Exhibit 99.1
Rock-Tenn Company Reports Continued Sales Growth in Third Quarter
NORCROSS, Ga.--(BUSINESS WIRE)--July 27, 2004--Rock-Tenn Company
(NYSE:RKT) today reported financial results for the third quarter of
fiscal 2004, which ended June 30, 2004. Net sales for the third
quarter of fiscal 2004 were $397.3 million, up 7.9% from $368.2
million in the prior year quarter. The Company reported a net loss of
$3.7 million, or $0.11 per diluted share, for the quarter ended June
30, 2004. The net loss for the quarter reflected pre-tax restructuring
and other costs of $21.3 million primarily related to the previously
announced closures of the Company's Otsego paperboard mill and certain
Aurora laminated paperboard products converting lines. Also during the
quarter, Rock-Tenn Company incurred additional charges of $1.1 million
which were not classified as restructuring costs, including $0.4
million due to inventory write downs at closed plants, $0.4 million
due to premiums paid for debt repurchases, net of swap gains, and $0.3
million due to a strike at the Aurora, Illinois facility. Net income
in the third quarter of fiscal 2003 was $7.2 million, or $0.21 per
diluted share, which included pre-tax restructuring and other costs of
$0.6 million.
Segment Results
Packaging Products Segment
Packaging Products segment sales increased 10.2% to $231.5 million
in the third quarter of fiscal 2004 from $210.2 million in the third
quarter of fiscal 2003. Packaging Products segment operating income
increased 9.1% to $11.5 million in the third quarter of fiscal 2004
from $10.5 million in the prior year quarter.
Folding carton division sales were $196.8 million in the third
quarter of fiscal 2004, a $20.5 million increase over the prior year
quarter. The 11.6% sales increase was primarily due to increased
volume compared to the prior year quarter. Sales of the Company's
Kerman, California folding carton plant, which the Company acquired in
August 2003, contributed $6.3 million to the increase from the prior
year quarter. For the first nine months of fiscal 2004, folding carton
sales increased 19.1% compared to the same period of fiscal 2003.
Interior packaging division sales increased 2.4% in the third quarter
of fiscal 2004 compared to the year ago period primarily due to an
increase in volume.
Merchandising Displays and Corrugated Packaging Segment
Merchandising Displays and Corrugated Packaging segment sales
increased 5.7% to $75.8 million in the third quarter of fiscal 2004
compared to $71.7 million in the third quarter of fiscal 2003. The
sales increase was attributable to higher volumes, including
strengthening demand for corrugated packaging. Operating income for
the segment was $5.9 million in the third quarter of fiscal 2004
compared to $6.7 million in the prior year quarter, as higher costs
more than offset the effect of volume increases.
Paperboard Segment
Paperboard segment sales increased 7.5% to $138.6 million in the
third quarter of fiscal 2004 compared to $128.9 million in the same
quarter of fiscal 2003. The sales increase was primarily due to a 4.7%
increase in the number of tons shipped by the Company's paperboard
division and a $17 per ton increase in average selling price compared
to the prior year quarter. Operating income in the segment declined to
$2.3 million in the third quarter of fiscal 2004 compared to $5.6
million in the prior year quarter, in part due to increased costs not
fully recovered in price increases. Fiber, energy and freight costs
increased by a total of $28 per ton compared to the prior year
quarter. Segment operating income for the third quarter of fiscal 2004
also was reduced by facility closure expenses for inventory write
downs recorded in cost of goods sold of $0.4 million and expenses
related to the strike at the Aurora laminated paperboard products
facility of approximately $0.3 million.
Chairman and Chief Executive Officer's Statement
Rock-Tenn Company Chairman and Chief Executive Officer James A.
Rubright stated, "This quarter's results are marked by the large,
non-cash write-offs associated with our exit from the laminated
paperboard book and binder business. As discussed in our releases
announcing these actions, we expect them to be immediately accretive
to earnings as these operations, the Otsego mill and the Aurora
laminated converting lines, incurred year to date pre-tax losses of
$6.0 million. Our Packaging Products segment performed well in the
quarter with sales and earnings up nicely over the prior year quarter,
and with return on sales very close to our internal benchmark of 5%.
Our Merchandising Displays and Corrugated Packaging segment performed
better than expected, with sales growth of 5.7% over the prior year
quarter. Our mills continue to operate at very high rates, 98% overall
for the quarter, remaining profitable in the face of very high fiber
and energy costs. Demand for our products remains strong so we expect
continued strong sales through the fourth quarter of fiscal 2004."
