Rayonier Advanced Materials Inc (RYAM) 2024 Q1 法說會逐字稿

Good morning. Welcome again to Ryan's First Quarter 2024 Earnings Conference Call and Webcast. Joining me on today's call are DeLisle Bloomquist, our President and Chief Executive Officer, and Marcus Molnar, our Chief Financial Officer and Senior Vice President of Finance. Our earnings release and presentation materials were issued last evening and are available on our website at RYAN.com.

早安.再次歡迎參加 Ryan 2024 年第一季財報電話會議和網路廣播。與我一起參加今天電話會議的有我們的總裁兼執行長 DeLisle Bloomquist 和我們的財務長兼財務高級副總裁 Marcus Molnar。我們的收益發布和簡報資料已於昨晚發布，可在我們的網站 RYAN.com 上取得。

I'd like to remind you that in today's presentation, we will include forward-looking statements made pursuant to the safe harbor provisions of federal securities laws, our earnings release, as well as our filings with the SEC list. Some of the factors which may cause actual results to differ materially from the forward-looking statements we may wait make. They are also referenced on Slide 2 of our presentation materials. Today's presentation will also reference certain non-GAAP financial measures. As noted on slide 3 of our presentation, we believe non-GAAP financial measures provide useful information for management and investors but non-GAAP measures should not be considered an alternative to GAAP measures. A reconciliation of these measures to their most directly comparable GAAP financial measures are included on Slides 20 through 25 of our presentation. I would now like to turn the call over to Lyle.

我想提醒您，在今天的演示中，我們將包括根據聯邦證券法的安全港條款、我們的收益發布以及我們向 SEC 名單提交的文件做出的前瞻性聲明。一些因素可能導致實際結果與我們可能等待的前瞻性陳述有重大差異。我們的簡報資料的幻燈片 2 中也引用了它們。今天的演示也將參考某些非公認會計準則財務指標。正如我們簡報第 3 投影片中所指出的，我們認為非 GAAP 財務指標為管理層和投資者提供了有用的信息，但非 GAAP 指標不應被視為 GAAP 指標的替代品。我們簡報的投影片 20 至 25 中包含了這些指標與其最直接可比較的 GAAP 財務指標的調整表。我現在想把電話轉給萊爾。

Thank you, Mickey, and good morning.

謝謝你，米奇，早安。

I'll begin with the financial overview for the first quarter of 2024.

我先介紹 2024 年第一季的財務概況。

Following that, I'll discuss recent Company actions before handing over to Marcus for additional details on the business segments and our capital structure and liquidity following markets. His comments I'll come back to share additional details on our initiatives and guidance for 2024. This will include updates on the suspension of the operations at our Temiscaming HPC plant in the sales process for this paperboard and high-yield pulp businesses. We will then open the floor for questions.

接下來，我將討論公司最近的行動，然後向馬庫斯提供更多有關業務部門以及我們的資本結構和市場流動性的詳細資訊。我將回來分享有關我們 2024 年計劃和指導的更多詳細資訊。然後我們將開始提問。

Let's turn our attention to slide 4, where I will discuss our first quarter performance for 2024 results exceeded expectations with an adjusted EBITDA of $52 million, a $1 million increase from the same period last year.

讓我們將注意力轉向幻燈片 4，我將在其中討論我們 2024 年第一季的業績超出預期，調整後 EBITDA 為 5200 萬美元，比去年同期增加 100 萬美元。

In the high pulp, I'm sorry.

在高漿，我很抱歉。

In the High Purity Cellulose segment, EBITDA rose by $6 million, driven by higher prices for cellulose specialties, along with decreased costs for key inputs and logistics as well as improved productivity. This increase was somewhat moderated by reduced sales volumes, lower prices for commodity products and the absence of energy benefits that we anticipate we will realize later this year.

在高純度纖維素領域，由於纖維素特種產品價格上漲、關鍵投入和物流成本下降以及生產率提高，EBITDA 增長了 600 萬美元。由於銷量減少、大宗商品價格下降以及我們預計今年稍後將實現的能源效益的缺失，這一增長在一定程度上有所緩和。

Conversely, the Paperboard segment experienced a $1 million decrease in EBITDA, primarily due to lower sales prices. Although this was somewhat mitigated by decreased costs for purchase kraft pulp, our high yield pulp business saw a $8 million decrease in EBITDA, largely due to lower sales prices, though this was partially offset by increases in sales volumes and reduced logistics expenses. Additionally, corporate expenses improved by $4 million, largely driven by a favorable foreign exchange impact.

相反，紙板業務部門的 EBITDA 減少了 100 萬美元，這主要是由於銷售價格下降。儘管購買牛皮紙漿的成本下降在​​一定程度上緩解了這一問題，但我們的高產紙漿業務的EBITDA 減少了800 萬美元，這主要是由於銷售價格下降，不過銷量的增加和物流費用的減少部分抵消了這一影響。此外，公司支出減少了 400 萬美元，這主要是由於有利的外匯影響。

In summary, the overall solid performance was underpinned by strong results at our core cellulose specialty segment and cost reductions across the enterprise, which more than offset the softness in paperboard and high-yield pulp segments.

總之，整體穩健的業績得益於我們核心纖維素特種細分市場的強勁業績和整個企業的成本降低，這遠遠抵消了紙板和高產紙漿細分市場的疲軟。

In terms of cash flow, there was a strategic use of cash to build finished goods inventories in anticipation of the planned annual maintenance outage. It are just a plant and subsequent developments. We have announced the indefinite suspension of operations at our Temiscaming HPC plant. The suspension is expected to provide marginal positive EBITDA benefits and enhance our consolidated free cash flow in 2024. I will share more about the financial implications of this decision after markets his comments this month, we also announced a significant transaction selling the rights to our softwood lumber duty refund for $39 million. The sale not only bolsters our financial flexibility, but also aligns with our strategic goal to reduce our debt by $70 million in 2024. Considering these updates and our strong performance in the first quarter, I am pleased to reaffirm our full year EBITDA guidance of $180 million to $200 million and to raise our full year adjusted free cash flow guidance to $80 million to $100 million.

在現金流方面，策略性地使用現金來建立成品庫存，以應對計劃中的年度維護停駛。它只是一個工廠和後續的發展。我們已宣布無限期暫停 Temiscaming HPC 工廠的運作。此次暫停預計將帶來邊際正EBITDA 效益，並增強我們2024 年的綜合自由現金流。出售我們的軟木權利的重大交易木材稅退稅 3900 萬美元。此次出售不僅增強了我們的財務靈活性，而且符合我們到2024 年減少債務7000 萬美元的戰略目標。 180 美元百萬美元至 2 億美元，並將我們的全年調整後自由現金流指引提高至 8000 萬美元至 1 億美元。

With that, I'd like to pass the meeting over to Marcus to walk us through the financials for the quarter. Marcus?

