This case is based on an actual investment decision made by a major paper-products company, and is primarily designed to be a straightforward exercise in assessing cash flows, cost of capital, and net present value of a capital-investment decision. The case works well for all audiences who are learning the basics of discounted cash flow and investment analysis, including the estimation of relevant cash flows (both cost savings and increased revenues), the effect of taxes on cost savings and revenues, the change in net working capital as a cash flow, and the weighted average cost of capital as the discount rate for the average investment.