News Release
INTERNATIONAL PAPER, TEMPLE-INLAND ANNOUNCE SETTLEMENT AGREEMENT WITH DEPARTMENT OF JUSTICE
Consent Decree With DOJ Clears Way To Complete Planned
Merger
February 10, 2012 -- International Paper Company (NYSE: IP)
and Temple-Inland Inc. (NYSE: TIN) today announced that they
have reached an agreement with the Antitrust Division of the
U.S. Department of Justice ("DOJ") with respect to
International Paper's acquisition of Temple-Inland. As part
of the agreement, the DOJ has entered into a consent decree
with International Paper and Temple-Inland that allows the
combination to proceed. The companies expect to complete the
transaction promptly.
Under the terms of the consent decree filed in federal court
in the District of Columbia, the combined company will
undertake the post close divesture of 970,000 tons of
containerboard mill capacity within four months, with the
possibility of two 30-day extensions. The company agreed to
divest Temple-Inland's facilities in Ontario, California and
New Johnsonville, Tennessee, and International Paper's
facility in Hueneme, California. International Paper
reaffirms that it expects to achieve at least
$300 million of synergies within twenty-four months of
closing.
International Paper Chairman and CEO John Faraci said, "We
are pleased to have reached an agreement with the DOJ that
addresses their concerns and preserves the value in the
combination of these two fine companies. As we take the final
steps to closing, we look forward to a smooth integration and
to realizing the substantial benefits this transaction
provides our customers, employees and shareholders."
About International Paper
International Paper (NYSE: IP) is a global paper and
packaging company with manufacturing operations in North
America, Europe, Latin America, Russia, Asia and North
Africa. Its businesses include uncoated papers and industrial
and consumer packaging, complemented by xpedx, the
Company's North American distribution company.
Headquartered in Memphis, Tennessee, the company employs
about 61,000 people in more than 24 countries and serves
customers worldwide. 2011 net sales were
$26 billion. For more information about International Paper,
its products and stewardship efforts, visit
internationalpaper.com.
About Temple-Inland
Temple-Inland Inc. is a manufacturing company focused on
corrugated packaging and building products. The fully
integrated corrugated packaging operation consists of 7 mills
and 59 converting facilities. The building products operation
manufactures a diverse line of building products for new home
construction, commercial and repair and remodeling markets.
Temple-Inland's address on the World Wide Web is
www.templeinland.com.
Certain statements in this press release may be considered forward-looking statements. These statements reflect management's current views and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these statements. Factors which could cause actual results to differ include but are not limited to: (i) the level of our indebtedness and increases in interest rates; (ii) industry conditions, including but not limited to changes in the cost or availability of raw materials, energy and transportation costs, competition we face, cyclicality and changes in consumer preferences, demand and pricing for our products; (iii) global economic conditions and political changes, including but
not limited to the impairment of financial institutions, changes in currency exchange rates, credit ratings issued by recognized credit rating organizations, the amount of our future pension funding obligation, changes in tax laws and pension and health care costs; (iv) unanticipated expenditures related to the cost of compliance with existing and new environmental and other governmental regulations and to actual or potential litigation; (v) whether we experience a material disruption at one of our manufacturing facilities and risks inherent in conducting business through a joint venture; (vi) risk and uncertainties associated with the divestitures required by the DOJ consent decree; (vii) the failure to realize synergies and cost savings from the Temple-Inland transaction or delay in realization thereof; and (viii) our ability to achieve the benefits we expect from all other strategic acquisitions, divestitures and restructurings. These
and other factors that could cause or contribute to actual results differing materially from such forward-looking statements are discussed in greater detail in the company's Securities and Exchange Commission filings. We undertake no obligation to publicly update any forward- looking statements, whether as a result of new information, future events or otherwise.
WEBCAST
The company will hold a webcast to go over the announcement
in more detail starting at
1:30 pm. EST, 12:30 pm. CST. All interested parties are
invited to listen to the webcast live via the company's
Internet site at http://www.internationalpaper.com by
clicking on the Investors tab and going to the Presentations
page. Parties who wish to participate in the webcast via
teleconference may dial +1 (706) 679-8242 or, within the U.S.
only, (877) 316-2541 and ask to be connected to the
International Paper's Settlement Agreement Call. The
conference ID number is 50817955. Participants should call in
no later than 1:15 pm EST 12:15 pm. CST.
An audio-only replay will be available for four weeks
following the call. To access the replay, dial +1 (855)
859-2056 or (404) 537-3406 and when prompted for the
conference ID, enter 50817955.
Media: Thomas J. Ryan, 901-419-4333; Investors: Glenn Landau,
901-419-1731; and
Emily Nix, 901-419-4987
distribué par | Ce noodl a été diffusé par Temple-Inland Inc. et initialement mise en ligne sur le site http://www.templeinland.com. La version originale est disponible ici. Ce noodl a été distribué par noodls dans son format d'origine et sans modification sur 2012-02-10 19:50:20 PM et restera accessible depuis ce lien permanent. Cette annonce est protégée par les règles du droit d'auteur et toute autre loi applicable, et son propriétaire est seul responsable de sa véracité et de son originalité. |
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