說到這裡，我想將會議交給馬庫斯，讓他向我們介紹本季的財務狀況。馬庫斯？

Thank you, DeLisle. Beginning with our HBC. segment on Slide 5. Quarterly sales declined by $67 million or 18% to $307 million. Overall, HPC pricing declined 2%, driven by a 2% increase in CS sales price, which was more than offset by an 11% decrease in commodity pricing. Total sales volumes decreased 17% as a result of a 16% decline in CS sales volumes and an 18% decrease in commodity sales. Increased sales volumes and in CS were supported by the closure of a competitor's plant in late 2023 and a rise in ethers sales. This was more than offset by destocking in certain acetate products and the impact of a one-time favorable change in customer contract terms from the previous year. The decrease in commodity sales volumes was primarily a result of higher production in favor of CS as the Company built inventory ahead of Chesapeake's second quarter planned maintenance outage other sales for the quarter were $23 million, which included $12 million of green energy sales. EBITDA for the segment rose by $6 million to $50 million, primarily due to higher CS sales prices and decreased key input and logistic costs, along with the benefits of improved productivity. These improvements were partially offset by declines in CS sales volumes, lower commodity prices and volumes and the absence of $7 million in energy related cost benefits from the previous year that are expected to recur later in the year.

謝謝你，德萊爾。從我們的 HBC 開始。幻燈片 5 上的部分。總體而言，由於 CS 銷售價格上漲 2%，HPC 定價下降了 2%，但大宗商品定價下降 11% 抵消了這一上漲。由於消費品銷量下降 16%，商品銷量下降 18%，總銷量下降 17%。 2023 年底競爭對手工廠的關閉以及醚類銷售的成長支撐了 CS 銷售的成長。這被某些醋酸鹽產品的去庫存以及上一年客戶合約條款一次性有利變化的影響所抵消。商品銷售的下降主要是由於該公司在切薩皮克第二季度計劃維護停電之前建立了庫存，導致產量增加，有利於CS，該季度的其他銷售額為2300 萬美元，其中包括1200 萬美元的綠色能源銷售額。該部門的 EBITDA 成長了 600 萬美元至 5,000 萬美元，主要是由於 CS 銷售價格上漲、關鍵投入和物流成本下降以及生產力提高的好處。這些改善被 CS 銷售的下降、大宗商品價格和銷售的下降以及預計今年稍後將出現的上一年 700 萬美元能源相關成本效益的缺失所部分抵消。

Turning to Slide 6. Sales in the paperboard segment declined $6 million, largely attributed to a 12% drop in sales prices resulting from changes in product mix and market driven demand declines. Ebitda for the segment declined $1 million to $12 million, mainly due to lower sales prices. Though this impact was somewhat mitigated by decreased decreased costs for purchased pulp.

轉向幻燈片 6。該部門的 Ebitda 下降了 100 萬美元至 1200 萬美元，主要是由於銷售價格下降。儘管這種影響因購買紙漿成本的降低而有所緩解。

Turning to the high yield pulp segment on slide 7, sales declined by $8 million in comparison to the prior year, mainly due to a 27% drop in external sales prices. Partially offset by a 16% increase in sales volumes. The price reductions were a consequence of market supply dynamics, mainly in China. Segment EBITDA reached a breakeven point in contrast to $8 million generated in the prior year.

轉向幻燈片 7 上的高得率紙漿部分，銷售額與上一年相比下降了 800 萬美元，主要是由於外部銷售價格下降了 27%。銷量成長 16% 部分抵消了這一影響。價格下降是市場供應動態的結果，主要是在中國。與前一年的 800 萬美元相比，該部門的 EBITDA 達到了損益平衡點。

Transitioning to Slide 8, consolidated operating income for the quarter amounted to $17 million. Sales price improvements in CS were more than offset by pricing declines across all other products. In addition, sales volume and mix impacts were offset by cost improvements. Sg&a and other cost benefits related to favorable foreign exchange rates were partially offset by discounting and financing fees incurred to support enhancements in working capital.

轉到投影片 8，該季度的綜合營業收入達到 1700 萬美元。 CS 銷售價格的提高被所有其他產品的價格下降所抵消。此外，銷售量和產品組合的影響被成本改善所抵銷。與有利匯率相關的銷售、管理及行政費用和其他成本效益被為支持增強營運資本而產生的折現和融資費用部分抵銷。

Now let's turn to Slide 9. Total debt ended the quarter at $798 million, a reduction of $54 million from the same period in 2023. Net secured debt reflected in our financial covenant ratio associated with the term loan ended the quarter at $721 million. Net secured leverage closed the quarter at 4.4 times within the original covenant test. Liquidity closed the quarter at $199 million, reflecting $55 million of cash, $131 million available under our ABL facility and $13 million for a French factoring facility. As anticipated, working capital levels increased driven by the inventory build ahead of GES's annual planned maintenance outage.

現在讓我們轉向投影片 9。在原始契約測試中，本季末淨擔保槓桿率為 4.4 倍。本季末流動性為 1.99 億美元，其中包括 5,500 萬美元現金、我們的 ABL 設施下可用的 1.31 億美元以及法國保理設施下的 1,300 萬美元。正如預期的那樣，在 GES 年度計劃維護停運之前庫存增加的推動下，營運資金水準有所增加。

Capex for the quarter totaled $33 million, with $5 million directed towards strategic capital to support the startup of the Tartas VIA bioethanol project. Additionally, as DeLisle previously noted, we announced the sale of our softwood lumber duty refund rights for $39 million. Overall, liquidity remains strong and we are well positioned to achieve our targeted $70 million debt reduction this year in preparation for the upcoming refi of our 2026 senior notes, we have retained Houlihan Lokey to provide advisory services throughout the process.

本季資本支出總計 3,300 萬美元，其中 500 萬美元用於戰略資本，以支持 Tartas VIA 生物乙醇計畫的啟動。此外，正如 DeLisle 之前指出的，我們宣布以 3900 萬美元的價格出售我們的軟木木材退稅權。總體而言，流動性仍然強勁，我們有能力實現今年 7000 萬美元的債務削減目標，為即將到來的 2026 年優先票據再融資做好準備，我們聘請了 Houlihan Lokey 在整個過程中提供諮詢服務。

With that, I'd like to turn the call back over to Bill.

說到這裡，我想把電話轉回給比爾。

All right.

好的。

Thank you, Marcus.

謝謝你，馬庫斯。

Let's now turn our attention to Slide 10. Where I'll provide an update on our key initiatives for 2024. Our primary goal this year is to refinance the 2026 senior notes before they go current in January 2025 with a particular focus on reducing debt. We are on track to meet our target of reducing gross debt by $70 million in 2024, sort of supported by business, generate free cash flow, a tax refund and proceeds from the recent sale of the softwood lumber duties refund rights. In addition, we are progressing with the sales process of our paperboard in the high-yield pulp assets. Interest remains high among the prospective buyers following the announcement of the suspension of operations at the Temiscaming High Purity Cellulose plant, which has had introduced some delays due to the change in the underlying assumptions of how the site will be managed. While the suspension and asset sales decisions affecting the Temiscaming site have been approached and carried out independently. We believe that suspension will bring clarity to the asset sales diligent process by validating that these assets can be effectively run separately. It's important to reemphasize that this is not a fire sale. We have a value threshold based on the high EBITDA margins and the low custodial capital intensity of the paperboard business. While the proceeds from the sale would obviously reduce our debt load. We are carefully balancing the estimated annual $50 million plus of free cash flow that we receive from these businesses against any potential debt repayment. We plan to complete the transition, provided the terms are acceptable before are NodeScale current in January 2025, we are taking significant steps to optimize our assets and address the ongoing challenges associated with our High Purity Cellulose commodity exposure, which has been impacting our profit margins and earnings stability.

