YOUNGSTOWN — Kimberly-Clark — the Fortune 200 company well-known for such consumer brands as Kleenex, Cottonnelle, Huggies, Depend and Kotex — has planted a foot in Trumbull County, acquiring more than half of the 1,000-acre Republic Steel and RG Steel site.

The Western Reserve Port Authority, which in 2021 gained control of the land, also the former RG Steel, agreed Thursday evening to sell 560 acres to the Texas-based company, one of the largest manufacturers of tissue products in the world.

The sale price was $9.9 million.

“This company has a long-standing reputation for quality and innovation. They’re a global leader … this Fortune 200 company showcases significant market influence and financial stability. The company is an innovator and focuses on creating new products that meet diverse consumer needs,” Anthony Trevena, port authority executive director.

It’s unknown at the moment what Kimberly-Clark plans for the site, according to Trevena. “That’s for the company to disclose. I don’t know what the product is,” but it will be a manufacturing facility.

“That is what they do. Their company is manufacturing, so it will be a manufacturing product here,” he said, adding Kimberly-Clark must still approve a development plan for the land.

It’s also unclear how many jobs would be created.

According to a news release from the company, Kimberly-Clark is finalizing its development and project plans and is working toward board director approval sometime in 2024.

SWEEPING CHANGE

“There are few things that come up that may change the face of the (Mahoning) Valley, and I think we are noticing that here today,” Marty Loney, port authority board chairman, said. “It is a historical moment, quite honestly, for the Mahoning Valley, and we appreciate the partnership between Kimberly-Clark and our area here.”

Said port authority board member Ed Muransky, “great day, positive for our Valley” that has a far-reaching positive impact across the region.

“And I think the biggest thing to take away out of this is the new wave in our Valley of everybody working together and not having any problems stand in our way of getting something done when it’s the right thing for the Valley,” he said. “I think this project shows it more than anything that has been done since probably 1977, that we can get this done, people want to be here.”

“It’s just an example of what can be done if we are ‘we’ and hopefully this is the beginning of a lot of other things,” Muransky said.

Said Guy Coviello, president / CEO of the Youngstown / Warren Regional Chamber, “I think it says a lot about us as a community that a company as old and as successful as this Fortune 200 company, that of all of the places in the country, they have expressed an interest in us. We should be proud of that.”

THE LAND

The port authority acquired the land – one of the largest, if not the largest, shovel-ready sites in Ohio – two years ago when owner, BDM Warren Steel Holdings LLC, approached with an offer to donate more than 800 acres on Pine Avenue SE.

Later, BDM came back to the port authority about acquiring 200 more acres adjacent to the site, west of the Cleveland-Cliffs coke plant.

The larger portion of the land has gotten a clean bill of health from the Ohio Environmental Protection Agency, while the smaller 200-acre site needs some environmental work.

The acreage acquired by Kimberly-Clark is a 261.1-acre parcel west of Pine Avenue that is most of the brownfield portion of the former steel site and 260 more acres that is considered greenfield east of Pine Avenue SE and south of Burton Street SE, according to Trevena and a map of the site he provided.

The connection with Kimberly-Clark was made when the Youngstown / Warren Regional Chamber responded to a request for information more than a year ago, Shea MacMillan, vice president of economic development for the chamber, said.

The first meetings with the company and other stakeholders were held at BRITE Energy Innovators in downtown Warren, he said.

“They entertained us for a couple more visits and we kept developing the conversation,” MacMillan said.

Chuck Smith, director of strategic capital, project management and network design for North American consumer and personal care business of Kimberly-Clark, said the company is “very excited about the opportunity and this acquisition of the land” at the former BDM Steel site.

With the sale, the port authority remains in control of about 440 acres at the site, some of which still needs environmental cleanup as well as infrastructure improvements, Trevena said.

Some of the proceeds from the sale will be used for that work, he said.

“The money that we received will be well-used toward future development in the community,” he said.

KIMBERLY-CLARK

For the company, whose brands are available in 175 countries, the site in Trumbull County would be its first in Ohio. Other well-known brands in the company’s portfolio include Scott, Poise, Pull-Ups, GoodNites and Viva. The company also has a professional products division for businesses.

According to the company’s latest financials, it reported net sales of $5.1 billion in the third quarter ending Sept. 30, up 2%, with organic sales growth of 5%.

In North America, the company reported organic sales rose 7% over last year, including increases of 9% in personal care, 4% in consumer tissue and 7% in professional products.

Outside of North America, organic sales were up 5%.

It reported third quarter operating profit of $774 million, up from $655 million last year

For the first nine months of 2023, it reported $15.5 billion in sales, an increase of 2 percent, with organic sales up 5%, the financial report states.

HISTORY

The property was used to produce multiple forms of steel from 1912 to 2012. The last steel producer was RG Steel, which sold the mill to BDM in 2012, when RG Steel went bankrupt. BDM immediately started looking for a new buyer. With none in sight, BDM auctioned parts of the mill in spring 2013 and began tearing down buildings and started to market the land.

The blast furnace, the last remaining one in Trumbull and Mahoning counties, was torn down in 2017.

rselak@tribtoday.com