Service Performance for First-Class Mail and Periodicals Improves as Peak Season Nears

Even in the era of “there’s an app for that,” our largely tech-first culture is reclaiming timeless analog elements. Today the Paper & Packaging – How Life Unfolds® campaign unveils a new limited-edition print publication, Pod Papers Magazine, bringing podcasts to life in a way that has never been done before – in print. Complimentary copies of Pod Papers will be available exclusively in store at Barnes & Noble locations nationwide while supplies last. “Our culture, though increasingly digital, is in the midst of a moment of reflection. For many, turning digital into analog is helping fuel inspiration and creativity,” observes Mary Anne Hansan, president of the Paper and Packaging Board. “Pod Papers is our answer to this cultural moment – it’s meant to be pored over and become a keepsake.” Click Read More below for additional information.

Total reported sales for the second quarter of 2021 were $2.3 billion, an increase of 6% compared to the second quarter of 2020. The year-over-year increase in revenue was partially driven by stronger business activity as the public sector returned to work and schools began to return to in-class learning. Product sales in the second quarter were up 6% relative to the prior year period, driven by stronger demand for core supply product categories, workspaces and technology. Service revenue in the first quarter was up 8%, largely related to stronger demand for managed print and fulfillment, as well as copy and print services in both BSD and Retail Divisions. The Company reported operating loss of $78 million in the second quarter of 2021, compared to operating loss of $456 million in the prior year period. GAAP operating results in the second quarter included $122 million of charges including $115 million of non-cash asset impairment charges, and $7 million in net merger, restructuring and other operating costs. Asset impairment charges of $115 million in the second quarter of 2021 included $114 million related to impairment of goodwill and other intangible assets at CompuCom, largely related to the macroeconomic effects of COVID-19 on current business conditions. Net merger, restructuring and other operating costs of $7 million were primarily associated with the planned separation of B2B operations. Net loss was $88 million, or $(1.62) per diluted share in the second quarter of 2021, compared to net loss of $439 million, or $(8.19) per diluted share in the second quarter of 2020.

Rejecting requests by lawmakers and advocates, the Federal Communications Commission says it will proceed with next week's scheduled vote on whether to repeal the net neutrality rules. On Monday, the City of New York and 40 advocacy groups urged the FCC to hold off on a vote until after a federal appellate court decides whether a different agency -- the Federal Trade Commission -- has authority to bring consumer protection cases against broadband providers. Also on Monday, a group of 28 U.S. senators, along with New York Attorney General Eric Schneiderman and FCC Commissioner Jessica Rosenworcel, urged publicly urged the FCC to hold off on a vote due to problems with the public commenting process. "While I fundamentally disagree with the merits of the FCC’s proposal, what is equally concerning is the lack of integrity to the FCC’s process that has led to this point," Rosenworcel stated. Click Read More below for additional information.