Selling, General & Administrative Expenses
Selling, general and administrative (SG&A) expenses were 12.2% of
net sales in the third quarter of fiscal 2004, compared to 12.6% of
net sales in the prior year quarter. The reduction in SG&A expenses as
a percentage of net sales reflects Rock-Tenn Company's disciplined
focus on reducing costs.
Consolidation of Legal Entities
During the third quarter of fiscal 2004, Rock-Tenn Company
reviewed its corporate structure and reorganized its corporate
subsidiaries, reducing the number of corporate entities and the
complexity of its organizational structure. The changes implemented as
a result of this review resulted in reduced income tax expense
recorded in the quarter of $2.7 million. Approximately $1.5 million of
the reduced income tax expense relates to the Company's filing of
amended tax returns for fiscal years 2001 and 2002 and adjustments
made to the 2003 tax returns. The remaining $1.2 million of reduced
income tax expense relates to a reduction in the deferred tax
valuation allowance for net operating loss carry-forwards (NOLs) that
the Company had previously concluded were not realizable. Rock-Tenn
Company anticipates that the legal restructuring will allow the
Company to realize the benefit of these NOLs in future years.
Restructuring and Other Costs
Restructuring and other costs for the quarter included a $21.3
million pre-tax charge primarily associated with the previously
announced closures of the Otsego paperboard mill and certain Aurora
converting lines. Of the total $21.3 million restructuring costs,
$19.2 million were non-cash charges. The Otsego restructuring costs in
the quarter were $14.6 million, primarily for facility and equipment
impairments. The Aurora shutdown resulted in $4.3 million of
restructuring costs in the quarter, primarily for facility and
equipment impairments. Rock-Tenn Company continues to manufacture
specialty recycled paperboard and solid fiber book and binder products
at the Aurora facility. Also included in the restructuring and other
costs were $1.6 million of additional paperboard segment charges and a
$0.8 million charge in connection with the corporate reorganization.
Financing
Rock-Tenn Company's total debt was $466.9 million, excluding net
gains of $9.6 million attributable to interest rate swaps, at the end
of the third quarter of fiscal 2004. The Company's cash on hand was
$47.0 million at the end of the third quarter of fiscal 2004.
Rock-Tenn Company purchased $15.0 million of its 2005 notes during
the quarter at an average price of 102.8% of par, or $0.4 million over
par, which was net of the cost of swap unwinds. Excluding the cost of
swap unwinds, the average purchase price was 105.8% of par, or $0.9
million over par. The Company also repaid $5.8 million in industrial
development bonds during the quarter.
During the quarter, Rock-Tenn Company contributed $19.4 million to
its defined benefit pension plans. This contribution maintains the
Company's 90% funded status according to Internal Revenue Service
guidelines.
Conference Call
The Company will host a conference call to discuss its results of
operations for the third quarter of fiscal 2004 and other topics that
may be raised during the discussion at 11:00 a.m., Eastern Time, on
Tuesday, July 27, 2004. The conference call will be webcast and can be
accessed, along with a copy of this press release and any other
statistical information related to the conference call, at
www.rocktenn.com.
Rock-Tenn Company provides marketing and packaging solutions to
consumer products companies at low costs, with annual net sales of
over $1.5 billion and over 70 operating locations in the United
States, Canada, Mexico and Chile.
Cautionary Statements
Statements herein regarding expected sales, the expected impact of
plant closings and other restructurings, including the expected effect
on earnings, and the anticipated impact on the availability of NOLs
and resulting tax savings, constitute forward-looking statements
within the meaning of the federal securities laws. Such statements are
based on our current expectations and beliefs and are subject to
certain risks and uncertainties that could cause actual results to
differ materially from those contained in any forward looking
statement. With respect to these statements, the Company has made
assumptions regarding, among other things, expected economic
conditions, expected volumes and price levels of purchases by
customers, competitive conditions in our businesses, possible adverse
actions of our customers, our competitors and suppliers, the amount of
severance, relocation costs and other cash costs associated with
restructurings, expectations regarding cost reductions and production
efficiencies, the expected utilization of real property that is
subject to the restructurings due to realizable values from the sale
of such property, and anticipated earnings that will be available for
offset against NOLs. The forward-looking statements are subject to
certain risks including, among others, that the foregoing assumptions
are inaccurate. There are many factors that impact these
forward-looking statements that cannot be predicted accurately. Actual
results may vary materially from current expectations, in part because
the Company manufactures most of its products against customer orders
with short lead times and small backlogs, while earnings are currently
dependent on volume due to price levels and fixed operating costs.
