NEW YORK (MarketWatch) -- Schweitzer-Mauduit International /zigman2/quotes/208081440/composite SWM -1.34% said it earned $2.8 million, or 19 cents a share, in the fourth quarter, down sharply from $10.9 million, or 71 cents a share, a year ago. Earnings were dragged lower by higher energy, raw material and labor costs, the specialty paper company said. Sales edged up to $175.3 million from $171.9 million. The company said it expects cost pressures to continue in 2006, although they will be partly offset by cost reductions. "In the current environment, it is likely that earnings per share in 2006 will be in the same range as in 2005," it said in a statement. Shares closed Wednesday down 0.4% at $27.15.