Paper and packaging manufacturer Boise Inc. Thursday reported a net loss of $2.2 million for second quarter 2013, compared with net income of $13.7 million for the same period in 2012.
Special expenses during the past quarter included $9 million toward the companys plan to shut down some major equipment at their International Falls, Minn., paper mill, and $5.5 million of incremental depreciation expense, company leaders said in a news release.
"We grew both sales and margins in our packaging business during second quarter, said president and CEO Alexander Toeldte. However, prices declined during the quarter in paper.
"The two, large strategic projects we announced in May are both proceeding as planned, Toeldte said. At our mill in DeRidder, La., the conversion of an idled newsprint machine to lightweight linerboard and medium is on schedule and budget . Likewise, the closure of the machines in International Falls is progressing smoothly and on schedule for completion in early fourth quarter 2013.
We continue to believe both these projects will enhance not only the competitiveness of these mills but also the competitiveness of the company overall. Boises packaging division sales for second quarter 2013 were $300.6 million, an increase of $15.8 million or 6 percent from the same quarter last year. But in the paper division, sales were down 8 percent from last year to reach $334.8 million.