SPOKANE, Wash.--(BUSINESS WIRE)--
Clearwater Paper Corporation (NYSE:CLW) today reported financial
results for the second quarter of 2013.
The company reported net sales of $471.0 million for the second quarter
of 2013, compared to net sales of $473.6 million for the second quarter
of 2012. Net earnings for the second quarter of 2013 were $11.7 million,
or $0.52 per diluted share, compared to net earnings of $21.5 million,
or $0.91 per diluted share, for the second quarter of 2012. Net earnings
for the 2013 period included a $1.1 million benefit associated with the
mark-to-market impact of directors' equity-based compensation and $1.0
million of expense associated with the announced closing of the
company's Thomaston, Ga., converting and distribution facility.
Excluding those items, second quarter 2013 net earnings were $11.6
million, or $0.51 per diluted share. For the second quarter of 2012,
excluding $1.0 million of expenses associated with the Metso litigation,
a $1.0 million loss associated with the sale of legacy Cellu Tissue foam
manufacturing assets and $0.3 million of expense associated with the
mark-to-market impact of directors' equity-based compensation, net
earnings were $23.0 million, or $0.97 per diluted share.
Earnings before interest, taxes, depreciation and amortization, or
EBITDA, was $53.0 million for the second quarter of 2013. Adjusted
EBITDA of $52.8 million was down 20.6% compared to second quarter 2012
Adjusted EBITDA of $66.5 million. The decrease in EBITDA and Adjusted
EBITDA was due to higher transportation and purchased paper costs in the
Consumer Products segment as a result of the through-air-dried (TAD)
transition, as well as overall higher energy, wages and benefits, and
maintenance costs.
"Our focus on internal execution in tissue and strong fundamentals in
paperboard drove the quarter's solid progress in EBITDA. Our new TAD
tissue facility in Shelby, N.C., continues to ramp up consistent with
our expectations," said Linda Massman, president and chief executive
officer. "As a result, we continue to anticipate achieving our $300
million adjusted EBITDA target in 2014."
During the second quarter, the company repurchased approximately 205,000
shares of common stock at a total cost of $9.8 million pursuant to its
previously announced $100 million share buyback program. Since
announcing the program in January, the company has repurchased
approximately 1.0 million shares. The company expects to use the balance
of its overall $100 million share repurchase program by the end of 2013.
SECOND QUARTER 2013 SEGMENT PERFORMANCE
Consumer Products
Net sales in the Consumer Products segment were $289.7 million for the
second quarter of 2013, up 2.3% compared to second quarter 2012 net
sales of $283.1 million. The increase was primarily attributable to
higher selling prices, with volumes flat year over year. Operating
income decreased to $14.8 million from $25.7 million in the prior year
period, driven primarily by short-term transition costs of $4.2 million
associated with the company's TAD expansion. Operating income was also
adversely impacted by expenses related to the announced closure of the
company's Thomaston facility, higher energy and packaging costs, and
increased depreciation year over year.
-
Tissue sales volumes of 132,057 tons in the second quarter of 2013
were roughly flat compared to the second quarter of 2012. Retail tons
and converted product cases shipped increased 3.5% and 3.8%,
respectively, with non-retail tons dropping 5.7% during the second
quarter of 2013.
-
Average net selling prices increased 3.1% to $2,194 per ton in the
second quarter of 2013 compared to the second quarter of 2012, due to
increased TAD sales, improved mix, and parent roll and away-from-home
price increases during the second quarter of 2013.
-
TAD transition costs included increased transportation, manufacturing
and outside purchased paper costs associated with the increased
conventional tissue sales the company took on to help offset the
displacement of conventional sales expected by the ramp up of the
company's new Ultra TAD bathroom tissue product in 2013.
Pulp and Paperboard
Net sales in the Pulp and Paperboard segment were $181.3 million for the
second quarter of 2013, down 4.8% compared to second quarter 2012 net
sales of $190.5 million. The decrease was primarily due to lower
paperboard volumes driven by short-term production issues and lower
pricing in the second quarter of 2013 compared to the second quarter of
2012. Operating income for the quarter decreased $7.2 million to $24.8
million, compared to $32.0 million for the second quarter of 2012,
primarily due to higher energy and employee costs as well as operational
disruptions at the company's Arkansas facility in the second quarter of
2013.
-
Paperboard sales volumes decreased 1.4% to 190,518 tons in the second
quarter of 2013, compared to the second quarter of 2012.
