Clearwater Paper

To be the most trusted provider of tissue and paperboard by building a stable, enduring and profitable company.

Clearwater Paper SWOT Analysis

Updated: October 3, 2025 • 2025-Q4 Analysis

How to Use This Analysis

This analysis for Clearwater Paper was created using Alignment.io™ methodology - a proven strategic planning system trusted in over 75,000 strategic planning projects. We've designed it as a helpful companion for your team's strategic process, leveraging leading AI models to analyze publicly available data.

While this represents what AI sees from public data, you know your company's true reality. That's why we recommend using Alignment.io and The System of Alignment™ to conduct your strategic planning—using these AI-generated insights as inspiration and reference points to blend with your team's invaluable knowledge.

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The Clearwater Paper SWOT analysis reveals a company skillfully navigating a cyclical industry. Its core strength lies in its entrenched position as a top private brand tissue supplier to major retailers, a segment poised for continued growth. This is complemented by a strong, high-margin paperboard business benefiting from the sustainability megatrend. However, the company's success is perpetually challenged by volatile input costs and significant debt, which can constrain strategic agility. The key priorities identified—deepening retail partnerships, pushing sustainable paperboard innovation, and relentlessly pursuing operational efficiencies—are precisely the right levers to pull. Executing this focused strategy will fortify its market position and build a more resilient, profitable enterprise, turning cyclical challenges into opportunities for disciplined growth and market share consolidation. The path forward is clear: dominate its niches and control costs.

Georgia-Pacific Kimberly-Clark Procter & Gamble WestRock Graphic Packaging

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To be the most trusted provider of tissue and paperboard by building a stable, enduring and profitable company.

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Strengths

POSITION: Top 2 private brand tissue producer with deep retail relations.
ASSETS: Strategically located, large-scale, and efficient mills.
INTEGRATION: Partial vertical integration provides some pulp cost control.
PAPERBOARD: Strong position in high-quality, sustainable SBS market.
MANAGEMENT: Experienced team focused on operational execution & cost.

Weaknesses

VOLATILITY: High exposure to cyclical pulp and natural gas price swings.
DEBT: Leverage can constrain flexibility for acquisitions or investments.
SCALE: Smaller scale compared to diversified giants like P&G or GP.
INNOVATION: R&D spend is modest, risking slower product development.
BRANDING: Lack of consumer brand equity limits pricing power vs CPGs.

Opportunities

SUSTAINABILITY: Growing demand for paperboard as plastic replacement.
PRIVATE BRAND: Consumer shift to store brands amid economic uncertainty.
PRICING: Favorable supply/demand dynamics allowing for price increases.
EFFICIENCY: Continuous improvement initiatives can further lower costs.
E-COMMERCE: Growth in online retail requires more secondary packaging.

Threats

COMPETITION: Intense rivalry from larger, better-capitalized players.
RECESSION: A severe downturn could reduce demand for premium paperboard.
INPUT COSTS: Unpredictable energy, fiber, and chemical cost inflation.
REGULATION: Potential for stricter environmental rules increasing costs.
IMPORTS: Risk from lower-cost tissue and paperboard imports.

Key Priorities

DOMINANCE: Solidify private brand tissue leadership via retail partnerships.
GROWTH: Capitalize on sustainability trend with innovative paperboard.
RESILIENCE: Mitigate input cost volatility through operational excellence.
INNOVATION: Invest in process tech to create a durable cost advantage.

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Clearwater Paper OKR

Updated: October 3, 2025 • 2025-Q4 Analysis

This Clearwater Paper OKR plan is a masterclass in focus and execution. It directly translates strategic priorities into measurable outcomes, creating a clear roadmap for the entire organization. The objectives—'DOMINATE PRIVATE BRAND,' 'LEAD IN GREEN PACKAGING,' 'FORTIFY THE CORE,' and 'ACCELERATE EFFICIENCY'—are both aspirational and deeply grounded in the company's core business. The key results are specific, aggressive, and rightly balanced between growth, profitability, and operational resilience. This plan avoids vanity metrics and instead concentrates on the critical few levers—customer partnerships, sustainable innovation, cost control, and technology adoption—that will build a more profitable and enduring enterprise. It provides the clarity and alignment needed to win in a competitive, cyclical industry.

