XML 46 R28.htm IDEA: XBRL DOCUMENT v3.22.4
Segment and Geographical Information
 12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Segment and Geographical Information Segment and Geographical Information
After the 2021 sale of the lumber and newsprint assets, the Company operates in the following business segments: High Purity Cellulose, Paperboard and High-Yield Pulp. All prior period amounts presented herein have been reclassified to conform to this segment structure. See Note 3 —Discontinued Operations for further information on the sale of the Company’s lumber and newsprint assets. See also Note 1 — Nature of Operations and Basis of Presentation for a description of the operating businesses. Corporate consists primarily of senior management, accounting, information systems, human resources, treasury, tax and legal administrative functions that provide support services to the operating business units. The Company allocates a portion of the cost of maintaining these support functions to its operating units.
The Company evaluates the performance of its segments based on operating income. Intersegment sales consist primarily of High-Yield Pulp sales to Paperboard. Intersegment sales prices are at rates that approximate market for the respective operating area.
No single customer accounted for 10 percent or more of total sales for the years ended December 31, 2022 and 2021. One customer in the High Purity Cellulose segment represented 10 percent of total sales for the year ended December 31, 2020.
Net sales, disaggregated by product line, was comprised of the following:
Year Ended December 31,
 202220212020
High Purity Cellulose
Cellulose Specialties$866,225 $711,574 $685,177 
Commodity Products354,612 279,307 282,663 
Other sales (a)
115,009 100,268 83,463 
Total High Purity Cellulose1,335,846 1,091,149 1,051,303 
Paperboard250,167 208,332 189,882 
High-Yield Pulp159,704 135,676 125,417 
Eliminations(28,450)(27,599)(22,768)
Net sales$1,717,267 $1,407,558 $1,343,834 
——————————————
(a) Other sales include sales of bioelectricity, lignin and other by-products to third parties.
Operating results by segment were comprised of the following:
Year Ended December 31,
 202220212020
High Purity Cellulose$31,498 $19,738 $6,994 
Paperboard37,158 13,379 17,862 
High-Yield Pulp16,199 6,686 (225)
Corporate(58,720)(50,248)(54,996)
Operating income (loss)$26,135 $(10,445)$(30,365)
Identifiable assets by segment were as follows:
December 31,
 20222021
High Purity Cellulose$1,654,214 $1,579,300 
Paperboard112,757 114,391 
High-Yield Pulp50,947 38,147 
Corporate529,610 713,186 
Total assets$2,347,528 $2,445,024 
Long-life assets by country were as follows:
December 31,
 20222021
United States$747,110 $737,710 
Canada723,133 723,662 
France187,645 207,407 
Other110 125 
Total long-life assets$1,657,998 $1,668,904 
Depreciation and amortization and capital expenditures by segment were as follows:
Year Ended December 31,
 202220212020
Depreciation and amortization:
High Purity Cellulose$117,017 $116,757 $116,080 
Paperboard13,130 14,320 15,420 
High-Yield Pulp2,364 2,544 2,528 
Corporate2,065 4,678 4,343 
Total depreciation and amortization$134,576 $138,299 $138,371 
Capital expenditures:(a)
High Purity Cellulose$136,866 $110,092 $67,906 
Paperboard3,413 2,160 1,838 
High-Yield Pulp2,210 2,215 2,127 
Corporate3,790 205 1,621 
Total capital expenditures$146,279 $114,672 $73,492 
——————————————
(a) Amounts exclude the impact of changes in capital assets purchased on account and government grants.
Net sales’ geographical distribution was as follows:
 
Year Ended December 31,
 2022%2021%2020%
United States$569,265 33 $472,440 34 $458,749 34 
China346,026 20 295,515 21 357,091 27 
Canada72,510 4 72,490 5 71,817 5 
Japan149,373 9 118,443 9 119,178 9 
Europe343,058 20 283,685 20 233,535 17 
Latin America23,886 1 18,880 1 12,688 1 
Other Asia181,952 11 130,189 9 73,452 6 
All other31,197 2 15,916 1 17,324 1 
Net sales$1,717,267 100 $1,407,558 100 $1,343,834 100