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MeadWestvaco's 1Q profit falls on charges

Tuesday - 4/30/2013, 9:19am  ET

AP Business Writer

RICHMOND, Va. (AP) -- MeadWestvaco says restructuring charges dragged first-quarter profits down more than 77 percent at the packaging company, despite rising sales.

The Richmond, Va., company reported earnings of $11 million, or 6 cents per share, down from $50, or 28 cents per share, a year ago.

Excluding one-time items, MeadWestvaco earned 16 cents per share, still well short of the 23 cents per share analysts had expected.

Revenue increased about 2 percent to $1.34 billion, just shy of the $1.36 billion that Wall Street was looking for.

The company said Tuesday that it's exiting its beauty and personal care folding carton business in Europe and Brazil, undertaking a cost-reduction plan and evaluating its land management business.

MeadWestvaco Corp. operates in 30 countries and has customers in more than 100 nations.

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