* Forecasts full-year profit $0.28-$0.30 vs $0.39-$0.41
* Sees weak paper segment profit in third quarter
* Shares down 5 pct in extended trade
Oct 1 Wausau Paper Corp cut its
full-year profit forecast as weak demand at its paper business
continues to pressure margins, sending its shares down 5 percent
in extended trade.
The company, which caters to industries such as food
packaging and medical products, now expects to earn an adjusted
profit of 28 to 30 cents per share, compared with its previous
forecast of 39 to 41 cents per share.
Rising costs of key raw materials and lower demand have
forced many pulp and paper producers to curtail production and
cut jobs during the last two years..
Wausau Paper, which shut its Brokaw paper mill in Wisconsin
and cut 450 jobs last year, estimated adjusted profit for the
quarter ended September to be in mid-single digits, compared
with double-digits a year earlier.
The company's largest shareholder in January had asked the
board to consider strategic alternatives, including a sale.
The Mosinee, Wisconsin-based company's shares were down 5
percent after the bell. They closed at $9.16 on Monday on the
New York Stock Exchange.