Further, our business is subject to a number of general risks that
would affect any such forward-looking statements including, among
others, decreases in demand for the Company's products; increases in
energy, raw materials and capital equipment costs; reduced supply of
raw materials; fluctuations in selling prices and volumes; intense
competition; our ability to identify, complete, integrate or finance
acquisitions; the potential loss of certain customers; adverse changes
in and the cost of complying with extensive governmental regulations;
and adverse changes in general market and industry conditions. Such
risks are more particularly described in the Company's filings with
the Securities and Exchange Commission, including under the caption
"Business -- Forward-Looking Information and Risk Factors" in the
Company's Annual Report on Form 10-K for the most recently ended
fiscal year. Management believes its estimates are reasonable;
however, undue reliance should not be placed on such estimates, which
are based on current expectations. The information contained herein
speaks as of the date hereof and the Company does not undertake any
obligation to update such information as future events unfold.
ROCK-TENN COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
======================================================================
FOR THE THREE FOR THE NINE
MONTHS ENDED MONTHS ENDED
June 30, June 30, June 30, June 30,
2004 2003 2004 2003
- ----------------------------------------------------------------------
NET SALES $397,281 $368,232 $1,163,391 $1,048,315
Cost of Goods Sold 331,517 299,844 967,881 854,988
- ----------------------------------------------------------------------
Gross Profit 65,764 68,388 195,510 193,327
Selling, General and
Administrative Expenses 48,469 46,485 147,552 136,498
Restructuring and Other
Costs 21,317 648 27,065 911
- ----------------------------------------------------------------------
Operating Profit (Loss) (4,022) 21,255 20,893 55,918
Interest Expense (5,907) (7,367) (17,682) (20,393)
Interest and Other Income
(Loss) (478) (61) (274) 44
Income (Loss) from
Unconsolidated
Joint Venture 288 (92) 155 (376)
Minority Interest in
Income of Consolidated
Subsidiary (1,036) (849) (2,512) (2,371)
- ----------------------------------------------------------------------
INCOME (LOSS) FROM
CONTINUING OPERATIONS
BEFORE INCOME TAXES (11,155) 12,886 580 32,822
Provision (Benefit) For
Income Taxes (7,079) 5,033 (2,519) 12,893
- ----------------------------------------------------------------------
INCOME (LOSS) FROM
CONTINUING OPERATIONS (4,076) 7,853 3,099 19,929
Income (Loss) from
Discontinued Operations 350 (641) 7,964 (317)
NET INCOME (LOSS) $ (3,726) $ 7,212 $ 11,063 $ 19,612
- ----------------------------------------------------------------------
Weighted Average Common
Shares Outstanding-
Diluted 34,966 34,726 35,408 34,619
- ----------------------------------------------------------------------
Diluted Earnings (Loss)
Per Share:
Income (Loss) from
Continuing
Operations $ (0.12) $ 0.23 $ 0.09 $ 0.58
Income (Loss) from
Discontinued
Operations 0.01 (0.02) 0.22 (0.01)
-------- -------- ---------- ----------
Diluted Earnings (Loss)
Per Share $ (0.11) $ 0.21 $ 0.31 $ 0.57
======================================================================
ROCK-TENN COMPANY
INDUSTRY SEGMENT INFORMATION
(UNAUDITED)
(IN THOUSANDS, EXCEPT TONNAGE DATA)
======================================================================
FOR THE THREE FOR THE NINE MONTHS
MONTHS ENDED ENDED
June 30, June 30, June 30, June 30,
2004 2003 2004 2003
- ----------------------------------------------------------------------
NET SALES:
Packaging Products Segment $231,526 $210,180 $ 672,173 $ 580,134
Merchandising Displays and
Corrugated Packaging
Segment 75,841 71,738 226,799 212,935
Paperboard Segment 138,560 128,855 402,964 379,515
Intersegment Eliminations (48,646) (42,541) (138,545) (124,269)
- ----------------------------------------------------------------------
TOTAL $397,281 $368,232 $1,163,391 $1,048,315
- ----------------------------------------------------------------------
INCOME FROM CONTINUING
OPERATIONS BEFORE TAXES:
Packaging Products Segment $ 11,455 $ 10,503 $ 28,072 $ 24,899
