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IP · International Paper

50 filings

10-Q

IP 10-Q Quarterly Reports

International Paper - 50 quarterly reports

Filing record · 2016–202610-K1110-Q328-K153

IP filed 11 annual reports (10-K), 32 quarterly reports (10-Q) and 153 current reports (8-K) between 2016 and 2026.

  1. Leadership change8-K · Mar ’18Mar ’18
  2. Material agreement8-K · Mar ’20Mar ’20
  3. Leadership change8-K · Apr ’22Apr ’22
  4. Impairment8-K · Aug ’25Aug ’25
  1. 2026-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2026

    International Paper reported a second-quarter 2026 net loss from continuing operations of $12 million on net sales of $6.00 billion, compared with earnings from continuing operations of $75 million on net sales of $6.14 billion in the second quarter of 2025. For the six months ended June 30, 2026, net sales were $11.98 billion and net earnings were $48 million, compared with a net loss of $30 million in the prior-year period. The company cited lower sales volumes in the quarter and special items of $54 million, including $43 million of costs tied to the separation of its PS EMEA packaging business. Adjusted EBITDA from continuing operations was $587 million in the quarter, versus $670 million a year earlier, and cash provided by operations for the six months was $1.14 billion, with free cash flow of $87 million. The company completed the sale of its Global Cellulose Fibers business to American Industrial Partners on January 23, 2026 for $1.1 billion in cash plus preferred stock with a $168 million liquidation preference, and acquired North Pacific Paper Company (NORPAC) for $368 million on June 4, 2026. Capital expenditures rose to $1.05 billion for the six months, versus $752 million a year earlier, and full-year 2026 capital expenditures are expected to be $2.0 billion to $2.1 billion. Total debt declined, with a $501 million net decrease in the first six months, and the company held BBB (stable) and Baa2 (negative) long-term ratings from S&P and Moody's. Management expects adjusted EBITDA to be sequentially higher in the third quarter in both regions, and the planned spin-off of the PS EMEA business is expected within 12 to 15 months of its January 29, 2026 announcement. The filing also discloses several legal and environmental matters, including a newly filed containerboard antitrust class action, an EPA unilateral administrative order for the Harris County northern impoundment, and a Brazil goodwill tax dispute with assessments of approximately $434 million (adjusted for currency), the majority of which the company would bear under the tax matters agreement with Sylvamo.

    Aug 5, 2026
  2. 2026-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2026

    International Paper Company's first-quarter 2026 results show net sales of $5.97 billion, up from $5.26 billion in the first quarter of 2025, with earnings from continuing operations of $76 million compared with a loss of $124 million a year earlier. Diluted earnings per share from continuing operations were $0.14, and net earnings were $60 million, or $0.11 per diluted share. The filing attributes the sales increase primarily to three months of DS Smith activity in 2026 versus two months in 2025. Adjusted EBITDA from continuing operations was $677 million versus $689 million a year earlier, and adjusted operating earnings were $81 million, or $0.15 per share, compared with $73 million, or $0.17 per share. The company completed the sale of its Global Cellulose Fibers business to American Industrial Partners on January 23, 2026, receiving cash consideration of $1.1 billion plus preferred stock with a $168 million liquidation preference. It used part of the proceeds to reduce debt by $660 million. Cash provided by operations was $611 million, and free cash flow was $94 million, compared with a $618 million outflow in the prior-year quarter. Long-term debt fell to $8.18 billion from $8.84 billion at year-end 2025. Management expects adjusted EBITDA to be sequentially lower in the second quarter across both regions, citing planned maintenance outages and freight and energy cost pressures. Strategically, the company announced an agreement to acquire North Pacific Paper Company (NORPAC) for $360 million and plans to separate its EMEA packaging business through a spin-off expected within 12 to 15 months of the January 29, 2026 announcement, with IP retaining an approximate 20% stake. The filing also discloses ongoing legal and environmental matters, including a new EPA unilateral administrative order issued April 28, 2026 for the San Jacinto northern impoundment, and a purported antitrust class action over containerboard pricing.

    May 5, 2026
  3. 2025-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2025

    International Paper Company reported a third-quarter 2025 net loss of $1.10 billion, or $(2.09) per diluted share, compared with net earnings of $150 million in the third quarter of 2024. The loss reflects $1.0 billion of net pre-tax impairment on the Global Cellulose Fibers business, which is now presented as discontinued operations, and $675 million of accelerated depreciation tied to mill closures. Loss from continuing operations was $(426) million, or $(0.81) per diluted share, versus $111 million, or $0.31 per diluted share, a year earlier. Net sales rose to $6.22 billion from $3.98 billion, primarily reflecting the DS Smith acquisition completed January 31, 2025, which contributed $2.2 billion of third-quarter net sales. Management reported Adjusted operating earnings (loss) of $(224) million, or $(0.43) per diluted share, and, beginning in the third quarter, introduced Adjusted EBITDA from continuing operations of $859 million, a 28% sequential increase. Management attributed the sequential improvement to price realization, cost management and lower fiber costs. For the fourth quarter, the company expects lower Adjusted EBITDA in PS NA on lower volumes and three fewer shipping days, and higher Adjusted EBITDA in PS EMEA. Cash flow is under pressure: cash provided by operations was $793 million for the first nine months of 2025 versus $1.28 billion a year earlier, and free cash flow was $(414) million, against $620 million in the prior-year period. Capital expenditures were $1.21 billion, with full-year 2025 capital expenditures expected at $1.8 billion to $1.9 billion. Total debt rose to about $9.96 billion, and the company reported that it was in compliance with its debt covenants and held BBB (stable) and Baa2 (stable) ratings from S&P and Moody's. The pending sale of the Global Cellulose Fibers business to American Industrial Partners for $1.5 billion, subject to closing adjustments, is expected to close by year-end 2025, subject to regulatory approvals.

    Nov 6, 2025
  4. 2025-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2025

    International Paper Company reported net earnings of $75 million ($0.14 per diluted share) for the second quarter of 2025, compared with a net loss of $(105) million in the first quarter of 2025 and net earnings of $498 million in the second quarter of 2024. Net sales were $6.77 billion in the quarter, up from $4.73 billion a year earlier, reflecting the acquisition of DS Smith, which closed on January 31, 2025. For the six months ended June 30, 2025, the company reported a net loss of $(30) million and net sales of $12.67 billion, compared with net earnings of $554 million and net sales of $9.35 billion in the prior-year period. Adjusted operating earnings were $105 million ($0.20 per diluted share) in the second quarter of 2025, compared with $193 million ($0.55 per diluted share) in the second quarter of 2024. Cash flow and balance sheet changes were significant. Cash provided by operations was $188 million for the first six months of 2025, versus $760 million a year earlier, and free cash flow was $(564) million, as capital expenditures rose to $752 million. Total assets increased to $42.38 billion from $22.80 billion at December 31, 2024, and long-term debt rose to $9.69 billion from $5.37 billion. The company sold five European box plants to Palm Group for €125 million, recording a net gain of $51 million, and is pursuing strategic options for its Global Cellulose Fibers business, with no assurance of a transaction. Management reports that tariffs and softer demand, particularly in EMEA, are weighing on industrial production and box demand, and a containerboard antitrust class action was filed on July 29, 2025, with its outcome not yet estimable.

    Aug 7, 2025
  5. 2025-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2025

    International Paper Company reported a net loss of $(105) million, or $(0.24) per diluted share, for the first quarter of 2025, compared with net earnings of $56 million ($0.16 per diluted share) in the first quarter of 2024. Net sales rose to $5,901 million from $4,619 million, driven by the addition of the DS Smith business, which was acquired on January 31, 2025 in a share-based transaction with a purchase consideration of approximately $9.9 billion. Results included $249 million of net special items expense, largely DS Smith combination costs of $221 million and severance and other costs of $83 million, including the closure of the Red River containerboard mill in Campti, Louisiana. Adjusted operating earnings were $101 million ($0.23 per diluted share), compared with $61 million ($0.17 per diluted share) in the first quarter of 2024. The company stated that North American industry demand declined year over year and that it expects that trend to continue into the second quarter of 2025, citing tariff-related uncertainty. Cash used for operations was $(288) million, compared with cash provided of $395 million a year earlier, and free cash flow was $(618) million. The company attributed the cash outflow primarily to the timing of its annual incentive compensation payout and about $670 million of total significant payments, including DS Smith transaction costs. Total debt rose, with long-term debt of $9,175 million at March 31, 2025, versus $5,368 million at December 31, 2024. Total equity increased to $18,092 million from $8,173 million, reflecting the share issuance for the acquisition. The company also agreed to divest five European plants as a condition of European Commission clearance, with a closing expected by the end of the second quarter of 2025. Full-year 2025 capital expenditures are currently expected to be approximately $1.8 billion to $1.9 billion. The company reported it was in compliance with its debt covenants at March 31, 2025, and held long-term credit ratings of BBB (stable outlook) from S&P and Baa2 (stable outlook) from Moody's.

    May 7, 2025
  6. 2024-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2024

    International Paper Company's Form 10-Q for the quarter ended September 30, 2024 reports third-quarter net sales of $4,686 million, up from $4,613 million a year earlier, and net earnings of $150 million ($0.42 per diluted share), compared with $165 million ($0.47 per diluted share) in the third quarter of 2023. Adjusted operating earnings were $153 million ($0.44 per diluted share), versus $224 million ($0.64 per diluted share) in the prior-year quarter. For the nine months, net sales were $14,039 million and net earnings were $704 million ($1.99 per diluted share). Results were supported by higher sales prices, while selling and administrative expenses rose sharply to $508 million in the quarter from $286 million, and restructuring and other charges of $56 million were recorded. Income tax benefits from an internal legal entity restructuring ($338 million in the second quarter and $78 million in the third quarter) strongly affected reported results. The company is executing an 80/20 strategic approach that includes a corporate overhead restructuring plan targeting approximately 650 employees with aggregate pre-tax charges of about $80 million, closure of five North American packaging plants in the fourth quarter, and the October 31, 2024 announcement of a permanent closure of its Georgetown, South Carolina pulp mill with pre-tax charges of about $270 million, mostly accelerated depreciation. The company also announced a review of strategic options for its Global Cellulose Fibers business. Free cash flow was $620 million for the first nine months of 2024, versus $505 million a year earlier, and dividends paid were $482 million. The pending acquisition of DS Smith Plc is progressing: DS Smith shareholders and International Paper shareholders approved the transaction in October 2024, the HSR waiting period expired, and the combination remains subject to European Commission antitrust clearance, with completion expected early in the first quarter of 2025. Total debt was $5.6 billion at September 30, 2024, and the company was in compliance with its debt covenants.

