Mar 01, 2010. /Lesprom Network/. Neenah Paper, Inc. posted 4Q net income of $4.9 million or $0.33 per share compared with a net loss of $67.7 million or $4.63 per share in the prior year period. Net sales of $155 million in the 4Q 2009 increased 5% from a year ago and were also 3% higher than 3Q 2009 levels, said in a press release received by Lesprom Network. Operating income was $11 million in the 4Q 2009 and compared to an adjusted loss of $9 million in the 4Q 2008 and income of $10 million in the 3Q 2009. “Our businesses continued to gain momentum with a fourth sequential quarterly increase in sales, EBIT and margins. Cost reduction initiatives implemented in 2009, coupled with recent selling price increases and improving business conditions, put us on solid footing heading into 2010,” said Sean Erwin, Chairman and CEO. “In addition, our capital structure improved in the quarter as we again used available cash flow to reduce debt and successfully renewed and extended our revolving credit facility.” Net sales of $573.9 million in 2009 compared with sales of $732.3 million in 2008. Sales in 2009 for both segments (Fine Paper, Technical Products) decreased as a result of significantly lower volumes resulting from the global economic downturn and corresponding weaker market demand. Sales recovered throughout 2009 as economic conditions improved, particularly in the second half of the year. Adjusted operating income of $33.5 million in 2009 compared to adjusted income of $24.5 million in 2008. Income increased in 2009 as a result of over $20 million of savings from cost reduction activities, including the shutdown of the Ripon fine paper mill in May 2009, and lower input costs. These items offset the impact of lower volumes in 2009. Items excluded from adjusted income included $17.1 million for restructuring charges associated with the May 2009 shutdown of the Ripon mill and, in 2008, gains of $10.7 million for asset sales and settlement of Terrace Bay employee benefit plans, and a $54.5 million charge for impairment of goodwill. Neenah Paper is a leading global manufacturer of premium, performance- based papers and specialty products.