Oct 27, 2011. /Lesprom Network/. International Paper (IP) reported 3Q 2011 net earnings from continuing operations attributable to common shareholders totaling $518 million, or $1.19 per share ($0.92 excluding special items), including record profit levels in North American Coated Paperboard and solid results in emerging markets. Despite increasing input costs on most raw materials, the company improved earnings and cash flow in the quarter with superior operational, outage and cost management performance, as the company said in a press release received by Lesprom Network. Quarterly net sales were $6.6 billion compared with $6.6 billion in the 2Q 2011 and $6.7 billion in the 3Q 2010. Operating profits were $571 million in the 3Q 2011, compared with $483 million in the 2Q 2011 and $752 million in the 3Q 2010, all of which included special items. "IP delivered a strong quarter in a tough environment," said John Faraci, Chairman and CEO. "We are consistently generating higher profits and cash flow from our transformed portfolio with an international footprint that has strengthened our earnings power. Even as some expected challenges persisted in the third quarter, including weak economic growth in developed markets and input cost inflation, we look ahead with confidence as we continue to capitalize on our balanced portfolio and realize gains from recent investments." Industrial Packaging segment posted improved sequential earnings of $301 million ($293 million including special items) in the 3Q 2011, versus $269 million in the 2Q 2011. The current quarter's earnings were favorably impacted by lower mill maintenance outage spending and by resuming production at the Vicksburg mill following the May flood. Printing Papers segment's operating profits were $238 million ($239 million including special items) versus $222 million ($243 million including special items) in the 2Q 2011. In North America, quarterly earnings were impacted by strong manufacturing performance, less maintenance outage spending and favorable paper pricing partly offset by lower pulp sales pricing along with higher input costs. Segment earnings also reflect higher costs and maintenance outage expenses in Brazil, offset by favorable foreign exchange rates late in the quarter. Consumer Packaging segment operating profit was $103 million ($30 million including special items) compared with $98 million (a loss of $33 million including special items) in the 2Q 2011. 3Q improvement was primarily driven by the lack of maintenance outages and further sales price realizations in North America, but was partially offset by higher input costs. xpedx, the company's North American distribution business, reported operating profits of $27 million ($9 million including special items), up significantly from $14 million ($4 million including special items) in the 2Q 2011. Earnings improved from the prior quarter due to seasonally higher sales volumes and lower operating costs, partially offset by lower sales margins. Net corporate expenses for the 3Q 2011 were $34 million compared with $36 million in the 2Q 2011 and $58 million in the 3Q 2010. The decrease compared with the 3Q 2010 reflects lower pension costs and lower supply chain project costs. International Paper is a global paper and packaging company with manufacturing operations in North America, Europe, Latin America, Russia, Asia and North Africa. Its businesses include uncoated papers and industrial and consumer packaging, complemented by xpedx, the company's North American distribution company.