    Nov 1, 2024
  7. 2024-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2024

    International Paper Company reported net earnings of $498 million ($1.41 per diluted share) for the second quarter of 2024, compared with $235 million ($0.68 per diluted share) in the second quarter of 2023. For the six months ended June 30, 2024, net earnings were $554 million, versus $407 million a year earlier, and net sales were $9.35 billion, compared with $9.70 billion. The quarter's results were boosted by a $338 million deferred tax benefit tied to an internal legal entity restructuring. The company reported Adjusted operating earnings of $193 million ($0.55 per diluted share) for the second quarter, against $204 million ($0.59 per diluted share) a year earlier. Management said Industrial Packaging volumes came in below expectations and that it expects third-quarter 2024 earnings to be negatively affected by a reliability and capacity reset, higher maintenance outage expense and seasonally lower sales volumes. Cash provided by operations was $760 million for the first six months of 2024, down from $873 million, and free cash flow was $311 million, up from $265 million. Cash and temporary investments stood at $1.05 billion at June 30, 2024, and total debt-related figures include $5.6 billion of debt with an estimated fair value of $5.2 billion. Total equity was $8.60 billion. The company has agreed to acquire DS Smith Plc in an all-stock transaction valued at an implied enterprise value of approximately $9.9 billion. Pro forma ownership would be 66.3% for IP shareholders and 33.7% for DS Smith shareholders, and the transaction is expected to close in the fourth quarter of 2024, subject to shareholder approvals and regulatory clearances in Europe. The filing also details several contingent liabilities, including a Brazil goodwill tax matter with assessments totaling approximately $354 million (adjusted for currency variation), environmental reserves of approximately $270 million, and an Italian antitrust fine that remains under appeal. Credit ratings were stated as BBB (stable) from S&P and Baa2 (stable) from Moody's.

    Jul 26, 2024
  8. 2024-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2024

    International Paper Company's first-quarter 2024 results show net sales of $4.62 billion, down from $5.02 billion in the first quarter of 2023, and net earnings of $56 million ($0.16 per diluted share), compared with $172 million ($0.49 per diluted share) a year earlier. Adjusted operating earnings were $61 million ($0.17 per diluted share) versus $185 million ($0.53 per diluted share) in the prior-year quarter. Management describes the first quarter as an earnings trough driven by seasonally lower volumes, negative price flow-through from 2023 index movements, higher recovered fiber costs, and about $52 million of impacts from a January freeze and the Ixtac, Mexico box plant fire. Industrial Packaging operating profit fell to $216 million from $322 million, while Global Cellulose Fibers posted a $47 million operating loss. Management points to improved sales price indexes and a second-quarter outlook with higher Industrial Packaging price and mix. Cash provided by operations was $395 million and free cash flow was $144 million, compared with $4 million a year earlier. Cash and temporary investments ended the quarter at $1.07 billion, and total debt was $5.6 billion. Shareholders' equity was $8.26 billion, and the company paid $161 million in dividends. Full-year 2024 capital spending is expected to be $800 million to $1.0 billion. The most significant subsequent event is the April 16, 2024 announcement of a recommended all-stock offer to acquire DS Smith Plc, with an implied enterprise value of approximately $9.9 billion. IP shareholders would own 66.3% of the combined company and DS Smith shareholders 33.7%, with closing expected in the fourth quarter of 2024 subject to shareholder, regulatory and other approvals. The filing also discloses ongoing environmental and tax litigation, including a Brazilian tax matter where the Company bears most of any assessment.

    Apr 26, 2024
  9. 2023-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2023

    International Paper Company's Form 10-Q for the quarter ended September 30, 2023 reports third-quarter net sales of $4.6 billion, down from $5.4 billion in the third quarter of 2022, and net earnings of $165 million, or $0.47 per diluted share, compared with $951 million, or $2.64 per diluted share, a year earlier. Adjusted operating earnings were $224 million ($0.64 per diluted share), versus $300 million ($0.83 per diluted share) in the third quarter of 2022. Nine-month net sales were $14.3 billion, compared with $16.0 billion, and nine-month net earnings were $572 million, compared with $1.82 billion. Management cited lower average sales prices and unfavorable mix as the largest headwind, partly offset by lower raw material and freight costs. Industrial Packaging operating profit was $325 million in the quarter, and Global Cellulose Fibers operating profit was $27 million. The company completed the sale of its Ilim investment on September 18, 2023, for $484 million for its 50% stake plus $24 million for its Ilim Group shares, and says it no longer has investments in Russia. Free cash flow for the first nine months was $505 million, compared with $804 million a year earlier, with capital project investments of $836 million. Cash and temporary investments rose to $1.15 billion at September 30, 2023, from $804 million at December 31, 2022. Long-term debt was $5.55 billion. In October 2023, after the period end, the company announced plans to close its containerboard mill in Orange, Texas, and to cease production on two pulp machines at its Riegelwood, North Carolina and Pensacola, Florida mills. The filing estimates pre-tax noncash write-off and accelerated depreciation charges of approximately $395 million and $200 million, respectively, plus cash severance and shutdown charges of approximately $55 million and $14 million, all expected in the fourth quarter of 2023.

    Oct 27, 2023
  10. 2023-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2023

    International Paper Company's second quarter 2023 results show net sales of $4.68 billion, down from $5.39 billion in the second quarter of 2022, and net earnings of $235 million, or $0.68 per diluted share, compared with $511 million, or $1.38 per diluted share, a year earlier. Adjusted operating earnings were $204 million ($0.59 per diluted share). Management attributes the softness to weak volumes from customer inventory destocking and lower prices across the portfolio, partly offset by lower raw material, energy and freight costs. Total business segment operating profit was $334 million, compared with $585 million in the second quarter of 2022. Industrial Packaging operating profit fell to $304 million from $560 million, while Global Cellulose Fibers rose to $30 million from $25 million. For the first six months of 2023, net sales were $9.70 billion and net earnings were $407 million. Cash provided by operations was $873 million, and free cash flow was approximately $265 million, versus $607 million a year earlier. The company returned $200 million to shareowners in the quarter, including $160 million of dividends and $40 million of share repurchases. Management expects full-year 2023 capital spending of $1.1 billion to $1.2 billion. The company is selling its 50% interest in the Ilim joint venture for $484 million, pending Russian competition authority approval. It recorded impairments of $33 million in the second quarter and $76 million year to date on that investment. The filing also highlights ongoing risks. A Brazilian tax assessment against Sylvamo Brazil could be material, with the Company bearing 60% of the first $300 million of any assessment and all amounts above that. Environmental and asbestos reserves remain on the balance sheet. The Company was in compliance with its debt covenants at June 30, 2023, and held long-term credit ratings of BBB (stable outlook) from S&P and Baa2 (stable outlook) from Moody's.

    Jul 28, 2023
  11. 2023-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2023

    International Paper Company's first quarter 2023 results show net sales of $5.02 billion, down from $5.24 billion in the first quarter of 2022. Net earnings were $172 million ($0.49 per diluted share), compared with $360 million ($0.95 per diluted share) in the first quarter of 2022, which included $93 million of discontinued operations. Adjusted operating earnings were $185 million ($0.53 per diluted share). Total business segment operating profit was $306 million, versus $348 million a year earlier. Industrial Packaging operating profit fell to $322 million from $397 million, while Global Cellulose Fibers posted an operating loss of $16 million, improved from a $49 million loss. Management cited a weaker demand environment in the latter half of the quarter driven by customer inventory destocking, and expects destocking to run its course through the second quarter, with improved demand in the second half of 2023. Cash provided by operations was $345 million, and free cash flow was approximately $4 million, compared with $403 million a year earlier. The first quarter included a $193 million final payment to the IRS for the timber monetization restructuring settlement. The company returned $319 million to shareowners, including $157 million of share repurchases, and ended the quarter with $636 million in cash and temporary investments and total debt of about $5.8 billion. Long-term debt rose to $5.47 billion, reflecting a new $600 million term loan. The filing also reports that the agreement to sell the company's Ilim joint venture interest for $484 million remains subject to closing conditions, including a pending approval from the Russian competition authority. The company recorded a $43 million impairment on its Ilim investments, which are now classified as discontinued operations and held for sale. The filing also details ongoing legal and environmental matters, including a Brazilian goodwill tax dispute involving Sylvamo Brazil and environmental remediation reserves of approximately $240 million, and reports that the company was in compliance with its debt covenants at March 31, 2023.

    Apr 28, 2023
  12. 2022-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2022

    International Paper Company's third-quarter 2022 results show net sales of $5.4 billion, up from $4.9 billion in the third quarter of 2021, and net earnings attributable to the company of $951 million ($2.64 per diluted share), compared with $864 million ($2.20 per diluted share) a year earlier. Results were lifted by a $604 million one-time tax benefit tied to the settlement of the timber monetization restructuring tax matter with the IRS and a $668 million tax benefit from net special items. Adjusted operating earnings were $364 million ($1.01 per diluted share), down from $431 million ($1.10 per diluted share) in the third quarter of 2021. Total business segment operating profit was $464 million, versus $490 million a year earlier. Management said demand for packaging weakened across all channels in the quarter, with Industrial Packaging operating profit of $369 million, while Global Cellulose Fibers operating profit rose to $95 million from $76 million. Cash provided by operations was $1.4 billion for the first nine months of 2022, compared with $1.9 billion a year earlier, and free cash flow was $804 million, versus $1.6 billion. The company returned $434 million to shareowners in the third quarter, including $269 million of share repurchases, and its Board authorized an additional $1.5 billion of share repurchases in October 2022. Management expects fourth-quarter 2022 Industrial Packaging volumes to be lower, with operating costs significantly higher, and notes the ongoing Russia-Ukraine conflict could adversely affect its 50% stake in the Ilim joint venture, which the company is exploring selling. Total debt was $5.4 billion at September 30, 2022, with cash and temporary investments of $511 million, and the company stated it was in compliance with its debt covenants. The filing also discloses a $93 million pre-tax charge for early debt extinguishment costs and a $1.0 billion-plus reduction in equity from share repurchases and dividends year to date.

    Oct 28, 2022
  13. 2022-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2022

    International Paper Company reported second-quarter 2022 net earnings attributable to the company of $511 million, or $1.38 per diluted share, compared with $360 million, or $0.95 per diluted share, in the first quarter of 2022 and $432 million, or $1.09 per diluted share, in the second quarter of 2021. Net sales were $5.39 billion for the quarter, up from $4.77 billion in the second quarter of 2021, and $10.63 billion for the first six months of 2022 versus $9.36 billion a year earlier. Management attributed the results to continued strong price realization and solid operating performance, partly offset by higher raw material, energy and freight costs. Adjusted operating earnings were $459 million ($1.24 per diluted share) in the second quarter of 2022. Total business segment operating profit was $585 million in the quarter, with Industrial Packaging contributing $560 million. Cash flow and capital returns remained a focus. Cash provided by operations was $978 million for the first six months of 2022, compared with $1,278 million a year earlier, and free cash flow was $607 million. The company returned $1.1 billion to shareholders in the first half of 2022, including $344 million in dividends and $823 million in share repurchases and tax withholdings. Total debt of $5.6 billion carried a fair value of about $5.5 billion, and the company reported no borrowings under its $1.5 billion committed bank facility or its receivables securitization program. Management said it was exploring strategic options for its 50% interest in the Ilim joint venture in Russia and for its remaining stake in Sylvamo Corporation, both of which face risks tied to the Russia-Ukraine conflict. Legal and tax matters remain relevant to investors. The filing discloses a Brazilian goodwill tax matter involving Sylvamo Brazil with assessments of approximately $114 million in tax and $355 million in interest, penalties and fees, for which the company has recorded a $48 million liability. The company also reported a $198 million probable environmental remediation liability and a $106 million asbestos-related liability, net of estimated insurance recoveries. The company also has a deferred tax liability of $813 million associated with its 2015 financing entities, which is under IRS examination.

