is

energy use
reduced to its final pressure
5
in the turbine.
4

In a kraft pulp plant, about half the wood used becomes pulp. OUTLET 1

Leftover wood and chemicals are incinerated in a recovery boiler,

which produces energy and new cooking chemicals. With new In a pulp plant, wood chips are dissolved into fiber

COMBUSTION AIR
through boiling. The used cooking liquid and dissolved

efficient technology, a boiler can provide an entire kraft pulp plant chip residue are incinerated in the recovery boiler.

p
This provides energy in the form of steam, which can

with heating and electric energy and still generate a surplus. be used to produce electricity. The chemical residues
are collected in the bottom of the boiler and reused to
prepare new cooking liquid.
by PETRA LODÉN illustration leif åbjörnsson

Among the top

aper and pulp manufac-
turing is like preparing
food. You bring home the
raw ingredients, which
are peeled, cleaned of
dirt, chopped, ground
and rinsed. Then you
cook them over heat. In
a pulp plant, however, you don’t waste
what’s left over. The residual products
can make steam and electricity, and the
cooking chemicals can be reused.
A recovery boiler, where the process
starts, is both a steam boiler and a reac-
tor in which chemicals are recycled. In a
pulp plant, wood chips are dissolved into
fiber through cooking. The used cooking
liquid and dissolved wood residue are in-
cinerated in the recovery boiler. This pro-
vides energy in the form of steam, which
can be used to produce electricity. The
chemical residues are collected in the bot-
tom of the boiler and reused to prepare
new cooking liquid.
At the Östrand Pulp Mill just outside
Sundsvall in central Sweden, SCA recent-
ly built a new and modern recovery boiler
and a new, highly efficient back-pressure
turbine.
“We’ve gone from having to buy elec-
tric energy to now having a surplus,” says
Ingela Ekebro, production manager at the
Östrand Pulp Mill.
In a back-pressure turbine, the pres-
sure of the steam from the boiler is re-
duced. The steam then expands, causing
the turbine to rotate. A generator on the
turbine’s axis produces energy. The steam
is used in the pulp processes.
“We also provide all the district heating
for the municipality of Timrå’s district
heating network,” Ekebro says.
“We’ve designed the recovery boiler/
turbine combination to optimize energy
production,” says Åke Westberg, project
leader. “This gives us two steam inlets and
a total of five outlets from the turbine.
This means that all the steam is reduced
to its final pressure in the turbine so that
we can generate as much electricity as
possible.”
The recovery boiler at Östrand is 78
meters high and the largest building at
the mill. Half the content in the wood
that comes to the plant is incinerated in units in the world
the boiler, which currently produces 300 ■ The recovery boiler at Östrand was built
MW, enough to heat 125,000 houses for by the Austrian company Andritz, while the
whole year. new turbine and generator was delivered by
Siemens. The boiler house is 78 meters high,
Kraft pulp plants have often been as- and at its peak 350 people were involved in
sociated with unpleasant odors, but in the construction of the project, which cost
Östrand the nasty-smelling gases are also SEK 1.6 billion.
incinerated in the new recovery boiler. SCA’s pulp mill in Östrand produces products
“This means that under normal pro- with a strong environmental profile. Some of
duction conditions, there won’t be any their most important features are low use of
process water, totally chlorine-free bleaching
smells anymore from Östrand,” Ekebro and raw materials from Forest Stewardship
notes. “But we can never be completely Council-certified forests. Celeste is a bleached
odorless.” kraft pulp used in products like publication and
tissue paper. CTMP Star is a chemically pre-
treated mechanical pulp used in the manufac-
ture of tissue paper and packaging products,
Greener electricity and Luna is a material with unique absorption
properties used mainly in feminine hygiene
■ Large quantities of electric energy are
products.
consumed in the making of some forest
industrial products, so SCA has invested The new recovery boiler has allowed the kraft
in energy-efficient production methods pulp plant to increase production to 420,000
for many years. Back-pressure steam tons a year. The boiler produces steam with a
pressure of 105 bar and a temperature of 515
is used in every pulp and paper mill,
ensuring a high level of efficiency be- degrees Centrigrades, which is higher than any
recovery boiler in the world. The boiler is also
cause optimal use is made of the energy
prepared for expansion and manages then to
content of the fuel. The Östrand Pulp Mill
generates 500 GWh of biofuel-based double the present production capacity.
green electricity. That is enough to heat The pulp mill in Östrand has 410 employees
25,000 houses. and produces 500,000 tons pulp per year.

24*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *25

technology

In a back-pressure turbine, the pressure

INLET 1
of the steam from the boiler is reduced.
The steam then expands, causing the
INLET 2 turbine to rotate. A generator on the
turbine’s axis produces energy.

Efficient
The recovery boiler/turbine
combination has two steam
inlets and a total of five
outlets from the turbine. This
means that all the steam is

energy use
reduced to its final pressure
5
in the turbine.
4

In a kraft pulp plant, about half the wood used becomes pulp. OUTLET 1

Leftover wood and chemicals are incinerated in a recovery boiler,

which produces energy and new cooking chemicals. With new In a pulp plant, wood chips are dissolved into fiber

COMBUSTION AIR
through boiling. The used cooking liquid and dissolved

efficient technology, a boiler can provide an entire kraft pulp plant chip residue are incinerated in the recovery boiler.

p
This provides energy in the form of steam, which can

with heating and electric energy and still generate a surplus. be used to produce electricity. The chemical residues
are collected in the bottom of the boiler and reused to
prepare new cooking liquid.
by PETRA LODÉN illustration leif åbjörnsson

