LITTLE FALLS — “On Dec. 3, 2012, Burrows Paper Corp. completed the acquisition of the remaining 75 percent equity interest in a joint-venture it had established with Innopak Hong Kong, Ltd. in 2008. The deal transferred total ownership of Innopak Heshan — an operating company that converts specialty paper and board-based, foodservice packaging products — to Burrows,” says Rose Mihaly, Burrows’ chief operating officer (COO).

The converting company is located in Longkou, Heshan, Guangdong China. “Bill Burrows [the third-generation CEO] knows everybody in the industry,” adds Mihaly. “Following the joint-venture, Burrows set up a representative office in Shanghai. [The holding company agreement] allowed either party to buy out the other … Setting up a packaging operation was part of the strategic plan.” The move expands Burrows’ international reach by offering Asian customers products such as specialized hand-carry bags, grease-resistant wraps, and color-printed clamshells for a variety of food items.

“Burrows Paper Corp. is a worldwide supplier of light-weight, specialty-paper products, controlling 10 percent of the world market,” says the company’s COO. With headquarters in Little Falls, the company owns five paper machines located in Little Falls, Lyons Falls, and Pickens, Miss.

Burrows serves the food, industrial, consumer, and medical markets with a variety of products including fruit wraps; lamination paper; candy wraps; filtration paper; paper for medical packaging, hospital gowns, specialty wipes, doctors’ examination tables; battery tissue; and sewing-pattern tissue. Burrows Corp. has developed unique paper-performance attributes, in part by sourcing its pulp worldwide, and has the capability of producing relatively short runs. About 10 percent of Burrows’ paper production is shipped offshore and about 33 percent is consumed by Burrows’ own packaging plants. To ensure continuous operation, the company has not only established a number of mills, but also has rebuilt some of its machines with duplicative capacity to guarantee an uninterrupted supply.

The packaging facilities are located in Reno, Nevada; Fort Madison, Iowa; Franklin, Ohio, Kerkrade, Netherlands; and Guangdong, China. Burrows offers takeout-containers and wraps for the quick-service food industry to ensure that the food is fresh, appetizing, and hot. “Our products balance moisture, resist grease, and retain heat while serving as an eco-friendly alternative to polystyrene products. We have followed the quick-service restaurant growth throughout the U.S. and Europe,” says Mihaly. “Our customers include the major chains like McDonald’s, Burger King, and Subway, as well as bakeries, cafés, and supermarkets … We’re [focused] on penetrating the converting (packaging) market … We offer our clients a complete service from the manufacture of the paper to a superior presentation” including design, 8-color custom-printing capability, die-cutting, and coating options.

Burrows currently employs 888 worldwide, with 236 employed in Central New York. The company now generates about $250 million in annual sales. Twelve employees are dedicated to the research and development office. “Fifty percent of the revenue comes from our papermaking operations and the other 50 percent from packaging,” says Burrows’ COO … Papermaking accounts for one-third of the company’s employment with packaging comprising two-thirds.”

Burrows is focused on growth. According to Mihaly, “… the company is looking ahead six years to its 100th anniversary with a goal of doubling in volume to $500 million. Our growth will come both from our paper-making production and from our converting operations, mostly in food-service … We will grow organically as well as through acquisitions … Our strategy calls for being a global leader in supplying industrial, medical, decorative, and flexible packaging.”

Burrows competes with large, international corporations like International Paper, Georgia-Pacific, Domtar, and Huhtamaki.

Paper-making in Little Falls dates back to 1831. In 1913, Charles Burrows became manager of the Hoffman Paper Co., which was in legal reorganization. His brother Andrew joined him as treasurer and in 1919, the two established the Burrows Paper Corporation. Upon Andrew Burrows’ death, his son Ralph William Burrows succeeded him as president.

Ralph William (Bill) Burrows, Jr. is the current president, CEO, and chairman. No member of the fourth generation has joined the firm. The corporate stock is closely held with the family as the majority stockholder.

Burrows Paper works with Bank of America for its capital investments, the international law firm of Baker & McKenzie for legal services, and Dannible & McKee, CPAs for accounting services.

Contact Poltenson at npoltenson@tmvbj.com