(All financial information is in
- Second quarter 2020 net earnings of
$0.34 per share; earnings before items1 of$0.36 per share - Announces significant cost savings program with expected annual savings of
$200 million - Execution of asset repurposing plan with conversion of
Kingsport, TN andAshdown, AR - Commences review of strategic alternatives for Personal Care Division
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20200807005175/en/
Excluding items listed below, the Company had earnings before items1 of
ITEMS
Description |
Segment |
Line item |
Amount |
After tax effect |
EPS impact (per share) |
|||||
|
|
|
(in millions) |
|
||||||
Second quarter 2020 |
|
|
|
|
|
|||||
|
|
|
|
|
|
|||||
|
Pulp and Paper |
Closure and |
|
|
|
|||||
|
|
|
|
|
|
|||||
First quarter 2020 |
|
|
|
|
|
|||||
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|||||
Second quarter 2019 |
|
|
|
|
|
|||||
|
|
|
|
|
|
|||||
|
Personal Care |
Impairment of |
|
|
|
|||||
|
|
|
|
|
|
|||||
|
Personal Care |
Closure and |
|
|
|
|||||
|
|
|
|
|
|
_________________________ |
1 Non-GAAP financial measure. Refer to the Reconciliation of Non-GAAP Financial Measures in the appendix. |
QUARTERLY REVIEW
“We have been proactive in reducing risk and safeguarding our ability to weather the current crisis. We are taking the appropriate steps to optimize our operations and to remain an agile, reliable partner to our customers,” said
Operating income was
Operating income before items1 was
|
|
|
|
|
|
|
|
|
|
(In millions of dollars) |
|
2Q 2020 |
|
|
1Q 2020 |
|
|
||
|
|
|
|
|
|
|
|
|
|
Sales |
|
$ |
1,012 |
|
|
$ |
1,278 |
|
|
Operating income (loss) |
|
|
|
|
|
|
|
|
|
Pulp and Paper segment |
|
|
3 |
|
|
|
4 |
|
|
Personal Care segment |
|
|
18 |
|
|
|
20 |
|
|
Corporate |
|
|
(7 |
) |
|
|
(5 |
) |
|
Total operating income |
|
|
14 |
|
|
|
19 |
|
|
Operating income before items1 |
|
|
15 |
|
|
|
19 |
|
|
Depreciation and amortization |
|
|
71 |
|
|
|
72 |
|
|
The decrease in operating income in the second quarter of 2020 was the result of lower volume and unfavorable productivity. These factors were partially offset by lower maintenance costs and lower salaries and wages, mostly due to wage subsidies, lower selling, general and administrative expenses, lower raw material costs, favorable exchange rates and lower fixed and other costs.
When compared to the first quarter of 2020, manufactured paper shipments were down 32% and pulp shipments increased 10%. The shipment-to-production ratio for paper was 105% in the second and the first quarters of 2020. Paper inventories decreased by 22,000 tons, and pulp inventories decreased by 2,000 metric tons when compared to the first quarter of 2020.
_________________________ |
1 Non-GAAP financial measure. Refer to the Reconciliation of Non-GAAP Financial Measures in the appendix. |
LIQUIDITY AND CAPITAL RESOURCES
Cash flow from operating activities amounted to
OUTLOOK
We expect the overall environment to continue to be challenging. In Paper, we expect demand to remain weak, with some incremental recovery expected in quarter three and towards year-end. We expect near-term pulp markets to be impacted by seasonal softness, elevated global inventories, and weak demand trends from paper markets. Personal Care will continue to benefit from productivity gains and the impact from new customer wins. Overall raw material costs are expected to remain stable.
STRATEGIC INITIATIVES
COST REDUCTION PROGRAM
The Company is implementing a cost reduction program, targeting
As part of the cost savings program, the Company will permanently close the uncoated freesheet manufacturing at the
_________________________
1Non-GAAP financial measure. Refer to the Reconciliation of Non-GAAP Financial Measures in the appendix. |
“We remain disciplined in our efforts to manage our costs to improve profitability and further strengthen our balance sheet. In line with these goals and current market conditions, we are implementing a significant cost savings program to streamline operations, maximize productivity and improve margins. This program will create a stronger, leaner organization aligned to meet the needs of the business and our customers in a post COVID-19 era,” said
EXECUTION OF THE ASSET CONVERSION ROADMAP
Domtar’s decision to repurpose assets at
Entering the recycled linerboard market at
The Company plans to enter the linerboard market with the conversion of the
“Repurposing the
Completing the conversion to softwood and fluff pulp at
The Company will complete the conversion of the
With these two conversions,
REVIEW OF STRATEGIC ALTERNATIVES FOR PERSONAL CARE DIVISION
The Company has commenced a strategic review process to explore a range of value-creating alternatives for its Personal Care division, which may include a sale of the business. The strategic review process will be conducted with the assistance of Domtar’s independent financial and legal advisors and will consider a full range of potential alternatives with respect to the Company’s Personal Care division.
“Over the past year, we have significantly improved the operating structure and cost profile of our Personal Care division due in large part to the hard work and perseverance of our teams. In addition, the scale-up of new customer and sales pipeline gives us confidence in the long-term prospects for the business.”
The Company has not set a deadline for the conclusion of its review of strategic alternatives, and does not intend to comment further unless and until the Board of Directors has approved a specific course of action or the Company has otherwise determined that further disclosure is appropriate or necessary.
