International Paper Hosts Investor Day Conference

Company Highlights Path to $5 Billion EBITDA

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May 24, 2012, 02:00 ET

MEMPHIS, Tenn., May 24, 2012 /PRNewswire/ -- International Paper (NYSE: IP) hosted its Investor Day conference in New York City today as Chairman and CEO John Faraci outlined the company's global business strategy and cash flow potential for the coming years. As the leading global provider of paper and packaging, the company detailed plans for growing its free cash flow. "The way we measure the success of our transformation is our profitability," said Faraci. "The transformation that we have made as a company over the last eight years has allowed us higher, more sustainable and less cyclical margins. The company is well-positioned in attractive markets with low-cost assets that can generate strong free cash flow and returns that exceed our cost-of-capital. Most importantly, we have the leadership and global talent to execute and drive results."

(Logo: http://photos.prnewswire.com/prnh/20020701/IPLOGO )

The company says it has significant earnings runway with the current portfolio and will continue to build leading positions in fiber-based paper & packaging segments in high-growth markets, as increasing cash generation enables both reinvestment and return of capital to 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, Tenn., the company employs approximately 70,000 people and is strategically located in more than 24 countries serving customers worldwide. International Paper net sales for 2011 were $26 billion. Temple-Inland Inc., which was acquired in February 2012, had 2011 net sales of $4 billion. For more information about International Paper, its products and stewardship efforts, visit internationalpaper.com.

Forward-Looking Statements

Certain statements in this 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; (vi) risks inherent in conducting business through a joint venture; (vii) risks and uncertainties associated with the divestitures required by the U.S. Department of Justice consent decree that allowed the Temple-Inland Inc. ("Temple-Inland") transaction to proceed; (viii) the failure to realize synergies and cost savings from the Temple-Inland transaction or delay in realization thereof; and (ix) 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 our 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