FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
February 2, 2000
ST. LAURENT PAPERBOARD INC.
(Translation of registrant's name into English)
630 Rene-Levesque Boulevard, West, Suite 3000,
Montreal, Quebec H3B 5C7
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports
under cover of Form 20-F or Form 40-F.
Form 20-F ...... Form 40-F ..X...
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b)under the Securities Exchange Act of 1934.
Yes ..... No ...X..
INFORMATION FILED WITH THIS REPORT
The following document is filed as an Exhibit to this Report:
Exhibit I -- Press Release, dated February 2, 2000, of St. Laurent Paperboard
Inc. announcing that it Reports $8.9 Million Net Earnings for
the Fourth Quarter of 1999 for Total Net Earnings of $38.3 Million
for 1999.
<PAGE>
On February 2, 2000 St. Laurent Paperboard Inc. issued a press release
announcing that St. Laurent Paperboard Inc. Reports $8.9 Million Net Earnings
for the Fourth Quarter of 1999 for Total Net Earnings of $38.3 Million for 1999.
Exhibit I -- Press Release, dated February 2, 2000, of St. Laurent Paperboard
Inc. announcing that St. Laurent Paperboard Inc. Reports $8.9 Million Net
Earnings for the Fourth Quarter of 1999 for Total Net Earnings of $38.3 Million
for 1999.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Date: February 2, 2000
ST. LAURENT PAPERBOARD INC.
(Registrant)
By: /s/ Richard Garneau
-------------------------------
Name: Richard Garneau
Title: Senior Vice President and
Chief Financial Officer
St. Laurent Paperboard Inc.
<PAGE>
EXHIBIT I
P r e s s R e l e a s e
For immediate release
ST. LAURENT PAPERBOARD INC. REPORTS $8.9 MILLION NET EARNINGS
FOR THE FOURTH QUARTER OF 1999 FOR TOTAL NET EARNINGS OF $38.3 MILLION FOR 1999
Note: All amounts are expressed in US dollars unless otherwise stated.
Montreal, February 2, 2000 - For the fourth quarter of 1999, St. Laurent
Paperboard Inc. generated net earnings of $8.9 million, or $0.18 per share, on
net sales of $252.5 million, compared to a net loss of $10.6 million, or $0.21
per share, on net sales of $184.3 million for the same quarter in 1998.
For the year ended December 31, 1999, net earnings totalled $38.3 million, or
$0.78 per share, on net sales of $915.8 million, compared to a net loss of
$23.3 million, or $0.47 per share, on net sales of $791.9 million for 1998.
NET SALES
Net sales in the fourth quarter of 1999 increased to $252.5 million compared to
$184.3 million for the same period in 1998. This improvement in net sales is
attributable to the following:
o Shipments of paperboard products were up 15,300 tons or 4.2% and net price
realizations were 27% higher compared to the corresponding quarter of 1998.
o Shipments of corrugated containers increased by 224 million square foot and
net price realizations were up 19% compared to the same quarter in 1998.
The increased shipments were attributable to the strong performance of the
Milwaukee sheet feeder and the acquisitions of Castle Rock Container and
Eastern Container.
o Sawmills' net sales increased by $6 million over the corresponding quarter
last year, the result of the acquisition of three sawmills and a lumber
remanufacturing facility.
o Liquid and food packaging sales increased by 4,530 tons and net price
realization declined by 1.0% compared to the fourth quarter last year.
BUSINESS REVIEW
o Net earnings increase of $19.5 million
o Major major maintenance downtime at the West Point, Virginia mill reduced
production by 6000 tons
o Downtime required for equipment tie-ins on major capital projects at the La
Tuque, Quebec mill, resulted in a 4000 ton production reduction
o Sale of St. Leonard, Quebec liquid packaging facility to Elopak Canada Inc.
o Acquisition of the remaining 51% interest in Eastern Container
o Eastern Container's acquisition of Kimball Companies, a protective
packaging business
o Acquisition from Abitibi-Consolidated of the economic interest in the
Thunder Bay, Ontario mill
<PAGE>
TABLE 1 - KEY FINANCIAL RESULTS
(In millions of US dollars, except percentage and per share amounts)
- --------------------------------------------------------------------------------
1999 1998 1999
Fourth Quarter Fourth Quarter Third Quarter
- --------------------------------------------------------------------------------
Net sales 252.5 184.3 246.2
EBITDA 40.1 7.2 46.9
EBITDA margin - % 15.9% 3.9% 19.0%
Operating earnings 23.2 (7.6) 29.9
Unusual items after taxes - - 5.8
Net earnings (losses) 8.9 (10.6) 20.3
Per share 0.18 (0.21) 0.42
Note: EBITDA is Earnings Before Interest, Taxes, Depreciation and Amortization.