EARNINGS CONFERENCE CALL
The Company will hold a conference call today at
The Company will release its third quarter 2020 earnings results on
About
Forward-Looking Statements
Statements in this release about our plans, expectations and future performance, including the statements by
Highlights (In millions of dollars, unless otherwise noted) |
||||||||||||||||
|
|
For the three months ended |
|
|
For the six months ended |
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
2020 |
|
|
2019 |
|
|
2020 |
|
|
2019 |
|
||||
|
|
(Unaudited) |
|
|||||||||||||
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Selected Segment Information |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pulp and Paper |
|
|
802 |
|
|
|
1,106 |
|
|
|
1,833 |
|
|
|
2,263 |
|
Personal Care |
|
|
229 |
|
|
|
228 |
|
|
|
495 |
|
|
|
467 |
|
Total for reportable segments |
|
|
1,031 |
|
|
|
1,334 |
|
|
|
2,328 |
|
|
|
2,730 |
|
Intersegment sales |
|
|
(19 |
) |
|
|
(17 |
) |
|
|
(38 |
) |
|
|
(37 |
) |
Consolidated sales |
|
|
1,012 |
|
|
|
1,317 |
|
|
|
2,290 |
|
|
|
2,693 |
|
Depreciation and amortization |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pulp and Paper |
|
|
56 |
|
|
|
59 |
|
|
|
114 |
|
|
|
117 |
|
Personal Care |
|
|
15 |
|
|
|
15 |
|
|
|
29 |
|
|
|
30 |
|
Total for reportable segments |
|
|
71 |
|
|
|
74 |
|
|
|
143 |
|
|
|
147 |
|
Impairment of long-lived assets – Personal Care |
|
|
— |
|
|
|
15 |
|
|
|
— |
|
|
|
25 |
|
Consolidated depreciation and amortization and impairment of long-lived assets |
|
|
71 |
|
|
|
89 |
|
|
|
143 |
|
|
|
172 |
|
Operating income (loss) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pulp and Paper |
|
|
3 |
|
|
|
62 |
|
|
|
7 |
|
|
|
206 |
|
Personal Care |
|
|
18 |
|
|
|
(18 |
) |
|
|
38 |
|
|
|
(26 |
) |
Corporate |
|
|
(7 |
) |
|
|
(10 |
) |
|
|
(12 |
) |
|
|
(31 |
) |
Consolidated operating income |
|
|
14 |
|
|
|
34 |
|
|
|
33 |
|
|
|
149 |
|
Interest expense, net |
|
|
15 |
|
|
|
13 |
|
|
|
29 |
|
|
|
26 |
|
Non-service components of net periodic benefit cost |
|
|
(5 |
) |
|
|
(2 |
) |
|
|
(9 |
) |
|
|
(5 |
) |
Earnings before income taxes and equity loss |
|
|
4 |
|
|
|
23 |
|
|
|
13 |
|
|
|
128 |
|
Income tax (benefit) expense |
|
|
(15 |
) |
|
|
5 |
|
|
|
(12 |
) |
|
|
29 |
|
Equity loss, net of taxes |
|
|
— |
|
|
|
— |
|
|
|
1 |
|
|
|
1 |
|
Net earnings |
|
|
19 |
|
|
|
18 |
|
|
|
24 |
|
|
|
98 |
|
Per common share (in dollars) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
0.34 |
|
|
|
0.29 |
|
|
|
0.43 |
|
|
|
1.56 |
|
Diluted |
|
|
0.34 |
|
|
|
0.28 |
|
|
|
0.43 |
|
|
|
1.55 |
|
Weighted average number of common shares outstanding (millions) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
55.2 |
|
|
|
63.0 |
|
|
|
55.6 |
|
|
|
63.0 |
|
Diluted |
|
|
55.3 |
|
|
|
63.3 |
|
|
|
55.7 |
|
|
|
63.3 |
|
Cash flows from operating activities |
|
|
67 |
|
|
|
119 |
|
|
|
155 |
|
|
|
174 |
|
Additions to property, plant and equipment |
|
|
40 |
|
|
|
55 |
|
|
|
102 |
|
|
|
101 |
|
As a result of changes in our organization structure, we have changed our segment reporting. Starting
Consolidated Statements of Earnings (In millions of dollars, unless otherwise noted) |
||||||||||||||||
|
|
For the three months ended |
|
|
For the six months ended |
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
2020 |
|
|
2019 |
|
|
2020 |
|
|
2019 |
|
||||
|
|
(Unaudited) |
|
|||||||||||||
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales |
|
|
1,012 |
|
|
|
1,317 |
|
|
|
2,290 |
|
|
|
2,693 |
|
Operating expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of sales, excluding depreciation and amortization |
|
|
837 |
|
|
|
1,079 |
|
|
|
1,920 |
|
|
|
2,131 |
|
Depreciation and amortization |
|
|
71 |
|
|
|
74 |
|
|
|
143 |
|
|
|
147 |
|
Selling, general and administrative |
|
|
93 |
|
|
|
105 |
|
|
|
195 |
|
|
|
228 |
|
Impairment of long-lived assets |
|
|
— |
|
|
|
15 |
|
|
|
— |
|
|
|
25 |
|
Closure and restructuring costs |
|
|
1 |
|
|
|
8 |
|
|
|
1 |
|
|
|
12 |
|
Other operating (income) loss, net |
|
|
(4 |
) |
|
|
