BPM announces first quarter results

Business Wire, May 15, 1996

PESHTIGO, Wis.--(BUSINESS WIRE)--May 15, 1996--Badger Paper Mills Inc. (NASDAQ Symbol BPMI) reported sales and earnings for the first quarter of 1996.

Edwin A. Meyer Jr., chairman, along with Claude L. Van Hefty, president, announced preliminary results for the first quarter compared to the same period in 1995. Sales for the quarter totaled $18,454,000 compared to $22,114,000 reported in 1995. A net loss in the first quarter of $662,000 or 34 cents per share, compared to reported earnings of $241,000, or 12 cents per share, in the same period a year ago. First quarter 1996 results were affected by weak demand for the papers produced, which resulted in the company taking approximately 10 percent downtime in its pulp and papermaking operations. The cost of producing sulphite pulp, which far exceeded market pulp prices, also adversely affected operating results. On April 15, 1996, the company announced closure of its pulping operation. The 1995 operating results include a first quarter charge in the amount of $504,000 taken as a result of the expense incurred from the voluntary early retirement incentive plan offered to hourly workers.

Badger Paper Mills produces fine and specialty products, including printing and writing papers, xerographic, recycled papers, MG laminating grades, plain and printed waxed papers, and various other specialty products at its manufacturing and converting facilities located in Peshtigo and Oconto Falls, Wis. Badger-produced products are marketed under the tradenames Ta-Non-Ka(R), Copyrite(R), BPM(TM), ENVIROGRAPHIC(R) and FRESHrap(R). -0-

            BADGER PAPER MILLS INC. AND SUBSIDIARY