Displaying items by tag: International Paper

For the seventh straight year, International Paper (NYSE: IP) was named as one of the World's Most Ethical Companies by The Ethisphere Institute. Despite a record number of global nominees, International Paper secured a spot on the list by maintaining its focus on the ethical business practices and standards that have defined the Company since its inception more than 100 years ago.

"This is an important recognition that encompasses all that we do at International Paper. We are a company of substance in the more than 24 countries where we operate – and we are strengthened by the results of our employees who do the right things for the right reasons," said Chairman and CEO John Faraci. 

A record number of nominations and applications this year is evidence of both the World's Most Ethical Companies' growing recognition by various stakeholder groups and companies' desire to be recognized for their integrity standards and ethical cultures. The 2013 list is the largest list since the award's inception in 2007.

"Not only did more companies apply for the World's Most Ethical Companies recognition this year than any year in the past, which demonstrates that ethical activity is an important part of many of these companies' business models, but we are also seeing more companies be proactive and create new initiatives that expand ethics programs and cultures across entire industries, such as industry-based ethics associations and other activities," said Alex Brigham, Executive Director of Ethisphere. "We are excited to see the 2013 World's Most Ethical Companies take these leadership positions, and embrace the correlation between ethical behavior and improved financial performance."

"At International Paper, we are accountable for all that we do and it's a culture embraced by our 70,000 employees worldwide," said Sharon Ryan, senior vice president, General Counsel & Corporate Secretary. "We are defined by a commitment to ethical behavior, personal integrity and these values support our compliance standards worldwide."

Through in-depth research and a multi-step analysis, Ethisphere reviewed nominations from companies in more than 100 countries and 36 industries. The methodology for the World's Most Ethical Companies includes reviewing codes of ethics, litigation and regulatory infraction histories; evaluating the investment in innovation and sustainable business practices; looking at activities designed to improve corporate citizenship; and studying nominations from senior executives, industry peers, suppliers and customers.

Read about the methodology and view the complete list of the 2013 World's Most Ethical Companies at http://ethisphere.com/wme. The World's Most Ethical Companies list will also be featured in the 2013 Quarter 1 issue of Ethisphere Magazine.

SOURCE International Paper

International Paper has announced that it has once again been named by FORTUNE magazine as the No. 1 company in the Forest and Paper Products sector according to FORTUNE's annual report of "America's Most Admired Companies." This is International Paper's tenth time in the last eleven years to top the Fortune list within this category. Out of the nine key attributes on which companies are judgedInternational Paper took the top spot in seven of those categories within its industry. Those categories included, people management, quality of management, financial soundness, quality of products and services, global competitiveness, use of corporate assets and innovation.

"This is well-deserved recognition and a reflection of International Paper's 68,000 talented employees around the globe," said John Faraci, chairman and chief executive officer. "Managing through an uneven global economy while continuing to generate solid results is what good execution is all about. Congratulations to all of our employees."

Survey Methodology

The FORTUNE/Hay Group study compiles its data from approximately 1,400 companies: the Fortune 1,000 (the 1,000 largest U.S. companies ranked by revenue) and non-U.S. companies in Fortune's Global 500 database with revenue of$10 billion or more. Hay then selected the 15 largest for each international industry and the 10 largest for each U.S. industry, surveying a total of 687 companies from 30 countries. To create the 57 industry lists, Hay asked executives, directors, and analysts to rate companies in their industry on nine criteria, from investment value to social responsibility. A company's score must rank in the top half of its industry survey to be listed.

To arrive at the top 50 Most Admired Companies overall, the Hay Group asked 3,800 respondents to select the 10 companies they admired most. They chose from a list made up of the companies that ranked in the top 25% in last year's survey, plus those that finished in the top 20% of their industry. Anyone could vote for any company in any industry.

Hay Group, which has conducted the research for the World's Most Admired Companies list since 1997 and for America's Most Admired Companies since 2001, is a global management consulting firm. For information about Hay Group's services, go to www.haygroup.com 

SOURCE International Paper

International Paper (NYSE: IP) reported preliminary full-year 2012 net earnings attributable to common shareholders totaling $794 million ($1.80 per share) compared with $1.3 billion($3.03 per share) in full-year 2011. In the fourth quarter of 2012, the company reported net earnings of $235 million ($0.53 per share) compared with $281 million ($0.65 per share) in the fourth quarter of 2011. Amounts in all periods include special items and non-operating pension expense.

