Operating income of $35 million for the 1Q 2016 decreased by $13 million, or 27%, compared to the 1Q 2015.
Roger W. Stone, Chairman and CEO, stated, "KapStone's operations performed very well in the 1Q with our mills recording record 1Q production. Our strong operating performance and benefits from Victory, though, were mostly offset by lower prices and less favorable product mix. Although 1Q cash flows are typically weak, our operating cash flow this quarter improved $63 million over the prior year benefitting from lower cash taxes and Victory. We continue to make good progress on integrating Victory's packaging needs into our mill and plant system."
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.
