3.

2012 A mAgA zine from sca on trends, mArkets And business

Women sail under the SCA flAg Reforesting Brazil

Power of life
millionaire
4 tips from a stock market

ng he boomiusiness T b cleaning

tHe WoRldS BeSt CoNSUMPtIoN StoRy

CHINA

Mattias Andersson
Shape is a magazine from SCA, primarily geared toward customers, shareholders and analysts, but also for journalists, opinion leaders and others interested in SCAs business and development. Shape is published four times a year. The next issue is due in December 2012. Publisher Josphine Edwall-Bjrklund Managing Editor Marita Sander Editorial Anna Gullers, Ylva Carlsson, Inger Finell Appelberg Design Markus Ljungblom, Kristin Peva Appelberg Printer Srmlands Graska AB, Katrineholm Address SCA, Corporate Communications, Box 200, 101 23 Stockholm, Sweden. Telephone +46 8 7885100 Fax +46 8 6788130 SCA Shape is published in Swedish, English, Spanish, German, French, Dutch and Italian. The contents are printed on GraphoCote 90 grams from SCA. Reproduction only by permission of SCA Corporate Communications. The opinions expressed herein are those of the authors or persons interviewed and do not necessarily reect the views of the editors or SCA. You can subscribe to SCA Shape or read it as a pdf at www.sca.com. Address changes can done at www.sca.com/subscribe or by e-mailing sophie.brauner@sca.com

HEADING FOR A CRIME

MATTIAS ANDERSSON is an

enthusiastic contributor to Shape. In the past, he has followed Swedish domestic politics, business and technology and climbed mountains to report on the Soviet war in Afghanistan. Shape has long benefited from his breadth of knowledge and desire to analyze the economic and social trends shaping the world. Every time Ive written for Shape, Ive learned something new about the challenges and opportunities that will shape the world in the coming years, he says. Andersson has written a num-

ber of works of nonfiction as well as television series and has produced various television documentaries. Unlike most Swedes, he has not written a detective story, but he aims to do so before the entire Swedish population drops dead in the world of fiction. When he is not writing for Shape, he runs a communications firm whose managerial meetings generally end with a wrestling match. He lives in Stockholm with his three children, the oldest of whom is now packing his bags for New York.

Contributor
SCAS SOCIAL MEDIA SITES
Youtube.com/ SCAeveryday shows commercials and videos from SCAs press conferences, presentations and interviews with executives and employees. Facebook.com/SCA is intended to attract talent, engage users and provide information in a way that complements sca.com. Twitter.com/SCAeveryday provides a good summary of every thing happening at sca.com and in SCAs social media. The aim is to provide various users, journalists and bloggers with relevant information. Slideshare.com/ SCAeveryday is for investors and analysts, who can download presentations from quarterly reports and annual general meetings. Scribd.com/ SCAeveryday makes some 50 publications available, including SCAs sustainability report, its Hygiene Matters report and Shape magazine. Flickr.com/ HygieneMatters supports the launch of the global report Hygiene Matters with images.

3.2012 A MAGA ZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS

Women sail under the SCA FLAG Reforesting Brazil

Power of life
4 TIPS FROM A STOCK MARKET

MILLIONAIRE

g The boomin iness bus cleaning

CHINA

THE WORLDS BEST CONSUMPTION STORY

Cover photo: Getty Images

2 SCA SHAPE 3 2012

CONTENTS
06. Chinese miracle
Private consumption is growing and the state will push for the expansion of health care and other social security systems.

16. Fortune maker

At the age of 96, Swedens Lennart Israelsson is still passionate about stocks. Read his top tips.

20. Nice and clean

The cleaning business is booming but much could be done to improve the working environment.

24. Fight the germs

Torks antimicrobial foam cleanser combines soap with alcohol.

26. Rescue plan

In Brazil a reforestation project has started and the locals make a living out of it.

32. Heavy costs

Health and wellness in focus when obesity is growing.

34. Fragile life

The rst days with a prematurely born baby are anything but calm.

Stocks provide a good return, but senior citizens dances have an even better one.
page 16

ALSO...
GIRL CREW SCAs secret weapon page 4 SHAPE UP pages 30-31 12 HOURS with Markus Henningsson page 40 SHORT NEWS FROM SCA pages 45, 42 43

DID YOU KNOW...

...that spinach has a powerful effect on muscle strength? See page 30.

UPDATED

News from SCA

Womens boat to put SCA on the map

With an all-female boat in one of the worlds toughest offshore races, Volvo Ocean Race 2014, SCA will have a chance to put the company on the global map in more than one way.
text ANNA GULLERS

The French boat Groupama sealed the overall victory in the latest Volvo Ocean Race when crossing the nish line in July.

on what is possible the toughest off shore challenge in the world by competing in the next Volvo Ocean Race. This is the sailing contest that begins in southern Europe and takes competitors around the world for nine months, some 39,000 windswept nautical miles and innumerable freeze-dried meals, before reaching the nish line in northern Europe. When the starting gun goes off in late fall 2014, SCA will have a boat of its own in the competition. Richard Brisius from Atlant Ocean Racing, is head of the team managing SCAs sailing adventure. This isnt just an around-theworld sailing race, says Brisius, who has previously managed a number of successful VOR projects and has also been a crew member in two Volvo Ocean Races. If its handled right, it can generate surprisingly large commercial value. As a marketing tool, VOR is a diamond in the rough. Its a global event that runs for a long stretch and involves many countries. The competition is one of the most difcult sporting events in the world. Over the years, the boats
4 SCA SHAPE 3 2012

N ALL-FEMALE team will take

have become increasingly challenging physically, and as a result there have been fewer and fewer women taking part. The last time VOR had a boat with a female crew was 2001. The race is headed for certain death without women, says Brisius, who sees ocean racing as a sport for both women and men.
THE NEW TYPE of boat now being

developed for ocean racing participants is slightly smaller and has fewer sails than the 70-foot vessels used earlier, which helps to even the odds. Brisius and his team now have to pick the 10 to 12 women on SCAs crew, and he says the applications are streaming in. The crew will train over the next few years with experienced ocean sailors and be shaped into a well-oiled ocean sailing team. But it wont include just anybody. You have to be an ocean sailor with strong qualications, a team player, enjoy the sea and not have a tendency to get seasick, says Brisius, summing up the prole of his future crew. While SCAs ocean adventure has only just begun, the strategy is clear: Team spirit. That will be our edge.

P H O T O : Y VA N Z E D D A

FACTS
Next race: 20142015 Start: Southern Europe, late fall 2014 Finish: Northern Europe, summer 2015 Boat type: 65-foot one-design Route: 9-10 legs around the world

SINCE SEPTEMBER 15 SCA has a new Senior

A lot to communicate

DONATION TO REFUGEES
SCA donates 1 million feminine towels to UNHCR (the UN refugee agency) to be distributed in refugee camps in South Sudan. Since April, the number of Sudanese refugees seeking safety in South Sudan has swelled from 99,000 to 175,000. The UN refugee agency (UNHCR) is concerned by the alarming health and nutrition situation for the refugees in South Sudan. Access to sanitary materials is central to womens dignity and self esteem. The lack of sanitary supplies can affect womens health, but also their general mobility.

Vice President Corporate Communications in Josphine Edwall-Bjrklund. Josphine Edwall-Bjrklund, 48, has held leading positions in communications since 1988. She previously held the position of Vice President Communications at Ericsson Global Services. As head of the Corporate Communications staff, Josphine Edwall-Bjrklund will be a

member of SCAs Corporate Senior Management Team, reporting to CEO Jan Johansson. Josphine Edwall-Bjrklund has a broad background in internal and external communications including branding and M&A, which will be of great value for SCA, comments Jan Johansson, President and CEO.

From paper to consumer goods

SCA HAS BEEN reclassied from the Paper Products category to Household Products in the MSCI index. The reclassication is a consequence of this years large structural deals that has resulted in 80 percent of SCAs net sales deriving from hygiene products. MSCI is a leading provider of investment decision support tools to investment institutions. SCA was already classied as a Personal and Household goods company on the Nasdaq OMX Stockholm exchange.