Full-year 2012 Operating Earnings were $1.2 billion ($2.65 per share) compared with $1.4 billion ($3.12 per share) in 2011. Operating Earnings in the fourth quarter of 2012 totaled $305 million ($0.69 per share) compared with $319 million ($0.73 per share) in the fourth quarter of 2011. 

Annual sales totaled $27.8 billion in 2012 compared with $26.0 billion in 2011.  Quarterly net sales were $7.1 billion in the fourth quarter compared with $6.4 billion in the fourth quarter of 2011.

Full-year 2012 business segment operating profits were $2.0 billion compared with $2.2 billion in 2011.  Business segment operating profits in the fourth quarter were $528 million compared with $577 million in 2011, both of which included special items.

"Our success capturing merger benefits from the Temple-Inland acquisition contributed to our fourth quarter results and IP's record cash generation from operations in 2012," said John Faraci, Chairman and Chief Executive Officer. "Given our runway levers and ability to execute, we are positioned to deliver a step-change in earnings as we move through 2013."

SEGMENT INFORMATION
The performance of the company's business segments are measured quarter to quarter without variations caused by special items, as management focuses on business segment operating profits excluding those items. Fourth quarter 2012 business segment operating profits and business trends compared with the prior quarter are as follows:

Industrial Packaging operating profits in the fourth quarter of 2012 were $368 million ($336 million including special items) compared with $342 million ($255 million including special items) in the third quarter of 2012. The profit increase in North America was the result of improved pricing, partially offset by higher planned outage-related maintenance expenses and input costs. Profits for the segment also benefited from seasonally higher sales volumes in Europe and an insurance settlement related to the earthquake that occurred in Northern Italy.

Printing Papers operating profits were $147 million (before and after special items) in the fourth quarter of 2012 versus $201 million ($202 million including special items) in the third quarter of 2012. North American operations were impacted by higher planned outage-related maintenance expenses, seasonally lower sales and lower average sales price for paper, particularly in export markets. Europe's results were stronger quarter over quarter mainly from lower planned maintenance expenses.

Consumer Packaging operating profits were $39 million ($41 million including special items) in the fourth quarter of 2012 compared with $67 million (before and after special items) in the third quarter of 2012. Earnings were impacted by higher outage-related maintenance expenses and lower average sales price primarily due to mix, along with cost associated with the start-up of the coated paper machine in China.

xpedx, the company's North American distribution business, reported operating profits of $11 million ($4 million including special items) in the fourth quarter of 2012 compared with $24 million ($15 million including special items) in the third quarter of 2012, reflecting higher operating expenses in the fourth quarter.

International Paper recorded Ilim joint venture equity earnings of $8 million in the fourth quarter of 2012, compared with equity earnings of $33 million in the third quarter of 2012. Fourth quarter results were lower as modestly higher average prices did not offset increases in input costs. In addition, the after-tax impact of favorable foreign exchange gains was $15 million less in the fourth quarter compared with the third quarter. The gains in both quarters were due to non-cash adjustments associated with the Ilim joint venture's U.S. dollar denominated debt.

Net corporate expenses, excluding non-operating pension expense, for the 2012 fourth quarter were $15 million compared with $1 million in the third quarter of 2012 and $20 million in the fourth quarter of 2011. 

Discontinued Operations
Discontinued operations in both the fourth and third quarters of 2012 included the Operating Earnings of Temple-Inland's Building Products business. Also included are pre-tax charges of $13 million ($8 million after taxes) and $2 million($1 million after taxes) in the fourth quarter of 2012 and the third quarter of 2012, respectively, for expenses associated with pursuing the divestiture of this business.

For the full Press release with figures follow this link.........>

International Paper and Brazilian corrugated packaging producer Jari Celulose, Embalagens e Papel S.A., a Grupo Orsa company, have finalized the formation of Orsa International Paper Embalagens S.A. The new entity, in which IP will hold a 75 percent stake, includes three containerboard mills and four box plants, which make up Jari's former industrial packaging assets. Today's closing completes the transaction announced in October of 2012. 

