Orchids Paper Products 10-Q 31 Oct 13 2013 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Sep. 30, 2013	Oct. 25, 2013
Document and Entity Information	'	'
Entity Registrant Name	'Orchids Paper Products CO /DE	'
Entity Central Index Key	'0001324189	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-13	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	8,036,309
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q3	'

BALANCE_SHEETS

BALANCE SHEETS (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Current assets:	'	'
Cash	$5,030	$5,734
Accounts receivable, net of allowance of $120 in 2013 and $125 in 2012	7,901	5,406
Inventories, net	11,802	10,275
Income taxes receivable	1,063	607
Short-term investments	5,033	5,027
Prepaid expenses	1,129	637
Other current assets	'	44
Deferred income taxes	277	393
Total current assets	32,235	28,123
Property, plant and equipment	133,143	125,579
Accumulated depreciation	-40,082	-34,391
Net property, plant and equipment	93,061	91,188
Deferred debt issuance costs, net of accumulated amortization of $16 in 2013 and $11 in 2012	42	47
Total assets	125,338	119,358
Current liabilities:	'	'
Accounts payable	3,312	3,685
Accrued liabilities	3,540	2,832
Current portion of long-term debt	1,152	1,152
Total current liabilities	8,004	7,669
Long-term debt, less current portion	14,215	15,079
Deferred income taxes	19,590	19,432
Stockholders' equity:	'	'
Common stock, $.001 par value, 25,000,000 shares authorized, 8,026,309 and 7,642,475 shares issued and outstanding in 2013 and 2012, respectively	8	8
Additional paid-in capital	45,523	41,238
Retained earnings	37,998	35,932
Total stockholders' equity	83,529	77,178
Total liabilities and stockholders' equity	$125,338	$119,358

BALANCE_SHEETS_Parenthetical

BALANCE SHEETS (Parenthetical) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, except Share data, unless otherwise specified
BALANCE SHEETS	'	'
Accounts receivable, allowance (in dollars)	$120	$125
Deferred debt issuance costs, accumulated amortization (in dollars)	$16	$11
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	8,026,309	7,642,475
Common stock, shares outstanding	8,026,309	7,642,475

STATEMENTS_OF_INCOME

STATEMENTS OF INCOME (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
STATEMENTS OF INCOME	'	'	'	'
Net sales	$29,760	$25,778	$85,601	$76,784
Cost of sales	22,620	20,388	64,938	59,657
Gross profit	7,140	5,390	20,663	17,127
Selling, general and administrative expenses	2,122	2,029	6,912	6,428
Operating income	5,018	3,361	13,751	10,699
Interest expense	92	99	280	308
Other (income) expense, net	-9	-4	-21	312
Income before income taxes	4,935	3,266	13,492	10,079
Provision for income taxes:	'	'	'	'
Current	1,110	847	3,259	2,886
Deferred	102	94	274	109
Total Provision for income taxes	1,212	941	3,533	2,995
Net income	$3,723	$2,325	$9,959	$7,084
Net income per share:	'	'	'	'
Basic (in dollars per share)	$0.47	$0.31	$1.27	$0.94
Diluted (in dollars per share)	$0.47	$0.29	$1.25	$0.90
Shares used in calculating net income per share:	'	'	'	'
Basic (in shares)	7,964,254	7,568,604	7,813,762	7,549,348
Diluted (in shares)	8,073,771	7,863,021	7,908,772	7,845,429
Dividends per share (in dollars per share)	$0.35	$0.20	$1	$0.60

STATEMENTS_OF_CASH_FLOWS

STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Cash Flows From Operating Activities	'	'
Net income	$9,959	$7,084
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation and amortization	5,696	5,611
Provision for doubtful accounts	-5	-20
Deferred income taxes	274	109
Stock compensation expense	380	318
Loss on disposal of property, plant and equipment	'	336
Changes in cash due to changes in operating assets and liabilities:	'	'
Accounts receivable	-2,490	-1,487
Inventories	-1,527	-1,288
Income taxes receivable	-456	285
Prepaid expenses	-492	-469
Other current assets	44	292
Accounts payable	-373	483
Accrued liabilities	708	511
Net cash provided by operating activities	11,718	11,765
Cash Flows From Investing Activities	'	'
Purchases of property, plant and equipment	-7,564	-4,314
Purchases of short-term investments	-6	-3,004
Net cash used in investing activities	-7,570	-7,318
Cash Flows From Financing Activities	'	'
Principal payments on long-term debt	-864	-864
Dividends paid to stockholders	-7,893	-4,533
Proceeds from the exercise of stock options	2,942	384
Excess tax benefit of stock options exercised	963	24
Net cash used in financing activities	-4,852	-4,989
Net decrease in cash	-704	-542
Cash, beginning	5,734	4,297
Cash, ending	5,030	3,755
Supplemental Disclosure:	'	'
Interest paid	279	307
Income taxes paid	2,753	2,443
Tax benefits realized from stock options exercised	$329	$29

