According to a letter from Korab International, they would buy the pulp from Freshwater Tissue Co. if it opens and 70-80% would be sent to China and Korea.  The rest would be sent to Asia or the U.S. which means it would probably go to Asia too.  There is no suggestion that this pulp would be used to make tissue paper nor is there mention that this pulp would be used to make green products.  On the Freshwater website, they say that their pulp will be "sold to tissue makers who in turn will convert the pulp to consumer-ready tissue per FTC's specification.  The eco-friendly tissue will be sold by FTC in the United States."  It seems that this is no longer the plan.  Instead, we are sending the natural resources of Humboldt County to Asia where they can do with it what they want.

China has already cut down their forests.  Now they are trying to restore them by banning the cutting of their forests in 2/3 of the country.  Boats are taking Humboldt County logs to China.  Now Freshwater Tissue plans to send the pulp of tan oaks and other trees to Asia.  Keep in mind that China alone could deforest all of Humboldt County and still want more.  I do not mean that this is what is happening, but I want to point out the enormity of the Chinese need for wood.

In fact, as tempting as Freshwater's original plan might have sounded to some, it is turning out not to be green or a tissue paper factory.  It cannot claim to be green and not meet the standards of the Clean Water Action until 2014! They apparently are not planning to produce tissue for the U.S. market per green specifications!  Where is the green tissue in Freshwater Tissue Co.?


Frank
9/3/2010 06:51:16 am

Apparently in late 2009 when Freshwater 'Tissue' had to down scale their investment hopes from $400 million dollars to $20 or $30 million, they were forced to make a major change in their business plan. If they do go into production, like Evergreen they will be producing bleached and/or unbleached pulp for the Asian market. I don't see the difference, except that Evergreen had Lee & Man paper plants on mainland China as an assured recipient of their product. Lee & Man actually listed Evergreen as a subsidary. Freshwater will have to depend on the fluctuations of the world market, as well as operating on a shoestring--at least that's how I read the charts on their Business Plan page. Freshwater's three founders all have deep roots in the local timber economy. No wonder they can't look to the real future world economy and can only see the short term possibilities of the Chinese market. Is Freshwater really that different from Evergreen--trying to make a few fast bucks and get out? I don't see why Humboldt residents should stand in awe of this "vision".

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Cricket
9/3/2010 07:16:17 am

Georgia-Pacific, Louisiana-Pacific, La Pointe Partners and their offshoots, Lee & Man/Evergreen, and now Freshwater?? How many times will local workers fall for false promises?

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Trundlebug
9/3/2010 11:51:31 am

So let me see if I get the logic here.

Because Bob Simpson (due to economic reasons) had to alter his original business plan from that of a tissue paper company to a pulp mill he has lied to the community and purposefully misrepresented his motives? Furthermore he is at fault for any and all decisions made by the company buying his product and will somehow be, if even partially responsible, for any and all; present and future; environmental issues experienced in China?

Wow! That's some real power there, I mean being able to claim you took part in the environmental destruction of another nation using a small scale pulp mill in a remote little known county ............ Go Bob!!!!!!

Cricket, so long as the Humboldt County economy remains bent and broken we will continue to be 'taken in' by what you see as false promises. The absence of hope is a pond in which many of us do not wish to linger. If you truly worry about the welfare of the local workers then perhaps you can propose a method which builds a far reaching realistic future for the county, rather then trying to tear it down with cynicism.

Last time I checked even the federal level economists, you know those guys with years and years of ivy league schooling, can not with no margin of error, predict how the the economy (at any level) will change in present and future times. It is up to the individual to assess the risks and decide for themselves the worth. I for one prefer to maintain hope and give Freshwater a measure of faith, even if I do get burned at least I can tell my children I'm not giving up on their future.

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Bob Simpson
9/4/2010 01:22:32 am

I encourage all of you to read our businesss plan carefully. Then review these figures. We couldn't raise $400 million to convert our mill but have arranged to have our product converted in China and shipped back so that we can sell it in the United States. In 3-5 years we will revert to our initial plan.

