World’s largest kraftliner machine enters service in Obbola

Q2 2020 Highlights *Net Sales were $1,611.0 million versus $1,552.8 million in the prior year period. *Net Income was $52.1 million versus $63.8 million in the prior year period. *Net organic sales increased 1.5% in Q2 and 3% in the first half of 2020 versus the prior year periods. *Continue to operate safely and effectively; investing in multiple protocols focused on the well-being of employees and serving customers globally. *Successfully closed the 70,000 ton White Pigeon, Michigan Coated Recycled Board (CRB) mill and shut down the 120,000 ton West Monroe, Louisiana PM1 containerboard machine. *Repurchased $38.0 million in common shares during the quarter; delivered $64.9 million to stakeholders in share repurchases, dividends and partnership distributions.

Net sales of $1.1 billion increased 10% on an as reported basis. Currency had a positive impact on total net sales of 4%, or $36 million. As reported, net sales increased across all regions. Net loss from continuing operations on an as reported basis was $208 million, or $(1.25) per diluted share, as compared to $54 million, or $(0.27) per diluted share, in the first quarter 2017. Net loss in the first quarter 2018 was unfavorably impacted by $293 million of special items, primarily related to $290 million of provisional tax expense for one-time tax on unrepatriated foreign earnings pursuant to the U.S. Tax Cuts and Jobs Act of 2017 ("TCJA"). Click Read More below for additional information.

Mondi has announced the approval of a €400 million investment in a new paper machine at its flagship Štětí mill in the Czech Republic. The investment forms part of the Group’s €1 billion expansionary capital investment programme to accelerate growth in sustainable packaging and will further strengthen Mondi’s leading position in the market. The investment will help Mondi to meet the growing demand for paper-based flexible packaging, underpinned by growth in eCommerce and sustainable packaging, and will contribute to increasing Mondi’s range of innovative, sustainable packaging and paper solutions. The new machine will produce around 210,000 tonnes per annum of sack kraft paper supporting Mondi’s Paper Bags business thanks to the benefits of a vertically integrated value chain. It will also allow Mondi to optimise production across the remaining kraft paper portfolio and strengthen its leading position in speciality kraft paper across a broad range of applications such as functional barrier papers.