現在讓我們將注意力轉向幻燈片10。減少債務。我們預計將實現到 2024 年將總債務減少 7000 萬美元的目標，這在某種程度上是由業務支持、產生自由現金流、退稅以及最近出售軟木關稅退稅權的收益。此外，我們正在推動高產紙漿資產中紙板的銷售流程。在 Temiscaming 高純度纖維素工廠宣布暫停營運後，潛在買家的興趣仍然很高，由於該工廠管理方式的基本假設發生了變化，該工廠造成了一些延誤。雖然影響 Temiscaming 網站的暫停和資產出售決定已被獨立處理和執行。我們相信，暫停將驗證這些資產可以有效地單獨運行，從而使資產出售盡職流程變得清晰。需要再次強調的是，這不是一場甩賣。我們的價值門檻是基於紙板業務的高 EBITDA 利潤率和低託管資本強度。而出售所得的收益顯然會減輕我們的債務負擔。我們正在仔細平衡從這些企業獲得的估計每年 5000 萬美元以上的自由現金流與任何潛在的債務償還。我們計劃完成過渡，前提是在2025 年1 月NodeScale 推出之前條款可以接受，我們正在採取重大措施來優化我們的資產並解決與我們的高純度纖維素商品相關的持續挑戰，這些挑戰一直影響我們的利潤率和獲利穩定性。

As part of this strategic pivot mirror, we announced the indefinite suspension of operations at our Temiscaming HPC. plant. This decision reflects our commitment to mitigating the financial drag from non fluff commodities, which projected a 2024 EBITDA loss of $48 million following a $60 million loss in 2023. I will provide more details on this announcement in the slide that follows one of the most promising initiatives in just the continued expansion of our biomaterials business, our Tartas bioethanol plant, a first step of this strategy celebrated its first shipment in April. We anticipate this facility will generate $3 million to $4 million in EBITDA this year with projections of $8 million to $10 million annually from 2025 as we achieve targeted production levels.

作為這項戰略樞紐的一部分，我們宣布無限期暫停 Temiscaming HPC 的營運。植物。這項決定反映了我們對減輕非絨毛大宗商品財務拖累的承諾，預計繼2023 年虧損6000 萬美元之後，2024 年EBITDA 虧損將達到4800 萬美元。片中提供有關此公告的更多詳細資訊。我們預計該工廠今年將產生 300 萬至 400 萬美元的 EBITDA，預計從 2025 年開始，隨著我們實現目標生產水平，每年將產生 800 萬至 1000 萬美元。

Looking forward, our biomaterials project pipeline includes the proposed AGE. project at our Chester facility, which will produce green energy for sale and a new prebiotics additives plant at the same site. We continue to advance the proposed bioethanol plant in Fernandina Beach as we've commenced detailed engineering and submitted the project's air permit with the regulatory authorities. Our proposed projects in the works include crude tall oil operations in both France and the US. We aim to finance all these projects with Green Capital.

展望未來，我們的生物材料項目管道包括擬議的 AGE。我們切斯特工廠的專案將生產用於銷售的綠色能源，並在同一地點建立一個新的益生元添加劑工廠。我們已開始詳細設計並向監管機構提交了該項目的空氣許可證，並將繼續推進費南迪納海灘擬建的生物乙醇工廠。我們擬議的工程項目包括法國和美國的粗妥爾油作業。我們的目標是透過綠色資本為所有這些項目提供資金。

Let's turn to Slide 11. We will all discuss the recent decision to indefinitely suspend operations at our Temiscaming HBC. plant in April, we made the difficult decision to halt operations at this facility, a move driven by ongoing market weakness in the non fluff commodity markets, certain availability of affordable wood fiber and high capital and fixed costs, which when combined all together created significant significant operating losses.

讓我們轉向投影片 11。 4月份，我們做出了停止該工廠運營的艱難決定，這一舉措是由於非絨毛商品市場持續疲軟、負擔得起的木纖維的供應以及高昂的資本和固定成本，這些因素加在一起造成了巨大的損失。

Financial implications for 2024 include onetime cost around $30 million for severance benefits, extension, outplacement services and mothballing the plant. While we are still evaluating non-cash impairment charges, we anticipate the overall impact on this year's operating results and adjusted EBITDA to be marginally positive. Furthermore, we expect an improvement in 2024 free cash flow by approximately $15 million to $20 million, driven by the monetization of working capital and reduced CapEx, it should more than offset the associated onetime suspension costs. Once mothballed. We believe that this facility will represent the industry's best available idled capacity to satisfy future specialty cellulose demand growth since it will require minimal capital investment investment to restart can re enter supply into the market within a year, they exist within an operating industry, industrial site with utilities and other site services. It is qualified by many customers to supply CS products. Consequently, we plan to at least annually assess the possibility of restarting the Temiscaming HPC. plant during the suspension period and after the CS product qualification process concludes, we estimate that we will realize an annualized improvement in adjusted EBITDA of $15 million to $20 million a year primarily to reduce losses resulting from the HPC. commodity sales. We also anticipate an increase of approximately $30 million in free cash flow, $70 million from this EBITDA improvement in the avoidance of custodial capital expenditures. Customer qualification process is actively ongoing with all targeted customers currently testing the CS products from our other plants as qualification work is expected to take 18 to 24 months. We are building bridge inventory until July to sustain customer demand through this qualification period. See U.S. business that we expect to retain will be produced from our A. and B lines adjusts up and our sulfide plants at Trinity and beach and Tartas. We remain committed to our fluff business and the majority of our C line at Joseph will continue to focus on fluff production.