Among the top

aper and pulp manufac-
turing is like preparing
food. You bring home the
raw ingredients, which
are peeled, cleaned of
dirt, chopped, ground
and rinsed. Then you
cook them over heat. In
a pulp plant, however, you don’t waste
what’s left over. The residual products
can make steam and electricity, and the
cooking chemicals can be reused.
A recovery boiler, where the process
starts, is both a steam boiler and a reac-
tor in which chemicals are recycled. In a
pulp plant, wood chips are dissolved into
fiber through cooking. The used cooking
liquid and dissolved wood residue are in-
cinerated in the recovery boiler. This pro-
vides energy in the form of steam, which
can be used to produce electricity. The
chemical residues are collected in the bot-
tom of the boiler and reused to prepare
new cooking liquid.
At the Östrand Pulp Mill just outside
Sundsvall in central Sweden, SCA recent-
ly built a new and modern recovery boiler
and a new, highly efficient back-pressure
turbine.
“We’ve gone from having to buy elec-
tric energy to now having a surplus,” says
Ingela Ekebro, production manager at the
Östrand Pulp Mill.
In a back-pressure turbine, the pres-
sure of the steam from the boiler is re-
duced. The steam then expands, causing
the turbine to rotate. A generator on the
turbine’s axis produces energy. The steam
is used in the pulp processes.
“We also provide all the district heating
for the municipality of Timrå’s district
heating network,” Ekebro says.
“We’ve designed the recovery boiler/
turbine combination to optimize energy
production,” says Åke Westberg, project
leader. “This gives us two steam inlets and
a total of five outlets from the turbine.
This means that all the steam is reduced
to its final pressure in the turbine so that
we can generate as much electricity as
possible.”
The recovery boiler at Östrand is 78
meters high and the largest building at
the mill. Half the content in the wood
that comes to the plant is incinerated in units in the world
the boiler, which currently produces 300 ■ The recovery boiler at Östrand was built
MW, enough to heat 125,000 houses for by the Austrian company Andritz, while the
whole year. new turbine and generator was delivered by
Siemens. The boiler house is 78 meters high,
Kraft pulp plants have often been as- and at its peak 350 people were involved in
sociated with unpleasant odors, but in the construction of the project, which cost
Östrand the nasty-smelling gases are also SEK 1.6 billion.
incinerated in the new recovery boiler. SCA’s pulp mill in Östrand produces products
“This means that under normal pro- with a strong environmental profile. Some of
duction conditions, there won’t be any their most important features are low use of
process water, totally chlorine-free bleaching
smells anymore from Östrand,” Ekebro and raw materials from Forest Stewardship
notes. “But we can never be completely Council-certified forests. Celeste is a bleached
odorless.” kraft pulp used in products like publication and
tissue paper. CTMP Star is a chemically pre-
treated mechanical pulp used in the manufac-
ture of tissue paper and packaging products,
Greener electricity and Luna is a material with unique absorption
properties used mainly in feminine hygiene
■ Large quantities of electric energy are
products.
consumed in the making of some forest
industrial products, so SCA has invested The new recovery boiler has allowed the kraft
in energy-efficient production methods pulp plant to increase production to 420,000
for many years. Back-pressure steam tons a year. The boiler produces steam with a
pressure of 105 bar and a temperature of 515
is used in every pulp and paper mill,
ensuring a high level of efficiency be- degrees Centrigrades, which is higher than any
recovery boiler in the world. The boiler is also
cause optimal use is made of the energy
prepared for expansion and manages then to
content of the fuel. The Östrand Pulp Mill
generates 500 GWh of biofuel-based double the present production capacity.
green electricity. That is enough to heat The pulp mill in Östrand has 410 employees
25,000 houses. and produces 500,000 tons pulp per year.

24*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *25


sca inside

Laughing with Libresse

This year’s Libresse campaign, “Laughter,”
has been developed from the perspective of the consumer.
The campaign describes security in an unusual, feminine
and positive way.
“We wanted to understand when women feel most
SCA saves seals secure in a positive way, and we concluded that when a
THE SCA Heavy Duty Knowledge Center , based woman laughs her real laugh, from her stomach, that’s
at the SCA Packaging Tilburg site, has designed, test- when she’s most secure,” says Anna Smitterberg,
ed and produced corrugated board boxes for trans- category communication manager at SCA. “So that
porting seals for the Lenie’t Hart Seal Rescue Center, a insight was a given: you laugh more when you feel
Netherlands-based rescue and return operation for the secure.” A slogan was born: “Feel secure, wear Libresse.”
marine mammals. This project is part of SCA’s good- If the previous campaign, “Vote for change,” was
will activities and free of charge for this organization, meant to be provocative in order to create awareness,
which rescues seals and returns them to their natural SCA has now chosen a more positive expression that is
habitat. The first batch of boxes was supplied in the more emotionally engaging and long-term.
beginning of May and will replace the wooden crates The campaign has already been launched in the
that are in use today. Netherlands, France and Italy. In England, the launch
TISSUE For will take place in August.

people on the go
The Libresse “Laughter” campaign
Fresh launch in Mexico is aimed at women of every age.
Ordinary women are used in the
ad campaign, not models, to allow
■ SCA Mexico relaunched its long-
every woman to identify with the
time best seller in the feminine pro- women in the ads.
■ During May, SCA Tissue Europe launched one-pack tection segment, the Saba Confort
Edet Torky tissue dispenser that is practical and easy to Chamomile, in June this year. Two
carry. The product is intended for situations outside the
SCA’s oldest mill
new scented products were also
home, such as on a picnic or in a boat. Market research launched at the same time. This means that Saba Con-
has shown that this kind of product is welcomed by
celebrates 350 years
fort liners and pads now come in three hypoallergenic
consumers. aromas: chamomile, jasmine and orange blossom.
As the tissue is stored in a bag made of polyester with SCA’s goal with this launch and relaunch is to become
a plastic backing, it stays clean and dry. The product is the aroma flagship in feminine protection category ■ Rembrandt was alive when SCA’s
refillable and can therefore be used many times. in Mexico. Aromas, natural essences and scented oldest mill was founded in 1657 in
The Edet Torky “on the go” will be available in a products are popular in Mexico and throughout Latin Holland. The SCA Packaging De
selected number of stores for a limited time. America. Hoop containerboard paper mill
celebrated its 350th anniversary on
May 11. SCA is committed to growing
rolls for easy access the business in the town of Eerbeek,
the Netherlands, contributing to the
SCA Tissue has developed a toilet The new Zewa Soft has a perfora- in combination with a softness sustainability of life and work in the
paper package that is easier to open. ted tear flap on the side that makes it upgrade in April 2007 and is sold community.
“Our Zewa Soft comfort opening easier to open the package, thus throughout Germany, Austria, SCA Packaging De Hoop obtained
specifically addresses consumer needs allowing easy roll-by-roll withdra- Switzerland and other countries. world-class status for energy consumption in a global
energy benchmark study in 2002 for the Royal Dutch
for convenient handling and mo- wal. The remaining rolls are stored Paper and Board Association by Finland’s Jaakko Pöyry
re comfort,” says Thomas Günther, hygienically in the package. Consulting.
marketing director of SCA Consumer The special comfort opening was “The site produces its own energy in a high-tech com-
Tissue Europe. “The idea arose from developed in cooperation with the bined heat and power plant, contributing with substantial
a project dealing with marketing to se- Meyer-Hentschel-Institut of investments in energy-saving projects in recent years to
niors. The product had to offer enhan- Saarbrücken, Germany, which lower consumption of energy and fossil fuel and reduced
CO2 emissions,” says Henk Lingbeek, managing director
ced convenience. Naturally, this pack- specializes in optimizing products of SCA Packaging De Hoop.
aging innovation offers added value to for seniors. SCA’s businesses in Eerbeek also include a corrugated
all other age groups as well.” The new Zewa Soft was launched box plant and a recycling organization.