    Jul 29, 2022
  14. 2022-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2022

    International Paper Company's first-quarter 2022 results, as filed on Form 10-Q on April 29, 2022, show net sales of $5.24 billion, up from $4.59 billion in the first quarter of 2021, and net earnings attributable to the company of $360 million, or $0.95 per diluted share, compared with $349 million, or $0.88 per diluted share, a year earlier. Adjusted operating earnings were $288 million ($0.76 per diluted share), against $198 million ($0.50 per diluted share) in the first quarter of 2021. Management cited higher average sales prices and favorable mix ($418 million versus the prior-year quarter) as the main driver, partly offset by higher raw material and freight costs ($58 million), higher mill maintenance outage costs ($256 million) and higher operating costs ($92 million). Global Cellulose Fibers remained at an operating loss of $49 million, though it improved from a loss of $81 million a year earlier. Cash provided by operations was $588 million and free cash flow was approximately $403 million, compared with $512 million and $423 million in the prior-year period. The company returned $580 million to shareholders in the quarter, including $174 million in dividends and $428 million in share repurchases and tax withholding payments. Total debt was $5.7 billion at March 31, 2022, and the balance sheet included $1.03 billion of cash and temporary investments. Management stated that it is exploring options, including a sale of its 50% equity interest in Ilim S.A., and that it intends to monetize its remaining 19.9% stake in Sylvamo Corporation, a stake later reduced to approximately 10.5% after an April 2022 exchange of shares for a term loan repayment. The filing also highlights Russia-Ukraine conflict risks to the Ilim joint venture and to the Sylvamo stake. The filing also discloses a Brazil goodwill tax matter in which assessments total approximately $123 million in tax and $414 million in interest, penalties and fees, of which the company will pay 60% of up to $300 million under the tax matters agreement with Sylvamo. The company recorded a liability of $48 million for this contingency. Environmental remediation liabilities were estimated at approximately $182 million, and the Kalamazoo River appellate court reversed a judgment on April 25, 2022.

    Apr 29, 2022
  15. 2021-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2021

    International Paper Company's Form 10-Q for the quarter ended September 30, 2021 reports third-quarter net earnings attributable to International Paper of $864 million ($2.20 per diluted share), compared with $204 million ($0.52 per diluted share) in the third quarter of 2020. Net sales were $5.71 billion for the quarter, up from $5.12 billion a year earlier, and $16.69 billion for the first nine months versus $15.34 billion. The company reports Adjusted operating earnings of $532 million ($1.35 per diluted share) for the quarter, a non-GAAP measure. Results benefited from higher average sales prices and favorable mix, a $360 million pre-tax gain on the sale of the Kwidzyn, Poland mill, and an $86 million gain on the sale of a La Mirada, California distribution center, while input costs, particularly fiber and energy, rose sharply. The filing is dominated by the October 1, 2021 spin-off of the Printing Papers segment and certain related businesses into Sylvamo Corporation. International Paper retained a 19.9% stake in Sylvamo, which it accounts for at fair value and intends to monetize within one year, and received a payment of $1.4 billion from Sylvamo. Operating results of Sylvamo and Kwidzyn will be presented as discontinued operations in the fourth quarter. Cash provided by operations was $1.92 billion for the first nine months of 2021, and free cash flow was $1.58 billion. Cash and temporary investments rose to $2.12 billion, with $1.50 billion of restricted cash tied to Sylvamo's debt, and total debt was reduced through early extinguishments. The company expects continued strong demand for corrugated packaging in the fourth quarter, with higher input costs and supply chain constraints remaining headwinds. The filing also discloses a Brazilian tax assessment that the company says it will vigorously contest, with the Company paying 60% of up to $300 million of any assessment under the tax matters agreement with Sylvamo and all amounts above that, and it notes that a liability for this contingent obligation could be material. The board authorized an additional $2 billion in share repurchases on October 12, 2021, and the quarterly dividend was reduced to $0.4625 per share for the fourth quarter.

    Oct 28, 2021
  16. 2021-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2021

    International Paper Company's Form 10-Q for the quarter ended June 30, 2021 reports second-quarter net earnings attributable to the company of $432 million ($1.09 per diluted share), compared with $349 million ($0.88 per diluted share) in the first quarter of 2021 and $266 million ($0.67 per diluted share) in the second quarter of 2020. Net sales were $5.62 billion for the quarter, up from $4.87 billion a year earlier, and $10.98 billion for the first six months versus $10.22 billion. Management reported Adjusted operating earnings of $421 million ($1.06 per diluted share) for the quarter, and cited higher average sales prices and a favorable mix, offset by higher raw material and freight costs and higher mill maintenance outage costs. Cash provided by operations was $1.28 billion for the first six months of 2021, versus $1.54 billion a year earlier, and free cash flow was $1.06 billion. The company reduced debt by $796 million in the second quarter, returned $258 million to shareholders through dividends and share repurchases, and monetized its remaining Graphic Packaging investment for about $400 million. Long-term debt fell to $7.07 billion from $8.06 billion at year-end 2020. The company agreed to sell its Kwidzyn, Poland mill for €670 million (about $794 million), expected to close in the third quarter of 2021, and plans to complete the spin-off of its Printing Papers business, to be named Sylvamo, on October 1, 2021. The filing also discloses significant contingent matters, including a Brazilian tax assessment totaling about $116 million in tax and $376 million in interest, penalties and fees, and a $112 million recorded liability for asbestos-related claims. The company also disclosed that the Brazilian VAT matter was fully resolved in the second quarter, producing $70 million of income. The Timber Notes and related extension loans of the variable interest entities mature in August 2021, with expected cash proceeds of approximately $0.6 billion.

    Jul 30, 2021
  17. 2021-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2021

    International Paper Company reported net earnings attributable to International Paper of $349 million, or $0.88 per diluted share, for the first quarter of 2021, compared with $153 million, or $0.39 per diluted share, in the fourth quarter of 2020 and a loss of $141 million, or $(0.36) per diluted share, in the first quarter of 2020. Net sales were $5.36 billion, essentially flat with $5.35 billion a year earlier. Adjusted Operating Earnings were $299 million ($0.76 per diluted share), up from $226 million ($0.57 per diluted share) in the first quarter of 2020. Management cited a winter storm that reduced pre-tax earnings by $80 million, along with higher input costs for energy, recovered fiber and transportation. Cash provided by operations was $512 million and free cash flow was approximately $423 million, versus $363 million a year earlier. The company is pursuing a spin-off of its Printing Papers segment, expected to be completed late in the third quarter of 2021, and in the filing it names the standalone company as Sylvamo Corporation. International Paper will retain up to 19.9% of the spun-off company. Other portfolio actions include an agreement to sell the Kwidzyn, Poland mill for €670 million (approximately $786 million), expected to close in the second half of 2021, and an agreement to sell Olmuksan International Paper for €66 million (approximately $78 million), expected to close in the second quarter of 2021. The company also sold a portion of its Graphic Packaging holdings for a pre-tax gain of $74 million. Balance sheet items to note include $787 million of cash and temporary investments at March 31, 2021, and $8.0 billion of debt with an estimated fair value of approximately $9.6 billion. About $4.8 billion of Timber Notes and $4.2 billion of Extension Loans tied to variable interest entities mature in August 2021, and management expects to settle them with approximately $0.6 billion of cash proceeds. Liquidity includes $2.1 billion of credit agreements, and the company stated it was in compliance with its debt covenants. The filing also discloses an ongoing Brazilian tax dispute with assessments of approximately $105 million in tax and $338 million in interest, penalties and fees.

    Apr 30, 2021
  18. 2020-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2020

    International Paper Company's third-quarter 2020 Form 10-Q reports net sales of $5.12 billion, down from $5.57 billion in the third quarter of 2019, and net earnings attributable to International Paper of $204 million ($0.52 per diluted share), compared with $344 million ($0.87 per diluted share) a year earlier. Adjusted Operating Earnings were $280 million ($0.71 per diluted share). For the first nine months of 2020, net sales were $15.34 billion and net earnings attributable to the company were $329 million, including a pre-tax charge of $347 million related to the planned sale of its Brazilian Industrial Packaging business, which closed after September 30, 2020. Cash provided by operations was $2.27 billion and free cash flow was $1.62 billion for the nine months. Management reduced debt by $760 million in the quarter and $1.1 billion year to date, and it indefinitely suspended its share repurchase program in April 2020. The filing describes a significant negative effect of COVID-19 on demand for printing papers, while demand for corrugated packaging accelerated in the third quarter and continued into the fourth quarter. Management expects Industrial Packaging volumes to decrease modestly in the fourth quarter, with higher input costs, and it expects capital spending of approximately $800 million for 2020. Liquidity actions include a $750 million 364-day revolving credit agreement, a committed $550 million receivables securitization program, and deferral of employer payroll taxes under the CARES Act. A key near-term item for investors is $4.22 billion of third-party extension loans held by variable interest entities that mature in November and December 2020. Management says it is negotiating an extension to August 2021 and expects to complete it before maturity. The filing also discloses a Brazilian tax dispute with assessments of approximately $107 million in tax and $342 million in interest, penalties and fees, and an environmental reserve of approximately $186 million.

    Oct 30, 2020
  19. 2020-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2020

    International Paper Company reported net sales of $4.87 billion for the second quarter of 2020, down from $5.67 billion in the second quarter of 2019, and net earnings attributable to International Paper of $266 million ($0.67 per diluted share), compared with $292 million ($0.73 per diluted share) a year earlier. For the first half of 2020, net sales were $10.22 billion and net earnings attributable to the company were $125 million ($0.32 per diluted share), reflecting a $344 million pre-tax charge in the first quarter tied to the agreed sale of the Brazilian Industrial Packaging business. Adjusted Operating Earnings were $305 million ($0.77 per diluted share) in the second quarter, versus $460 million ($1.15 per diluted share) in the second quarter of 2019. Management reported cash from operations of $1.5 billion and free cash flow of about $1.0 billion for the first six months of 2020. The filing states that COVID-19 has significantly reduced demand for printing papers across all regions, while demand for corrugated packaging and fluff pulp has remained resilient. Printing Papers net sales fell 46% year over year in the second quarter, and the company said it is unable to fully quantify the pandemic's full-year 2020 impact. Management has taken liquidity actions, including a new $750 million 364-day revolving credit agreement, committed receivables securitization of up to $550 million, a roughly $200 million reduction in planned 2020 capital spending to about $800 million, and the indefinite suspension of its share repurchase program beginning April 2020. Investors should also note the $4.2 billion of third-party loans tied to variable interest entities maturing in the fourth quarter of 2020 unless extended, as well as ongoing environmental, Brazilian tax, and litigation matters. The company ended the quarter with $847 million in cash and temporary investments, $32.5 billion in total assets, and total equity of $7.06 billion. Long-term debt was $9.43 billion, and the company stated it was in compliance with its debt covenants at June 30, 2020.