2024 年的財務影響包括約 3,000 萬美元的一次性成本，用於遣散費、延期、再就業服務和工廠封存。雖然我們仍在評估非現金減損費用，但我們預計今年經營業績和調整後 EBITDA 的整體影響將略有正面。此外，我們預計，在營運資金貨幣化和資本支出減少的推動下，2024 年自由現金流將改善約 1,500 萬至 2,000 萬美元，這應該足以抵銷相關的一次性暫停成本。一旦封存。我們相信，該設施將代表行業最佳的可用閒置產能，以滿足未來特種纖維素需求的增長，因為它將需要最少的資本投資來重新啟動，可以在一年內重新進入市場供應，它們存在於運營產業、工業場地內與公用事業及其他現場服務。獲得眾多客戶的CS產品供貨資格。因此，我們計劃至少每年評估一次重啟 Temiscaming HPC 的可能性。工廠停工期間以及 CS 產品認證流程結束後，我們估計調整後 EBITDA 的年度改善將達到 1,500 萬至 2,000 萬美元，主要是為了減少 HPC 造成的損失。商品銷售。我們也預計自由現金流將增加約 3,000 萬美元，其中 7,000 萬美元來自於避免託管資本支出的 EBITDA 改善。客戶資格認證流程正在積極進行中，所有目標客戶目前正在測試我們其他工廠的 CS 產品，因為資格認證工作預計需要 18 至 24 個月的時間。我們正在建立過渡庫存，直至 7 月，以維持在此資格期間的客戶需求。我們預計保留的美國業務將由我們調整後的 A 和 B 生產線以及位於 Trinity、beach 和 Tartas 的硫化物工廠生產。我們仍然致力於我們的絨毛業務，約瑟夫的大部分 C 生產線將繼續專注於絨毛生產。

Let's turn to Slide 12. We expect enterprise EBITDA to be between $180 million to $200 million for the year cash interest expense is projected at approximately $85 million this year, which includes the $50 million payment that was made in early January for last year's Q4 due to the timing of the interest payment around the holidays. As a reminder, the current normalized annual interest expense is estimated at $70 million. Maintenance CapEx is estimated now at $80 million reflecting a $5 million reduction due to the suspension of the Temiscaming HPC. plant. Additionally, we project a $45 million benefit from working capital, which includes a $30 million increase resulting from the Temiscaming HPC plant suspension. Furthermore, we anticipate $40 million in tax refunds and $39 million from the monetization of the lumber duties, which will be partially offset by impacts related to the Temiscaming HPC. plant suspension, deferred energy payments and other accrued liabilities. And some we are raising our adjusted free cash flow guidance to a range between $80 million to $100 million for the year. These funds will be allocated toward debt reduction and strategic capital investments.

讓我們轉向幻燈片 12。假日前後的付息時間。提醒一下，目前正常化的年利息支出估計為 7,000 萬美元。維護資本支出目前估計為 8000 萬美元，由於 Temiscaming HPC 的暫停而減少了 500 萬美元。植物。此外，我們預計營運資金將帶來 4,500 萬美元的收益，其中包括因 Temiscaming HPC 工廠暫停而增加的 3,000 萬美元。此外，我們預計將獲得 4000 萬美元的退稅和 3900 萬美元的木材關稅貨幣化，這將被與 Temiscaming HPC 相關的影響部分抵消。工廠停工、遞延能源付款和其他應計負債。我們將今年調整後的自由現金流指引提高到 8,000 萬美元至 1 億美元之間。這些資金將用於減少債務和策略資本投資。

As Slide 13, I dive deeper into the expected 2024 performance of each of our businesses. We project EBITDA for our HPC. segment to be in the range of $180 million to $190 million. We anticipate cellulose specialty prices to increase a low single digit percentage as compared to 2023 as we continue to prioritize value over volume for our specialty products. Sales volumes for cellulose specialties are expected to be comparable to last year with increases in market share gains resulting from a competitor's plant closure and a modest rise in either sales volumes, though Easter sales will remain below historical levels. These increases will be partially offset by lower acetate volumes due to modest destocking and a one-time favorable impact from a change in customer contract terms in the prior year, we expect a decline in commodity sales volumes in 2024 due to the planned suspension of operations at our HBC. plant in Temiscaming during the second half of the year. Overall, costs are anticipated to be lower, driven by improved cost management and production efficiencies alongside the impact from the suspension of BOP operations at the Temiscaming HPC. plant. Our growth strategy remains focused on strategic investments in our biomaterials business, capitalizing on the increased demand for sustainable products, Tartas, bioethanol plant, which was successfully completed its first shipment in April is operational and projected to contribute $3 million to $4 million in EBITDA in 2024, with expectations to reach $8 million to $10 million at full production by 2025.

在投影片 13 中，我更深入地探討了我們每項業務 2024 年的預期表現。我們為 HPC 規劃 EBITDA。部分在 1.8 億至 1.9 億美元之間。我們預計，與 2023 年相比，纖維素特種產品的價格將以較低的個位數百分比成長，因為我們繼續優先考慮特種產品的價值而不是數量。纖維素特種產品的銷量預計將與去年相當，因為競爭對手的工廠關閉導致市場份額增加，並且銷量小幅增長，但復活節銷量仍將低於歷史水平。這些增長將被由於適度去庫存以及上一年客戶合約條款變化帶來的一次性有利影響而導致的醋酸鹽銷量下降所部分抵消，我們預計由於計劃暫停運營，2024 年商品銷量將下降在我們的HBC。下半年將在 Temiscaming 建廠。總體而言，由於成本管理和生產效率的提高，以及 Temiscaming HPC 暫停 BOP 操作的影響，預計成本將會降低。植物。我們的成長策略仍然專注於對我們的生物材料業務的戰略投資，利用對可持續產品不斷增長的需求，Tartas 生物乙醇工廠已於4 月份成功完成第一批發貨，現已投入運營，預計將在2019 年貢獻300 萬至400 萬美元的EBITDA到 2024 年，預計到 2025 年全面投產時，銷售額將達到 800 萬至 1000 萬美元。

Regarding paperboard, we expect to achieve EBITDA in the range of $50 million to $60 million in 2024. Prices are projected to stay consistent with those seen in the first quarter, and we expect sales volumes to increase due to rising customer demand. Raw material prices are expected to increase due to increased purchases pulp prices. We expect our high-yield pulp business to achieve EBITDA in the range of $5 million to $10 million in 2024. We expect a slight increase in high-yield pulp prices in Q2 or further rises anticipated in the second half of the year. Additional sales volumes are projected to increase as we move into the second half of 2024. Polarcus total CapEx for the paperboard and high-yield pulp businesses is expected to be $5 million for 2024. We expect corporate costs of $55 million to $60 million, up slightly versus 2023 as we are the final year of our multiyear ERP implementation. As the ERP project concludes, we anticipate cost reductions starting in 2025. It's important to note that these costs may vary due to factors like currency fluctuations, environmental charges and other noncash expenses.

至於紙板，我們預計 2024 年將實現 EBITDA 在 5,000 萬至 6,000 萬美元之間。由於採購紙漿價格上漲，預計原物料價格將會上漲。我們預計到 2024 年，我們的高產紙漿業務將實現 EBITDA 在 500 萬至 1000 萬美元之間。隨著我們進入2024 年下半年，預計額外銷售量將會增加。成長與 2023 年相比略有不同，因為我們是多年 ERP 實施的最後一年。正如 ERP 計畫的結論，我們預計從 2025 年開始降低成本。

On Slide 14, we illustrate the trajectory of our EBITDA margin growth and net leverage decline in 2024, we anticipate our margins to be in the 11% to 12% range. Forecast for net secured leverage at the end of the year stands at three times covenant EBITDA. Our commitment remains resolute in achieving our target net debt leverage ratio of 2.5 times by 2027.