EBITDA margin is the ratio of EBITDA divided by net sales.
OPERATING EARNINGS
1999 4TH QUARTER COMPARED TO 1998 4TH QUARTER
For the fourth quarter of 1999, operating earnings were $23.2 million compared
to an operating loss of $7.6 million, an increase of $30.8 million compared to
the corresponding quarter in 1998. The operating earnings improvement is mainly
attributable to higher net price realization for paperboard and corrugated
products, which were respectively 27% and 19% higher than the corresponding
period in 1998. Paperboard cash manufacturing costs were negatively impacted by
higher fuel, labour and maintenance costs as well as by the stronger Canadian
dollar. Selling and administrative expenses were $6.3 million higher,
attributable to the acquired packaging facilities, the cost associated with
setting up the new e-commerce packaging subsidiary, supply chain management
organization and containerboard branding advertising campaign costs.
Total paperboard production was 3.1% higher than the fourth quarter of 1998,
despite the West Point, Virginia mill major maintenance outage and production
disruptions related to work on the two major ongoing construction projects at
the La Tuque, Quebec mill. Productivity has improved on all the corrugating
medium machines as well as on the white top linerboard machines compared to the
1998 fourth quarter. Corrugated containers operating earnings increased slightly
compared to the fourth quarter of 1998. Net price realization improvement was
offset by higher paperboard and manufacturing costs as well as by costs
associated to the closure of the Markham facility. The Eastern Container results
were included in the Company's results in December following the acquisition of
the remaining 51% interest.
The Canadian dollar strengthened by 4.7% compared to the corresponding quarter
in 1998 thus increasing manufacturing costs denominated in Canadian dollars by
$2.9 million or $8 per ton. The Company actively manages its Canadian dollar
currency and commodity price exposures, which resulted in an opportunity loss of
$1.8 million, a reduction of $1.9 million compared to the corresponding quarter
in 1998.
<PAGE>
TABLE 2 - OPERATING EARNINGS VARIANCES
1999 4TH QUARTER COMPARED TO 1998 4TH QUARTER
(In millions of US dollars)
- --------------------------------------------------------------------------------
VARIANCE Positive (Negative)
Mill Converting Other Total
- --------------------------------------------------------------------------------
Net price realization
on all products 37.0 10.5 0.0 47.4
Cost reduction (increase) (7.4) (9.7) 2.9 (14.2)
Volume increase (reduction) (0.5) 3.4 0.0 2.9
Commodity and currency 3.2 -- -- 3.2
Selling and administration (2.9) (3.3) (0.2) (6.4)
Depreciation (1.0) (0.8) (0.3) (2.1)
---- ---- ---- ----
Total 28.3 0.1 2.4 30.8
==== ==== ==== ====
<PAGE>
1999 4TH QUARTER COMPARED TO 1999 3RD QUARTER
In the fourth quarter of 1999, operating earnings were $23.1 million compared to
$29.9 million for the third quarter of 1999, a reduction of $6.7 million. The
primary mill operating earnings were $4.8 million lower attributable to lower
volume, maintenance downtime at the West Point, Virginia mill and production
disruption at the La Tuque, Quebec mill as well as higher fuel and virgin fibre
costs and the one time charge related to the West Point, Virginia labour
reduction.
Packaging operating earnings were $4.1 million lower mainly attributable to
higher board costs and costs related to the permanent closure of the Markham
facility. The higher selling and administrative expenses are attributable to
setting up the e-commerce packaging company, advertising branding campaign of
containerboard products and the inclusion of Eastern Container whose results
were consolidated with the Company results in December.