Georgia-Pacific Kimberly-Clark Procter & Gamble WestRock Graphic Packaging

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To be the most trusted provider of tissue and paperboard by building a stable, enduring and profitable company.

DOMINATE PRIVATE BRAND

Become the undisputed tissue partner for top retailers.

PARTNERSHIPS: Secure 3-year+ renewals with our top 5 strategic retail customers to deepen our relationships.
GROWTH: Increase private brand tissue market share by 75 basis points through targeted sales initiatives.
SERVICE: Achieve a 98.5% on-time, in-full (OTIF) delivery rate to enhance customer trust and reliability.
PROFITABILITY: Improve Consumer Products segment Adjusted EBITDA margin by 150 basis points via cost control.

LEAD IN GREEN PACKAGING

Win the shift to sustainable paperboard solutions.

INNOVATION: Launch two new lightweight, high-strength paperboard products for plastic replacement applications.
GROWTH: Grow paperboard sales volume in food service and healthcare segments by 8% year-over-year.
CONVERSIONS: Secure 5 major customer conversions from plastic packaging to our sustainable paperboard solutions.
PROFITABILITY: Maintain top-quartile Adjusted EBITDA margins in the Pulp and Paperboard division.

FORTIFY THE CORE

Build industry-leading operational resilience.

COSTS: Reduce manufacturing cost per ton by 3% through targeted operational excellence and energy projects.
UPTIME: Increase overall equipment effectiveness (OEE) by 2% by deploying predictive maintenance pilots.
SAFETY: Achieve a Total Recordable Incident Rate (TRIR) below 0.75, making us a top-decile performer.
DEBT: Reduce net leverage ratio to below 2.5x to increase financial flexibility and de-risk the business.

ACCELERATE EFFICIENCY

Leverage technology for a durable cost advantage.

AUTOMATION: Implement machine vision quality control on two key production lines to reduce waste by 10%.
LOGISTICS: Decrease freight costs as a percentage of revenue by 50 basis points using AI-driven route optimization.
PROCUREMENT: Realize $5M in savings in indirect spend through a new centralized procurement software platform.
DATA: Build a unified operational data dashboard integrating data from our top 3 mills for real-time KPIs.

METRICS

Adjusted EBITDA Margin
Net Leverage Ratio
Free Cash Flow

VALUES

Safety
Integrity
Customer Focus
Teamwork
Accountability

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Clearwater Paper Retrospective

AI-Powered Insights

Claude

Gemini

GPT

Clearwater Paper Q3 2024 Earnings Report & Transcript
Clearwater Paper 2023 10-K Annual Report
Company Investor Relations Website
Public financial data sources (e.g., Yahoo Finance)
LinkedIn profiles of executive leadership

Georgia-Pacific Kimberly-Clark Procter & Gamble WestRock Graphic Packaging

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To be the most trusted provider of tissue and paperboard by building a stable, enduring and profitable company.

Toggle Theme

What Went Well

PRICING: Successful implementation of price increases in both divisions.
PAPERBOARD: Strong demand and favorable pricing drove record profitability.
OPERATIONS: Maintained high operating rates despite supply chain issues.
DEBT: Proactive debt reduction and refinancing improved balance sheet.
CASH FLOW: Generated strong free cash flow, enabling debt paydown.

Not So Well

INPUT COSTS: Significant inflation in energy, wood, and chemical costs.
TISSUE: Tissue segment margins compressed by cost inflation before pricing.
LOGISTICS: Elevated freight and logistics costs impacted profitability.
MAINTENANCE: Planned major maintenance outages had significant cost impact.
VOLUME: Some softness in tissue volumes as consumer behavior normalized.

