Industry-Leading Digital Print Technology

Third Quarter 2020 Highlights (as compared to third quarter 2019): • Revenue increased 10.0% to $323.0 million primarily due to increased demand in products with significant ecommerce end market exposure including water-activated tape and protective packaging. • Gross margin increased to 26.0% from 21.8% primarily due to effective management of the spread between selling prices and combined raw material and freight costs, and favorable plant performance from both increased production to meet demand and continued cost savings initiatives implemented in the prior quarter. • Net earnings attributable to the Company shareholders ("IPG Net Earnings") increased $14.2 million to $26.7 million ($0.45 basic and diluted earnings per share) primarily due to an increase in gross profit, partially offset by an increase in selling, general and administrative expenses ("SG&A") due to an increase in the fair value of cash-settled sharebased compensation and an increase in income tax expense mainly driven by improved profitability in 2020.

In a world increasingly aware of the need to preserve our natural resources, paper-based packaging offers a renewable, recyclable, and sustainable solution. Through The Responsible Package® initiative, Pratt Industries works with allied companies and associations to provide free, standards-based education materials on this topic to middle school teachers, students, and families. As future decision-makers, the students of today play an important role in preserving our natural resources for future generations. By helping students understand the value of materials that might otherwise be sent to landfill, we as an industry can work to maintain our long-standing tradition of recovering and recycling paper and paper-based packaging at rates well above most of our non-renewable competitors. In 2017, The Responsible Package educational materials were distributed to 355,000 students in more than 2,000 schools across 25 states. All of the educators who responded to a year-end survey expressed interest in repeating their participation in the program and reported students gaining awareness and a positive outlook for paper-based products. Click Read More below for additional information.

Liberty Diversified International (LDI) has acquired the assets of Miller Container Company, a Quad Cities-based manufacturer of corrugated cartons and displays. Miller Container will continue to operate under its well-established brand name at its Rock Island headquarters and warehouse as well as its sheet plant in Clinton, Illinois. Mike Vonderhaar, who has served as owner and president, will remain with the company and join LDI’s packaging management team. Miller Container employees will be offered continued employment. LDI’s profile as a major player in the corrugated packaging industry, with facilities in Minnesota, Nebraska, Texas, California and Mexico, continues to expand with this acquisition in the Quad Cities area.