Global Annual Forest, Paper & Packaging Industry survey - 2010 edition

Welcome to the Global Forest, Paper & Packaging Industry Survey – 2010 Edition. The Survey, now in its 13th year, provides insight into the major companies and an overview of the issues and events shaping the industry. This year’s Survey summarises the 2009 publicly available year-over-year financial information of the PwC Top 100, the 100 largest forest, paper and packaging (FPP) companies in the world, ranked by sales revenue.

The global economic environment continued to influence the performance of the PwC Top 100 The first half of 2009 presented a challenging market situation, as the effects of the global economic downturn carried over into the first two quarters of the year. Economic and export activity continued to decline, and tight credit markets, limited access to capital, deterioration in levels of new housing starts, construction and consumer spending activity posed further challenges. The PwC Top 100 companies’ revenues declined significantly from the prior year due to a collapse in demand and weak prices in the first half of the year, with some recovery late in 2009. Net income recovered but was significantly impacted by the one-off effects of the US Alternative Fuel Mixture (“Black Liquor”) Credit.

Despite a turbulent year, membership of the PwC Top 100 remained relatively stable. Canada was a net loser with its companies suffering more than the average. Notably the trend in previous years towards increased representation from the emerging markets largely stalled; however with the emerging markets moving at a pace which we in the “advanced” economies can only envy, we expect this trend to resume.