NEW PAPER GRADE

In October SCA launches GraphoInvent, a new publication paper grade, in some 20 countries across Europe. The paper has new qualities, enabling it to replace more expensive alternatives. It has high bulk and feels thick enabling you to reduce grammage, but the perceived quality is the same as the more expensive papers. The lower weight also makes it possible to save distribution costs. It is also cheaper to buy. See more info: www.graphoinvent.com

New products in portfolio

TWO INNOVATIVE products have been added to

SCAs incontinence care brand TENAs product range: self-tests for early detection of urinary tract infections and wet gloves. The self-test for urinary tract infections can replace a time consuming urine sampling routine. The test is simply placed into and taken out of the pad with usual diaper change. Its a user friendly solution with quick results. The products were added to the portfolio through the acquisitions of the Swiss company Swiss Medical Solution and the Dutch company JoyinCare, respectively. Some 25 percent of all Dutch care institutions are using wet gloves.

SCA SHAPE 3 2012 5

PHOTO: GALLERY STOCK

For three decades, the Chinese economic miracle has seen record growth, lling the states coffers and padding the wallets of the growing middle class. With hundreds of millions of Chinese consumers eager to buy, the spending spree of the millennium is now athand.

Chinas bulging wallets

text MATTIAS ANDERSSON

CHINA IS AT a historic turning point, notes the con-

sulting firm McKinsey in a report about the new role of Chinese consumers in the global economy. The difference hereafter is that consumption, rather than investment, will be the driving force. The engine of the Chinese economy has been manufacturing, which has created a surge in demand around the world for investments and commodities. A deceleration is predicted in the wake of the global slump in general and the European debt crisis in particular. But even with a slightly slower growth rate, China will retain its leading position in the worlds growth league and is expected to account for 43 percent of global growth in 2020.
6 SCA SHAPE 3 2012

FEATURE

Chinese consumers have played a fairly modest role in the global market so far.

SCA SHAPE 3 2012 7

Chinas middle class is larger than the total US population.

PHOTO: GALLERY STOCK

LTHOUGH THE Chinese economy tripled in

the 10 years from 2000 to 2010, Chinese consumers have played a fairly modest role in the global market so far. Compared with citizens in other countries, the Chinese are notoriously thrifty. While Americans save 4.4 percent of their income, Chinese save a full one-third of their wages. Private consumption represents 33 percent of Chinas GDP, compared with 71 percent in the US and 65 percent in Britain. One important reason is that people in China are expected to provide a large share of their own security through their savings for education, health care and retirement. But now a shift is predicted, partly due to political reasons. For the Chinese government, stability is one the most critical points on their agenda. Since the key to stability is high sustainable growth, China made increased domestic consumption a priority in the most recent five-year plan. If Europes economy collapses and that affects exports, then what will happen with all the unemployed?asks Shaun Rein, managing director of China Market Research Group and author of The End of Cheap China: Economic and Cultural Trends that Will Disrupt the World. The government wants to minimize the risks of social instability, so they cannot rely on the export sector. China must shift its focus to services and more advanced manufacturing. To stimulate the desire to spend, the Chinese state will push for the expansion of health care and

other social security systems and work to raise the minimum wage. These measures have already been implemented in a number of regions. Andrew Rothman, a macroeconomic strategist for the investment firm CLSA Asia-Pacific, writes in an economic forecast for this year that Chinas economy today is already driven by consumption to a considerable extent. Forget about the fact that household consumption accounts for a small share of Chinas GDP, he says. Driven by more than a decade of double-digit income growth and low household debt, China will this year continue to be the worlds best consumption story, for everything from instant noodles to luxury cars.

GROWING OLDER
Percentage of age 60+ in China

2010
12%

CKINSEY predicts that in 2020 China will be the worlds second-largest consumer market, after the US, with spending of 4.8 trillion US dollars. Today China is home to a middle class that is larger than the total US population and has the highest income among the BRIC countries of Brazil, Russia, India and China. The US auto manufacturer General Motors sells more cars in China than in its domestic market. New iPhone models have triggered consumer riots in Beijing. Chinese department stores are now fi lling up with a whole new generation of young people who prefer consumption to revolution. In Chinas future middle class, well-off young people will replace older people with lower incomes, notes the bank Credit Suisse in an analysis of the Chinese consumer market.

2050
30%
SOURCE: UN

8 SCA SHAPE 3 2012

FEATURE

China will this year continue to be the worlds best consumption story, for everything from instant noodles to luxury cars.
Andrew Rothman, CLSA Asia-Pacific

PHOTO: GALLERY STOCK

SCA SHAPE 3 2012 9

FEATURE
PHOTO: GETTY IMAGES

text JAN HKERBERG

POPULATION TREND
The one-child policy is estimated to have reduced births by250 million since 1980. China, million people. *UN forecast
1,462*

FROM OVERPOPULATION TOLABOR SHORTAGE

JUST BEFORE Mao Zedongs death in 1976,

Chinese women gave birth to an average of six children. The new political leaders saw the rapid rise in population as a potential threat, and in 1979 they launched what was to become Chinas famous one-child policy. The worlds largest family planning program was implemented through a combination of carrots and sticks: whoever broke the rule of one child per family was ned, and mothers pregnant with a second child were persuaded to have an abortion. Those who obeyed the policy were encouraged with nancial support. Since the 1990s, the birth rate in China has been stable at under two children per woman. The authorities themselves consider the policy asuccess; it is said to have reduced births by 250 million since 1980. But the policy has also been criticized for having promoted infanticide and for 500,000 missing girls (traditionally, the preference has been for boys since they have a better chance of contributing to the household economy) as well as for having been unnecessarily harsh. The general trend in developing countries since the 1960s has been to have fewer babies, and critics argue that China could have achieved the same results with less drastic measures. Chinas success with birth control also means that its population will fall in the long term, and the number of people over 60 will almost double by 2050. A shortage of labor and rising costs for an aging population have replaced overpopulation as Chinas great challenge for the future.
10 SCA SHAPE 3 2012

1,339.7 1,265.8

Shifting into a new gear

SCA is investing heavily in the Chinese personal care and tissue markets, with the aim of becoming aleading hygiene player.

1,008.2 694.6

S
SOURCE: CENSUS OF CHINA, UN

CA RECENTLY took an important step in the Chinese personal care market by acquiring the Taiwanese company Everbeauty, including brands such as Sealer disposable baby diapers and Dr. P incontinence care products. The acquisition, worth about 290 million US dollars, was completed on June 1. With plants in Shanghai and Kaohsiung [Taiwan], Everbeauty has been strong on lowcost production, says Stephan Dyckerhoff, president of SCA Hygiene Products North Asia. Sealer is No. 5 in the baby diaper market in China, and Dr. P is No. 2 in incontinence care. Both are very attractive brands for entry-level users. Through the acquisition we will also get access to Everbeautys distribution channels, which is very important for us. Family-run Everbeauty, founded in 1986, entered China in 1993 and has grown into a company with more than 900 employees. Its brands will complement SCAs own products in China, TENA incontinence care products and Libero baby diapers, which are positioned in the middle-premium and super-premium segments respectively.

6 19 4

8 19 2

20

20 10

20 50

00

Sealer is No. 5 in the baby diaper market in China.

PHOTO: EVERBEAUTY

TENA was launched in China in 2009 and Libero was introduced in 2011 as part of an SCA strategy to build organically in the Chinese hygiene product market after the companys packaging business in Asia had been divested. In recent years, SCA has also increased its investment activities in the Chinese tissue market, the worlds second largest. The first step came in 2006 when SCA started selling Tork away-fromhome professional hygiene solutions in China. In 2007, SCA acquired 20 percent of the shares of Vinda Paper, a leading producer of toilet tissue, kitchen rolls, facial tissues and handkerchiefs. Vinda is the second-largest tissue company in China. The ownership was diluted after the company was listed on the Hong Kong Stock Exchange, but SCA recently bought more shares and now owns almost 22 percent. In 2007, SCA also bought the Tempo tissue brand from Procter & Gamble in Hong Kong, where Tempo has been the leading pocket handkerchief brand for more than 15 years. SCA has been able to double the Tempo business in the past four years by raising its market share to 70 percent and by introducing box tissue. SCA also expanded the brand into the South China market.