2 |
|
|
|
(2 |
) |
|
|
1 |
|
|
|
|
998 |
|
|
|
1,283 |
|
|
|
2,257 |
|
|
|
2,544 |
|
Operating income |
|
|
14 |
|
|
|
34 |
|
|
|
33 |
|
|
|
149 |
|
Interest expense, net |
|
|
15 |
|
|
|
13 |
|
|
|
29 |
|
|
|
26 |
|
Non-service components of net periodic benefit cost |
|
|
(5 |
) |
|
|
(2 |
) |
|
|
(9 |
) |
|
|
(5 |
) |
Earnings before income taxes and equity loss |
|
|
4 |
|
|
|
23 |
|
|
|
13 |
|
|
|
128 |
|
Income tax (benefit) expense |
|
|
(15 |
) |
|
|
5 |
|
|
|
(12 |
) |
|
|
29 |
|
Equity loss, net of taxes |
|
|
— |
|
|
|
— |
|
|
|
1 |
|
|
|
1 |
|
Net earnings |
|
|
19 |
|
|
|
18 |
|
|
|
24 |
|
|
|
98 |
|
Per common share (in dollars) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
0.34 |
|
|
|
0.29 |
|
|
|
0.43 |
|
|
|
1.56 |
|
Diluted |
|
|
0.34 |
|
|
|
0.28 |
|
|
|
0.43 |
|
|
|
1.55 |
|
Weighted average number of common shares outstanding (millions) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
55.2 |
|
|
|
63.0 |
|
|
|
55.6 |
|
|
|
63.0 |
|
Diluted |
|
|
55.3 |
|
|
|
63.3 |
|
|
|
55.7 |
|
|
|
63.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Balance Sheets at (In millions of dollars) |
||||||||
|
|
|
|
|||||
|
|
|
|
|
|
|
||
|
|
2020 |
|
|
2019 |
|
||
|
|
(Unaudited) |
|
|||||
|
|
$ |
|
|
$ |
|
||
Assets |
|
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
|
124 |
|
|
|
61 |
|
Receivables, less allowances of |
|
|
535 |
|
|
|
577 |
|
Inventories |
|
|
767 |
|
|
|
786 |
|
Prepaid expenses |
|
|
36 |
|
|
|
33 |
|
Income and other taxes receivable |
|
|
34 |
|
|
|
61 |
|
Total current assets |
|
|
1,496 |
|
|
|
1,518 |
|
Property, plant and equipment, net |
|
|
2,509 |
|
|
|
2,567 |
|
Operating lease right-of-use assets |
|
|
74 |
|
|
|
81 |
|
Intangible assets, net |
|
|
564 |
|
|
|
573 |
|
Other assets |
|
|
162 |
|
|
|
164 |
|
Total assets |
|
|
4,805 |
|
|
|
4,903 |
|
Liabilities and shareholders’ equity |
|
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
|
|
|
Bank indebtedness |
|
|
— |
|
|
|
9 |
|
Trade and other payables |
|
|
565 |
|
|
|
705 |
|
Income and other taxes payable |
|
|
33 |
|
|
|
23 |
|
Operating lease liabilities due within one year |
|
|
28 |
|
|
|
28 |
|
Long-term debt due within one year |
|
|
13 |
|
|
|
1 |
|
Total current liabilities |
|
|
639 |
|
|
|
766 |
|
Long-term debt |
|
|
1,089 |
|
|
|
938 |
|
Operating lease liabilities |
|
|
62 |
|
|
|
69 |
|
Deferred income taxes and other |
|
|
461 |
|
|
|
479 |
|
Other liabilities and deferred credits |
|
|
277 |
|
|
|
275 |
|
Shareholders’ equity |
|
|
|
|
|
|
|
|
Common stock |
|
|
1 |
|
|
|
1 |
|
Additional paid-in capital |
|
|
1,711 |
|
|
|
1,770 |
|
Retained earnings |
|
|
997 |
|
|
|
998 |
|
Accumulated other comprehensive loss |
|
|
(432 |
) |
|
|
(393 |
) |
Total shareholders’ equity |
|
|
2,277 |
|
|
|
2,376 |
|
Total liabilities and shareholders’ equity |
|
|
4,805 |
|
|
|
4,903 |
|
Consolidated Statements of Cash Flows (In millions of dollars) |
|||||||||||||||
|
For the three months ended |
|
|
For the six months ended |
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
2020 |
|
|
2019 |
|
|
2020 |
|
|
2019 |
|
||||
|
(Unaudited) |
|
|||||||||||||
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Operating activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings |
|
19 |
|
|
|
18 |
|
|
|
24 |
|
|
|
98 |
|
Adjustments to reconcile net earnings to cash flows from operating activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
71 |
|
|
|
74 |
|
|
|
143 |
|
|
|
147 |
|
Deferred income taxes and tax uncertainties |
|
(13 |
) |
|
|
2 |
|
|
|
(12 |
) |
|
|
(1 |
) |
Impairment of long-lived assets |
|
— |
|
|
|
15 |
|
|
|
— |
|
|
|
25 |
|
Stock-based compensation expense |
|
2 |
|
|
|
3 |
|
|
|
3 |
|
|
|
5 |
|
Equity loss, net |
|
— |
|
|
|
— |
|
|
|
1 |
|
|
|
1 |
|
Changes in assets and liabilities, excluding the effect of acquisition of business |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Receivables |
|
70 |
|
|
|
70 |
|
|
|
42 |
|
|
|
40 |
|
Inventories |
|
(8 |
) |
|
|
(5 |
) |
|
|
20 |
|
|
|
(54 |
) |
Prepaid expenses |
|
7 |
|
|
|
