Gaylord Container Corporation
Encyclopedia
Gaylord Container Corporation (AMEX
American Stock Exchange
NYSE Amex Equities, formerly known as the American Stock Exchange is an American stock exchange situated in New York. AMEX was a mutual organization, owned by its members. Until 1953, it was known as the New York Curb Exchange. On January 17, 2008, NYSE Euronext announced it would acquire the...

: GCR) was an integrated manufacturer of packaging materials, primarily corrugated containers. Operating from 1986–2002, most of the company's facilities were originally part of Crown Zellerbach's container
Containerboard
Containerboard, also referred to as CCM , is a type of paperboard specially manufactured for the production of corrugated board. The term encompasses both linerboard and corrugating medium , the two types of paper that make up corrugated board...

 division.

Gaylord Container, based in the Chicago
Chicago
Chicago is the largest city in the US state of Illinois. With nearly 2.7 million residents, it is the most populous city in the Midwestern United States and the third most populous in the US, after New York City and Los Angeles...

 suburb
Suburb
The word suburb mostly refers to a residential area, either existing as part of a city or as a separate residential community within commuting distance of a city . Some suburbs have a degree of administrative autonomy, and most have lower population density than inner city neighborhoods...

 of Deerfield
Deerfield, Illinois
Deerfield is a village in Lake County, Illinois, United States and is located approximately 25 miles north of Chicago, Illinois. A portion of the village is in Cook County, Illinois, United States...

, Illinois
Illinois
Illinois is the fifth-most populous state of the United States of America, and is often noted for being a microcosm of the entire country. With Chicago in the northeast, small industrial cities and great agricultural productivity in central and northern Illinois, and natural resources like coal,...

, completed its initial public offering
Initial public offering
An initial public offering or stock market launch, is the first sale of stock by a private company to the public. It can be used by either small or large companies to raise expansion capital and become publicly traded enterprises...

 in July 1988, listed on the American Stock Exchange
American Stock Exchange
NYSE Amex Equities, formerly known as the American Stock Exchange is an American stock exchange situated in New York. AMEX was a mutual organization, owned by its members. Until 1953, it was known as the New York Curb Exchange. On January 17, 2008, NYSE Euronext announced it would acquire the...

. After less than sixteen years as a company, it was acquired by a competitor, Temple-Inland
Temple-Inland
Temple-Inland, Inc. is an American corrugated packaging and building products company based in Austin, Texas.-History:-Early Years:In 1893, when Thomas Louis Latane Temple, Sr., founded Southern Pine Lumber Company on of East Texas, Angelina County, timberland...

, in early 2002.

Origins

Gaylord Container was a by-product of the hostile takeover of Crown Zellerbach by Sir James Goldsmith
James Goldsmith
Sir James Michael "Jimmy" Goldsmith was an Anglo-French billionaire financier and tycoon. Towards the end of his life, he became a magazine publisher and a politician. In 1994, he was elected to represent France as a Member of the European Parliament and he subsequently founded the short-lived...

 in July 1985, which resulted in the break-up of the San Francisco-based forest products corporation in May 1986. The more profitable manufacturing assets (fine paper mills) were sold to the James River Corporation of Richmond
Richmond, Virginia
Richmond is the capital of the Commonwealth of Virginia, in the United States. It is an independent city and not part of any county. Richmond is the center of the Richmond Metropolitan Statistical Area and the Greater Richmond area...

, Virginia
Virginia
The Commonwealth of Virginia , is a U.S. state on the Atlantic Coast of the Southern United States. Virginia is nicknamed the "Old Dominion" and sometimes the "Mother of Presidents" after the eight U.S. presidents born there...

 (which became Fort James in 1997, and was acquired by Georgia-Pacific
Georgia-Pacific
Georgia-Pacific LLC is an American pulp and paper company based in Atlanta, Georgia, and is one of the world's leading manufacturers and distributors of tissue, pulp, paper, packaging, building products and related chemicals. As of Fall 2010, the company employed more than 40,000 people at more...

 in 2000). The less profitable container division (brown paper) became "Gaylord Container," and after a brief period as a limited partnership, was sold in November 1986 for $260 million to a group of Midwest investors led by Warren Hayford and Marvin Pomerantz. They headed Mid-America Packaging, a single kraft paper mill in Pine Bluff
Pine Bluff, Arkansas
Pine Bluff is the largest city and county seat of Jefferson County, Arkansas, United States. It is also the principal city of the Pine Bluff Metropolitan Statistical Area and part of the Little Rock-North Little Rock-Pine Bluff, Arkansas Combined Statistical Area...

