Q1 Paper Outlook — The Price Is Right

"The coated paper market is in the doldrums. It's about as soft as it's ever been," contends Roy Grossman, president of Sandy Alexander. "Pricing is extremely low and availability is high. As soft as last year was, this is significantly more so."

And the trend towards lower prices and high availability is only going to continue as the economy continues to flag. "In 2001, the paper industry was expecting a rebound later in the year, But, for 2002, there is a general feeling that paper suppliers are headed for a tough year with little relief in sight," explains Addis T. Hilliker, vice president of supply chain management at Banta Corp.