Basis_of_Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2013
Basis of Presentation	'
Basis of Presentation	'
	Note 1 — Basis of Presentation
	Orchids Paper Products Company (“Orchids” or the “Company”) was formed in 1998 to acquire and operate the paper manufacturing facility, built in 1976, in Pryor, Oklahoma.  Orchids Acquisition Group, Inc. (“Orchids Acquisition”) was established in November 2003, for the purpose of acquiring the common stock of Orchids.  The sale of equity and debt securities closed in March 2004 and Orchids Acquisition Group, Inc. acquired Orchids for a price of $21.6 million.  Orchids Acquisition was subsequently merged into Orchids.  In July 2005, the Company completed its initial public offering of its common stock.  The Company’s stock trades on the NYSE MKT under the ticker symbol “TIS.”
	The accompanying financial statements have been prepared without an audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”).  Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted (“GAAP”) in the United States have been condensed or omitted pursuant to the rules and regulations.  However, the Company believes that the disclosures made are adequate to make the information presented not misleading when read in conjunction with the audited financial statements and the notes in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2012, filed with the SEC on March 11, 2013.  Management believes that the financial statements contain all adjustments necessary for a fair presentation of the results for the interim periods presented.  All adjustments were of a normal, recurring nature.  The results of operations for the interim period are not necessarily indicative of the results for the entire fiscal year.

Fair_Value_Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2013
Fair Value Measurements	'
Fair Value Measurements	'
	Note 2 — Fair Value Measurements
	The Company does not report any assets or liabilities at fair value in the financial statements.  However, the estimated fair value of the Company’s short-term investments, which consist of commercial deposits in money market funds, was $5,033,000 and $5,027,000 at September 30, 2013 and December 31, 2012, respectively.  These short-term investments are considered Level 1 measurements in the fair value valuation hierarchy.  The fair value of the Company’s long-term debt is estimated by management to approximate the carrying value of $15,367,000 and $16,231,000 at September 30, 2013 and December 31, 2012, respectively.  Management’s estimates are based on periodic comparisons of the characteristics of the Company’s obligations, including floating interest rate, credit rating, maturity and collateral, to current market conditions as stated by an independent third-party financial institution.  Such valuation inputs are considered a Level 2 measurement in the fair value valuation hierarchy.
	There were no transfers among Level 1, Level 2 or Level 3 assets or liabilities during the first nine months in 2013 or 2012.

Commitments_and_Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2013
Commitments and Contingencies	'
Commitments and Contingencies	'
	Note 3 — Commitments and Contingencies
	The Company may be involved from time to time in litigation arising from the normal course of business. In management’s opinion, as of the date of this report, the Company is not engaged in legal proceedings which individually or in the aggregate are expected to have a materially adverse effect on the Company’s results of operations or financial condition.
	In October 2008, the Company entered into a contract to purchase 334,000 MMBTU per year of natural gas.  This contract has been extended through December 2016 and provides for approximately 60% to 70% of the Company’s natural gas requirements through December 31, 2016 as follows:
	Period	MMBTUs	Price per		Management
			MMBTU		fee per
					MMBTU
	April 2011 - March 2012	334,207	$	6.5	$	0.07
	April 2012 - March 2013	334,207	$	5.5	$	0.07
	April 2013 - December 2014	556,886	$	4.905	$	0.07
	April 2013 - September 2013	additional 5,000/month	$	4.7	$	0.07
	October 2013 - March 2014	additional 5,000/month	$	4.75	$	0.07
	April 2014 - December 2014	additional 5,000/month	$	4.7	$	0.07
	January 2015 - March 2015	95,900	$	4.5	$	0.07
	April 2015 - June 2015	93,600	$	4.3	$	0.07
	July 2015 - September 2015	92,300	$	4.35	$	0.07
	October 2015 - December 2015	91,900	$	4.5	$	0.07
	January 2016 - March 2016	95,900	$	4.53	$	0.07
	April 2016 - June 2016	93,600	$	4.17	$	0.07
	July 2016 - September 2016	92,300	$	4.26	$	0.07
	October 2016 - December 2016	91,900	$	4.42	$	0.07
	Purchases under the gas contract were $0.5 million for each of the three months ended September 30, 2013 and 2012.  Purchases under the gas contract were $1.4 million and $1.5 million for the nine-month periods ended September 30, 2013 and 2012, respectively. If the Company is unable to purchase the contracted amounts and the market price at that time is less than the contracted price, the Company would be obligated under the terms of the agreement to reimburse an amount equal to the difference between the contracted amount and the amount actually purchased, multiplied by the difference between the contract price and current spot price.

