International Paper Bolsters Balance Sheet
MEMPHIS, TN—International Paper (IP) has strengthened its balance sheet by more than $7 billion since embarking on a transformation plan in mid-2005 aimed at becoming a more focused and profitable company.
IP has reduced its debt by approximately $6.2 billion from roughly $13.4 billion. A majority of the debt reduction was funded through divestiture proceeds and cash from operations. Late last year, IP also made voluntary contributions of $1 billion to its U.S. pension fund to address longer-term funding requirements and reduce pension expense.