(11 |
) |
|
|
2 |
|
|
|
(11 |
) |
Trade and other payables |
|
(79 |
) |
|
|
(7 |
) |
|
|
(95 |
) |
|
|
(76 |
) |
Income and other taxes |
|
1 |
|
|
|
(40 |
) |
|
|
40 |
|
|
|
(14 |
) |
Difference between employer pension and other post-retirement contributions and pension and other post-retirement expense |
|
— |
|
|
|
— |
|
|
|
(1 |
) |
|
|
1 |
|
Other assets and other liabilities |
|
(3 |
) |
|
|
— |
|
|
|
(12 |
) |
|
|
13 |
|
Cash flows from operating activities |
|
67 |
|
|
|
119 |
|
|
|
155 |
|
|
|
174 |
|
Investing activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to property, plant and equipment |
|
(40 |
) |
|
|
(55 |
) |
|
|
(102 |
) |
|
|
(101 |
) |
Proceeds from disposals of property, plant and equipment |
|
— |
|
|
|
1 |
|
|
|
— |
|
|
|
1 |
|
Acquisition of business, net of cash acquired |
|
(30 |
) |
|
|
— |
|
|
|
(30 |
) |
|
|
— |
|
Cash flows used for investing activities |
|
(70 |
) |
|
|
(54 |
) |
|
|
(132 |
) |
|
|
(100 |
) |
Financing activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividend payments |
|
(25 |
) |
|
|
(28 |
) |
|
|
(51 |
) |
|
|
(55 |
) |
Stock repurchase |
|
— |
|
|
|
(8 |
) |
|
|
(59 |
) |
|
|
(8 |
) |
Net change in bank indebtedness |
|
— |
|
|
|
— |
|
|
|
(10 |
) |
|
|
3 |
|
Change in revolving credit facility |
|
(220 |
) |
|
|
— |
|
|
|
(80 |
) |
|
|
— |
|
Proceeds from receivables securitization facility |
|
— |
|
|
|
60 |
|
|
|
25 |
|
|
|
80 |
|
Repayments of receivables securitization facility |
|
(80 |
) |
|
|
(90 |
) |
|
|
(80 |
) |
|
|
(110 |
) |
Issuance of long-term debt |
|
300 |
|
|
|
— |
|
|
|
300 |
|
|
|
— |
|
Repayments of long-term debt |
|
— |
|
|
|
(1 |
) |
|
|
— |
|
|
|
(1 |
) |
Other |
|
(1 |
) |
|
|
— |
|
|
|
(4 |
) |
|
|
(1 |
) |
Cash flows (used for) provided from financing activities |
|
(26 |
) |
|
|
(67 |
) |
|
|
41 |
|
|
|
(92 |
) |
Net (decrease) increase in cash and cash equivalents |
|
(29 |
) |
|
|
(2 |
) |
|
|
64 |
|
|
|
(18 |
) |
Impact of foreign exchange on cash |
|
1 |
|
|
|
1 |
|
|
|
(1 |
) |
|
|
— |
|
Cash and cash equivalents at beginning of period |
|
152 |
|
|
|
94 |
|
|
|
61 |
|
|
|
111 |
|
Cash and cash equivalents at end of period |
|
124 |
|
|
|
93 |
|
|
|
124 |
|
|
|
93 |
|
Supplemental cash flow information |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash payments (refund) for: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest |
|
8 |
|
|
|
7 |
|
|
|
25 |
|
|
|
23 |
|
Income taxes |
1 |
44 |
(24 |
) |
50 |
|
Quarterly Reconciliation of Non-GAAP Financial Measures
(In millions of dollars, unless otherwise noted)
The following table sets forth certain non-
|
|
|
|
|
|
2020 |
|
|
2019 |
|
||||||||||||||||||||||||||
|
|
|
|
|
|
Q1 |
|
|
Q2 |
|
|
YTD |
|
|
Q1 |
|
|
Q2 |
|
|
Q3 |
|
|
Q4 |
|
|
Year |
|
||||||||
Reconciliation of “Earnings before items” to Net earnings (loss) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Net earnings (loss) |
|
($) |
|
|
5 |
|
|
|
19 |
|
|
|
24 |
|
|
|
80 |
|
|
|
18 |
|
|
|
20 |
|
|
|
(34 |
) |
|
|
84 |
|
|
(+) |
Pension settlement loss |
|
($) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
22 |
|
|
|
22 |
|
|
(+) |
Impairment of long-lived assets |
|
($) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
8 |
|
|
|
12 |
|
|
|
26 |
|
|
|
— |
|
|
|
46 |
|
|
(+) |
Closure and restructuring costs |
|
($) |
|
|
— |
|
|
|
1 |
|
|
|
1 |
|
|
|
3 |
|
|
|
6 |
|
|
|
9 |
|
|
|
14 |
|
|
|
32 |
|
|
(=) |
Earnings before items |
|
($) |
|
|
5 |
|
|
|
20 |
|
|
|
25 |
|
|
|
91 |
|
|
|
36 |
|
|
|
55 |
|
|
|
2 |
|
|
|
184 |
|
|
(/) |
Weighted avg. number of common shares outstanding (diluted) |
|
(millions) |
|
|
56.2 |
|
|
|
55.3 |
|
|
|
55.7 |
|
|
|
63.2 |
|
|
|
63.3 |
|
|
|
61.7 |
|
|
|
57.3 |
|
|
|
61.4 |
|
|
(=) |
Earnings before items per diluted share |
|
($) |
|
|
0.09 |
|
|
|
0.36 |
|
|
|
0.45 |
|
|
|
1.44 |
|
|
|
0.57 |
|
|
|
0.89 |
|
|
|
0.03 |
|
|
|
3.00 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of “EBITDA” and “EBITDA before items” to Net earnings (loss) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Net earnings (loss) |