Learnings

PRICING: Pricing power is strong but lags input cost inflation.
DIVERSIFICATION: Paperboard provides a critical counterbalance to tissue.
COSTS: Must find structural cost reductions beyond temporary measures.
SUPPLY CHAIN: Proactive management is key to navigating disruptions.
DISCIPLINE: Capital discipline and debt reduction create resilience.

Action Items

COSTS: Accelerate continuous improvement projects to offset inflation.
LOGISTICS: Secure more favorable long-term freight contracts.
PRICING: Continue to align pricing with input cost dynamics.
CAPEX: Focus capital on high-return, cost-reduction projects.
INVENTORY: Optimize inventory levels to balance service and cash flow.

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Organization	SWOT Analysis	OKR Plan	Top 6	Retrospective

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Clearwater Paper Market

AI-Powered Insights

Claude

Gemini

GPT

Clearwater Paper Q3 2024 Earnings Report & Transcript
Clearwater Paper 2023 10-K Annual Report
Company Investor Relations Website
Public financial data sources (e.g., Yahoo Finance)
LinkedIn profiles of executive leadership

Founded: 2008 (Spun off from Potlatch Corp.)
Market Share: Top 2 U.S. private brand tissue producer
Customer Base: Retailers, grocers, distributors, food service
Category:
Pulp, Paper Products
SIC Code: 2621
NAICS Code: 322121
Location: Spokane, Washington
Zip Code: 99201
Congressional District: WA-5 SPOKANE
Employees: 3100

Competitors

Georgia-Pacific Request Analysis

Kimberly-Clark Request Analysis

Procter & Gamble View Analysis

WestRock Request Analysis

Graphic Packaging View Analysis

Products & Services

No products or services data available

Distribution Channels

Clearwater Paper Business Model Analysis

AI-Powered Insights

Claude

Gemini

GPT

Clearwater Paper Q3 2024 Earnings Report & Transcript
Clearwater Paper 2023 10-K Annual Report
Company Investor Relations Website
Public financial data sources (e.g., Yahoo Finance)
LinkedIn profiles of executive leadership

Problem

Retailers need profitable private brands.
Brands need sustainable packaging options.

Solution

High-quality, reliable private brand tissue.
Premium, eco-friendly SBS paperboard.

Key Metrics

Adjusted EBITDA
Net Leverage Ratio
Production Tons Sold

Unique

Pure-play focus on private brand tissue.
Leadership in sustainable paperboard.

Advantage

Long-term contracts with top retailers.
Efficient, large-scale production assets.

Channels

Direct sales force for large accounts.
Distributors for smaller customers.

Customer Segments

Grocery stores, mass merchants, discounters.
Folding carton and packaging converters.

Costs

Fiber (pulp, wood), energy, chemicals.
Labor, maintenance, freight, interest.

Clearwater Paper Product Market Fit Analysis

Updated: October 3, 2025

Clearwater Paper empowers top retailers to build customer loyalty and profitability with high-quality private brand tissue. It also enables leading brands to meet sustainability goals through innovative, renewable paperboard packaging. The company achieves this through scaled, efficient manufacturing and a deep commitment to being the most trusted partner in the paper products industry, ensuring reliable supply and exceptional value.

Delivering superior value through high-quality, cost-effective private brand products.

Providing innovative and sustainable paperboard solutions for a circular economy.

Ensuring reliable supply chain partnership and execution for our customers' success.

