RYAM - Earnings call transcript Q1 2024 | Rayonier Advanced Materials Inc.

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Operator

Good morning, and welcome to the RYAM First Quarter 2024 Earnings Conference Call. [Operator Instructions] As a reminder, this conference is being recorded. I would now like to turn the call over to your host, Mr. Mickey Walsh, Treasurer and Vice President of Investor Relations. Thank you. Mr. begin. may you Walsh,

Mickey Walsh

good Conference again Call and Quarter RYAM's XXXX Earnings and morning. you, to Welcome First Thank Webcast.

our Officer; Joining De me Finance. Marcus Executive President Lyle are Officer Moeltner, and Bloomquist, our Senior on President and of today's Vice Chief Financial call and Chief

harbor available remind include release earnings safe you laws. to today's we will are that statements securities materials website made at the last evening were in of Our our issued ryam.com. I'd forward-looking pursuant presentation and and federal on provisions like to presentation,

management our Our X should earnings forward-looking included the reference to also results the presentation. I of may release call make. Slide Slide as our financial presentation We non-GAAP the noted filings De certain information most of like on useful XX believe also actual Lyle. we statements well but now for to are measures GAAP A an directly XX of our alternative factors, materials. Today's through as the SEC with as investors, Slides are would presentation financial to to considered their cause from comparable on They of measures over financial measures non-GAAP GAAP turn will list of these materially presentation. measures be measures and on to may non-GAAP differ some referenced which reconciliation measures. X our provide not

De Lyle Bloomquist

the overview you, quarter I'll Thank financial with XXXX. for first morning. Mickey, and good of the begin

on Following and capital business our handing to segments structure I'll over Marcus for that, recent the additional details company discuss before actions liquidity. and

on suspension our initiatives and to share will of back the businesses. plant details paperboard pulp guidance include the Temiscaming high-yield I'll process in HPC our This at comments, sales for and on Marcus' come Following operations for XXXX. the the updates additional

for open then floor will the questions. We

rose by sorry, reduced for largely saw sales increase XXXX. cost kraft decrease by along from volumes, million, -- an I'm anticipate performance an lower commodity key by turn we in higher by this where and driven million attention discuss productivity. This with last the moderated due later period for prices, partially year. energy we as this sales a of in decrease adjusted offset that the primarily high EBITDA, inputs specialties cost EBITDA $XX our logistics and products exceeded reduced in well million, for sales business lower our prices first year. Conversely, though $X somewhat million Slide will with to expenses. results $X sales was decreased this In realize The prices increase million segment was decreased the mitigated for a we'll pulp. High-yield Let's Paperboard quarter segment, absence Pulp X, EBIT same was somewhat cellulose logistics increases $X as the improved high-purity and purchase EBITDA, by due Cellulose volumes to for the a lower to prices, benefits $X in expectations although experienced of

solid million, specialty segments. more performance core offset Additionally, by underpinned strong the than exchange in summary, our overall was largely cost In foreign improved favorable and Corporate cellulose softness across driven impact. expenses and by the $X High-Yield in which enterprise, reductions results Pulp Paperboard the a by segment

for year $XXX meeting and the pass like This financial year This pleased decision financial strategic and goal the Jesup planned also The financials indefinite Temiscaming cash transaction, with developments, the of we million. With to not the guidance announced but us In also at quarter. Marcus' our goods inventories to by terms selling through implications full provide our to lumber first of million after marginal flexibility, benefits expected over significant and Marcus? I guidance to in adjusted about our comments. million. reduce of is reaffirm was raise anticipation these month, to our EBITDA build our cash in aligns free consolidated cash $XXX enhance in to cash free will the that, to quarter, I'd strong million flow outage use plant. $XXX positive duty bolsters of operations $XX share $XX $XX more performance to plant. finished annual softwood to flow, our EBITDA our our maintenance am only HPC updates million flow walk full subsequent to announced In XXXX. I a Marcus the at strategic rights there sale XXXX. Considering to this of refund our suspension million we suspension for of in our a the to have the debt

