Clearwater Paper Corporation manufactures and supplies bleached paperboards in the United States and internationally. The company offers Solid Bleached Sulfate (SBS) paperboard packaging products to independent converters throughout North America.
The company participates in the North American paperboard market, represented in three segments with a broad range of applications. SBS represents approximately half of the North American paperboard market, with Coated Unbleached Kraft (CUK) and Coate...
Clearwater Paper Corporation manufactures and supplies bleached paperboards in the United States and internationally. The company offers Solid Bleached Sulfate (SBS) paperboard packaging products to independent converters throughout North America.
The company participates in the North American paperboard market, represented in three segments with a broad range of applications. SBS represents approximately half of the North American paperboard market, with Coated Unbleached Kraft (CUK) and Coated Recycled Board (CRB) comprising the remaining portions. The company produces paperboard that is then converted and printed by independent converters, and is primarily used in folding carton and food service applications. Additionally, minor amounts of pulp are sold to outside customers.
The company’s manufacturing facilities and all other assets are located within the continental United States.
During 2024, through two transformational transactions, the company repositioned itself to have a singular focus on the paperboard packaging industry.
During the second quarter of 2024, the company acquired a paperboard manufacturing facility and associated business, located in Augusta, Georgia, from Graphic Packaging International, LLC (Augusta Acquisition).
During the fourth quarter of 2024, the company sold its tissue business, which manufactured private branded tissue products, to Sofidel America Corp, a wholly owned subsidiary of Sofidel S.p.A.
Products
SBS paperboard is a premium paperboard grade that is most frequently used to produce folding cartons, (which includes blister and carded packaging and top sheet), food service (including liquid packaging, cups, and plates), and commercial printing items. SBS paperboard is used for such products because it is manufactured using virgin fiber, combined with the kraft bleaching process, which results in superior cleanliness, brightness, and consistency. SBS paperboard is often manufactured with a clay coating to provide superior surface printing qualities.
Folding carton is a portion of the SBS category of the North American paperboard industry. Within the folding carton segment, there are varying qualities of SBS paperboard, as well as competing paperboard substrates. The company focuses on the high end of the folding carton category, which requires a premium print surface and includes uses, such as packaging for pharmaceuticals, cosmetics, and other premium retail goods. This generally provides for differentiation, resulting in margins that are more attractive than less demanding folding carton applications.
Food service paperboard includes both liquid packaging and cup and plate categories. This includes rigid containers, (including juice, milk, and wine sold in retail channels), premium ice cream, hot and cold cups used in quick service channels, and paper plates. The company’s food service paperboard is known for its cleanliness and printability, and is engineered for superior performance.
Sales and Marketing
The company utilizes various methods for the sale and distribution of its paperboard. The majority of the company’s paperboard is sold to packaging converters in North America through sales managers located throughout the United States, with a smaller percentage channeled through distribution to commercial printers. The company sells sheeted paperboard products directly to folding carton converters, merchants, and commercial printers. The principal methods of competing are product quality, customer service, and price.
Energy
The company consumes substantial amounts of energy, such as electricity, hog fuel, steam, and natural gas. While the company produces the majority of its own energy needs by utilizing carbon neutral biomass, it also purchases a portion of its natural gas and electricity under supply contracts. Under most of these contracts, the providers have agreed to provide the company with its requirements for a particular type of energy at a specific facility.
Seasonality
Customer buying patterns for the company’s paperboard generally result in lower sales volumes for certain grades during the first and fourth quarters, compared to the second and third quarters of a given year (year ended December 31, 2024).
Competition
The company’s business competes with Smurfit Westrock, Georgia-Pacific, Graphic Packaging, Sappi, and other international producers.
History
Clearwater Paper Corporation was incorporated in 2005.