Caraustar Announces a $50 Per Ton Price Increase on All Uncoated Recycled Paperboard (URB) Grades

Quarter Highlights: *Delivered net sales of $5.1 billion, up 1 percent, with organic sales growth of 5 percent. *Gross margin was 33.7 percent, up 350 basis points; adjusted gross margin was 34.0 percent, up 380 basis points versus the prior year, driven by favorable net revenue realization and productivity, offsetting inflation. *Raised 2023 outlook for organic growth to 3% - 5%, and for adjusted earnings per share growth of 10% - 14%, with adjusted operating margin up 150 basis points at the midpoint versus last year.

Total Containerboard production in March increased nine percent compared to March 2020. It was up two percent when compared to the same three months of 2020. March 2021 production of containerboard for export decreased 15 percent compared to the same month last year; it was down 25 percent year-to-date. The containerboard operating rate was 98.4 percent, up 2.8 points from March 2020 and essentially flat (-0.3 pts.) year-to-date. Mill inventories of containerboard at the end of March decreased 77,000 short tons from the previous month and were down 56,000 short tons compared to March 2020.

UPM Raflatac is leading the way by introducing a full range of paper label products made with 100% recycled fibers designed for food, retail and logistics labeling needs. The range includes the first commercially available Total Phenol Free thermal paper labels made with 100% recycled fibers. These labels are a good choice for logistics and retail labeling applications and contribute to the overall sustainability of the packaging. UPM Raflatac’s new product range offers brand owners a way to increase the share of recycled materials in their packaging. This reduces the pressure on forests and enables a circular economy. The range is FSC® certified and the labels maintain the same functionalities as label material made from virgin fibers. “The need to reduce waste and alleviate the pressure to virgin raw material sources is evident and increasing. One of the ways to achieve that is by recycled materials. We continue to lead the way in sustainable labeling as we introduce thermal paper labels with 100% recycled fibers to the market. Making the switch to these labels offers a host of sustainability benefits for both the brand owners and the environment,” says Ville Pollari, Director, Business Segment VIP & Prime, UPM Raflatac.