Marcus Moeltner

an planned which XX% a Thank an declined Lyle. HPC offset $XX CS $XXX commodity than X%, of pricing. XX% you, HPC Beginning segment De on Slide result sales pricing change Total acetate Quarterly by logistic sales X. with XX% more certain were a which second in by was are $X from absence by sales million CS our million in decrease previous were higher recur the of in expected improved $XX Overall contract a more of price, energy or $XX improvements impact decrease of primarily of a declines offset prices for and costs, declined million XX% million CS volumes segment competitor's million. These year in of commodity the sales X% by the quarter maintenance sales. Increased primarily by in million, key and rose energy-related volumes XXXX million, a the sales of from $XX result later built destocking production decrease the as volumes that increase was in The of included sales of the a closure decreased year. favor and rise and in to as green previous year. in driven in higher and along benefits and plant and CS, to commodity volumes sales. This EBITDA volumes, terms to by the in favorable for products Jesup's sales in than $X supported company onetime CS ahead the XX% to in customer outage. Other with were in input the decline prices sales the offset ethers late productivity. decreased was a partially benefits sales. CS in commodity quarter lower sales by volumes inventory cost due

$XX largely Sales X. this for declines. sales changes attributed mitigated was the lower declined Paperboard purchased mainly to due Slide in EBITDA $X in a product impact market-driven to to decreased Turning prices, declined costs for $X prices, to resulting demand million, sales the segment drop XX% though mix and in segment somewhat from million, million pulp. by

EBITDA CS $X offset declined XX% million. reached contrast improvements Segment generated Slide Sales China. million Sales year, in year. Transitioning Turning point to other across segment than breakeven products. sales Pulp prices, by $X in the to reductions to supply mainly quarter income High-Yield increase consequence volumes. a pricing prior of XX% to sales in in were declines prior million Slide to comparison on to The a price a in external in price offset were by X. the amounted partially more $XX the drop a for operating mainly due all the X. Consolidated dynamics, by in market

were cost were by related enhancements benefits discounting and offset rates incurred mix capital. fees impacts cost to support working In other addition, SG&A foreign and sales in offset improvements. exchange to favorable by partially financing and volume

$XXX the in to period $XX of at turn million, our quarter cash, closed the secured Liquidity XXXX. Net let's $XXX ABL million. million $XX Net same million in financial and loan, facility. at term ended million quarter at our secured reflected debt Now reduction a original X.Xx the test. Slide French within from million available Total leverage covenant covenant the our closed at the associated of X. ended with facility reflecting $XX quarter factoring the $XXX ratio quarter for million, debt $XXX the under

working startup strategic increased, quarter of with Bioethanol maintenance CapEx ahead build by $XX for towards anticipated, project. outage. million Tartas inventory capital totaled Jesup's directed As capital the planned to levels the $X driven million, support the annual of the

as Additionally, $XX positioned we I'd like that, to for debt remains million of targeted announced we for are and refi million. Overall of XXXX noted, duty upcoming the strong, preparation refund the softwood rights process. With Lokey over our this we De call turn achieve our sale Houlihan notes, well retained lumber to previously reduction Lyle the the In $XX have our senior to back year. services Lyle. throughout advisory De provide liquidity to

De Lyle Bloomquist

Marcus. All Thank you, right.

provide to attention our where our key turn now XX, an for XXXX. update I'll initiatives Slide Let's on

with debt. to year January senior Our is the particular in go refinance primary they a notes current before goal XXXX, on reducing focus XXXX this

business by and the cash generated of lumber target of tax on are the in meet We a our refund XXXX, sale by reducing $XX proceeds debt million track rights. supported flow, duties refund gross recent from softwood to free

be progressing process due in announcement the how has sales the Cellulose In of will following with High-Yield Paperboard some plant, managed. the addition, suspension the the the are our high assets. to operations High remains Purity which buyers of of Pulp the the Interest of site prospective among Temiscaming at introduced we delays and underlying change assumptions

this the asset and is separately. It's decisions assets by a not suspension that we will be run these independently, fire suspension sales sales out clarity process effectively been to site that affecting to diligence the and believe reemphasize the Temiscaming carried asset bring have the that important While sale. validating approached can

value have the We low and capital the high margins intensity custodial on Paperboard of based business. threshold a EBITDA the

