International Paper Prices $2.3 Billion of Senior Unsecured Notes

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 [email protected] 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

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