U.S. TCF Tissue Proforma

Sales Revenue
U.S. Toilet Tissue Selling Price $2,640
Metric Tons Produced (pulp) 192,500
Total Sales $508,200,000

Cost of Goods Sold
Pulp Sales Price - China $700
Tissue Convertsion Cost $600
Container Loading Cost $50
Freight to Los Angeles $170
Unloading, handling, storage $50
Inland freight $275
Cost of Goods Sold/MT $1,845
Metric Tons Purchased 192,500
Total Cost of Sales $355,162,500

Profit before commission $153,037,500
Commissions @ 5% $25,410,000
NET PROFIT $127,627,500

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T.P.Wypins
9/5/2010 10:46:57 am

This blog needs wypin and a good long flush,,,,,,And theres a true fact. The truth means nothing but something to twist around for these L.E.A.P.ers.
Good luck to Bob,and the Samoa mill. I say god bless you for trying and not lying . Unlike the NIMBY's here !

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Oliver
9/6/2010 11:08:18 am

West Eureka and all,
This cynical and twisted characterization as "Old Retired Martyrs" is a view of the truth seen through a mirror of backwards denial. What the bloggers using that and similar characterizations here are actually talking about is what the psychologist Michael R. Edelstein calls the "Mitigatory Gap". In Edelstein's book Contaminated Communities (Westview, 2004) he explains it like this: "To a substantial degree, psychological recovery is pegged to ecological recovery. It is not possible to restore mental health and well-being if one knowingly continues to live in a polluted environment--. Inasmuch as solutions to problems as defined by --government routinely do not correspond to restoring the health of affected ecosystems, what I term "the mitiagory gap" becomes a vital factor. It is much easier to identify and label contamination then to remove it--. A substantial part of the psychosocial cost of contamination results from this social process of action or inaction." The Samoa mill has a long history of regulatory violations. Those of us who have lived in West Eureka have repeatedly experienced contaminated air quality producted by the Samoa mill. Now, even though the mill is shut down, we can see it sitting on the Bay, day in and day out. We don't know if or when it will start up again. This is exactly what Edelstein refers to as a "mitigatory gap".

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T.P.W
9/6/2010 03:38:26 pm

Thank you, for the cut & paste Psychology.
"Mittigatory Gap"
All you "coucher's" feeling better now that you understand the Evil mills attempt at mission "Deep Pulp". The milling off ,of "West Eurekas" L.E.A.Pers .
Its like reading something out of DR.Stranglove here.
Dr. Strangelove: Mr. President, it is not only possible, it is essential. That is the whole idea of this machine, you know. Deterrence is the art of producing in the mind of the enemy... the FEAR to attack. And so, because of the automated and irrevocable decision-making process which rules out human meddling, the Doomsday machine is terrifying and simple to understand... and completely credible and convincing.

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Jim
9/6/2010 03:45:28 pm

Based on my conclusions, my report is that this appeal was not a practical deterrent for reasons which at this moment must be all too obvious.

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T.P
9/7/2010 12:47:30 am

Nice how you deleated Franks cut and paste copy of the same thing Oliver posted here.

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T.P
9/7/2010 12:51:27 am

I have printed copys of yesterdays blog so please dont deny it.

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Oliver
9/7/2010 05:10:07 am

Folks, this is probably pointless to say, but again we see proponents of the mill playing with language rather than engaging in serious dialogue. "Cut and paste psychology?" I assume the implication is that I cruised cyberspace until I found something appropriate and 'pasted' on this blog. I don't have those kind of computer skills, bascially still living in the book age. I pulled Dr. Edelstein's article from my file cabinet where it had been sitting for at least 5 years. My undergraduate degree was in psychology and what he said made sense and correlated with years of sociology that I've been exposed to both in my professional life and just as someone who is interested in the world around me. The way people use language often tells alot.

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T.P
9/7/2010 06:58:26 am

Oliver
Then how is it that Frank posted the same exact words as you ,within minutes yesterday.And today Franks post is no longer here.
Its a fact.I down load each day so I have it here on my drive ,their same post.
Mins apart. Then my post called you on it . And now Franks has been deleated.
You all together found this Midagotory B.S .. You just got to fast for eachother. For just one Post. you guys overlaped your B.S
Come on its the truth,you know it.Frank ,Oliver,,,,,,,,,,,,,,,
I can print it and show the cut and paste you both try to pull here . Come on !

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T.P
9/7/2010 01:08:24 pm

I dont agree with you.But I thought atleast you all were honest.
I can see thats not the case with this deleating of the post that shows your cut and paste game.

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anonymous
9/12/2010 08:56:57 am

Bob Simpson has made and continues to
make accusations against the author of
this blog, for the simple reason his
venture is failing. Fess up Bob, you
have never had the backing you desire
for this project. That placing blame
on someone for your failure somehow
vindicates your bad business decision.

Reply



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