Inventories

Inventories	9 Months Ended
	Sep. 30, 2013
Inventories	'
Inventories	'
	Note 4 — Inventories
	Inventories at September 30, 2013 and December 31, 2012 were as follows:
		September 30,			December 31,
		2013			2012
		(in thousands)
	Raw materials	$	3,772		$	2,879
	Bulk paper rolls	2,615			2,111
	Converted finished goods	5,549			5,463
	Inventory valuation reserve	(134		)	(178		)
		$	11,802		$	10,275

Income_Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2013
Income Taxes	'
Income Taxes	'
	Note 5 — Income Taxes
	As of September 30, 2013, our annual estimated effective income tax rate is 27.5%.  For the quarter ended September 30, 2013, our actual effective income tax rate was 24.6%.  For the nine months ended September 30, 2013, our actual effective income tax rate was 26.2%. The actual effective tax rate differs from the annual estimated effective income tax rate due to recognition of $222,000 of an Indian employment tax credit (“IEC”) for 2012 during the first quarter of 2013.  Recognition of the IEC for 2012 was deferred until the first quarter of 2013 as the American Taxpayer Relief Act of 2012, which extended the IEC, was not signed into law by the President of the United States until 2013.  For the quarter and nine months ended September 30, 2012, our actual effective income tax rate was 28.8% and 29.7%, respectively.  The annual estimated effective tax rate for 2013 and 2012 is lower than the statutory rate due to: (i) manufacturing tax credits, (ii) IECs, (iii) Oklahoma Investment Tax Credits primarily associated with our investments in a new paper machine in 2006 and new converting warehouse and new converting line that were completed in 2010, and (iv) tax benefits realized on incentive stock options exercised during the period.

Earnings_per_Share

Earnings per Share	9 Months Ended
	Sep. 30, 2013
Earnings per Share	'
Earnings per Share	'
	Note 6 — Earnings per Share
	During the first quarter of 2013, the Company granted restricted stock to certain employees. These awards include a nonforfeitable right to receive dividends and therefore are considered to participate in undistributed earnings with common shareholders.  Therefore, the Company calculates basic and diluted earnings per common share using the two-class method, under which net earnings are allocated to each class of common stock and participating security.  We expect all the shares of restricted stock to ultimately vest, and therefore, we have not estimated any forfeitures of restricted stock.
	The computation of basic and diluted net income per common share for the three-month and nine-month periods ended September 30, 2013 and 2012 is as shown in the following table. The presentation of 2012 net income per share has been conformed to presentation under the two-class method.
		Three Months Ended September 30,					Nine Months Ended September 30,
		2013			2012		2013			2012
	Net income - ($ thousands)	$	3,723		$	2,325	$	9,959		$	7,084
	Less: distributed earnings allocable to participating securities	(6		)	—		(16		)	—
	Less: undistributed earnings allocable to participating securities	(2		)	—		(4		)	—
	Distributed and undistributed earnings allocable to common shareholders	$	3,715		$	2,325	$	9,939		$	7,084
	Weighted average shares outstanding	7,964,254			7,568,604		7,813,762			7,549,348
	Effect of stock options	109,517			294,417		95,010			296,081
	Weighted average shares outstanding - assuming dilution	8,073,771			7,863,021		7,908,772			7,845,429
	Net income per share:
	Basic	$	0.47		$	0.31	$	1.27		$	0.94
	Diluted	$	0.47		$	0.29	$	1.25		$	0.9
	Stock options not considered above because they were anti-dilutive	—			75,500		—			75,500