, Arkansas
Arkansas
Arkansas is a state located in the southern region of the United States. Its name is an Algonquian name of the Quapaw Indians. Arkansas shares borders with six states , and its eastern border is largely defined by the Mississippi River...

, acquired from Weyerhaeuser
Weyerhaeuser
Weyerhaeuser is one of the largest pulp and paper companies in the world. It is the world's largest private sector owner of softwood timberland; and the second largest owner of United States timberland, behind Plum Creek Timber...

 in December 1985 for $28 million. Soon after the acquisition of the former Crown Zellerbach assets, the headquarters of Gaylord Container were moved from California to Illinois.
The company was named after the Gaylord container, a bulk-size corrugated box by a company of the same name, based in Gaylord
Gaylord, Michigan
Gaylord is a city in the U.S. state of Michigan. As of the 2000 census, the city population was 3,681. It is the county seat of Otsego County. The city is also the seat of the Roman Catholic Diocese of Gaylord; it is by far the smallest settlement serving as the location of an active Roman...

, Michigan
Michigan
Michigan is a U.S. state located in the Great Lakes Region of the United States of America. The name Michigan is the French form of the Ojibwa word mishigamaa, meaning "large water" or "large lake"....

. The company was acquired by Crown Zellerbach in 1955, which renamed its brown paper operations the "Gaylord Container Division," which was later reduced to "Container Division."

Facilities

At its initiation in 1986, Gaylord Container had three paper mills (containerboard
Containerboard
Containerboard, also referred to as CCM , is a type of paperboard specially manufactured for the production of corrugated board. The term encompasses both linerboard and corrugating medium , the two types of paper that make up corrugated board...

), located in Antioch
Antioch, California
Antioch is a city in Contra Costa County, California. Located in the East Bay region of the San Francisco Bay Area along the San Joaquin-Sacramento River Delta, it is a suburb of San Francisco and Oakland. The city's population was 102,372 at the U.S...

, California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...

, Bogalusa
Bogalusa, Louisiana
Bogalusa is a city in Washington Parish, Louisiana, United States. The population was 13,365 at the 2000 census. It is the principal city of the Bogalusa Micropolitan Statistical Area, which includes all of Washington Parish and is also part of the larger New Orleans–Metairie–Bogalusa...

, Louisiana
Louisiana
Louisiana is a state located in the southern region of the United States of America. Its capital is Baton Rouge and largest city is New Orleans. Louisiana is the only state in the U.S. with political subdivisions termed parishes, which are local governments equivalent to counties...

, and Baltimore
Baltimore, Ohio
Baltimore is a village in Fairfield County, Ohio, United States. The population was 2,881 at the 2000 census.-Geography:Baltimore is located at ....

, Ohio
Ohio
Ohio is a Midwestern state in the United States. The 34th largest state by area in the U.S.,it is the 7th‑most populous with over 11.5 million residents, containing several major American cities and seven metropolitan areas with populations of 500,000 or more.The state's capital is Columbus...

, with converting plants in twelve states. The mill of Mid-America Packaging in Pine Bluff
Pine Bluff, Arkansas
Pine Bluff is the largest city and county seat of Jefferson County, Arkansas, United States. It is also the principal city of the Pine Bluff Metropolitan Statistical Area and part of the Little Rock-North Little Rock-Pine Bluff, Arkansas Combined Statistical Area...

, Arkansas
Arkansas
Arkansas is a state located in the southern region of the United States. Its name is an Algonquian name of the Quapaw Indians. Arkansas shares borders with six states , and its eastern border is largely defined by the Mississippi River...

, was integrated into Gaylord Container in June 1988. The Ohio mill was sold for $17 million in November 1988, it produced only the less-profitable corrugating medium from recycled pulp.

