Q1 Paper Outlook — Market Taking Stock

Cuts to Capacity

Every mill basically had been losing money, Samuels notes, which led them to cut capacity. "A paper machine has to be kept running 24 hours a day, seven days a week. It can't just be turned on and off," he points out. "This has led to a 20 percent decrease in capacity over the last two years as papermaking operations were shut down."