Health and Safety
Directors and Principal Officers|
Tembec is a forest products company, well established in Canada and France. With sales of over $1.5 billion and some 3,500 employees, it operates approximately 20 pulp, paper and lumber manufacturing units, and produces chemicals from by-products of its pulping process. A number of manufacturing units are located together in Temiscaming, Québec, the location of the Company's original facility. In addition, the Company manages nearly 10 million hectares of forest lands in Québec, Ontario and British Columbia.
Tembec's lumber and paper products are sold primarily in the United States and Canada. Pulp production is sold to customers worldwide through Company offices in Toronto, Ontario and Dax, France.
The Company's common shares are listed on the Toronto Stock Exchange under the symbol TBC.
The Forest Products Segment focuses on the production of softwood (spruce, pine and fur) lumber, and also manufactures engineered finger-jointed lumber and hardwood lumber. Softwood lumber products comprise stud lumber, finger-jointed lumber and other lumber products. Softwood lumber products are manufactured in eight facilities in Québec, Ontario and British Columbia, while engineered and hardwood products are manufactured in three facilities in Québec and Ontario.
The Company's softwood lumber products are produced in a number of grades and are used primarily in residential and commercial construction. Hardwood lumber products are used by manufacturers of furniture and flooring, and in specialty residential and commercial applications.
Wood supply for Tembec's lumber products comes for the most part from land owned by the governments of the provinces in which it operates. The Company works closely with these governments to ensure its compliance with all laws and regulations. Ongoing research allows Tembec to continually improve its site preparation, planting and harvesting techniques so as to improve the timber yield of the forests lands within its operating areas.
The Specialty Cellulose Pulp Segment is a significant producer of cellulose pulp, a versatile product used in cosmetics, pharmaceuticals, personal care products, foods, coatings, electronics products and the energy sector, in the roles of texturizer, thickening agent, strengthening agent and binder, and for splatter control. Tembec's production activities take place at two mills, one in Temiscaming, Québec, and the other in Tartas, France.
The Temiscaming mill also produces "viscose" grade cellulose pulp, which is used by producers of viscose staple fibre, used in turn to produce rayon in the textile industry. The majority of the wood chips which are used as raw material by the Temiscaming mill are supplied by Tembec's Forest Products Segment.
Major capital investments in the Temiscaming cellulose pulp operation, beginning in 2011, are aimed at making this facility one of the most modern and efficient in the industry.
Residual materials from production at Temiscaming and Tartas are used to make lignosulfonates. Lignosulfonates are natural binding agents and dispersants, used in agriculture and also in the production of carbon black and concrete admixtures. Also produced from residuals, at the Temiscaming mill, is high purity ethanol, with application to personal care, food and pharmaceutical products.
Grouped within the Specialty Cellulose Pulp Segment is Tembec's resin business. This business produces powder and liquid phenolic resins from sites in Temiscaming and Longueuil in Québec, and powder and liquid amino resins from a site in Toledo, Ohio. These resin products are used by manufacturers of forest products such as oriented strand board and medium density fiberboard.
Through its Paper Pulp Segment, Tembec is the world's largest producer of high-yield hardwood pulp. Made with maple, aspen or birch, high-yield hardwood pulp uses a primarily mechanical production method which is capable of converting about 90% of wood into pulp. Production is located in Temiscaming and Matane, Québec. Tembec has been differentiating its high-yield hardwood pulp production from competing sources by focusing on applications in the manufacture of paper and board.
The Paper Segment consists of two paper machines at a mill in Kapuskasing, Ontario, and a paper machine at the Temiscaming, Québec mill. Kapuskasing produces newsprint, primarily for use by publishers of daily newspapers. Temiscaming, meanwhile, produces coated bleached board, which is used by customers for book covers, directory covers, lightweight premium packaging and coated linerboard.
An important new initiative at Tembec is its investment in green energy projects. These will increase the Company's production of cogenerated electricity and its use of bioenergy as a fuel source. At the Matane, Québec pulp mill, an anaerobic treatment facility will treat effluents and collect methane gas for use in the mill's pulp drying process in place of the light oils currently used. This change, in addition to the replacement of a heavy oil-fuelled boiler with an electric boiler, will reduce by approximately 90% the use of oil as a fuel source at the facility. At the Bearn, Québec sawmill, a seven megawatt biomass boiler began operation in June, 2012. This boiler uses biomass bark produced at the sawmill and replaced two six megawatt oil-fired boilers. The result was an 88% reduction in greenhouse gas emissions at the sawmill and a reduction in the use of fossil fuels there.
Tembec was created in 1973 in Temiscaming, Quebec, when a determined community and its people refused to give up their livelihood and future without a fight. The town's economic lifeblood, a pulp mill owned by a large multinational corporation, was shut down in 1972. The mill's former employees and Temiscaming residents gained national attention in their fight to save their jobs, and their efforts created a unique and unprecedented relationship among entrepreneurs, unionized employees, the community and levels of government. The mill was purchased and Tembec came into being.
