Vigourexplore our theme

Lizards are estimated to have been around for 240 million years. Little wonder, given that they make use of a variety of antipredator adaptations, including venom, camouflage, reflex bleeding and the ability to sacrifice and regrow their tails. What’s more, as with other reptiles, the skin of lizards is covered in overlapping scales made of keratin, providing protection from the environment and reducing water loss through evaporation. This characteristic enables them to thrive in some of the driest deserts on earth.

Vigour, strength and adaptability have ensured lizards’ ability to thrive over the course of time.

So, too, at Sappi, our commitment to growing our business and maintaining a healthy balance sheet, has sustained us for almost 90 years. We are vigorous in our commitment to deliver on our Thrive strategy, including by reducing exposure to graphic paper markets while investing for growth in our target markets and capitalising on our leadership position in pulp supply to the lyocell market.

Evolveexplore our theme

Very little in nature is static – everything is constantly changing and evolving. One miraculous example of this is the metamorphosis of the egg, the caterpillar (larva) and the chrysalis (pupa) into the adult butterfly. This process embodies fresh ideas, renewal and unexpected outcomes.

The caterpillar’s new form as a butterfly opens new horizons, but also new risks, particularly in the form of climate change. Butterflies are particularly sensitive to environmental changes like climatic shifts. That is because they are strictly adapted to certain environmental conditions and their development depends on certain larval food plants and specific microhabitat structures.

In Sappi’s case, climate change presents both risks and opportunities. We are addressing short- and long-term physical and transitional climate risks identified through processes outlined by the Task Force on Climate-related Financial Disclosures (TCFD) to build resilience. In addition, we are determined, as a socially responsible business, to play our part in ensuring a just transition in South Africa as the country faces the reality of reducing its dependence on coal.

We are also determined to accelerate our science-based decarbonisation trajectory which we see as an opportunity to future-proof our business. So too, are the opportunities presented by evolving customer needs and legislation – notably growing demand for sustainable packaging, based on low-carbon impact, together with demand for more sustainable textile fibres.

We cannot achieve our vision of a thriving world without an evolving response to climate change. By collaborating with a broad range of stakeholders we are working to achieve energy security and climate resilience and transform our vision into reality.

Postureexplore our theme

Beauty and confidence. Pride and upright posture. These attributes have meant that many cultures over the ages have associated peacocks with royalty and power.

This image is appropriate to Sappi because we too, can stand tall with pride when we consider our past achievements and drive to create not just enterprise value, but value for our people and for communities.

We have achieved enterprise value through our ability to be nimble and optimise profitability in ever-changing markets, reshaping our products and processes to create value and growth for our own business and our customers. We continue to offer our customers a broad range of solutions based on the power of renewable resources that enable them to achieve their sustainability goals and contribute to the low-carbon, circular economy. In doing so, we have continued to focus on treading more lightly on the Planet.

Creating value for our people and communities is underpinned by the structures and programmes we have established which facilitate open, authentic communication, by our ongoing investment in training, development and transformative community programmes, as well as by our collaborative partnerships focused on workable solutions to industry challenges.

Our commitment to delivering sustainable value to our stakeholders is based on our focus on living our values at all times: At Sappi we do business safely with integrity and courage, making smart decisions which we execute with speed.

Diving deeper into our,
performance and prospects

Fortifyexplore our theme

Hermit crabs are shapeshifters, moulting as they grow, continually shedding their exoskeletons and growing new ones. As their exoskeletons are fragile, they need shells for protection. Rather than produce their own shell, as they grow, they use shells abandoned by other marine creatures. This process is not a one-off, but continues throughout their lifespan, depending on water temperature, habitat and species.

Many species will enhance their chances of survival by encouraging anemones to attach to their shell, as the latter’s stinging tentacles may deter predators. The crabs even transfer the anemones from shell to shell when they move house.

We can draw parallels with Sappi, fortified as we are by our iterative Thrive strategy and by our agility in responding to changes in our operating context to emerge stronger and better positioned for growth. This process is underpinned by ongoing engagement with our stakeholders, whose input helps us shape our response to our environment as we collaborate to build a thriving world.

Balanceexplore our theme

Bubbles are things of fragility, wonder – and balance. That’s because the inward surface tension forces of the water film are exactly balanced by the outward-pushing pressure of the air inside.

Blowing more air in to make a bigger bubble means more air pressure inside and also means the bubble must get thinner in the process, because there is only so much water to go around. Should one keep blowing more air in, the film eventually won’t have enough reserve water to spread out into a bigger surface, and the ultimate catastrophe occurs: the bubble bursts.

The success of Sappi’s business is also based on balance. This includes continuous capital prioritisation as we look to reduce costs and grow the business while sustaining a healthy balance sheet. It involves reshaping our product portfolio to meet changing market needs and taking advantage of growth opportunities while being mindful of the risks. It means balancing the needs of people and communities with our responsibility to our shareholders.

As we move forward into the future, we know we can rely on the expertise and passion of our people and the ongoing cooperation of our stakeholders to maintain this balance and drive sustainable value creation.

Connectexplore our theme

Some mushrooms are bioluminescent, due to luciferins, the same compounds that make fireflies light up at night. This ability is used to attract insects which then spread the mushroom spores elsewhere in the forest, allowing the fungi to reproduce.

