Displaying items by tag: Clearwater Paper Corporation

Clearwater Paper Corporation has reported financial results for the second quarter of 2012.

The company reported net earnings of $21.5 million, or $0.91 per diluted share, for the second quarter of 2012, compared to net earnings of $13.9 million, or $0.59 per diluted share, for the second quarter of 2011.

Second quarter 2012 earnings before interest, taxes, depreciation and amortization, or EBITDA, was $64.2 million, compared to $52.4 million in the second quarter of 2011. Second quarter 2012 Adjusted EBITDA, which excludes approximately $1.0 million of legal expenses related to the attempt to enjoin delivery of the TAD tissue machine to the company's Shelby, North Carolina facility and a $1.0 million loss associated with the sale of legacy Cellu Tissue foam manufacturing assets, was $66.2 million.

"Strong Consumer Products and Pulp and Paperboard results produced record quarterly EBITDA," said Gordon Jones, chairman and chief executive officer. "In addition, cost savings synergies from our Cellu Tissue acquisition came in ahead of our estimates in the first two quarters of 2012, and our new paper machine facility in Shelby remains on budget and on time, with production expected to begin by year end."

The company repurchased 238,482 shares at a total cost of $7.5 million during the second quarter pursuant to its previously announced $30 millionshare buyback program. Since announcing the program in July 2011, the company has repurchased 571,782 shares at a total cost of $18.8 million for an average share price of $32.91.

SECOND QUARTER 2012 SEGMENT PERFORMANCE

Consumer Products

Net sales in the Consumer Products segment increased 5.2% to $283.1 million for the second quarter of 2012, as compared to second quarter 2011 net sales of $269.1 million, as a result of higher net selling prices and an increase in volumes. The $25.7 million of operating income for the second quarter of 2012 was approximately 275% higher as compared with the second quarter of 2011, primarily due to higher net sales and lower external pulp costs. Operating income for the second quarter of 2012 included a $1.0 million loss on the sale of legacy Cellu Tissue foam manufacturing assets.

  • Tissue sales volume increased 3.3% to 132,978 tons in the second quarter of 2012 compared to the second quarter of 2011 due to consistent retail sales and increased parent roll sales.
  • Net selling prices increased 2.0% to $2,129 per ton in the second quarter of 2012 compared to the second quarter of 2011 due to the segment's retail price increase that was implemented in the fourth quarter of 2011 and the first quarter of 2012, as well as sales mix improvements.
  • The company has increased its expected 2012 cost savings from synergies related to the Cellu Tissue acquisition from $20 million to $28 million, with $6.7 million realized in the second quarter of 2012, and still expects that its annual run rate of cost savings from these synergies will be in the range of $35 to $40 million by the end of 2012.

Pulp and Paperboard

Net sales of $190.5 million for the second quarter of 2012 were down 15.5%, compared to second quarter 2011 net sales of $225.5 million. The decrease in net sales was primarily due to the sale of the company's Lewiston, Idaho sawmill in November 2011. In addition, there was a reduction in the sale of external pulp due to increased internal usage and lower paperboard volumes relative to the second quarter of 2011. Operating income for the quarter declined 7.1% to $32.0 million, compared to $34.5 million for the second quarter of 2011, primarily due to the decline in sales volumes partially offset by lower pulp, energy and transportation costs.

  • Paperboard volumes declined 4.3% to 193,285 tons versus a record second quarter of 2011.
  • Pulp net sales of $2.1 million were down $5.9 million versus the second quarter of 2011 due primarily to the increased internal usage of pulp produced by the company and a 30% decline in pulp sales prices.

Taxes

The actual income tax rate for the second quarter of 2012 was 39.2%, compared to 38.3% in the second quarter of 2011. Excluding discrete items, the effective tax rate in the second quarter of 2012 was approximately 35.3%. The estimated annual effective tax rate for 2012, excluding discrete items, is expected to be approximately 35.1%.

