Would You Buy Xerox's New 'Green' Paper?

| About: Xerox Corporation (XRX)

Xerox (NYSE:XRX) on Monday announced a ‘green’ paper that promises to cut costs and environmental impact. The paper, dubbed the Xerox High Yield Business Paper, is designed for high-volume commercial printing (think bills and newspaper). But chances are good that it could be marketed to consumers at some point.
xerox paper
The benefits are clear: Xerox’s paper uses half as many trees as regular paper, is 10 percent lighter than the alternative, and requires less water and chemicals. The paper also uses less fuel to produce. Xerox should find a receptive audience among direct-mail centers and bill, statement and invoice printers.

In a statement, here’s how Xerox describes the process:

The pulp used for Xerox’s uncoated 45 lb. text (17.7 lb. bond/67 gsm) sheet is produced by mechanically grinding wood into papermaking pulp instead of using the chemical pulping process traditional for producing digital business papers. The mechanical process converts more than 90 percent of wood weight to papermaking fiber, double the 45 percent yield from chemical pulping.

Xerox High Yield Business Paper has 10 percent more sheets per pound yet performs like 50 lb. text (20 lb. bond/75 gsm) made by a chemical pulping process, which is the most widely used type of paper for digital printing and copying. This reduces the cost per roll or 500-sheet ream, helping print providers increase profit margins.

With opacity - show-through resistance - equal to that of traditional 60 lb. text (24 lb. bond/90 gsm), the result is high quality, two-side printing where images and text on one side are barely visible from the other side of the paper.

The rub: Xerox’s environmentally friendly paper isn’t designed for documents you plan to archive. Xerox’s paper has a brightness level of 84 on a scale of 100. The brightest paper is whitened with chlorine.

Xerox’s effort will be a clear win for enterprises because they save money and a few trees. The real tell will be what happens when this paper goes consumer. Will consumers go for paper that’s not as bright?

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