Georgia-Pacific, Atlanta, is investing approximately $65 million to upgrade its Madison, Ga., plywood operations, including a $26 million upgrade to the mill's veneer dryers, which will increase drying capacity by approximately 35%. Project completion is expected by the third quarter of 2015. This follows the replacement of the mill's wood yard in June, totaling approximately $19 million.
Plans are also underway to modernize other equipment at the Madison facility, which would total approximately $20 million and include an upgrade of a lathe and expansion of a glue line and pressing operations.
"We're committed to serving our customers as the housing market and economy show a slow and steady improvement," says Andy Konieczka, vice president and general manager for the plywood business. "The investments at Madison will allow us to continue to meet our customers' growing needs, help to sustain our operations and give the mill the opportunity to be in the top tier of plywood operations across the country."
Georgia-Pacific is also evaluating the potential re-start of an idled plywood mill either in Alabama, Arkansas, Florida or North Carolina. Potential re-start of an idled operation will be determined by market conditions, access to wood supply, an engineering analysis for required permitting, installation of equipment and facility upgrades. Following review and site selection, a re-start could occur in the fourth quarter of 2015.