Clearwater Paper’s performance took a U-turn in the first part of 2022, pulling the company out of a financial slump.
The tissue and paperboard maker posted earnings of $17 million in January, February and March after ending 2021 with a loss of $28 million.
“Our performance in the first quarter exceeded our expectations due to strong operational execution and improved pricing in both businesses,” said Clearwater Paper President and CEO Arsen Kitch in a news release about the results.
“Our paperboard business continued to experience strong demand and pricing, and we were able to produce and sell more volume than anticipated,” he said. “Our tissue volumes stabilized and pricing improved.”
Clearwater Paper makes private label toilet paper, paper napkins, paper towels and facial tissue sold in places such as supermarkets and dollar stores. It also manufactures paperboard that’s used for paper dishes and packaging.
A number of factors will affect how well Clearwater Paper does in coming months, including negotiations with half of its tissue customers.
Clearwater Paper has expanded distribution with its existing tissue customers that are anticipated to result in a more than 5% increase in baseline volume later in the year if nothing else changes, Kitch said in a conference call for investors after results were released.
In the ongoing conversations with customers, “we’re emphasizing the importance of stability of supply and the capabilities that we bring to the table to ensure that we can get product on the shelves,” he said.
Clearwater Paper executives are following a number of trends closely.
“We’re starting to see signs of inflation and economic uncertainty … impact consumer buying patterns,” Kitch said. “Private-branded (tissue) share climbed to a high of 34% (in the first quarter of 2022), which we believe is an indication that consumers are prioritizing value to offset inflation.”
Clearwater Paper’s tissue business followed industry trends, with the company shipping hundreds of thousands more cases in the first part of this year, compared with the same time last year, he said.
With paperboard, Clearwater Paper is watching a shift from plastic to paper.
“That’s a longer-term trend,” Kitch said. “Demand is growing.”
The company has introduced environmentally friendly forms of paperboard that contain recycled wood products and pulp made from trees grown in forests certified by the Forest Stewardship Council. They are used in a number of ways, such as for hot or cold beverage cups.
Group promotes advantages of dams
An organization representing Clearwater Power and the Asotin County Public Utility District has launched a campaign publicizing the benefits of the four lower Snake River dams.
The marketing is happening at a time when salmon advocates, including the Native American tribes of the Columbia River Basin, environmental organizations and fishing groups, are pushing for removal of the dams.
Northwest RiverPartners has a different perspective.
The dams provide affordable, reliable, carbon-free energy that fills in the gaps for intermittent power sources like wind and solar, according to a news release from Northwest RiverPartners.
North central Idaho and southeastern Washington wheat farmers depend on barging that the dams enable to help get their grain to Portland, Ore., where it is transferred to vessels that take it to overseas customers, according to the news release.
“This is not an either-or proposition — our region can and does have both healthy rivers and a healthy economy,” said Alex McGregor, chairman of the McGregor Co. in Colfax, in the news release.
“Over half of America’s wheat destined for export comes down the Columbia and Snake canyons,” he said. “Moving from barges would mean 38,000 more rail cars down the crowded lines that parallel the Columbia or 149,000 semi trucks.”
A number of organizations in the area are members of Northwest RiverPartners besides Clearwater Power and the Asotin County Public Utility District. Among them are Idaho County Light & Power and the Lewis Clark Valley Chamber of Commerce, as well as the ports of Lewiston, Clarkston and Whitman.
House of JuJu debuts in Orofino
OROFINO — A restaurant with roots in California has opened in Orofino.
House of JuJu, located at 235 Johnson Ave., features gourmet burgers, flatbreads, salads, wraps, seafood, craft beer and wine.
Toppings such as blue cheese, caramelized onions, applewood smoked bacon and a house teriyaki slaw are featured in the entrees.
The restaurant’s founders ran a coffee shop in Clovis, Calif., before expanding with a restaurant in that town. A second location is in Morro Bay.
The Orofino House of JuJu is open from 11 a.m. to 9:30 p.m. Friday and Saturday and 11 a.m. to 8:30 p.m. Thursday, Sunday and Monday.
The registered agent is Julie Glenn, according to the Idaho Secretary of State’s website.
Buyer sought for Dining on the Edge
OROFINO — One of Orofino’s most iconic restaurants is for sale for $1.2 million.
The asking price for Dining on the Edge, next to the Clearwater River, includes a liquor license, a 5,720-square-foot building constructed in 2005, a little less than a quarter-acre of land and equipment, according to the real estate listing, which has been active more than 560 days.
The property at 625 Main St. is owned by HMC LLC, according to the Clearwater County Assessor.
The members of the limited liability company are Sandra Clay, Michael Clay, Lucinda Freeman, and Katherine Hanson, according to documents filed with the Idaho Secretary of State.
Extent of housing shortage measured for economic development group
A survey is being completed to help understand the severity of a housing shortage facing north central Idaho.
The survey is available at tinyurl.com/CEDAHousingSurvey. It asks participants about many things, such as the type of housing they live in, where it is and the affordability of housing in their town.
The Clearwater Economic Development Association, a not-for-profit group, is working with Points Consulting in Moscow on the survey.
Those who review the results will not know the identities of those who participated.
The deadline to submit a survey is May 20.
Conditions vary from state to state for working moms
Idaho is the 47th worst state for working moms, according to a recent analysis by WalletHub, a personal finance website.
Neighboring Washington, which has publicly funded paid maternity leave, was 11th best on the list.
The study looked at 17 metrics such as the median women’s salary, female unemployment rates and day care quality, according to a WalletHub news release.
Recommendations of experts to improve conditions for working women include supporting equal pay for qualified women and men, expanding paid maternity leave to as long as six months, and limiting work activities in off-work hours, according to the news release.
Williams may be contacted at ewilliam@lmtribune.com or (208) 848-2261.
