INDUSTRY SEGMENT INFORMATION

6 Months Ended

Jun. 30, 2018

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

International Paper’s business segments, Industrial Packaging, Global Cellulose Fibers and Printing Papers, are consistent with the internal structure used to manage these businesses. All segments are differentiated on a common product, common customer basis consistent with the business segmentation generally used in the Forest Products industry.

The Company also holds a 50% interest in Ilim Holding S.A. and a 20.5% interest in Graphic Packaging International LLC, which are separate reportable industry segments. See Note 11 for details of the Company's ownership in each of these investments.

Business segment operating profits are used by International Paper's management to measure the earnings performance of its businesses. Management believes that this measure allows a better understanding of trends in costs, operating efficiencies, prices and volumes. Business segment operating profits are defined as earnings (loss) from continuing operations before income taxes and equity earnings, but including the impact of equity earnings and noncontrolling interests, excluding corporate items, corporate special items and non-operating pension expense.

Sales by business segment for the three months and six months ended June 30, 2018 and 2017 were as follows:

	Three Months Ended June 30,					Six Months Ended June 30,
In millions	2018		2017			2018		2017
Industrial Packaging	$	4,022	$	3,785		$	7,849	$	7,362
Global Cellulose Fibers	692		612			1,369		1,176
Printing Papers	1,060		1,017			2,113		2,012
Corporate and Intersegment Sales	59		(31		)	123		(35		)
Net Sales	$	5,833	$	5,383		$	11,454	$	10,515

Operating profit by business segment for the three months and six months ended June 30, 2018 and 2017 were as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
In millions	2018			2017			2018			2017
Industrial Packaging	$	537		$	64		$	974		$	448
Global Cellulose Fibers	66			7			77			(63		)
Printing Papers	94			86			158			186
Business Segment Operating Profits	697			157			1,209			571
Earnings (loss) from continuing operations before income taxes and equity earnings	490			(23		)	$	846		$	194
Interest expense, net	133			137			268			279
Noncontrolling interests/equity earnings adjustment	(4		)	(1		)	(5		)	(1		)
Corporate items, net	30			17			39			41
Corporate special items, net	12			(7		)	21			(7		)
Non-operating pension expense	36			34			40			65
	$	697		$	157		$	1,209		$	571