MEMPHIS, Tenn., Feb. 13, 2012 /PRNewswire/ -- International
Paper Company (NYSE: IP) today announced that it has completed its
acquisition of Temple-Inland Inc. (NYSE: TIN) through the merger of
its wholly owned subsidiary Metal Acquisition Inc. with and into
Temple-Inland. Temple-Inland is now a wholly owned subsidiary
of International Paper. Under the terms of the transaction,
each issued and outstanding share of Temple-Inland common stock has
been converted into the right to receive $32.00 in cash, without interest thereon, and
less any applicable withholding taxes. Including the
assumption of approximately $700
million in Temple-Inland net debt, the total transaction
value is approximately $4.5
billion.
(Logo: http://photos.prnewswire.com/prnh/20020701/IPLOGO )
As a result of the acquisition, Temple-Inland's common stock
will cease trading on the New York Stock Exchange today.
International Paper Chairman and CEO John
Faraci said, "We are very pleased to have completed this
compelling transaction. The combination of International
Paper and Temple-Inland strengthens our North American packaging
business and enhances our ability to generate cash flow while
maintaining our strong balance sheet. We look forward to
working with the employees of Temple-Inland as we successfully
integrate our businesses and create an even stronger company with
substantial benefits for 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) risks and uncertainties associated with the
divestitures required by the U.S. Department of Justice consent
decree that allows the Temple-Inland transaction to proceed; (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.
SOURCE International Paper Company