26*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *27


sca inside

Laughing with Libresse

This year’s Libresse campaign, “Laughter,”
has been developed from the perspective of the consumer.
The campaign describes security in an unusual, feminine
and positive way.
“We wanted to understand when women feel most
SCA saves seals secure in a positive way, and we concluded that when a
THE SCA Heavy Duty Knowledge Center , based woman laughs her real laugh, from her stomach, that’s
at the SCA Packaging Tilburg site, has designed, test- when she’s most secure,” says Anna Smitterberg,
ed and produced corrugated board boxes for trans- category communication manager at SCA. “So that
porting seals for the Lenie’t Hart Seal Rescue Center, a insight was a given: you laugh more when you feel
Netherlands-based rescue and return operation for the secure.” A slogan was born: “Feel secure, wear Libresse.”
marine mammals. This project is part of SCA’s good- If the previous campaign, “Vote for change,” was
will activities and free of charge for this organization, meant to be provocative in order to create awareness,
which rescues seals and returns them to their natural SCA has now chosen a more positive expression that is
habitat. The first batch of boxes was supplied in the more emotionally engaging and long-term.
beginning of May and will replace the wooden crates The campaign has already been launched in the
that are in use today. Netherlands, France and Italy. In England, the launch
TISSUE For will take place in August.

people on the go
The Libresse “Laughter” campaign
Fresh launch in Mexico is aimed at women of every age.
Ordinary women are used in the
ad campaign, not models, to allow
■ SCA Mexico relaunched its long-
every woman to identify with the
time best seller in the feminine pro- women in the ads.
■ During May, SCA Tissue Europe launched one-pack tection segment, the Saba Confort
Edet Torky tissue dispenser that is practical and easy to Chamomile, in June this year. Two
carry. The product is intended for situations outside the
SCA’s oldest mill
new scented products were also
home, such as on a picnic or in a boat. Market research launched at the same time. This means that Saba Con-
has shown that this kind of product is welcomed by
celebrates 350 years
fort liners and pads now come in three hypoallergenic
consumers. aromas: chamomile, jasmine and orange blossom.
As the tissue is stored in a bag made of polyester with SCA’s goal with this launch and relaunch is to become
a plastic backing, it stays clean and dry. The product is the aroma flagship in feminine protection category ■ Rembrandt was alive when SCA’s
refillable and can therefore be used many times. in Mexico. Aromas, natural essences and scented oldest mill was founded in 1657 in
The Edet Torky “on the go” will be available in a products are popular in Mexico and throughout Latin Holland. The SCA Packaging De
selected number of stores for a limited time. America. Hoop containerboard paper mill
celebrated its 350th anniversary on
May 11. SCA is committed to growing
rolls for easy access the business in the town of Eerbeek,
the Netherlands, contributing to the
SCA Tissue has developed a toilet The new Zewa Soft has a perfora- in combination with a softness sustainability of life and work in the
paper package that is easier to open. ted tear flap on the side that makes it upgrade in April 2007 and is sold community.
“Our Zewa Soft comfort opening easier to open the package, thus throughout Germany, Austria, SCA Packaging De Hoop obtained
specifically addresses consumer needs allowing easy roll-by-roll withdra- Switzerland and other countries. world-class status for energy consumption in a global
energy benchmark study in 2002 for the Royal Dutch
for convenient handling and mo- wal. The remaining rolls are stored Paper and Board Association by Finland’s Jaakko Pöyry
re comfort,” says Thomas Günther, hygienically in the package. Consulting.
marketing director of SCA Consumer The special comfort opening was “The site produces its own energy in a high-tech com-
Tissue Europe. “The idea arose from developed in cooperation with the bined heat and power plant, contributing with substantial
a project dealing with marketing to se- Meyer-Hentschel-Institut of investments in energy-saving projects in recent years to
niors. The product had to offer enhan- Saarbrücken, Germany, which lower consumption of energy and fossil fuel and reduced
CO2 emissions,” says Henk Lingbeek, managing director
ced convenience. Naturally, this pack- specializes in optimizing products of SCA Packaging De Hoop.
aging innovation offers added value to for seniors. SCA’s businesses in Eerbeek also include a corrugated
all other age groups as well.” The new Zewa Soft was launched box plant and a recycling organization.

