Cascades Inc. reports its unaudited financial results for the three-month period ended June 30, 2017. 2Q 2017 sales of $1,130 million increased by $132 million, or 13% compared to the same period last year, reflecting growth and favourable exchange rates in all four of the Corporation's business segments.

Hygienisches

Cascades 2Q sales increased by 13%

Cascades Inc. reports its unaudited financial results for the three-month period ended June 30, 2017. 2Q 2017 sales of $1,130 million increased by $132 million, or 13% compared to the same period last year, reflecting growth and favourable exchange rates in all four of the Corporation's business segments.

2Q 2017 operating income stood at $48 million , down from $65 million last year. Despite the inclusion of Greenpac in this quarter, the decrease reflects higher raw material costs, which were partially offset by price increases in Containerboard, Tissue and Boxboard Europe.

For the 2Q 2017, the Corporation posted net earnings of $323 million , or $3.41 per common share, compared to net earnings of $36 million , or $0.38 per common share in the same period of 2016.

On an adjusted basis, the Corporation generated net earnings of $24 million during the 2Q 2017, or $0.25 per common share, compared to net earnings of $35 million or $0.38 per common share in the same period of 2016.

Mr. Mario Plourde, President and CEO, commented: "We have made significant progress on our strategic objectives in recent months with the Greenpac transaction, the inauguration of the new state of the art tissue converting plant in Scappoose, Oregon , the sale of our equity interest in Boralex and, more recently, the announcement of the construction of a new ultra modern containerboard converting plant in Piscataway, New Jersey. To this end, our 2Q results provide a more comprehensive picture of our North American Containerboard business following the consolidation of the results of the Greenpac Mill at the beginning of the quarter. This acquisition resulted in a gain of $281 million on net earnings, and added $219 million to our total net debt levels. However, on a pro-forma basis including Greenpac's results for the last twelve months, our leverage ratio stood at 4.2x as of the end of the 2Q, essentially unchanged from the previous quarter.”

Founded in 1964, Cascades produces, converts and markets packaging and tissue products that are composed mainly of recycled fibres.