international paper co (IP) Key Developments
International Paper Company Presents at The Barclays Industrials Select Conference, Feb-19-2014 01:20 PM
Feb 7 14
International Paper Company Presents at The Barclays Industrials Select Conference, Feb-19-2014 01:20 PM. Venue: The Loews Miami Hotel, Miami, Florida, United States. Speakers: Carol Roberts, Chief Financial Officer and Senior Vice President.
International Paper Company Announces Preliminary Unaudited and Consolidated Earnings Results for Fourth Quarter and Full Year Ended December 31, 2013; Announces Impairment Charges for Fourth Quarter Ended December 31, 2013; Expects to Layoff Between 600 to 700 Employees by Feb. 10; Provides Earnings Guidance for 2014
Feb 4 14
International Paper Company announced preliminary unaudited and consolidated earnings results for fourth quarter and full year ended December 31, 2013. For the quarter, the company reported net sales of $7,249 million, earnings from continuing operations of $425 million, net earnings attributable to company shareholders of $436 million or $0.98 per diluted share, compared to the net sales of $7,075 million, earnings from continuing operations of $222 million, net earnings attributable to company shareholders of $235 million or $0.53 per diluted share, for the same quarter a year ago. Operating earnings per share was $0.83 against $0.69 a year ago. Diluted share on net earnings from continuing operations were $0.97 against $0.51 a year ago. Operating earnings totaled $367 million compared with $305 million in the fourth quarter of 2012. Operating Earnings were $1.4 billion compared with $1.2 billion in 2012. Loss from continuing operations before income taxes and equity earnings were $155 million compared to income from continuing operations before income taxes and equity earnings of $287 million a year ago.
For the year, the company reported net sales of $29,080 million, earnings from continuing operations of $1,333 million, net earnings attributable to company shareholders of $1,395 million or $3.11 per diluted share, cash provided by operations of $3,028 million, amount invested in capital projects of $1,198 million compared to the net sales of $27,833 million, earnings from continuing operations of $754 million, net earnings attributable to company shareholders of $794 million or $1.8 per diluted share, cash provided by operations of $2,967 million, amount invested in capital projects of $1,383 million, for the previous year. Operating earnings per share was $3.16 against $2.65 a year ago. Diluted share on net earnings from continuing operations were $3.01 against $1.70 a year ago. Earnings from continuing operations before income taxes and equity earnings were $849 million compared to $1,024 million a year ago. EBITDA increased from $3.7 billion in 2012 to $4.1 billion in 2013. EBIT was up $400 million year-over-year.
The company reported impairment of goodwill and other intangibles of $527 million for the fourth quarter ended December 31, 2013.
The company is still in the process of shutting down its Courtland, Ala., mill, a move that was announced in September. When the shutdown is completed, 1,100 employees will have been laid off or transferred to other mills. Between 600 and 700 employees are expected to be laid off by Feb. 10. The shutdown should be completed by the end of the first quarter of 2014.
The company provided earnings guidance for 2014. The company expects another meaningful increase in EBITDA results of roughly 10% in 2014 over 2013. As a result, free cash flow generation should approach $2 billion. The company is going to take another significant step toward near-term goal of achieving over $5 billion of EBITDA, $2.2 billion free cash flow.
International Paper to Lay Off Hundreds of Workers and Shut Down its Final Two Paper Machines in Lawrence County
Feb 2 14
International Paper announced that it is preparing to lay off hundreds of workers and shut down its final two paper machines to prepare for the closing in March. The layoffs will be International Paper’s second major workforce reduction since early December, when about 100 Courtland employees lost their jobs. A closure team of about 200 employees will remain on site for a period to help maintain the facility. Of the nearly 400 Courtland mill workers who expressed an interest in relocating to another International Paper facility and about 55% of the mill’s employees were eligible for retirement.
International Paper and Unisource Worldwide Announce Appointments to the New Company
Jan 28 14
International Paper announced that distribution solutions businesses xpedx and Unisource Worldwide Inc. will merge under the terms of a definitive agreement that will result in the creation of a new publicly traded company. The new company's executive offices will be located in the greater Atlanta area. In addition, the new company will retain the two existing operational headquarters of the legacy companies in Loveland, Ohio, and Norcross, Ga. Mary Laschinger will be the chief executive officer of the new company and chairman of its board of directors. Allan Dragone, currently president and CEO, Unisource Worldwide, will serve as a director of the new company and will advise on integration activities. The other directors will be: Lead Director William E. Mitchell, retired chairman and chief executive officer, Arrow Electronics Inc. and founder of Sequel Capital Management, LLC; Daniel T. Henry, retired executive vice president and chief financial officer, American Express; Tracy Leinbach, retired executive vice president and CFO, Ryder System Inc.; John Zillmer, retired chairman, president and chief executive officer, Univar Inc.; Michael Muldowney, former CFO and interim CEO of Houghton Mifflin Harcourt Publishing Co., and founder and CEO of Foxford Capital, LLC; Charles G. Ward, partner, Perella Weinberg Partners, and former president of Lazard Ltd.; Seth Meisel, managing director, Bain Capital.
International Paper Declares Dividend on Common Stock and Preferred Stock for the Quarter Ending March 31, 2014, Payable on March 17, 2014
Jan 14 14
International Paper declared a quarterly dividend of $0.35 per share for the period from January 1, 2014, to March 31, 2014, inclusive, on its common stock, par value $1.00. This dividend is payable on March 17, 2014, to holders of record at the close of business on February 17, 2014.
The company also declared a regular quarterly dividend of $1.00 per share for the period from January 1, 2014, to March 31, 2014, inclusive, on the cumulative $4.00 preferred stock of the company. This dividend is also payable on March 17, 2014, to holders of record at the close of business on February 17, 2014.