LSC Communications reported unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2016. For the quarter, net sales of $919 million compared to $1,004 million a year ago. The decrease in organic Net Sales were due to lower volume and price pressures in the Print segment. Income from operations was $27 million compared to $58 million a year ago. Income before income taxes was $10 million compared to $58 million a year ago. Net income was $9 million compared to $38 million a year ago. Diluted net earnings per share were $0.26 compared to $1.17 a year ago. Effective tax rate was 10.0% compared to 34.5% a year ago. Non-GAAP adjusted EBITDA was $80 million compared to $111 million a year ago. The decrease in non-GAAP adjusted EBITDA was primarily due to volume declines and price pressure in the Print segment, a lower LIFO reserve release in 2016 compared to 2015, and an increase in healthcare costs, partially offset by ongoing cost control initiatives. Capital expenditures were $13 million compared to $10 million a year ago. Free cash flow was $82 million compared to $109 million a year ago. Depreciation and amortization was $41 million against $47 million a year ago.

For the year, net sales of $3,654 million compared to $3,743 million a year ago. Income from operations was $175 million compared to $135 million a year ago. Income before income taxes was $157 million compared to $138 million a year ago. Net income was $106 million compared to $74 million a year ago. Diluted net earnings per share were $3.23 compared to $2.27 a year ago. Effective tax rate was 32.5% compared to 46.4% a year ago. Non-GAAP adjusted EBITDA was $370 million compared to $398 million a year ago. Capital expenditures were $48 million compared to $42 million a year ago. Net cash provided by operating activities was $231 million compared to $275 million a year ago. Free cash flow was $183 million compared to $233 million a year ago. Depreciation and amortization was $171 million against $181 million a year ago.

For the quarter, the company reported impairment charges - net of $1 million.

For the full year of 2017, the company expects to report, net sales of $3.55 billion to $3.65 billion, non-GAAP adjusted EBITDA margin of 9.75% to 10.25%, depreciation and amortization of $155 million to $165 million, interest expense of $68 million to $72 million, non-GAAP effective tax rate of 33% to 36%. Capital expenditures to be $60 million to $65 million, including approximately $5 million in expenditures related to the spin-off from RRD, mostly investments in stand-alone systems and IT infrastructure. Free cash flow to be $125 million to $155 million.