With 70 percent of the market, our growth potential for handkerchiefs is limited, Dyckerhoff says. Therefore, in the summer of 2012, we have also been launching Tempo toilet paper in Hong Kong.
HE CHINESE tissue market has huge potential for growth. The penetration rate for toilet paper, the main tissue product, is below 70 percent, and per capita consumption is less than one-fourth that of Western markets. The four main tissue suppliers in China are Asia Pulp & Paper (APP) of Indonesia and the local companies Hengan, Vinda Paper and Zhongshun. The leading global hygiene companies have concentrated on the personal care market in China. All top tissue players invest heavily to grow capacity, which in a longer perspective will squeeze out the small players, Dyckerhoff says. The top four control today some 30 percent of the market, and it is expected that their share will grow to 50 percent in 2016. We are open to more acquisitions, and we aim to be a leading hygiene player in the Chinese market, he says.

We are open to more acquisitions, and we aim to be a leading hygiene player in the Chinese market.
Stephan Dyckerhoff

SCA SHAPE 3 2012 11

SCA offers education to hospital nurses who deal with elderly people. The focus is on incontinencecare.

Training program
expanded to caregivers
After educating several thousands of Chinese nurses over the past three years, SCA has broadened the scope to also train nurses assistants about elderly peoples hygieneneeds. text JAN HKERBERG
INCONTINENCE is something that many elderly people have to live with. Parents who suffer from incontinence also suffer from lost dignity when they find it difficult to take care of their own toilet needs and require intensive care from their children. They become dependent on caregivers, whether family members or otherwise. They feel helpless and useless. They often get rashes and skin irritations, have difficulty sleeping and become stressed. That was the starting point, says Daniel Huang, regional director for incontinence care at SCA in Shanghai. We offered education to hospi-

PHOTO: GETTY IMAGES

tal nurses who were dealing with elderly people to help them improve the lives of their patients. Some 6,500 nurses from more than 1,000 hospitals in 12 Chinese cities have benefited from the education scheme since the project started in 2009. The responses have been very positive. After educating nurses for three years, SCA decided in 2012 to broaden the scope of the training program in China. This year we are aiming to educate around 1,000 professional caregivers in 55 hospitals in three Chinese cities Guangzhou, Hangzhou and Shanghai, Huang says. Caregivers at hospitals work as assistants to the nurses. It is often the caregivers who do the handson work, such as changing the patients clothes and diapers and helping them with washing and other hygiene matters. The concept is the same as for the nurses program, Huang says. We want to increase the caregivers skills and knowledge about the patients personal hygiene, such as preventive treatment and available solutions.

This year we are aiming to educate around 1,000 professional caregivers.

Daniel Huang

SCA SHAPE 3 2012 13

PHOTO: GAO ERQIANG

text JAN HKERBERG

Strong demand for

home nurses

SCA has established a joint venture in China with the Singaporean nursing-home specialist Econ to bring home nurses to elderly people.

OST ELDERLY PEOPLE in China prefer

to stay at home rather than go to nursing homes or hospitals, placing heavy demands on their children to take care of them. Since those in the first generation of Chinas one-child policy are now in their mid-30s, most of them are working. They definitely need help to take care of parents or grandparents. SCA decided in late 2011 to start a home-nursing service in China, employing its own nurses. SCA and the Singaporean nursing home specialist Econ Healthcare established a 50-50 joint venture called Jiahu Chinese for home care. The nurses can carry out diagnosis and provide a broad range of nursing and preventive care. In the first six months, more than 250 senior citizens from 17 communities in Shanghai received care at home from Jiahus nurses, and the support has been much appreciated by the elderly peoples families and relatives. The aim is to develop a strong nurse team and a successful model in Shanghai within a couple of years before expanding to other cities in China. It is valuable for us to have an experienced

A trained nurse from Jiahu visiting a patients home.

partner, and we have made a lot of progress already, says Daniel Huang, regional director for incontinence care at SCA in Shanghai. However, a barrier is that this type of service is not covered by medical insurance. Because of its aging population, China will never have enough places in nursing homes for the elderly. Since most of them prefer to stay at home anyway, home nurses can definitely be a solution. Whether that happens is a question of changing the regulations to permit medical professionals to provide medical services at homes, which is not allowed today. But over a short time, we have noticed an increased acceptance from the community for this project, Huang says.

Abarrier is that this type of service is not covered by medical insurance.

14 SCA SHAPE 3 2012

TENA Lady Mini Magic. Just as discreet as regular pantyliners. But four times drier.

FEATURE

Stock market millionaire

A lot of people thought Lennart Israelsson was crazy when he bought stock for 600 Swedish kronor in 1946. Workingclass people didnt do that. Slowly his stock portfolio grew, and in 2007 it was worth 140 million kronor (EUR 17 million). Then he chose to give away almost his entire fortune.

From empty pockets to

text CHATARINA ALMQVIST photo PONTUS JOHANSSON

hy did you decide on stocks in particular? While most of my friends were buying their houses, and thus creating real value, I had unsteady work at SJ, the Swedish Railways. I often had to move to different towns, so it wasnt a good idea to invest in a house. In 1943, I got a permanent job at the Konga station in Smland in southern Sweden. That was during the war, and the trains were often late because of military transportation. To pass the time, I read the newspaper Gteborgs Handelsoch Sjfartstidning and Carl Pokornys column about the stock market. He wrote how equities were good protection against inflation, although it took me three years

before I bought my first stock for 600 Swedish kronor (EUR 45) in the engineering company Sandvik. Your mother was pretty unhappy about your interest in stocks. Why? She had an uncle who lost a lot of money in the Kreuger crash in 1932. I listened to what my mother said, but I didnt follow her advice. My friends thought I was totally crazy it was really unusual for workingclass people to invest in stocks at that time. It was only rich old guys who dealt in stocks we called them coupon clippers. What was your childhood like? I was born in 1916 on a small farm in the village Algutsboda in Smland. It was a place where nothing had happened in 300 years. People milked their cows by

16 SCA SHAPE 3 2012

10 QUESTIONS

When other people have sold off in a panic, Ive bought. Its so much fun to buy when things arecheap!
hand, plowed with wooden plows and had no electricity. When I was 13, I finished school and then I worked in the fields. When I was 22, I moved to Stockholm and got a job at Sieverts Kabelverk [a cable manufacturer], which I really enjoyed, but then World War II broke out and I was laid off. I went home to Smland for Christmas and saw an ad in the local paper that SJ was looking for people in Kalmar, so I applied, got a job and started at SJ in 1940. Then I worked there for 40 years, first as a temporary employee at 180 kronor a month and fi nally as a station manager at 5,400 kronor a month. How did you achieve success with your stock market activity? I didnt make much money as an SJ employee, but I bought shares with the dividends I got. And then Ive often done the opposite of what the experts have said to do. For instance, when everyone was supposed to buy IT stocks, I bought real estate. Ive considered stock market slumps to be a good time to buy. When other people have sold off in a panic, Ive bought. Its so much fun to buy when things are cheap! The stock market always recovers. Things have pretty much looked the same the whole time Ive been at it it goes up and down. I fi rst became a millionaire when I retired in 1980. My basic rules when Ive looked at a company are that they should preferably earn
SCA SHAPE 3 2012 17

Stocks and dancing

Age: 96. Lives: In Nssj, Jnkping County, Sweden. Family: 88-year-old partner, son, two grandchildren. Education: Six years of elementary school. Interests: Stocks, dancing, crossword puzzles, walking. Best stock advice: Buy shares in companies that have a good cash ow, and equity discount rate, and are highly capitalized. Best stock market buy: The investment company Ratos. Their shares have increased considerably since I bought some.

