If you drive through Maine, you will see many trees because the state of Maine is about 90% forest. This leads to a forestry industry worth about $8.3 billion. The value-added product was to make paper and there were many mills in Maine. If you remember newspapers and inserts, you would have thought the mills would last a lifetime.

In an article by Stacey Freed of the New York Times News Service, one of those mills in Maine was owned by Madison Paper Industries owned by UPM-Kymmene and Northern SC Paper, a subsidiary of New York Times. Not surprisingly, the Madison mill produced glossy paper used by the Times for inserts. Most people do not read the newspaper in print anyone, which means inserts demand went down and the mill closed.

Prior to closing, Madison Paper Industries was the biggest taxpayer in Madison or 46% of the budget for the town.

The good news was the 600,000 sq ft mill was in good shape and a company called TimberHP acquired it to make wood fiber insulation panels from wood chips and other wood waste. It was a win for the town and a win for the timber industry, and the owners had high hopes wood fiber insulation which was made in Europe would now be made in the USA.

7 years later, keeping the doors open at TimberHP has not been easy. The pandemic snarled supply chains delaying deliveries on things the needed to refurbish the mill. A few years later, soaring inflation and construction delays meant only 2 lines were running rather than 3.

The company has money problems despite receiving a $3 million grant from the state government and raising $122 million in investor rounds. Venture capital funding is not interested because of the need for quick returns.

In 2025, the company paid about $200,000 in municipal taxes, a far cry from the $3.7 million from Madison Paper.

The investors believe in the product of the company, and the company is out of Chapter 11 bankruptcy and the company is having some success. It has 40 employees, down from the hoped 80 but it continues.

Linking to dividend paying stocks, sometimes you buy a stock and it is in the correct industry and has a leadership in that industry. The industry changes, the company keeps trying and because you own it, you want to see hope for the future. The reality is it will tend 5 to 10 before the company if it can change will be fixed or have hope for the future. As the investments you made, the industries change selling or finding alternatives is a good idea.

There are more questions than answers, till the next time – to raising questions.