NORTHBROOK, Ill., April 18, 2018 /PRNewswire/ -- KapStone
Paper and Packaging Corporation (NYSE:KS) today reported
results for the first quarter ended March
31, 2018. As compared to 2017's first quarter, results for
2018's first quarter are below:
- Net sales of $799 million up
$33 million, or 4 percent
- Net income of $33 million up
$27 million, or 446 percent
- Diluted EPS of $0.33 up
$0.27 per share, or 450 percent
Non U.S. GAAP financial measures for the 2018 first quarter
compared to 2017 are as follows:
- Adjusted EBITDA of $115 million
up $34 million, or 42
percent
- Adjusted net income of $42
million up $27 million, or 181
percent
- Adjusted diluted EPS of $0.43 up
$0.28 per share, or 187 percent
Matt Kaplan, President and Chief
Executive Officer, stated, "Our first quarter results continued the
positive momentum we built in the latter half of 2017. Demand
for containerboard, corrugated boxes, and kraft paper is
strong. We announced a $50 per
ton containerboard price increase effective with shipments in
mid-March. In addition, we completed a rebuild of one of our
boilers at the North Charleston mill which should provide for
greater reliability and more efficient operations.
"Victory Packaging, our distribution business, had a solid first
quarter and is entering its seasonally strongest quarter of the
year.
"We continue to work on the merger with WestRock."
First Quarter Operating Highlights
Consolidated net sales of $799
million in the first quarter of 2018 increased by
$33 million, or 4 percent compared to
$766 million for the 2017 first
quarter. The increase in net sales is primarily due to higher
prices, partially offset by lower sales volume. The Company sold
662,000 tons of paper during the first quarter of 2018 compared to
699,000 tons a year earlier. Volume was lower in the current
quarter as mill production was limited due to a boiler upgrade at
the Charleston mill which reduced
production by approximately 26,000 tons. The Company's average mill
selling price of $719 per ton in the
first quarter of 2018 increased by $71 per ton, or about 11 percent compared to the
first quarter of 2017 due to higher prices for most products and a
favorable product mix. Mill selling prices increased by
$21 per ton or 3 percent compared to
the fourth quarter of 2017 due to higher specialty product prices
and a better product mix.
Net income of $33 million for the
2018 first quarter increased by $27
million, or 446 percent, compared to the 2017 first quarter.
The higher earnings primarily reflects:
- Higher selling prices and a better product mix of $48 million,
- Favorable productivity of $10
million mainly due to higher mill production,
- Lower recycled fiber costs of $6
million,
- Non-recurring 2017 costs of $5
million associated with ratifying a union contract at the
North Charleston paper mill,
- A $7 million gain on the sale of
the former Oakland box plant site,
and
- A lower effective income tax rate resulting from the
passage of the Tax Cuts and Jobs Act passed in December 2017.
The above items were partially offset by:
- Merger expenses of $14
million,
- Lower sales volume of $7
million,
- $8 million of higher planned
maintenance costs, including the boiler upgrade,
- Inflation of $15 million driven
by higher virgin fiber costs, freight and compensation,
- $4 million of weather related
costs in January 2018 at the North
Charleston mill, and
- Higher interest charges of $4
million due to higher interest rates.
Cash Flow and Working Capital
Cash and cash equivalents of $19
million as of March 31, 2018,
declined by $9 million from
December 31, 2017. Operating
activities provided $5 million during
the first quarter. Investing activities used $22 million, including $37
million for capital expenditures, partially offset by
$15 million of proceeds from the sale
of the former Oakland box plant
site. Financing activities provided $8
million of cash in the current quarter reflecting higher
borrowings, partially offset by a quarterly dividend payment and
the Victory Packaging contingent consideration payment.
On February 23, 2018, our Board of
Directors approved a regular $0.10
per share cash dividend which was paid on April 11th.
At March 31, 2018, the Company had
approximately $431 million of working
capital and $466 million of revolver
borrowing capacity. The Company's net debt to EBITDA ratio as
defined by the bank agreement decreased to 2.96 times at
March 31, 2018, down from 3.99 a year
ago.
