Hi Karma. Glad you're asking the right kinds of questions. You are right. Merino has been bought by Encore.
"Merino is the fourth largest manufacturer of paper tissue and associated products in Australia. Merino's brands include 'Merino', 'Safe' and 'Earthwise'. Merino is a privately owned company established in 1939. Merino operated its paper tissue manufacturing business from Crestmead in Queensland. The Crestmead site and associated business and assets have been sold to Encore Tissue, an established participant in the paper tissue industry based in Laverton North, Victoria. Encore Tissue was established in 1998 as an integrated highly efficient manufacturer of innovative tissue products. Encore Tissue is owned by the Holckner Family with members of the family involved in the day to day management of the business. "
(13 Feb 2008, from
http://www.mcgrathnicol.com/news/Documents/E24-080213-Merino-Press%20Release-WJH%20(2).pdf)
Regarding packaging of toilet tissue, back in 2004 I contacted Encore because their commercial toilet tissues were in plastic while the same items available at Coles under the 'Treefree' brand were in paper. Turns out that most of their equipment was set up for plastic and wrapping in paper was then a relatively new process.
Regarding bleaching, Tree Free it is not re-bleached but is white because its collected white office paper. I don't know about the claims on SAFE, however it may be similar.
Other brands with recycled content are Eve, Naturale, Ecosoft, Envirosoft, Nature Soft, Forest free, Elite, Earthwise & Softex.
Hope this helps for clarity and gives some good alternatives in wiping options.
Cheers, Nick.
Ethical Consumer Group
www.ethical.org.au