26*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *27


Shape named Best
Newcomer
■ Shape, SCA’s maga-
SHAPE
A MAGAZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS Nº 1 2007
zine, has won the
prestigious Golden Leaf
(“Guldbladet”) award
Clean sweep
BLOGS CAPTURE
CONSUMERS’ for Best Newcomer
IMAGINATION
of the year.
OLYMPIC GOLD FOR   It was the seventh
CHINA IN HYGIENE 2008
STRONG SAILING
year in a row that
FOR WIND POWER
awards were given GO HIGH FASHION
COPPER POTS MAKE
STRONGER TREES
LOBSTER FRESH
to Sweden’s top
Sky-high patent numbers * Sustainable transport with CTI * Build it out of wood
EN01 omslag indd Sec3:7
customer, per-
sonnel and membership magazines
by the Swedish Association of Cus-
tom Publishers, representing the
customer magazine industry.
In giving Shape the prestigious
award, the jury’s citation read:
“This magazine has a daring,
humo-rous, attractive feel
and a broad, exciting content. It is a
fresh newcomer that creates expecta-
tions that make the reader look forward
to the next issue. The magazine will give a
broader perspective to SCA’s image and
strengthen the brand.”
recent investment decisions
FEBRUARy
SCA invests USD 145 million in a new tis-
sue paper machine for Barton, Alabama,
USA.“This investment in Barton is key to
the development of our business in the
fast-growing Southeast region. With a
fully integrated facility in Barton, we will
be able to further improve our service
levels and deliver more consistent qua-
lity to our customers in the region. The
investment will mean significant cost sav-
ings once it is operational,” says Thomas
Wulkan, president of SCA Americas.
MARch
SCA is to acquire Procter & Gamble’s
entire European tissue operations
including a number of well-known and
strong brands. This acquisition is an
important step in improving profitability
in SCA’s European consumer tissue
operations. SCA intends to expand its
product offering of brands and supply
of quality private-label products as well
as strengthen product development
based on an awareness of consumer
needs.
28*SCA SHAPE [ 2 *2007 ]
Bigger diapers for
Malaysian babies
■ SCA Hygiene South Asia has launched
Drypers XXL, the first baby diaper brand in
BIG
CHAINS
BUILD
BRANDS
Malaysia to offer diapers in a bigger size in
the economy segment. The new, larger diaper
has a better, more comfortable fit for big-
ger babies. Even the absorption capaci-
BABY DIAPERS ty is better.
HOW TO KEEP
Drypers is the leading diaper
3/5/2007 15:55:59
brand in Malaysia and Singa-
pore, taking more than more than
25 percent of the market in both
countries and about 15 percent
of the market in Thailand.
Apart from these three core
markets, Drypers is al-
so exported to Vietnam,
South Africa, the Mal-
dives, Indonesia, India,
Cambodia and Brunei. The
global demand for Drypers has
boosted its production to more than
800 million pieces a year.
The purchase price of EUR 512 million stake in Vinda provides a good oppor-
will be paid in cash. Annual net sales are tunity for SCA to establish an important
close to EUR 500 million. The EBITDA position in the fast-growing Chinese
margin is on a par with SCA’s total tissue tissue market,” says Jan Åström, CEO.
operations. Synergies are expected to “We will be part owner in a profitable
be considerable. and fast-growing company with modern
The acquisition is subject to approval assets and a strong brand.”
from the relevant authorities. The acquisition follows SCA’s strategy
to grow in China. The Vinda brand is
SCA and Godrej Consumer Products seen as one of the strongest Tissue
Limited form a joint venture to manu- brands in China, the second-largest tis-
facture and market sanitary napkins sue market in the world.
and baby diapers in India, Nepal and The purchase price is set at 366 mil-
Bhutan. Godrej SCA Hygiene Limited lion yuan, or SEK 330 million.
is being set up with an equity capital
of 200 million rupees (SEK 32 million)
through equal investments by both
APRIL
parents. Godrej Consumer Products Expansion investments in two plants in
Limited is one of India’s fastest-growing Poland (approximately EUR 7 million in
companies in the field of fast-moving each plant) and one in Romania (EUR
consumer goods. 10 million), together with two new
”The joint venture gives us a great corrugated board plants in China (in
platform for entering the Indian market Nanjing USD 12 million and in Suzhou
with our successful consumer prod- USD 20 million). These investments
ucts,” says Gunnar Johansson, president mark yet another step in SCA’s plans to
of SCA Personal Care. capture market shares in some of the
largest growth markets in the world.
SCA acquires 20 percent of Chinese For more details about the investments
tissue company Vinda. “Acquisition of a read press releases at www.sca.com.
Best in test
SCA Graphic Sundsvall reports
favorable results for environment,
health, safety and energy during 2006.
A new recovery boiler in Östrand, a
new flue-gas condensation plant in
Ortviken, certification in accordance
with the Swedish standard for energy
management systems and better
reporting of incidents are just a few of
the initiatives that are already
producing positive effects and will
continue to do so.
“At Ortviken, oil consumption
and emissions were the lowest in
modern times,” says Roine Morin,
environmental manager, SCA Forest
Products. “The efficient combustion
technology in Östrand’s new
recovery boiler also reduces emis-
sions of dust, nitrogen oxides and
sulphur from the plant.” In 2006,
IVL Swedish Environmental Research
Institute’s laboratory performed a
chemical-biological characterization
of Östrand’s wastewater.
“The results were the best ever
measured in wastewater from a
forest-products plant,” Morin says.
8 shareholders on SCA
SCA’s annual shareholders’ meeting was held at the beginning of
April this year. It took place in Aula Magna at Stockholm University,
just outside Stockholm. Some 400 shareholders attended, and seve-
ral gave their answers to three quick questions:
1. How long have you had shares in SCA?
2. Why did you come to the annual meeting?
3. What do you think about SCA?
Agneta Gärdin Wulf, 67,
Djursholm, Sweden
1. I got my shares from
my grandmother and
grandfather when I was
little. Then I gave them
to my daughter. About 20 years ago, I
bought my own SCA shares. I’m a part-
ner of SCA’s, because I own forests and
sell pine and spruce to SCA.
2. It’s fun to see what happens to the
trees. It’s fun to be here.
3. It’s a shame that SCA got rid of its
energy division. I hope they keep their
forests.
Renate Köhne, 66,
Nacka, Sweden
1. I bought shares for my
daughter’s account a
month ago, so I’m here in
her place.
2. I’m here because I want to know
whether there’s anything new. It’s nice
here. And then I want to hear how much
the directors earn.
3. I want to know more about SCA.
Hans Hedberg, 81,
Stockholm, Sweden
1. I’ve had shares for 10
or 20 years. I’ve had con-
tacts with SCA through
my job.
2. I usually go to the annual meeting.
You learn about the company here. It’s
interesting when they present the an-
nual report.
3. It’s a stable, well-managed com-
pany. The management is smart. It’s
important to have good management.
Ulf Ernow, 59,
Stockholm, Sweden
1. I have a general interest
in shares. I bought my
first shares way back in
the 1960’s with my first
student loan.
2. There are a lot of formalities at the
annual meeting, but it’s interesting to
hear the CEO’s speech.
3. SCA is a good company but it’s a
tough industry. It’s reliant on how the
economy is doing.

