American Eagle Paper Mills
Manufacturing
Sunday, 01 April 2007
rp American Eagle Paper Mills - American Executive - RedCoat Publishing
This paper production facility was brought back to life with the help of several former employees who had a vision to strengthen the community.

In 2001, Westvaco Tyrone Paper Mill in Tyrone, Pa., was shut down because it was deemed an uncompetitive facility. The news was difficult to bear for John Ferner, a personnel manager who had worked at the facility for 30 years. His father had also worked at the mill years before. In an attempt to save the facility and bring back jobs that had been lost, Ferner and a team of about a dozen got together and decided to purchase the plant. Two years later, in November 2003, the 126-year-old mill was back up and running as American Eagle Paper Mills.

Today, Ferner is president of Team Ten LLC, the operating group of American Eagle Paper Mills. Team Ten comprises about a dozen local businessmen, seven of whom had worked at Westvaco, according to Ferner. According to its Web site, the group has more than 200 years of experience in paper manufacturing. The group put up $5 million in private capital and assets to bring the plant to where it is today, explained Ferner in a report in The Daily Herald.

Team Ten had overwhelming support from the community to re-open American Eagle Paper Mills, including several regional politicians. The group received a grant of $3 million from Pennsylvania’s Redevelopment Capital Assistance Program and direct loans and guarantees from the Pennsylvania Industrial Development Authority and the federal Small Business Administration.

Paper history
Tyrone, a town about 100 miles east of Pittsburgh, has quite a history in paper production. The town’s first mill opened in 1880 and was acquired by Westvaco in 1889. Despite several brief stoppages in productivity, Westvaco continued on as a strong company until the plant closed in October of 2001. At the height of its production, Westvaco produced about 100,000 tons of coated and uncoated paper a year.

Since the ’70s, Westvaco’s main product was the American Eagle line of paper, which is made of 50% recycled paper. The paper was used by the National Geographic Society for its magazine covers, according to the official Web site of the Tyrone Area Historical Society.

Community benefits
American Eagle Paper Mill has done wonders for the local economy since the plant went back in business. Team Ten’s purchase brought 170 jobs back to the region out of the 270 that were lost. According to a 2005 report by The Daily Herald, American Eagle Paper Mill put close to $50 million into the local economy in 2004. According to the release, the positive cash generated to Pennsylvania businesses was listed at $20,341,000. In addition, American Eagle Paper Mill’s economic impact statement detailed that about $7.5 million went to salaries and benefits that year.

The community has taken well to Ferner’s efforts to strengthen the local economy. Local radio station WTRN presented Ferner its Outstanding Citizen Award in July 2003. Today, the mill produces uncoated paper products and has the capacity to produce approximately 90,000 tons per year of high-quality printing and converting papers, according to its Web site. The products will serve the magazine and book publishing, commercial printers, envelope converters, and business form markets.

 
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