TABLE 3 - OPERATING EARNINGS VARIANCES
1999 4TH QUARTER COMPARED TO 1999 3RD QUARTER
(In millions of US dollars)
- --------------------------------------------------------------------------------
VARIANCE Positive (Negative)
Mill Converting Other Total
- --------------------------------------------------------------------------------
Net price realization
on all products 4.2 2.4 (0.1) 6.5
Cost reduction (increase) (6.6) (4.9) 2.4 (9.1)
Volume increase (reduction) (1.4) 0.6 0.3 (0.5)
Commodity and currency 0.5 -- -- 0.5
Selling and administration (1.4) (2.6) (0.1) (4.1)
Depreciation (0.1) 0.4 (0.2) 0.1
---- ---- ---- ----
Total (4.8) (4.1) 2.2 (6.7)
==== ==== ==== ====
<PAGE>
LIQUIDITY AND CAPITAL EXPENDITURES
During the fourth quarter, cash provided by operating activities was
$46.3 million, compared to $7.1 million of cash used for the corresponding
quarter in 1998. The $53.4 million increase is attributable to profitability
improvement. Capital expenditures were $26.4 million compared to $10.8 million
for the fourth quarter of 1998. The increase in capital expenditures in the
fourth quarter is mainly attributable to two projects (lightly coated white top
and the upgrade of the fibre receiving area) currently underway at the La Tuque
mill. The acquisition of the remaining 51% of Eastern Container for a
consideration of $10.8 million was completed. Eastern Container, a wholly-owned
subsidiary, acquired The Kimball Companies' protective packaging assets as well
as a sheet feeding facility for a total consideration of $6.5 million.
The financing activities include the repayment of the note payable to
Abitibi-Consolidated Inc. as well as the purchase of its economic interest in
the Thunder Bay, Ontario mill, consisting of potential payments of certain
additional amounts based on a percentage of earnings before taxes up to 2005,
for a total consideration of CAN$5 million.
COST REDUCTION INITIATIVES
The West Point restructuring initiative resulted in cost reductions of
$3 million during the fourth quarter compared to the corresponding quarter in
1998. The total reduction for the year was $16 million. An additional cost
reduction of $5 million will be realized by the end of 2000 when the new
off-site woodyard, under construction, starts operations.
YEAR-2000 COMPLIANCE
A successful transition into Year 2000 was achieved without any material
disruptions during the rollover period. The Company's cost to achieve Y2K
compliance was $6.4 million, of which $2.9 million has been capitalized and
$3.5 million has been expensed.
OUTLOOK
Demand for containerboard is expected to remain steady, as the North American
economies continue to perform relatively well. Asia's economic growth continues
to improve, which should translate into higher export volume for North American
producers. Price increases of $50 per ton for kraft and white top linerboard and
$60 for corrugating medium have been announced for implementation with February
1st shipments.
**************************************
<PAGE>
St. Laurent Paperboard is a major North American producer, supplier and
converter of high-quality, value-added paperboard substrates and packaging
solutions, with more than 4,500 employees serving a diverse customer base in
North America and selected international markets.
St. Laurent Paperboard owns four primary mills, located in La Tuque and Matane,
Quebec; in Thunder Bay, Ontario; as well as in West Point, Virginia, with an
aggregated annual paperboard production capacity of approximately 1.5 million
short tons. It also owns sixteen packaging facilities located in Canada and the
United States as well as 920,000 acres of forest land, the largest freehold in
Quebec.
The Company's common shares are listed on the Toronto stock exchange under the
trading symbol "SPI" as well as on the New York Stock Exchange (NYSE) under
"SLW".
FOR FURTHER INFORMATION:
Mr. Richard Garneau
Senior Vice President and Chief Financial Officer
ST. LAURENT PAPERBOARD INC.
Tel: (514) 864-5102
Website: www.stlaurent.com
<PAGE>
<TABLE>
ST. LAURENT PAPERBOARD INC.
