Caraustar Industries Completes Sale of Sprague Paperboard
July 20, 2006 - Caraustar Industries, Inc. yesterday said that it completed the sale of the assets of Sprague Paperboard, Inc., located in Versailles, Connecticut, to Cascades Inc.
The coated recycled paperboard mill was sold for US$14.5 million, Caraustar said.
In conjunction with the sale, Caraustar executed a long-term supply agreement with Cascades to supply coated recycled boxboard (CRB) to Caraustar's folding carton plants.
Michael J. Keough, president and chief executive officer of Caraustar, stated, "The completion of this transaction marks another achievement for Caraustar in moving ahead with its previously announced plans to focus on businesses in which we have greater strengths and opportunities to grow. This includes expanding our leadership position in the production of lightweight gypsum facing paper, continuing to develop innovative products such as our recently announced weather resistant Kolumn Form(TM) and working closely with our folding carton and specialty product customers to meet their value-added product needs."
SOURCE: Caraustar Industries, Inc.