International Paper Announces Definitive Distribution Ratio for the Spinoff of Its xpedx Distribution Business
June 20, 2014 (Press Release - CORRECTED version) - International Paper (NYSE: IP) today announced the definitive distribution ratio for the spinoff of its distribution solutions business, xpedx. Subject to the satisfaction of certain conditions, International Paper stockholders will receive on the distribution date, July 1, 2014, 0.01909025 shares of Veritiv Corporation ("Veritiv") common stock (NYSE: VRTV) for each share of International Paper common stock they owned as of 5:00 p.m., New York City time, on June 20, 2014, the record date set by International Paper's board of directors.
International Paper shareholders will not receive fractional shares of Veritiv common stock. Instead, fractional shares of Veritiv common stock will be aggregated and sold in the open market, with the net proceeds distributed pro rata in cash payments to the International Paper shareholders who would otherwise receive a fractional share of Veritiv common stock.
The closing of the spinoff of International Paper's distribution business, xpedx, and the subsequent merger with UWW Holdings, Inc., the parent company of Unisource Worldwide, Inc., are scheduled to occur on July 1, 2014. Veritiv common stock began trading on a "when-issued" basis on the NYSE under the symbol "VRTV WI" on June 18, 2014. On July 2, 2014, "regular way" trading under the symbol "VRTV" is expected to begin. The CUSIP number for the Veritiv common stock will be 923454 102 when regular way trading begins.
International Paper is a global leader in packaging and paper with manufacturing operations in North America, Europe, Latin America, Russia, Asia and North Africa. Its businesses include industrial and consumer packaging and uncoated papers. To learn more, please visit: internationalpaper.com.
SOURCE: International Paper