-
Paperboard net selling prices decreased 3.0% to $946 per ton compared
to the second quarter of 2012 as a result of competitive pressures
across most product segments.
-
An electrical disruption and operational issues with maintenance and
repairs performed on the recovery boiler in Arkansas in the second
quarter of 2013 resulted in increased costs of approximately $2.9
million during the quarter.
Taxes
The company's effective tax rate for the second quarter of 2013 was a
provision of 37.4%, compared to a provision of 39.2% in the second
quarter of 2012. The lower effective rate was primarily the result of a
return to provision true up partially offset by interest accrued on
uncertain tax positions in the reporting period. The company expects its
annual effective tax rate to be approximately 38% for 2013.
Note Regarding Use of Non-GAAP Financial Measures
In this press release, the company presents its results for the second
quarters of 2013 and 2012, including EBITDA, Adjusted EBITDA, adjusted
net earnings and adjusted net earnings per diluted share excluding
special items. These amounts are not in accordance with generally
accepted accounting principles (GAAP), and accordingly reconciliations
to net earnings and net earnings per diluted share as determined in
accordance with GAAP are included at the end of this press release. The
company presents these amounts because management believes they assist
investors and analysts in comparing the company's performance across
reporting periods on a consistent basis by excluding items that the
company does not believe are indicative of its core operating
performance.
CONFERENCE CALL INFORMATION
A live audio webcast and conference call will be held today, Wednesday,
July 24, 2013, 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 1:05 p.m. Pacific time
(4:05 p.m. Eastern time). The webcast will be audio only. The company
recommends that investors 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 at www.clearwaterpaper.com
under "Investor Relations" following the conference call.
ABOUT CLEARWATER PAPER
Clearwater Paper manufactures quality consumer tissue, away-from-home
tissue, parent 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
relationships 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 the company's expected production at its North
Carolina facility, sales of TAD tissue, Adjusted EBITDA target for 2014,
the expected completion of the company's $100 million common stock
repurchase program, and the company's effective tax rates for 2013.
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, customer acceptance and timing of
purchases of the company's new TAD products and capacity, difficulties
with the optimization and realization of the benefits expected from the
company's new TAD paper machine and converting lines at North Carolina;
changes in the cost and availability of wood fiber and wood pulp;
manufacturing or operating disruptions, including equipment malfunction
and damage to the company's manufacturing facilities; changes in
transportation costs and disruptions in transportation services; changes
in costs for and availability of packaging supplies, chemicals, energy,
and maintenance and repairs; competitive pricing pressures for the
company's products, including as a result of increased capacity as
additional manufacturing facilities are operated by the company's
competitors; changes in customer product preferences and competitors'
product offerings; increased supply and pricing pressures resulting from
increasing Asian paper production capabilities; changes in the U.S. and
international economies and in general economic conditions in the
regions and industries in which the company operates; cyclical industry
conditions; reliance on a limited number of third-party suppliers for
raw materials; labor disruptions; inability to successfully implement
the company's expansion strategies; limitations on stock repurchases
pursuant to Rule 10b-18 under the Securities Exchange Act of 1934; the
company's qualification to retain, or ability to utilize, tax credits
associated with alternative fuels or cellulosic biofuels and the tax
treatment associated with receipt of such credits; 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 the
company's website at www.clearwaterpaper.com.
