New REMC Paper Contract Announced

The new paper contract is in place September 1 through November 30, 2008 and features some new options for case and skid pricing.

Central Michigan Paper (CMP)and Xerox Corporation were both awarded. CMP has changed its brand of xerographic white from Domtar Husky to Boise X-9 with Xerox providing Xerox 4200 Business/Commercial brand both No. 1 listed. White paper increased about 5% over the last quarter which was expected due increased fuel and freight pricing and demand.

Central Michigan Paper: Awarded Laser Printer (case pricing), Assorted colors in multiple sizes and weights (case pricing), multi-purpose xerographic paper (case/skid pricing), and vellum bristol cover stock, 10% catalog discount. Note to Buyers: Inside delivery is charged up to $3.00 per case with no lift gate available to locations in Upper Peninsula. Truckload delivery requires districts to unload and depending on area may offer optional driver unloading, call for pricing.

Xerox Corporation: Award recommendation for Laser Printer paper (skid pricing), multi-purpose xerographic paper (skid/truckload pricing). Inside delivery is included with optional lift gate or no lift gate assistance. Truckload delivery is direct from the mill to the dock and requires districts to unload from the dock. Xerox offers additional truckload delivery options available to Upper and Lower Michigan locations: Lift gate service $110.00, Driver assisted delivery $275.00, Lift Gate + Driver assisted delivery $385.00+, multiple location delivery are quoted, please contact Cindy Fowler @ 248-827-3581.

Did you know? Paper on REMC is bid with specifications in accordance with Competitive Grade Finder: Paper Buyers’ Guide to North American Paper and Printing Industry. Paper is typically listed by grades in competitive classifications. All papers having similar brightness and opacity ratings are grouped into their proper categories, such as No. 1 Xerographic, No. 1 Offset, etc. In addition, other information is included, such as target brightness, whiteness, alkaline properties, target gloss, target roughness/smoothness, weight range, caliper range, opacity range, color, size, finish, recycled content, and certification.

Paper Brands are Mill Brands, Private Label Brands, and Business Equipment Brands. The “Mill Brands” are grades listed by the mill manufacturers. The “Private Label Brands” are grades listed merchants and converted under their own “private label” name (i.e., Boise, Office Depot, etc.). The “Business Equipment Brands” are grades listed by equipment manufacturers, such as HP and Xerox.

The higher the brightness the greater the paper reflects light and the more expensive it has been to manufacturer which results in a higher the grade of paper. Brightness can impact the scan capability of optical scanning equipment. No. 1 brightness rating is 91-93.9. with No. 4 Bond rating has the lowest brightness rating of 75-81.9. REMC bid specifications for white xerographic paper accepts 86 opacity with a 92 target brightness which is generally a No.1 grade of paper.

Important Ordering Information Quantities for Paper which can impact pricing:

1 Ream = 500 sheets/paper (wrapped)

1 Case = 10 reams/5000 sheets/paper (8.5”x11”)

= 5 reams/2500 sheets /paper (8.5”x14”)

= 5 reams/2500 sheets/paper (11”x17”)

1 Skid/Pallet = 40 cases of paper (8.5”x11”, 11”x17) or 30 cases (8.5”x14”)

1 Truckload = 21 skid/pallets or 840 cases of paper (8.5”x11”)

Stay Tuned? The REMC Statewide $AVE Bid Project Advisory Committee approved a recommendation to move the next paper bid to a 6-month bid with one opportunity to revise prices. Therefore, the next paper contract period will run from December 1, 2008 – May 31, 2009.

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