Stock_Incentive_Plan

Stock Incentive Plan	9 Months Ended
	Sep. 30, 2013
Stock Incentive Plan	'
Stock Incentive Plan	'
	Note 7 — Stock Incentive Plan
	In April 2005, the board of directors and the stockholders approved the 2005 Stock Incentive Plan (the “Plan”).  The Plan provides for the granting of stock options and other stock based awards to employees and board members selected by the board’s compensation committee.  A total of 1,097,500 shares may be issued pursuant to the Plan.  As of September 30, 2013, there were 147,750 shares available for issuance under the Plan.
	The Company uses the Black-Scholes option valuation model to estimate the grant date fair value of its options.  Option valuation models require the input of highly subjective assumptions including the expected stock price volatility.  The following table details the options granted to certain members of the board of directors and management during the nine months ended September 30, 2013 and 2012.
	Grant	Number	Exercise		Grant Date		Risk-Free		Estimated		Dividend		Expected
	Date	of Shares	Price		Fair Value		Interest Rate		Volatility		Yield		Life
	13-May	40,000	$	22.95	$	5.28	1.87	%	43	%	5.88	%	5 years
	13-Feb	3,750	$	21.695	$	5.68	2.02	%	43	%	4.61	%	5 years
	12-May	38,500	$	17.845	$	4.78	1.7	%	44	%	4.48	%	5 years
	12-Jan	27,000	$	18.77	$	5.42	1.97	%	45	%	4.26	%	5 - 6 years
	The Company expenses the cost of options granted over the vesting period of the option based on the grant-date fair value of the award.  The Company recognized expense of $18,000 and $27,000 for the three months ended September 30, 2013 and 2012, respectively, and $303,000 and $318,000 for the nine months ended September 30, 2013 and 2012, respectively, related to options granted under the Plan.
	During the nine months ended September 30, 2013, the Company granted 16,000 shares of restricted stock to certain employees under the Plan.  These awards were valued at the arithmetic mean of the high and low market price of the Company’s stock on the grant date, which was $21.695 per share, and vest ratably over a three year period beginning on the first anniversary of the grant date.  The Company expenses the cost of restricted stock granted over the vesting period of the shares based on the grant-date fair value of the award.  The Company recognized expense of $29,000 and $77,000 for the three and nine month periods ended September 30, 2013, respectively, related to the shares granted under the Plan.

Major_Customers_and_Concentrat

Major Customers and Concentration of Credit Risk	9 Months Ended
	Sep. 30, 2013
Major Customers and Concentration of Credit Risk	'
Major Customers and Concentration of Credit Risk	'
	Note 8 — Major Customers and Concentration of Credit Risk
	The Company sells its paper production in the form of parent rolls and converted products.  Revenues from converted product sales and parent roll sales in the three months and nine months ended September 30, 2013 and 2012 were:
		Three Months Ended September 30,							Nine Months Ended September 30,
		2013			2012				2013				2012
		(in thousands)							(in thousands)
	Converted product ne sales	$	28,190		$	22,781			$	80,601			$	68,716
	Parent roll net sales	1,570			2,997				5,000				8,068
	Net sales	$	29,760		$	25,778			$	85,601			$	76,784
	Credit risk for the Company in the three months and nine months ended September 30, 2013 and 2012 was concentrated in the following customers who each comprised more than 10% of the Company’s total net sales:
		Three Months Ended September 30,					Nine Months Ended September 30,
		2013		2012			2013			2012
	Converted product customer 1	51	%	46	%		52	%		44	%
	Converted product customer 2	12	%	14	%		11	%		14	%
	Converted product customer 3	*		*			*			11	%
	Converted product customer 4	10	%	*			*			*
	Total percent of net sales	73	%	60	%		63	%		69	%
	* Customer did not account for more than 10% of sales during the period indicated
	At September 30, 2013 and December 31, 2012 the four significant customers accounted for the following amounts of the Company’s accounts receivable (in thousands):
		September 30,						December 31,
		2013						2012
	Converted product customer 1	$	2,765		35	%		$	1,318			24	%
	Converted product customer 2		1,820		23	%			1,601			30	%
	Converted product customer 3	*			*				589			11	%
	Converted product customer 4		722		9	%		*				*
	Total of accounts receivable	$	5,307		67	%		$	3,508			65	%
	* Customer did not account for more than 10% of sales during the period indicated

New_Accounting_Pronouncements

New Accounting Pronouncements	9 Months Ended
	Sep. 30, 2013
New Accounting Pronouncements	'
New Accounting Pronouncements	'
	Note 9 — New Accounting Pronouncements
	The Financial Accounting Standards Board (“FASB”) periodically issues new accounting standards in a continuing effort to improve standards of financial accounting and reporting. We have reviewed the recently issued pronouncements and concluded that there are no recently issued accounting pronouncements that the Company has yet to adopt that are expected to have a material effect on the Company’s financial position, results of operations or cash flows.