|
|
|
Clearwater Paper Corporation |
|
Condensed Consolidated Statements of Operations
|
|
Unaudited (Dollars in thousands - except per-share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Six Months Ended
|
|
|
|
June 30,
|
|
June 30,
|
|
|
|
|
2013
|
|
|
|
|
|
2012
|
|
|
|
|
|
2013
|
|
|
|
|
|
2012
|
|
|
|
|
Net sales
|
|
$
|
471,002
|
|
|
100
|
%
|
|
$
|
473,572
|
|
|
100
|
%
|
|
$
|
931,826
|
|
|
100
|
%
|
|
$
|
931,370
|
|
|
100
|
%
|
|
Costs and expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of sales
|
|
|
(414,521
|
)
|
|
88
|
%
|
|
|
(398,546
|
)
|
|
84
|
%
|
|
|
(828,730
|
)
|
|
89
|
%
|
|
|
(801,622
|
)
|
|
86
|
%
|
|
Selling, general and administrative expenses
|
|
|
(26,767
|
)
|
|
6
|
%
|
|
|
(30,529
|
)
|
|
6
|
%
|
|
|
(60,899
|
)
|
|
7
|
%
|
|
|
(59,603
|
)
|
|
6
|
%
|
|
Total operating costs and expenses
|
|
|
(441,288
|
)
|
|
94
|
%
|
|
|
(429,075
|
)
|
|
91
|
%
|
|
|
(889,629
|
)
|
|
95
|
%
|
|
|
(861,225
|
)
|
|
92
|
%
|
|
Income from operations
|
|
|
29,714
|
|
|
6
|
%
|
|
|
44,497
|
|
|
9
|
%
|
|
|
42,197
|
|
|
5
|
%
|
|
|
70,145
|
|
|
8
|
%
|
|
Interest expense, net
|
|
|
(11,094
|
)
|
|
2
|
%
|
|
|
(9,147
|
)
|
|
2
|
%
|
|
|
(22,076
|
)
|
|
2
|
%
|
|
|
(18,875
|
)
|
|
2
|
%
|
|
Debt retirement costs
|
|
|
-
|
|
|
-
|
|
|
|
-
|
|
|
-
|
|
|
|
(17,058
|
)
|
|
2
|
%
|
|
|
-
|
|
|
-
|
|
|
Earnings before income taxes
|
|
|
18,620
|
|
|
4
|
%
|
|
|
35,350
|
|
|
7
|
%
|
|
|
3,063
|
|
|
-
|
|
|
|
51,270
|
|
|
6
|
%
|
|
Income tax (provision) benefit
|
|
|
(6,962
|
)
|
|
1
|
%
|
|
|
(13,861
|
)
|
|
3
|
%
|
|
|
7,713
|
|
|
1
|
%
|
|
|
(26,055
|
)
|
|
3
|
%
|
|
Net earnings
|
|
$
|
11,658
|
|
|
2
|
%
|
|
$
|
21,489
|
|
|
5
|
%
|
|
$
|
10,776
|
|
|
1
|
%
|
|
$
|
25,215
|
|
|
3
|
%
|
|
Net earnings per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
0.52
|
|
|
|
|
$
|
0.92
|
|
|
|
|
$
|
0.48
|
|
|
|
|
$
|
1.08
|
|
|
|
|
Diluted
|
|
|
0.52
|
|
|
|
|
|
0.91
|
|
|
|
|
|
0.47
|
|
|
|
|
|
1.07
|
|
|
|
|
Average shares outstanding (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
22,279
|
|
|
|
|
|
23,460
|
|
|
|
|
|
22,574
|
|
|
|
|
|
23,325
|
|
|
|
|
Diluted
|
|
|
22,558
|
|
|
|
|
|
23,697
|
|
|
|
|
|
22,833
|
|
|
|
|
|
23,548
|
|
|
|
|
|
|
Clearwater Paper Corporation |
|
Condensed Consolidated Balance Sheets
|
|
Unaudited (Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
June 30,
|
|
December 31,
|
|
|
|
2013
|
|
2012
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
Cash
|
|
$
|
1,180
|
|
|
$
|
12,579
|
|
|
Restricted cash
|
|
|
1,500
|
|
|
|
-
|
|
|
Short-term investments
|
|
|
80,000
|
|
|
|
20,000
|
|
|
Receivables, net
|
|
|
169,397
|
|
|
|
154,143
|
|
|
Taxes receivable
|
|
|
8,910
|
|
|
|
20,828
|
|
|
Inventories
|
|
|
251,334
|
|
|
|
231,466
|
|
|
Deferred tax assets
|
|
|
23,976
|
|
|
|
17,136
|
|
|
Prepaid expenses
|
|
|
10,159
|
|
|
|
12,314
|
|
|
Total current assets
|
|
|
546,456
|
|
|
|
468,466
|
|
|
|
|
|
|
|
|
|
|
|
|
Property, plant and equipment, net
|
|
|
868,365
|
|
|
|
877,377
|
|
|
Goodwill
|
|
|
229,533
|
|
|
|
229,533
|
|
|
Intangible assets, net
|
|
|
44,156
|
|
|
|
47,753
|
|
|
Other assets, net
|
|
|
10,398
|