Merchandising Displays and
Corrugated Packaging
Segment 5,940 6,671 19,000 18,852
Paperboard Segment 2,342 5,603 7,121 16,661
- ----------------------------------------------------------------------
Segment Income $ 19,737 $ 22,777 $ 54,193 $ 60,412
Restructuring and Other
Costs (21,317) (648) (27,065) (911)
Non-Allocated Expense (2,154) (966) (6,080) (3,959)
Interest Expense (5,907) (7,367) (17,682) (20,393)
Interest and Other Income
(Loss) (478) (61) (274) 44
Minority Interest in
Income of Consolidated
Subsidiary (1,036) (849) (2,512) (2,371)
- ----------------------------------------------------------------------
INCOME (LOSS) FROM
CONTINUING OPERATIONS
BEFORE TAXES $(11,155) $ 12,886 $ 580 $ 32,822
======================================================================
Paperboard Shipped
(in tons) 292,745 279,706 859,020 821,203
======================================================================
ROCK-TENN COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
(IN THOUSANDS)
======================================================================
FOR THE THREE FOR THE NINE
MONTHS ENDED MONTHS ENDED
June 30, June 30, June 30, June 30,
2004 2003 2004 2003
- ----------------------------------------------------------------------
CASH FLOWS FROM OPERATING
ACTIVITIES:
Net income (loss) from
continuing operations $ (4,076) $ 7,853 $ 3,099 $ 19,929
Items in income not
affecting cash:
Depreciation and amortization 18,387 17,791 55,546 53,246
Deferred income taxes 1,068 16,063 (3,320) 16,715
Deferred compensation expense 449 227 1,011 569
Income tax benefit of
employee stock options 213 --- 401 ---
(Gain) loss on bond repurchase 872 --- 872 ---
(Gain) loss on disposal of
property, plant and equipment 49 (56) (2,121) (797)
(Gain) loss on currency
translation (230) 796 (471) 811
Equity in loss from joint
venture (288) 92 (155) 376
Minority interest in income
of consolidated subsidiary 1,036 849 2,512 2,371
Impairment loss and other
non-cash items 19,180 61 25,799 789
Pension funding less than
expense (15,866) (20,218) (7,269) (14,351)
Net changes in operating
assets and liabilities (4,001) (1,895) (24,383) (9,360)
- ----------------------------------------------------------------------
CASH PROVIDED BY OPERATING
ACTIVITIES FROM CONTINUING
OPERATIONS 16,793 21,563 51,521 70,298
Cash provided by (used for)
operating activities from
discontinued operations (78) 158 373 3,072
--------- --------- --------- ----------
NET CASH PROVIDED BY
OPERATING ACTIVITIES 16,715 21,721 51,894 73,370
- ----------------------------------------------------------------------
CASH FLOWS FROM INVESTING
ACTIVITIES:
Capital expenditures (18,269) (12,114) (48,613) (43,509)
Cash paid for purchase of
assets under synthetic lease --- (21,885) --- (21,885)
Cash paid for purchase of
businesses, net of cash
received (193) (1,199) (1,287) (66,419)
Cash contributed to joint
venture (44) (75) (147) (312)
Proceeds from sale of
property, plant and
equipment 249 164 5,427 6,857
- ----------------------------------------------------------------------
CASH USED FOR INVESTING
ACTIVITIES FROM CONTINUING
OPERATIONS (18,257) (35,109) (44,620) (125,268)
Cash provided by (used for)
investing activities from
discontinued operations (5) (2,841) 61,916 (3,432)
--------- --------- --------- ----------
NET CASH PROVIDED BY (USED
FOR) INVESTING ACTIVITIES (18,262) (37,950) 17,296 (128,700)
- ----------------------------------------------------------------------
CASH FLOWS FROM FINANCING
ACTIVITIES:
Proceeds from issuance of
public notes --- --- --- 99,748
Net repayments to revolving
credit facilities --- (2,426) (3,500) (826)
Additions to long-term debt --- 17,770 --- 41,607
Repayments of long-term debt (23,249) (624) (32,495) (83,600)
Proceeds (payments) from
monetizing swap contracts (95) 6,416 4,074 8,898
Decrease in unexpended
industrial revenue bond
proceeds --- 549 --- 1,376
Debt issuance costs (27) (23) (27) (1,013)
Issuance of common stock 2,914 1,840 5,699 3,821
Purchases of common stock --- --- --- (1,313)
Cash dividends paid to
shareholders (2,997) (2,761) (8,966) (8,269)
Distribution to minority
interest (1,225) (1,120) (1,575) (2,380)
- ----------------------------------------------------------------------
