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WORLDWIDE BIODIVERSITY/FOREST CAMPAIGN NEWS  

USA: Boise Cascade Profile-Timber Giant or Corporate Welfare Bum?  

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Forest Networking a Project of Ecological Enterprises  

April 15, 1995  

  

OVERVIEW & SOURCE  

Following is the Siskiyou Regional Education Project's Profile of   

Boise Cascade, who has been the the number one purchaser of tax-  

payer subsidized federal timber in the United States for the past   

three years.  The Siskiyou Regional Education Project and other   

environmental groups are promoting a boycott of Boise Cascade   

Corporation because of their refusal to give up the Sugarloaf   

timber sale, "a mountainside of giant, ancient trees in the   

Siskiyou National Forest that lies inside a crucial roadless   

wildlife migration corridor."  This area was to be set aside as an   

Ancient Forest Reserve and a Key Watershed under the Clinton   

Forest Plan.  But at the last minute, it was allowed to go   

through. "The Sugarloaf 'sale' is really a license to steal from   

the public and exemplifies how the timber industry exercises   

control over ostensibly "public" lands."  At the end of the piece   

is an extensive list of recycled paper product suppliers.  This   

was posted in econet's econ.boycotts conference.  

  

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RELAYED TEXT STARTS HERE:  

  

/* Written  6:23 PM  Apr 11, 1995 by siskiyou in igc:econ.boycotts   

*/  

/* ---------- "Boise Cascade profile (at last!)" ---------- */  

From: Siskiyou Project <siskiyou>  

  

Boise Cascade - Timber Giant or Corporate Welfare Bum?  

  

by Kelpie Wilson  

  

The Siskiyou Regional Education Project and other environmental   

groups are promoting a boycott of Boise Cascade Corporation   

because of their refusal to give up the Sugarloaf timber sale, a   

mountainside of giant, ancient trees in the Siskiyou National   

Forest that lies inside a crucial roadless wildlife migration   

corridor.   

  

Under the Clinton Forest Plan, this area was to be set aside as an   

Ancient Forest Reserve and a Key Watershed.  But at the last   

minute, because this sale was auctioned (but not sold) back in   

1989, the Administration created a loophole to allow it to go   

through. The Sugarloaf "sale" is really a license to steal from   

the public and exemplifies how the timber industry exercises   

control over ostensibly "public" lands.   

  

Boise Cascade, the nation's second largest forest products   

company, was originally incorporated by Frederick Weyerhauser back   

in 1913 as Boise Payette.  In 1957, it was merged with Cascade   

Lumber into Boise Cascade.  The company received at least 172,000   

acres of Northern Pacific Railroad grant land from the federal   

government between 1913 and 1947.  The legality of this land   

transfer has been challenged by Spokane environmentalist John   

Osborne, who has proposed that Congress take the land back from   

Boise Cascade, Weyerhauser, Plum Creek and other giant timber  

companies because of violations of the original conditions imposed   

upon Northern Pacific Railroad.   

  

There is precedent for such an action.  In 1916 Congress took back   

lands given to the Oregon and California Railroad, now known as   

O&C lands and managed by the BLM and the US Forest Service.  

  

In 1995, Boise Cascade now owns 1.3 million acres of land in the   

Pacific Northwest and 1.4 million acres in New England and the   

South.  They also hold long term government licences to log 3.4   

million acres in Central Canada.  

  

In their annual report to shareholders, Boise Cascade boasts of   

its independent fiber supply - claiming that 50% of its raw   

materials are supplied from its own lands and the Canadian   

licences.  But in the Pacific Northwest, Boise Cascade has been   

the number one purchaser of tax-payer subsidized federal timber   

for the past three years. Most of that is old growth.  Last  

year they bought 13.7% of the sales offered, a total of   

110,000,000 board feet.   

  

The company owns 7 pulp and paper mills in Alabama, Louisiana,   

Maine, Minnesota, Oregon, Washington and Ontario and they own 7   

corrugated container plants in Idaho, Nevada, Oregon, Utah and   

Washington.  They operate 26 lumber, plywood, particleboard and  

engineered lumber manufacturing facilities in Idaho, Oregon,   

Washington, Alabama and Louisiana.  They are the third largest   

distributor of home building supplies.  

  

In recent years Boise Cascade has been moving strongly into the   

office supply distributing business.  They run office products   

distribution centers in 23 states and have contracts with large   

companies (Boeing, IBM, United Airlines) and state institutions   

like schools and universities (University of Oregon, University of  

Nebraska). Last year they acquired Reliable, a mail order office    

supply distributor with 260,000 active accounts.  By the end of   

1994, office supplies accounted for about 20% of the company's   

sales for a third of its profits.  