sca inside
Photo: Margareta Hed
Christopher Ödmann,
47, Stockholm, Sweden
1. My shareholding began
with an inheritance in
2002. Then I bought
more.
2. You get more information at the an-
nual meeting than in the annual report
and in newspapers. The statement from
the CEO is important.
3. It’s interesting that SCA is a forest
company and that so many things can
be made out of paper, like diapers, for
instance. The consumer angle is interes-
ting and also the environmental issues.
If SCA doesn’t take environmental
issues into consideration, then I don’t
want to keep my shares.
Axel Gruvner, 87,
Stockholm and
Värmland, Sweden
1. I’ve owned shares for a
long time. I’ve worked in
the forest industry.
2. It’s interesting to meet people I
know, and I get good information.
3. SCA is a good company. The mo-
ney has grown. I give shares to my
grandchildren.
Gerd Strandell, 67,
Stockholm, Sweden
1. I got my shares when
I was a child. Then I sold
them but bought them
back again.
2. It’s interesting to be at the annual
meeting. I’m a chemist and know the
business. I really want to see how the
money is being managed.
3. No comment.
Annemai Berggren, 60,
Sandviken, Sweden
1. I have shares in
different companies.
I’ve had shares in SCA
for 8 or 10 years.
2. I’m in Stockholm to celebrate my
grandson’s birthday, and I took the
opportunity to bring him along to the
annual meeting, as a study visit.
3. SCA is a well-known company where I
come from in northern Sweden.
[ 2 *2007 ] SHAPE SCA *29

Shape named Best
Newcomer
■ Shape, SCA’s maga-
SHAPE
A MAGAZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS Nº 1 2007
zine, has won the
prestigious Golden Leaf
(“Guldbladet”) award
Clean sweep
BLOGS CAPTURE
CONSUMERS’ for Best Newcomer
IMAGINATION
of the year.
OLYMPIC GOLD FOR   It was the seventh
CHINA IN HYGIENE 2008
STRONG SAILING
year in a row that
FOR WIND POWER
awards were given GO HIGH FASHION
COPPER POTS MAKE
STRONGER TREES
LOBSTER FRESH
to Sweden’s top
Sky-high patent numbers * Sustainable transport with CTI * Build it out of wood
EN01 omslag indd Sec3:7
customer, per-
sonnel and membership magazines
by the Swedish Association of Cus-
tom Publishers, representing the
customer magazine industry.
In giving Shape the prestigious
award, the jury’s citation read:
“This magazine has a daring,
humo-rous, attractive feel
and a broad, exciting content. It is a
fresh newcomer that creates expecta-
tions that make the reader look forward
to the next issue. The magazine will give a
broader perspective to SCA’s image and
strengthen the brand.”
recent investment decisions
FEBRUARy
SCA invests USD 145 million in a new tis-
sue paper machine for Barton, Alabama,
USA.“This investment in Barton is key to
the development of our business in the
fast-growing Southeast region. With a
fully integrated facility in Barton, we will
be able to further improve our service
levels and deliver more consistent qua-
lity to our customers in the region. The
investment will mean significant cost sav-
ings once it is operational,” says Thomas
Wulkan, president of SCA Americas.
MARch
SCA is to acquire Procter & Gamble’s
entire European tissue operations
including a number of well-known and
strong brands. This acquisition is an
important step in improving profitability
in SCA’s European consumer tissue
operations. SCA intends to expand its
product offering of brands and supply
of quality private-label products as well
as strengthen product development
based on an awareness of consumer
needs.
28*SCA SHAPE [ 2 *2007 ]
Bigger diapers for
Malaysian babies
■ SCA Hygiene South Asia has launched
Drypers XXL, the first baby diaper brand in
BIG
CHAINS
BUILD
BRANDS
Malaysia to offer diapers in a bigger size in
the economy segment. The new, larger diaper
has a better, more comfortable fit for big-
ger babies. Even the absorption capaci-
BABY DIAPERS ty is better.
HOW TO KEEP
Drypers is the leading diaper
3/5/2007 15:55:59
brand in Malaysia and Singa-
pore, taking more than more than
25 percent of the market in both
countries and about 15 percent
of the market in Thailand.
Apart from these three core
markets, Drypers is al-
so exported to Vietnam,
South Africa, the Mal-
dives, Indonesia, India,
Cambodia and Brunei. The
global demand for Drypers has
boosted its production to more than
800 million pieces a year.
The purchase price of EUR 512 million stake in Vinda provides a good oppor-
will be paid in cash. Annual net sales are tunity for SCA to establish an important
close to EUR 500 million. The EBITDA position in the fast-growing Chinese
margin is on a par with SCA’s total tissue tissue market,” says Jan Åström, CEO.
operations. Synergies are expected to “We will be part owner in a profitable
be considerable. and fast-growing company with modern
The acquisition is subject to approval assets and a strong brand.”
from the relevant authorities. The acquisition follows SCA’s strategy
to grow in China. The Vinda brand is
SCA and Godrej Consumer Products seen as one of the strongest Tissue
Limited form a joint venture to manu- brands in China, the second-largest tis-
facture and market sanitary napkins sue market in the world.
and baby diapers in India, Nepal and The purchase price is set at 366 mil-
Bhutan. Godrej SCA Hygiene Limited lion yuan, or SEK 330 million.
is being set up with an equity capital
of 200 million rupees (SEK 32 million)
through equal investments by both
APRIL
parents. Godrej Consumer Products Expansion investments in two plants in
Limited is one of India’s fastest-growing Poland (approximately EUR 7 million in
companies in the field of fast-moving each plant) and one in Romania (EUR
consumer goods. 10 million), together with two new
”The joint venture gives us a great corrugated board plants in China (in
platform for entering the Indian market Nanjing USD 12 million and in Suzhou
with our successful consumer prod- USD 20 million). These investments
ucts,” says Gunnar Johansson, president mark yet another step in SCA’s plans to
of SCA Personal Care. capture market shares in some of the
largest growth markets in the world.
SCA acquires 20 percent of Chinese For more details about the investments
tissue company Vinda. “Acquisition of a read press releases at www.sca.com.
Best in test
SCA Graphic Sundsvall reports
favorable results for environment,
health, safety and energy during 2006.
A new recovery boiler in Östrand, a
new flue-gas condensation plant in
Ortviken, certification in accordance
with the Swedish standard for energy
management systems and better
reporting of incidents are just a few of
the initiatives that are already
producing positive effects and will
continue to do so.
“At Ortviken, oil consumption
and emissions were the lowest in
modern times,” says Roine Morin,
environmental manager, SCA Forest
Products. “The efficient combustion
technology in Östrand’s new
recovery boiler also reduces emis-
sions of dust, nitrogen oxides and
sulphur from the plant.” In 2006,
IVL Swedish Environmental Research
Institute’s laboratory performed a
chemical-biological characterization
of Östrand’s wastewater.
“The results were the best ever
measured in wastewater from a
forest-products plant,” Morin says.
8 shareholders on SCA
SCA’s annual shareholders’ meeting was held at the beginning of
April this year. It took place in Aula Magna at Stockholm University,
just outside Stockholm. Some 400 shareholders attended, and seve-
ral gave their answers to three quick questions:
1. How long have you had shares in SCA?
2. Why did you come to the annual meeting?
3. What do you think about SCA?
Agneta Gärdin Wulf, 67,
Djursholm, Sweden
1. I got my shares from
my grandmother and
grandfather when I was
little. Then I gave them
to my daughter. About 20 years ago, I
bought my own SCA shares. I’m a part-
ner of SCA’s, because I own forests and
sell pine and spruce to SCA.
2. It’s fun to see what happens to the
trees. It’s fun to be here.
3. It’s a shame that SCA got rid of its
energy division. I hope they keep their
forests.
Renate Köhne, 66,
Nacka, Sweden
1. I bought shares for my
daughter’s account a
month ago, so I’m here in
her place.
2. I’m here because I want to know
whether there’s anything new. It’s nice
here. And then I want to hear how much
the directors earn.
3. I want to know more about SCA.
Hans Hedberg, 81,
Stockholm, Sweden
1. I’ve had shares for 10
or 20 years. I’ve had con-
tacts with SCA through
my job.
2. I usually go to the annual meeting.
You learn about the company here. It’s
interesting when they present the an-
nual report.
3. It’s a stable, well-managed com-
pany. The management is smart. It’s
important to have good management.
Ulf Ernow, 59,
Stockholm, Sweden
1. I have a general interest
in shares. I bought my
first shares way back in
the 1960’s with my first
student loan.
2. There are a lot of formalities at the
annual meeting, but it’s interesting to
hear the CEO’s speech.
3. SCA is a good company but it’s a
tough industry. It’s reliant on how the
economy is doing.

