Sappi delivers results ahead of expectations for the second financial quarter

Filled with entertaining urban legends and popular misconceptions, Sappi's new "True or False" booklet challenges frequently heard myths such as, "humans only use 10% of their brains" and "lightning never strikes the same place twice." It also refutes the widespread belief that uncoated printing papers cost less than coated. In addition to comparing costs, performance capabilities, and environmental benefits between coated and uncoated sheets, "True or False" presents an actual side-by-side demonstration of the same image printed with the same press settings on Sappi McCoy Matte and Silk and two comparable uncoated grades, so readers can see the tactile and visual differences for themselves. "Some myths about coated and uncoated paper have been around so long that people accept them as fact, but not everything that people believe to be true is true," says Patti Groh, Director of Marketing Communications, Sappi North America. "A premium smooth uncoated sheet may cost as much as 170% more than a comparable coated sheet such as Sappi's McCoy. Click Read More below for additional information.

Due to recent cost changes and market conditions French Paper is announcing our first price increase since 3-3-14, over three and a half years. This increase consists of $5/cwt for Glo-Tone and $4/cwt across all other grades, with equivalent changes made among envelope items. All changes will apply to orders placed after December 15th. Along with these pricing changes we have begun the discontinuation of our Mod-Tone grade and will sell remaining items as inventory is available.

Norske Skog’s EBITDA in the fourth quarter of 2021 was NOK 422 million, an increase from NOK 111 million in the third quarter of 2021. Sales prices for all grades increased in the quarter as a necessary consequence of unprecedented high energy costs in Europe and a tightened publication paper market situation following significant capacity closures and post Covid-19 demand recovery. The European mills operated at full capacity during the quarter. Cash flow from operations was NOK 317 million in the quarter compared to NOK -99 million in the previous quarter, positively impacted by the improved operating margins, change in working capital and sale of CO2-allowances, but negatively impacted by employee redundancy payments at the Tasman mill in New Zealand. Operating earnings in the fourth quarter of 2021 were NOK 479 million compared to operating earnings in the third quarter of 2021 of NOK -565 million. Net profit in the quarter was NOK 400 million compared to a net loss of NOK 602 million in the previous quarter. Net interest-bearing debt was NOK 1 054 million at the end of the fourth quarter, with an equity ratio of 34%.