Challenging year ahead for U.S. paper and forest industry; papermakers will try to hold prices stable against slowing economy, high inventories

The paper industry is expected to do well during 1996, despite the anticipated slowdown in the economy. Profits and mill operating rates are expected to decrease during the first half of 1996, due to an inventory correction, but may rise during the second half of the year. Economic growth is expected to reach 3% to 3.5 % during the first six months and 2% during the latter part of the year.
After two strong years of expansion and growth, the outlook for the U.S. paper and forest products industry in 1996 remains generally favorable. However, most economists have forecast a slowdown [...]