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8-K - FORM 8-K - PACKAGING CORP OF AMERICA | c63203e8vk.htm |
Exhibit 99.1
FOR IMMEDIATE RELEASE
PACKAGING CORPORATION OF AMERICA ANNOUNCES 33% DIVIDEND INCREASE AND NEW $100 MILLION SHARE
REPURCHASE AUTHORIZATION
Lake Forest, IL February 22, 2011 Packaging Corporation of America (NYSE: PKG) announced today
that it intends to increase the quarterly cash dividend on its company stock from an annual payout
of $0.60 per share to $0.80 per share. The first quarterly dividend of $0.20 per share will be
paid on April 15, 2011 to shareholders of record as of March 15, 2011. Future declaration of
quarterly dividends, and the establishment of future record and payment dates are subject to the
final determination of PCAs Board of Directors.
PCA also announced today that its Board of Directors has authorized the repurchase of an additional
$100 million of the companys outstanding common stock. The company intends to make these
repurchases over the next 18 months in accordance with applicable securities regulations.
Commenting on todays announcement, Mark W. Kowlzan, Chief Executive Officer of PCA, said, Todays
announcement of a 33% common stock dividend increase and a new $100 million share repurchase
authorization demonstrates our continued commitment to return value to our shareholders and also
the overall operating and financial strength of the company.
PCA is the fifth largest producer of containerboard and corrugated packaging products in the United
States with sales of $2.44 billion in 2010. PCA operates four paper mills and 67 corrugated product
plants in 26 states across the country.
CONTACT:
Barbara Sessions
Packaging Corporation of America
INVESTOR RELATIONS: (877) 454-2509
PCAs Website: www.packagingcorp.com
Packaging Corporation of America
INVESTOR RELATIONS: (877) 454-2509
PCAs Website: www.packagingcorp.com
Some of the statements in this press release are forward-looking statements. Forward-looking
statements include statements about our future earnings and financial condition, our industry and
our business strategy. Statements that contain words such as will, should, anticipate,
believe, expect, intend, estimate, hope or similar expressions, are forward-looking
statements. These forward-looking statements are based on the current expectations of PCA.
Because forward-looking statements involve inherent risks and uncertainties, the plans, actions and
actual results of PCA could differ materially. Among the factors that could cause plans, actions
and results to differ materially from PCAs current expectations include the following: the impact
of general economic conditions; containerboard and corrugated products general industry conditions,
including competition, product demand and product pricing; fluctuations in wood fiber and recycled
fiber costs; fluctuations in purchased energy costs; the possibility of unplanned outages or
interruptions at our principal facilities; and legislative or regulatory requirements, particularly
concerning environmental matters, as well as those identified under Item 1A. Risk Factors in PCAs
Annual Report on Form 10-K for the year ended December 31, 2010 filed with the Securities and
Exchange Commission and available at the SECs website at www.sec.gov.