Orchids Paper Products Company announced that its Board suspended the quarterly dividend to preserve financial flexibility and ensure the capital allocation to further the success of the business.
According to the announcement, in the Board’s judgment, at this time, the better use of cash is to invest in the Barnwell, South Carolina project and to directly address the financial leverage ratios.
In 1Q2017 Orchids Paper Products reported 27% decrease of net sales and 76% decrease of Adjusted EBITDA in 1Q2017 y-o-y. Check other wood business-related companies 1Q2017 schedules for financial and operating results.
The company is a customer-focused, national supplier of high-quality consumer tissue products primarily serving the at home private label consumer market. It produces a full line of tissue products, including paper towels, bathroom tissue and paper napkins, to serve the value through ultra-premium quality market segments from its operations in northeast Oklahoma and Mexicali, Mexico. The Company provides these products primarily to retail chains throughout the United States.