Wausau Paper (NYSE: WPP), Mosinee, WI, reported first quarter sales of $216.2 million, a year-over-year increase of 13 percent. Profit was $9.8 million, compared to a year-ago loss of $1.4 million.
|We Deliver Distribution News to Your Inbox
Sign up below to receive MDM Update, your free weekly distribution news update by email.
Shipments increased 16 percent to 136,000 tons.
The Tissue segments first-quarter operating profit of $9.2 million included pre-tax expense of $1.9 million related to the expansion activity and compared with prior-year operating profit of $6.3 million. Net sales and shipments increased 6 percent and 5 percent, respectively due to benefit from mid-2011 pricing actions, an improving cost structure and prior-year shipment weakness resulting from adverse weather conditions.
The Paper segment reported a first-quarter operating profit of $0.3 million, including a charge of $3.3 million relating to a natural gas transportation contract at the previously closed manufacturing facility in Groveton, NH. On a comparable basis in the prior year, Paper achieved an operating profit of $0.6 million, including pre-tax charges of $3.3 million in capital-related expense. Net sales and shipments from continuing operations increased 17 percent and 22 percent, respectively, primarily on the growth of technical paper markets.