Right time on the stock market

Lennart Israelsson is good at picking stocks, but he also invested in shares during the golden years of the stock market, 1980 to 2000. On average, 1,000 SEK invested on the Stockholm Stock Exchange in 1946 increased to 5,800 SEK by 1980 and to 346,000 SEK by today. (With ination, 1,000 SEK in 1946 would be worth 19,400 SEK today.)

3 40,000 SEK t 323,000 SEK

t

1,000 SEK
t
1946 1950 1955

3,900 SEK
t
1960 1965 1970

73,000 SEK t 5,800 SEK

t
1975 1980 1985 1990 1995 2000 2005 2012

Iwas presented to the king, who said, Right, Aktiestinsen, I know who you are.
10 kronor a share but only pay out half that money in dividends so they still have cash. The dividend yield should be around 4 or 5 percent, the P/E ratio should be between 5 and 15, and there should be a good equity discount rate, preferably 20 to 30 percent. Then Im also careful about cash flow. If they have a good cash flow, they can buy companies, they can increase their dividend or, when times are bad, they can keep their dividend at the same level as before because they have a good cash position. Ive only bought shares in Swedish companies. Thats been enough since many of them operate in an international field. Whats your portfolio worth today? In 2007, it was worth 140 million kronor (EUR 17 million). Since then, Ive given away almost all my money. Among other things, Ive started five foundations, four at different schools and one with the Royal Swedish Academy of Sciences. A professor called from there and wondered if I wanted to make a donation for a foundation launched in Carl Linnaeuss name were both from Smland. But I was so impressed that a professor called me up that I invested 30 million kronor and instead started a foundation in my own name. But giving almost everything away? Thats the best thing, being able to give money so that others can get some use and joy out of it. Education is the best investment there is, but when I was growing up, it wasnt common for people to get an education, so now I want to help others get one.

LENNART ON SCA
SCA is a very safe investment as a long-term holding. In my lifetime, nothing has increased in value as much in percentage terms asforest property. SCA also has good cash ow. Forests also have a considerable future value as oil supplies decline and the earths population increases. The company also has good products. When the population doubles, thatll require a lot of toilet paper, so prospects arebright.

ou first became famous in Sweden when you were retired. How did that happen? I was invited to give a lecture at the bank where I was a customer. There were three of us giving talks a journalist from Stockholm, an equities analyst from Malm and then me. I talked about the stock market and how I became a millionaire. I was contacted later by one of the tabloid papers that was doing a story on me. The reporter thought I needed a stage name so he came up with the idea of Aktiestinsen, or the shareholding stationmaster, because I dabbled in stocks and had worked with the railroad. But I was never a stationmaster. I was a station manager. So youve never had a quiet retirement? Ive worked more than I thought I would

18 SCA SHAPE 3 2012

10 QUESTIONS

At the age of 95 Lennart Israelsson gave up driving. But hes still into stocks. And dancing.

as a retiree. Ive given talks at Rotary clubs, universities, senior citizen clubs and meetings for people interested in stocks. I even gave a talk at the Globe Arena in Stockholm in front of 2,500 people. I never thought that could happen, that I could stand in front of so many people. People call me up almost daily who want advice on the stock market. Its all fun, especially talking with young people. Do you have other passions besides stocks? Dancing Ive had a lot of fun with that! I go once a week to a senior citizens dance, and it was at one of those that I met my partner. I always say that stocks provide a good return, but senior citizens dances have an even better one. I also read a lot, do crossword puzzles, take walks and live a healthy life. Ive never smoked or been a drinker. I drink water and call it the water of life because it looks like aquavit.

Is it true youve been to the Nobel banquet? My partner and I were there four or five years ago. I get an invitation every year because of my foundation at the Royal Swedish Academy of Sciences, but we havent been there since then. The party goes on pretty late. But if my healths OK, well probably go this year. I was also at a lunch at the Royal Palace. I was presented to the king, who said, Right, Aktiestinsen, I know who you are. I chatted a bit with the king. He was really nice and pleasant. You know, I really cant grasp how well my life has gone. Ive been healthy my whole life and my mind works fine. I sold my car when I was 95. It was time I was entering a traffic circle when a car came speeding along. I was able to slam on the brakes and avoid a crash. Ive driven a car for 75 years without ever having an accident and didnt want to end with one.

CRUCIAL STOCK TIPS

1. Dividend. Its good if a company earns SEK 10 per share but only pays out SEK 5. Then it has a good cash position. 2. P/e ratio. It should be around 515. 3. Price/book-value ratio. Its good to get one that is undervalued. 4. Cash ow. There should be a good cash ow in the company. Then the company can buy other companies, buy back its own shares or, in hard times, keep dividends at the same level as the year before.

SCA SHAPE 3 2012 19

FEATURE

Everyday heroes
text SUSANNA LINDGREN photo PYSSE HOLMBERG stylist JOHANNA LEIFSDOTTER model SYNK CASTING

Cleaning is a booming business. Morethan 4million people in Europe are involved in the challenging job that keeps our workplaces or public buildings clean and healthy. But in many places these everyday heroes still dont get the recognition they deserve.

20 SCA SHAPE 3 2012

FEATURE

Cleaners are working in tough environments, and the rate of sick leave and work-related health problems is high.

here are five times as many cleaning companies in Europe today as there were 20 years ago. Some 160,000 companies employ more than 4 million cleaners, whose mission is to keep our schools, hospitals, shopping centers and train stations healthy, hygienic and dirtfree. The increase is due in part to higher cleaning standards and generally increased demand for a cleaner environment. The biggest factor behind the growing number of companies comes from outsourcing, says Andreas Lill, director at the European Federation of Cleaning Industries (EFCI) in Brussels. This American trend has spread in Europe during the last two decades. Increasingly, public administrations outsource their cleaning, catering or security services that were previously provided in-house.
SCA SHAPE 3 2012 21

FEATURE

This is a very good example of how suppliers of cleaning materials can improve the daily lives of cleaners.
EFCI is the recognized social partner to the European Commission in questions relating to the cleaning industry. One major task for the organization is to promote professionalism within the industry. Just as important is the mission to ensure better recognition of the cleaning profession and to raise the status of the job in the eyes of the general public. Cleaners are often still regarded as replaceable, especially those who perform the everyday chores like cleaning the office floor, Lill says. In many countries the cleaners are still not expected to be

seen, which forces them to work uncomfortable hours like early mornings or late afternoons. He is convinced that making cleaners more visible is a win-win proposition. It makes clear that an important job is being done, and the cleaners themselves feel more involved in the business where they perform their cleaning tasks. Sweden is a good example where 70 percent of all cleaning jobs are performed during office hours, Lill says. In the south of Europe, only 20 percent of cleaning services are performed during office hours.

aytime or nighttime, regardless of when the job is performed, cleaners are working in tough environments, and the rate of sick leave and workrelated health problems is higher in the cleaning industry than in many other sectors. This is a problem that affects not only the individuals but the industry as a whole. One major reason for the high sick leave is musculoskeletal disorders, Lill says. Its not surprising that you get pain in your arm or neck after doing the same movement all day long. Lill welcomes SCA initiatives to offer easy-to-handle cleaning material and packaging. This is a very good example of how suppliers of cleaning materials can improve the daily lives of cleaners, he says. Carrying, opening, storing, unfolding and disposing of cleaning materials are the most important considerations in improving their working conditions.

Improved handling
SCA has developed a new packaging system designed to make working life easier for cleaners. The aim of the unique, ergonomically designed Tork Easy Handling system of boxes and plastic packaging is to prevent stress injuries, boost efciency and make cleaners job a little easier.