    Jul 31, 2020
  20. 2020-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2020

    International Paper Company reported a first-quarter 2020 net loss attributable to International Paper of $(141) million, or $(0.36) per diluted share, compared with net earnings of $424 million ($1.05 per diluted share) in the first quarter of 2019. Net sales declined to $5,352 million from $5,643 million. The loss was driven largely by a $344 million pre-tax charge on the planned sale of the Brazilian Industrial Packaging business, which included a $324 million cumulative foreign currency translation loss. Adjusted Operating Earnings were $226 million ($0.57 per diluted share), versus $447 million ($1.11 per diluted share) a year earlier. Business segment operating profit fell to $512 million from $600 million. The filing states that COVID-19 has had a significant negative impact on demand for printing papers, and that demand for pulp, containerboard and corrugated box products is expected to be unfavorably affected if negative economic conditions persist or deteriorate. The company says it is unable to fully quantify the pandemic's full-year 2020 impact. Management has taken liquidity measures, including a new $750 million 364-day revolving credit agreement, amending the receivables securitization program to committed financing, reducing 2020 capital spending by approximately $350 million to about $600 million, and indefinitely suspending share repurchases beginning April 2020. Cash and temporary investments rose to $1,239 million from $511 million at year-end 2019, and cash provided by operations was $649 million. The filing also highlights ongoing contingent exposures, including a Brazilian tax assessment of approximately $115 million in tax and $365 million in interest, penalties and fees, the Harris County San Jacinto environmental matter with a $55 million reserve for the northern impoundment, and the Kalamazoo River Superfund litigation. Management believes loss contingencies will not have a material effect on the consolidated financial position or liquidity, but acknowledges that future adverse developments could be material to results of operations or cash flows in a given period.

    May 1, 2020
  21. 2019-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2019

    International Paper Company reported net sales of $5.57 billion for the third quarter of 2019, down from $5.90 billion in the third quarter of 2018, and net earnings attributable to the company of $344 million, or $0.87 per diluted share, compared with $562 million, or $1.37 per diluted share, a year earlier. Adjusted Operating Earnings were $431 million ($1.09 per diluted share) versus $641 million ($1.56 per diluted share) in the prior-year quarter. Management attributed the quarter to mixed demand, lower average sales prices and unfavorable mix, and lower export containerboard and pulp shipments, partly offset by lower mill maintenance outage costs and lower raw material and freight costs. For the first nine months of 2019, cash provided by operations was $2.68 billion and free cash flow was $1.77 billion, and the company returned $1.1 billion to shareholders through dividends and share repurchases while reducing debt by $400 million. The quarter also included several special items, notably a $32 million Italian antitrust fine and a $151 million nine-month impairment related to the India business, which was sold in an agreement announced May 29, 2019 and closed October 30, 2019. The company's Industrial Packaging segment generated the bulk of operating profit, at $510 million for the quarter, while Global Cellulose Fibers posted a $3 million operating loss. Management expects lower price and mix in the fourth quarter, partly offset by seasonally improved volume and significantly lower maintenance outage costs. Balance sheet items include total assets of $33.85 billion, total debt of $10.4 billion with a fair value of approximately $11.4 billion, and credit ratings of BBB (stable) from S&P and Baa2 (stable) from Moody's. The company also disclosed a Brazilian tax dispute with assessments of approximately $146 million in tax and $379 million in interest and penalties, which it is appealing and intends to vigorously defend.

    Nov 1, 2019
  22. 2019-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2019

    International Paper Company's second-quarter 2019 results show net sales of $5.67 billion, compared with $5.83 billion in the second quarter of 2018, and net earnings attributable to International Paper of $292 million ($0.73 per diluted share). That compares with $424 million ($1.05 per diluted share) in the first quarter of 2019 and $405 million ($0.97 per diluted share) in the second quarter of 2018. Adjusted Operating Earnings, a non-GAAP measure, were $460 million ($1.15 per diluted share). Results were pressured by lower export containerboard and pulp prices, higher mill maintenance outage costs of $81 million versus the prior quarter, and net special items of $162 million, which were driven mainly by a $145 million India impairment and a $152 million pre-tax charge tied to the agreed sale of the APPM India paper business. Cash generation remained strong. Cash provided by operations was $1.80 billion for the first six months of 2019, and free cash flow was $1.17 billion. The company returned about $810 million to shareholders through dividends and share repurchases in the first half, including a $239 million cash dividend from the Ilim joint venture in the second quarter. Total debt was $10.7 billion, and the company held BBB (stable) and Baa2 (stable) long-term ratings from S&P and Moody's. Management expects third-quarter 2019 results to show lower price and mix across segments, improved seasonal volume, lower input costs and significantly lower maintenance outages. The company also closed an acquisition of two packaging businesses from DS Smith for about $83 million on June 28, 2019, and faces a contingent Brazilian tax assessment and an appeal of a $137 million Signature judgment.

    Jul 31, 2019
  23. 2019-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2019

    International Paper Company's first-quarter 2019 Form 10-Q, signed May 3, 2019, reports net sales of $5,643 million, up from $5,621 million in the first quarter of 2018. Net earnings attributable to International Paper were $424 million, or $1.05 per diluted share, compared with $729 million ($1.74 per diluted share) a year earlier. The prior-year figure included $368 million from discontinued operations, so earnings from continuing operations were $424 million versus $361 million. Adjusted Operating Earnings, a non-GAAP measure, were $447 million ($1.11 per diluted share), compared with $395 million ($0.94 per diluted share) in the first quarter of 2018. Management attributed the quarter to strong operational performance and cost management in a lower-demand, heavy-downtime quarter in North America, with weaker export containerboard and absorbent pulp shipments as customers destocked. Cash generation was the quarter's clearest strength. Cash provided by operations was $733 million, versus $663 million a year earlier, and capital investments fell to $293 million from $489 million. Free cash flow, a non-GAAP measure, was approximately $440 million, compared with $174 million. The company returned $381 million to shareholders through $201 million in dividends and $180 million in share repurchases, and it reduced debt early by $94 million. Total debt was $10.8 billion at March 31, 2019, with a fair value of approximately $11.2 billion. Full-year 2019 capital spending is expected to be about $1.4 billion. Looking ahead, management expects stronger seasonal demand in the second quarter, with the highest planned maintenance outage quarter of the year and lower Ilim equity earnings from higher outages. Price and mix are expected to weigh on North American Industrial Packaging and Global Cellulose Fibers. The filing also discloses a pending Brazilian tax assessment totaling approximately $158 million in tax and $401 million in interest and penalties, which the company intends to contest, and a Signature lawsuit judgment that the company has appealed and expects to be immaterial. A subsequent event on April 16, 2019 describes an agreement to acquire a DS Smith French subsidiary and a Portuguese box plant for approximately $71 million.

    May 3, 2019
  24. 2018-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2018

    International Paper Company's third-quarter 2018 Form 10-Q shows net sales of $5,901 million for the three months ended September 30, 2018, up from $5,517 million a year earlier, and net earnings attributable to International Paper Company of $562 million, or $1.37 per diluted share, compared with $395 million, or $0.95 per diluted share, in the third quarter of 2017. For the nine months, net sales were $17,355 million and net earnings attributable to the company were $1,696 million ($4.08 per diluted share), with nine-month results including $345 million of discontinued operations income tied to the transfer of the North American Consumer Packaging business to Graphic Packaging. Management attributed the quarter's results to higher average sales prices and favorable mix, with business segment operating profits of $738 million. Cash provided by operations rose to $2,405 million for the first nine months of 2018 from $569 million a year earlier, and free cash flow was approximately $1.1 billion. The filing also flags several items that bear on future results. The company recorded a $122 million pre-tax impairment on its Brazil Packaging business and, on October 25, 2018, announced it was exploring strategic options for that business. It expects a non-cash pension settlement charge of approximately $425 million before tax in the fourth quarter following the transfer of about $1.6 billion of U.S. qualified pension obligations to Prudential. Full-year 2018 capital spending is expected to be about $1.6 billion, and the board approved an additional $2 billion share repurchase authorization on October 9, 2018. Litigation remains significant, including a Signature Industrial Services judgment of approximately $137 million under appeal and the Kalamazoo River and San Jacinto (Harris County) Superfund matters. The company's balance sheet at September 30, 2018 showed total assets of $33,803 million, long-term debt of $10,700 million and total equity of $7,058 million. Management said it expects fourth-quarter results to benefit from the flow-through of recent price increases, seasonally higher volumes and significantly lower outage expenses, while noting continued input cost and distribution cost pressures.

    Nov 2, 2018
  25. 2018-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2018

    International Paper Company reported net earnings attributable to International Paper of $405 million ($0.97 per diluted share) for the second quarter of 2018, compared with $729 million ($1.74 per diluted share) in the first quarter of 2018 and $80 million ($0.19 per diluted share) in the second quarter of 2017. Net sales were $5.83 billion in the second quarter, compared with $5.38 billion in the second quarter of 2017. Management attributed the results to higher average sales prices, a favorable mix, and volume growth across its three businesses, partly offset by higher operating costs. Adjusted Operating Earnings, a non-GAAP measure, were $498 million ($1.19 per diluted share) in the second quarter of 2018. The company stated that input costs for wood, chemicals and transportation remained a challenge, and that it expects continued benefits from recent price increases in the third quarter, with higher operating costs in Industrial Packaging partly due to Madrid mill start-up costs. For the first six months of 2018, cash provided by operations was $1.46 billion and investments in capital projects were $929 million, resulting in free cash flow of approximately $535 million, a non-GAAP measure. Net earnings for the six months were $1.14 billion, which included a pre-tax gain of $516 million on the January 1, 2018 transfer of the North American Consumer Packaging business to Graphic Packaging in exchange for a 20.5% ownership interest. The company returned $300 million to shareholders through share repurchases in the second quarter and paid dividends of $0.4750 per share. Total debt fair value was approximately $11.6 billion against $11.5 billion of debt, and the company held BBB (stable outlook) and Baa2 (stable outlook) long-term ratings from S&P and Moody's. The filing also notes that International Paper announced on June 5, 2018 that it would not make a binding offer for Smurfit Kappa Group plc, which restricts it from making an offer through June 5, 2019, subject to exceptions. The company's accounting for the Tax Cuts and Jobs Act remains provisional, and it continues to face legal matters including an appealed $137 million judgment in the Signature Industrial Services case and environmental remediation proceedings at the Harris County and Kalamazoo River sites.