Note Regarding Use of Non-GAAP Financial Measures

In this press release, the company presents its results for the second quarter of 2012 and 2011, including EBITDA and Adjusted EBITDA. The EBITDA and Adjusted EBITDA amounts are not in accordance with generally accepted accounting principles (GAAP) and accordingly reconciliations of EBITDA and Adjusted EBITDA to net earnings determined in accordance with GAAP are included at the end of this press release.

For the full release and table follow here

Source: Clearwater Paper Corporation

CONFERENCE CALL INFORMATION

A live audio webcast and conference call will be held today, Wednesday, July 25, 2012, at 2 p.m. Pacific time (5 p.m. Eastern time). Investors may access the conference call by dialing 877-303-9241 (for U.S./Canada investors) or 760-666-3575 (for international investors). The audio webcast may be accessed on the company's website at http://ir.clearwaterpaper.com/events.cfm. An accompanying presentation including supplemental information will be available for downloading at the same site at 1 p.m. Pacific time (4 p.m. Eastern time). The webcast will be audio only. Investors are recommended to download the accompanying presentation prior to the call.

For those unable to participate in the call, an archived recording will be available through the Clearwater Paper Corporation website www.clearwaterpaper.com under "Investor Relations" following the conference call.


Published in Financial News

Clearwater Paper Corporation has announced the appointment of John D. Hertz as senior vice president, finance and chief financial officer. Hertz will assume the CFO responsibilities on August 6, 2012. He will replace Johnathan D. Hunterwho has been serving as interim CFO, and Mr. Hunter's role and title remains as vice president and controller.

Hertz, 45, will have responsibility for financial reporting and controls, investor relations, risk management, tax and treasury functions. He most recently served as vice president and chief financial officer for Novellus Systems, Inc. Novellus is a semiconductor manufacturing equipment supplier with annual sales of approximately $1.6 billion and a category leader. Prior to Novellus, he held senior positions at Intel Corporation including central finance controller of the digital enterprise group, finance controller of the enterprise platform services division and accounting policy controller. Prior to joining Intel, Mr. Hertz served as a senior manager with KPMG.

"John's 23-year track record as a successful senior leader in accounting, auditing and finance, combined with his strong investor relations management background, clearly make him a strong addition to our senior management team," said Gordon Jones, chairman and chief executive officer.

Hertz earned a Bachelor of Science in business with an accounting emphasis from Montana State University and was a practice fellow at the Financial Accounting Standards Board (FASB).

Source: Clearwater Paper Corporation

Published in Financial News

Ruling Allows Delivery of TAD Paper Machine to Clearwater Paper by July 2012, Facilitating Completion of Shelby Tissue Facility on Schedule

SPOKANE, Wash. --- Clearwater Paper Corporation (NYSE:CLW) has commented on the ruling in the United States District Court for the District of South Carolina in favor of Metso Paper USA and Clearwater Paper in connection with a lawsuit filed by First Quality Tissue SE, LLCthat sought to enjoin Metso Paper from delivering a Through-Air-Dried, or TAD, paper machine to Clearwater Paper.

"Clearwater Paper is very pleased with the court's decision to deny the request for injunctive relief and dismiss the amended complaint, and we look forward to completion of our Shelby TAD paper machine facility," said Gordon Jones, chairman and chief executive officer. "We expect that the final components of our TAD paper machine will be delivered by Metso Paper by July 2012, pursuant to our contract with them, and that our Shelby TAD paper machine facility will be completed and begin operations prior to the end of 2012."

In 2010, Clearwater Paper contracted with Metso Paper to construct a TAD paper machine for its tissue manufacturing and converting facility under construction at Shelby, North Carolina. Clearwater Paper's contract with Metso Paper calls for an expected delivery of the TAD paper machine by July 2012. In August 2011, First Quality filed a lawsuit against Metso Paper seeking to enjoin Metso Paper from delivering the TAD paper machine toClearwater Paper based on the terms of an agreement between Metso Paper and First Quality. Clearwater Paper intervened in the litigation inNovember 2011 to ensure representation of its interests.