CONSOLIDATED STATEMENT OF EARNINGS AND RETAINED EARNINGS
(unaudited)
(in thousands of US dollars, except per share amounts)
<CAPTION>
Fourth quarter ended Third quarter ended 12 months ended
December 31 September 30 December 31
1999 1998 1999 1999 1998
- ---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Sales $ 270,195 $ 201,469 $ 263,965 $ 986,819 $ 860,473
Cost of delivery 17,667 17,168 17,739 71,022 68,566
--------- --------- --------- --------- ---------
Net sales 252,528 184,301 246,226 915,797 791,907
--------- --------- --------- --------- ---------
Cost of sales 192,374 163,415 183,480 711,030 665,102
Selling and administrative expenses 20,011 13,672 15,861 62,651 51,919
Restructuring charge -- -- -- -- 12,878
Amortization 16,966 14,815 17,024 67,023 63,508
--------- --------- --------- --------- ---------
229,351 191,902 216,365 840,704 793,407
--------- --------- --------- --------- ---------
Operating earnings 23,177 (7,601) 29,861 75,093 (1,500)
Interest expense, net 7,932 7,213 7,103 28,609 29,397
Other expense (income) 414 147 (10,020) (13,792) (497)
--------- --------- --------- --------- ---------
Earnings before income taxes 14,831 (14,961) 32,778 60,276 (30,400)
Provision for income taxes 5,137 (4,408) 12,670 21,836 (7,137)
--------- --------- --------- --------- ---------
9,694 (10,553) 20,108 38,440 (23,263)
Earnings from equity investment / Minority
interests (782) -- 208 (103) --
--------- --------- --------- --------- ---------
Net earnings (loss) 8,912 (10,553) 20,316 38,337 (23,263)
--------- --------- --------- --------- ---------
Net earnings (loss) per common share
Basic 0.18 (0.21) 0.42 0.78 (0.47)
--------- --------- --------- --------- ---------
Fully diluted $ 0.18 $<F1>((1)) $ 0.41 $ 0.77 $<F1>((1))
--------- --------- --------- --------- ---------
Retained earnings at beginning of period $ 31,194 $ 12,322 10,878 1,769 $ 25,032
--------- --------- --------- --------- ---------
Net earnings (loss) 8,912 (10,553) 20,316 38,337 (23,263)
--------- --------- --------- --------- ---------
Retained earnings at end of period $ 40,106 $ 1,769 $ 31,194 40,106 $ 1,769
--------- --------- --------- --------- ---------
Weighted average number of outstanding
common shares (in thousands) 49,382 49,220 49,356 49,328 49,124
========= ========= ========= ========= =========
- ----------
<F1>(1) Anti-dilutive
</TABLE>
<PAGE>
<TABLE>
ST. LAURENT PAPERBOARD INC.
CONSOLIDATED STATEMENT OF CHANGES IN CASH POSITION
(unaudited)
(in thousands of US dollars)
<CAPTION>
Fourth quarter ended Third quarter ended 12 months ended
December 31 September 30 December 31
1999 1998 1999 1999 1998
- ---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Cash provided by (used in)
Operating activities
Net earnings (loss) $ 8,912 $ (10,553) $ 20,316 $ 38,337 $ (23,263)
Items not involving cash
Amortization of property, plant
and equipment, start up,
deferred costs and goodwil1 16,966 14,815 17,024 67,023 63,508
Amortization of debt issue costs 259 431 469 1,438 1,422
Future income taxes 4,983 (4,537) 12,200 20,379 (8,163)
Gain on sale of property, plant
and equipment 6 -- (547) (5,094) (235)
Other (373) 85 (268) (927) (758)
Start-up and other deferred
costs incurred 1,151 798 (2,072) (2,199) 414
Post retirement expense, net
of funding 2,152 (2,893) (616) 3,242 9,358
Earnings from equity investment/Minority
interests 782 -- (208) 103 --
--------- --------- --------- --------- ---------
34,838 (1,854) 46,298 122,302 42,283
Change in non-cash working capital
relating to operations
Accounts receivable 7,375 4,358 (7,793) (10,588) 11,913
Inventory (1,305) 5,907 244 9,704 (1,942)
Prepaid expenses 6,048 (1,898) (4,373) 226 (8,153)
Accounts payable and accruals (237) (13,325) 7,395 23,854 (8,825)
Income and other taxes payable (453) (317) 263 (538) 123
--------- --------- --------- --------- ---------
11,428 (5,275) (4,264) 22,658 (6,884)
--------- --------- --------- --------- ---------
Cash provided by operating activities 46,266 (7,129) 42,034 144,960 35,399
========= ========= ========= ========= =========
Investing activities
Equity investment -- -- -- (9,607) --