About the Company
Headquartered in Northbrook,
IL, KapStone Paper and Packaging Corporation is the fifth
largest producer of containerboard and corrugated packaging
products and is the largest kraft paper producer in the United States. The Company has four paper
mills, 23 converting plants and over 60 distribution centers. The
business has approximately 6,300 employees.
Non-GAAP Financial Measures
This press release includes certain non-GAAP financial measures,
including "EBITDA", "Adjusted EBITDA", "Adjusted Net Income", and
"Adjusted Diluted EPS" to measure our operating performance.
Management uses these measures to focus on the on-going operations,
and believes it is useful to investors because they enable them to
perform meaningful comparisons of past and present operating
results. The Company believes that EBITDA and Adjusted EBITDA
provide useful information to investors because they improve the
comparability of the financial results between periods and provide
for greater transparency to key measures used to evaluate the
performance of the Company. Management uses EBITDA and Adjusted
EBITDA for evaluating the Company's performance against competitors
and as a primary measure for employees' incentive programs.
Reconciliations of Net Income to EBITDA, EBITDA to Adjusted EBITDA,
Net Income to Adjusted Net Income, and Diluted EPS to Adjusted
Diluted EPS are included in the financial schedules contained in
this press release. However, these measures should not be construed
as an alternative to any other measure of performance determined in
accordance with GAAP.
Forward-Looking Statements
Statements in this news release that are not historical are
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements can often be identified by words such as "may," "will,"
"should," "would,' "expect," "project," "anticipate," "intend,"
"plan," "believe," "estimate," "potential," "outlook," or
"continue," the negative of these terms or other similar
expressions. These statements reflect management's current views
and are subject to risks, uncertainties and assumptions, many of
which are beyond the Company's control that could cause actual
results to differ materially from those expressed or implied in
these statements. Factors that could cause actual results to differ
materially include, but are not limited to: (1) industry
conditions; (2) market and economic factors; (3) results of legal
proceedings and compliance costs; (4) the ability to achieve and
effectively manage growth; (5) the ability to pay the Company's
debt obligations; (6) the ability to carry out the Company's
strategic initiatives and manage associated costs; (7) managing
labor relations; (8) realizing the synergies and benefits of
strategic investments; (9) unanticipated business interruptions;
and (10) various factors related to the pending transaction with
WestRock, including but not limited to the ability of KapStone and
WestRock to receive the required regulatory approvals (and the risk
that such approvals may result in the imposition of conditions that
could adversely affect the combined company or the expected
benefits of the transaction), to receive the required approval of
KapStone's stockholders and to satisfy the other conditions to the
closing of the transaction on a timely basis or at all; the
occurrence of events that may give rise to a right of one or both
of the parties to terminate the merger agreement; negative effects
of the announcement or the consummation of the proposed transaction
on the market price of WestRock's or KapStone's common stock and/or
on their respective businesses, financial conditions, results of
operations and financial performance; risks relating to the value
of the shares that may be issued in the proposed transaction,
significant transaction costs and/or unknown liabilities; the
possibility that the anticipated benefits from the proposed
transaction cannot be realized in full or at all or may take longer
to realize than expected; risks associated with third party
contracts containing consent and/or other provisions that may be
triggered by the proposed transaction; risks associated with
transaction-related litigation; the possibility that costs or
difficulties related to the integration of KapStone's operations
with those of WestRock will be greater than expected; the outcome
of legally required consultation with employees, their works
councils or other employee representatives; and the ability of
KapStone and the combined company to retain and hire key personnel.
Further information on these and other risks and uncertainties is
provided under Part I, Item 1A "Risk Factors" in the Company's
Annual Report on Form 10-K for the year ended December 31, 2017 and elsewhere in reports that
the Company files with the SEC. These filings can be found on
KapStone's Web site at http://www.kapstonepaper.com and the
SEC's Web site at www.sec.gov. Forward-looking statements included
herein speak only as of the date hereof and the Company disclaims
any obligation to revise or update such statements to reflect
events or circumstances after the date hereof or to reflect the
occurrence of unanticipated events or circumstances.