  

Paper manufacturing represents almost half of Boise Cascade's   

sales, but the company has been losing money badly on paper for   

the past few years, throwing the whole company in the red. (It is   

currently saddled with a $2 billion debt load.)  This year,   

however, paper prices are surging upward and Boise Cascades 1980's  

investments in new plant capacity may start to turn a profit for   

the company on paper.  Boise Cascade makes all grades of paper,   

from newsprint to coated magazine papers and office copy paper.    

Office copy paper is sold under the brand names "Boise Cascade,"   

"Cascade," and "Oxford".  

  

Boise's paper problems may be partly to blame for its tendency to   

put "profits before people,' in the words of Minnesota AFL-CIO   

President Dan Gustafson. The company has a terrible record of OSHA   

violations, one of the worst in the idustry, according to Council   

on Economic Priorities.  They have been charged with over 350   

"willful" (meaning purposefully, not accidentally negligent)   

violations of worker safety rules since 1988.  As of July, 1994,   

295 of these willful violations remained on the company's record.   

  

Only about half the company's 17,000 workers are now protected   

with union contracts:  Boise has a recent history of brutal union    

busting tactics.  In Rumford, Maine and in International Falls,   

Minnesota, Boise Cascade hired the scab worker service BE & K   

along with a professional goon squad to provoke violent  

confrontations between strikers and scabs.  When the Rumford   

strike was over, scabs were given seniority over the regular   

workers.  Boise Cascade "won" that strike, but it cost them over   

30 million dollars.  John Case, writing in the journal, Political   

Affairs said,  

  

"The attack on Boise workers is essentially a strategy that seeks   

to achieve a higher return on investment at the expense of the   

workers.  For Boise to spend $30,000,000 on such a strategy   

astounds the average person.  Yet it is typical of the parasitic   

and arrogant position of the giant corporations."    

  

Forest defenders in Oregon must consider that if Boise Cascade   

would spend 30 million dollars to break a strike, how much will   

they spend to break resistance to their logging of the last of the    

old growth forests?    

  

Approximately 73% of the woodchip supply for Boise Cascades   

Northwest mills comes as residual from saw timber mills.  As this   

supply shrinks, the company is looking for other sources of pulp   

chips.  Their long term plan is to move more of their resources to   

the South, but they have made one small investment to secure a   

more sustainable supply in the Northwest: they recently planted   

15,000 acres in fast growing cottonwoods (6 years to harvest)   

using drip irrigation in Eastern Washington.  They expect this   

land to supply 20% of the raw fiber for their Wallula paper mill.   

If the company would spend more of it's money on this kind of   

investment for the future and less on resisting the inevitable   

change away from using old growth, we might begin to consider them   

environmentally and socially responsible.  

  

Boise Cascade is a very active member of the American Forest   

Resource Alliance, and a major contributor to timber industry   

political action committees.  Those PAC's gave $2.7 million to   

candidates in 1991-1992.  Boise has also opposed a mandated   

recycling law in Idaho and tried to weaken an Oregon regulation  

controlling pulp mill emissions of organo-chlorides.  Former Idaho   

Senator, James McClure, sits on Boise's board of directors.  He   

also runs a Washington, DC lobbying firm, so you can be sure Boise   

Cascade is well represented in our government.  

  

In a reply to a letter asking Boise Cascade to give up the   

Sugarloaf Sale, CEO George Harad suggested that if the sale was   

not appropriate, the Forest Service is to blame.  But Forest   

Service policies are determined by politicians who are bought and   

sold by the timber industry.  It is clear that the buck stops at  

industry's door, and that is the door that must hear the pounding   

of angry citizens.    

  

Boise Cascade claims a committment to "...being a responsible   

corporate citizen in the communities in which we operate, and   

providing active stewardship of the timberlands under our   

management." (1994 Annual Report) Yet, their bottom line is that   

they are only responsible for increasing the profits of their  

shareholders.  They must come to see that the real bottom line is   

the sustainability of the forests and the health and safety of   

workers.  Since we are all shareholders in Planet Earth, Boise   

Cascade's greater responsibility is to meet the Earth's bottom   

line.   

  

Here are some steps that Boise Cascade can take to become a truly   

ecologically and socially responsible company:    

  

1) Agree to give up the Sugarloaf sale.  

  

2) Stop promoting growth in paper consumption. Instead, sell   

increased value in recycled and alternative fiber papers and   

encourage reduced consumption.  

  

3) Stop all dependence on cutting native forests for raw   

materials.  

  

4) Improve worker health and safety to the highest levels.  