Source: Clearwater Paper Corporation

Published in North American News

Clearwater Paper Corporation has announced that Gordon Jones, chairman and CEO, and John Hunter, interim chief financial offer, vice president, and corporate controller, will present at the Stephens Spring Investment Conference onTuesday, June 5, at 8:30 a.m. ET. A live audio webcast of the presentation and accompanying slide materials will be accessible via Clearwater Paper'sinvestor relations section of the company's website at http://ir.clearwaterpaper.com/events.cfm. An audio replay of the webcast will be available at the site for 90 days.

Source: Clearwater Paper Corporation

Published in Financial News

Clearwater Paper Corporation has announced that Gordon Jones, chairman and CEO, andLloyd Fillis, vice president treasurer and tax, will present at the Oppenheimer 7th Annual Industrials Conference on Tuesday, May 15, at 8:00 a.m. Eastern time. A live audio webcast of the presentation and accompanying slide materials will be accessible via Clearwater Paper's investor relations section of the company's website at http://ir.clearwaterpaper.com/events.cfm. An audio replay of the webcast will be available at the site for 90 days.

ABOUT CLEARWATER PAPER

Clearwater Paper manufactures quality consumer tissue, away-from-home tissue, hard roll tissue, machine glazed tissue, bleached paperboard and pulp at 15 manufacturing locations in the U.S. and Canada. The company is a premier supplier of private label tissue to major retailers and wholesale distributors. This includes grocery, drug, mass merchants and discount stores. The company also produces bleached paperboard used by quality-conscious printers and packaging converters. Clearwater Paper's employees build shareholder value by developing strong customer partnerships through quality and service.

For additional information on Clearwater Paper, please visit our website at www.clearwaterpaper.com.

Source: Clearwater Paper Corporation

Published in North American News

Clearwater Paper Corporation  has announced that it will host its first quarter 2012 financial results conference call on Wednesday, April 25, 2012, at 2 p.m. Pacific Time (5 p.m. Eastern Time). The company will issue its financial results after market close the same day.

Investors may access the conference call by dialing 877-303-9241 (for US/Canada investors) or 760-666-3575 (for international investors). The audio webcast may be accessed on the company's website at http://ir.clearwaterpaper.com/events.cfm.

An accompanying presentation will be available for downloading from http://ir.clearwaterpaper.com/events.cfm after the market closes. The webcast will be audio only. Investors are recommended to download the accompanying presentation prior to the call.

For those unable to participate in the call, an archived recording will be available through Clearwater Paper's website at www.clearwaterpaper.comunder "Investor Relations" following the conference call.

Source: Clearwater Paper Corporation

Published in Financial News

Clearwater Paper Corporation has announced  that Gordon Jones, chairman and CEO, andLinda Massman, president, COO, and CFO will present at the Vertical Research Partners Paper & Packaging Conference on Thursday, March 8, at10:45 AM EST. A live audio webcast of the presentation and accompanying slide materials will be accessible via Clearwater Paper's investor relations section of the company's website at http://ir.clearwaterpaper.com/events.cfm. An audio replay of the webcast will be available at the site for 90 days.

ABOUT CLEARWATER PAPER

Clearwater Paper manufactures quality consumer tissue, away-from-home tissue, hard roll tissue, machine glazed tissue, bleached paperboard and pulp at 15 manufacturing locations in the U.S. and Canada. The company is a premier supplier of private label tissue to major retailers and wholesale distributors. This includes grocery, drug, mass merchants and discount stores. The company also produces bleached paperboard used by quality-conscious printers and packaging converters. Clearwater Paper's employees build shareholder value by developing strong customer partnerships through quality and service.

For additional information on Clearwater Paper, please visit our website at www.clearwaterpaper.com.

Published in Exhibitions
Tuesday, 29 November 2011 10:00

Clearwater Paper Completes Sale of Lewiston Sawmill

Clearwater Paper Corporation has announced that it has completed the sale of its Lewiston, Idaho, sawmill to Idaho Forest Group of Coeur d'Alene, Idaho.

The transaction included the sale of Clearwater Paper's sawmill, planer mill, dry kilns, and related assets along with log and finished goods inventories and timber under contract, in the aggregate amount of approximately $30 million. As part of the transaction, the two companies have entered into a long-term residual fiber supply agreement with the goal of delivering consistent supplies of chips and sawdust to Clearwater Paper's Lewiston pulp mill from Idaho Forest Group mills.

