Jul 29, 2009. /Lesprom Network/. Wausau Paper reported a second-quarter net loss of $1.9 million, or $0.04 per share, compared with a net loss of $9.6 million, or $0.20 per share, in the prior year, as reported by PaperAge. Net sales and shipments both decreased 14 percent to $262.2 million and 177,000 tons, respectively, due to anticipated volume reductions resulting from facility closures and continuing demand weakness in several market categories. Second-quarter results include after-tax facility closure charges of $13.4 million, or $0.27 per share, related primarily to the May closure of Specialty Products’ Jay, Maine, paper mill and the previously announced fourth-quarter closure of Printing & Writing’s Appleton, Wisconsin, converting facility; after-tax gains of $3.6 million, or $0.07 per share, related to a tax credit for the use of alternative fuel mixtures at Specialty Products’ Mosinee, Wisconsin, facility; and after-tax gains of $0.4 million, or $0.01 per share, related to the sale of timberlands. Prior-year second-quarter results included after-tax charges of $8.8 million, or $0.18 per share, related to the closure of a Printing & Writing mill in Groveton, New Hampshire, and Specialty Products’ roll wrap operations; and timberland sales gains of $0.8 million, or $0.02 per share. Excluding these items, adjusted second-quarter 2009 net earnings were $7.5 million, or $0.15 per share, compared with a net loss of $1.6 million, or $0.03 per share, last year. Adjusted net earnings for the first six months of 2009 were $10.9 million, or $0.22 per share, compared with a prior-year net loss of $4.7 million, or $0.10 per share. Adjusted net earnings is a non-GAAP measure and three-month and six-month results are reconciled to GAAP earnings below. Commenting on performance for the quarter, Thomas J. Howatt, president and CEO, said, “Adjusted net earnings reached their highest level in nearly five years with each of our three business units reporting year-over-year improvement. These results reflect the benefit of restructuring initiatives completed over the last two years designed to improve our competitive position and profitability, cost reductions implemented earlier this year, and reduced fiber and energy prices.” Mr. Howatt continued, “Coupled with aggressive cash conservation measures, these initiatives generated cash sufficient to reduce debt by $40 million during the second quarter, substantially improving liquidity and balance sheet strength despite recessionary business conditions. With little change in economic conditions expected in the near-term, we remain focused on improving our position in core markets while continuing to contain costs, tightly manage capital spending and reduce debt.” Wausau Paper, with revenues of $1.2 billion in fiscal 2008, produces and markets fine printing and writing papers, technical specialty papers, and “away-from-home” towel and tissue products.