"International Paper has been in Brazil for over 50 years and we are excited about this partnership as a platform to enter the corrugated packaging business in this strategic region," said John Faraci, Chairman and Chief Executive Officer. "This investment fits our strategy to grow our packaging business globally and allocate capital to opportunities that deliver returns well above our cost of capital."

The value of IP's investment is approximately $470 million at today's exchange rate. 

International Paper today announced it has completed the acquisition of the shares of its joint venture partner Sabanci Holding in the Turkish corrugated packaging company Olmuksa, for a purchase price of $56 million.  International Paper had obtained regulatory approval for the deal in the fourth quarter of 2012. The deal sees International Paper become the majority shareholder, owning approximately 87.5 percent of Olmuksa's outstanding shares. The change of control triggers a mandatory call for tender of the remaining public shares (approximately 12.5 percent float) of Olmuksa, which will be conducted in line with the regulations of the Turkish Capital Markets Board.

"Packaging is a core business for International Paper and this deal follows our commitment to expand profitably our strong global platform and regional presence," said Maximo Pacheco, President of International Paper Europe, Middle East & Africa. He added "It is an exciting opportunity to grow and serve our customers in a strategically important geography."

The Turkish corrugated market is currently the 7th largest in Europe with expected continued average growth rates of greater than 5% annually. The country is also strategically positioned to serve as potential growth platform to the Middle-East.

SOURCE International Paper

International Paper has announced that it has reached an agreement to sell its Temple-Inland Building Products division to Georgia-Pacific LLC for $750 million in cash, subject to certain pre-and post-closing adjustments. The assets to be sold include 16 manufacturing facilities - five solid wood mills, four particleboard plants, two medium-density fiberboard plants, one fiberboard plant and four gypsum wallboard plants.

"While not core to IP's strategy, Temple-Inland Building Products is an industry leader," said John Faraci, Chairman and Chief Executive Officer. "I am pleased to have reached a deal that recognizes the strength of the business and provides excellent value for IP shareowners."

Temple-Inland Building Products facilities are located across eight states, primarily in the southeastern and eastern portions of the United States, with access to five of the top 12 housing markets.

The transaction is expected to be completed in the first quarter of 2013, subject to satisfaction of various closing conditions, including obtaining required governmental approvals.  IP intends to use the proceeds from the sale to reduce its debt.

Additionally, the Company announced its intention to report a new (Non-GAAP) adjusted EPS measure, 'Operating Earnings' beginning with our fourth quarter 2012 earnings release. Operating earnings is defined as earnings from continuing operations (GAAP) excluding special items and non-operating pension expense, which is impacted by changes in interest rates and plan returns. Significant declines in interest rates over the past several years have caused an extraordinary increase in certain components of pension expense that the Company considers to be unrelated to underlying operating performance.  This move will thereby reduce the volatility in earnings from non operational factors and improve the transparency of the performance of current operations.  For the nine-month period ended Sept. 30, 2012, non-operating pension expense was approximately $.18 per share on a continuing operations basis. The Company will provide further information concerning the new reporting format with our next quarterly earnings release.

SOURCE International Paper

International Paper (NYSE: IP) has announced that it will donate over 8,100 acres of land, which includes the Bussey Brake and Wham Brake reservoirs, to the Louisiana Department of Wildlife and Fisheries(LDWF).  The total donation is valued at over $7.8 million. The fresh water reservoirs located near Bastrop, Louisiana in Morehouse Parish are popular recreational sites.

"This donation by International Paper will preserve these reservoirs for future generations to come for the citizens of Louisiana," said Tommy Joseph, International Paper Senior Vice President. "We are excited to be able to make this announcement today."

"Preserving fish and game habitat for public use is a key component in the department's conservation mission," said LDWF Secretary Robert Barham.  "IP's generous donation falls right in line with our public access initiatives."

Bussey Brake, a 2,600-acre fresh water reservoir, was constructed in the mid 1950's by International Paper to serve as an alternative water source for the Louisiana Mill. International Paper owned 620 acres of the reservoir site with the remaining balance under leases with third parties. Under terms of the donation, the leases will be transferred to LDWF.

