Kapstone Paper and Packaging Corporation reported positive Q3 results despite unplanned disruptions at two sites.
The firm reported consolidated net sales of $309.5m, an increase of 43.4% compared to $215.8m for Q3 2011 driven by the acquisition of US Corrugated for $330m in September 2011.
The deal led to $99.1m of additional revenue based on selling 1.56 billion square feet of corrugated products compared to none in 2011.
A flood at the Roanoke Rapids mill and production problems at the Charleston mill caused unplanned downtime which hit production plans.
Roger W. Stone, chairman and chief executive officer, said: "Our mills produced 389,000 tons of paper for the quarter. Although this was below our expectations, our Roanoke Rapids mill was impacted by a flood in late August resulting from a rare deluge of rain which curtailed production and added flood clean-up and repair costs.
“In addition, our Charleston mill also encountered some productivity problems which temporarily impacted their operations.”