KapStone Paper and
Packaging Corporation
|
Consolidated
Statements of Income
|
(In thousands,
except share and per share amounts)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
Quarter Ended
March 31,
|
|
2018
|
|
2017
|
|
|
|
|
Net
sales
|
$
799,195
|
|
$
765,843
|
|
|
|
|
Cost and
expenses:
|
|
|
|
Cost of sales,
excluding depreciation and amortization
|
553,069
|
|
562,461
|
Depreciation
and amortization
|
46,365
|
|
45,348
|
Plant closure
costs
|
1,752
|
|
-
|
Freight and
distribution expenses
|
76,586
|
|
72,988
|
Selling,
general and administrative expenses
|
63,611
|
|
66,485
|
Merger
expenses
|
13,532
|
|
-
|
Gain on
sale of property
|
(7,453)
|
|
-
|
Operating
income
|
51,733
|
|
18,561
|
|
|
|
|
Foreign exchange
(gain)
|
(37)
|
|
(82)
|
Pension
income
|
(3,092)
|
|
(1,563)
|
Equity method
investment income
|
(520)
|
|
(677)
|
Interest expense,
net
|
14,345
|
|
10,730
|
Income before
provision for income taxes
|
41,037
|
|
10,153
|
Provision for income
taxes
|
8,296
|
|
4,161
|
Net
income
|
$
32,741
|
|
$
5,992
|
|
|
|
|
Net income per
share:
|
|
|
|
Basic
|
$
0.34
|
|
$
0.06
|
Diluted
|
$
0.33
|
|
$
0.06
|
|
|
|
|
|
|
|
|
Weighted-average
number of shares
outstanding:
|
|
|
|
Basic
|
97,331,105
|
|
96,698,637
|
Diluted
|
99,716,527
|
|
98,463,667
|
|
|
|
|
|
|
|
|
Effective income tax
rate
|
20.2%
|
|
41.0%
|
|
|
|
|
|
|
|
|
|
Supplemental
Information
|
GAAP to Non-GAAP
Reconciliations
|
($ in thousands,
except share and per share amounts)
|
(unaudited)
|
|
Quarter Ended
March 31,
|
|
2018
|
|
2017
|
|
|
|
|
Net Income (GAAP)
to EBITDA (Non-GAAP) to Adjusted EBITDA (Non-GAAP):
|
|
|
|
Net income
(GAAP)
|
$
32,741
|
|
$
5,992
|
Interest
expense, net
|
14,345
|
|
10,730
|
Provision for income taxes
|
8,296
|
|
4,161
|
Depreciation and amortization
|
46,365
|
|
45,348
|
EBITDA
(Non-GAAP)
|
$
101,747
|
|
$
66,231
|
|
|
|
|
Acquisition,
integration, start-up and other expenses
|
1,956
|
|
1,805
|
Union contract
ratification cost
|
–
|
|
4,979
|
Merger
expenses
|
13,532
|
|
–
|
Plant closure
costs
|
1,752
|
|
–
|
Change in fair value
of contingent consideration liability
|
–
|
|
2,516
|
Gain on sale of
property
|
(7,453)
|
|
–
|
Stock-based
compensation expense
|
3,007
|
|
5,265
|
Accumulated EBITDA
adjustments
|
12,794
|
|
14,565
|
Adjusted EBITDA
(Non-GAAP)
|
$
114,541
|
|
$
80,796
|
|
|
|
|
Net Income (GAAP)
to Adjusted Net Income (Non-GAAP):
|
|
|
|
Net income
(GAAP)
|
$
32,741
|
|
$
5,992
|
Accumulated EBITDA
adjustments
|
12,794
|
|
14,565
|
Accumulated tax
adjustments
|
(3,071)
|
|
(5,462)
|
Adjusted Net
Income (Non-GAAP)
|
$
42,464
|
|
$
15,095
|
|
|
|
|
Diluted EPS (GAAP)
to Adjusted Diluted EPS (Non-GAAP):
|
|
|
|
Diluted earnings per
share (GAAP)
|
$
0.33
|
|
$
0.06
|
Accumulated EBITDA
adjustments
|
0.13
|
|
0.15
|
Accumulated tax
adjustments
|
( 0.03)
|
|
( 0.06)
|
Adjusted Diluted
EPS (Non-GAAP)
|
$
0.43
|
|
$
0.15
|
KapStone Paper and
Packaging Corporation
|
Consolidated
Balance Sheets
|
(In
thousands)
|
|
March
31,
|
|
December
31,
|
|
2018
|
|
2017
|
|
(Unaudited)
|
|