But that’s not where connection ends. Beneath every forest and wood lies a complex network of roots and fungi that connects trees and plants to one another. This network – sometimes called the Wood Wide Web – is almost 500 million years old and is vital for most plants on earth. Trees and plants obtain nutrients that the fungi acquire from the soil, such as nitrogen and phosphorus by means of enzymes that the trees do not possess. In return, the fungi receive carbon-rich sugar from the roots of the trees.

This symbiotic relationship enables all connected organisms to thrive.

Similarly, at Sappi our connection with our stakeholders shapes our work to build a thriving world. This connection enables us to meet the changing needs of every employee at Sappi and to offer our partners the renewable innovation they need to be successful. By understanding and connecting with community needs, we drive positive social impact, playing a role beyond making and selling.

Like mushrooms, our business is a living organism – growing, adapting and evolving in a continually shifting context. As we shape our response to this context, we prioritise value creation for all stakeholders.

Menu

Where we operate

Europe

Employees
5,410
Sales offices
12
Production facilities
10

North America

Employees
2,073
Sales offices
6
Production facilities
4

South Africa

Employees
4,591
Sales offices
3
Production facilities
5

Sappi Trading
Sappi Trading operates a network for the sale and distribution of our products outside our core operating regions of North America, Europe and South Africa.

Sales offices
Bogotá
Hong Kong
México City
Johannesburg
Sydney
Nairobi
Shanghai
São Paulo


Sappi Europe
  Capacity*('000 tons)
Mills Products produced Paper3 Pulp
Packaging and
speciality
papers
Graphic
papers
Alfeld Mill Bleached chemical pulp for own consumption     120
Speciality paper; flexible packaging paper, paperboard, containerboard, release liner, label paper,
functional papers
275    
Carmignano Mill Speciality paper; dye sublimation paper, flexible packaging paper, inkjet paper and label paper 100    
Condino Mill Speciality paper; dye sublimation paper, flexible packaging paper, inkjet paper and silicone base paper 60    
Ehingen Mill Bleached chemical pulp for own consumption and market pulp     140
Coated woodfree paper and containerboard 115 165  
Gratkorn Mill Bleached chemical pulp for own consumption     250
Coated woodfree paper and label paper, containerboard 100 880  
Kirkniemi Mill** Bleached mechanical pulp for own consumption     300
Coated mechanical paper   750  
Lanaken Mill1 Bleached chemi-thermo mechanical pulp for own consumption     165
Coated woodfree paper   530  
Maastricht Mill Coated woodfree paper and paperboard 70 190  
Stockstadt Mill1 Bleached chemical pulp for own consumption and market pulp     145
Coated woodfree paper and uncoated woodfree paper   220  
Total Sappi Europe 720 2,735 1,120
Total Sappi Europe excluding mills being closed 720 1,985 810
Other operation Products produced   Capacity1 (million m2)
Rockwell Solutions Coated barrier film and paper     100


Sappi North America
  Capacity * ('000 tons)
Mills Products produced Paper3 Pulp
Packaging and
speciality
papers
Graphic
papers
Cloquet Mill Dissolving pulp, bleached chemical pulp for own consumption and market pulp2     370
Coated woodfree paper and label paper 70 270  
Matane Mill High-yield hardwood pulp for own consumption and market pulp     285
Somerset Mill Bleached chemical pulp for own consumption and market pulp     525
Coated woodfree paper, paperboard and label papers 490 510  
Westbrook Mill Converting for speciality casting and release paper 23    
Total Sappi North America 583 780 1,180


Sappi Southern Africa
  Capacity 1 ('000 tons)
Plantations4 Products produced Hectares Standing
tons
KwaZulu-Natal Plantations (pulpwood and sawlogs)5 165 10,992
Mpumalanga Plantations (pulpwood and sawlogs)5 235 17,412
Total Sappi Forests (owned and leased supply) 400 28,404

 
  Capacity (m3)   Capacity * ('000 tons)
Mills Products produced Timber Paper3 Pulp
Packaging and
speciality
papers
Graphic
papers
Lomati Sawmill Sawn timber (000m3) 86      
Ngodwana Mill Unbleached chemical pulp for own consumption       230
Mechanical pulp for own consumption       110
Kraft linerboard   240    
Newsprint     85  
Kraft papers   25    
Stanger Mill Bleached bagasse pulp for own consumption       60
Office paper and tissue paper   28 82  
Tugela Mill Neutral sulphite semi chemical pulp for own consumption       170
Corrugating medium   200    
Sappi ReFibre6 Waste paper collection and recycling for own consumption       75
Total Sappi Paper and Paper Packaging   493 167 645
Ngodwana Mill Dissolving pulp       255
Saiccor Mill Dissolving pulp       890
Total dissolving pulp       1,145
Total Sappi Southern Africa 86 493 167 1,790
* Capacity at maximum continuous run rate per annum.
1 Mills to potentially be closed in FY2024.
2 The stated capacity is for dissolving pulp, the capacity for kraft pulp is 17% higher.
3 The split between graphic papers and packaging and speciality papers is what we believe is technically and commercially possible. Some mills have the capacity to swing between products.
4 Approximately 139,000 hectares of our land is set aside and maintained by Sappi Forests to conserve the natural habitat and biodiversity found there.
5 Plantations include owned and leased areas.
6 Sappi ReFibre collects waste paper in the South African market, which is used to produce packaging paper.