在投影片 14 中，我們展示了 2024 年 EBITDA 利潤率成長和淨槓桿率下降的軌跡，我們預計利潤率將在 11% 至 12% 範圍內。預估年底淨擔保槓桿率為契約 EBITDA 的三倍。我們仍然堅定地承諾在 2027 年實現淨債務槓桿率 2.5 倍的目標。

With that, operator, please open the call to questions.

那麼，接線員，請打開提問電話。

Thank you. We'll now be conducting a question and answer session. If you'd like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two. If you'd like to remove your question from the queue For participants using speaker equipment, it may be necessary to pick up your handset before pressing star two. One moment please while we poll for questions. Thank you. Our first question is from Daniel Harman with Sidoti & Company. Please proceed with your question.

謝謝。我們現在將進行問答環節。如果您想提問，請按電話鍵盤上的星號一。確認音將表示您的線路已在問題佇列中。您可以按星二號。如果您想從佇列中刪除您的問題 對於使用揚聲器裝置的參與者，可能需要在按星號 2 之前拿起聽筒。請稍等一下，我們將進行投票詢問問題。謝謝。我們的第一個問題來自 Sidoti & Company 的 Daniel Harman。請繼續你的問題。

Thank you.

謝謝。

Good morning, guys. I'm happy to see a little uptick in the ethers volume. Could you just provide a little bit more color on what you're seeing in that market, in particular, the European construction market.

早上好傢伙。我很高興看到以太幣數量略有上升。您能否提供更多關於您在該市場（特別是歐洲建築市場）中所看到的情況的資訊。

And then the destocking that I think you alluded to last quarter and you talked about today in acetate and do you from do you expect that to be mostly finished or should that be ongoing throughout 2024?

然後，我認為您上季度提到的去庫存以及您今天談到的醋酸酯庫存，您預計這將基本完成還是應該在整個 2024 年持續進行？

And good morning, Daniel.

早上好，丹尼爾。

This is to while I pass to answer your question on ethers we're still trying to figure it out.

這是因為，當我回答你關於以太的問題時，我們仍在努力解決這個問題。

To be honest, the we don't know whether this is a restocking by our customers or by our customers' customers in the expectation that the construction markets will start improving in Europe as the ECB is expected to lower interest rates there in the second half of this year or whether it's really truly an underlying increase in demand. I think we'll have a better look on that and a better saying that when we get to the end of Q2. So we'll just have to wait there. And then with respect to the acetate market, again, what we said is that the destocking is really concentrated with a couple of our large customers, principally in China and Asia. And we expected that that destocking will continue through the first half and then we'll start start normalizing in the in the second half of this year.

老實說，我們不知道這是我們的客戶還是我們客戶的客戶的補貨，他們期望歐洲建築市場將開始改善，因為歐洲央行預計將在下半年降低利率。需求成長。我認為當我們到第二季末時，我們會更好地看待這一點並更好地表達這一點。所以我們只能在那裡等。關於醋酸酯市場，我們再次指出，去庫存實際上集中在我們的幾個大客戶身上，主要是在中國和亞洲。我們預計去庫存將持續到上半年，然後我們將在今年下半年開始正常化。

Okay, great.

好的，太好了。

Thank you so much.

太感謝了。

Best of luck here in the coming quarter.

祝下一季好運。

Thank you.

謝謝。

Thank you. Our next question is from Matthew McKellar with RBC Capital Markets. Please proceed with your question.

謝謝。我們的下一個問題來自加拿大皇家銀行資本市場的 Matthew McKellar。請繼續你的問題。

Hi, good morning.

早安.

Thanks for taking my questions. First, can you provide a little bit of color on how the requalification process is with OCS volumes historically produced at Temiscaming and have been going with that with that 18 to 24 month timeframe.

感謝您回答我的問題。首先，您能否提供一些有關 Temiscaming 歷史上生產的 OCS 卷的重新認證流程的詳細信息，並且一直在 18 至 24 個月的時間範圍內進行。

You talked a little bit from the time you first started talking about concentrating commodity volumes at Temiscaming and as of last year were from today? And then do you expect you can requalify all of those CS volumes at other facilities? Or do you expect to lose a little bit of business along the way?

您從第一次開始談論 Temiscaming 集中商品交易量開始就談過一些，從去年到今天都是這樣？那麼您是否期望能夠重新驗證其他設施的所有這些 CS 磁碟區？或者您預計會在過程中失去一些業務嗎？

Yes. Good morning, Matt. With respect to your question on the requalification process itself is going well. The all of our targeted customers see us customers that we were supplying at Temiscaming are taking product from our various plants. And I could just say that the process is proceeding as planned.

是的。早安，馬特。關於你關於重新資格認證過程本身的問題，進展順利。我們所有的目標客戶都看到我們在 Temiscaming 供貨的客戶正在從我們的各個工廠獲取產品。我只能說這個過程正在按計劃進行。

With respect to the period of time, I would say that, you know, the 18 to 24 months is from the beginning of the process. So we probably have got a little less than that in terms of remaining time going forward to conclude and conclude those processes. And the question about are we including all of our customers in the process. All of our customers were certainly invited to be part of the qualification process. Some of them given that they had they were qualified with some of our competitors chose not to. And so consequently, we think that some of our customers that we're currently supplying out of Temiscaming will likely go to of our competitors. But we do believe that we will retain what we think are most most important in higher margin business.

至於時間，我想說的是，18到24個月是從這個過程開始的時間。因此，就未來結束和結束這些流程而言，我們的剩餘時間可能會比這個少一些。問題是我們是否讓所有客戶都參與這個過程。我們所有的客戶都被邀請參與資格認證過程。他們中的一些人認為他們有資格，而我們的一些競爭對手卻選擇不這樣做。因此，我們認為目前透過 Temiscaming 提供的一些客戶可能會轉向我們的競爭對手。但我們確實相信，我們將保留我們認為在高利潤業務中最重要的業務。

Great.

偉大的。

Thanks for that.

感謝那。

Color.

顏色。

And then just sticking with the Temiscaming HPC, indefinite curtailments, could you talk about how that will affect your wood chip and residual flight residual fiber supply agreement with green first your investment in Atomera and then the operation of the co-generation facility at the site.

然後，只要堅持 Temiscaming HPC、無限期削減，您能否談談這將如何影響您的木片和剩餘飛行剩餘纖維供應協議，首先是您在 Atomera 的投資，然後是現場熱電聯產設施的運作。

Okay. Right. With respect to our chip supply agreement with GreenFirst, are we fully intend to continue to honor that agreement. Again, this is a suspension of operations and not a closure. So there may be times sometime in the future that will need to have a ship supply but obviously with the suspension, we're not going to consume chips anymore. So the focus would be working with GreenFirst to resell the chips into the market on the just as a reminder, respected accurate payment is based on the transfer price between the parties is based on market pricing. So we expect that any impact to us with respect to profits or losses will will largely be mitigated with respect to the Animal Care business. Again, they take a small volume. We'll be able to supply that from our other plants to keep keep that operation moving and growing. And then the last issue with respect to the boiler 10, I think is what you're talking about, our liquor liquor boiler that is part of the suspension so we're planning to shut those operations and close those operations down for for the period.