Subsequent_Event

Subsequent Event	9 Months Ended
	Sep. 30, 2013
Subsequent Event	'
Subsequent Event	'
	Note 10 — Subsequent Event
	The Company’s Credit Agreement with JPMorgan Chase Bank, N.A. dated April 25, 2011 (the “Credit Agreement”) contains two debt covenants that effectively limit annual capital expenditures: the Unfunded Capital Expenditure Limit and the Fixed Charge Coverage Ratio.  While the Company was in compliance with all debt covenants included in the Credit Agreement as of September 30, 2013, due to the expected level of the Company’s 2013 annual capital expenditures, management requested a waiver of these covenants for the period ending December 31, 2013.  On October 30, 2013, the Company obtained an advanced waiver from compliance with these covenants from JPMorgan Chase.

Commitments_and_Contingencies_

Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2013
Commitments and Contingencies	'
Schedule of purchase contracts of natural gas	'
	Period	MMBTUs	Price per		Management
			MMBTU		fee per
					MMBTU
	April 2011 - March 2012	334,207	$	6.5	$	0.07
	April 2012 - March 2013	334,207	$	5.5	$	0.07
	April 2013 - December 2014	556,886	$	4.905	$	0.07
	April 2013 - September 2013	additional 5,000/month	$	4.7	$	0.07
	October 2013 - March 2014	additional 5,000/month	$	4.75	$	0.07
	April 2014 - December 2014	additional 5,000/month	$	4.7	$	0.07
	January 2015 - March 2015	95,900	$	4.5	$	0.07
	April 2015 - June 2015	93,600	$	4.3	$	0.07
	July 2015 - September 2015	92,300	$	4.35	$	0.07
	October 2015 - December 2015	91,900	$	4.5	$	0.07
	January 2016 - March 2016	95,900	$	4.53	$	0.07
	April 2016 - June 2016	93,600	$	4.17	$	0.07
	July 2016 - September 2016	92,300	$	4.26	$	0.07
	October 2016 - December 2016	91,900	$	4.42	$	0.07

Inventories_Tables

Inventories (Tables)	9 Months Ended
	Sep. 30, 2013
Inventories	'
Schedule of inventories	'
		September 30,			December 31,
		2013			2012
		(in thousands)
	Raw materials	$	3,772		$	2,879
	Bulk paper rolls	2,615			2,111
	Converted finished goods	5,549			5,463
	Inventory valuation reserve	(134		)	(178		)
		$	11,802		$	10,275

Earnings_per_Share_Tables

Earnings per Share (Tables)	9 Months Ended
	Sep. 30, 2013
Earnings per Share	'
Schedule of computation of basic and diluted net income per common share	'
		Three Months Ended September 30,					Nine Months Ended September 30,
		2013			2012		2013			2012
	Net income - ($ thousands)	$	3,723		$	2,325	$	9,959		$	7,084
	Less: distributed earnings allocable to participating securities	(6		)	—		(16		)	—
	Less: undistributed earnings allocable to participating securities	(2		)	—		(4		)	—
	Distributed and undistributed earnings allocable to common shareholders	$	3,715		$	2,325	$	9,939		$	7,084
	Weighted average shares outstanding	7,964,254			7,568,604		7,813,762			7,549,348
	Effect of stock options	109,517			294,417		95,010			296,081
	Weighted average shares outstanding - assuming dilution	8,073,771			7,863,021		7,908,772			7,845,429
	Net income per share:
	Basic	$	0.47		$	0.31	$	1.27		$	0.94
	Diluted	$	0.47		$	0.29	$	1.25		$	0.9
	Stock options not considered above because they were anti-dilutive	—			75,500		—			75,500