EVERY WEEK, cleaning workers in Europe handle almost 1 million packages lled with Tork hygiene products. These packages need to be received, transported within the building, stored, carried, opened, disposed of and recycled. To identify potential improvements in how the packaging is handled, SCA initiated an observation study of cleaning workers and customers in Germany, France,

22 SCA SHAPE 3 2012

MARKET

A clean passion
Cleaning supervisor Nedzad Turkanovic has two passions. One is oors. The other is to make sure the working conditions for his staff are good and the tasks are as enjoyable as possible.
NEDZAD TURKANOVICS team at Malm University has 16 people who keep the floors, lecture halls and toilets clean. As team leader he knows that good knowledge of both cleaning and how to do it in the most ergonomic way possible is of great importance, both for the result and for the well-being of his staff. Turkanovic regularly attends courses and seminars and also teaches other colleagues in new methods and changes within the cleaning industry. The latest trend is to incorporate more tasks than just cleaning in our work schedule, Turkanovic says. Besides general cleaning, my team is also in charge of the laundry and the maintenance of the coffee machines. Making the job more of a multipurpose service makes it more flexible and enjoyable, which is reflected in a decrease in the amount of sick leave taken by cleaners, he says.

Nedzad Turkanovic
Age: 38 Workplace: Cleaning supervisor at the Faculty of Odontology at Malm University. Lives: In Malm, Sweden Hobbies: Biking and shing, still dreaming about catching the really big old pike. Latest read book: SteveJobs, the authorized biography by Walter Isaacson. Best music for cleaning: Dire Straits.

Good cleaning equipment is also essential for the well-being of his staff. Today everyone in my team has a combi machine for floor cleaning that facilitates the mopping of heavy flooring, he says. Thats great as it puts less strain on the body. Anything that improves working conditions is good, such as better packaging and soap dispensers.
AS A SUPERVISOR , Turkanovic doesnt grab the

mop himself as often as he used to. But there is one thing he really enjoys a well-maintained and easy-to-clean floor. Part of my job is to maintain the floors and worktops in the classrooms, and I really enjoy sanding, repairing and treating them to keep them in good condition, he says. I dont know why Im so passionate about that, but its something I really enjoy.

the Netherlands and Sweden. The main aim of the survey was to study workers handling Tork products in order to identify areas of improvement. The main goal of our new Tork packaging is to improve quality of everyday life and create awareness of the cleaners situation, says Kristian Grennfelt, manager of the Tork Packaging Development and Industrial Design Center. As a major supplier we feel a responsibility to improve working conditions in the cleaning business. The Tork Easy Handling system, consisting of the plastic Carry Pack and the cardboard Carry Box, introduces several functions that improve efciency and ergonomics compared with traditional packaging. New handles allow cleaners to carry one cardboard box in each hand, a more ergonomically

Tork Easy Handling Carry Box makes it easy to carry one cardboard box in each hand.

sound practice. The packaging is also easier both to open and to atten as no tools are required. The new Tork Easy Handling products have been very much appreciated by my staff as the packaging is so easy to handle, just like the new soap dispensers from Tork, says cleaning supervisor Nedzad Turkanovic in Malm (see article on top of the page).

PHOTO: SCA

SCA SHAPE 3 2012 23

TECHNOLOGY

CL
HANDS
Its during times of increased risks, when there are more pathogens, that we need a more potent formulation.

Tork Premium

ANTIMICROBIAL FOAM CLEANSER

The S4 premium antimicrobial foam cleanser has so far been launched in Europe and Australia. 2-in-1 product Simultaneously cleans and sanitizes the skin. Low-alcohol formulation. Hygienic system Sealed system. No bacteria buildup. Easy to use Low push force required, suitable for people with limited hand strength. Recommended by the Swedish Rheumatism Association. Better for the environment Collapsible bottle takes less space. Recyclable packaging.

EAN
CONSCIENCE
By combining the mechanical removal of soap with the antimicrobial effect of alcohol in an antimicrobial foam cleanser, you can give the germs on your hands a real ght.
text ULF WIMAN illustration LADISLAV KOSA

HE SWINE FLU pandemic of 2009 scared most of us. Hygienic demands changed and hand-rub sanitizers flooded the market. The demand has since slackened, but the product group is here to stay as an important complementary niche. When Tork launched its new S4 foam soap system in 2011, an antimicrobial foam cleanser was included in the range. During the swine flu pandemic Tork saw a gap in the market. There was conventional soap and there were soaps and sanitizers based on strong antimicrobial chemicals, says Peter Bergman, product manager for soap. We wanted to cover the middle ground with a foam cleanser that was effective against germs but milder and better for the environment. Tradional soap and warm water are sufficient in most everyday situations and environments. SCAs recommendation is normally to avoid using biocides unless motivated by a certain need or requirement. Alcohol is an exception, however, and does not have the same negative effects on health and environment as traditional biocides and can thus be an extra

protection during flu season or pandemic threats. Tork saw a chance to combine the best of two hygienic worlds: soaps ability to mechanically remove dirt and alcohols sanitizing properties. Soap doesnt kill germs, but lifts them from the skin so they can be washed away, says senior scientist Carolyn Berland. Chemicals such as alcohol kill germs like the flu virus on the skin. No chemical is effective against everything, but by combining the mechanical removal of soap with the antimicrobial effect of the alcohol, we obtain a good effect against a broad spectrum of pathogens.
WE NORMALLY have lots of bacteria on

our hands, but most are not harmful, Berland explains. If we use soap to wash our hands and rub our hands together for 30 seconds, our immune systems can deal with any remaining germs, she says. Its during times of increased risks, when there are more pathogens, that we need a more potent formulation. The antimicrobial foam cleanser is a complex product, and the formulation has been patented. Its difficult to find the right surfactant, one that will work

well with the alcohol content, Bergman says. You risk losing the soaps foaming properties, so quite a lot of work went into that. The area is further complicated by a distinction in the hygiene industry between cosmetics and biocides. Conventional soap belongs to the cosmetics category, which is governed by simpler, common European Union legislation. Alcohol sanitizers, on the other hand, belong to the biocide group, where legislation differs locally throughout Europe and the rest of the world. Having to deal with various rules and regulations complicates both the development and the marketing. Unfortunately, biocides cant be eco-labeled in Europe, while they can be in the US, for example, says Janne Mntzing, Global Segment Director. Alcohol is one of the most effective biocides, but when diluted in sewage, it loses its antimicrobial effect and so is relatively harmless for waterborne organisms. Its problematic to produce products that balance the need to target germs effectively and be environmentally acceptable, but our antimicrobial foam cleanser manages to do that.
SCA SHAPE 3 2012 25

FEATURE

Greening
Deforestation is a major cause of climate change, accounting for up to one-fth of manmade carbon emissions by one estimate. In Brazil, a reforestation project aims to offset this trend while also providing away for local people to make a living.
text ANNA MCQUEEN photo CORDIER SYLVAIN, GETTY IMAGES 26 SCA SHAPE 3 2012

FEATURE

the forest
Curbing deforestation is ahighly cost-effective way of reducing greenhouse gasemissions.
FORESTS ARE HOME to most of the worlds landbased flora and fauna. They provide a livelihood for more than 1.5 billion people who rely on them for food, shelter and fuel. Forests are also key to the environment because growing forests sequester vast quantities of carbon dioxide and store carbon, both in the trees themselves and in the vegetation and soil below. But the worlds mature forests are under serious threat. Half have already been destroyed. Of what remains, only 10

percent is protected. According to the UN Food and Agriculture Organization, forests are disappearing at a rate of around 13 million hectares a year, the equivalent of 36 football fields every minute. Deforestation is a major cause of climate change. IPCC the Intergovernmental Panel on Climate Change estimates the carbon released from deforestation accounts for up to 20 percent of global manmade emissions more than the worlds entire transportation sector. The Stern Review on the Economics of Climate Change, commissioned by the UK government in 2006, is categorical: Curbing deforestation is a highly cost-effective way of reducing greenhouse gas emissions, it said, and it called for urgent action to preserve the remaining areas of natural forest. As Europes largest private forest owner,

SCA SHAPE 3 2012 27

Velvet is made from both recycled content and new ber.