sca inside
Photo: Margareta Hed
Christopher Ödmann,
47, Stockholm, Sweden
1. My shareholding began
with an inheritance in
2002. Then I bought
more.
2. You get more information at the an-
nual meeting than in the annual report
and in newspapers. The statement from
the CEO is important.
3. It’s interesting that SCA is a forest
company and that so many things can
be made out of paper, like diapers, for
instance. The consumer angle is interes-
ting and also the environmental issues.
If SCA doesn’t take environmental
issues into consideration, then I don’t
want to keep my shares.
Axel Gruvner, 87,
Stockholm and
Värmland, Sweden
1. I’ve owned shares for a
long time. I’ve worked in
the forest industry.
2. It’s interesting to meet people I
know, and I get good information.
3. SCA is a good company. The mo-
ney has grown. I give shares to my
grandchildren.
Gerd Strandell, 67,
Stockholm, Sweden
1. I got my shares when
I was a child. Then I sold
them but bought them
back again.
2. It’s interesting to be at the annual
meeting. I’m a chemist and know the
business. I really want to see how the
money is being managed.
3. No comment.
Annemai Berggren, 60,
Sandviken, Sweden
1. I have shares in
different companies.
I’ve had shares in SCA
for 8 or 10 years.
2. I’m in Stockholm to celebrate my
grandson’s birthday, and I took the
opportunity to bring him along to the
annual meeting, as a study visit.
3. SCA is a well-known company where I
come from in northern Sweden.
[ 2 *2007 ] SHAPE SCA *29
Camera
Good-looking design toilets, as they
are called, are surprisingly hard to find,
both in stores and in décor magazines.
Strangely enough, most bathroom
décor articles in glossy magazines
avoid showing photos of toilets, as
if rich people didn’t have one of our
In an era when
most basic needs. One of the best-
few rooms
looking toilets without a doubt is this
are private,
floor-standing model, part of Stefano
the bathroom
Giovannoni’s bathroom series “Il
will soon be
Bagno.” He designed it for Alessi in
the only place
2003. A washbasin, bidet and bathtub
where we can
are also available in the series.
truly be totally
alone.

private
photo: istockphoto
photo: pixelio.de
An ancient toilet in the city of Ephe-
sus in present-day Turkey.

absolutely by per öqvist

There is no place as private as
the bathroom – and still so strangely
taboo. In countless home décor ar-
ticles about bathrooms, with every-
thing from classic and beautiful to
minimalist and high-tech, the toilet
is rarely shown. Yet it’s here that we
see to our needs, read a newspaper
or contemplate life.
In an era when few rooms are
private – more and more, we are
being monitored by tiny, discreet
cameras – the bathroom will soon
be the only place where we can tru-
year-old toilet was found, made of
two flat stones with water running
between them.
The modern toilet, or more pre-
cisely the dry privy, was born when
people realized that a receptacle
could be put under the toilet seat.
For royalty, the seat was covered in
velvet.
The homes of the rich often had
annexes built with a hole over a
man-made channel. Moats at that
time served more than one purpose
and were not nice to take a tumble
city buildings. Sewage usually ran
right into nearby water sources.
The environment both indoors and
outdoors quickly improved, and
the number of illnesses fell dra-
matically.
In the 1980s, the media made
fun of a Swedish research paper
on a topic about how a bathroom
should be equipped to make it as
easy to clean as possible. One piece
of advice was to mount the toilet on
the wall.
coming increasingly exciting in
terms of design. In public settings,
more and more money is also being
invested in exclusive toilets, which Clean, simple and
are meant to make an impression good-looking at a rest
on visitors. stop on the German
Autobahn.
Nowadays toilet paper is avail- photo : pixelio.de
able in many different textures,
prices and colors – the latest trend
is black toilet paper! Another de-
picts printed money.
When will the morning paper be
printed on toilet paper? After all, Alessi’s Merdolino toilet brush,
we do sit there and read… in the form of a stylized plant,

ly be totally alone.
The toilet is not a new invention.
In excavations in Egypt, a 5,000-
into.
Not until the early 20th century
were water toilets included in the
In the 2000’s, well-known de-
signers have created their own
bathroom series, with toilets be-

Ladies and gentlemen, please en- is reminis cent of the world of
comic books. A modern, beloved
ter the secret room. ▲ design classic from 1993 by Ste-
fano Giovannoni.