Business acquisitions (21,403) -- (13,922) (60,808) --
Additions to property, plant
and equipment (26,432) (10,767) (12,572) (57,138) (49,235)
Proceeds from disposals of
property, plant and equipment 2,254 -- 1,150 9,059 235
--------- --------- --------- --------- ---------
(45,581) (10,767) (25,344) (118,494) (49,000)
========= ========= ========= ========= =========
Financing activities
Issuance of common shares,
net of expenses 288 124 526 1,537 2,144
Redemption of common shares -- -- -- -- (370)
Minority interests 700 -- -- 700 --
Issuance of long-term debt 362 61 112 610 230,256
Repayment of long-term debt (9,434) (373) (69) (9,549) (241,892)
Debt issue costs 66 464 (710) (1,354) (4,496)
Cash held in escrow -- -- -- -- 11,000
--------- --------- --------- --------- ---------
(8,018) 276 (141) (8,056) (3,358)
--------- --------- --------- --------- ---------
Increase (decrease) in cash (7,333) (17,620) 16,549 18,410 (16,959)
Cash and cash equivalents at
beginning of period 22,224 14,101 5,675 (3,519) 13,440
--------- --------- --------- --------- ---------
Cash and cash equivalents at
end of period $ 14,891 $ (3,519) $ 22,224 $ 14,891 $ (3,519)
========= ========= ========= ========= =========
Cash and cash equivalents
Cash on hand 9,125 -- 10,013 9,125 --
Temporary investments 5,766 2,607 12,211 5,766 2,607
Bank indebtedness -- (6,126) -- -- (6,126)
--------- --------- --------- --------- ---------
$ 14,891 $ (3,519) $ 22,224 $ 14,891 $ (3,519)
========= ========= ========= ========= =========
</TABLE>
<PAGE>
ST. LAURENT PAPERBOARD INC.
CONSOLIDATED BALANCE SHEET
(unaudited)
(in thousands of US dollars)
December 31
1999 1998
- --------------------------------------------------------------------------------
ASSETS
Current assets
Cash and temporary investments $ 14,891 $ 2,607
Accounts receivable 124,279 95,895
Income and other taxes receivable 4,792 4,870
Inventories 106,481 98,542
Prepaid expenses 13,984 13,832
------------- ------------
264,427 215,746
Property, plant and equipment 816,879 775,960
Future income taxes -- 8,437
Deferred charges and other assets 33,898 30,347
Goodwill 40,339 19,923
------------- ------------
$ 1,155,543 $ 1,050,413
============= ============
LIABILITIES
Current liabilities
Bank indebtedness $ -- $ 6,126
Accounts payable and accrued liabilities 102,846 72,112
Current portion of long-term debt 47,397 5,975
------------- ------------
150,243 84,213
Long-term debt 338,206 356,455
Future income taxes 18,305 6,363
Other liabilities 32,804 27,271
SHAREHOLDERS' EQUITY
Common shares 573,471 571,934
Contributed surplus 2,408 2,408
Retained earnings 40,106 1,769
------------- ------------
615,985 576,111
------------- ------------
$ 1,155,543 1,050,413
============= ============
<PAGE>
<TABLE>
ST. LAURENT PAPERBOARD INC.
SEGMENTED INFORMATION
(unaudited)
(in thousands of US dollars)
<CAPTION>
Fourth quarter ended 12 months ended
December 31 December 31
1999 1998 1999 1998
- -------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net sales to third parties
From Canada
Within Canada $ 33,701 $ 24,538 $ 137,174 $ 120,620
To the United States 56,279 37,795 208,086 151,903
Other 6,769 11,769 29,222 45,583
----------- ----------- ----------- -----------
$ 96,749 $ 74,102 $ 374,482 $ 318,106
From the United States 155,779 110,199 541,315 473,801
----------- ----------- ----------- -----------
$ 252,528 $ 184,301 $ 915,797 $ 791,907
=========== =========== =========== ==========
Intercompany sales between geographic areas
From Canada $ 6,568 $ 2,884 $ 19,582 $ 9,723
From the United States 402 351 1,215 2,078
----------- ----------- ----------- -----------
6,970 $ 3,235 $ 20,797 11,801
=========== =========== =========== ==========
Operating earnings (loss)
Canada $ 14,554 $ (7,793) $ 40,967 $ (4,213)
United States 8,623 192 34,126 2,713
----------- ----------- ----------- -----------
$ 23,177 $ (7,601) $ 75,093 $ (1,500)
=========== =========== =========== ===========
Identifiable assets
Canada $ 438,551 $ 441,710
United States 716,992 608,703
----------- -----------
$ 1,155,543 $ 1,050,413
=========== ===========
</TABLE>
<PAGE>
<TABLE>
ST. LAURENT PAPERBOARD INC.
