Domtar Celebrates EAM Expansion in Jesup, Georgia

The key terms of the proposed recapitalization transaction are: - Issuance of a new senior secured EUR 250 million bond loan carrying 8.5 % interest with a 2022 maturity to the owners of the EUR 290 million bond loan and the EUR 100 million NSF-facility. The new bond loan will have the same collateral security as today's secured debt. The existing claims of the secured bond loan holders and NSF-lenders in excess of EUR 250 million, including accrued interest, will be converted to equity. - The conversion into equity of all outstanding unsecured bond debt amounting to approximately EUR 500 million including accrued interest. - After such conversions, the equity ownership of Norske Skogindustrier ASA will be split as follows: a. Secured note holders: 91.0 % b. Unsecured noteholders: 6.3 % c. Existing shareholders: 2.7 % - The board will propose an equity offering by Norske Skogindustrier ASA of up to approximately NOK 500 million with preferential rights for existing unsecured bondholders and shareholders, allocated by approximately NOK 300 million to the unsecured bondholders and approximately NOK 200 million to the shareholders. If fully subscribed, this will entail an increase in their ownership interest from 9 % to approximately 28 %. The subscription price will be set at a valuation of 6x the revised 2017 GOE guidance of EUR 75 million. - Warrants will be issued for up to 10 % of the equity in Norske Skogindustrier ASA to those who have subscribed to the above equity offering. The warrants entitle the holders to subscribe for shares if the sum of the group's average net debt and market value exceeds EUR 525 million in a consecutive period of 6 months prior to 30 June 2019. The subscription rights expire worthless on 30 June 2019 if not exercised. Click Read More below for additional detail.

Ahlstrom-Munksjö has decided on two investment projects, totaling EUR 9 million, both with attractive financial returns. This supports Ahlstrom-Munksjö’s strategic ambition to maintain a leading position in selected niches of the global fiber-based solutions market that offer positive growth outlook and are supported by sustainable market drivers. In the Decor business area, the company will invest about EUR 5 million to further enhance the quality of pre-impregnated decor papers produced at its Dettingen plant in Germany. Through the investment, which will be completed by the end of 2018, Ahlstrom-Munksjö will be able to strengthen its leading position in pre-impregnated decor papers. In the Specialties business area, the company will invest about EUR 4 million to rebuild a converting line of sterilization wrap being produced at its Pont Audemer plant in France. The material is e.g. used for protecting medical garments and sterilizing instruments. The investment includes installing a new sheeter and folding line as well as automated wrapping and boxing of the finished goods. Through the investment, which will be completed by the second quarter of 2019, the business will improve its competitiveness through higher efficiency and shorter lead times.

Mactac® Roll Label announces the addition of thinner, more sustainable thermal transfer labeling solutions to its Optiscan® product line-up. The two new products feature facestocks that are 14 percent thinner caliper than current products and Mactac’s recently launched ultra-thin 1.7-mil BLOOM® hi.mpact™ glassine paper liner. Optiscan K features a coated thermal transfer facestock that is 14 percent thinner caliper than current products and uses less paper/coating at only 34 lb. basis weight. Optiscan V has an uncoated, super smooth vellum thermal transfer facestock that is 14 percent thinner caliper than most current products. Mactac’s BLOOM hi.mpact liner reduces the labeling industry’s environmental impact and increases converter/end-user profitability.