|
|
|
10,327
|
|
|
TOTAL ASSETS
|
|
$
|
1,698,908
|
|
|
$
|
1,633,456
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
Accounts payable and accrued liabilities
|
|
$
|
158,390
|
|
|
$
|
165,596
|
|
|
Current liability for pensions and other postretirement employee
benefits
|
|
|
9,137
|
|
|
|
9,137
|
|
|
Total current liabilities
|
|
|
167,527
|
|
|
|
174,733
|
|
|
|
|
|
|
|
|
|
|
|
|
Long-term debt
|
|
|
650,000
|
|
|
|
523,933
|
|
|
Liability for pensions and other postretirement employee benefits
|
|
|
196,581
|
|
|
|
204,163
|
|
|
Other long-term obligations
|
|
|
50,437
|
|
|
|
50,910
|
|
|
Accrued taxes
|
|
|
75,936
|
|
|
|
78,699
|
|
|
Deferred tax liabilities
|
|
|
60,774
|
|
|
|
60,124
|
|
|
Stockholders' equity, excluding accumulated other comprehensive
loss, net of tax
|
|
|
608,434
|
|
|
|
656,587
|
|
|
Accumulated other comprehensive loss, net of tax
|
|
|
(110,781
|
)
|
|
|
(115,693
|
)
|
|
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
$
|
1,698,908
|
|
|
$
|
1,633,456
|
|
|
|
|
Clearwater Paper Corporation |
|
Condensed Consolidated Statements of Cash Flows
|
|
Unaudited (Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30,
|
|
|
|
2013
|
|
2012
|
|
|
|
|
|
|
|
CASH FLOWS FROM OPERATING ACTIVITIES
|
|
|
|
|
|
Net earnings
|
|
$
|
10,776
|
|
|
$
|
25,215
|
|
|
Adjustments to reconcile net earnings to net cash provided by
operating activities:
|
|
|
|
|
|
Depreciation and amortization
|
|
|
45,404
|
|
|
|
39,278
|
|
|
Deferred tax (benefit) provision
|
|
|
(9,384
|
)
|
|
|
12,780
|
|
|
Equity-based compensation expense
|
|
|
5,581
|
|
|
|
3,631
|
|
|
Employee benefit plans
|
|
|
5,098
|
|
|
|
4,040
|
|
|
Deferred issuance costs and discounts on long-term debt
|
|
|
4,017
|
|
|
|
1,121
|
|
|
Disposal of plant and equipment, net
|
|
|
-
|
|
|
|
1,501
|
|
|
Changes in working capital, net
|
|
|
(43,805
|
)
|
|
|
22,621
|
|
|
Changes in taxes receivable, net
|
|
|
11,918
|
|
|
|
(3,813
|
)
|
|
Excess tax benefits from equity-based payment arrangements
|
|
|
-
|
|
|
|
(5,793
|
)
|
|
Changes in non-current accrued taxes, net
|
|
|
(2,763
|
)
|
|
|
3,526
|
|
|
Funding of qualified pension plans
|
|
|
(4,633
|
)
|
|
|
(15,525
|
)
|
|
Other, net
|
|
|
(237
|
)
|
|
|
(282
|
)
|
|
Net cash provided by operating activities
|
|
|
21,972
|
|
|
|
88,300
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM INVESTING ACTIVITIES
|
|
|
|
|
|
Changes in short-term investments, net
|
|
|
(60,000
|
)
|
|
|
35,001
|
|
|
Additions to plant and equipment
|
|
|
(31,413
|
)
|
|
|
(100,919
|
)
|
|
Proceeds from sale of assets
|
|
|
-
|
|
|
|
1,035
|
|
|
Net cash used for investing activities
|
|
|
(91,413
|
)
|
|
|
(64,883
|
)
|
|
|
|
|
|
|
|
CASH FLOWS FROM FINANCING ACTIVITIES
|
|
|
|
|
|
Proceeds from long-term debt
|
|
|
275,000
|
|
|
|
-
|
|
|
Repayment of long-term debt
|
|
|
(150,000
|
)
|
|
|
-
|
|
|
Purchase of treasury stock
|
|
|
(59,984
|
)
|
|
|
(7,469
|
)
|
|
Payments for long-term debt issuance costs
|
|
|
(4,779
|
)
|
|
|
-
|
|
|
Payment of tax withholdings on equity-based payment arrangements
|
|
|
(2,195
|
)
|
|
|
(12,965
|
)
|
|
