Graphic Packaging Announces $60M Cost Cuts and Q4 Production Adjustments

PAPER INDUSTRY NEWS

Jino John

12/9/20251 min read

Graphic Packaging Holding Company (NYSE: GPK), a leading sustainable consumer packaging provider, detailed its support function and production optimization strategies on December 8, 2025. The company expects $60 million in savings from staffing and corporate expense reductions in 2026, with $20 million in one-time severance and non-cash charges. Support is offered to affected employees via placement assistance.​

Additionally, accelerated inventory reductions at the early-startup Waco, Texas recycled paperboard facility will lead to Q4 production curtailments, impacting results by $15 million beyond prior $15 million announcements. Full-year 2025 guidance holds net sales at $8.4-8.6 billion, with Adjusted EBITDA narrowed to $1.38-1.43 billion and EPS to $1.75-1.95. The firm upholds its $700-800 million 2026 free cash flow target amid economic volatility and cost pressures. These moves underscore Graphic Packaging's focus on efficiency in fiber-based packaging for food, beverage, and consumer sectors.