Pricing Outlook
Q: Will net price flip positive in '25?
A: Management expects better net price realization in 2025 as input costs stabilize and competitive pressures ease from a current negative $60M position, though final outcomes remain provisional.

Cost Takeout
Q: Update on cost takeout progress?
A: They have achieved about $90M in savings so far and expect at least another $50M in actions, advancing toward the original $140–160M target to drive profitability.

Guidance Uncertainty
Q: Why is guidance uncertain?
A: Uncertainty arises from continued softness in the Protective segment despite solid Food performance, leading to conservative outlook adjustments.

Cash Flow & FCF Variability
Q: Concerns on free cash flow?
A: Management noted that despite some Q4 discrete events, working capital is normalizing and free cash flow conversion remains strong, supporting deleveraging efforts.

Protective Q4 Volumes
Q: How will Q4 protective volumes perform?
A: Volumes are expected to ease from a Q3 $447M level to roughly $460M in Q4, driven by seasonal U.S. demand improvements.

Food Volume Trends
Q: How did Food volumes trend?
A: The Food segment delivered low single-digit growth—around 2.4%—fueled by robust protein demand and competitive wins across regions.

Vertical Transformation
Q: What does restructuring entail?
A: The company is reverting to a two-vertical structure (Food and Protective) to sharpen focus, improve customer proximity, and re-establish clear P&L accountability.

Divestment & Food Margins
Q: Are divestments being considered?
A: While optimizing operations, management is evaluating footprint rationalization selectively, with improved Food margins driven by volume growth and operational efficiencies.

Vertical Separation & Food Margins
Q: How does vertical separation impact margins?
A: By assigning distinct P&L responsibility to each vertical, management is better positioned to drive tailored growth strategies and margin gains, especially in Food.

Protective Outlook
Q: Will Protective void-fill issues ease?
A: The team noted that within Protective, the fiber-based product mix outperforms poly, and seasonal effects are helping reduce volume declines from about 8% to 6%.

Fiber Innovation
Q: What’s next for fiber innovation?
A: New fiber-based mailers and prototypes are being introduced to boost product protection perception, with rapid commercialization on the agenda.

Instapak & Sustainability
Q: How important is Instapak for sustainability?
A: Instapak remains vital in industrial applications, offering recyclability and cost benefits that help stabilize pricing in a competitive, sustainability-focused market.