The Antioch mill in northern California (midway between San Francisco and Sacramento
Sacramento, California
Sacramento is the capital city of the U.S. state of California and the county seat of Sacramento County. It is located at the confluence of the Sacramento River and the American River in the northern portion of California's expansive Central Valley. With a population of 466,488 at the 2010 census,...

) had used 100% recycle pulp since 1977, and had a gas turbine
Gas turbine
A gas turbine, also called a combustion turbine, is a type of internal combustion engine. It has an upstream rotating compressor coupled to a downstream turbine, and a combustion chamber in-between....

 co-generation facility, installed in 1982. The mill and adjacent converting complex was opened in 1956 by Crown Zellerbach to use pulp from British Columbia
British Columbia
British Columbia is the westernmost of Canada's provinces and is known for its natural beauty, as reflected in its Latin motto, Splendor sine occasu . Its name was chosen by Queen Victoria in 1858...

 to make tissue, toweling, multiwall bags, and linerboard for the northern California market. The pulp was delivered by company ship to the Antioch mill's deep-water dock on the San Joaquin River
San Joaquin River
The San Joaquin River is the largest river of Central California in the United States. At over long, the river starts in the high Sierra Nevada, and flows through a rich agricultural region known as the San Joaquin Valley before reaching Suisun Bay, San Francisco Bay, and the Pacific Ocean...

. Eventually the consumer products were phased out and the mill downsized to a single Fourdrinier paper machine
Fourdrinier machine
This article contains a glossary section at the end.Most modern papermaking machines are based on the principles of the Fourdrinier Machine. It has been used in some variation since its inception...

 (260" (660 cm) wide), which produced linerboard and corrugating medium for corrugated boxes. Recycled pulp from the adjacent Secondary Fiber mill was first produced in 1969, reclaimed from old corrugated containers (OCC) and initially used as an extender for virgin pulp. Within eight years the mill's fiber supply was 100% recycle for all its grades of linerboard and medium, and for nearly a decade the Antioch mill was home of the "World's Largest Recycle Paper Machine.".

In March 1988, Gaylord Container acquired the adjacent Fibreboard kraft pulp and paper mill from Louisiana-Pacific
Louisiana-Pacific
Louisiana-Pacific Corporation , commonly known as "LP", is a United States building materials manufacturer. It was founded in 1973 and is currently based in Nashville, Tennessee. LP pioneered the U.S. production of oriented strand board panels. Today, LP is the world’s largest producer of OSB, and...

 and it became the California east mill. Despite a $50 million infusion to revive the 1949 facility, problems with wood chip supplies and prices on the West Coast
West Coast of the United States
West Coast or Pacific Coast are terms for the westernmost coastal states of the United States. The term most often refers to the states of California, Oregon, and Washington. Although not part of the contiguous United States, Alaska and Hawaii do border the Pacific Ocean but can't be included in...

, antiquated equipment, and air quality issues forced the east mill to shut down within three years, in February 1991, eliminating 320 jobs. Shortly after the acquisition by Temple-Inland, the west mill was idled in September 2002, due to over-capacity of papermaking
Papermaking
Papermaking is the process of making paper, a substance which is used universally today for writing and packaging.In papermaking a dilute suspension of fibres in water is drained through a screen, so that a mat of randomly interwoven fibres is laid down. Water is removed from this mat of fibres by...

 within the newly expanded company. The Antioch gas-turbine power plant continued to operate, selling electricity
Electricity
Electricity is a general term encompassing a variety of phenomena resulting from the presence and flow of electric charge. These include many easily recognizable phenomena, such as lightning, static electricity, and the flow of electrical current in an electrical wire...

 to the local utility.

Gaylord Container also operated a DMSO
Dimethyl sulfoxide
Dimethyl sulfoxide is an organosulfur compound with the formula 2SO. This colorless liquid is an important polar aprotic solvent that dissolves both polar and nonpolar compounds and is miscible in a wide range of organic solvents as well as water...

 facility in Bogalusa, now Gaylord Chemical Corporation, adjacent to its pulp and paper operations.

External links

  • Answers.com - Gaylord Container Corp.
  • SECinfo.com - Gaylord Container Corp. - 10K form - yr. ending 2001-09-30
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