LDWF plans for Bussey Brake include a complete renovation of the reservoir's fish population.  The impoundment will be drained and allowed to dry completely.  The current fish population will be removed and the reservoir stocked with popular game fish including bass, bream, catfish and crappie. Once re-stocked, the reservoir will be monitored and managed with recreational fisheries a priority.  The renovation process will take three to five years to achieve success and the resulting fish population, once established, would self-sustain as healthy fisheries for several decades.

Wham Brake was also constructed in the 1950's on IP lands though a joint effort with the U.S. Army Corp of Engineers. The 5,550-acre reservoir will become part of the (21,948 acre) LDWF's Russell-Sage Wildlife Management Area, providing preservation of wildlife habitat for future generations. LDWF will partner with Ducks Unlimited to initiate a hydrologic survey of Wham Brake to determine a management strategy for this vitally important waterfowl area. Planned site improvements include better hunter access through additional boat launches and parking areas, improved water delivery systems and more uniform moist soil management units creating added acres of waterfowl habitat.  

SOURCE International Paper

International Paper (NYSE: IP) and Brazilian corrugated packaging producer Jari Celulose, Embalagens e Papel S/A, a Grupo Orsa company, have entered into an agreement to form a joint venture which will support IP's strategy of growing its global packaging presence and better serving its global customer base. Jari's industrial packaging assets, including three containerboard mills and four box plants, will be separated from its pulp and forestry businesses and transferred to a newly formed company in which IP will hold a 75 percent stake. IP's investment in the joint venture will be BRL 952 million, or approximately $470 million at today's exchange rate.

"This partnership fits well with International Paper's strategy to globally grow our corrugated packaging business in strategic regions of the world," said John Faraci, Chairman and Chief Executive Officer. "We are excited about Brazil's growing market and this investment provides us with an attractive position with a strong return on investment."

With an agreement now in place, the companies expect to finalize the transaction early in the first quarter of 2013, subject to various closing conditions and governmental approvals.

The company will discuss the agreement, during its third quarter earnings webcast on Thursday, October 25th.

SOURCE International Paper

International Paper's (NYSE: IP) board of directors have increased the company's quarterly dividend by 14% to $0.30 per share for the period from October 1, 2012, to December 31, 2012, inclusive, on its common stock, par value $1.00. This dividend is payable on December 17, 2012, to holders of record at the close of business on November 15, 2012.

"This dividend increase underlines our commitment to return value to our shareholders while maintaining financial flexibility, and reflects management's expectations of improving free cash flow generation and earnings performance in 2013," said John Faraci, Chairman and Chief Executive Officer. "International Paper is committed to a sustainable dividend, which is reviewed periodically and will be increased as earnings and cash flow permit."

Additionally, the company also declared a regular quarterly dividend of $1.00 per share for the period from October 1, 2012, to December 31, 2012, inclusive, on the cumulative $4.00 preferred stock of the company. This dividend is also payable on December 17, 2012, to holders of record at the close of business on November 15, 2012.

SOURCE International Paper

International Paper (NYSE: IP) will release third quarter 2012 earnings on Thursday, October 25, before the opening of the New York Stock Exchange. The company will host a webcast to discuss earnings and current market conditions at 9 a.m. EDT (8 a.m. CDT) that day.

All interested parties are invited to listen to the webcast via the company's Internet site at http://www.internationalpaper.com by clicking on the Investors tab and going to the Webcasts and Presentations page. A replay of the webcast will also be on the Web site beginning approximately two hours after the call.

Parties who wish to participate in the webcast via teleconference may dial +1 (706) 679-8242 or, within the U.S. only, (877) 316-2541, and ask to be connected to the International Paper Third Quarter Earnings Call. The conference ID number is 35786152. Participants should call in no later than 8:45 a.m. EDT (7:45 a.m. CDT). An audio-only replay will be available for four weeks following the call. To access the replay, dial +1 404-537-3406 or, within the U.S. only, (855) 859-2056, and when prompted for the conference ID, enter 35786152.

SOURCE International Paper