Jul 30, 2012. /Lesprom Network/. Wausau Paper reported net earnings for the 2Q $2.1 million, or $0.04 per share, compared with net earnings of $4.8 million, or $0.10 per share, in the prior year. Net sales declined 1% to $212.9 million, as shipments were flat at 132,000 tons, as the company said in the press release received by Lesprom Network. 2Q results included after-tax capital-related expenses of $0.9 million, or $0.02 per share, associated with the Tissue segment expansion project in Harrodsburg, Kentucky, and after-tax expenses of $1.4 million, or $0.03 per share, related to settlement charges associated with a defined benefit pension plan. Prior-year results included after-tax capital-related expenses of $0.7 million, or $0.01 per share, associated with a paper machine rebuild at Brainerd, Minnesota, and the Tissue segment expansion. Excluding these items, adjusted earnings per share from continuing operations were $0.09 per share in the 2Q 2012 compared to $0.11 per share in the same period of 2011. Adjusted net earnings from continuing operations for the first six months of 2012 were $9.3 million, or $0.19 per share, compared with prior-year adjusted net earnings of $7.6 million, or $0.15 per share. Including discontinued operations, net of tax, 2Q net losses were $1.3 million, or $0.03 per share, compared to net earnings of $3.2 million, or $0.07 per share, for the same period last year. Current-quarter results included earnings from continuing operations before income taxes offset by income tax expense and a net loss from discontinued operations of $3.4 million, or $0.07 per share. Prior-year results included earnings from continuing operations before income taxes, offset by income tax expense, and a net loss from discontinued operations of $1.6 million, or $0.03 per share. For the six months ended June 30, 2012, including discontinued operations, net of tax, net earnings were $8.4 million, or $0.17 per share, compared to net earnings of $1.8 million, or $0.04 per share, for the same period last year. Net earnings included earnings from continuing operations before income taxes offset by income tax expense and net earnings from discontinued operations of $4.8 million, or $0.10 per share. Net earnings in the prior year included earnings from continuing operations before income taxes, offset by income tax expense, and a net loss from discontinued operations of $2.8 million, or $0.06 per share. Commenting on first-half performance and 2Q results, Henry C. Newell, president and CEO said, “The first half has been a period of high intensity for both of our businesses as we execute against our strategic initiatives to grow both tissue and paper; execute our tissue expansion and complete the exit of our print franchise. “Through the 2Q we have demonstrated tissue case growth of over 3 percent at approximately 13% operating margins; demonstrated growth in our technical markets of approximately 8%; significantly exceeded cash expectations for the exit of Print; and our tissue expansion is on schedule and budget. “We will see increasing intensity as we move through the second half; we expect to continue our growth momentum in both tissue and technical markets and the startup of the new paper machine will dominate our priorities. We are cautious in our guidance for the second half due primarily to a challenging economic environment and expect full year adjusted net earnings to be in the $0.39 - $0.41 per share range versus prior-year adjusted net earnings of $0.33 per share.” The Tissue segment’s 2Q operating profit of $9.1 million included pre-tax expense of $1.5 million related to the expansion activity and compared with prior-year operating profit of $8.7 million, including $0.4 million in expansion-related pre-tax expense. Net sales and tons shipped increased 3% and 1%, respectively, due to mid-2011 pricing actions and growth in total cases shipped of 2%. The Paper segment reported a 2Q operating profit of $2 million. Including pre-tax capital related expense of $0.7 million in the prior year, Paper achieved an operating profit of $4.9 million for the same period in 2011. Wausau Paper produces and markets specialty papers for industrial, commercial and consumer end markets as well as a complete line of away-from-home towel and tissue products.