SCA takes its environmental responsibilities seriously. SCAs forests are managed long term with sustainable timber production and preserved biodiversity as prioritized objectives. During the last 50 years, the standing volume of living trees has grown by more than 40 percent. In SCAS own forests, growth rate exceeds fellings by more than 20 percent, which means that SCAs own carbon sink grows by 2,6 million tons of carbon dioxide per year. SCAs high ambitions regarding forests and climate are expressed in many ways. For the Velvet tissue brand, SCA has made the Three Trees Promise, by which every tree harvested to provide raw material for Velvet tissue is replaced by three new ones.
VELVET TISSUE is made from a combination of soft-

Local people are employed to plant sustainable forests.

SCA & Amata

1=3

wood and hardwood fibers and recycled content. Since all hardwood pulp and some of the softwood pulp is procured from other suppliers than SCA, the Velvet promise is not based only on SCAs own high-standard forestry practices, where each tree harvested is replaced by three new ones. In Brazil, SCA has established a pioneering partnership with ethical forestry company Amata to plant the trees required to fulfi l the Three Trees Promise. We are incredibly proud to be in partnership with Amata, which is reintroducing indigenous trees to Brazil, says Sarah Wilson, communications director for SCA UK and Ireland. Amata has developed a forestry model that aims to give a value to trees, helping local people to make a living from the forest. Some of the trees will be harvested when they reach maturity and can be used commercially by local people, who are also learning to graze cattle among the trees. Instead of clearing land to make way for ranching or palm oil production, Amata believes that this method provides a viable alternative for local people to make a living and encourages ongoing replanting of trees, she says. SCA has been involved with Amata for several years, and more than 3 million trees have been planted so far.

Every tree harvested to provide raw material for Velvet tissue is replaced by three newones.

HOW THE PARTNERSHIP WORKS

SCA PROVIDES funding for Amata, which

uses the money to buy, plant and maintain trees. Sustainability is a big part of our DNA, and we strive to be ethical and sustainable in what we do, says Sarah Wilson, communications director for SCA UK and Ireland. We believe partnerships of this kind may provide an alternative to some of the commercial practices that can lead to deforestation. SCA does not own the trees, and there is no nancial gain this investment is purely ethical. Amata employs local people and teaches that responsible forest management is an economically viable alternative to cattle ranching and other activities that lead to deforestation. The indigenous trees that Amata plants create sustainable forests and are treated as a crop, and thus an investment. They are ready for harvest when they reach maturity, at between six and 40 years. Some existing trees that already grow in areas of the land owned by Amata, primarily around watercourses, will be permanently protected. Currently this includes some 15 million trees that will never be harvested.

28 SCA SHAPE 3 2012

A new paper grade developed from fresh bres

Thanks to fresh bres GraphoInvent has high bulk and feels thick enabling you to reduce grammage. This brings a number of benets. The paper costs less, but the perceived quality is the same. Lower weight also means that you and your customers save money on distribution. The high opacity of our paper means that you cant see the print through the paper, even at low grammages. It also means that you can choose a lower-weight paper without losing the feeling of quality.

graphoinvent.com

SHAPE UP
Why spinach makes us strong
EVERYONE KNOWS that spinach is good for you but why? Nitrate, which is found naturally in spinach, has a powerful effect on muscle strength. Scientists have now identied two relevant proteins, the production of which is stimulated by the intake of nitrate. In addition to spinach, nitrate occurs naturally in other vegetables like beets and chard.

PHOTOS GETT YIMAGES, ISTOCKPHOTO

15

MILLION children around the world each year are estimated to be born preterm, that is, before the 38th week of pregnancy. Source: WHO (World Health Organization)

With room for a laptop

THE HUGO COMPUTER case,

BENEFITS BENEATH THE BARK

SPRUCE BARK, a by-product in the paper pulp industry, has been shown to contain benecial antioxidants. Using water and ethanol under a high temperature and high pressure, Swedish researchers have found an environmentally sustainable way to obtain the antioxidants. Antioxidants have been investigated for the prevention of diseases such as cancer and coronary heart disease.

is made of heat-treated wood with no chemicals used in the manufacturing process. The heat darkens the colour of the original wood. Creators are Jonas Lindgren and Thomas Jacobsson, students from Skellefte, Sweden.

Doing the dishes makes men happy

DOING THE DISHES makes you

Harry Potters creator turns to tree houses.

happy. At least if youre a man. A study carried out in seven countries involving only men shows that those who spent time doing the dishes, cleaning the house, cooking and doing other household chores were happier than less active men. On the whole, men who worked around the house were

more satised with life than men who were less active, and they experienced fewer conicts related to work and their day-to-day life than other men. Men from seven countries Sweden, Norway, Denmark, the Netherlands, Germany, France and Britain were included in the study, which was conducted by Cambridge University.

Fit for a wizard

THE CREATOR of Harry Potter, J.K. Rowling, is building twin wooden tree houses on stilts worth 159,000 EUR for her children. The author wants to create a fantasy world in the backyard of her 17th century mansion in Edinburgh and has hired a company known for its environmentally sound tree houses, the Swedish newspaper Dagens Industri reports. The wooden houses, which will be 40 feet (12 meters) high, are to be linked by a gangway made of rope and have a secret tunnel with lights around the doors and balconies. The singer and soccer wife Victoria Beckham is said to have spent almost 40,000 EUR on a tree house for her sons.

DID YOU KNOW THAT

LACTIC ACID BACTERIA can alter

immune responses in urinary tract cells. An extra injection of

lactic acid bacteria can reduce the risk of women experiencing urinary tract problems.

The next generations walkers will be robots

MANY OLDER PEOPLE fall down and have problems getting up from the oor. The solution to the problem may be a walker that lifts up someone who has fallen. A Swedish research engineer has invented a walker that, along with this lifting capacity, has GPS, Skype and cameras, is powered by a motor and is more of a robot than a traditional walker. A walker with a lifting function costs just a few hundred dollars more, since the technology itself is pretty simple. Local governments [which nance healthcare in a country like Sweden] will quickly get that money back by not having to move people to housing for the elderly, says Bo Glimskr, the walkers inventor.

Between 5 and 7 percent of the worlds population suffer from incontinence.

Source: SCA

SCA SHAPE 3 2012 31

MARKET FEATURE

OBESITY
text CHARLES MASTERS photo TIM ROBERTS, GETTY IMAGES

The heavy costs of

N THE PAST few decades, obesity has gone from an exceptional condition to the biggest single health risk to individuals. There are now more obese people in the world than undernourished ones. According to the World Health Organization, worldwide obesity has more than doubled since 1980. In 2008, more than 1.4 billion adults were
32 SCA SHAPE 3 2012

Obesity is a growing problem for modern societies, and its impact falls not just on individuals but also on the companies where they work.
overweight. Of these, more than 200 million men and nearly 300 million women were obese. Overweight and obesity are major risk factors for a number of chronic diseases, including diabetes, cardiovascular diseases, incontinence and cancer, the WHO warns. Inevitably, the cost to society is skyrocketing. According to a recent report, medical spending

FEATURE

There are now more obese people in the world than undernourished ones.
in the US due to obesity now exceeds even that due to smoking. Once considered a problem only in high-income countries, obesity is now dramatically on the rise in low- and middle-income countries, particularly in urban settings. Studies suggest the rate of obesity among children in Asia is increasing at around 1 percent a year, roughly the same as in the US, the UK and Australia. According to some forecasts, Southeast Asia and the Western Pacific are currently facing an epidemic of diseases associated with obesity, such as diabetes and cardiovascular disease. The cost for society as a whole is huge, as countries health services struggle to keep up and all kinds of public amenities have to be adapted to accommodate the increased bulk of users from reinforced ambulances to extra-wide plane and stadium seating. Each year, cars in the US are burning nearly a billion more gallons of gasoline than if passengers weighed what they did in 1960 (1 gallon=4,5 liters).
THERE IS A COST for companies too. For employ-

Biggest loser. SCA Americas runs weight loss and walking programs for its employees.