Before State

Retailers rely on branded product margins
Packaging lacks sustainable options

After State

High-quality private brands build store loyalty
Sustainable paperboard packaging is standard

Negative Impacts

Lower margins for retail partners
Brand loyalty erosion for CPGs
High reliance on plastic packaging

Positive Outcomes

Increased retailer profitability and traffic
Reduced environmental impact for customers

Key Metrics

Customer Retention Rates

High, >90%

Net Promoter Score (NPS)

B2B focus, est. 40-50

User Growth Rate

Tied to retail partner growth

Customer Feedback/Reviews

N/A (B2B focus)

Repeat Purchase Rates

Very high, contract-based

Requirements

Consistent product quality and supply
Cost-competitive manufacturing at scale

Why Clearwater Paper

Leverage operational excellence programs
Invest in sustainable material innovation

Clearwater Paper Competitive Advantage

Deep relationships with top US retailers
Scale and efficiency of integrated mills

Proof Points

Long-term contracts with leading grocers
FSC and SFI sustainable sourcing certs

Clearwater Paper Market Positioning

AI-Powered Insights

Claude

Gemini

GPT

Clearwater Paper Q3 2024 Earnings Report & Transcript
Clearwater Paper 2023 10-K Annual Report
Company Investor Relations Website
Public financial data sources (e.g., Yahoo Finance)
LinkedIn profiles of executive leadership

Strategic pillars derived from our vision-focused SWOT analysis

Dominate the private brand tissue market.

Lead in high-quality, sustainable paperboard.

Achieve top-quartile operational excellence.

Embed circular economy principles in all ops.

What You Do

Manufactures private brand tissue and solid bleached sulfate (SBS) paperboard.

Target Market

Major retailers and consumer product companies seeking quality and value.

Differentiation

Focused private brand tissue leadership
High-quality, sustainable paperboard

Revenue Streams

Tissue sales to retail customers
Paperboard sales to packaging converters

Clearwater Paper Operations and Technology

AI-Powered Insights

Claude

Gemini

GPT

Clearwater Paper Q3 2024 Earnings Report & Transcript
Clearwater Paper 2023 10-K Annual Report
Company Investor Relations Website
Public financial data sources (e.g., Yahoo Finance)
LinkedIn profiles of executive leadership

Company Operations

Organizational Structure: Two-division structure: Consumer Products and Pulp & Paperboard.
Supply Chain: Vertically integrated with pulp production; sources wood fiber sustainably.
Tech Patents: Focus on process technology and efficiency rather than product patents.
Website: https://www.clearwaterpaper.com/

Top Clients

Board Members

Clearwater Paper Competitive Forces

Threat of New Entry

Low: The industry is extremely capital-intensive, requiring billions for new mills. High economies of scale and established distribution create huge barriers.

Supplier Power

Medium-High: Key inputs like pulp, chemicals, and energy are commodities with volatile pricing. Suppliers have significant power during inflationary periods.

Buyer Power

High: Large retail customers (e.g., Walmart, Costco) and packaging converters have immense negotiating power, demanding low prices and high service levels.

Threat of Substitution

Low-Medium: For tissue, substitutes are limited. For paperboard, plastic remains a key competitor, but sustainability trends are reducing this threat.

Competitive Rivalry

High: Dominated by large, integrated players (GP, Kimberly-Clark, WestRock) with massive scale and brand power. Competition is intense on price and quality.

Analysis of AI Strategy

Updated: October 3, 2025 • 2025-Q4 Analysis

The Clearwater Paper AI SWOT analysis highlights a significant, untapped opportunity to transform its operational backbone. The company's strength is its vast reservoir of machine and process data, a perfect fuel for AI-driven efficiency. The primary path to value is not in futuristic products, but in optimizing the complex, capital-intensive processes of papermaking. By deploying AI for predictive maintenance, energy management, and supply chain optimization, Clearwater can build a formidable, data-driven cost advantage. However, this potential is constrained by internal weaknesses in talent and legacy systems. The strategic imperative is clear: start with targeted, high-ROI pilot projects, like mill maintenance, to prove value and build internal capabilities. This pragmatic approach will de-risk investment and pave the way for a smarter, more resilient manufacturing network, turning operational data into a true competitive weapon.