ABOUT CLEARWATER PAPER

Clearwater Paper manufactures quality consumer tissue, away-from-home tissue, hard roll tissue, machine glazed tissue, bleached paperboard and pulp at 15 manufacturing locations in the U.S. and Canada. The company is a premier supplier of private label tissue to major retailers and wholesale distributors. This includes grocery, drug, mass merchants and discount stores. The company also produces bleached paperboard used by quality-conscious printers and packaging converters. Clearwater Paper's employees build shareholder value by developing strong customer partnerships through quality and service.

FORWARD-LOOKING STATEMENTS

This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 as amended, including statements regarding the aggregate amount of the transaction and the supply of wood fiber to Clearwater Paper. These forward-looking statements are based on current expectations, estimates, assumptions and projections that are subject to change, and actual results may differ materially from the forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, difficulties with the realization of the benefits expected from the proposed transaction; general economic conditions in the regions and industries in which Clearwater Paper and Idaho Forest Group operate; changes in the cost and availability of wood fiber used in the production of Clearwater Paper's products; changes in the United States and international economies; cyclical industry conditions; changes in freight costs and disruptions in transportation services; unanticipated manufacturing disruptions; changes in general and industry-specific laws and regulations; unforeseen environmental liabilities or expenditures; labor disruptions; and other risks and uncertainties described from time to time in the company's public filings with the Securities and Exchange Commission. The forward-looking statements are made as of the date of this press release and the company does not undertake to update any forward-looking statements.

For additional information on Clearwater Paper, please visit our website at www.clearwaterpaper.com

Published in North American News

Clearwater Paper Corporation (NYSE:CLW) has reported financial results for the third quarter of 2011.

The company reported net earnings of $8.6 million, or $0.37 per diluted share, for the third quarter of 2011, compared to net earnings of $15.0 million, or $0.64 per diluted share, for the third quarter of 2010. The third quarter 2011 earnings before interest, taxes, depreciation and amortization, or EBITDA, was $46.2 million, compared to $40.3 million in the third quarter of 2010. Clearwater Paper acquired Cellu Tissue on December 27, 2010. The third quarter of 2011 includes Cellu Tissue's results, which is the primary reason for many of the variances between the 2011 and 2010 periods.

"We are pleased to surpass the $500 million milestone in quarterly net sales and are continuing our focus on managing expenses in this challenging cost environment," said Gordon Jones, chairman, president and chief executive officer. "Both the integration of Cellu Tissue and the construction of our Shelby facility are on track, with meaningful contributions expected to begin in 2012."

"We believe our investment in these growth areas of the business are putting us in a strong strategic position for the future and early customer reception is very positive," added Jones.

As part of its previously announced share repurchase program, the company repurchased 291,600 shares of outstanding common stock at an average price of $34.30 per share during the third quarter of 2011. The company also effected a two-for-one stock split on August 26, 2011. All prior period share amounts have been adjusted to reflect the stock split.

THIRD QUARTER 2011 SEGMENT PERFORMANCE

Consumer Products

Net sales in the Consumer Products segment were $285.2 million for the third quarter of 2011, as compared to third quarter 2010 net sales of $143.9 million. The increase in net sales was primarily attributable to the inclusion of Cellu Tissue's operating results in the third quarter. Operating income for the third quarter of 2011 was $7.1 million, compared with operating income of $17.9 million for the third quarter of 2010. The decrease in operating income was primarily the result of higher operating costs.