SUMMARY OF OPERATIONS
(unaudited)
(in thousands of US dollars, except for units)
<CAPTION>
Woodlands,
Solid Wood
Primary and unallocated
Fourth Quarter ended December 31, 1999 mills Converting amounts Total
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net sales to third parties $ 136,806 $ 104,434 $ 11,288 $ 252,528
Inter-segment sales 27,071 -- -- 27,071
---------- ---------- ---------- ----------
Total $ 163,877 $ 104,434 $ 11,288 $ 279,599
EBITDA 33,779 3,350 3,014 40,143
Amortization 14,053 2,092 821 16,966
Operating earnings (loss) 19,726 1,258 2,193 23,177
Identifiable assets 766,288 310,233 79,022 1,155,543
Additions to property, plant and equipment 17,714 7,883 835 26,432
Sales to third parties (short tons) 319,390 -- --
Sales to third parties - corrugated containers (MMSF) -- 1,444 --
Sales to third parties - liquid and food (short tons) -- 19,157 --
Inter-segment sales (short tons) 63,015 -- --
</TABLE>
<TABLE>
<CAPTION>
Woodlands,
Solid Wood
Primary and unallocated
Fourth Quarter ended December 31, 1999 mills Converting amounts Total
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net sales to third parties $ 108,913 $ 71,664 $ 3,724 $ 184,301
Inter-segment sales 18,903 -- -- 18,903
---------- ---------- ---------- ----------
Total 127,816 $ 71,664 $ 3,724 $ 203,204
EBITDA - Before restructuring charge 4,438 2,471 305 7,214
Amortization 13,015 1,287 513 14,815
Operating earnings (loss) - Before
restructuring charge (8,577) 1,184 (208) (7,601)
Identifiable assets 809,947 181,532 58,934 1,050,413
Additions to property, plant and equipment 7,443 2,283 1,041 10,767
Sales to third parties (short tons) 326,949 -- --
Sales to third parties - corrugated containers (MMSF) -- 1,220 --
Sales to third parties - liquid and food (short tons) -- 14,627 --
Inter-segment sales (short tons) 52,443 -- --
</TABLE>
<PAGE>
<TABLE>
ST. LAURENT PAPERBOARD INC.
SUMMARY OF OPERATIONS - YEAR TO DATE
(unaudited)
(in thousands of US dollars, except for units)
<CAPTION>
Woodlands,
Solid Wood
Primary and unallocated
Twelve months ended December 31, 1999 mills Converting amounts Total
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net sales to third parties $ 523,532 $ 363,178 $ 29,087 $ 915,797
Inter-segment sales 90,240 -- -- 90,240
---------- ---------- ---------- ----------
Total $ 613,772 $ 363,178 $ 29,087 $1,006,037
EBITDA 117,476 21,845 2,795 142,116
Amortization 56,064 8,741 2,218 67,023
Operating earnings (loss) 61,412 13,104 577 75,093
Identifiable assets 766,288 310,233 79,022 1,155,543
Additions to property, plant and equipment 37,251 18,556 1,331 57,138
Sales to third parties (short tons) 1,338,914 -- --
Sales to third parties - corrugated containers (MMSF) -- 5,519 --
Sales to third parties - liquid and food (short tons) -- 69,898 --
Inter-segment sales (short tons) 222,605 -- --
</TABLE>
<TABLE>
<CAPTION>
Woodlands,
Solid Wood
Primary and unallocated
Twelve months ended December 31, 1999 mills Converting amounts Total
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Net sales to third parties $ 478,104 $ 296,038 $ 17,765 $ 791,907
Inter-segment sales 80,354 -- -- 80,354
---------- ---------- ---------- ----------
Total $ 558,458 $ 296,038 $ 17,765 $ 872,261
EBITDA - Before restructuring charge 61,300 15,206 (1,620) 74,886
Amortization 54,329 7,391 1,788 63,508
Operating earnings (loss) - Before
restructuring charge 6,971 7,815 (3,408) 11,378
Identifiable assets 809,947 181,532 58,934 1,050,413
Additions to property, plant and equipment 33,913 13,129 2,193 49,235
Sales to third parties (short tons) 1,292,642 -- --
Sales to third parties - corrugated containers (MMSF) -- 4,735 --
Sales to third parties - liquid and food (short tons) -- 60,243 --
Inter-segment sales (short tons) 215,768 -- --
</TABLE>