would balancing to go cash proceeds free the against annual the load, reduce the obviously are plan debt we are estimated While that we the before these from the any plus acceptable potential our receive our transition terms provided debt $XX in million in XXXX. current repayment. We flow notes from carefully January complete businesses sale

steps associated has high-purity impacting stability. which our are our earnings exposure, significant to margins been ongoing assets the taking and cellulose address with We and challenges commodity profit optimize our

drag HPC pivot, part of in the operations $XX in on announced will XXXX. to following our XXXX suspension commodities, announcement non-soft ] slide indefinite this Temiscaming which we [ projected I million As $XX a plant. This financial follows. mitigating strategic of EBITDA loss reflects a decision this more the provide our details commitment million, of from that loss at the

the the continued expansion business. One initiatives our promising most is biomaterials of of

$X EBITDA annually targeted April. Bioethanol facility million as generate $X of our this step Our XXXX projections of million strategy we in plant, million with to Tartas million achieved its to celebrated $XX will this $X first production levels. in anticipate first from year shipment We this

biomaterials our Looking AGE site. sale the at plant ] forward, for proposed energy same pipeline the and additives project Jesup green our prebiotics produce [ a at new which will facility, includes project

bioethanol air authorities. and submitted the engineering the detailed we've continue proposed projects in We advance regulatory plant the commenced with Beach as to Fernandina permit

France both green in proposed the aim Our operations these and works the tall projects projects include crude all capital. with finance U.S. in We oil to

commodity Let's indefinitely non XX, turn and will benefits in fiber the we and combined in availability made plan. this HPC high to a I plant. halt altogether, to mothballing Slide significant severance, facility, market at wood which costs markets the ongoing operating Temiscaming to costs, by services $XX losses. The XXXX suspend affordable placement operations where when April, move difficult decision onetime operations implications our of capital include decision created the for recent driven fluff discuss extension, weakness for In our and at uncertain around fixed million financial

best an impairment charges, expect still improvement adjusted $XX approximately the mothballed, should represent this to the the with the to cash more this facility driven reduced HPC positive. Furthermore, flow many restarting results million, is within cellulose market to Temiscaming and will utilities into supply an impact to satisfy than the assess to possibility capital minimal XXXX supply exists onetime the a industry's that and demand are to believe restart, investment since available will associated can and it overall at products. Consequently, free by annually within marginally be site CapEx monetization oil plan. year, site CS anticipate noncash and future offset on costs. Once growth evaluating in working operating we plan we by EBITDA that capital operating qualified we year's industrial other suspension of require re-enter services $XX While of least customers specialty by capacity the we million we

commodities in period, annualized realize sales. $XX the CS a after million qualification to During $XX HPC will reduce year, improvement to process of primarily and resulting from EBITDA estimate losses we we product the suspension an million that adjusted concludes, the

months. CS We products also $XX work XX qualification targeted $XX with this currently the customers capital approximately in anticipate cash to an the This avoidance actively increase all testing take from XX expected million plants. improvement from EBITDA flow, of process million is qualification of and to our expenditures. The ongoing free is custodial customer other

at We sustain to demand CS period. from and through our produced are business we customer will lines until qualification Jesup A will at Tartas. We inventory and committed Jesup building this July fluff be and sulfide at fluff our to plants expect focus The Beach retain business remain C-line bridge that on Fernandina B majority production. the and to continue our our of to

Slide Let's XX. turn to

EBITDA interest Cash of projected the million payment to year. last due the early $XX enterprise be QX for to in which timing expense this around year, year's $XXX for expect the to holidays. the We $XX is $XXX the between January add made million interest approximately million includes that was payment million to

reduction now million annual at due HPC plant. expense the the million, current at normalized suspension Temiscaming is a the reminder, of interest to reflecting million. Maintenance is estimated $X As $XX estimated $XX a CapEx