|
($) |
|
|
5 |
|
|
|
19 |
|
|
|
24 |
|
|
|
80 |
|
|
|
18 |
|
|
|
20 |
|
|
|
(34 |
) |
|
|
84 |
|
|
(+) |
Equity loss, net of taxes |
|
($) |
|
|
1 |
|
|
|
— |
|
|
|
1 |
|
|
|
1 |
|
|
|
— |
|
|
|
— |
|
|
|
1 |
|
|
|
2 |
|
|
(+) |
Income tax expense (benefit) |
|
($) |
|
|
3 |
|
|
|
(15 |
) |
|
|
(12 |
) |
|
|
24 |
|
|
|
5 |
|
|
|
(1 |
) |
|
|
(26 |
) |
|
|
2 |
|
|
(+) |
Interest expense, net |
|
($) |
|
|
14 |
|
|
|
15 |
|
|
|
29 |
|
|
|
13 |
|
|
|
13 |
|
|
|
12 |
|
|
|
14 |
|
|
|
52 |
|
|
(+) |
Depreciation and amortization |
|
($) |
|
|
72 |
|
|
|
71 |
|
|
|
143 |
|
|
|
73 |
|
|
|
74 |
|
|
|
72 |
|
|
|
74 |
|
|
|
293 |
|
|
(+) |
Impairment of long-lived assets |
|
($) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
10 |
|
|
|
15 |
|
|
|
33 |
|
|
|
— |
|
|
|
58 |
|
|
(=) |
EBITDA |
|
($) |
|
|
95 |
|
|
|
90 |
|
|
|
185 |
|
|
|
201 |
|
|
|
125 |
|
|
|
136 |
|
|
|
29 |
|
|
|
491 |
|
|
(/) |
Sales |
|
($) |
|
|
1,278 |
|
|
|
1,012 |
|
|
|
2,290 |
|
|
|
1,376 |
|
|
|
1,317 |
|
|
|
1,283 |
|
|
|
1,244 |
|
|
|
5,220 |
|
|
(=) |
EBITDA margin |
|
(%) |
|
|
7 |
% |
|
|
9 |
% |
|
|
8 |
% |
|
|
15 |
% |
|
|
9 |
% |
|
|
11 |
% |
|
|
2 |
% |
|
|
9 |
% |
|
|
EBITDA |
|
($) |
|
|
95 |
|
|
|
90 |
|
|
|
185 |
|
|
|
201 |
|
|
|
125 |
|
|
|
136 |
|
|
|
29 |
|
|
|
491 |
|
|
(+) |
Pension settlement loss |
|
($) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
30 |
|
|
|
30 |
|
|
(+) |
Closure and restructuring costs |
|
($) |
|
|
— |
|
|
|
1 |
|
|
|
1 |
|
|
|
4 |
|
|
|
8 |
|
|
|
11 |
|
|
|
19 |
|
|
|
42 |
|
|
(=) |
EBITDA before items |
|
($) |
|
|
95 |
|
|
|
91 |
|
|
|
186 |
|
|
|
205 |
|
|
|
133 |
|
|
|
147 |
|
|
|
78 |
|
|
|
563 |
|
|
(/) |
Sales |
|
($) |
|
|
1,278 |
|
|
|
1,012 |
|
|
|
2,290 |
|
|
|
1,376 |
|
|
|
1,317 |
|
|
|
1,283 |
|
|
|
1,244 |
|
|
|
5,220 |
|
|
(=) |
EBITDA margin before items |
|
(%) |
|
|
7 |
% |
|
|
9 |
% |
|
|
8 |
% |
|
|
15 |
% |
|
|
10 |
% |
|
|
11 |
% |
|
|
6 |
% |
|
|
11 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarterly Reconciliation of Non-GAAP Financial Measures
(In millions of dollars, unless otherwise noted)
2020 |
2019 |
|||||||||||||||||||||||||||||||||||
Q1 |
Q2 |
YTD |
Q1 |
Q2 |
Q3 |
Q4 |
Year |
|||||||||||||||||||||||||||||
Reconciliation of “Free cash flow” to Cash flows from operating activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Cash flows from operating activities |
|
($) |
|
|
88 |
|
|
|
67 |
|
|
|
155 |
|
|
|
55 |
|
|
|
119 |
|
|
|
108 |
|
|
|
160 |
|
|
|
442 |
|
|
(-) |
Additions to property, plant and equipment |
|
($) |
|
|
(62 |
) |
|
|
(40 |
) |
|
|
(102 |
) |
|
|
(46 |
) |
|
|
(55 |
) |
|
|
(56 |
) |
|
|
(98 |
) |
|
|
(255 |
) |
|
(=) |
Free cash flow |
|
($) |
|
|
26 |
|
|
|
27 |
|
|
|
53 |
|
|
|
9 |
|
|
|
64 |
|
|
|
52 |
|
|
|
62 |
|
|
|
187 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
“Net debt-to-total capitalization” computation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Bank indebtedness |
|
($) |
|
|
— |
|
|
|
— |
|
|
|
|
|
|
|
3 |
|
|
|
3 |
|
|
|
1 |
|
|
|
9 |
|
|
|
|
|
|
(+) |
Long-term debt due within one year |
|
($) |
|
|
1 |
|
|
|
13 |
|
|
|
|
|
|
|
1 |
|
|
|
1 |
|
|
|
1 |
|
|
|
1 |
|
|
|
|
|
|
(+) |
Long-term debt |
|
($) |
|
|
1,102 |
|
|
|
1,089 |
|
|
|
|
|
|
|
853 |
|
|
|
824 |
|
|
|
938 |
|
|
|
938 |
|
|
|
|
|
|
(=) |
Debt |
|
($) |
|
|
1,103 |
|
|
|
1,102 |
|
|
|
|
|
|
|
857 |
|
|
|
828 |
|
|
|
940 |
|
|
|
948 |
|
|
|
|
|
|
(-) |
Cash and cash equivalents |
|
($) |
|
|
(152 |
) |
|
|
(124 |
) |
|
|
|
|
|
|
(94 |
) |
|
|
(93 |
) |
|
|
(98 |
) |
|
|
(61 |
) |
|
|
|
|
|
(=) |
Net debt |
|
($) |
|
|
951 |
|
|
|
978 |
|
|
|
|
|
|
|
763 |
|
|
|
735 |
|
|
|
842 |
|
|
|
887 |
|
|
|
|
|
|
(+) |
Shareholders’ equity |
|
($) |
|
|
2,181 |
|
|
|
2,277 |
|
|
|
|
|
|
|
2,608 |
|
|
|
2,619 |
|
|
|
2,439 |
|
|
|
2,376 |
|
|
|
|
|
|
(=) |
Total capitalization |
|
($) |
|
|
3,132 |
|
|
|
3,255 |
|
|
|
|
|
|
|
3,371 |
|
|
|
3,354 |
|
|
|
3,281 |
|
|
|
3,263 |
|
|
|
|
|
|
|
Net debt |
|
($) |
|
|
951 |
|
|
|
978 |
|
|
|
|
|
|
|
763 |
|
|
|
735 |
|
|
|
842 |
|
|
|
887 |
|
|
|
|
|
|
(/) |