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and
cash equivalents
|
$
18,684
|
|
$
28,065
|
Trade
accounts receivable, net of allowances
|
437,889
|
|
443,462
|
Other
receivables
|
21,179
|
|
23,289
|
Inventories
|
333,731
|
|
315,575
|
Prepaid
expenses and other current assets
|
21,125
|
|
17,470
|
Total current
assets
|
832,608
|
|
827,861
|
|
|
|
|
Plant, property and
equipment, net
|
1,467,093
|
|
1,453,607
|
Other
assets
|
25,546
|
|
24,431
|
Intangible assets,
net
|
289,731
|
|
297,475
|
Goodwill
|
720,611
|
|
720,611
|
Total
assets
|
$
3,335,589
|
|
$
3,323,985
|
|
|
|
|
|
|
|
|
Liabilities and
Stockholders' Equity
|
|
|
|
Current
liabilities:
|
|
|
|
Short-term
borrowings
|
$
20,000
|
|
$
–
|
Other current
borrowings
|
6,767
|
|
–
|
Other
financial obligations
|
1,103
|
|
30
|
Dividend
payable
|
10,145
|
|
10,302
|
Accounts
payable
|
220,543
|
|
199,574
|
Accrued
expenses
|
81,525
|
|
105,951
|
Accrued compensation
costs
|
43,999
|
|
75,215
|
Accrued income
taxes
|
17,726
|
|
31,458
|
Total current
liabilities
|
401,808
|
|
422,530
|
|
|
|
|
Long-term debt, net
of current portion
|
1,371,238
|
|
1,374,502
|
Long-term financing
obligations
|
92,340
|
|
82,199
|
Capital lease
obligation
|
4,587
|
|
4,595
|
Pension and
post-retirement benefits
|
11,320
|
|
14,196
|
Deferred income
taxes
|
253,926
|
|
252,101
|
Other
liabilities
|
31,535
|
|
36,848
|
Total other
liabilities
|
1,764,946
|
|
1,764,441
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
Common stock $0.0001
par value
|
10
|
|
10
|
Additional paid-in
capital
|
299,737
|
|
291,629
|
Retained
earnings
|
917,047
|
|
894,061
|
Accumulated other
comprehensive loss
|
(47,959)
|
|
(48,686)
|
Total stockholders'
equity
|
1,168,835
|
|
1,137,014
|
Total liabilities and
stockholders' equity
|
$
3,335,589
|
|
$
3,323,985
|
KapStone Paper and
Packaging Corporation
|
Consolidated
Statement of Cash Flows
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
Quarter Ended
March 31,
|
|
|
2018
|
|
2017
|
|
Operating
activities:
|
|
|
|
|
Net
income
|
$
32,741
|
|
$
5,992
|
|
Adjustments to reconcile net income to net cash provided
by
|
|
|
|
|
operating activities:
|
|
|
|
|
Depreciation of plant and equipment
|
38,621
|
|
37,758
|
|
Amortization of intangible assets
|
7,744
|
|
7,590
|
|
Stock-based compensation expense
|
3,007
|
|
5,265
|
|
Pension
and postretirement
|
(2,552)
|
|
(572)
|
|
Gain on sale
of property
|
(7,453)
|
|
–
|
|
Amortization of debt issuance costs
|
1,176
|
|
1,179
|
|
Loss on
disposal of fixed assets
|
428
|
|
526
|
|
Deferred
income taxes
|
1,747
|
|
1,521
|
|
Change
in fair value of contingent consideration liability
|
–
|
|
2,516
|
|
Equity
method investments income, net of cash received
|
(520)
|
|
(167)
|
|
Plant
closure costs
|
793
|
|
–
|
|
Provision for bad debts
|
447
|
|
–
|
|
Changes
in operating assets and liabilities
|
(71,056)
|
|
(28,939)
|
|
Net cash provided by
operating activities
|
$
5,123
|
|
$
32,669
|
|
|
|
|
|
|
Investing
activities:
|
|
|
|
|
Capital expenditures
|
(37,025)
|
|
(38,669)
|
|
Proceeds from the sale of property
|
14,681