Stock_Incentive_Plan_Tables

Stock Incentive Plan (Tables)	9 Months Ended
	Sep. 30, 2013
Stock Incentive Plan	'
Schedule of details of options granted to certain members of the board of directors and management	'
	Grant	Number	Exercise		Grant Date		Risk-Free		Estimated		Dividend		Expected
	Date	of Shares	Price		Fair Value		Interest Rate		Volatility		Yield		Life
	13-May	40,000	$	22.95	$	5.28	1.87	%	43	%	5.88	%	5 years
	13-Feb	3,750	$	21.695	$	5.68	2.02	%	43	%	4.61	%	5 years
	12-May	38,500	$	17.845	$	4.78	1.7	%	44	%	4.48	%	5 years
	12-Jan	27,000	$	18.77	$	5.42	1.97	%	45	%	4.26	%	5 - 6 years

Major_Customers_and_Concentrat1

Major Customers and Concentration of Credit Risk (Tables)	9 Months Ended
	Sep. 30, 2013
Major Customers and Concentration of Credit Risk	'
Schedule of revenues from converted product sales and parent roll sales	'
		Three Months Ended September 30,							Nine Months Ended September 30,
		2013			2012				2013				2012
		(in thousands)							(in thousands)
	Converted product ne sales	$	28,190		$	22,781			$	80,601			$	68,716
	Parent roll net sales	1,570			2,997				5,000				8,068
	Net sales	$	29,760		$	25,778			$	85,601			$	76,784
Net sales | Customer concentration risk	'
Major Customers and Concentration of Credit Risk	'
Schedule of concentration risk	'
		Three Months Ended September 30,					Nine Months Ended September 30,
		2013		2012			2013			2012
	Converted product customer 1	51	%	46	%		52	%		44	%
	Converted product customer 2	12	%	14	%		11	%		14	%
	Converted product customer 3	*		*			*			11	%
	Converted product customer 4	10	%	*			*			*
	Total percent of net sales	73	%	60	%		63	%		69	%
	* Customer did not account for more than 10% of sales during the period indicated
Accounts receivable | Credit risk	'
Major Customers and Concentration of Credit Risk	'
Schedule of concentration risk	'
	At September 30, 2013 and December 31, 2012 the four significant customers accounted for the following amounts of the Company’s accounts receivable (in thousands):
		September 30,						December 31,
		2013						2012
	Converted product customer 1	$	2,765		35	%		$	1,318			24	%
	Converted product customer 2		1,820		23	%			1,601			30	%
	Converted product customer 3	*			*				589			11	%
	Converted product customer 4		722		9	%		*				*
	Total of accounts receivable	$	5,307		67	%		$	3,508			65	%
	* Customer did not account for more than 10% of sales during the period indicated

Basis_of_Presentation_Details

Basis of Presentation (Details) (USD $)	1 Months Ended
In Millions, unless otherwise specified	Mar. 31, 2004
Basis of Presentation	'
Price paid for acquisition of reporting entity by Orchids Acquisition Group, Inc.	$21.60

Fair_Value_Measurements_Detail

Fair Value Measurements (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012	Sep. 30, 2012
Assets	'	'	'
Short-term investments	$5,033,000	$5,027,000	'
Liabilities	'	'	'
Level 1 to Level 2 asset transfer amounts	0	'	0
Level 1 to Level 2 liability transfer amounts	0	'	0
Level 2 to Level 1 asset transfer amounts	0	'	0
Level 2 to Level 1 liability transfer amounts	0	'	0
Level 2 to Level 3 asset or liability transfer amounts	0	'	0
Level 3 to Level 2 asset or liability transfer amounts	0	'	0
Level 1 | Commercial Deposit	'	'	'
Assets	'	'	'
Short-term investments	5,033,000	5,027,000	'
Level 2	'	'	'
Liabilities	'	'	'
Fair value of long-term debt	$15,367,000	$16,231,000	'