SCA Health & Lifestyle initiative

WITH CARE FOR WELLNESS

THE COMPANYS Health & Lifestyle initiative is addressing issues such as food for well-being. Canteens at SCA plants have embraced healthy eating and offer a wider choice of fresh foods. SCA managers are also encouraged to take part in training aimed at detecting employee health problems before they reach the crisis point. These initiatives provide benets for both individuals and company productivity. Our Health & Lifestyle Program is not specically aimed at obesity, but rather at increasing awareness among employees about a healthier lifestyle, says Christopher Zorn, director of human resources at SCA Consumer Goods Europe. THE PROGRAM was initiated in

The key to SCAs approach to wellness is making it easy for employees to take care of themselves.
the ergonomics of machines and improving general staff tness levels. We managed to reduce absenteeism during the year to November 2011, and we hope this trend will continue, says Zorn.
SCA AMERICAS runs weight loss

ers, obesity means a workforce vulnerable to chronic conditions such as heart disease and diabetes. And because obesity raises the risk of a host of medical conditions, the obese are absent from work more often than people of healthy weight. Even when poor health doesnt keep obese workers home, it can cut into productivity, as the overweight grapple with pain, shortness of breath or other obstacles to working at full capacity. Obesity should be a concern for every employer, says dietitian Paul McArdle of UK health provider Bupa. People who work long hours are most in danger, especially if they dont take proper meal breaks and fi nd it hard to make time for exercise. For managers responsible for employee welfare, though, there is cause for optimism in terms of tackling this issue. As the WHO observes, Obesity is preventable.

2010 to address health-related absenteeism and the challenges of an aging workforce. To tackle this, SCA is looking at improving

and walking programs, and it keeps employees informed through biweekly emails, quarterly newsletters and an Ask the Doctor program where staff can submit questions to an SCA physician. We conduct annual health assessments at all of our sites in the US, which are voluntary for all employees, says John ORourke, vice president of human resources, SCA Americas. In addition to identifying employees with longterm health-risk factors, we have even identied some employees with immediate risks that needed quick attention that, in some cases, proved to be life-saving.

OUTLOOK

Born fighters
text SARA BERGQVIST photo OSCAR MATTSON

Sometimes life doesnt go the way you think it will. When your baby is born before its due date longbefore its due date your early days with anewborn are anything but tranquil. But withthe right help, they can still be deeplyrewarding.

OUTLOOK

PRETERM BIRTHS
About one out of 20 babies in Sweden is born prematurely, before the 38th week of pregnancy, and weighs less than 5.5 pounds. (2,500 grams). Today, babies born in week 22-23 have a chance of surviving. Roughly 70 to 80 percent of the babies born in Sweden earlier than the 29th week of pregnancy survive. Babies born earlier than the 35th week of pregnancy often need help breathing. Babies born extremely prematurely may need to be on a respirator. Later, it may be enough for them to have additional oxygen.

in Sweden, the corridors are not filled with the cries of babies as in a typical maternity ward. Except for the beeping of the equipment monitoring the babies, its so quiet you can hear a pin drop. There are currently seven tiny babies being cared for here along with their parents. One of them is three-weeks-old Elton. Hes as cute as a button, with black hair and a little upturned nose, a mouth like his mother Emmas and the eyes and nose of his father, Viktor. He actually should not have been born for another couple of months, so he only weighs 2 pounds and 10 ounces (1.2 kilograms). But thats still 4 ounces (120 grams) more than when he was born, so he is gaining weight as hes supposed to and has already moved up a size in diapers. Viktor and Emma have no idea why Elton suddenly decided to come into the world so far ahead of his due date. One day, my stomachache got worse and worse, Emma recalls. I couldnt believe it was labor pains because it was so early. But when we finally went to the hospital I was already dilated four centimeters. To stop the contractions, she was given medicine that was supposed to counter the preterm labor pains. That helped for two and a half hours, but then the contractions started up again. First, I was really scared, she says. It hit me that he would be far too tiny. When he came out, I didnt hear him cry and didnt know at first whether he was alive or not. But pretty soon, a doctor came in and said, That went well. The day after the baby was born, his parents

N THE NEONATAL ward of Halmstad Hospital

got to hold him for the first time. It seemed totally unreal, and both of us cried, she says. In the beginning, it seemed like he was more tubes than baby, and since he was so tiny he had almost no subcutaneous fat. At first, we didnt dare do anything without asking, but the staff have been absolutely wonderful and did a great job showing us what we should do. Emma glances tenderly at the incubator next to her, where Elton is sleeping. At the moment the incubator is partially covered with a blanket, and inside it is dark, warm and comfortable just like in a womb. To keep the babys arms and legs from spreading, as they do with babies born prematurely, Elton has been carefully wrapped so he can lie in a fetal position. Electrodes are attached to his chest and foot to monitor his pulse and breathing. During the entire conversation Emma and Viktor keep a careful eye on the two screens displaying these vital signs as well as the oxygen level in his blood.
OW, THREE WEEKS after Eltons birth, Emma and Viktor seem full of confidence. The doctors have said Elton is healthy, so they are taking complete care of him. Emma and Viktor change his tiny diaper by putting their hands through holes on each side of the incubator. And the tube feeding through his nose, which both thought was a bit scary, is also going smoothly. Hes too tiny to suck, swallow and breathe all at the same time, so I cant breast-feed him yet, Emma says. Viktor adds, But he usually gets a little milk on a cotton swab when we tube-feed

36 SCA SHAPE 3 2012

FEATURE
Elton on his fathers chest part of the kangaroo method, aimed to replicate the environment in the mothers womb. Lying skin against skin on the parents for a number of hours each day makes the baby feel secure. The babys temperature is more stable, breathing is more even and quieter, and sleep is better. When babies lie on their mother, they also try to nd her breast.

SCA SHAPE 3 2012 37

OUTLOOK

Elton was born after a pregnancy of 27 weeks and 5 days. He weighed 1,090 grams and was about 38 centimeters long.

him so that he gets used to the taste. Every baby that comes to the neonatal ward at Halmstad Hospital is born in the 27th week or later. The tiniest babies, those born in the 22nd to 26th week, are taken to the regional hospital in Gothenburg or Lund. For babies like these who are born extremely prematurely, there is a risk of complications such as visual and audio impairment, cerebral palsy damage and epilepsy. But many of the babies born extremely prematurely also come through nowadays with no after-effects. Almost every baby born at our hospital survives and has a good life, says Ulrika Sennow, maternity nurse at the hospital. The main challenge is bringing the families together, getting them to feel that this is their child and helping them to take care of their child on their own. Many parents undergo a crisis and are frightened, worried and unsure and dont know where they should be in this hospital world. So a lot of the work involves supporting these new parents, getting them to bond with their babies and including the parents in their childs care as much as possible. Theres already a difference when the infant is
38 SCA SHAPE 3 2012

delivered, when the mother cant have her baby on her stomach right after giving birth, says Jenny rnstedt, another nurse. But just because things were difficult in the beginning doesnt mean that it will be difficult later on.
ARENTS WHO REMAIN at the hospital

have their own room where they can live. At first, the babies stay in a shared sleeping room. But as the baby grows, the family can spend more time alone with the infant in their own room. Around the 35th week, some families go home, with many getting a few days a week of home care initially. Emma and Viktor are really looking forward to that. But so far, Elton has to make do with the sleeping room he shares for the time being with the other babies. Now its feeding time with milk every three hours and Viktor carefully lifts Elton from the incubator and places him on his chest, skin on skin. Eltons tiny hand is closed in a fist, right on his fathers chest, and he looks as if he is enjoying this closeness. He can be out of the incubator now for several hours. This is by far the best time of the day, says Viktor, who looks at least as happy as his son.

Almost every baby born at our hospital survives and has a good life.

Ulrika Sennow, maternity nurse at Halmstad Hospital.