    Aug 3, 2018
  26. 2018-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2018

    International Paper Company's first-quarter 2018 results show net sales of $5.62 billion, up from $5.13 billion in the first quarter of 2017, and net earnings attributable to the company of $729 million, or $1.74 per diluted share, compared with $209 million, or $0.50 per diluted share, a year earlier. Earnings from continuing operations attributable to the company were $361 million ($0.86 per diluted share) versus $192 million, and the results include a $516 million pre-tax gain on the transfer of the North American Consumer Packaging business to Graphic Packaging, recorded in discontinued operations. Adjusted Operating Earnings, a non-GAAP measure, were $395 million ($0.94 per diluted share) versus $232 million ($0.56 per diluted share) in the first quarter of 2017. Management cited higher average sales prices across all three segments, offset partly by higher operating, raw material, freight and mill maintenance outage costs. Cash provided by operations was $663 million, compared with $633 million a year earlier, and capital investments were $489 million, leaving free cash flow of approximately $174 million versus $259 million. Cash and temporary investments rose to $1.14 billion at March 31, 2018. Management expects full-year 2018 capital spending of approximately $1.5 billion. The company held long-term credit ratings of BBB (stable) from S&P and Baa2 (stable) from Moody's at quarter end. The filing also discloses an unsolicited proposal to acquire Smurfit Kappa Group plc, which Smurfit Kappa rejected; the revised offer valued its share capital at approximately €9.5 billion, and no agreement has been reached. Legal and environmental matters include a $137 million judgment in the Signature contract case, which the company has appealed and expects the loss to be immaterial, and an March 2018 court ruling assigning the company a 15% share of approximately $50 million in past costs at the Kalamazoo River site.

    May 8, 2018
  27. 2017-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2017

    International Paper Company's third-quarter 2017 results show net earnings attributable to International Paper of $395 million ($0.95 per diluted share), compared with $80 million ($0.19 per diluted share) in the second quarter of 2017 and $312 million ($0.75 per diluted share) in the third quarter of 2016. Net sales were $5.9 billion for the quarter, compared with $5.8 billion in the second quarter of 2017 and $5.3 billion in the third quarter of 2016. Adjusted Operating Earnings, a non-GAAP measure, were $449 million ($1.08 per share). Management attributed the sequential improvement to higher prices across the portfolio, particularly in North American Industrial Packaging and Global Cellulose Fibers, partly offset by roughly $30 million of costs from Hurricanes Harvey and Irma and record-high OCC prices. For the first nine months of 2017, net earnings attributable to the company were $684 million, with cash provided by operations of $569 million, down from $1.6 billion in the prior-year period. The decline reflected a $1.25 billion voluntary pension contribution and a $354 million payment related to the Kleen Products containerboard antitrust settlement. Free cash flow was approximately $1.2 billion, compared with $1.4 billion a year earlier. Total debt was $12.3 billion at September 30, 2017, and the company issued $1.0 billion of 4.35% senior notes due 2048 to fund the pension contribution. A significant subsequent event is the October 23, 2017 agreement to contribute the North American Consumer Packaging business to a subsidiary of Graphic Packaging Holding Company in a transaction valued at $1.8 billion, in exchange for a 20.5% ownership interest valued at $1.14 billion. The company plans to use $660 million of cash proceeds from a new loan to pay down debt, and the transaction is expected to close in early 2018, subject to regulatory approval. The company also expects a non-cash pension settlement charge of approximately $400 million before tax in the fourth quarter of 2017 related to a $1.3 billion annuity transfer to Prudential.

    Nov 3, 2017
  28. 2017-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2017

    International Paper Company's second-quarter 2017 results show net sales of $5.77 billion, up from $5.32 billion in the second quarter of 2016, and net earnings attributable to the company of $80 million ($0.19 per diluted share), compared with $40 million ($0.10 per share) a year earlier. The results include a $354 million charge for the Kleen Products containerboard antitrust class action settlement, which the company paid into a settlement fund on August 1, 2017, and a $354 million pre-tax special item in the quarter. Management's MD&A reports Adjusted Operating Earnings of $270 million ($0.65 per share) for the quarter, versus $379 million ($0.92 per share) in the second quarter of 2016. Business segment operating profit was $129 million, compared with $627 million a year earlier, with the Industrial Packaging segment absorbing the settlement charge. For the first six months, net earnings were $289 million and cash provided by operations was $1.28 billion, with free cash flow of approximately $614 million, compared with $838 million in the prior-year period. Capital spending is expected to be about $1.5 billion for full-year 2017. Total debt was $11.2 billion at June 30, 2017, and the company holds BBB (S&P) and Baa2 (Moody's) long-term ratings, both with stable outlooks. Subsequent to quarter-end, the company priced $1.0 billion of 4.35% senior unsecured notes due 2048 and plans a $1.25 billion voluntary pension contribution by September 15, 2017. The company also disclosed a Sherman-Act-related settlement, a Signature Industrial Services jury verdict of about $125 million that it intends to appeal and expects to be immaterial, and an acquisition of Europac's Tangier, Morocco corrugated packaging facility for approximately $46 million.

    Aug 4, 2017
  29. 2017-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2017

    International Paper Company's first-quarter 2017 Form 10-Q reports net sales of $5.51 billion, up from $5.11 billion in the first quarter of 2016. Net earnings attributable to International Paper were $209 million, or $0.50 per diluted share, compared with $334 million, or $0.81 per share, a year earlier. Adjusted Operating Earnings, a non-GAAP measure, were $249 million ($0.60 per share) versus $330 million ($0.80 per share) in the prior-year quarter. Management described the quarter as transitional, citing higher price realizations and the integration of the Weyerhaeuser pulp business acquired in December 2016, offset by higher raw material and freight costs, including rapidly escalating recycled fiber prices. Cash provided by operations was $633 million and free cash flow was approximately $259 million, compared with $311 million a year earlier. Investments in capital projects totaled $374 million, and full-year 2017 capital spending is expected to be about $1.5 billion. Total debt was $11.3 billion at March 31, 2017, with long-term credit ratings of BBB (S&P) and Baa2 (Moody's), both with stable outlooks. The company received $127 million in cash dividends from its 50% Ilim joint venture in Russia during the quarter. Management expects a second quarter with higher maintenance outage expenses, which it characterized as significantly higher, along with initial benefits from announced containerboard price increases. The filing also discloses ongoing antitrust litigation over containerboard pricing (Kleen Products), where the company's petition for review of class certification was denied by the U.S. Supreme Court in April 2017, and environmental remediation liabilities estimated at about $134 million in aggregate.

    May 5, 2017
  30. 2016-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2016

    International Paper Company's third-quarter 2016 Form 10-Q reports net sales of $5.27 billion for the quarter ($5,266 million), down from $5,691 million in the third quarter of 2015, and net earnings attributable to International Paper Company of $312 million, or $0.75 per diluted share, versus $220 million, or $0.53 per diluted share, a year earlier. For the nine months ended September 30, 2016, net sales were $15.70 billion and net earnings attributable to the company were $686 million, or $1.65 per diluted share. The filing reports Adjusted Operating Earnings (a non-GAAP measure) of $380 million, or $0.91 per share, for the third quarter of 2016, compared with $407 million, or $0.97 per share, in the third quarter of 2015. Cash provided by operations was $1.57 billion for the first nine months of 2016, and free cash flow, a non-GAAP measure, was $1.41 billion. Capital spending was $903 million for the nine months, and full-year 2016 capital spending is expected to be about $1.3 billion. Total debt rose during the period: the company issued $1.1 billion of 3.00% notes due 2027 and $1.2 billion of 4.40% notes due 2047 in August 2016, and long-term debt reached $10.8 billion at September 30, 2016. Long-term credit ratings were BBB (S&P) and Baa2 (Moody's), both with stable outlooks. Pending transactions include the $2.2 billion cash purchase of Weyerhaeuser's pulp business, expected to close in the fourth quarter of 2016 subject to regulatory approvals in jurisdictions beyond the U.S., where the Department of Justice has completed its investigation without taking action. The company completed the Holmen newsprint mill acquisition in Spain on June 30, 2016. Nine-month results include a $439 million non-cash pension settlement charge recorded in the second quarter of 2016 after a $1.2 billion lump-sum pension payout program, and the company made $750 million of voluntary pension contributions in 2016.

    Nov 3, 2016
  31. 2016-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2016

    International Paper Company reported net sales of $5.3 billion for the second quarter of 2016, compared with $5.7 billion in the second quarter of 2015. Net earnings attributable to International Paper were $40 million, or $0.10 per diluted share, versus $227 million, or $0.54 per share, a year earlier. The filing attributes the decline mainly to a $439 million non-cash settlement accounting charge from the lump-sum pension buyout, which was reflected in non-operating pension expense of $487 million for the quarter. Operating Earnings per share, a non-GAAP measure that excludes special items and non-operating pension expense, was $0.92 in the second quarter of 2016 compared with $0.97 in the second quarter of 2015. For the first six months, net sales were $10.43 billion versus $11.23 billion, and cash provided by operations was $1.2 billion versus $753 million. Free cash flow, a non-GAAP measure, was $838 million compared with $830 million. Management expects full-year 2016 capital spending of approximately $1.3 billion. The company paid $1.2 billion in pension benefits through the lump-sum program and plans an additional $500 million voluntary pension contribution in the second half of 2016. Several portfolio actions were completed or announced. The sale of the Asia corrugated packaging business closed on June 30, 2016 for approximately $149 million, and the Madrid newsprint mill acquisition from Holmen Paper closed for about $61 million. International Paper also agreed on May 1, 2016 to buy the pulp business of Weyerhaeuser Company for $2.2 billion in cash, with closing expected in the fourth quarter of 2016 subject to regulatory approvals. After the quarter end, the company priced $1.1 billion of 3.00% senior notes due 2027 and $1.2 billion of 4.40% senior notes due 2047, with closing expected on or about August 11, 2016. Long-term credit ratings were BBB (stable outlook) from S&P and Baa2 (stable outlook) from Moody's.

    Aug 5, 2016
  32. 2016-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2016

    International Paper Company reported first-quarter 2016 net sales of $5.11 billion, down from $5.52 billion in the first quarter of 2015. Net earnings attributable to International Paper were $334 million, or $0.81 per diluted share, compared with $313 million, or $0.74 per share, a year earlier. Earnings from continuing operations were $339 million, versus $313 million. Management cited lower average sales price realizations and mix ($48 million), higher mill maintenance outage costs ($33 million) and higher corporate and other costs as headwinds, offset by lower raw material and freight costs ($32 million) and lower net interest expense ($9 million). Operating Earnings per share, a non-GAAP measure, were $0.80, compared with $0.84 in the first quarter of 2015. Cash provided by operations was $620 million and free cash flow was approximately $311 million. Cash and temporary investments rose to $1.16 billion at March 31, 2016 from $1.05 billion at year-end 2015. Industrial Packaging remained the largest contributor, with operating profit of $396 million versus $468 million a year earlier, and included a $37 million charge tied to the planned sale of the Asia corrugated packaging business. Printing Papers operating profit fell to $85 million from $109 million, and Consumer Packaging fell to $16 million from $46 million, which included a $9 million Riegelwood mill conversion charge. Total long-term debt was $8.82 billion at quarter end, and the company reported long-term credit ratings of BBB (stable outlook) from S&P and Baa2 (stable outlook) from Moody's. Subsequent to quarter end, on May 1, 2016, International Paper agreed to buy Weyerhaeuser's pulp business for $2.2 billion in cash, with closing expected in the fourth quarter of 2016 subject to regulatory approval. The company also agreed to sell its China and Southeast Asia corrugated packaging business for approximately $155 million, and to buy a Madrid newsprint mill from Holmen Paper for €50 million for conversion to recycled containerboard. The company estimates full-year 2016 capital spending of about $1.3 billion.

