Rayonier Advanced Materials Inc
Rayonier Advanced Materials Inc., with approximately 456,000 metric tons of
cellulose specialties sales, about two times the sales volumes of the next largest
competitor, is the global leader in the production of cellulose specialties.
Cellulose specialties are natural polymers, used as raw materials to manufacture
a broad range of consumer-oriented products such as cigarette filters, liquid
crystal displays, impact-resistant plastics, thickeners for food products, pharmaceuticals,
cosmetics, high-tenacity rayon yarn for tires and industrial hoses, food casings,
paints and lacquers. We manufacture products tailored to the precise and demanding
chemical and physical specifications required by our customers, achieving industry
leading purity and product functionality. Our ability to consistently manufacture
high-quality cellulose specialties products is the result of our proprietary
production processes, intellectual property, technical expertise and knowledge
of cellulosic chemistry.
Additionally, a significant portion of our production capacity is dedicated
to manufacturing commodity products for viscose and absorbent materials applications.
In 2016, we sold approximately 249,000 metric tons of commodity products. Commodity
viscose is a raw material required for the manufacture of viscose staple fibers
which are used in woven applications such as textiles for clothing and other
fabrics, and in non-woven applications such as baby wipes, cosmetic and personal
wipes, industrial wipes and mattress ticking. Absorbent materials, typically
referred to as fluff fibers, are used as an absorbent medium in products such
as disposable baby diapers, feminine hygiene products, incontinence pads, convalescent
bed pads, industrial towels and wipes and non-woven fabrics. Cellulose specialties
typically contain over 95 percent cellulose, while commodity products typically
contain less than 95 percent cellulose.
T he Company consisted of Rayonier Inc.’s (“Rayonier”) wholly-owned
performance fibers segment and an allocable portion of Rayonier’s corporate
costs (together, “Rayonier’s performance fibers business”
or the “performance fibers business”). On that date, holders of
Rayonier common shares received one share of the Company’s common stock
for every three Rayonier common shares held on the record date. This resulted
in the separation of the Company from Rayonier (the “Separation”).
The Separation was structured to be tax free to Rayonier shareholders for U.S.
federal income tax purposes and the Company operates as an independent, publicly
traded company.