Georgia-Pacific Completes Deal for Alabama River and Alabama Pine Pulp Mills

Aug. 2, 2010 - Georgia-Pacific said that it has completed the acquisition of the Alabama River and Alabama Pine pulp mills located in Perdue Hill, Alabama, from Parsons & Whittemore. The purchase also includes Alabama River Woodlands, the tall oil plant, the biodiesel plant, the chip mills at Elba and Jackson's Gap, Ala., and a pulpwood yard at Demopolis, Ala.

Terms of the deal were not disclosed.

GP Cellulose will operate the pulp facilities as a single Alabama River Cellulose mill, continuing to run both production lines manufacturing hardwood and softwood pulps. As announced earlier, a fluff conversion project currently under way will continue.

"We are excited about the completion of this acquisition and look forward to integrating the Alabama River Group operations into our GP Cellulose business," said Pat Boushka, president GP Cellulose.

"This is a great operation that will complement our existing mills. Our goal is for a seamless transition and we are confident this strategic investment will add long-term value for our business, our customers and the communities where we operate," Boushka said.

GP Cellulose is a non-integrated supplier of market and fluff pulp to global markets, with state-of-the-art pulp mills in Brunswick, Georgia, and New Augusta (Leaf River), Mississippi. Business offices are located in Atlanta; Zug, Switzerland; Montevideo, Uruguay; Hong Kong and Shanghai, China.

GP Cellulose's Brunswick and Leaf River mills produce an array of pulp grades, which are delivered to every region of the world for a wide variety of end uses and converting technologies.

SOURCE: Georgia-Pacific

See related story:
GP Agrees to Purchase Alabama River and Alabama Pine Pulp Mills (6/2/2010)

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