  

5) Encourage workplace democracy and unionization of all employees   

who want to be unionized.  

  

6) Stop spending money on "greenwashing" advertising designed to   

deceive the public about Boise's committment to environmental   

values.  

  

7) Stop making large contributions to politicians and hiring DC   

lobbyists.  

  

8) Stop opposing regulations to reduce organo-chlorides.  Produce   

more unbleached and non-chlorine bleached papers.  

  

  

More Information About Boise Cascade  

  

Major subsidiaries:  Reliable (mail order office supplies), Rainy   

River (Canadian pulp and paper), Duropak and Schumacher (German   

container board)  

  

Brand name list:  paper - Cascade, Oxford, MP; office supplies -   

Associated, Cascade, Frederick-Sherry; building supplies - Noyo,   

Vinyl Bond, Wevelite; containers - Specialty Paperboard, Duropak,   

Shumacher  

  

Major Shareholders:  State Farm Auto Insurance (5%), Ohio State   

Teachers Retirement, New York State Teachers Retirement, Harvard   

College, California State Teachers Retirement, California Public   

Employees Retirement.    

  

Interlocking Directorates (other corporate boards that Boise board   

members sit on):  Albertson's, Alco, American Express, Boeing,   

Citicorp, Ford Foundation, Gen Corp, General Motors, Hewlett-  

Packard, McKesson   

  

  

Alternatives Sources of Paper and Office Supplies  

  

While researching this article, I called up my friend Denny   

Haldeman of the Land Ethics Alliance in Tennessee.  They are   

boycotting Champion Intl., which is clearcutting the Southern   

states to feed giant chip mills for the international pulp market.    

Boise Cascade has been expanding its operations in the South,  

quadrupling its capacity there in the last decade. Denny points   

out that the only way to stop the stripping of southern forests is   

to drastically reduce paper consumption.  Even the recycled paper   

that schools and other government institutions are now required to   

buy is usually only %10 - %15 recycled post consumer waste.  Until   

businesses and institutions switch over to %50 or more recycled,   

or even better, tree-free paper, the devastation of forests around   

the world will contine.    

  

According to the Council on Economic Priorities, Union Camp paper   

has high marks for social and environmental responsibility.  Union   

Camp is distributed in Oregon by Kirk Paper Co. (503) 684-4911.    

Kirk had the Oregon state contract a few years ago.  They also   

distribute for Boise Cascade, so it would have to be made clear to  

them that Boise paper was not wanted.  

  

Council on Economic Priorities also recommends Mead office    

products and 3-M Corporation for general office supplies.  

  

There are also several smaller distributers who specialize in   

recycled paper, tree-free paper (from hemp, straw and kenaf   

fibers)  and office supplies of all types.  Here are some   

addresses:  

  

Real Recycled - paper and office supplies - 1541 Adrian Rd.,   

Burlingame, CA 94010 (800)233-5335  

  

Tree Free Ecopaper - hemp and straw paper - 121 SW Salmon St., ste   

1100, Portland, OR 97204, (800) 775-0225  

  

Vision Paper - manufacturers and suppliers of kenaf paper.  Their   

paper now used at some Kinko's copy centers - P.O. Box 20399,   

Albuquerque, NM 87154-0399, (505) 294-0293  

  

EcoTech Recycled Products - recycled office and business products   

- 14241 60th St. North, Clearwater, FL 34620 (813) 531-5353  

  

Green Earth Office Supply - P.O. Box 719, Redwood Estates, CA   

95044 (800) 327-8449  

  

GreenCo Products - recycled paper and office supplies - 239 Ferry   

Road, Unit 2, Brattleboro, VT 05301 (800) 326-2897  

  

Atlantic Recycled Paper Co. - 822-A Frederick Rd., Baltimore, MD   

21228, (800) 323-2811  

  

Full Circle Paper Outlet - 3437 Hillsborough Rd., Durham, NC   

27705, (919) 309-0811  

  

Peacetree Recycled Paper - paper and office supplies - 523 NE   

Davis, Portland, OR 97232, (503)233-5821  

  

House of Doolittle - Calenders and appointment books on recycled   

paper - 701 Lunt, Elk Grove Village, IL 60007, (708)228-9591  

  

     

Siskiyou Regional Education Project is looking for other   

organizations willing to sign on to this boycott.  Please contact   

Kelpie Wilson, SREP, P.O. Box 220, Cave Junction, OR 97523  

  

email: siskiyou@igc.apc.org  

  

Many thanks to Institute on Trade Policy for research used in this   

report.  Council on Economic Priorities and the Data Center of   

Oakland, CA also provided useful information.  

  

###RELAYED TEXT ENDS###

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