Neenah Paper Reports First Quarter Results

Neenah Paper recently reported income from continuing operations of $0.48 per diluted common share in the first quarter of 2010, compared to a loss of $0.05 per share in the first quarter of 2009.

Net sales of $167 million in the first quarter of 2010 increased 25 percent from a year ago, while operating income of $16 million in the current quarter was more than three times the $5 million of operating income reported in the first quarter of 2009.

"The sale of our timberlands in March also significantly improved our capital structure and, coupled with ongoing cash-generating ability from our businesses, makes us well-positioned to support future growth."

The Company also reported net income from discontinued operations of $135 million, or $8.81 per diluted common share, in the first quarter of 2010 compared to income of $0.1 million in the first quarter of 2009. Income in 2010 primarily resulted from gains related to the sale of the Company's timberlands on March 12 for $82.5 million.

"We are very pleased with the top and bottom line results achieved in both of our businesses during the quarter. Customer demand for our products continued to grow, and we were able to expand our margins by leveraging a leaner cost structure across this growing sales base," said Sean Erwin, Chairman and Chief Executive Officer.

"The sale of our timberlands in March also significantly improved our capital structure and, coupled with ongoing cash-generating ability from our businesses, makes us well-positioned to support future growth."

For more information visit www.neenah.com.