In January 2012, SCA announced that its packaging
operations – excluding the two kraftliner mills
in Sweden – are to be divested to DS Smith.
Regarding the French part of the packaging operations,
DS Smith has made a formal offer to
acquire this business. This process is subject to
an information and consultation procedure with
the relevant works councils and will be treated
separately. The purchase price amounts to EUR
1.7bn on a debt-free basis. The transaction is
subject to approval from the relevant competition
authorities.
Net sales declined by 1% (rose 8% excluding exchange rate effects and divestments) to SEK 26,650m (26,831). Higher prices increased net sales by 8%. Increased raw material costs and exchange rate effects negatively impacted profit.
In 2011, SCA’s packaging operations in Greece and Russia were divested. The divested operations reduced sales by 5%.
During the year, a decision was made to invest in the upgrade of the paper machine and the refurbishment of the soda-recovery boiler at the kraftliner mill in Munksund, Sweden. The main aim of the investment is to increase production of the share of value-added products, such as White-Top Kraftliner.
Operating profit
rose by 21% (26% excluding exchange rate effects) and amounted to SEK 1,909m (1,577). The increase is mainly attributable to higher prices and volumes, and cost savings, which offset higher raw material costs of about SEK 1.6bn.
was 7.2% (5.9).
amounted to 9% (7).
Operating cash surplus
improved to SEK 3,181m (2,921). Operating cash flow increased to SEK 1,366m (1,168) due to the effects of the increase in operating cash surplus and decrease in capital expenditures which compensated for the increase in working capital.
Capital expenditures
amounted to SEK 1,135m (1,195).