|
|
–
|
|
API acquisition
|
–
|
|
(33,500)
|
|
Net cash used in
investing activities
|
$ (22,344)
|
|
$ (72,169)
|
|
|
|
|
|
|
|
|
|
|
|
Financing
activities:
|
|
|
|
|
Proceeds from
revolving credit facility
|
$ 110,500
|
|
$ 122,988
|
|
Repayments on
revolving credit facility
|
(90,500)
|
|
(97,000)
|
|
Proceeds from
receivables credit facility
|
23,274
|
|
17,031
|
|
Repayments on
receivables credit facility
|
(27,714)
|
|
(21,621)
|
|
Repayments on other
financing obligations
|
(265)
|
|
-
|
|
Proceeds from other
current borrowings
|
6,767
|
|
6,214
|
|
Cash dividends
paid
|
(9,723)
|
|
(9,664)
|
|
Payment of
withholding taxes on vested stock awards
|
(1,783)
|
|
(856)
|
|
Proceeds from
exercises of stock options
|
6,390
|
|
451
|
|
Proceeds from
issuance of shares to ESPP
|
494
|
|
487
|
|
Payment of Victory
Packaging contingent consideration
|
(9,600)
|
|
-
|
|
Net cash provided by
financing activities
|
$
7,840
|
|
$
18,030
|
|
|
|
|
|
|
Net (decrease) in
cash and cash equivalents
|
(9,381)
|
|
(21,470)
|
|
Cash and cash
equivalents-beginning of period
|
28,065
|
|
29,385
|
|
Cash and cash
equivalents-end of period
|
$
18,684
|
|
$
7,915
|
|
KapStone Paper and
Packaging Corporation
|
Operating Segment
Information
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
Sales
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2018
|
Trade
|
|
Inter-
segment
|
|
Total
|
|
Operating
Income
(Loss)
|
|
Depreciation
and
Amortization
|
|
Capital
Expenditures
|
|
Total Assets
at March 31,
2018
|
Paper and
Packaging
|
$ 567,985
|
|
$ 17,114
|
|
$ 585,099
|
|
$
74,711
|
|
$
38,676
|
|
$
35,148
|
|
$
2,642,878
|
Distribution
|
231,210
|
|
-
|
|
231,210
|
|
2,491
|
|
5,907
|
|
287
|
|
640,945
|
Corporate
|
-
|
|
-
|
|
-
|
|
(25,469)
|
|
1,782
|
|
1,590
|
|
51,766
|
Intersegment
eliminations
|
-
|
|
(17,114)
|
|
(17,114)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
$ 799,195
|
|
$
-
|
|
$ 799,195
|
|
$
51,733
|
|
$
46,365
|
|
$
37,025
|
|
$
3,335,589
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
Sales
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2017
|
Trade
|
|
Inter-
segment
|
|
Total
|
|
Operating
Income
(Loss)
|
|
Depreciation
and
Amortization
|
|
Capital
Expenditures
|
|
Total Assets
at March 31,
2017
|
Paper and
Packaging
|
$ 547,644
|
|
$ 21,197
|
|
$ 568,841
|
|
$
32,752
|
|
$
37,406
|
|
$
36,490
|
|
$
2,591,747
|
Distribution
|
218,199
|
|
-
|
|
218,199
|
|
2,597
|
|
5,978
|
|
679
|
|
687,854
|
Corporate
|
-
|
|
-
|
|
-
|
|
(16,788)
|
|
1,964
|
|
1,500
|
|
43,218
|
Intersegment
eliminations
|
-
|
|
(21,197)
|
|
(21,197)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
$ 765,843
|
|
$
-
|
|
$ 765,843
|
|
$
18,561
|
|
$
45,348
|
|
$
38,669
|
|
$
3,322,819
|
KapStone Paper and
Packaging Corporation
|
Operating Segment
EBITDA and Adjusted EBITDA
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
Quarter Ended
March 31,
|
Paper and
Packaging
|
2018
|
|
2017
|
Segment operating
income
|
$
74,711
|
|
$
32,752
|
Equity method
investments income
|
(520)
|
|
(677)
|
Foreign exchange
(gain)
|
(139)
