Oct 18, 2011. /Lesprom Network/. Sonoco reported results for its 3Q ending October 2, 2011. 3Q GAAP net income attributable to Sonoco was $77.2 million in 2011, compared with $59 million in 2010. Base earnings were $67.1 million in the 3Q 2011, compared with $67.1 million in 2010, as the company said in a press release received by Lesprom Network. Net sales for the 3Q were $1.12 billion, compared with $1.05 billion in the same period in 2010. This 7% increase was due to higher selling prices and favorable foreign currency translation, partially offset by a negative mix of business. The impact of higher selling prices was realized primarily in the Tubes and Cores/Paper and Consumer Packaging segments, principally driven by higher recovered paper and resin prices. The Company’s gross profit margin in the 3Q 2011 was 16.6% of sales, compared with 19% in the same period in 2010. The decline was primarily due to lower volume, a negative shift in the mix of business and higher labor and other costs. The Company’s selling and administrative costs declined 12% year over year, primarily due to lower management incentive and pension costs, a gain from life insurance proceeds, cost controls and the net impact of foreign exchange. Commenting on the Company’s third quarter results, Chairman and CEO Harris E. DeLoach, Jr. said, “Despite slowing global economic conditions, our 3Q base earnings were essentially flat with last year and up 10% from the 2Q 2011. Compared to the prior year 3Q, volume declined slightly, particularly in our more economic-sensitive industrial businesses, and we continued to see a negative mix in many of our businesses. Even though we faced raw material, energy and freight cost headwinds, the price/cost relationship for the quarter was only slightly negative. We were helped by productivity improvements, although not up to our historic levels, and lower selling and administrative costs. “Our Consumer Packaging segment’s operating profits were 35% higher, when compared to the 2Q and slightly better than last year’s 3Q. Improved productivity, volume gains and cost reduction efforts offset a negative price/cost relationship. In our Packaging Services segment, results were up year over year; however, results were down sequentially from the 2Q as improved point-of-purchase display volume and fulfillment activities could not offset previously announced lost contract packaging business. For the nine-month period ending October 2, 2011, net sales increased 12% to $3.37 billion, compared with $3 billion in the same period of 2010. Net income attributable to Sonoco for the first nine months of 2011 was $188 million, compared with $166.5 million in the same period in 2010. Earnings for the nine-month period of 2011 include a net positive impact of $1.5 million, after tax, due to the previously mentioned net favorable deferred tax asset adjustments more than offsetting restructuring and acquisition costs. This is compared with a negative impact of $12.1 million, after tax for restructuring and other charges in the same period in 2010. Year-to-date base earnings were $186.5 million, compared with $178.6 million in the same period in 2010. This 4% year-over-year improvement in base earnings was a result of productivity gains, higher Companywide volumes, primarily a result of six additional accounting days in the Company’s 1Q, and lower pension costs. These positive factors were partially offset by a negative mix of business and higher raw material, energy, freight and other costs. Gross profit as a percent of sales was 17% for the nine-month period, compared with 18.9% in 2010. Sonoco is a $4.1 billion global manufacturer of industrial and consumer products and provider of packaging services, with more than 300 operations in 34 countries.