Excess tax benefits from equity-based payment arrangements
|
|
|
-
|
|
|
|
5,793
|
|
|
Net cash provided by (used for) financing activities
|
|
|
58,042
|
|
|
|
(14,641
|
)
|
|
(Decrease) increase in cash
|
|
|
(11,399
|
)
|
|
|
8,776
|
|
|
Cash at beginning of period
|
|
|
12,579
|
|
|
|
8,439
|
|
|
Cash at end of period
|
|
$
|
1,180
|
|
|
$
|
17,215
|
|
|
|
|
Clearwater Paper Corporation |
|
Segment Information
|
|
Unaudited (Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Six Months Ended
|
|
|
|
June 30,
|
|
June 30,
|
|
|
|
2013
|
|
|
|
2012
|
|
|
|
2013
|
|
|
|
2012
|
|
|
|
Segment net sales:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer Products
|
|
$
|
289,708
|
|
|
62
|
%
|
|
$
|
283,122
|
|
|
60
|
%
|
|
$
|
574,610
|
|
|
62
|
%
|
|
$
|
560,952
|
|
|
60
|
%
|
|
Pulp and Paperboard
|
|
|
181,294
|
|
|
38
|
%
|
|
|
190,450
|
|
|
40
|
%
|
|
|
357,216
|
|
|
38
|
%
|
|
|
370,418
|
|
|
40
|
%
|
|
Total segment net sales
|
|
$
|
471,002
|
|
|
100
|
%
|
|
$
|
473,572
|
|
|
100
|
%
|
|
$
|
931,826
|
|
|
100
|
%
|
|
$
|
931,370
|
|
|
100
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer Products
|
|
$
|
14,815
|
|
|
50
|
%
|
|
$
|
25,696
|
|
|
58
|
%
|
|
$
|
24,939
|
|
|
59
|
%
|
|
$
|
51,967
|
|
|
74
|
%
|
|
Pulp and Paperboard
|
|
|
24,772
|
|
|
83
|
%
|
|
|
32,001
|
|
|
72
|
%
|
|
|
42,325
|
|
|
100
|
%
|
|
|
43,659
|
|
|
62
|
%
|
|
|
|
|
39,587
|
|
|
|
|
|
57,697
|
|
|
|
|
|
67,264
|
|
|
|
|
|
95,626
|
|
|
|
|
Corporate
|
|
|
(9,873
|
)
|
|
33
|
%
|
|
|
(13,200
|
)
|
|
30
|
%
|
|
|
(25,067
|
)
|
|
59
|
%
|
|
|
(25,481
|
)
|
|
36
|
%
|
|
Income from operations
|
|
$
|
29,714
|
|
|
100
|
%
|
|
$
|
44,497
|
|
|
100
|
%
|
|
$
|
42,197
|
|
|
100
|
%
|
|
$
|
70,145
|
|
|
100
|
%
|
|
|
|
Clearwater Paper Corporation |
|
Reconciliation of Consolidated Net Earnings to EBITDA and Adjusted
EBITDA
|
|
Unaudited (Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
Six Months Ended
|
|
|
|
June 30,
|
|
June 30,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
Net earnings
|
$
|
11,658
|
|
|
$
|
21,489
|
|
$
|
10,776
|
|
|
$
|
25,215
|
|
|
Add back:
|
|
|
|
|
|
|
|
|
Interest expense, net 1 |
|
11,094
|
|
|
|
9,147
|
|
|
39,134
|
|
|
|
18,875
|
|
|
Income tax provision (benefit)
|
|
6,962
|
|
|
|
13,861
|
|
|
(7,713
|
)
|
|
|
26,055
|
|
|
Depreciation and amortization expense
|
|
23,253
|
|
|
|
19,730
|
|
|
45,404
|
|
|
|
39,278
|
|
|
EBITDA 2 |
$
|
52,967
|
|
|
$
|
64,227
|
|
$
|
87,601
|
|
|
$
|
109,423
|
|
|
|
|
|
|
|
|
|
|
|
|
Directors' equity-based compensation (benefit) expense
|
$
|
(1,141
|
)
|
|
$
|
322
|
|
$
|
2,331
|
|
|
$
|
(95
|
)
|
|
Costs associated with announced Thomaston facility closure
|
|
1,013
|
|
|
|
-
|
|
|
1,196
|
|
|
|
-
|
|
|
Expenses associated with Metso litigation
|
|
-
|
|
|
|
958
|
|
|
-
|
|
|
|
1,948
|
|
|
Loss on sale of foam assets
|
|
-
|
|
|
|
1,014
|
|
|
-
|
|
|
|
1,014
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA 3 |
$
|
52,839
|
|
|
$
|
66,521
|
|
$
|
91,128
|
|
|
$
|
112,290
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Interest expense, net for the six months ended June
30, 2013 includes debt retirement costs of $17.1 million.