|
|
(45)
|
Pension
income
|
(3,092)
|
|
(1,563)
|
Loss on debt
extinguishment
|
-
|
|
-
|
Depreciation and
amortization
|
38,676
|
|
37,406
|
EBITDA
|
117,138
|
|
72,443
|
Loss on debt
extinguishment
|
-
|
|
-
|
Acquisition,
integration, start-up and other expenses
|
1,226
|
|
1,366
|
Gain on sale of
property
|
(7,453)
|
|
-
|
Plant closure
costs
|
1,752
|
|
-
|
Union contract
ratification costs
|
-
|
|
4,979
|
Loss on asset
disposal
|
-
|
|
-
|
Adjusted
EBITDA
|
$ 112,663
|
|
$
78,788
|
Adjusted EBITDA
margin
|
19.3%
|
|
13.9%
|
|
|
|
|
|
Quarter Ended
March 31,
|
Distribution
|
2018
|
|
2017
|
Segment operating
income
|
$
2,491
|
|
$
2,597
|
Foreign exchange
(gain) / loss
|
102
|
|
(37)
|
Depreciation and
amortization
|
5,907
|
|
5,978
|
EBITDA
|
8,296
|
|
8,612
|
Acquisition,
integration, start-up and other expenses
|
551
|
|
163
|
Adjusted
EBITDA
|
$
8,847
|
|
$
8,775
|
Adjusted EBITDA
margin
|
3.8%
|
|
4.0%
|
|
|
|
|
|
Quarter Ended
March 31,
|
Corporate
|
2018
|
|
2017
|
Segment operating
(loss)
|
$ (25,469)
|
|
$ (16,788)
|
Depreciation and
amortization
|
1,782
|
|
1,964
|
EBITDA
|
(23,687)
|
|
(14,824)
|
Stock-based
compensation expense
|
3,007
|
|
5,265
|
Acquisition,
integration, start-up and other expenses
|
179
|
|
276
|
Change in fair value
of contingent consideration liability
|
-
|
|
2,516
|
Merger
expenses
|
13,532
|
|
-
|
Adjusted
EBITDA
|
$
(6,969)
|
|
$
(6,767)
|
|
|
|
|
|
Quarter Ended
March 31,
|
Consolidated
|
2018
|
|
2017
|
Segment operating
income
|
$
51,733
|
|
$
18,561
|
Equity method
investments income
|
(520)
|
|
(677)
|
Foreign exchange
(gain) / loss
|
(37)
|
|
(82)
|
Pension
income
|
(3,092)
|
|
(1,563)
|
Loss on debt
extinguishment
|
-
|
|
-
|
Depreciation and
amortization
|
46,365
|
|
45,348
|
EBITDA
|
101,747
|
|
66,231
|
Stock-based
compensation expense
|
3,007
|
|
5,265
|
Acquisition,
integration, start-up and other expenses
|
1,956
|
|
1,805
|
Union contract
ratification costs
|
-
|
|
4,979
|
Plant closure
costs
|
1,752
|
|
-
|
Loss on asset
disposal
|
-
|
|
-
|
Change in fair value
of contingent consideration liability
|
-
|
|
2,516
|
Gain on sale of
property
|
(7,453)
|
|
-
|
Loss on debt
extinguishment
|
-
|
|
-
|
Merger
expenses
|
13,532
|
|
-
|
Adjusted
EBITDA
|
$ 114,541
|
|
$
80,796
|
KapStone Paper and
Packaging Corporation
|
Summary of
Interest Expense, net
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
Quarter Ended
March 31,
|
|
2018
|
|
2017
|
Interest on term
loans and revolver
|
$
9,896
|
|
$
8,614
|
Interest on
receivables securitization facility
|
1,847
|
|
1,054
|
Sub-total
|
11,743
|
|
9,668
|
|
|
|
|
Amortization of debt
issuance costs
|
1,176
|
|
1,179
|
Implicit interest on
long-term financing obligations
|
1,683
|
|
-
|
Interest on capital
lease obligation
|
133
|
|
-
|
Capitalized
interest
|
(347)
|
|
(71)
|
Interest
income
|
(43)
|
|
(46)
|
Total interest
expense, net
|
$ 14,345
|
|
$ 10,730
|
View original
content:http://www.prnewswire.com/news-releases/kapstone-reports-first-quarter-results-300632410.html
SOURCE KapStone Paper and Packaging Corporation