American Forest & Paper Association Releases June 2020 Boxboard Monthly Report

Q1 2022 Highlights *Net Sales were $2,245 million versus $1,649 million in the prior year quarter. *Net Organic Sales increased 3% versus the prior year quarter driven by increased demand for innovative fiber-based packaging solutions and expansion into new market segments and geographies. *Net Income was $107 million versus $54 million in the prior year quarter. *Integration of recently expanded European platform continued; on track to deliver $40 million of synergies over three years. *New K2 Coated Recycled Paperboard (CRB) machine in Kalamazoo, Michigan began operating and the ramp in production is meeting expectations; on track to achieve $50 million in incremental EBITDA in 2022 and $130 million in incremental EBITDA over three years. *Global liquidity was $1,078 million at quarter end.

First Quarter Financial Highlights include (all results compared to the first quarter of 2023 unless otherwise noted): *Net income of $67.2 million decreased compared to net income of $89.9 million or $1.54 per diluted Class A share. Net income, excluding the impact of adjustments(1), of $72.8 million increased compared to net income, excluding the impact of adjustments, of $61.9 million *Net cash provided by operating activities decreased by $28.4 million to $4.5 million. *Total debt of $2,291.8 million increased by $62.5 million. Net debt(4) increased by $44.2 million to $2,112.5 million. Our leverage ratio(5) increased to 2.53x from 2.20x sequentially, and increased from 2.11x in the prior year quarter.

Sonoco Protective Solutions announced the expansion of its proprietary Sonopost® packaging technology into Europe. Utilizing current manufacturing infrastructure, strategically located to support this growing opportunity, Sonoco Protective Solutions will expand with a new Sonopost manufacturing operation in Sochaczew, Poland this summer. The Sonopost manufacturing platform uses corner posts made from 100% recycled paperboard to provide a more sustainable packaging solution for large appliances, HVAC units and similar products requiring superior unit protection and exceptional stacking capability. After use, the 100% recyclable corner posts can be bailed with existing paper scrap and recycled in the paper stream, allowing manufacturers to reduce or completely eliminate their plastic packaging waste.