Commitments_and_Contingencies_1

Commitments and Contingencies (Details) (Natural gas, USD $)	1 Months Ended	3 Months Ended		9 Months Ended
In Millions, unless otherwise specified	Oct. 31, 2008	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
	MMBTU
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas per year (in MMBTUs)	334,000	'	'	'	'
Purchases under the gas contract	'	$0.50	$0.50	$1.40	$1.50
April 2011 - March 2012	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	334,207	'
Price per MMBTU	'	'	'	6.5	'
Management fee per MMBTU	'	'	'	0.07	'
April 2012 - March 2013	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	334,207	'
Price per MMBTU	'	'	'	5.5	'
Management fee per MMBTU	'	'	'	0.07	'
April 2013 - December 2014	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	556,886	'
Price per MMBTU	'	'	'	4.905	'
Management fee per MMBTU	'	'	'	0.07	'
April 2013 - September 2013	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Additional MMBTUs per month	'	'	'	5,000	'
Price per MMBTU	'	'	'	4.7	'
Management fee per MMBTU	'	'	'	0.07	'
October 2013 - March 2014	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Additional MMBTUs per month	'	'	'	5,000	'
Price per MMBTU	'	'	'	4.75	'
Management fee per MMBTU	'	'	'	0.07	'
April 2014 - December 2014	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Additional MMBTUs per month	'	'	'	5,000	'
Price per MMBTU	'	'	'	4.7	'
Management fee per MMBTU	'	'	'	0.07	'
January 2015 - March 2015	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	95,900	'
Price per MMBTU	'	'	'	4.5	'
Management fee per MMBTU	'	'	'	0.07	'
April 2015 - June 2015	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	93,600	'
Price per MMBTU	'	'	'	4.3	'
Management fee per MMBTU	'	'	'	0.07	'
July 2015 - September 2015	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	92,300	'
Price per MMBTU	'	'	'	4.35	'
Management fee per MMBTU	'	'	'	0.07	'
October 2015 - December 2015	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	91,900	'
Price per MMBTU	'	'	'	4.5	'
Management fee per MMBTU	'	'	'	0.07	'
January 2016 - March 2016	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	95,900	'
Price per MMBTU	'	'	'	4.53	'
Management fee per MMBTU	'	'	'	0.07	'
April 2016 - June 2016	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	93,600	'
Price per MMBTU	'	'	'	4.17	'
Management fee per MMBTU	'	'	'	0.07	'
July 2016 - September 2016	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	92,300	'
Price per MMBTU	'	'	'	4.26	'
Management fee per MMBTU	'	'	'	0.07	'
October 2016 - December 2016	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Quantity of natural gas requirements (in MMBTUs)	'	'	'	91,900	'
Price per MMBTU	'	'	'	4.42	'
Management fee per MMBTU	'	'	'	0.07	'
Minimum	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Amount under the contract as a percent of the entity's requirements	'	'	'	60.00%	'
Maximum	'	'	'	'	'
Commitments and Contingencies	'	'	'	'	'
Amount under the contract as a percent of the entity's requirements	'	'	'	70.00%	'

Inventories_Details

Inventories (Details) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Inventories	'	'
Raw materials	$3,772	$2,879
Bulk paper rolls	2,615	2,111
Converted finished goods	5,549	5,463
Inventory valuation reserve	-134	-178
Total	$11,802	$10,275

Income_Taxes_Details

Income Taxes (Details) (USD $)	3 Months Ended			9 Months Ended
	Sep. 30, 2013	Mar. 31, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Income Taxes	'	'	'	'	'
Estimated annual effective income tax rate (as a percent)	'	'	'	27.50%	'
Actual effective income tax rate (as a percent)	24.60%	'	28.80%	26.20%	29.70%
Difference in annual effective income tax rate due to recognition of the IEC	'	$222,000	'	'	'

Earnings_per_Share_Details

Earnings per Share (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Earnings per Share	'	'	'	'
Net income	$3,723	$2,325	$9,959	$7,084
Less: distributed earnings allocable to participating securities	-6	'	-16	'
Less: undistributed earnings allocable to participating securities	-2	'	-4	'
Distributed and undistributed earnings allocable to common shareholders	$3,715	$2,325	$9,939	$7,084
Weighted average shares outstanding	7,964,254	7,568,604	7,813,762	7,549,348
Effect of stock options (in shares)	109,517	294,417	95,010	296,081
Weighted average common shares outstanding - assuming dilution	8,073,771	7,863,021	7,908,772	7,845,429
Net income per share, basic (in dollars per share)	$0.47	$0.31	$1.27	$0.94
Net income per share, diluted (in dollars per share)	$0.47	$0.29	$1.25	$0.90
Stock options not considered above because they were anti-dilutive (in shares)	'	75,500	'	75,500

Stock_Incentive_Plan_Details

Stock Incentive Plan (Details) (USD $)

