Cascades profit slumps on lower sales in Europe
(Reuters) - Packaging and paper products company Cascades Inc's (CAS.TO: Quote) second-quarter profit fell on lower sales in Europe and currency exchange rate losses.
Net earnings dropped to C$7 million ($7 million), or 8 Canadian cents per share, from C$122 million, or C$1.26 per share, a year earlier.
Sales for the company, which produces packaging and tissue products mostly from recycled fibers and pulp, fell 5 percent to C$944 million.
Cascades, which competes with Packaging Corp of America (PKG.N: Quote), Rock-Tenn Co RKT.N and Temple-Inland Inc TIN.N, said sales in its European boxboard segment fell 19 percent to C$208 million.
Shares of Kingsey Falls, Quebec-based Cascades closed at C$5.14 on Wednesday on the Toronto Stock Exchange.
(Reporting by Krithika Krishnamurthy in Bangalore; Editing by Maju Samuel)
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