The Company believes its history and organizational culture has stimulated innovation, entrepreneurship and a distinct competitiveness, allowing Tembec to grow from its original mill in Temiscaming into the large forest products company it is now. Today, the Company is primarily involved in making wood products, market pulps and papers and has about 3,500 employees. In 2013 Tembec's sales amounted to $1.5 billion dollars and it had the capacity to produce 880 million board feet of lumber, 310,000 tonnes of specialty cellulose, 805,000 tonnes of paper pulp and 420,000 tonnes of paper.
Significant changes in the regulation of forestry resources, the demand for forest products and the economy in general in this new millennium have been met with decisive responses at Tembec. Revitalization, reshaping and innovation within the Company's businesses are ensuring that it is in position to meet tomorrow's challenges.
Tembec has been focusing on its core strengths in areas such as specialty cellulose and stud lumber while selling businesses in areas where it has only a small presence. The specialty cellulose operations are a priority for expansion due to their high profitability and stability. The Company is emphasizing green energy, primarily electricity cogeneration, to reduce its reliance on alternative sources of energy which are more sensitive to economic cycles. At the same time, the Company's unswerving commitment to sustainable forestry makes it stand out in its industry.
Environmental stewardship has always been a key aspect of Tembec's social responsibility. It is a major concern of Aboriginal People in areas in which the Company operates, and of concern to customers, investors and environmental groups.
In 2000 Tembec became the first major Canadian forest products company to implement an ISO 14001-compliant Environmental Management System across all of its operations. This internationally-recognized set of environmental best practices guides all Company activities having a relationship with the environment.
By 2008, Tembec had achieved forest management certification on all of the public forest lands under its management. Independent audits of Tembec's forest and fiber sourcing supply chain activities measure the Company's performance against the standards established by the internationally-recognized Forest Stewardship Council® (FSC®).
All species and grades of Tembec's lumber products are available as FSC certified. The Company can provide its specialty cellulose pulp products on an FSC certified basis. Among other Company products with FSC certification are its Temcell® high-yield hardwood pulp, its entire line of lignosulfanates, and its high purity ethanol.
Tembec was founded in a community with a large Aboriginal population, and believes in developing long-term relationships with Aboriginal People relating to the stewardship over, access to and use of forest lands by both the Company and Aboriginal People. These forest lands are on territories over which First Nation and Métis communities have claimed Aboriginal title or in which they have traditional interests. Relationships between Tembec and Aboriginal People are founded on an understanding of each Aboriginal community's past and current stewardship over these lands and on a knowledge of sites of special significance requiring protection during forestry operations.
Working with environmental organizations, the Company aims to strike a balance between the need for resources to sustain and build its forestry operations, and the need to set aside land for parks and for protected areas. Protected areas are essential for maintaining the habitats of wildlife such as woodland caribou and mountain caribou. Tembec is a member of the Boreal Leadership Council and as such is a signatory to the Boreal Forest Conservation Framework. The Framework proposes the establishment of a network of interconnected, protected areas covering about half of Canada's boreal forest, and also calls for the use of the best sustainable development practices in the remaining areas.
Employees are not only the Company's most critical resource but also its heart and soul. To protect employees, the Company established a Health and Safety Plan to build good health and safety habits and foster a safe work environment. Tembec's Environment, Health and Safety Committee reviews and measures health and safety performance, and reports regularly to the Company's Board of Directors. More than 75% of the Company's total workforce is represented in joint management-worker health and safety committees.
In 2013 recordable health and safety incidents were reduced by 16%. This performance follows reductions of 32% in 2012 and 25% in 2011 and marked eight consecutive years of health and safety performance improvement.
800 René-Lévesque Blvd. West
Tel.: (514) 871-0137
Fax: (514) 397-0896
10 Gatineau Road, P.O. Box 5000
Tel.: (819) 627-4387
Fax: (819) 627-1178
Norman M. Betts
James N. Chapman
James V. Continenza
Michel J. Dumas
Francis M. Scricco
David J. Steuart
James V. Continenza, Chairman of the Board
James Lopez, President and Chief Executive Officer
Michel J. Dumas, Executive Vice President, Finance and Chief Financial Officer
Chris Black, Executive Vice President, Forest Products, Pulp and Paper
Christian Ribeyrolle, Executive Vice President, Specialty Cellulose, and President of Tembec France SAS
Paul Dottori, Vice President, Energy, Environment and Technology
Linda Coates, Vice President, Human Resources and Corporate Affairs
Patrick LeBel, Vice President, General Counsel and Corporate Secretary
Marcus Moeltner, Vice President, Business Development