|
|
|
|
2 EBITDA is a non-GAAP measure that management uses to
evaluate the cash generating capacity of the company. The most
directly comparable GAAP measure is net earnings. EBITDA is net
earnings adjusted for net interest expense (including debt
retirement costs), income taxes, and depreciation and
amortization. It should not be considered as an alternative to net
earnings computed under GAAP.
|
|
|
|
3 Adjusted EBITDA excludes the impact of the items
listed that we do not believe are indicative of our core operating
performance.
|
|
|
|
Clearwater Paper Corporation |
|
Reconciliation of Non-GAAP Financial Measures
|
|
Unaudited (Dollars in thousands, except per-share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Six Months Ended
|
|
|
|
|
June 30,
|
|
|
June 30,
|
|
|
|
|
2013
|
2012
|
|
|
2013
|
|
2012
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net earnings
|
|
$
|
11,658
|
|
$
|
21,489
|
|
|
$
|
10,776
|
|
|
$
|
25,215
|
|
|
Special items, after-tax1 :
|
|
|
|
|
|
|
|
|
|
Loss on sale of foam assets
|
|
|
-
|
|
|
658
|
|
|
|
-
|
|
|
|
658
|
|
|
Expenses associated with Metso litigation
|
|
|
-
|
|
|
622
|
|
|
|
-
|
|
|
|
1,269
|
|
|
Debt retirement costs
|
|
|
-
|
|
|
-
|
|
|
|
10,781
|
|
|
|
-
|
|
|
Directors' equity-based compensation (benefit) expense
|
|
|
(706
|
)
|
|
209
|
|
|
|
1,488
|
|
|
|
(64
|
)
|
|
Costs associated with announced Thomaston facility closure
|
|
|
627
|
|
|
-
|
|
|
|
743
|
|
|
|
-
|
|
|
Discrete tax items related to AFMTC/CBPC credit conversions
|
|
|
-
|
|
|
(4
|
)
|
|
|
(9,766
|
)
|
|
|
5,696
|
|
|
Adjusted net earnings 2 |
|
$
|
11,579
|
|
$
|
22,974
|
|
|
$
|
14,022
|
|
|
$
|
32,775
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net earnings per diluted share
|
|
$
|
0.52
|
|
$
|
0.91
|
|
|
$
|
0.47
|
|
|
$
|
1.07
|
|
|
Special items, after-tax1 :
|
|
|
|
|
|
|
|
|
|
Loss on sale of foam assets
|
|
|
-
|
|
|
0.03
|
|
|
|
-
|
|
|
|
0.03
|
|
|
Expenses associated with Metso litigation
|
|
|
-
|
|
|
0.03
|
|
|
|
-
|
|
|
|
0.05
|
|
|
Debt retirement costs
|
|
|
-
|
|
|
-
|
|
|
|
0.47
|
|
|
|
-
|
|
|
Directors' equity-based compensation (benefit) expense
|
|
|
(0.03
|
)
|
|
0.01
|
|
|
|
0.07
|
|
|
|
-
|
|
|
Costs associated with announced Thomaston facility closure
|
|
|
0.03
|
|
|
-
|
|
|
|
0.03
|
|
|
|
-
|
|
|
Discrete tax items related to AFMTC/CBPC credit conversions
|
|
|
-
|
|
|
-
|
|
|
|
(0.43
|
)
|
|
|
0.24
|
|
|
Adjusted net earnings per diluted share 2 |
|
$
|
0.51
|
|
$
|
0.97
|
|
|
$
|
0.61
|
|
|
$
|
1.39
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 Tax effect was calculated using the estimated annual
effective tax rate for the period presented.
|
|
|
|
2 Adjusted net earnings and Adjusted net earnings per
diluted share exclude the impact of the items listed that we do
not believe are indicative of our core operating performance.
|
Clearwater Paper Corporation
News media
Matt Van Vleet,
509-344-5912
or
John Hertz, CFO, 509-344-5905
or
Investors
Sean
Butson, 509-344-5906 (IR Sense)
Source: Clearwater Paper Corporation
News Provided by Acquire Media