Total capitalization |
|
($) |
|
|
3,132 |
|
|
|
3,255 |
|
|
|
|
|
|
|
3,371 |
|
|
|
3,354 |
|
|
|
3,281 |
|
|
|
3,263 |
|
|
|
|
|
|
(=) |
Net debt-to-total capitalization |
|
(%) |
|
|
30 |
% |
|
|
30 |
% |
|
|
|
|
|
|
23 |
% |
|
|
22 |
% |
|
|
26 |
% |
|
|
27 |
% |
|
|
|
|
“Earnings before items”, “Earnings before items per diluted share”, “EBITDA”, “EBITDA margin”, “EBITDA before items”, “EBITDA margin before items”, “Free cash flow”, “Net debt” and “Net debt-to-total capitalization” have no standardized meaning prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies and therefore should not be considered in isolation or as a substitute for Net earnings (loss) or any other earnings statement, cash flow statement or balance sheet financial information prepared in accordance with GAAP. It is important for readers to understand that certain items may be presented in different lines by different companies on their financial statements, thereby leading to different measures for different companies.
Quarterly Reconciliation of Non-GAAP Financial Measures – By Segment 2020
(In millions of dollars, unless otherwise noted)
The following table sets forth certain non-
|
|
|
|
|
|
Pulp and Paper |
|
Personal Care |
|
Corporate |
|
Total |
||||||||||||||||||||||||||||||||
|
|
|
|
|
|
Q1’20 |
|
Q2’20 |
|
Q3’20 |
|
Q4’20 |
|
YTD |
|
Q1’20 |
|
Q2’20 |
|
Q3’20 |
|
Q4’20 |
|
YTD |
|
Q1’20 |
|
Q2’20 |
|
Q3’20 |
|
Q4’20 |
|
YTD |
|
Q1’20 |
|
Q2’20 |
|
Q3’20 |
|
Q4’20 |
|
YTD |
Reconciliation of Operating income (loss) to “Operating income (loss) before items” |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Operating income (loss) |
|
($) |
|
4 |
|
3 |
|
— |
|
— |
|
7 |
|
20 |
|
18 |
|
— |
|
— |
|
38 |
|
(5) |
|
(7) |
|
— |
|
— |
|
(12) |
|
19 |
|
14 |
|
— |
|
— |
|
33 |
|
(+) |
Closure and restructuring costs |
|
($) |
|
— |
|
1 |
|
— |
|
— |
|
1 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
1 |
|
— |
|
— |
|
1 |
|
(=) |
Operating income (loss) before items |
|
($) |
|
4 |
|
4 |
|
— |
|
— |
|
8 |
|
20 |
|
18 |
|
— |
|
— |
|
38 |
|
(5) |
|
(7) |
|
— |
|
— |
|
(12) |
|
19 |
|
15 |
|
— |
|
— |
|
34 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of “Operating income (loss) before items” to “EBITDA before items” |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Operating income (loss) before items |
|
($) |
|
4 |
|
4 |
|
— |
|
— |
|
8 |
|
20 |
|
18 |
|
— |
|
— |
|
38 |
|
(5) |
|
(7) |
|
— |
|
— |
|
(12) |
|
19 |
|
15 |
|
— |
|
— |
|
34 |
|
(+) |
Non-service components of net periodic benefit cost |
|
($) |
|
4 |
|
6 |
|
— |
|
— |
|
10 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
(1) |
|
— |
|
— |
|
(1) |
|
4 |
|
5 |
|
— |
|
— |
|
9 |
|
(+) |
Depreciation and amortization |
|
($) |
|
58 |
|
56 |
|
— |
|
— |
|
114 |
|
14 |
|
15 |
|
— |
|
— |
|
29 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
72 |
|
71 |
|
— |
|
— |
|
143 |
|
(=) |
EBITDA before items |
|
($) |
|
66 |
|
66 |
|
— |
|
— |
|
132 |
|
34 |
|
33 |
|
— |
|
— |
|
67 |
|
(5) |
|
(8) |
|
— |
|
— |
|
(13) |
|
95 |
|
91 |
|
— |
|
— |
|
186 |
|
(/) |
Sales |
|
($) |
|
1,031 |
|
802 |
|
— |
|
— |
|
1,833 |
|
266 |
|
229 |
|
— |
|
— |
|
495 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
1,297 |
|
1,031 |
|
— |
|
— |
|
2,328 |
|
(=) |
EBITDA margin before items |
|
(%) |
|
6% |
|
8% |
|
— |
|
— |
|
7% |
|
13% |
|
14% |
|
— |
|
— |
|
14% |
|
— |
|
— |
|
— |
|
— |
|
— |
|
7% |
|
9% |
|
— |
|
— |
|
8% |
“Operating income (loss) before items”, “EBITDA before items” and “EBITDA margin before items” have no standardized meaning prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies and therefore should not be considered in isolation or as a substitute for Operating income (loss) or any other earnings statement, cash flow statement or balance sheet financial information prepared in accordance with GAAP. It is important for readers to understand that certain items may be presented in different lines by different companies on their financial statements, thereby leading to different measures for different companies.