1 Months Ended

3 Months Ended

9 Months Ended

3 Months Ended

9 Months Ended

31-May-13

Feb. 28, 2013

31-May-12

Jan. 31, 2012

Jan. 31, 2012

Jan. 31, 2012

Sep. 30, 2013

Sep. 30, 2013

Sep. 30, 2013

Apr. 30, 2005

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Options

Options

Options

Options

Options

Options

Restricted stock

Restricted stock

Stock Incentive Plan

Stock Incentive Plan

Stock Incentive Plan

Stock Incentive Plan

Stock Incentive Plan

Stock Incentive Plan

Board of Directors and Management

Board of Directors and Management

Board of Directors and Management

Board of Directors and Management

Board of Directors and Management

Board of Directors and Management

Options

Options

Options

Options

Minimum

Maximum

Stock Incentive Plan

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Number of shares which may be issued pursuant to the Plan

'

'

'

'

'

'

'

'

'

1,097,500

'

'

'

'

Number of shares available for issuance under the Plan

'

'

'

'

'

'

'

'

147,750

'

'

'

'

'

Number of shares

40,000

3,750

38,500

27,000

'

'

'

'

'

'

'

'

'

'

Exercise Price (in dollars per share)

$22.95

$21.70

$17.84

$18.77

'

'

'

'

'

'

'

'

'

'

Grant Date Fair Value (in dollars per share)

$5.28

$5.68

$4.78

$5.42

'

'

'

'

'

'

'

'

'

'

Risk-Free Interest Rate (as a percent)

1.87%

2.02%

1.70%

1.97%

'

'

'

'

'

'

'

'

'

'

Estimated Volatility (as a percent)

43.00%

43.00%

44.00%

45.00%

'

'

'

'

'

'

'

'

'

'

Dividend Yield (as a percent)

5.88%

4.61%

4.48%

4.26%

'

'

'

'

'

'

'

'

'

'

Expected Life

'5 years

'5 years

'5 years

'

'5 years

'6 years

'

'

'

'

'

'

'

'

Compensation expense recognized

'

'

'

'

'

'

$29,000

$77,000

'

'

$18,000

$27,000

$303,000

$318,000

Granted (in shares)

'

'

'

'

'

'

'

16,000

'

'

'

'

'

'

Value on the grant date (in dollars per share)

'

'

'

'

'

'

'

$21.70

'

'

'

'

'

'

Vesting period

'

'

'

'

'

'

'

'3 years

'

'

'

'

'

'

Major_Customers_and_Concentrat2

Major Customers and Concentration of Credit Risk (Details) (USD $)	3 Months Ended		9 Months Ended		12 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Dec. 31, 2012
			Customer		Customer
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Net sales	$29,760	$25,778	$85,601	$76,784	'
Concentration risk amount	7,901	'	7,901	'	5,406
Number of significant customers	'	'	4	'	4
Net sales | Customer concentration risk | All significant customers	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk percentage	73.00%	60.00%	63.00%	69.00%	'
Net sales | Customer concentration risk | Converted product customer 1	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk percentage	51.00%	46.00%	52.00%	44.00%	'
Net sales | Customer concentration risk | Converted product customer 2	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk percentage	12.00%	14.00%	11.00%	14.00%	'
Net sales | Customer concentration risk | Converted product customer 3	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk percentage	'	'	'	11.00%	'
Net sales | Customer concentration risk | Converted product customer 4	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk percentage	10.00%	'	'	'	'
Accounts receivable | Credit risk | All significant customers	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk amount	5,307	'	5,307	'	3,508
Concentration risk percentage	'	'	67.00%	'	65.00%
Accounts receivable | Credit risk | Converted product customer 1	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk amount	2,765	'	2,765	'	1,318
Concentration risk percentage	'	'	35.00%	'	24.00%
Accounts receivable | Credit risk | Converted product customer 2	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk amount	1,820	'	1,820	'	1,601
Concentration risk percentage	'	'	23.00%	'	30.00%
Accounts receivable | Credit risk | Converted product customer 3	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk amount	'	'	'	'	589
Concentration risk percentage	'	'	'	'	11.00%
Accounts receivable | Credit risk | Converted product customer 4	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Concentration risk amount	722	'	722	'	'
Concentration risk percentage	'	'	9.00%	'	'
Converted product	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Net sales	28,190	22,781	80,601	68,716	'
Parent roll	'	'	'	'	'
Major Customers and Concentration of Credit Risk	'	'	'	'	'
Net sales	$1,570	$2,997	$5,000	$8,068	'

Subsequent_Event_Details

Subsequent Event (Details) (Subsequent event)	Sep. 30, 2013
	Covenant
Subsequent event	'
Subsequent event	'
Number of debt covenants under the Credit Agreement that effectively limit annual capital expenditures	2