our of accrued we to a Temiscaming be the for plant million. to toward last to liabilities. In in which EBITDA our year, a value cellulose we for are million the specialty resulting historical project below and Slide terms rise prices $XX million which prioritize for anticipate we increase deferred remain a from plant to volumes summary, favorable specialties million change increase our working million million HPC These to will a due volumes ether plant raising the suspension. Furthermore, in specialty $XXX be HPC volume allocated range $XX adjusted from range gains $XX will levels. into impacts the expected increases as onetime We modest segment the share with a compared to XXXX Additionally, $XX expected $XXX as to increases suspension, reduction offset These partially impact modest be to to partially by XX, cellulose acetate resulting and contract investments. On of sales in related though ethers in for low funds volumes, single-digit $XX closure the guidance from includes and free to between to energy of a flow million prior are be refunds over project offset payments competitor's of We year. continue products. Sales deeper be Temiscaming we from our dive businesses. in performance other capital, and anticipate and XXXX cash debt tax from by lumber will duties, the capital I million monetization strategic $XXX the year. HPC our in will lower percentage restocking sales comparable customer market each a benefit

We plant. of lower, planned a due Temiscaming from plant in Overall anticipated second of and impact half at the HPC be at volumes in costs to to operations production management XXXX are sales commodity improved the decline the HPC suspension the of during our in operations the driven cost alongside suspension the by efficiencies expect year. Temiscaming

strategic which on and by the successfully capitalizing sustainable $X shipment million production contribute to for on in was is to products. The to projected EBITDA expectations plant, increased demand in full its in Tartas focused April, our remains strategy $X at with first growth Bioethanol million to investments $X reach $XX in million XXXX. operational business, completed XXXX, Our biomaterials million

to first projected range $XX expected to those to to demand. Raw to and prices. sales in volumes Regarding material to pulp quarter, in increase million increased in customer are due purchased the XXXX. seen are expect rising expect Paperboard, achieve we of increase with consistent Prices to $XX prices million EBITDA we stay due the

the $XX $X Pulp to million business million achieve We EBITDA XXXX. High-Yield of expect range in in to our

QX pulp anticipated of prices year. rises second in the half a or further slight expect increase in high-yield We the in

projected the total High-Yield Additional sales expected [ are and $X is be move CapEx ] we businesses increase volumes for custodial as million. into half to second Paperboard Pulp of XXXX. The the to

the as final expect of multiyear we XXXX, we For our $XX million implementation. are to versus costs XXXX slightly up corporate million, year ERP of $XX

we charges important noncash the environmental to fluctuations, XXXX. that project factors reductions we vary margins cost our EBITDA the other to these currency and includes, trajectory forecast due starting ERP and Slide XX% in secured leverage XX, the of costs expenses. On anticipate at It's illustrate like As XXXX, may in leverage be decline. our to end the year for net In covenant to net stands growth The XX% Xx margin we of range. anticipate at EBITDA. the note

by to open commitment XXXX. With target that, the ratio remains our debt leverage Our please of resolute X.Xx call in questions. achieving operator, net

Operator

first Daniel Our is Instructions] [Operator question Harriman & Sidoti from with Company.

Daniel Harriman

Happy the particular, throughout last alluded little in market ethers provide bit in that seeing Do that expect about in Or just a what a the on color European quarter and and XXXX? mostly you be acetate. destocking see ongoing to today that you're more should to volume. construction Could be little I then uptick the think and finished? to talked you that you market, you

De Lyle Bloomquist

will De year Daniel, our demand. that in know improving honest. Europe Lyle. it your by To is trying really interest in half the whether the there markets increase truly we're expectation an to start still customers ethers, the it's in ECB customers out, underlying rates question this the don't construction customers' lower and expected whether our as figure this to is or to We be this by on answer of second or is restocking

I think get we'll of staying we a on end that when that better better QX. look to the on have and

continue and normalizing that our this really start Again, second we'll And a in the through to principally what then market, China of Asia. with half, of just said in with we'll the we will half respect expect and the couple So And is then year. customers, is the that wait large concentrated have to acetate there. destocking first we destocking

Daniel Harriman

the in Best of Okay. luck quarter. coming Great.

