Clearwater Paper Corporation (NYSE:CLW) Q1 2018 Earnings Conference Call - Preliminary Transcript

Apr 19, 2018 • 05:00 pm ET


Clearwater Paper Corporation (NYSE:CLW) Q1 2018 Earnings Conference Call - Preliminary Transcript


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Welcome to the Clearwater Paper Corporation's First Quarter Earnings Conference Call. As a reminder, this call is being recorded today, April 19, 2018.

I would now like to turn the conference over to Ms. Robin Yim, Vice President, Investor Relations of Clearwater Paper. Please go ahead.

Robin Yim

Thank you, Cheri. Good afternoon, and thank you for joining Clearwater Paper's First Quarter 2018 Earnings Conference Call. Joining me on the call today are Linda Massman, President and Chief Executive Officer; and John Hertz, Chief Financial Officer. Financial results for the first quarter were released shortly after today's market close. You will find the presentation of supplemental information, including an updated outlook slide, providing the company's current expectation and estimate as to certain costs, product pricing, mix, shipment production and other factors for the second quarter of 2018 posted on the Investor Relations page of our website at

Additionally, we will be providing certain non-GAAP information in this afternoon's discussion. A reconciliation of the non-GAAP information to comparable GAAP information is included in the press release or in the supplemental material provided on our website. I would like to remind you that this presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 as amended. These forward-looking statements are based on current expectations, estimates, assumptions and projections that are subject to change, and actual results may differ materially from the forward-looking statements.

Factors that could cause actual results to differ materially include those risks and uncertainties described from time to time in our filings with the Securities and Exchange Commission, including our Form 10-K for the year ended December 31, 2017. Any forward-looking statements are made only as of today's date, and the company assumes no obligation to update any forward-looking statement based on new developments or changes in the company's expectations. John Hertz will begin today's call with a review of the financial results for the first quarter. And Linda Massman will provide an overview of the business environment and our outlook for the second quarter of 2018, and then we'll open up the call for the question-and-answer session.

Now I'll turn the call over to John.

John Hertz

Thank you, Robin. Q1 of 2018 was a challenging quarter. While tissue shipment volumes were strong, the challenging industry conditions have resulted in pricing pressure and higher input cost related to transportation in pulp and wood fiber. As a result, with the exception of revenues, we came in below the low end of our Q4 outlook ranges.

Before I get into our first quarter 2018 results, I'd like to preface my comments by stating that throughout the rest of my remarks, I will be distinguishing between GAAP and non-GAAP or adjusted results. The adjusted results exclude certain charges and benefits that we believe are not indicative of our core operating performance. The reconciliation from GAAP to adjusted results is provided in our press release and supplemental materials posted on our website.

For the first quarter of 2018, both adjusted