30*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *31

Camera
Good-looking design toilets, as they
are called, are surprisingly hard to find,
both in stores and in décor magazines.
Strangely enough, most bathroom
décor articles in glossy magazines
avoid showing photos of toilets, as
if rich people didn’t have one of our
In an era when
most basic needs. One of the best-
few rooms
looking toilets without a doubt is this
are private,
floor-standing model, part of Stefano
the bathroom
Giovannoni’s bathroom series “Il
will soon be
Bagno.” He designed it for Alessi in
the only place
2003. A washbasin, bidet and bathtub
where we can
are also available in the series.
truly be totally
alone.

private
photo: istockphoto
photo: pixelio.de
An ancient toilet in the city of Ephe-
sus in present-day Turkey.

absolutely by per öqvist

There is no place as private as
the bathroom – and still so strangely
taboo. In countless home décor ar-
ticles about bathrooms, with every-
thing from classic and beautiful to
minimalist and high-tech, the toilet
is rarely shown. Yet it’s here that we
see to our needs, read a newspaper
or contemplate life.
In an era when few rooms are
private – more and more, we are
being monitored by tiny, discreet
cameras – the bathroom will soon
be the only place where we can tru-
year-old toilet was found, made of
two flat stones with water running
between them.
The modern toilet, or more pre-
cisely the dry privy, was born when
people realized that a receptacle
could be put under the toilet seat.
For royalty, the seat was covered in
velvet.
The homes of the rich often had
annexes built with a hole over a
man-made channel. Moats at that
time served more than one purpose
and were not nice to take a tumble
city buildings. Sewage usually ran
right into nearby water sources.
The environment both indoors and
outdoors quickly improved, and
the number of illnesses fell dra-
matically.
In the 1980s, the media made
fun of a Swedish research paper
on a topic about how a bathroom
should be equipped to make it as
easy to clean as possible. One piece
of advice was to mount the toilet on
the wall.
coming increasingly exciting in
terms of design. In public settings,
more and more money is also being
invested in exclusive toilets, which Clean, simple and
are meant to make an impression good-looking at a rest
on visitors. stop on the German
Autobahn.
Nowadays toilet paper is avail- photo : pixelio.de
able in many different textures,
prices and colors – the latest trend
is black toilet paper! Another de-
picts printed money.
When will the morning paper be
printed on toilet paper? After all, Alessi’s Merdolino toilet brush,
we do sit there and read… in the form of a stylized plant,

ly be totally alone.
The toilet is not a new invention.
In excavations in Egypt, a 5,000-
into.
Not until the early 20th century
were water toilets included in the
In the 2000’s, well-known de-
signers have created their own
bathroom series, with toilets be-

Ladies and gentlemen, please en- is reminis cent of the world of
comic books. A modern, beloved
ter the secret room. ▲ design classic from 1993 by Ste-
fano Giovannoni.

30*SCA SHAPE [ 2 *2007 ] [ 2 *2007 ] SHAPE SCA *31

camera
Left: People will disagree whether
this graceful Art Nouveau creation is
French elegance at its best or pure
Right: The beautiful form of the toilet kitsch. It can be given a test run at the
has inspired many artists. Here, photo exclusive store Maison Belle Epoque,
art by Mikael Andersson. known for its fine furniture and
select art.
Below: A typical dry privy found in most
summer cabins in Sweden. Below: More facilities will soon be
needed along this 4,000-mile-long wall.
The bathroom at the restaurant Mirador
César Manrique on the island of La This portable toilet can be placed
Gomera has been named by the British anywhere.
Guardian Unlimited “the world’s best
view from a lavatory.” La Gomera is
one of the smaller and more charming
Canary Islands. The bathroom has a
panoramic window over the Valle Gran
Rey valley.
photo: sören colbing/ims

photo: mikael andersson/mira photo: doug scott/scanpix photo: magnus wahman/ims

Black is in. Nothing is

trendier in the bathroom
right now than black toilet
paper. If you’re bold enough
to have black toilet paper
photo: roger ressmeyer/scanpix
photo: martin siepmann/scanpix

in your guest bathroom,

you’ll definitely give your
guests something to talk
about at dinner.
At Arlanda Airport, the typical verdant meadows of Sweden in summer
are far away. When new urinals were installed in Terminal 5 at Arlanda,
an attempt was made to instead create the same feeling through art.
Left: When astronaut Christer Fugelsang returned to Earth after beco-
ming the first Swede in space, the most frequent question he got was
how people took care of their natural needs in total weightlessness.
Here’s an example of what the toilet on a spaceship looks like.

32*SCA SHAPE [ 2 *2007 ] [[22**2006

2007 ] SHAPE SCA *33
camera
Left: People will disagree whether
this graceful Art Nouveau creation is
French elegance at its best or pure
Right: The beautiful form of the toilet kitsch. It can be given a test run at the
has inspired many artists. Here, photo exclusive store Maison Belle Epoque,
art by Mikael Andersson. known for its fine furniture and
select art.
Below: A typical dry privy found in most
summer cabins in Sweden. Below: More facilities will soon be
needed along this 4,000-mile-long wall.
The bathroom at the restaurant Mirador
César Manrique on the island of La This portable toilet can be placed
Gomera has been named by the British anywhere.
Guardian Unlimited “the world’s best
view from a lavatory.” La Gomera is
one of the smaller and more charming
Canary Islands. The bathroom has a
panoramic window over the Valle Gran
Rey valley.
photo: sören colbing/ims

photo: mikael andersson/mira photo: doug scott/scanpix photo: magnus wahman/ims

Black is in. Nothing is

trendier in the bathroom
right now than black toilet
paper. If you’re bold enough
to have black toilet paper
photo: roger ressmeyer/scanpix
photo: martin siepmann/scanpix

in your guest bathroom,

you’ll definitely give your
guests something to talk
about at dinner.
At Arlanda Airport, the typical verdant meadows of Sweden in summer
are far away. When new urinals were installed in Terminal 5 at Arlanda,
an attempt was made to instead create the same feeling through art.
Left: When astronaut Christer Fugelsang returned to Earth after beco-
ming the first Swede in space, the most frequent question he got was
how people took care of their natural needs in total weightlessness.
Here’s an example of what the toilet on a spaceship looks like.