CASH PROVIDED BY (USED FOR)
FINANCING ACTIVITIES (24,679) 19,621 (36,790) 58,049
- ----------------------------------------------------------------------
Effect of exchange rate
changes on cash (15) (1,005) 402 (1,373)
INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS (26,241) 2,387 32,802 1,346
Cash and cash equivalents:
Beginning of period 73,216 5,519 14,173 6,560
- ----------------------------------------------------------------------
End of period $ 46,975 $ 7,906 $ 46,975 $ 7,906
- ----------------------------------------------------------------------
SUPPLEMENTAL DISCLOSURE OF
CASH FLOW INFORMATION:
Cash paid during the period
for:
Income taxes (net of
refunds) $ 1,694 $ 1,015 $ 12,248 $ 8,205
Interest (net of
amounts capitalized) $ 181 $ 2,324 $ 17,456 $ 14,614
======================================================================
ROCK-TENN COMPANY
CONDENSED CONSOLIDATED BALANCE SHEET
(UNAUDITED)
(IN THOUSANDS)
======================================================================
JUNE 30, MARCH 31, SEPT. 30,
2004 2004 2003
- ----------------------------------------------------------------------
ASSETS:
Cash and cash equivalents $ 46,975 $ 73,216 $ 14,173
Receivables - net 168,194 168,539 163,096
Inventories - at LIFO cost 124,253 120,568 118,414
Other current assets 22,840 13,163 17,717
Current assets held for sale 1,607 --- 52,703
- ----------------------------------------------------------------------
TOTAL CURRENT ASSETS 363,869 375,486 366,103
- ----------------------------------------------------------------------
Building and equipment - net 547,325 567,800 579,514
Intangible and other assets 343,366 346,373 345,778
- ----------------------------------------------------------------------
TOTAL ASSETS $1,254,560 $ 1,289,659 $1,291,395
======================================================================
LIABILITIES AND
SHAREHOLDERS' EQUITY:
Current maturities of
long-term debt $ 420 $ 414 $ 12,927
Other current liabilities 169,197 161,191 167,069
Current liabilities held for sale --- --- 7,487
- ----------------------------------------------------------------------
TOTAL CURRENT LIABILITIES 169,617 161,605 187,483
- ----------------------------------------------------------------------
Long-term maturities of debt 466,527 488,907 489,037
Realized interest rate swap gains 22,172 23,979 24,024
Marked to market value of
interest rate swaps (12,527) 1,094 (94)
----------- ------------ -----------
Total long-term debt 476,172 513,980 512,967
Deferred income taxes 90,481 89,413 93,801
Other long-term items 85,406 86,050 75,108
Shareholders' equity 432,884 438,611 422,036
- ----------------------------------------------------------------------
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY $1,254,560 $ 1,289,659 $1,291,395
======================================================================
Total debt excluding interest
rate swaps $ 466,947 $ 489,321 $ 501,964
Rock-Tenn Company Quarterly Statistics
Paperboard Group Operating Statistics
1st 2nd 3rd 4th Fiscal
Quarter Quarter Quarter Quarter Year
------- ------- ------- ------- ------
Average Price Per Ton
- ---------------------
Coated & Specialty Paperboard (a)
2002 $ 424 $ 410 $ 410 $ 425 $ 417
2003 434 418 437 438 432
2004 440 439 456
Corrugated Medium
2002 342 337 331 346 339
2003 343 335 340 333 338
2004 331 341 350
All Tons
2002 410 398 397 413 405
2003 419 406 423 421 417
2004 422 424 439
Average Recovered Paper Cost
2002 67 65 78 108 80
2003 82 78 88 86 83
2004 86 94 107
Tons Shipped
- ------------
Coated
2002 125,382 117,813 117,724 126,625 487,544
2003 117,566 128,606 126,292 125,363 497,827
2004 130,383 138,830 136,583
Specialty (a)
2002 98,538 112,408 117,652 114,367 442,965
2003 99,752 113,299 113,001 109,243 435,295
2004 100,327 109,913 111,495
Corrugated Medium
2002 43,556 42,541 43,960 44,797 174,854
2003 40,815 41,459 40,413 45,023 167,710
2004 43,880 42,942 44,667
Total
2002 267,476 272,762 279,336 285,789 1,105,363
2003 258,133 283,364 279,706 279,629 1,100,832
2004 274,590 291,685 292,745
(a) Specialty Paperboard Average Price Per Ton and Tons Shipped
include tons shipped by Seven Hills Paperboard LLC, our joint
venture with LaFarge North America, Inc.