    May 5, 2016
  33. 2015-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2015

    International Paper Company's third-quarter 2015 results show net sales of $5.69 billion, down from $6.05 billion in the third quarter of 2014, and net earnings attributable to International Paper of $220 million, or $0.53 per diluted share, compared with $355 million, or $0.83 per diluted share, a year earlier. Operating Earnings per share, a non-GAAP measure, were $0.97, versus $0.95 in the third quarter of 2014 and $0.97 in the second quarter of 2015. Results were hurt by a $186 million pre-tax impairment tied to the agreed sale of the company's 55% interest in the IP-Sun JV, and by special items that the filing puts at a net loss of $141 million for the quarter. Management attributed the quarter's strength to North American Industrial Packaging, and cited a stronger U.S. dollar, higher input costs for energy, recycled corrugated and rail, and lower containerboard export pricing as headwinds. For the first nine months of 2015, net earnings attributable to International Paper were $760 million, or $1.80 per diluted share, compared with $421 million, or $0.97, in the same period of 2014. Cash provided by operations was $1.59 billion, and free cash flow was $1.34 billion, against $1.33 billion a year earlier. During the third quarter the company restructured its 2006 timber monetization, buying out a third-party investor interest for $198 million and paying down $630 million of bank loans, which moved $4.85 billion of timber notes and $4.22 billion of nonrecourse loans onto the balance sheet. Total debt was $9.6 billion at September 30, 2015, with a fair value of about $10.4 billion, and the company held BBB (S&P) and Baa2 (Moody's) long-term ratings, both with stable outlooks. The company expects fourth-quarter 2015 volumes to be relatively stable overall, with a decline in North American Industrial Packaging tied to three fewer shipping days, and it expects operational costs to be a headwind due to flooding at two South Carolina mills. Full-year 2015 capital spending is expected to be about $1.5 billion. The filing also discloses ongoing litigation, including the Kleen Products containerboard antitrust action and Kalamazoo River and Harris County environmental matters, for which the company says it cannot predict outcomes or does not believe a material loss is probable.

    Nov 5, 2015
  34. 2015-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2015

    International Paper Company's second-quarter 2015 Form 10-Q reports net sales of $5.71 billion for the three months ended June 30, 2015, compared with $5.90 billion in the second quarter of 2014, and net earnings attributable to International Paper of $227 million, or $0.54 per diluted share, versus $161 million, or $0.37 per share, a year earlier. Results were affected by restructuring and other charges of $194 million before taxes, which were driven mainly by $207 million of early debt extinguishment costs. Management reported Operating Earnings of $0.97 per share for the quarter, a non-GAAP measure that excludes special items and non-operating pension expense. Industry segment operating profit was $676 million, up from $639 million in the prior-year quarter. Industrial Packaging operating profit was $528 million, Printing Papers $101 million and Consumer Packaging $47 million. For the first six months of 2015, cash provided by operations was $753 million, compared with $1.0 billion in the prior-year period, after a $750 million voluntary pension plan contribution. Free cash flow was approximately $830 million, versus $629 million a year earlier. Capital spending for 2015 is expected to be about $1.5 billion. In May 2015 the company issued $2.0 billion of senior unsecured notes and used the proceeds to retire about $1.0 billion of higher-coupon debt, pay $211 million of cash premiums and fund the pension contribution. Total long-term debt was $9.0 billion, with long-term credit ratings of BBB (stable) from S&P and Baa2 (stable) from Moody's at June 30, 2015. Shareholders' equity was $4.89 billion at quarter end, and the company repurchased shares under its share repurchase program during the quarter. Management expects third-quarter 2015 volume increases in North American Printing Papers and seasonal gains in Brazilian Printing Papers, while Asia Industrial and Consumer Packaging conditions are expected to remain challenging. Input costs are expected to be a headwind, driven by energy, recycled fiber and rail rates, and maintenance outage costs are expected to fall. The filing also discloses ongoing environmental and antitrust litigation, including the Kleen Products containerboard class action and the Kalamazoo River and San Jacinto Superfund matters, with management stating that no material loss is probable for most of them.

    Aug 6, 2015
  35. 2015-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2015

    International Paper Company's first-quarter 2015 10-Q reports net sales of $5.52 billion, down from $5.72 billion in the first quarter of 2014. Net earnings attributable to International Paper were $313 million, or $0.74 per diluted share, compared with a loss of $95 million, or $0.21 per share, in the year-earlier quarter. The year-over-year swing largely reflects the absence of the $499 million of restructuring and other charges recorded in Q1 2014, most of it for the Courtland mill shutdown, along with a $70 million improvement in equity earnings from the Ilim joint venture. Management reported Operating Earnings of $0.84 per share, a non-GAAP measure, and total industry segment operating profit of $623 million versus $60 million a year earlier. Cash provided by operations rose to $638 million from $471 million, and free cash flow was $319 million versus $252 million. Cash and temporary investments declined to $1.58 billion from $1.88 billion at year-end 2014, and total debt was reduced during the quarter through $280 million of debt reduction, including $217 million of early debt reductions. Shareholders' equity fell to $4.86 billion, reflecting a $4.64 billion-to-$5.04 billion increase in accumulated other comprehensive loss driven largely by a $484 million foreign currency translation loss. Management expects full-year 2015 capital spending of about $1.5 billion. Litigation disclosures include the Harris County, Texas dioxin suit, where a jury found the company not responsible and Harris County has appealed, and the containerboard antitrust class action, where a direct purchaser class was certified on March 26, 2015. The gypsum antitrust cases have been settled for an immaterial amount, and the Kalamazoo River CERCLA allocation trial is set for September 2015. The company held BBB (stable outlook) and Baa2 (stable outlook) ratings from S&P and Moody's at March 31, 2015.

    May 7, 2015
  36. 2014-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2014

    International Paper Company's third-quarter 2014 Form 10-Q reports net sales of $6.05 billion for the quarter, up from $5.98 billion in the third quarter of 2013, and net earnings attributable to International Paper of $355 million, or $0.83 per diluted share, compared with $382 million, or $0.85 per diluted share, a year earlier. Nine-month net sales were $17.67 billion and nine-month net earnings attributable to the company were $421 million, versus $959 million in the prior-year period, a decline driven in part by $830 million of restructuring and other charges, largely tied to the Courtland mill shutdown and early debt extinguishment costs. The filing states that management described third-quarter operating earnings of $0.95 per share and total industry segment operating profit of $781 million, compared with $665 million in the third quarter of 2013. On July 1, 2014, the company completed the spinoff of its xpedx distribution business, which combined with Unisource Worldwide to form Veritiv Corporation; International Paper received a payment of approximately $385 million, and the xpedx results are now reported as discontinued operations. Cash provided by operations was $1.93 billion for the nine months ended September 30, 2014, and free cash flow was $1.33 billion, with capital spending of $961 million. The company repurchased $891 million of stock during the nine months and paid $451 million in dividends. Cash and temporary investments ended the quarter at $1.72 billion, and total debt was described as $9.7 billion at fair value of about $10.7 billion. The filing also discloses continuing contingent exposures, including environmental remediation with a probable liability of approximately $95 million, the Harris County dioxin litigation for which trial began on October 7, 2014, and antitrust suits in which the company reached an agreement in principle to settle the U.S. gypsum board cases for an immaterial amount. Credit ratings were BBB (S&P) and Baa2 (Moody's), both with stable outlooks.

    Nov 6, 2014
  37. 2014-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2014

    International Paper Company reported net sales of $7.21 billion for the second quarter of 2014, compared with $7.34 billion in the second quarter of 2013, and net earnings attributable to International Paper of $161 million, or $0.37 per diluted share, versus $259 million, or $0.57 per diluted share, a year earlier. Results were weighed down by $324 million of pre-tax restructuring and other charges, including $262 million of early debt extinguishment costs and $49 million tied to the Courtland mill shutdown. Management pointed to higher average sales price realizations ($129 million versus the prior-year quarter), volume growth in North American Industrial Packaging, and an $77 million year-over-year improvement in equity earnings from Ilim. Operating earnings per share were $0.95, against $0.64 in the second quarter of 2013. For the first six months, net earnings attributable to International Paper were $66 million, or $0.15 per diluted share, compared with $577 million, or $1.29 per diluted share, in the same period of 2013. Cash provided by continuing operations was $1.0 billion, and capital investments were $634 million. Free cash flow was $634 million for the six months, compared with $752 million a year earlier. Share repurchases totaled $685 million in the first half, and dividends rose to $0.35 per share in the quarter from $0.30 a year earlier. Balance-sheet activity included a June 2014 issuance of $1.6 billion of senior notes, used to repay about $957 million of higher-coupon debt. The company also completed the spinoff of its xpedx distribution business on July 1, 2014, combined with Unisource Worldwide into Veritiv Corporation, and received a payment of about $400 million. On August 5, 2014, it replaced its $1.5 billion credit facility with a new five-year $1.5 billion agreement that expires in August 2019. Management expects third-quarter results to reflect elevated input costs and the absence of xpedx earnings.

    Aug 6, 2014
  38. 2014-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2014

    International Paper Company reported a net loss attributable to International Paper of $95 million, or $0.21 per diluted share, for the first quarter of 2014, compared with net earnings of $318 million, or $0.71 per diluted share, in the first quarter of 2013. Net sales were $7.01 billion versus $7.09 billion a year earlier. The result was driven by a $517 million charge for restructuring and other items, most of it ($495 million) tied to the shutdown of the Courtland, Alabama mill. Management's non-GAAP Operating Earnings were $0.61 per share, compared with $0.65 in the first quarter of 2013. Management cited adverse weather, higher maintenance outage costs, and higher raw material and freight costs, partly offset by higher average sales price realizations. Cash provided by continuing operations was $473 million, compared with $516 million a year earlier, and free cash flow was $254 million versus $300 million. Cash and temporary investments declined to $1.34 billion from $1.80 billion at December 31, 2013. Total debt was described as $9.4 billion, with fair value of approximately $10.7 billion. Shareholders' equity fell to $7.57 billion, reflecting $388 million of share repurchases and $153 million of dividends paid. The company also disclosed a pending Reverse Morris Trust transaction to combine its xpedx distribution business with Unisource Worldwide, and an agreement to acquire the remaining 25% of Orsa IP from Jari for about $135 million in cash. The filing's key items for investors are the Courtland charge, the weaker printing papers results (segment operating loss of $410 million, including the charge), the strong Industrial Packaging segment (operating profit of $453 million), and the guidance that second-quarter results should benefit from the absence of weather impacts and lower Courtland closure costs, although second quarter is the heaviest maintenance outage quarter.