  • Tissue volume increased to 134,145 tons in the third quarter of 2011, as compared to 55,069 tons in the third quarter of 2010, with the increase primarily attributable to the addition of Cellu Tissue volumes. Including Cellu Tissue in our third quarter 2010 results would have resulted in pro forma volume of 135,102 tons. The decrease in 2011 tons versus 2010 pro forma tons sold by the combined company was primarily due to converting more parent rolls into finished cases, which results in a yield loss associated with the process of manufacturing finished cases.
  • Net selling prices decreased to $2,126 per ton in the third quarter of 2011 versus $2,614 in the third quarter of 2010, due primarily to the inclusion of Cellu Tissue products in the total product mix for the 2011 period. On a pro forma basis, net selling prices were $2,051 in the third of quarter of 2010. Cellu Tissue's operations have a broader range of products and tissue grades than the legacy Clearwater Paper facilities.
  • The decrease in operating income was primarily due to higher operating costs including transportation, wage and benefits, packaging materials and chemical costs.

Pulp and Paperboard

Net sales of $215.9 million in the Pulp and Paperboard segment for the third quarter of 2011 increased 3.3%, compared to third quarter 2010 net sales of $209.0 million. Operating income for the quarter rose 24.6% to $26.3 million, compared to $21.1 million for the third quarter of 2010. The increase was primarily due to higher net selling prices for paperboard and lower wood fiber costs, partially offset by higher chemical costs.

  • Higher net sales for the 2011 quarter were driven by a 2.4% increase in paperboard pricing to $971 per ton and a 0.3% increase in paperboard volumes to 184,870 tons, each as compared to the third quarter of 2010.
  • The increase in net sales was partially offset by a 1.4% decline in external pulp pricing to $684 per ton.
  • Major maintenance expense of $3.1 million was incurred in the third quarter of 2011, compared to $4.0 million in the third quarter of 2010.

Taxes

The actual income tax rate for the third quarter of 2011 was 40.7%, compared to an actual rate of 39.3% for the third quarter of 2010. The estimated annual effective tax rate for 2011, without discrete items, is expected to be approximately 34.2%.

Note Regarding Use of Non-GAAP Financial Measures

In this press release, the company presents its results for the third quarter of 2011 and 2010, including EBITDA. The EBITDA amounts are not in accordance with generally accepted accounting principles (GAAP) and accordingly a reconciliation of EBITDA to net earnings determined in accordance with GAAP is included at the end of this press release. The download is available below

Published in Financial News

Clearwater Paper Corporation has announced the company has entered into an agreement to sell its Lewiston, Idaho, sawmill to Idaho Forest Group of Coeur d'Alene, Idaho.

The transaction includes the sale of Clearwater Paper's sawmill, planer mill, dry kilns, and related assets along with log and finished goods inventories and timber under contract, in the aggregate amount of approximately $30 million. As part of the transaction, the two companies have entered into a long-term residual fiber supply agreement with the goal of delivering consistent supplies of chips and sawdust to Clearwater Paper's Lewiston pulp mill from Idaho Forest Group Mills.

"This has been a very careful and thoughtful decision for everyone at the company," said Tom Colgrove, president of pulp and paperboard at Clearwater Paper. "We believe that this is the best possible outcome for the mill and its continued operation in the region, our company and our shareholders."

Clearwater Paper is expected to ramp down production in the coming weeks in preparation for Idaho Forest Group to officially take possession in the fourth quarter of 2011. Clearwater Paper's approximately 250 affected employees will receive severance and all provisions subject to the WARN Act, which includes up to 60 days' worth of pay and benefits.

"We believe the tough times in the lumber industry will continue into the foreseeable future, and that the mill will be operated by a company whose core focus is lumber," said Colgrove. "We believe IFG has the people, resources and the business structure to make the Lewiston sawmill very successful."

Upon closing of the transaction, Idaho Forest Group plans to adjust production to meet its customer needs. At the same time, Idaho Forest Group will begin assessing employment needs and should initiate the hiring process soon after the close of the transaction. Longer term, Idaho Forest Group will assess the mill's capabilities and prepare an improvement plan for implementation.

"We are very excited about the prospects of updating and revitalizing the Lewiston sawmill," said Scott Atkison, president of Idaho Forest Group. "The mill and its location in the LC Valley and surrounding wood basket give us the ability to better supply our customers with the products they need, both now and into the future."

Clearwater Paper is working closely with the Idaho Department of Labor and the Governor's Dislocated Workers Task Force to assist employees.

Published in North American News
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