MEMPHIS, Tenn., Aug. 2, 2016 /PRNewswire/ -- International Paper
Company (NYSE: IP) today announced that it has priced $1.1 billion of 3.000% senior unsecured notes due
2027 and $1.2 billion of 4.400%
senior unsecured notes due 2047. The 2027 and 2047 notes were
issued at a public offering price of 99.624% and 99.899%,
respectively. The offering was made pursuant to an effective shelf
registration statement.
International Paper intends to use the net proceeds from this
offering, together with available cash, in management's discretion,
to pay the purchase price of its proposed acquisition of
Weyerhaeuser Company's pulp business, to fund contributions to its
pension plan in the approximate amount of $500 million, to repay or repurchase certain of
its outstanding debt securities through open market repurchases,
redemption or otherwise or for general corporate purposes.
International Paper also intends to use borrowings under committed
credit facilities to fund a portion of the purchase price of the
proposed acquisition.
Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, SMBC
Nikko Securities America, Inc., BBVA Securities Inc., Credit
Agricole Securities (USA) Inc.,
Regions Securities LLC, Merrill Lynch, Pierce, Fenner & Smith
Incorporated, BNP Paribas Securities Corp., Citigroup Global
Markets Inc. and DNB Markets, Inc. acted as joint book-running
managers for the offering. Copies of the prospectus supplement and
accompanying prospectus, when available, may be obtained by
contacting Deutsche Bank Securities Inc., 60 Wall Street,
New York, NY 10005, Attention:
Debt Capital Markets Syndicate, by emailing Prospectus.CPDG@db.com
or by calling (800) 503-4611, or J.P. Morgan Securities LLC, 383
Madison Avenue, New York, NY
10179, Attention: Investment Grade Syndicate Desk, 3rd Floor or by
calling (212) 834-4533. This release does not constitute an offer
to sell or the solicitation of an offer to buy, nor shall there be
any sale of these securities in any state or jurisdiction in which
such an offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction.
About International Paper
International Paper (NYSE:
IP) is a leading global producer of renewable fiber-based
packaging, pulp and paper products with manufacturing operations in
North America, Latin America, Europe, North
Africa, Asia and
Russia. We produce packaging products that enable world-wide
commerce; pulp for diapers, tissue and other personal hygiene
products; papers that drive communication; paper bags that carry
groceries; and paper cups and food containers. We are headquartered
in Memphis, Tenn., and employ
53,000 colleagues located in more than 24 countries. Net
sales for 2015 were $22
billion. For more information about International
Paper, its products and global citizenship efforts, please visit
internationalpaper.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) International
Paper's ability to finance and complete the proposed acquisition of
Weyerhaeuser NR Company's pulp business; (ii) International Paper's
ability to realize the expected benefits of its proposed
acquisition of Weyerhaeuser NR Company's pulp business; (iii) the
level of International Paper's indebtedness and increases in
interest rates; (iv) industry conditions, including but not limited
to changes in the cost or availability of raw materials, energy and
transportation costs, competition International Paper faces,
cyclicality and changes in consumer preferences, demand and pricing
for International Paper's products; (v) 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 International Paper's future pension funding
obligation, changes in tax laws and pension and health care costs;
(vi) unanticipated expenditures related to the cost of compliance
with existing and new environmental and other governmental
regulations and to actual or potential litigation; (vii) whether
International Paper experiences a material disruption at one of its
manufacturing facilities; (viii) risks inherent in conducting
business through a joint venture; and (ix) International Paper's
ability to achieve the benefits it expects from strategic
acquisitions, including the proposed acquisition of Weyerhaeuser NR
Company's pulp business, 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 International Paper's Securities and
Exchange Commission filings. International Paper undertakes no
obligation to publicly update any forward-looking statements,
whether as a result of new information, future events or
otherwise.
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SOURCE International Paper