Operator

Capital with from Matthew is RBC Markets. McKellar question next Our

Matthew McKellar

maybe concentrating color last little volumes you expect way? bit you XX-month those frame do a how can business Temiscaming bit time you a requalification Temiscaming from you you been year about at do with then along little at process XX- going that of the is historically as be of will other some volumes for First, commodity started to you lose expect Or produced requalify to provide first on time or talking CS today? there CS at of facilities? And the volumes of all can the have talked,

De Lyle Bloomquist

requalification Matt, with the question respect well. on to your going itself, process it's

targeted Temiscaming from our supplying that that customers And beginning plants. respect of say product of All process. various at could is are say of to process that months customers, we period is from the our XX as XX the the would I taking the the were planned. With CS I just to proceeding time,

terms less question So we probably about to a in have our of we got going then those all are in customers process. than that time forward processes. And the conclude the little remaining including of

certainly to of were All part be qualification invited of process. customers our the

Some qualified -- of not they of to. were with them, our they given had chose that some competitors,

And of do out But likely go we of in we're so what supplying competitors. our that we we think to customers retain believe Temiscaming that business. important the most consequently, currently higher-margin that our think some will are we

Matthew McKellar

facility affect first, just fiber indefinite with your Anomera in then and residual of site? curtailment. then the talk and Green how that will at Can sticking you HPC your And Great. about with operation cogeneration the the agreement supply investment Temiscaming woodchip the

De Lyle Bloomquist

this that to chip agreement. GreenFirst, Again, our with a With a right. intend agreement and is suspension not fully respect continue of operations closure. to we to All supply honor Okay.

with anymore. time suspension, But a So the consume future need to to going chips sometime we'll the be not there that chip we're obviously, have supply. may in

resell So market. chips the to be the the would focus into GreenFirst with working

to respect on as price on the based Just -- transfer between is it is with the market the agreement, pricing. parties a based reminder,

from that profits That to expect moving the boiler a volume, mitigated. With part is about, then to to able liquor So be our the we other of the to is suspension. you're boiler. growing. And business, be impact respect keep us we I or with any with our we'll largely -- that our losses, what operation respect and think, supply plants take last the Anomera will to they again, that respect small XX, to issue talking

those So the down we're shut period. operations planning to close for or those operations

Matthew McKellar

me. for Okay. Great. Last one

lumber you ultimate color the future provide As an timing sale, you part the outcome. called dispute here circumstances refund trade additional for that would the any softwood sale to in opportunity of what receive additional upon proceeds you company proceeds in the duty on Can receive terms contingent out under future? of

De Lyle Bloomquist

those of are those -- NDA Matthew, details. Really on under can't, we're type

we So that with you. really can't share

Operator

Tower Our from next is Water Dmitry with question Research. Silversteyn

Dmitry Silversteyn

just things. want to of back a circle to I couple

is of the second all, realize $X will you on energy the the detail million is? that year, the to First or fall more little can later in in of that And half what bit a first you benefit likely year? of provide year the half it the

De Lyle Bloomquist

it's Dmitry, our those we're the the Historically, we've about in this COX is or to thinking we're that talking Okay. that receive to facility. largely EBITDA out Tartas in potential to and as payment third authorities realize due the part Right likely with of of in now, credits those of we quarter what France that. pushing able on the been recognize quarters second year, usually year. either the occur government first

as seen a It's just we've be there, about the same amount So the little past. it in roughly again, will delay.

Dmitry Silversteyn

China conditions Got And comment the on last? China? these your how it. you expected business. that are conditions Pulp on there about -- on follow-up a in long what's your bit impacting just little Can High-Yield provide And are going in does then a market detail market more to

De Lyle Bloomquist

regions And lot world. The in out impact limited on. pricing a the pulp [ on though excess new to of would is supply There's There's year. is respect last continue, that the seeing due the that's that going through with to a having as we of that really pulp other China. We're lot excess high-yield ] to to an high-yield in global still of came lead of market. supply not probably or pulp most capacity mechanical conditions to I continue expect in discussed that can China Well, quarter.

then as So year. to expect go what we Europe area well pricing to are in strong, continue to as more subcontinent response as improve then Indian that be and dynamics, are repositioning progresses. China, into continues supply of as in our obviously result we be we attractive. we'll average in and seeing our will sales that to And our improve the pricing as those we're stronger we able through believe the and And a markets those the year

Dmitry Silversteyn

Okay.

