Q1 Paper Outlook — The Price Is Right

The Enron Effect

Also playing a role in the health of the paper market is the impact of the Enron Corp. bankruptcy. Enron's forest products unit has assets in three newsprint mills, and also trades in white papers, packaging grades, pulp and recovered papers. Many in the paper industry are concerned about what will happen if that paper inventory is moved onto the market at below-market prices in an effort to generate quick cash flow.