    May 7, 2014
  39. 2013-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2013

    International Paper Company's Form 10-Q for the quarter ended September 30, 2013 reports third-quarter net sales of $7.41 billion, up from $7.03 billion in the third quarter of 2012, and net earnings attributable to International Paper of $382 million, or $0.85 per diluted share, compared with $237 million, or $0.54 per diluted share, a year earlier. For the nine months, net sales were $21.83 billion and net earnings attributable to the company were $959 million, or $2.14 per diluted share. Management cites higher average sales price realizations, particularly in North American Industrial Packaging, and an Operating Earnings per share figure of $1.05 for the quarter, a non-GAAP measure reconciled to diluted GAAP EPS in the filing. Results were partly offset by higher raw material and freight costs, with wood costs a notable headwind for the North American Printing Papers business. The balance sheet and cash flow show cash and temporary investments of $1.95 billion at September 30, 2013, up from $1.30 billion at December 31, 2012, and long-term debt of $8.90 billion, down from $9.70 billion. Cash provided by continuing operations was $1.96 billion for the first nine months, and the company reports free cash flow of $1.21 billion, a non-GAAP measure. Management expects 2013 capital spending of approximately $1.3 billion. The company announced a share repurchase program of up to $1.5 billion over two to three years and a 17% increase in its quarterly dividend, from $0.30 to $0.35 per share. The filing also discloses a planned shutdown of the Courtland, Alabama mill, with the company estimating pre-tax noncash asset write-off and accelerated depreciation charges of approximately $550 million and pre-tax cash severance and other shutdown charges of approximately $125 million, to be recorded in 2013 and 2014. Third-quarter results included a $30 million one-time tax benefit. Pending litigation includes the Kalamazoo River and San Jacinto River Superfund matters and antitrust suits in containerboard and gypsum board, for which the company says it cannot predict outcomes.

    Nov 6, 2013
  40. 2013-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2013

    International Paper Company reported second-quarter 2013 net sales of $7.34 billion, up from $7.08 billion in the second quarter of 2012, and net earnings attributable to International Paper of $259 million, or $0.57 per diluted share, compared with $134 million, or $0.31 per diluted share, a year earlier. Earnings from continuing operations attributable to the company were $235 million versus $118 million in the prior-year quarter. Management cited higher average sales price realizations ($123 million benefit versus the second quarter of 2012) and lower tax expense, partly offset by a $20 million bad debt provision tied to a large envelope customer, higher raw material and freight costs, and step-up depreciation from the Temple-Inland acquisition. Management reported Operating Earnings of $0.64 per share for the quarter, a non-GAAP measure. Industrial Packaging was the strongest segment, with operating profit of $474 million versus $260 million a year earlier. For the first six months of 2013, net sales were $14.43 billion and net earnings attributable to the company were $577 million, or $1.29 per diluted share. Cash provided by continuing operations was $1.24 billion, and the company reported free cash flow of approximately $752 million, a non-GAAP measure. Capital spending for the first half was $488 million, and full-year 2013 capital spending is expected to be about $1.4 billion. Shareholders' equity rose to $6.71 billion at June 30, 2013, and total debt was $10.1 billion, with fair value of about $11.5 billion. Several acquisitions and divestitures reshaped the portfolio during the period. International Paper acquired majority control of Olmuksan (Turkey) and formed Orsa International Paper Embalagens S.A. (Brazil, 75% stake), both consolidated in Industrial Packaging. It also agreed to sell the Temple-Inland Building Products division to Georgia-Pacific for $710 million in cash, which closed on July 19, 2013. Management expects seasonally lower volumes in the third quarter, with improving price realization in North American Industrial Packaging and continued pressure in European businesses.

    Aug 7, 2013
  41. 2013-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2013

    International Paper Company's first-quarter 2013 Form 10-Q reports net sales of $7.09 billion, up from $6.66 billion in the first quarter of 2012. Net earnings attributable to International Paper totaled $318 million, or $0.71 per diluted share, compared with $188 million, or $0.43 per share, a year earlier. Earnings from continuing operations attributable to the company were $292 million, versus $183 million. The filing attributes the improvement mainly to higher average sales price realizations, a $69 million income tax benefit (including a $91 million IRS audit settlement benefit and a benefit of about $35 million from the American Taxpayer Relief Act), and a $19 million bargain purchase gain on the Olmuksan acquisition, partly offset by a $17 million translation loss and higher non-operating pension expense of $84 million. Industry segment operating profit was $506 million, versus $462 million a year earlier, with Industrial Packaging the strongest segment at $355 million. Cash provided by continuing operations was $516 million, and free cash flow was approximately $300 million, compared with $357 million in the prior-year period. Cash and temporary investments fell to $934 million at March 31, 2013 from $1.30 billion at year-end 2012, and total debt was $10.2 billion, with long-term credit ratings of BBB (stable) from S&P and Baa3 (stable) from Moody's. During the quarter the company completed two acquisitions that expanded its industrial packaging footprint: majority control of Olmuksan in Turkey and a 75% stake in the Brazilian joint venture Orsa International Paper Embalagens, with the Orsa investment valued at approximately $470 million. A subsequent event disclosed in the filing is a non-binding letter of intent, signed April 19, 2013, with Unisource to explore a Reverse Morris Trust combination of the xpedx distribution business with Unisource. The filing also notes contingent exposures, including environmental remediation reserves of approximately $90 million in aggregate, a Harris County dioxin suit, and antitrust suits involving containerboard and gypsum board. Management's outlook for the second quarter anticipates seasonally stronger volumes in North American packaging and higher planned maintenance outage costs.

    May 8, 2013
  42. 2012-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2012

    International Paper Company's third-quarter 2012 Form 10-Q reports net sales of $7.03 billion for the three months ended September 30, 2012, up from $6.63 billion a year earlier, and net earnings attributable to International Paper of $237 million, or $0.54 per diluted share, versus $468 million, or $1.08 per share, in the third quarter of 2011. Earnings from continuing operations were $223 million. Management reported diluted earnings per share before special items of $0.75 for the quarter, compared with $0.81 in the third quarter of 2011 and $0.46 in the second quarter of 2012. Results include the Temple-Inland acquisition, completed February 13, 2012 for about $3.7 billion in cash plus roughly $700 million of assumed debt, and the divestiture of three containerboard mills to satisfy antitrust requirements. Balance sheet and cash flow changes were significant. Total assets rose to $32.56 billion at September 30, 2012 from $27.02 billion at December 31, 2011, and goodwill increased to $4.41 billion from $2.35 billion. Cash and temporary investments fell to $1.28 billion from $3.99 billion, reflecting the acquisition and $1.0 billion of capital project spending in the first nine months. Nine-month cash provided by continuing operations was $2.27 billion, and free cash flow was approximately $1.19 billion. Management reduced balance sheet debt by $800 million during the quarter and ended the period with long-term credit ratings of BBB (S&P) and Baa3 (Moody's), both with stable outlooks. The filing also discloses several contingent items. Management expects a material increase in its pension liability and pension expense in 2013 because of a lower discount rate. Subsequent to quarter-end, International Paper agreed to form a joint venture with Jari Celulose for Brazilian industrial packaging assets, in which it will hold a 75% stake for an investment of approximately $470 million. Pending matters include a Kleen Products antitrust class action, Bogalusa-related litigation, and Superfund exposures, several of which the company describes as premature to estimate.

    Nov 7, 2012
  43. 2012-Q1-A

    International Paper Quarterly Report (Amendment) for Q1 Ended Mar 31, 2012

    International Paper Company filed this Amendment No. 1 on Form 10-Q/A on August 14, 2012, to its Quarterly Report on Form 10-Q for the quarter ended March 31, 2012 (originally filed May 7, 2012). The filing's stated purpose is narrow: to re-file Exhibit 10.1 in response to SEC comments on a confidential treatment request. The re-filed exhibit adds the first and last rows of the table in Annex B that had been redacted from the original filing. The amendment states that no other modifications are being made to the Form 10-Q or its exhibits. Exhibit 10.1 is Amendment No. 5, dated as of January 11, 2012, to the Second Amended and Restated Credit and Security Agreement dated March 13, 2008. The agreement is among Red Bird Receivables, LLC as borrower, International Paper Company as servicer, the conduits and liquidity banks, and the agents. The filing also lists related exhibits, including Amendment No. 3 to the Receivables Sale and Contribution Agreement, the Temple-Inland TIN Land and TIN Timber loan agreements and their amendments, and timber supply agreements. Most of these are incorporated by reference to earlier filings. The amendment does not reflect events occurring after the original Form 10-Q was filed. It reports the common shares outstanding as of April 30, 2012 as 437,318,509, and states that the registrant is a large accelerated filer. For investors, the filing mainly confirms the terms of the receivables financing amendment and the March 31, 2012 quarterly report's framework rather than new operating or financial results.

    Aug 14, 2012
  44. 2012-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2012

    International Paper Company's second-quarter 2012 Form 10-Q shows net sales of $7.08 billion for the three months ended June 30, 2012, up from $6.65 billion a year earlier, and net earnings attributable to International Paper of $134 million, or $0.31 per diluted share, versus $219 million, or $0.51 per share, in the second quarter of 2011. Earnings from continuing operations attributable to the company were $118 million, and management reported earnings per share before special items of $0.46, compared with $0.79 in the prior-year quarter. Management attributed the quarter's results largely to the Temple-Inland acquisition, which closed in February 2012 and was described as meaningfully accretive, offset by peak mill outage costs, a foreign exchange loss at the Ilim joint venture, and lower average sales price realizations. The balance sheet changed substantially during the period. Total assets rose to $33.09 billion at June 30, 2012 from $27.02 billion at December 31, 2011, and long-term debt increased to $10.48 billion from $9.19 billion. Cash and temporary investments fell to $1.23 billion from $3.99 billion, reflecting the $3.73 billion acquisition outflow. Six-month operating cash flow was $1.38 billion, and capital spending was $705 million. The company stated that it finalized divestitures of three containerboard mills on July 2, 2012 to satisfy the Final Judgment conditions of the Temple-Inland transaction, and that the purchase price allocation remains preliminary. The filing also discloses significant contingencies, including litigation related to the Bogalusa, Louisiana incident at a Temple-Inland mill, Guaranty Financial Group-related lawsuits with an $80 million reserve recorded in purchase accounting, containerboard antitrust suits, and environmental remediation liabilities of approximately $93 million in the aggregate. Long-term credit ratings were BBB (S&P) and Baa3 (Moody's), both with stable outlooks.