The diapers should also not make any noise when theyre being handled.
Carolina Gbel

DIAPERS MADE BY HAND

With its Libero brand, SCA produces tiny diapers for the smallest of babies. Since premature babies have extremely sensitive skin, softness is critical.
THE DIAPERS SHOULD also not make

This is the actual size of a hand-made diaper for premature babies.

any noise when theyre being handled so the baby doesnt wake up unnecessarily, says Carolina Gbel, a midwife and information consultant for SCA who was involved in developing SCAs latest diaper for premature babies. They should have a discreet design, not fit too tightly around the babys thin bones and not leak or contain any unnecessary substances. All our preemie diapers carry the Nordic Ecolabel, the Swan. The diapers are available in two sizes, Minipremature for babies up to 2.6 pounds (1.2 kilograms) and Premature for babies up to 4.4 pounds (2 kilograms). The larger size is sold in drugstores, while the smaller size is only distributed

directly to hospitals. Just 90,000 of the smaller-size diapers are made each year at SCAs plant in the Slovakian town of Gemersk Hrka. Production of the tiny diaper takes place in two stages, the first in a machine that normally makes panty liners. Since production is so small, its enough to run the machine a few hours a year, says Bjrn Hultander, a product developer at SCA. The next step is done totally by hand so that the transitions are as soft as possible. The kangaroo method is often recommended for babies born prematurely, with the parents spending many hours each day with the baby skin against skin. So the diaper has to be as soft on the outside and have soft edges. The Premature diaper is sold in far greater numbers and is more like a regular diaper. Its more advanced, has more barriers and is intended for larger quantities of liquid, Hultander says. But its just as soft on the inside.

Since production is so small, its enough to run the machine a few hours ayear.

12 HOURS
with Markus Henningsson
When SCA drew up plans to acquire PLF, Markus moved to France to work with the business plan. He embraces the French way of life in his new home on the Atlantic seaside.
text ANNA McQUEEN photo ALASTAIR MILLER

With a goal of running three times a week hes up early for a run along the glorious Atlantic coast.

Back home for a shower and breakfast with the family.

Leaves home in LaRochelle.

A ship came in yesterday with a cargo of decking, and hes very happy with the quality.

Brieng with MD of SCA Timber France, Jacques Morand, to provide an update of where the business is at.

6 am
40 SCA SHAPE 3 2012

6:30 am

7:30 am

8:00 am

9:30 am

At the builders merchant VM with their purchaser. Markus inspecting a shipment of decking.

FRANCE

SCAS ACQUISITION of French solid-

Markus Henningsson
Age: 37 Title: Business development manager, SCA Born: Karlstad, Sweden Lives: La Rochelle, France Family: Married with two daughters, ages 1and 3 Interests: Hunting, running, cooking Favorite food: For the past year and a half, French cuisine, especially fruits de mer. Last book: Merde, actually by Stephen Clarke

Meeting in Rochefort with builders merchant Rullier, akey client for decking. Theyare happy, although the poor, rainy summer has slowedsales.

After a quick sandwich on the motorway, he heads for Poitiers and a meeting with PLF Director Patrick Boisseau. Together they visit another major customer to discuss SCAs new redwood claddingproduct.

Meeting at PLF HQ with the production engineer to discuss the environmental FSC certication process currently under way and the further development of the new redwood cladding with an adapted raw material from SCAs sawmills in Sweden.

wood products company PLF this March saw Business Development Manager Markus Henningsson dispatched from his Swedish homeland to Bonneuil-Matours, near Poitiers, to oversee the integration. The move was a challenge for Henningsson and his young family, but they are now settling in and getting used to la vie franaise from their new home in the beautiful seaside town of La Rochelle. The cultural differences were bigger than we thought, but were slowly picking up the language and the habits of the locals, Henningsson says. Since the acquisition of PLF, Henningssons life has been a whirlwind. Id been working on developing a business plan prior to the takeover, and now were slowly starting to fi nd ways to integrate PLFs wood processing and distribution business into the Swedish mother company, he explains. With my background from the mill side in Sweden and understanding of market conditions in France I can facilitate the process. Understanding different perspectives and finding synergies from them are the common factor to his days. Aside from that and his morning run, no two days are alike.
Calls the children to say goodnight before dinner with the sales team and a night in a hotel to be ready for tomorrows meeting in Poitiers.

Quarterly PLF sales meeting, with focus on the new product range.

10:30 am

2 pm

3 pm

4 pm

6 pm
SCA SHAPE 3 2012 41

SCA INSIDE
Pellets for horses
SCA BIONORR has developed

News from SCA

Donating hair for wigs

SCA WAS THE lead sponsor for

a bedding material for horses and horse owners stall bedding pellets. The pellets are manufactured from pure sawdust. When moisture is added to the pellets, they expand to about twice their size, quickly disintegrate into sawdust and provide a stable and dust-free bedding surface in the horsebox. The bedding product has also demonstrated highly positive results for horses previously suffering from pressure sores.

a local cancer fundraising event in Arizona, USA. SCA donated $5,000 for Hairstock 2012, a community festival that raises money to support Northern Arizona cancer patients and their families. The festival features a day of art, music and hair and the event raised nearly $14,000. Festival-goers also donated more than 100 locks of their hair to make wigs for patients who suffer hair loss as a result of chemotherapy.

TENA trains caregivers

RECOGNIZING ELDERLY care as an important social issue, SCAs brand TENA has initiated and organized free education and training forums for caregivers in Singapore and Malaysia. By the end of 2012, around 1,500 participants will have been trained. The fast-growing populations require an increase in the capacity and quality of home-based healthcare for the elderly. Public awareness and education is very important for improving the quality of care for individuals affected with incontinence, and

proper knowledge and support also help to ease the everyday lives of caregivers themselves, says Leonard Lim, TENA senior marketing manager in Malaysia. TENA also launched the 3rd Care Giving Day public welfare event New Care, Hearty Warmth in Beijing in July. In cooperation with the Beijing Nursing Association (BNA), TENA introduced the rst Incontinence Home Care Community Model in China during this event. This concept will bring more professional solutions to incontinence care through trainings and seminars.

A GREEK HAPPENING
THE GREEK LIBERO team counted an im-

pressive 15,000 guests at the third Libero Day in Athenss Goudi Park in June. The kids tried various activities such as a climbing wall, bouncy castle, painting and puppet theater. Meanwhile, parents had the chance to relax under the Libero tent. SCA donated the proceeds of the product sales to the Hatzikyriakio Foundation and the Greek Society for Disabled Children (ELEPAP).

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Pregnancy
SHOPPERS IN Kuala Lumpur were

flashmob in Malaysia
recently surprised when a ashmob of 25 pregnant mommies unexpectedly launched into a groovy dance performance at two prominent shopping centers in the city. Activities like this are part of an overall program to connect with Malaysian parents in an engaging way, so as to clearly differentiate Drypers from other brands in the baby care category.

Strollers in disguise
SCA JOINED THE holiday celebrations in the

Russian town of Tula on June 1, when the annual Mothers & Children Parade takes place. The parade counted around 3,000 participants and included a stroller parade where you could see strollers converted into a Russian samovar or a piano for a day. SCA acted as ofcial partner for the event . We support regional events like the Mothers & Children Parade as they give us the chance to present SCA and to underline that SCA is a global company with a regional presence., says Veniov HR Manager Inna Anisimova. Tula is the next bigger town to Veniov, where one of SCAs personal care plants is located. SCA also runs a tissue plant in the region.

Baby artists
IN SEPTEMBER Libero launced a limited

Libero Art Collection. The diapers have been decorated by the children themselves. They laughed, experimented and painted freely and then SCAs designer Karoline Lenhult helped to pick out the details that were best suited for the new collection. The diapers are sold in all Nordic markets and the Baltics. The campaign will focus on digital activities such as the Libero Baby Club, Youtube, Facebook and Twitter. Check out the humorous TV commercial with kids in the creative mood on www.libero.se or search for Libero Art Collection on youtube.com.

Three awards for Tempos inner strength

SCAS TEMPO TEAM won three different awards in Hong Kong recently with their brand campaign Power of Strength. The message in the campaign is that nothing is stronger than your inner strength, which allows you to tackle every situation and rise above every challenge.

To watch the TV commercial on YouTube search for Tempo, the power of strength.

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Fo rsma n & B o de n fo rs

L IBER O ART E DI TION . NOW I N STOR ES.