Smurfit Stone reports sharp income fall

Smurfit Stone Container Corporation today reported a sharp drop in third-quarter income to $28 million from $79 million in the same period last year.

Commenting on the results, Smurfit Stone president and chief executive Mr Ray Curran said they were negatively impacted by a decline in container board prices and generally unfavourable packaging demand.

"Looking ahead, we do not expect a near-term turnaround in the overall economy. Therefore, demand is expected to remain weak," Mr Curran said.

"Our focus is on intelligently managing the current slowdown by controlling inventories, using free cash to reduce debt and cutting costs," Mr Curran said.

The company is 29 per cent-owned by the Jefferson Smurfit Group.