好的。正確的。關於我們與 GreenFirst 的晶片供應協議，我們是否完全打算繼續履行該協議？再次強調，這是暫停運營，而不是關閉。因此，將來的某個時候可能需要船舶供應，但顯然隨著暫停，我們將不再消耗晶片。因此，重點是與 GreenFirst 合作，將晶片轉售到市場上，只是提醒一下，尊重準確的付款是基於雙方之間的轉讓價格是基於市場定價。因此，我們預計動物護理業務對我們利潤或損失的任何影響將在很大程度上減輕。同樣，它們的體積很小。我們將能夠從我們的其他工廠提供這些產品，以保持該業務的運作和成長。然後關於鍋爐 10 的最後一個問題，我想就是你所說的，我們的酒類鍋爐是暫停的一部分，所以我們計劃關閉這些業務，並在這段時間內關閉這些業務。

Okay, great. Thanks for that detail. And the last one for me. As part of that softwood lumber duty refund sale, you called out an opportunity for the Company to receive additional future sale proceeds contingent upon the timing in terms of the ultimate trade dispute outcome can you provide any color here and under what circumstances you would receive additional proceeds in the future?

好的，太好了。謝謝你的詳細資料。最後一張對我來說。作為軟木木材關稅退款銷售的一部分，您指出公司有機會獲得額外的未來銷售收益，具體取決於最終貿易爭端結果的時間，您可以在此處提供任何顏色以及在什麼情況下您將獲得額外的收益嗎？

Really can't do the math. You the U.S. Those are under under NDA on those type of type of details.

實在是沒辦法算。您在美國，這些資訊都屬於保密協議 (NDA)。

So we can't really share that with you.

所以我們無法與您分享這一點。

Okay, understood.

好的，明白了。

Thanks.

謝謝。

That's the back.

那是背面。

Thank you. Our next question is from Dmitry Silversteyn with Water Tower Research.

謝謝。我們的下一個問題來自 Water Tower Research 的 Dmitry Silversteyn。

Please proceed with your question.

請繼續你的問題。

Good morning, gentlemen. Thank you for taking my question. I was just I want to circle back to a couple of things. First of all, the $7 million energy benefits that you will realize later in the year. Can you provide a little bit more detail of what that is? And is it likely to fall in the first half of the year and the second half of the year.

早安，先生們。感謝您回答我的問題。我只是想回到幾件事。首先，您將在今年稍後實現 700 萬美元的能源效益。能提供更多細節嗎？還有上半年、下半年有可能下跌嗎？

Okay, Dmitry, the what we're talking about is the CO2 credits that we that we receive it in France with our Tartas facility. And historically, we've usually been able to realize those and recognize those as part of EBITDA, either in the first or second quarters of the year. Right now, we're thinking that it's likely to occur in the third quarter of this year, largely due to the government authorities and pushing out the to the payment, the payment potential on that. The So again, it will be there roughly about the same amount as we've seen in the past, just a little delay.

好的，德米特里，我們談論的是我們在法國塔塔斯工廠收到的二氧化碳信用額。從歷史上看，我們通常能夠在今年第一季或第二季實現這些目標並將其視為 EBITDA 的一部分。目前，我們認為這很可能發生在今年第三季度，這主要是由於政府當局推出了支付、支付潛力。所以，同樣，它的數量與我們過去看到的大致相同，只是有點延遲。

Got it.

知道了。

Thank you, Mick. And then just a follow-up on your comment about the market conditions in China that are impacting your high-yield plant, a pulp business. Can you provide a little bit more detail on what's going on there in China and how long this these market conditions are expected to last?

謝謝你，米克。然後是您對中國市場狀況的評論的後續內容，這些市場狀況正在影響您的高產工廠（紙漿業務）。您能否更詳細地介紹一下中國正在發生的情況以及這種市場狀況預計會持續多久？

Well, you have the conditions continue. As we discussed last quarter of the skilled. It's an excess supply of high-yield pulp or mechanical pulp in China due to new capacity that came on. And I would expect that that's probably going to continue through most of the year. There's a lot of lot of excess supply in that market. The impact is having with respect to global pricing on high yield pulp is though limited to China. We're not really seeing a lot of that bleed out to other regions in the world. So pricing in the Indian subcontinent area as well as Europe continues to be strong and we expect will continue to improve as we go through the year and in response to what we're seeing in China, we are obviously then repositioning our sales and our supply into those markets that are more attractive. And then we believe that as a result of the stronger dynamics, we'll be able to improve our average pricing as the year progresses.

好吧，你有條件繼續。正如我們上季度所討論的技術。由於新增產能的出現，中國高得率紙漿或機械漿供應過剩。我預計這種情況可能會持續到今年的大部分時間。該市場存在大量供應過剩。儘管對高得率紙漿全球定價的影響僅限於中國。我們並沒有真正看到其中大量流向世界其他地區。因此，印度次大陸地區以及歐洲的定價繼續強勁，我們預計隨著這一年的發展，定價將繼續改善，並且為了應對我們在中國所看到的情況，我們顯然正在重新定位我們的銷售和供應進入那些更具吸引力的市場。然後我們相信，由於動力更加強勁，隨著時間的推移，我們將能夠提高我們的平均定價。

And so I mean, if I look at your slide for the volume and price and high yield pulp. It does look like it's come off the bottom a little bit, but obviously not to the level that we saw in 2022 is the expectation that the sort of the normal pricing is somewhere more in line, let's say, with the first half of '23? I mean, how should we think about kind of sustainable pricing for this for this business?

所以我的意思是，如果我看一下你的幻燈片，了解數量、價格和高產紙漿。看起來確實有點觸底，但顯然沒有達到我們在 2022 年看到的水平，即正常定價與 23 年上半年的預期更為一致？我的意思是，我們應該如何考慮該業務的可持續定價？

Yes, that's again, that's a good question of what would be a normalized price. Normally in know, over the over a cycle, our high yield pulp business, it generates positive EBITDA and positive cash flow. Obviously, we're coming off the trough and starting to see improvements. And as we get into later part of this year, we'll start to enjoy positive EBITDA. And the positive cash flow, I really can't right now tell you where the where the normalized pricing would be and it's likely going to be higher than we are today. Will I get all the way back to another first quarter of 2023?

是的，這又是一個關於什麼是標準化價格的好問題。通常情況下，我們的高產紙漿業務在一個週期內會產生正的 EBITDA 和正現金流。顯然，我們正在走出低谷並開始看到進步。當我們進入今年下半年時，我們將開始享受正的 EBITDA。至於正現金流，我現在真的無法告訴你正常化定價會在哪裡，而且很可能會比今天更高。我能回到 2023 年的另一個第一季嗎？

I that's I think right now it's probably of that would be a guess on my part, I'm really really don't want to speculate on that.

我認為現在這可能是我的猜測，我真的不想對此進行猜測。

And Dmitry, remember, there's a lag effect on our high-yield business, giving our order file and or logistics supply chain.

德米特里，請記住，我們的高收益業務存在滯後效應，提供我們的訂單文件和/或物流供應鏈。

Got you.

明白你了。

So yes, I understand that.

所以是的，我理解這一點。

Okay.

好的。

Thank you.

謝謝。

All right. Thank you, Dmitry.

好的。謝謝你，德米特里。

Thank you. Our next question is from Sandy Burns with Stifel. Please proceed with your call.

謝謝。我們的下一個問題來自 Stifel 的 Sandy Burns。請繼續您的通話。

Hi, good morning and good start to the year. Maybe just to clarify one item about the EBITDA guidance. The $30 million in onetime cash charges for the Temiscaming closure suspension, is that added back to get to the $180 million to $200 million? Or are you including those as valid expenses for 2024?

嗨，早安，新年有個好開始。也許只是為了澄清有關 EBITDA 指導的一項內容。因 Temiscaming 關閉暫停而產生的 3000 萬美元一次性現金費用是否會增加到 1.8 億至 2 億美元？或者您將這些計入 2024 年的有效費用？

So we're adding that back to the adjusted EBITDA guidance.

因此，我們將其重新添加到調整後的 EBITDA 指導中。

Okay.

好的。

So that is that is an add-back and those are all cash costs just to confirm.

所以這是一個加回，這些都是現金成本只是為了確認。

There are no, no, they're not all cash costs, but a good, good, good majority of it is.

不，不，它們並不都是現金成本，但其中大部分都是現金成本。

And just the other point to make is that the $30 million it will be spread out over there over the course of multiple years it's not all going to happen in 2024.

另一點需要指出的是，在未來幾年內將投入 3,000 萬美元，但 2024 年不會全部實現。

Okay, good. Okay.

好的。好的。

And maybe just to follow up on that prior question about the duty sale, and I appreciate you don't want to get into too much detail, but maybe just to clarify, was that a sale of all of the duty refunds you were expecting?

也許只是為了跟進之前有關關稅銷售的問題，我感謝您不想透露太多細節，但也許只是為了澄清，這是您期望的所有關稅退款的銷售嗎？

Or was it just a portion of those.

或者這只是其中的一部分。

Was the sale of all of our duty refund rights. So not just the amount that was in receivables, so the full $111 million.

是出售我們所有的退稅權。不只是應收帳款金額，還有全部 1.11 億美元。

All right. Great.

好的。偉大的。

Thank you.

謝謝。

As a reminder, if you'd like to ask your question, please press star one on your telephone keypad. Our next question is from Roger Spitz with Bank of America. Please proceed.

提醒一下，如果您想提出問題，請按電話鍵盤上的星號一。我們的下一個問題來自美國銀行的羅傑·斯皮茨。請繼續。

With your question.

帶著你的問題。

Thanks very much. Good morning. I wanted to see EBITDA impact of that Q2 '24 JSF turnaround, if any?

非常感謝。早安.我想了解 24 年第 2 季 JSF 轉型對 EBITDA 的影響（如果有的話）？

Well, that's a good question, Roger, in your you got me stumped off halfway, I would save in the neighborhood of $10 million, something like that. But again, that's it that's going to be, I guess, just thinking about historical impacts with that. But given the size of the plant, given the of the obviously the impact it has, it's going to be it can be material.

嗯，這是一個很好的問題，羅傑，在你的問題中，你讓我半途而廢，我會節省大約 1000 萬美元，類似的東西。但我想，這就是它的歷史影響。但考慮到工廠的規模，考慮到它所產生的明顯影響，這將是重大的。

Are you getting off all lines or just one particular line.

您是從所有路線下車還是僅從某一條路線下車？

We brought the whole plant down for about three weeks.

我們把整個工廠停工了大約三個星期。

Okay.

好的。

And Rodger and Howard, and the note we're through that shutdown right.

還有羅傑和霍華德，以及我們已經度過停擺期的說明。

The important point is that the plants back up and running now Got it. And we brought it back up on a little earlier than planned.

重要的一點是工廠現在已經恢復並運作了，明白了。我們比計劃提前一點恢復了它。

So it was a very successful outage perfect on.

所以這是一次非常成功的停電完美。

So I'm regarding Temiscaming, you're going to idle your HPC. plants, obviously continuing to run the paperboard and higher pulp plants. And the slide talks about what you save in EBITDA. But my question is, is if we look at the paperboard and high-yield pulp, you both you both have EBITDA associated with it. Presumably there will be some additional EBITDA pressure or costs from running those plants, but not having the benefit of the HPC. plan to absorb the the other fixed costs of running the whole complex. So how should we think about on like LTM EBITDA of those two segments?

所以我說的是 Temiscaming，你會閒置你的 HPC。工廠，顯然繼續運作紙板和高級紙漿工廠。幻燈片討論了您在 EBITDA 中節省的費用。但我的問題是，如果我們看看紙板和高產量紙漿，你們都有與之相關的 EBITDA。營運這些工廠可能會帶來一些額外的 EBITDA 壓力或成本，但無法從 HPC 中受益。計劃吸收營運整個綜合體的其他固定成本。那我們應該如何考慮這兩個細分市場的 LTM EBITDA？

Hpc wasn't running as they're like, so they have to absorb another X million dollars of fixed cost from from not running HPC.

HPC 並沒有像他們想像的那樣運行，因此他們必須從不運行 HPC 中再吸收 100 萬美元的固定成本。

And you're getting into some details relevant relative And with respect to some of the negotiations and discussions we're having with potential suitors of the paperboard business.

您正在了解一些相關的細節，以及我們與紙板業務的潛在追求者進行的一些談判和討論。

So I don't really want to get into the details on that.

所以我真的不想討論這方面的細節。

But I will say that any of the stranded costs that right now that we've forecasted for the business is in that $15 million to $20 million of benefit that we've got in the EBITDA for the business for the business going forward. So we've got included in the estimates we've given you.

但我要說的是，目前我們預測的業務擱淺成本都來自於我們在 EBITDA 中獲得的 1500 萬至 2000 萬美元的收益，以及未來業務的收益。因此，我們已將其包含在給您的估計中。

Got it. So --

知道了。所以 -

We're a little below what we had.

我們比我們擁有的要低一些。

The last point, I would make one more point to Roger's.

最後一點，我想再向羅傑強調一點。

Once again, this is not a closure.

再次強調，這不是一個結束。

This is a suspension.

這是暫停。

So any of these retained costs of these stranded costs, or however you want to describe some of the plan is that HPC. will retain those costs ongoing and won't affect the paperboard business or the or the high-yield pulp business, again, because the rate there's a likelihood that we would actually restart these operations sometime in the future.

因此，這些滯留成本中的任何保留成本，或者無論如何你想要描述的一些計劃都是 HPC。將繼續保留這些成本，並且不會再次影響紙板業務或高產紙漿業務，因為我們有可能在未來某個時候實際上重新啟動這些業務。

So these these ongoing fixed costs that we would have the site, we would we would need to retain to support that, that potential.

因此，我們需要保留這些持續的固定成本來支持網站的潛力。

Well, I guess, at least for Farhan two questions. One is where are you in the process, have you thought you said last time you received indications of an interest which suggest you did on your first round of bids and that are you know on. So where are you are you have you asked for second round bids? Have you run management presentations headed the second rounds? Have you sent out no contracts for potential buyers tomorrow, Mark.

嗯，我想，至少對法爾漢來說有兩個問題。一個是你在這個過程中處於什麼階段，你是否認為你上次收到興趣指示時說過，這表明你在第一輪出價中就這樣做了，並且你知道這一點。那麼你現在在哪裡，你已經要求第二輪投標了嗎？您是否曾在第二輪進行過管理演示？馬克，你明天沒有給潛在買家發出任何合約嗎？

We have had management presentations.

我們進行了管理層介紹。

We've had site visits with interested parties. We are a have provided some draft or draft APA agreements. But with the as a result of the suspension. Obviously, the underlying fundamentals and assumptions relative to how the site will operate have now changed. And so because of that, the diligence process is going to be extended as I said at our suitors, we'll have a chance to understand what it would mean to the paperboard and a high-yield pulp business relative to the suspension that we've discussed. The B. So anyway, the delay, the delay, we believe is actually relatively minor. It isn't a it doesn't come out at all talk about or even suggests that there's a lack of enthusiasm for for the assets. In fact, I would suggest that as a result of the suspension that enthusiasm has actually increased from the parties that are interested. And I would actually suggest also that we've actually seen increased interest from other other parties. So we will continue to run the process as we as we as we see necessary to get the best value for those assets.

我們已經對有興趣的各方進行了實地考察。我們已經提供了一些 APA 協議草案。但隨著暫停的結果。顯然，與網站運作方式相關的基本原理和假設現在已經改變了。因此，正如我對我們的追求者所說的那樣，盡職調查過程將被延長，我們將有機會了解這對紙板和高產紙漿業務相對於我們的暫停意味著什麼。 B.所以無論如何，我們認為延遲實際上相對較小。這並不是完全沒有談論，甚至暗示人們對這些資產缺乏熱情。事實上，我認為，由於暫停，有興趣的各方的熱情實際上有所增加。我實際上還建議，我們實際上已經看到其他各方的興趣增加。因此，我們將繼續以我們認為必要的方式運行該流程，以獲得這些資產的最佳價值。

As I said earlier, this is not a fire sale.

正如我之前所說，這不是甩賣。

We want to make sure we get fair value for these assets and we'll run the process as we as we deem necessary to extract that value.

我們希望確保我們獲得這些資產的公允價值，並且我們將按照我們認為有必要提取該價值的方式運行該流程。

Got it.

知道了。

If I can take from our frontline on this subject, you're shutting you're idling the planned July second. So Q3 will be relatively are substantially clean. Do you think that you really need to go back out and show them the Q3 numbers and with one quarter of clean quarter, I note to shown that when you can restart or do you think you'll after we show them two full quarters of quote unquote clean numbers without HPC. operating, it does potential buyers for confidence to make a as high a bid, hopefully as I can.

如果我能從我們的前線了解這個問題，你就閉嘴了，你正在閒置計劃好的七月二號。所以第三季將是相對乾淨的。您是否認為您真的需要回去向他們展示第三季度的數據以及四分之一的乾淨季度，我注意到，當您可以重新啟動時，或者您認為在我們向他們展示了兩個完整季度的報價後您會這樣做嗎？在營運中，它可以讓潛在買家有信心提出盡可能高的出價，希望我能做到。

It depends on the suitor.

這取決於追求者。

Right.

正確的。

So it's up to them. But our goal is to conclude the deal if the terms are attractive before we have to by the end of the year as part of the refi process.

所以這取決於他們。但我們的目標是，如果條款具有吸引力，我們必須在今年年底前完成交易，作為再融資流程的一部分。

Adding Hainan, I depend on Qunar Connect, Tim.

加上海南，我依賴去哪裡網，Tim。

Yes, go ahead and ask couple more questions.

是的，繼續問更多問題。

Sure.

當然。

I maybe you said this, I missed it. The 2024 HBC. EBITDA. Did that change from the [$180 million to $190 million] and the paperboard from [$50 million to $60 million]. I just maybe I missed it.

我也許你說過這個，我錯過了。 2024 年 HBC。息稅折舊攤提前利潤。是否從 [1.8 億美元變為 1.9 億美元]，紙板從 [5,000 萬美元變為 6,000 萬美元]？我只是也許我錯過了。

You said it on prepared remarks.

你是在準備好的發言中這麼說的。

So I didn't change the same as we gave last last time.

所以我沒有像上次那樣改變。

Got it. And then lastly, regarding the GreenFirst WISChip supply agreement, is that based on take-or-pay volumes requirements contracts or is it just general volume min-max under the supply agreements?

知道了。最後，關於 GreenFirst WISChip 供應協議，是基於照付不議數量要求合約還是只是供應協議下的一般數量最小-最大？

We required to take a certain amount of volume every year from GreenFirst and that. So we will need to take the volume even though we're not operating the facility, but the pricing is based on market and market pricing at the time. And as a consequence, as I said, we will look to resell them working with GreenFirst. And as a result of that our expectation is that we will not see either profit or loss from that resell.

我們每年需要從 GreenFirst 取得一定數量的產品。因此，即使我們沒有運營該設施，我們也需要獲取數量，但定價是基於當時的市場和市場定價。因此，正如我所說，我們將尋求與 GreenFirst 合作轉售它們。因此，我們的預期是，我們不會從轉售中看到利潤或損失。

Glad to hear. Thanks for the extra time.

很高興聽到。感謝您額外的時間。

Appreciate it.

欣賞它。

Yes, if there are no further questions, at this time, I'd like to hand the floor back over to Lyle Bloomquist or any closing comments.

是的，如果沒有其他問題，現在我想將發言權交還給萊爾·布魯姆奎斯特或任何結束語。

All right. Again, as always, thank you for joining us today. And I appreciate all your interest and support of the company. I am very proud of the hard work and dedication that we've shown that has been shown by our team and very confident in our ability to continue to enhance the profitability while we work to reduce our debt and our leverage. And I look forward to providing updates on all of our ongoing projects and initiatives in the and valued your continued support as we strive for long-term success and growth. I'm as always, we're committed to maintaining transparency and open communication. So feel free to contact us if you have any further questions or you need any further information.

好的。一如既往，再次感謝您今天加入我們。我感謝您對公司的所有關注和支持。我對我們團隊所表現出的辛勤工作和奉獻精神感到非常自豪，並對我們在努力減少債務和槓桿的同時繼續提高盈利能力的能力充滿信心。我期待著提供有關我們所有正在進行的項目和舉措的最新信息，並感謝您在我們努力實現長期成功和增長時的持續支持。我一如既往，我們致力於保持透明度和開放的溝通。因此，如果您有任何其他問題或需要任何進一步信息，請隨時與我們聯繫。

Thank you again for your participation.

再次感謝您的參與。