Packaging Corp Of America PKG

Packaging Corporation of America (PCA), incorporated on January 25, 1999, is a producer of containerboard products and uncoated freesheet. The Company operates through three segments: Packaging, Paper, and Corporate and Other. The Packaging segment produces a range of corrugated packaging products. The Paper segment manufactures and sells a range of papers, including communication-based papers and pressure sensitive papers. As of December 31, 2016, the Company operated five containerboard mills, three paper mills and 94 corrugated products manufacturing plants.

Packaging

The Company's containerboard mills produces linerboard and semi-chemical corrugating medium, which are papers primarily used in the production of corrugated products. The Company's corrugated products manufacturing plants produce a range of corrugated packaging products, including conventional shipping containers used to protect and transport manufactured goods, multi-color boxes and displays. The Company also produces packaging for meat, fresh fruit and vegetables, processed food, beverages, and other industrial and consumer products. During the year ended December 31, 2016, its Packaging segment produced 3.7 million tons of containerboard at its mills. As of December 31, 2016, the Company manufactured its Packaging products at five containerboard mills, one containerboard machine (at its Wallula, Washington white paper mill), corrugated manufacturing operations, and protective packaging operations.

The Company's Counce, Tennessee mill produces kraft linerboard. The Counce mill produces basis weights from 26 pounds (lb) to 90 lb. The mill also produces a range of performance and specialty grades of linerboard. The Company's DeRidder, Louisiana mill produces kraft linerboard and linerboard and semi-chemical corrugating medium. Its Valdosta, Georgia mill produces kraft linerboard. Its Tomahawk, Wisconsin mill produces semi-chemical corrugating medium. The Tomahawk mill produces basis weights from 23 lb. to 47 lb. and a range of performance and specialty grades of corrugating medium. Its Filer City, Michigan mill produces semi-chemical corrugating medium. Its Filer City mill produces corrugating medium in basis weights from 20 lb. to 47 lb. Its Wallula, Washington mill primarily produces white paper, but also produces semi-chemical corrugating medium. Wallula produces corrugating medium in basis weights from 23 lb. to 45 lb. As of December 31, 2016, the Company operated 94 corrugated manufacturing operations, a technical and development center, eight regional design centers, a rotogravure printing operation, and a complement of packaging supplies and distribution centers.

Paper

The Company manufactures uncoated freesheet in the United States. The Company manufactures and sells white papers, including both commodity and specialty papers. White papers consist of communication papers (cut-size office papers and printing and converting papers) and pressure sensitive papers, including release liners, which its customers use to produce labels for use in consumer and commercially-packaged products. The Company's Jackson, Alabama mill produces both commodity and specialty papers. Its International Falls, Minnesota mill produces both commodity and specialty papers. Its Wallula, Washington mill produces pressure sensitive papers and a range of white paper grades. The mill also produces corrugating medium.

Corporate and Other

The Corporate and Other segment includes corporate support staff services and related assets and liabilities. This segment also includes transportation assets, such as rail cars and trucks.

The Company competes with International Paper Company, WestRock Company, Georgia-Pacific LLC, KapStone Paper and Packaging Corporation, Pratt Industries and Domtar Corporation.