in So should of the the the the say, half expectation obviously business? little XXXX. somewhere kind and first I I more mean I look about not for normal slide think this if to look volume it of Is a and the does how sort that of saw 'XX? pricing your pulp, let's the in price high-yield at pricing sustainable that but for is off line, we we like mean it's with bottom level come bit,

De Lyle Bloomquist

good probably later Pulp year, coming speculate -- generates That's normalized we're to it want way you get see part. our cycle, would I a a positive today. -- flow. I to trough enjoy price. first on Yes. and the be right It's and be. on that. positive as Obviously, normalized High-Yield EBITDA over would cash again, We'll that's of really business into cash going now, be it's my Normally, quarter and And to positive EBITDA that's would we improvements. and this think question right off start don't part positive be a get we we'll to a of the to all the i.e., XXXX, flow. starting than can't guess where the are of tell really likely now pricing back I higher what

Marcus Moeltner

in in there's business, effect remember, our order logistics given file our supply chain. our lag Dmitry, high-yield a And

Dmitry Silversteyn

you. Got

that. understand I yes, So

Operator

with Our Burns next question is from Stifel. Sandy

Sanford Burns

year. back the get the XXXX? $XX to that clarify $XXX as EBITDA Maybe start you the Temiscaming expenses closure $XXX valid charges is for those to Or just The to to guidance. are to about the including suspension, item million? onetime added Good cash one million for

De Lyle Bloomquist

guidance. adding the EBITDA to adjusted we're to No, get back that

Sanford Burns

Okay.

And all is those that add are to cash back. just So costs, an confirm?

De Lyle Bloomquist

be There And of all other are make not in years. going the the to of it course a XXXX. is is. point costs. No, they're will good to over all out cash But million, the that -- not multiple It's happen majority it $XX just spread

Sanford Burns

Good. Okay.

clarify, follow Okay. appreciate to about too sale much up portion get those? was that the were expecting? question you But don't want And to the just maybe refunds prior maybe of duty the just was of detail. all to and on duty a sale, you I it a into Or of just

De Lyle Bloomquist

see of our the sale duty in receivables. of that the so We not amount rights, just all was refund

So the million. $XXX full

Operator

Spitz [Operator next Our question with from Roger Bank is America. Instructions] of

Roger Spitz

EBITDA the the any? is of What Jesup impact 'XX QX turnaround, if

De Lyle Bloomquist

again, That's the a given million, be of has, -- good But the the the that's going going like me I given to obviously, got plant, impacts, it something material. size question, a that's to Roger. of impact neighborhood but to in stumped say on one. historical that. that would And you be the -- it's $XX guess thinking about

Roger Spitz

lines Are particular just you getting or line? one all

De Lyle Bloomquist

weeks. Yes. for about down We plant brought X the whole

Marcus Moeltner

important to note, Roger, it's shutdown... And that we're through

De Lyle Bloomquist

Yes.

that up is and the point important is The running now. plant back

Roger Spitz

Got it.

De Lyle Bloomquist

brought little planned. than it up And a earlier we back

outage. successful very a was it So

Roger Spitz

Perfect.

some Temiscaming, about talks high-yield continuing pulp going But what the run high-yield and save paperboard to idle the we look running complex. will my it. But or fixed HPC to of be whole the pulp, but other the EBITDA running pressure you and additional plant question you plant, have slide there HPC with costs benefit paperboard obviously, those associated the And you're the regarding presumably, absorb of your having the plants is in at So from not EBITDA. both this, to EBITDA cost if plant.

X fixed have HPC? -- x costs like do million EBITDA LTM we running, segments, about of So running wasn't they there if from of think not how absorb should those HBC is another like to dollars

De Lyle Bloomquist

relative with You're with having to getting business. the and some the potential -- Paperboard we're some negotiations into suitors and respect the discussions of details of

of don't for is forward. that. want million I the that benefit the into But that right stranded for EBITDA we've million business going the in business to on that So say to forecasted that details $XX really will the get $XX got in the now I any costs we've of that

So the given included you. we've in we've got estimates it

Roger Spitz

Got it.

So are where you...

