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Senator Wirth. Thank you very much, Mr. Bukoskey and if I 

 might just take a moment and ask perhaps of you, Mr. Pihl, a 

 couple of questions. 



First of all who owns Ketchikan Pulp? 



Mr. Pihl. Ketchikan Pulp is a domestic company wholly owned 

 by Louisiana Pacific Corporation. 



Senator Wirth. Who has the long-term contract up here, what 

 company has the long term? 



Mr. Pihl. Who owns Alaska Pulp? I believe it is foreign owned 

 by a Japanese consortium. 



Senator Wirth. Where does the product from Ketchikan Pulp 

 go? 



Mr. Pihl. Our product last year, for example, was shipped to 51 

 countries worldwide. 



Senator Wirth. How much is U.S. consumed? 



Mr. Pihl. About 25 or 30 percent goes to very important domes- 

 tic customers. 



Senator Wirth. And where does the other 70 or 75 percent go? 



Mr. Pihl. 21 countries worldwide. 



Senator Wirth. Which is the largest importer of your product? 



Mr. Pihl. Taiwan followed by India. 



Senator Wirth. Taiwan is the larger importer? 



Mr. Pihl. And then India. 



Senator Wirth. And then where? 



Mr. Pihl. Korea. 



Senator Wirth. And Alaska Pulp, where does their product go? 



Mr. Pihl. It goes to world markets too but my understanding is 

 that primarily it goes to Japan. 



Senator Wirth. So how big are you compared to Alaska, Ketchi- 

 kan Pulp and Alaska Pulp? 



Mr. Pihl. About 20 percent larger, 10 to 15. 



Senator Wirth. You are about 10 percent larger. 



Mr. Pihl. Yes. 



Senator Wirth. Can you tell me why you think that Tongass 

 should be treated differently than, say, Arappahoe Roosevelt Forest 

 in Colorado or a National Forest in Montana, why should it be 

 treated differently? 



Mr. Pihl. If you are speaking about funding features, the so- 

 called 



Senator Wirth. Funding, contracts, targets — why should it be 

 treated differently? 



Mr. Pihl. There are 21 answers. 



Senator Wirth. As a general proposition why should the Tongass 

 be treated differently than other national forests? 



Mr. Pihl. First of all it took long-term contracts as a foundation 

 to develop this industry in Alaska and that foundation is important 

 today as it has ever been. 



Senator Wirth. Now you are arguing that if you take away the 

 long-term contract that foundation is gone, is that right? Is that 

 the prime reason for the difference? 



Mr. Pihl. You must have a discerned supply of timber to operate 

 a pulp mill and a large integrated operation. 



Senator Wirth. Why is that true in the Tongass and not true in 

 other national forests with the timber that exists? 