Georgia-Pacific Kimberly-Clark Procter & Gamble WestRock Graphic Packaging

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To be the most trusted provider of tissue and paperboard by building a stable, enduring and profitable company.

Strengths

DATA: Rich operational data from mill sensors for process optimization.
PROCESS: Highly controlled manufacturing is ideal for AI-driven tuning.
SCALE: Large production volumes offer significant gains from AI efficiency.
LOGISTICS: Complex supply chain with potential for AI-based optimization.
PARTNERSHIPS: Retailer data can be leveraged for demand forecasting.

Weaknesses

TALENT: Scarcity of in-house AI/ML expertise in a traditional industry.
SYSTEMS: Legacy OT/IT infrastructure may hinder advanced AI integration.
CULTURE: Resistance to change and a workforce not trained for AI tools.
INVESTMENT: High upfront cost for AI implementation vs. other capital needs.
DATA SILOS: Disparate data systems between mills and business units.

Opportunities

MAINTENANCE: Predictive AI to forecast equipment failure, boosting uptime.
ENERGY: AI models to optimize boiler and power usage, cutting key costs.
SUPPLY CHAIN: AI to optimize fiber procurement and logistics in real-time.
QUALITY: Machine vision for automated quality control on production lines.
FORECASTING: AI-powered demand forecasting to optimize production schedules.

Threats

COMPETITORS: Larger rivals investing heavily in AI to lower their costs.
CYBERSECURITY: AI systems introduce new vectors for cyber attacks on mills.
IMPLEMENTATION: Risk of failed AI projects that don't deliver ROI.
WORKFORCE: AI-driven automation could create labor and skill-gap issues.
DEPENDENCY: Over-reliance on third-party AI vendors and platforms.

Key Priorities

EFFICIENCY: Deploy AI for predictive maintenance and energy optimization.
SUPPLY CHAIN: Use AI to create a more resilient and cost-effective supply chain.
QUALITY: Implement machine vision for automated, real-time quality control.
TALENT: Build a small, focused data science team to pilot high-ROI projects.

Create professional SWOT analyses in minutes with our AI template. Get insights that drive real results.

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Clearwater Paper Financial Performance

AI-Powered Insights

Claude

Gemini

GPT

Clearwater Paper Q3 2024 Earnings Report & Transcript
Clearwater Paper 2023 10-K Annual Report
Company Investor Relations Website
Public financial data sources (e.g., Yahoo Finance)
LinkedIn profiles of executive leadership

Profit: $52.8 million net income (FY 2023)

Market Cap: $750 million (Approx. Q4 2024)

Stock Performance

Annual Report: Available on Investor Relations website

Debt: $508 million total debt (Q3 2024)

ROI Impact: Capital investments in efficiency aim to boost ROIC.

SWOT Index

Composite strategic assessment with 10-year outlook

/ 100

Market Leader

ICM Index

STRATEGIC ADVISOR ASSESSMENT

Clearwater Paper is a disciplined operator in a mature industry. Its Iconic Index reflects a solid, category-leading ambition, not a world-changing one. The strategy is highly achievable, with strong OKR alignment to mitigate weaknesses (cost volatility). The SWOT score is balanced, showing significant opportunities in sustainability offset by intense competitive threats. The low growth multiplier is realistic for a capital-intensive, cyclical business focused on profitability and market share defense over exponential expansion.

SWOT Factors

Upside: 70.0 Risk: 74.7

OKR Impact

AI Leverage

Top 3 Strategic Levers

Deepen strategic partnerships with top-tier retailers.

Accelerate innovation in plastic-replacement paperboard.

Deploy AI/ML for operational efficiency and cost reduction.

AI Disclosure

This report was created using the Alignment Method—our proprietary process for guiding AI to reveal how it interprets your business and industry. These insights are for informational purposes only and do not constitute financial, legal, tax, or investment advice.

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