De Lyle Bloomquist

the a last more this This And [indiscernible] one is closure. suspension. is Yes. not Roger. a point, me point, make let Again,

these because in won't will the High-Yield of or or is to any likelihood them, affect we retained that describe -- want So costs there's that the operations retain ongoing stranded costs the restart a sometime or and Pulp these future. these again, business, however would Paperboard the costs business actually HPC plan those the you

need to costs retain we that fixed we have So support these ongoing that would to would the potential. at site,

Roger Spitz

Well, bids time the questions. Have which you One you in following potential first I are are did indications you -- guess, bids? Have to buyers have are received you run of for -- presentations at round the up? is, got interest, you X that you you so of where you process? Have least last said suggests you the second where management for second mark ahead you out -- round? -- that asked round contracts sent in

De Lyle Bloomquist

had with We presentations. have had parties. site visits interested management We've

operate are how suspension, have draft with now as a agreements. relative underlying result the obviously, APA site the fundamentals the assumptions draft will or But provided We -- a -- to the have changed. of and

all mean is going suiters is Pulp of it there's suspension talk would And business that, for It enthusiasm the isn't the delay, that will of about Paperboard to or we The understand to minor. at believe, what so relatively so a even our extended, process it the High-Yield a doesn't actually so to that -- assets. the have lack because suggest diligence we've relative chance be to anyway, discussed. and -- the

would And that interest a parties In are also that other actually that enthusiasm has result fact, suggest increased I suspension of from seen actually interested. as would I suggest from we've parties. that increased actually the the

the necessary So best assets. as process run we those to get value will continue the see we for to

As we'll I said not value we as We value. earlier, assets. fair make to to this fire get extract a deem necessary these for sure run that we process sale. the is want And

Roger Spitz

on subject. it. If can I Got further more take one this

-- on X. You're the July shutting you're plan idling

full Or you'll potential confidence have without bid with and X the and a hopefully of to do Do them I need show operating to think buyers QX that will quarter -- "clean quarter restart? numbers" numbers think go as you clean. relatively make one to high give substantially shown, or So as you back out be when of HPC full to you that's them clean you show can? really quarters can QX

De Lyle Bloomquist

That right. depends the suitor. on All

goal part it's the by if up to to -- refi deal before year terms as have are is our process. of them. the the of So the attractive But to end we conclude the

Roger Spitz

are ask queue X there And it. can I -- Got people the more? or then in

De Lyle Bloomquist

questions. and couple You can more of go ahead ask a

Roger Spitz

and this HPC and The $XXX and said change to from to the it. you said million? it $XX that it missed missed Maybe $XXX $XX maybe did million remarks. XXXX paperboard I I just on you prepared EBITDA, Sure. million million from the the

De Lyle Bloomquist

gave we Same didn't time. So they change. last as

Roger Spitz

agreement? regarding Or Got supply it. general And lastly, the just [ ] contracts? requirements, it under based then agreement, that chip volumes, GreenFirst supply on is is the wood take-or-pay min/max volume

De Lyle Bloomquist

every so the volume based market but of our see is the we And a we a profit take loss not at pricing facility, time. as that, on need GreenFirst. resale. result pricing look a either I of the said, from with from will as we the year operating will that working though even will not And as consequence, to that certain amount GreenFirst expectation -- and resell to volume, that is we're required or take We're to

Operator

for like further any Bloomquist over closing Thank you. no There at are comments. Lyle floor this to to questions the hand back I'd time. De

De Lyle Bloomquist

thank Right. been team has of very support your and company. by and proud show our for the shown that -- the we all hard I you for work always, interest confident Again, very in dedication that as work our I and and our profitability appreciate as to continue am us today. your initiatives and to ongoing our we our continued leverage. I while enhance ability long-term reduce to we forward to the value all of and success and providing on growth. strive updates for support look joining debt projects

communication. open we're always, and As maintaining to committed transparency

participation. contact free any need you you for if us innovation. further or feel any again further you have So to questions your Thank

Operator

concludes conference. today's This

You for you your at Thank lines time. may this disconnect participation. your again

Rayonier Advanced Materials (RYAM) 8 May 242024 Q1 Earnings call transcript