Rock-Tenn Company Quarterly Statistics
Segment Sales and Operating Income
(In Thousands)
1st 2nd 3rd 4th Fiscal
Quarter Quarter Quarter Quarter Year
------- ------- ------- ------- ------
Packaging Segment Sales
2002 $ 177,684 $ 177,606 $ 182,841 $ 184,554 $ 722,685
2003 173,677 196,277 210,180 221,268 801,402
2004 208,875 231,772 231,526
Packaging Income
2002 $ 9,995 $ 11,904 $ 13,695 $ 10,553 $ 46,147
2003 4,654 9,742 10,503 12,659 37,558
2004 6,723 9,894 11,455
Return On Sales
2002 5.6% 6.7% 7.5% 5.7% 6.4%
2003 2.7% 5.0% 5.0% 5.7% 4.7%
2004 3.2% 4.3% 4.9%
Merchandising Displays and Corrugated Packaging Segment
Sales
2002 $ 74,055 $ 71,474 $ 69,565 $ 80,950 $ 296,044
2003 75,067 66,130 71,738 78,303 291,238
2004 73,518 77,440 75,841
Merchandising Displays and
Corrugated Packaging Income
2002 $ 11,744 $ 8,080 $ 4,888 $ 9,251 $ 33,963
2003 7,048 5,133 6,671 9,074 27,926
2004 5,743 7,317 5,940
Return on Sales
2002 15.9% 11.3% 7.0% 11.4% 11.5%
2003 9.4% 7.8% 9.3% 11.6% 9.6%
2004 7.8% 9.4% 7.8%
Paperboard Segment Sales
2002 $ 123,282 $ 122,237 $ 127,397 $ 136,788 $ 509,704
2003 121,797 128,863 128,855 130,426 509,941
2004 128,262 136,142 138,560
Paperboard Income
2002 $ 5,932 $ 6,117 $ 8,714 $ 2,181 $ 22,944
2003 4,920 6,138 5,603 3,705 20,366
2004 2,753 2,026 2,342
Return on Sales
2002 4.8% 5.0% 6.8% 1.6% 4.5%
2003 4.0% 4.8% 4.3% 2.8% 4.0%
2004 2.1% 1.5% 1.7%
Rock-Tenn Company Quarterly Statistics
Key Financial Statistics
(In Thousands except EPS Data)
1st 2nd 3rd 4th Fiscal
Quarter Quarter Quarter Quarter Year
------- ------- ------- ------- ------
Income (Loss) From Continuing Operations Before
Cumulative Effect of a Change in Accounting Principle
2002 $ 11,259 $ 11,026 $ 4,922 $ 2,646 $ 29,853
2003 4,945 7,131 7,853 9,612 29,541
2004 4,166 3,009 (4,076)
Diluted EPS From Continuing Operations Before
Cumulative Effect of a Change in Accounting Principle
2002 $ 0.33 $ 0.32 $ 0.14 $ 0.08 $ 0.87
2003 0.14 0.21 0.23 0.27 0.85
2004 0.12 0.09 (0.12)
Income (Loss) Before Cumulative Effect of a
Change in Accounting Principle
2002 $ 12,199 $ 11,584 $ 5,471 $ 3,216 $ 32,470
2003 5,070 7,330 7,212 9,964 29,576
2004 11,879 2,910 (3,726)
Diluted EPS Before Cumulative Effect of a
Change in Accounting Principle
2002 $ 0.36 $ 0.34 $ 0.16 $ 0.09 $ 0.94
2003 0.15 0.21 0.21 0.28 0.85
2004 0.34 0.08 (0.11)
Net Income (Loss)
2002 $ 6,355 $ 11,584 $ 5,471 $ 3,216 $ 26,626
2003 5,070 7,330 7,212 9,964 29,576
2004 11,879 2,910 (3,726)
Diluted EPS
2002 $ 0.19 $ 0.34 $ 0.16 $ 0.09 $ 0.77
2003 0.15 0.21 0.21 0.28 0.85
2004 0.34 0.08 (0.11)
Depreciation & Amortization
2002 $ 16,749 $ 17,217 $ 16,945 $ 17,180 $ 68,091
2003 17,953 17,502 17,791 19,437 72,683
2004 18,602 18,557 18,387
Capital Expenditures
2002 $ 9,038 $ 16,656 $ 23,887 $ 23,120 $ 72,701
2003 16,393 15,002 12,114 13,893 57,402
2004 15,421 14,923 18,269
CONTACT: Rock-Tenn Company
Steven Voorhees or David Rees, 770-448-2193