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PRESS RELEASE
Institute of Paper Science and Technology
500 10th Street, NW
Atlanta, Georgia 30318-5794
404 894-9592
FOR IMMEDIATE RELEASE

For more information contact:
David Bell, IPST, 404) 894-9592
Caroline Charles, Northlich PR for P&G, (513) 762-5571


P&G and IPST Team Up to Conserve Energy

Consumer Products Company Donates "Pulsed Air Drying" Technology For Commercial Development


ATLANTA, April 24, 2002 - Each year, a substantial amount of energy is consumed in the production of more than 100 million tons of paper and paperboard in the United States. The Procter & Gamble Company (NYSE: PG) and Atlanta's Institute for Paper Science and Technology (IPST) hope to improve the efficiency of papermaking to save energy and money. At a news conference held at IPST, P&G today announced a donation of its proprietary Pulsed Air Drying (PAD) technology to IPST for further development and commercialization. Procter & Gamble's donation to IPST, the leading pulp and paper research institution and graduate school, includes four active and pending U.S. patents and all associated intellectual property.

Conventional paper machines dry paper by passing the paper over heated metal cylinders. An improvement over this technique, called impingement drying, adds a steady flow of heated air to the drying process, much like a hair or hand dryer. PAD technology is potentially two to four times faster than impingement drying. PAD technology uses pulses of air and heat with forward and reverse flow to decrease drying time and improve energy efficiency.

Every day, billions of consumers use paper products - from toilet paper and paper towels to packaging and shipping boxes. Because energy is a significant cost in papermaking, PAD technology could reduce this cost by 10 - 25%, depending on the paper grade. In addition to potential energy savings, PAD technology may allow for significant reductions in capital investment in conventional drying equipment.

"Energy Secretary Spencer Abraham and I would like to thank Proctor & Gamble and Atlanta's Institute of Paper Science and Technology for their efforts in the development and advancement of Pulsed Air Drying technology. This technology could significantly impact the energy efficiency of the paper industry," said David Garman, Assistant Secretary or Energy Efficiency and Renewable Energy at the Department of Energy. Garman participated in a news conference at IPST today to announce the donation.

"President Bush, in his National Energy Policy, has charted a course that focuses the Department of Energy's pursuit of industrial research and development through voluntary public/private sector partnerships. These partnerships maximize the return on federal tax dollars spent on research, and accelerate the pace of the technology making its way to the marketplace or factory floor," said Garman.

"Our mission is to support the paper industry by educating future technical leaders, conducting innovative research, and transferring valuable technology into commercial operations," said IPST President James Ferris. "The PAD process has the potential to impact the economics of drying paper and other pressing and drying technologies. We're looking forward to further developing the PAD technology, and ultimately taking it to the market."

"IPST's keen understanding of PAD technology, extensive expertise in papermaking processes, and unique ability to leverage industry relationships will enable them to realize this promising technology's full potential," said Joel Monteith, director of family care research and development at P&G.
-More-

PAD technology arose from P&G's Family Care (tissue/towel) global business unit, as researchers worked to develop a method that would speed up and improve the efficiency of drying all types of paper during the papermaking process.

According to Monteith, P&G is currently focusing its tissue and towel R&D on other promising technologies, but didn't want PAD technology to sit on the shelf. The company hired an outside consultant to help identify the most qualified institution to further develop and commercialize the technology. IPST was chosen due to its excellent reputation and extensive expertise in paper science and research.

P&G is not able to devote resources to commercialize all of its more than 27,000
patents. Through its External Business Development and Global Licensing organization, P&G licenses many technologies and donates others that are not essential to current product development activities and can be best developed elsewhere. Because of its extensive R&D efforts, P&G is granted on average more than one patent per day.

The PAD technology is P&G's second technology gift to IPST. In September 2000, the company also donated its "Clay-filled Paper Technology" (CFT), which reduces the amount of wood fiber used in paper by replacing it with kaolin, a type of natural clay - without affecting the paper's strength or softness.

"IPST recently ran a trial on a commercial paper machine that demonstrated the concept to be even more effective than earlier pilot-scale work had shown. The results of the initial trial included improved savings with current chemistry, making CFT attractive even at today's low pulp prices," said David White, IPST's assistant vice president of technology transfer. A second trial is scheduled for June.
-More-

"Georgia makes more paper than any state in the nation, and IPST is one of our most respected research institutions. We're honored that P&G's technologies have found a home here, where they have the potential to make a significant economic impact," said Georgia's Lt. Governor Mark Taylor, who welcomed participants at today's donation event.

About IPST
Founded in 1929, the Institute for Paper Science and Technology (IPST) IPST has established itself as the premier institute for the advanced study of pulp and papermaking processes in the United States. IPST is a privately funded graduate research institute whose educational, scientific, and charitable purpose evolves from its unique relationship with the pulp and paper industry. Commercialization, not publication, is the end result of research at IPST, which has been ranked 5th most innovative U.S. research institution by the Research Foundation of the State University of New York.

About Procter & Gamble
P&G markets 250 brands to five billion consumers in 130 countries. P&G invests nearly $2 billion a year to develop and improve its products - leading the way in R&D globally among consumer products companies. P&G's External Business Development and Global Licensing organization is charged with ensuring the company maximizes the value of its "treasure trove" of technologies by selling, licensing and, in some cases, donating these technologies. The unit is also responsible for licensing select P&G brand trademarks.

 
     
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