Spokane-based Clearwater Paper reports lower first quarter earnings

Clearwater Paper Co., one of the nation’s largest producers of private-label tissue products, reported lower first quarter earnings this week.

The Spokane-based company, which has facilities in Lewiston, Idaho and across the country, reported first quarter earnings of $7.5 million, or 45 cents per share, on sales of $437.5 million.

During the first quarter of 2016, Clearwater earned $18.4 million, or $1.05 per share.

Higher costs for natural gas, transportation and maintenance, and costs associated with the closure of a tissue converting facility in Oklahoma City contributed to the lower earnings, company officials said. The higher costs were partially offset by lower labor expenses related to warehouse automation and the closure of two paper machines at a Wisconsin mill.

Average prices for tissue prices increased during the first quarter.

Clearwater also produces pulp and paperboard. Shipments of those products decreased during the first quarter, but prices rose 2.6 percent compared to a year ago.