Consolidated net sales of $766 million in the first quarter of 2017 increased by $28 million, or 4 percent compared to $738 million for the 2016 first quarter. The increase is primarily due to a better product mix, higher containerboard prices and higher sales volume. The Company sold 699,000 tons of paper during the first quarter of 2017 compared to 692,000 tons a year earlier. The Company's average mill selling price of $648 per ton in the first quarter of 2017 increased by $23 per ton, or about 4 percent compared to the first quarter of 2016 due to higher domestic and export containerboard prices and a favorable product mix. Mill selling prices increased by $31 per ton or 5 percent compared to the fourth quarter of 2016 due to a favorable product mix. Operating income of $20 million for the 2017 first quarter decreased by $14 million, or 42 percent, compared to the 2016 first quarter. The lower operating earnings primarily reflect higher fiber costs due to the rapid increase in OCC costs over the last six months. In addition, there were one-time costs associated with ratifying a union contract at the Company's North Charleston paper mill and higher operating costs, including restoration of employee benefits, stock compensation expenses and change in the fair value of a contingent consideration liability. click Read More below for additional detail
Rayonier Advanced Materials paperboard division is pleased to announce the launch of their new Folding Grade Kallima box™.
Customers of Kallima® coated paperboard will continue to benefit from the strength and versatility they’ve come to expect from Kallima® commercial printing grades, but with a new product option that delivers a foldable, printable, boxable solution for all their packaging, cartons, POP displays and other projects.
As Martin Lavoie, Vice President of Sales and Marketing stated: “Our customers from the commercial print markets have come to appreciate the main benefits of Kallima: its lower basis weight and its North American footprint. We are now pleased to offer this unique combination of advantages to packaging converters.”
Kallima box™ is a 3-ply FBB (folding boxboard) grade manufactured in North America. It is coated one side and is available in 14 pt, 16 pt and 18 pt, with consistent printability and reliability on press. Its low-density high yield pulp content and multi-ply construction brings significant savings due to the basis weight advantage over competing SBS products. Available in sheets and rolls, FDA-compliant for dry food contact and FSC-certified® upon request.
The addition of Kallima box™ allows for greater product diversification and expansion into new markets, specifically the packaging segment.