32*SCA SHAPE [ 2 *2007 ] [[22**2006

2007 ] SHAPE SCA *33

shaping a view
Daniel Solberg
Process engineer who has led the SCA Water Network since 2004.
“water management is a key
environmental objective for SCA.”
WATER NETWORK
w
with CLEAR TARGETS
ater is one of the earth’s key resour-
ces. If you Google the word “water,”
you get 962 million hits – a clear sign
that water is a vital part of everyday
life and a scarce item in many parts of
the world. As a consequence, water distribution and water
management have become a global political issue, some-
thing that is evident in the many water-related initiatives
from the UN, the EU and other bodies.
Water is also a key element in the production of pulp
and paper. From an SCA perspective, this makes water
management a key environmental objective for the Group,
alongside the reduction of carbon dioxide emissions and
use of non-controversial wood sources.
In order to review the status of water management and
identify improvements from an environmental as well as a
business perspective, the Group has set up the SCA Water
Network.
As a large, global company, SCA has considerable inter-
nal experience and expertise in this area. One of the net-
work’s tasks was therefore to benchmark plants to identify
best practice within the Group and to seek out people with
key knowledge.
The objectives were to reduce the quantity of water in
the production processes and ensure that the effluent wa-
ter is as clean as possible.
We discovered that our plants in Spain and Italy,
as well as our plant in Arizona in the United States, were
excelling in this field. People in these areas are accustomed
to a limited supply of water, which is reflected in the ef-
ficient way they operate their plants. If we can implement
practices from these plants in other plants in our Group,
much will be achieved.
From a financial perspective this is good news. Reduc-
ing the amount of water in the production process is rela-
34*SCA SHAPE [ 2 *2007 ]
We let an expert test
Goals and completion
On the basis of recommendations of the SCA Water
our super soft nappy.
Network, SCA has formulated its water manage-
ment commitments for the period 2005 to 2010 as
a 15 percent reduction of specific water consump-
tion and a 30 percent reduction of organic con-
tent in effluents. The water network is made up of
European representatives from each of the Tissue,
Packaging and Forest Products business areas.
tively inexpensive. The investments needed are modest
and the know-how already exists within SCA.
The second objective – to make sure the water is as clean
as possible – is inherently a more expensive operation,
since it represents large investments in purification equip-
ment. However, there are clear links between the two ob-
jectives.
It is important to do the right things in the right order.
If you reduce the quantity of water in the production pro-
cess – which is not all that difficult to do – you will also
reduce the required size of your purification plant. As a
result, you can minimize the investment needed without
compromising the quality of water purification. ▲
Treasures Ultra. Soft, snug-fit for ultra comfort.
At Treasures®, we understand you want a nappy that is not only absorbent with excellent leakage protection but also
extra soft and comfortable on your baby’s sensitive skin. That’s why our newborn sizes are made from super-soft
materials and are specially designed with our unique Rapid Flow Liner, which quickly draws liquid away from your
baby’s skin to keep them dry and comfortable.
Treasures Rapid Flow Liner quickly draws moisture away from baby’s skin.
Super absorbent Treasures Drycore locks wetness away. 4
Soft breathable sides allow air to circulate.
3
Soft snug-fit waistband for custom fit.
photo: sven eketrä
1 5
2
Extra soft outer cover for our softest nappy ever!
C4567UNBFP

shaping a view
Daniel Solberg
Process engineer who has led the SCA Water Network since 2004.
“water management is a key
environmental objective for SCA.”
WATER NETWORK
w
with CLEAR TARGETS
ater is one of the earth’s key resour-
ces. If you Google the word “water,”
you get 962 million hits – a clear sign
that water is a vital part of everyday
life and a scarce item in many parts of
the world. As a consequence, water distribution and water
management have become a global political issue, some-
thing that is evident in the many water-related initiatives
from the UN, the EU and other bodies.
Water is also a key element in the production of pulp
and paper. From an SCA perspective, this makes water
management a key environmental objective for the Group,
alongside the reduction of carbon dioxide emissions and
use of non-controversial wood sources.
In order to review the status of water management and
identify improvements from an environmental as well as a
business perspective, the Group has set up the SCA Water
Network.
As a large, global company, SCA has considerable inter-
nal experience and expertise in this area. One of the net-
work’s tasks was therefore to benchmark plants to identify
best practice within the Group and to seek out people with
key knowledge.
The objectives were to reduce the quantity of water in
the production processes and ensure that the effluent wa-
ter is as clean as possible.
We discovered that our plants in Spain and Italy,
as well as our plant in Arizona in the United States, were
excelling in this field. People in these areas are accustomed
to a limited supply of water, which is reflected in the ef-
ficient way they operate their plants. If we can implement
practices from these plants in other plants in our Group,
much will be achieved.
From a financial perspective this is good news. Reduc-
ing the amount of water in the production process is rela-
34*SCA SHAPE [ 2 *2007 ]
We let an expert test
Goals and completion
On the basis of recommendations of the SCA Water
our super soft nappy.
Network, SCA has formulated its water manage-
ment commitments for the period 2005 to 2010 as
a 15 percent reduction of specific water consump-
tion and a 30 percent reduction of organic con-
tent in effluents. The water network is made up of
European representatives from each of the Tissue,
Packaging and Forest Products business areas.
tively inexpensive. The investments needed are modest
and the know-how already exists within SCA.
The second objective – to make sure the water is as clean
as possible – is inherently a more expensive operation,
since it represents large investments in purification equip-
ment. However, there are clear links between the two ob-
jectives.
It is important to do the right things in the right order.
If you reduce the quantity of water in the production pro-
cess – which is not all that difficult to do – you will also
reduce the required size of your purification plant. As a
result, you can minimize the investment needed without
compromising the quality of water purification. ▲
Treasures Ultra. Soft, snug-fit for ultra comfort.
At Treasures®, we understand you want a nappy that is not only absorbent with excellent leakage protection but also
extra soft and comfortable on your baby’s sensitive skin. That’s why our newborn sizes are made from super-soft
materials and are specially designed with our unique Rapid Flow Liner, which quickly draws liquid away from your
baby’s skin to keep them dry and comfortable.
Treasures Rapid Flow Liner quickly draws moisture away from baby’s skin.
Super absorbent Treasures Drycore locks wetness away. 4
Soft breathable sides allow air to circulate.
3
Soft snug-fit waistband for custom fit.
photo: sven eketrä
1 5
2
Extra soft outer cover for our softest nappy ever!
C4567UNBFP
Mästare på exponering.
Swedish ad presenting SCA Packaging
as a “Master of exposure. Outdoors as
well as inside the store”.

Såväl ute...

...som inne.
Budskap och produkter kan exponeras på många
sätt. Vi vet vad som fungerar för att fånga upp-
märksamheten i hård konkurrens om mottagarna.
Både i butiken och ute på gatan.

SCA PACKAGING SWEDEN AB

DIVISION DISPLAY
Box 760, 601 17 NORRKÖPING
Telefon 011-28 03 00 . Fax 011-31 39 80
E-post display.info@sca.com