THIRD QUARTER SUMMARY: • Earnings before interest and taxes ("EBIT") were $105 million, or 2.9 percent of net sales, compared with $208 million, or 5.9 percent of net sales, during the same period in fiscal 2017. • Third quarter net earnings were $67 million compared with $114 million during the same period in fiscal 2017. Excluding an after-tax impact of $49 million for the estimated credit-related charge, net earnings were relatively flat. • In Full-Price, comparable sales increased 0.4 percent. In Off-Price, comparable sales increased 5.8 percent. • Gross profit, as a percentage of net sales, of 33.3 percent decreased 137 basis points compared with the same period in fiscal 2017. Click read more below for additional detail.
American Forest & Paper Association (AF&PA) President and CEO Donna Harman commended the Environmental Protection Agency (EPA) for organizing the America Recycles Day Recycling Summit. On Thursday afternoon, she will join industry executives in addressing the EPA headquarter-based summit and in signing an EPA pledge to help identify solutions to issues facing the U.S. recycling system. “Our industry shares concerns over the challenges facing the U.S. recycling system. Recovered paper markets are complex, dynamic and efficient, yet the paper and paper-packaging industry continues to innovate and adapt to market demands to drive future success. Moreover, paper, by weight, is the most recycled material from municipal solid waste streams in the United States today, and we have met or exceeded a 63 percent recovery rate for paper and paper-based packaging for each of the last nine years. Click read more below for additional detail.
National Average Price for Regular Unleaded – Current: $2.654; Month Ago: $2.885; Year Ago: $2.562. National Average Price for Diesel – Current: $3.236; Month Ago: $3.298; Year Ago: $2.836.
American Dollar to Canadian Dollar = 0.758467; American Dollar to Chinese Yuan = 0.143889; American Dollar to Euro = 1.134033; American Dollar to Japanese Yen = 0.008835; American Dollar to Mexican Peso = 0.049110.
Oil rose on Friday on expectations that OPEC and its allies would agree to cut output next month but prices were still down on the week on concerns that the global market was oversupplied. Ministers from the Organization of the Petroleum Exporting Countries meet on Dec. 6 in Vienna to decide on production policy for the next six months. They have to decide what to do about a growing surplus in world markets. OPEC is widely expected to start trimming output soon, fearing a repeat of the 2014 price rout. Click read more below for additional detail.
The retailer’s plan to auction off at least 400 stores won approval Thursday at a bankruptcy court hearing. Sears plans to use the proceeds from the sale to stay in business — at least for the time being. A committee of Sears’ creditors had objected to the plan and argued that the bankrupt retailer should immediately start liquidating to limit its ongoing losses, reported cnn.com. The bankruptcy court judge said he will hold another hearing a week before Christmas to consider whether to go ahead with Sears’ effort to stay in business or start the process to close all its remaining stores, the report said. Sears also disclosed that it has arranged for a $350 million loan from finance company Great American Capital Partners to fund operations during the bankruptcy process. The loan is an important part of the retailer’s play to remain a viable going concern as it heads into the holiday season.
The brand-new, next-generation, single-pass EFI™ Reggiani BOLT textile digital printer from Electronics For Imaging, Inc. made its debut this week during an open house event at the EFI Reggiani facility in Bergamo, Italy. The advanced, ultra-high-speed digital single-pass printer has the potential to revolutionize the textile printing market, providing users with high uptime and reliability, outstanding performance, superior printing uniformity and accuracy, long printhead life and minimal maintenance needs. The EFI Reggiani open house has created huge interest in global textile market opportunities, with nearly 300 customers and journalists attending to see the new BOLT in action. “The innovative development of our new single-pass printer comes from Reggiani’s speed of innovation in digital textile printing, its 70 years of history, and our proprietary knowledge of high-volume analog rotary printing,” said EFI Reggiani Vice President and General Manager Adele Genoni. Click read more below for additional detail.
Georgia‐Pacific celebrated the official start of production at its newest lumber facility in Talladega, Alabama. The $100‐million, 300,000‐square‐foot, technologically advanced plant took nine months to complete. The plant currently employs more than 130 full-time employees and will generate an estimated $5 million in annual payroll. “This investment in Talladega, and across Alabama, drives home our focus on providing long-term value to our customers, communities, employees and company,” said Fischer. “I’m proud of the many talented employees working at this site. We thank Governor Ivey and Mayor Cooper, and all our community friends and neighbors for supporting our operations and celebrating this achievement.” Click read more below for additional detail.
Intertape Polymer Group Inc. announced it has closed on its previously exercised call option to acquire the outstanding 26% interest in Powerband Industries Private Limited for $9.9 million. The Company held the option under a shareholders agreement with the minority shareholders of Powerband. IPG now owns all of the issued and outstanding common shares of Powerband after this transaction which is subject to regulatory approval in India. IPG had already transitioned all management responsibilities to an IPG-appointed management team earlier this year so this transaction will not have any impact on day-to-day operations. “By exercising our option, we have simplified the governance structure of the Powerband subsidiary. Most importantly, the transaction provides us with a 100% interest in the cash flows from the business,” said Greg Yull, President and CEO of IPG. “Acquiring a controlling interest in Powerband in 2016 provided us with additional capacity for acrylic carton-sealing tapes in a low-cost manufacturing region with the goal of exporting these competitively-priced tape products to North America and Europe. Since that time, having this overseas asset has enabled us to expand our market share in North America and negotiate better terms on raw materials for our US production of similar packaging tapes.” Click read more below for additional detail.
Smurfit Kappa’s Van Mierlo plant in Belgium is celebrating its 100th anniversary. The plant, which was founded by entrepreneur Jan Van Mierlo back in 1918, quickly established itself as a leading supplier of corrugated board in Belgium and then extended its reach throughout Europe. The Van Mierlo plant produces corrugated board and folding carton used for consumer and gift packaging. The products are printed in offset to a high specification using specialised finishing effects like UV, metallic or soft touch to make the brands come alive on the shelf. Click read more below for additional detail.