1. Single Stream, What’s the Future? Smurfit Stone Container Corp. Santa Clara Mill Dick JohnstonGeneral Manager

2. What Does My Mill Make? 135,000 tons per year of 100% recycled Consumer Packaging Paperboard Clay Coated for Printing You buy it as a Cereal Box or a Tissue Box

3. What’s Important? Fiber Cleanliness for Consumer Packaging A minimum of Throw Outs so we don’t overwhelm the cleaning system Minimize Wax, Oils, Plastics, Metal (In that order)

4. What is a Given The Asian Pacific Wastepaper Market sets the price of wastepaper on the West Coast China’s demand for Wastepaper will continue to grow while domestic production is shutdown This results in a Loss of High paying manufacturing jobs Energy Costs will continue to climb

5. What’s Given Continued Freight costs will become a bigger factor in final cost of all products. Today’s US Paper Manufacturers are challenged to get enough capital to be able to clean the high level on contamination in Single Stream Collections Land Fill costs are moving from the collection to the manufacturing

6. What Could Happen What if China and the US should get into a trade dispute? Where do we sell all this Single Stream Material? China could become more restrictive on the % throw outs pushing separation costs back in the collection stream Lower Pricing of European’s single stream material can upset movement of US material

7. Options Do nothing State offer Grants, Low Interest Loans or Investment Tax Credits to help offset the capital costs of better separation and cleaning systems. Repeal the 50% diversion rate and go back to pushing source separation.