Financial sector woes hurt Int'l Paper's volumes

NEW YORK, April 30 (Reuters) - The woes of the financial sector in the United States are hurting International Paper Co's (IP.N: Quote, Profile, Research, Stock Buzz) domestic printing paper shipment volumes, said Chief Executive John Faraci, on Wednesday.

"In printing papers we certainly saw that the end of March was certainly slower than January and February. There is no question the economy has slowed and it's having an impact on commercial printing," said Faraci, on a conference call.

"There are less solicitations for credit cards, less solicitations for home equity loans. So business with Capital One and Citigroup is way down and we are seeing the impact of that," he added.

Citigroup Inc (C.N: Quote, Profile, Research, Stock Buzz) and Capital One Financial Corp (COF.N: Quote, Profile, Research, Stock Buzz) are among some of the major clients that International Paper supplies with products for both direct mailing and internal company use.

Earlier in the day, the paper and packaging products maker posted first-quarter results which fell short of Wall Street's expectations, as pricing gains failed to offset the escalation in raw material costs.

The Memphis, Tennessee-based company's results were also hurt as its uncoated paper shipment volumes fell 7 percent in North America and 1 percent in Europe. (Reporting by Euan Rocha; Editing by Tim Dobbyn)