    Aug 7, 2012
  45. 2012-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2012

    International Paper Company's first-quarter 2012 Form 10-Q reports net sales of $6,655 million, up from $6,387 million in the first quarter of 2011, and net earnings attributable to International Paper Company of $188 million, or $0.43 per diluted share, compared with $354 million, or $0.81 per diluted share, a year earlier. Earnings from continuing operations attributable to the company were $183 million. The filing states that diluted earnings per share before special items were $0.57, compared with $0.77 in the first quarter of 2011. Net special items were a loss of $64 million, driven largely by restructuring and other charges of $34 million and integration costs of $43 million tied to the Temple-Inland acquisition, which closed on February 13, 2012 for $32.00 per share in cash and the assumption of approximately $700 million of debt. The acquisition substantially changed the balance sheet. Total assets rose to $33,849 million from $27,018 million at December 31, 2011, and long-term debt increased to $10,905 million from $9,189 million. Cash and temporary investments fell to $1,288 million from $3,994 million. Cash provided by operations was $581 million, and free cash flow was approximately $357 million, compared with $419 million in the prior-year period. Management stated that the Temple-Inland acquisition was neutral to earnings before special items and incremental interest costs, and that it expects a full quarter of Temple-Inland earnings in the second quarter. The filing also notes that a Department of Justice consent decree requires divestiture of three containerboard mills by June 11, 2012. The filing discloses ongoing legal and environmental matters, including Kalamazoo River and San Jacinto River Superfund exposure, Temple-Inland litigation related to Guaranty Financial Group, and the Bogalusa Incident. Management says it cannot yet estimate losses on several of these matters. Credit ratings were BBB (stable) from S&P and Baa3 (stable) from Moody's at March 31, 2012.

    May 7, 2012
  46. 2011-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2011

    International Paper Company's third-quarter 2011 Form 10-Q reports net sales of $6.6 billion for the three months ended September 30, 2011, compared with $6.7 billion in the third quarter of 2010, and net earnings attributable to International Paper of $518 million, or $1.19 per diluted share, versus $397 million, or $0.91 per share, a year earlier. For the nine months, net sales were $19.67 billion and net earnings attributable to the company were $1.08 billion, or $2.48 per diluted share. Results in the quarter included net special items, notably a net gain of $116 million on sales and impairments of businesses (including a $82 million pre-tax charge to write down the Shorewood business, which is being sold to Atlas Holdings), and $49 million of restructuring and other charges. Management described the quarter as producing strong earnings and cash flow despite a tough global economic environment, and expects fourth-quarter earnings to decrease meaningfully from third-quarter levels, driven by seasonality, heavier maintenance outages in North America, and a significant negative currency impact at the Ilim joint venture. Cash provided by operations was $2.04 billion for the first nine months of 2011, versus $587 million a year earlier, and the company reported free cash flow of approximately $1.4 billion for the period. Capital spending on projects totaled $725 million year to date, with full-year 2011 capital spending expected at $1.2 to $1.3 billion. The balance sheet showed total debt of $8.4 billion with a fair value of approximately $9.3 billion, and long-term credit ratings of BBB (S&P) and Baa3 (Moody's), both with stable outlooks. Cash and temporary investments rose to $2.72 billion from $2.07 billion at year-end 2010. The filing also discloses two pending transactions: the agreement to acquire Temple-Inland Inc. for $32.00 per share in cash, plus assumption of about $600 million of debt, a transaction valued at approximately $4.3 billion expected to close in the fourth quarter of 2011 or first quarter of 2012 subject to shareholder and regulatory approval; and the completed October 14, 2011 acquisition of a 75% interest in Andhra Pradesh Paper Mills Limited in India, with an appeal pending before Indian regulators over non-compete payments.

    Nov 7, 2011
  47. 2011-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2011

    International Paper Company reported second-quarter 2011 net sales of $6.65 billion, up from $6.12 billion in the second quarter of 2010, and net earnings attributable to International Paper of $224 million, or $0.52 per diluted share, compared with $93 million, or $0.21 per share, a year earlier. For the six months ended June 30, 2011, net sales were $13.04 billion and net earnings attributable to the company were $566 million, compared with a net loss of $69 million in the prior-year period. The company stated that diluted earnings per share before special items were $0.80 in the second quarter, versus $0.74 in the first quarter and $0.42 in the second quarter of 2010. Special items in the quarter included a $129 million fixed asset impairment at Shorewood's North American Consumer Packaging assets and a $10 million restructuring gain. Results were supported by higher average sales price realizations, though input costs, mill outage costs and the Vicksburg mill flood weighed on results. Cash provided by operations was $1.16 billion for the first six months of 2011, compared with $800 million a year earlier, and free cash flow was $838 million, versus $395 million. Long-term debt was $7.88 billion at June 30, 2011, and the company held BBB (S&P) and Baa3 (Moody's) long-term ratings, both with stable outlooks. Shareholders' equity rose to $7.71 billion from $6.83 billion at year-end 2010. The company also disclosed a July 12, 2011 fully financed tender offer for Temple-Inland at $30.60 per share in cash, and a pending acquisition of Andhra Pradesh Paper Mills Limited in India, subject to a SEBI appeal over the tender offer's non-compete payment. The filing also details a potential tax benefit tied to an amended 2009 tax return claiming alternative fuel mixture credits, with unrecognized tax benefits decreasing by $707 million in the second quarter of 2011. Management noted that the amended position could be re-evaluated if not upheld. Environmental remediation reserves for the Cass Lake, Minnesota site were raised to $51 million, and the company faces containerboard antitrust lawsuits in federal and Tennessee state courts.

    Aug 9, 2011
  48. 2011-Q1

    International Paper Quarterly Report for Q1 Ended Mar 31, 2011

    International Paper Company's first-quarter 2011 Form 10-Q, filed May 6, 2011, reports net sales of $6.39 billion, up from $5.81 billion in the first quarter of 2010, and net earnings attributable to International Paper of $342 million, or $0.78 per diluted share, compared with a loss of $162 million, or $0.38 per share, a year earlier. Earnings from continuing operations attributable to the company were $293 million. Results were driven largely by higher average sales price realizations, which the filing quantifies at $268 million of the improvement in continuing operations earnings, while higher raw material and freight costs partly offset the gains. Industry segment operating profit rose to $585 million from $20 million. Management reports earnings per share before special items of $0.74 and free cash flow of $419 million, and states it announced a quarterly dividend increase to $0.2625 per share for the second quarter of 2011. The balance sheet strengthened over the quarter, with shareholders' equity rising to $7.32 billion and long-term debt declining to $8.16 billion from $8.36 billion at December 31, 2010. Cash and temporary investments were $2.05 billion. The company repaid about $129 million of notes and recorded $32 million of pre-tax early debt extinguishment costs. Cash provided by operations was $514 million, compared with $159 million in the prior-year quarter. Management expects second-quarter demand to improve seasonally and pricing to rise slightly, offset by continuing input cost escalation and approximately $74 million of higher maintenance outage costs. The filing also discloses a pending acquisition of approximately 53.5% of Andhra Pradesh Paper Mills Limited (APPM) in India for about $257 million in cash, with a planned mandatory tender offer for up to an additional 21.5% for about $104 million, and a $62 million non-compete payment. Ongoing litigation includes containerboard antitrust lawsuits, which the company believes lack merit, and the company notes a possible material remediation cost for a Cass Lake, Minnesota site depending on EPA-approved alternatives.

    May 6, 2011
  49. 2010-Q3

    International Paper Quarterly Report for Q3 Ended Sep 30, 2010

    International Paper Company's Form 10-Q for the quarter ended September 30, 2010 reports record third-quarter earnings per share before special items of $0.91, compared with $0.42 in the second quarter of 2010 and $0.37 in the third quarter of 2009. Net sales were $6.72 billion for the third quarter of 2010, up from $5.92 billion a year earlier, and $18.65 billion for the nine months, up from $17.39 billion. Net earnings attributable to International Paper Company were $397 million ($0.91 per diluted share) for the quarter, compared with $371 million ($0.87) in the third quarter of 2009. The filing attributes the strength to higher average sales price realizations across segments, lower mill outage costs, and benefits from 2008 and 2009 restructuring, partly offset by higher raw material and freight costs. The company notes there were no special items in the third quarter of 2010, compared with a net special item gain of $214 million in the third quarter of 2009, which was largely alternative fuel mixture credits. Cash flow and balance sheet actions dominated the nine-month period. Cash provided by operations fell to $587 million from $3.57 billion, mainly because of a voluntary $1.15 billion pension plan contribution made in the third quarter. Free cash flow was $1.15 billion for the nine months, compared with $1.91 billion a year earlier. The company repaid debt during the period, with a $328 million net reduction in debt for the first nine months of 2010. Total debt was $8.7 billion with a fair value of approximately $9.9 billion at September 30, 2010, and long-term credit ratings were BBB (stable) from S&P and Baa3 (stable) from Moody's. The quarterly dividend was raised to $0.125 per share from $0.025 beginning in the second quarter of 2010. Management expects fourth-quarter earnings to be seasonally lower than the third quarter, with volumes declining in line with typical seasonal patterns, stable prices, and higher recycled fiber and chemical costs. The third quarter included two non-recurring items, a $16 million bad debt recovery and a $50 million land sale gain, which will not recur. Maintenance outages are expected to rise by approximately $30 million. The company also disclosed the acquisition of SCA Packaging Asia for a preliminary price of $206 million, and that the IRS ruled on October 15, 2010 on alternative fuel mixture credits, which may lead the company to repay some of the $0.50 per gallon cash credit it received.

    Nov 5, 2010
  50. 2010-Q2

    International Paper Quarterly Report for Q2 Ended Jun 30, 2010

    International Paper Company's second-quarter 2010 results show a company improving operationally but still posting a first-half loss. Net sales for the second quarter were $6.12 billion, up from $5.80 billion a year earlier, and net earnings attributable to International Paper were $93 million, or $0.21 per diluted share, compared with $136 million, or $0.32 per share, in the second quarter of 2009. For the six months ended June 30, 2010, the company reported a net loss attributable to International Paper of $69 million, or $0.16 per share, versus earnings of $393 million, or $0.93 per share, a year earlier. Management said earnings per share before special items rose to $0.42 in the quarter, up from $0.04 in the first quarter, and expects third-quarter earnings to increase meaningfully from second-quarter levels, citing price increases and lower maintenance outages. The quarter included $144 million of pre-tax restructuring and other charges, largely for closure costs at the Franklin, Virginia mill. Operating cash flow for the first six months fell to $800 million from $2.19 billion, and free cash flow was approximately $395 million, compared with $1.10 billion a year earlier. The prior-year figure was supported by alternative fuel mixture credits, which expired on December 31, 2009. Total debt was $8.9 billion at June 30, 2010, with long-term credit ratings of BBB (S&P) and Baa3 (Moody's), both with stable outlooks. Other developments include the acquisition of SCA Packaging Asia for a preliminary purchase price of $206 million, a $500 million voluntary pension contribution made on July 27, 2010, and an agreement announced July 22, 2010 to sell 163,000 acres of southeastern U.S. properties to an affiliate of Rock Creek Capital for $200 million. The dividend was raised to $0.125 per share from $0.025 per share.

    Aug 6, 2010