Quarterly Reconciliation of Non-GAAP Financial Measures – By Segment 2019
(In millions of dollars, unless otherwise noted)
The following table sets forth certain non-
|
|
|
|
|
|
Pulp and Paper |
|
Personal Care |
|
Corporate |
|
Total |
||||||||||||||||||||||||||||||||
|
|
|
|
|
|
Q1’19 |
|
Q2’19 |
|
Q3’19 |
|
Q4’19 |
|
Year |
|
Q1’19 |
|
Q2’19 |
|
Q3’19 |
|
Q4’19 |
|
Year |
|
Q1’19 |
|
Q2’19 |
|
Q3’19 |
|
Q4’19 |
|
Year |
|
Q1’19 |
|
Q2’19 |
|
Q3’19 |
|
Q4’19 |
|
Year |
Reconciliation of Operating income (loss) to “Operating income (loss) before items” |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Operating income (loss) |
|
($) |
|
144 |
|
62 |
|
31 |
|
(11) |
|
226 |
|
(8) |
|
(18) |
|
2 |
|
8 |
|
(16) |
|
(21) |
|
(10) |
|
(4) |
|
(12) |
|
(47) |
|
115 |
|
34 |
|
29 |
|
(15) |
|
163 |
|
(+) |
Impairment of long-lived assets |
|
($) |
|
— |
|
— |
|
32 |
|
— |
|
32 |
|
10 |
|
15 |
|
1 |
|
— |
|
26 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
10 |
|
15 |
|
33 |
|
— |
|
58 |
|
(+) |
Closure and restructuring costs |
|
($) |
|
— |
|
— |
|
5 |
|
17 |
|
22 |
|
4 |
|
8 |
|
6 |
|
2 |
|
20 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
4 |
|
8 |
|
11 |
|
19 |
|
42 |
|
(=) |
Operating income (loss) before items |
|
($) |
|
144 |
|
62 |
|
68 |
|
6 |
|
280 |
|
6 |
|
5 |
|
9 |
|
10 |
|
30 |
|
(21) |
|
(10) |
|
(4) |
|
(12) |
|
(47) |
|
129 |
|
57 |
|
73 |
|
4 |
|
263 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of “Operating income (loss) before items” to “EBITDA before items” |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Operating income (loss) before items |
|
($) |
|
144 |
|
62 |
|
68 |
|
6 |
|
280 |
|
6 |
|
5 |
|
9 |
|
10 |
|
30 |
|
(21) |
|
(10) |
|
(4) |
|
(12) |
|
(47) |
|
129 |
|
57 |
|
73 |
|
4 |
|
263 |
|
(+) |
Pension settlement loss |
|
($) |
|
— |
|
— |
|
— |
|
30 |
|
30 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
30 |
|
30 |
|
(+) |
Non-service components of net periodic benefit cost |
|
($) |
|
3 |
|
3 |
|
2 |
|
(28) |
|
(20) |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
(1) |
|
— |
|
(2) |
|
(3) |
|
3 |
|
2 |
|
2 |
|
(30) |
|
(23) |
|
(+) |
Depreciation and amortization |
|
($) |
|
58 |
|
59 |
|
57 |
|
57 |
|
231 |
|
15 |
|
15 |
|
15 |
|
17 |
|
62 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
73 |
|
74 |
|
72 |
|
74 |
|
293 |
|
(=) |
EBITDA before items |
|
($) |
|
205 |
|
124 |
|
127 |
|
65 |
|
521 |
|
21 |
|
20 |
|
24 |
|
27 |
|
92 |
|
(21) |
|
(11) |
|
(4) |
|
(14) |
|
(50) |
|
205 |
|
133 |
|
147 |
|
78 |
|
563 |
|
(/) |
Sales |
|
($) |
|
1,157 |
|
1,106 |
|
1,079 |
|
1,027 |
|
4,369 |
|
239 |
|
228 |
|
219 |
|
234 |
|
920 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
1,396 |
|
1,334 |
|
1,298 |
|
1,261 |
|
5,289 |
|
(=) |
EBITDA margin before items |
|
(%) |
|
18% |
|
11% |
|
12% |
|
6% |
|
12% |
|
9% |
|
9% |
|
11% |
|
12% |
|
10% |
|
— |
|
— |
|
— |
|
— |
|
— |
|
15% |
|
10% |
|
11% |
|
6% |
|
11% |
“Operating income (loss) before items”, “EBITDA before items” and “EBITDA margin before items” have no standardized meaning prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies and therefore should not be considered in isolation or as a substitute for Operating income (loss) or any other earnings statement, cash flow statement or balance sheet financial information prepared in accordance with GAAP. It is important for readers to understand that certain items may be presented in different lines by different companies on their financial statements, thereby leading to different measures for different companies.
