This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

MWV Reports First Quarter Results

In the first quarter of 2012, the pre-tax impact from foreign currency exchange was $7 million unfavorable compared to the first quarter of 2011 on a continuing operations basis.

Operating cash flow provided by continuing operations improved to about $20 million in the first quarter of 2012, driven primarily from lower year-over-year usage of working capital.

Capital spending from continuing operations was about $150 million in the first quarter of 2012 compared to $113 million in the first quarter of 2011. The year-over-year increase was primarily driven by the expansion of the company's Industrial packaging business in Brazil, as well as from the construction of a biomass boiler at the Covington facility. Total capital spending in 2012 is expected to range from $650 million to $700 million and will be comprised of major profitable growth and productivity investments, as well as ongoing maintenance and compliance. Capital spending in 2012 related to the expansion in Brazil is expected to be about $210 million. Capital spending in 2012 related to the construction of the biomass boiler at the Covington facility is expected to be about $165 million. Remaining capital spending in 2012 is expected to range from $275 million to $325 million.

The company's U.S. qualified retirement plans remain over funded and management does not anticipate any required regulatory funding contributions to such plans in the foreseeable future.

The effective tax rate attributable to continuing operations including the effects of discrete tax items was approximately 36 percent in the first quarter of 2012. The mix and level of earnings between domestic and foreign operations contributed to the difference between the effective tax rate and statutory rates. The annual effective tax rate attributable to continuing operations in 2012 excluding the effects of discrete tax items is expected to be about 34 percent.

MWV paid a regular quarterly dividend of $0.25 per share during the first quarter of 2012. On April 24, 2012, MWV declared a regular quarterly dividend of $0.25 per common share. The payment of the dividend will be made on June 1, 2012, to shareholders of record at the close of business on May 9, 2012.

6 of 8

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 18,117.01 +105.07 0.58%
S&P 500 2,115.80 +6.20 0.29%
NASDAQ 5,101.6050 +25.0810 0.49%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs