The production manager of the Santa Fe New Mexican says escalating paper prices are the result of last year's merger between major paper producers Abitibi and Bowater, the weak dollar and the increasing cost of the commodity used to make newsprint. Santa Fe Reporter publisher Andy Dudzik tells the New Mexican his paper is "absorbing" the price increases while "trying to be smarter about papers." (See Dudzik's comment by clicking on "Permalink/Comments" below.) He also says the Reporter recently started distributing in Albuquerque and the decision "has met with a favorable reception."