As a result of changes in our organization structure, we have changed our segment reporting. Starting
Supplemental Segmented Information (In millions of dollars, unless otherwise noted) |
||||||||||||||||||||||||||||||||||
|
|
|
|
2020 |
|
|
2019 |
|
||||||||||||||||||||||||||
|
|
|
|
Q1 |
|
|
Q2 |
|
|
YTD |
|
|
Q1 |
|
|
Q2 |
|
|
Q3 |
|
|
Q4 |
|
|
Year |
|
||||||||
Pulp and Paper Segment |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales |
|
($) |
|
|
1,031 |
|
|
|
802 |
|
|
|
1,833 |
|
|
|
1,157 |
|
|
|
1,106 |
|
|
|
1,079 |
|
|
|
1,027 |
|
|
|
4,369 |
|
Operating income (loss) |
|
($) |
|
|
4 |
|
|
|
3 |
|
|
|
7 |
|
|
|
144 |
|
|
|
62 |
|
|
|
31 |
|
|
|
(11 |
) |
|
|
226 |
|
Depreciation and amortization |
|
($) |
|
|
58 |
|
|
|
56 |
|
|
|
114 |
|
|
|
58 |
|
|
|
59 |
|
|
|
57 |
|
|
|
57 |
|
|
|
231 |
|
Impairment of long-lived assets |
|
($) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
32 |
|
|
|
— |
|
|
|
32 |
|
Paper |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Paper Production |
|
(‘000 ST) |
|
|
648 |
|
|
|
436 |
|
|
|
1,084 |
|
|
|
757 |
|
|
|
697 |
|
|
|
653 |
|
|
|
619 |
|
|
|
2,726 |
|
Paper Shipments – Manufactured |
|
(‘000 ST) |
|
|
679 |
|
|
|
459 |
|
|
|
1,138 |
|
|
|
736 |
|
|
|
681 |
|
|
|
672 |
|
|
|
656 |
|
|
|
2,745 |
|
Communication Papers |
|
(‘000 ST) |
|
|
569 |
|
|
|
366 |
|
|
|
935 |
|
|
|
615 |
|
|
|
567 |
|
|
|
563 |
|
|
|
554 |
|
|
|
2,299 |
|
Specialty and Packaging Papers |
|
(‘000 ST) |
|
|
110 |
|
|
|
93 |
|
|
|
203 |
|
|
|
121 |
|
|
|
114 |
|
|
|
109 |
|
|
|
102 |
|
|
|
446 |
|
Paper Shipments – Sourced from 3rd parties |
|
(‘000 ST) |
|
|
22 |
|
|
|
12 |
|
|
|
34 |
|
|
|
23 |
|
|
|
21 |
|
|
|
25 |
|
|
|
24 |
|
|
|
93 |
|
Paper Shipments – Total |
|
(‘000 ST) |
|
|
701 |
|
|
|
471 |
|
|
|
1,172 |
|
|
|
759 |
|
|
|
702 |
|
|
|
697 |
|
|
|
680 |
|
|
|
2,838 |
|
Pulp |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pulp Shipments(a) |
|
(‘000 ADMT) |
|
|
389 |
|
|
|
427 |
|
|
|
816 |
|
|
|
349 |
|
|
|
370 |
|
|
|
416 |
|
|
|
404 |
|
|
|
1,539 |
|
Pulp Shipments mix(b): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hardwood Kraft Pulp |
|
(%) |
|
|
3 |
% |
|
|
2 |
% |
|
|
2 |
% |
|
|
2 |
% |
|
|
2 |
% |
|
|
5 |
% |
|
|
5 |
% |
|
|
4 |
% |
Softwood Kraft Pulp |
|
(%) |
|
|
52 |
% |
|
|
57 |
% |
|
|
55 |
% |
|
|
53 |
% |
|
|
56 |
% |
|
|
55 |
% |
|
|
54 |
% |
|
|
54 |
% |
Fluff Pulp |
|
(%) |
|
|
45 |
% |
|
|
41 |
% |
|
|
43 |
% |
|
|
45 |
% |
|
|
42 |
% |
|
|
40 |
% |
|
|
41 |
% |
|
|
42 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Personal Care Segment |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales |
|
($) |
|
|
266 |
|
|
|
229 |
|
|
|
495 |
|
|
|
239 |
|
|
|
228 |
|
|
|
219 |
|
|
|
234 |
|
|
|
920 |
|
Operating income (loss) |
|
($) |
|
|
20 |
|
|
|
18 |
|
|
|
38 |
|
|
|
(8 |
) |
|
|
(18 |
) |
|
|
2 |
|
|
|
8 |
|
|
|
(16 |
) |
Depreciation and amortization |
|
($) |
|
|
14 |
|
|
|
15 |
|
|
|
29 |
|
|
|
15 |
|
|
|
15 |
|
|
|
15 |
|
|
|
17 |
|
|
|
62 |
|
Impairment of long-lived assets |
|
($) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
10 |
|
|
|
15 |
|
|
|
1 |
|
|
|
— |
|
|
|
26 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Exchange Rates |
|
$US / $CAN |
|
|
1.344 |
|
|
|
1.385 |
|
|
|
1.365 |
|
|
|
1.329 |
|
|
|
1.337 |
|
|
|
1.321 |
|
|
|
1.321 |
|
|
|
1.327 |
|
|
|
$CAN / $US |
|
|
0.744 |
|
|
|
0.722 |
|
|
|
0.733 |
|
|
|
0.752 |
|
|
|
0.748 |
|
|
|
0.757 |
|
|
|
0.757 |
|
|
|
0.754 |
|
|
|
€ / $US |
|
|
1.102 |
|
|
|
1.101 |
|
|
|
1.102 |
|
|
|
1.136 |
|
|
|
1.124 |
|
|
|
1.111 |
|
|
|
1.107 |
|
|
|
1.120 |
|
As a result of changes in our organization structure, we have changed our segment reporting. Starting
(a) Figures represent Pulp Shipments to third parties.
(b) Percentages include Pulp Shipments to our Personal Care segment.
Note: the term “ST” refers to a short ton and the term “ADMT” refers to an air dry metric ton.
View source version on businesswire.com: https://www.businesswire.com/news/home/20200807005175/en/
INVESTOR RELATIONS
Investor Relations
Tel.: 514-848-5049
MEDIA RELATIONS
Corporate Services and Sustainability
Tel.: 803-802-8031
Source: