The related box price increase was partially implemented during the December quarter and will be fully reflected in the Company's financial results in the March quarter.
Demand remains firm and containerboard supply now more closely matches demand.
Thus, assuming the moderate economic growth widely predicted for 1998, domestic demand for containerboard should grow faster than the available supply, providing a favorable climate for prices to be increased further. Unbleached kraft paper production increased to 72 thousand tons versus 62 thousand tons for the same quarter in fiscal 1997, while corrugated shipments for first quarter fiscal 1998 remained unchanged from the year-ago quarter at 3.3 billion square feet. Gaylord Container Corporation is a major national manufacturer and distributor of corrugated containers and sheets, containerboard, unbleached kraft paper and multiwall bags. The forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties and actual results could differ materially.