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xpedx Business to Acquire Central Lewmar, A U.S. Paper & Packaging Distributor

Press release from the issuing company

MEMPHIS, Tenn., Aug. 13 -- International Paper today announced it has agreed to acquire Central Lewmar LLC, one of the largest privately held paper and packaging distributors in the United States, from Philadelphia-based private equity firm Chrysalis Capital Partners, Inc. for approximately $185 million, subject to customary closing and post-closing conditions. The acquisition is expected to be complete within 30 days.
International Paper's distribution business, xpedx, will operate Central Lewmar as a business unit within its multiple brand strategy. xpedx is one of North America's largest business-to-business distributors.  "This combination is an exciting opportunity for International Paper, xpedx and our customers," said Tom Kadien, International Paper senior vice president and president of xpedx. "The acquisition of Central Lewmar will provide greater access to important customers and improved operating synergies, while meeting our selective reinvestment criteria. We believe the acquisition of a well-respected, customer-focused paper and packaging business like Central Lewmar will enhance the value of our expanding distribution business, and we are pleased that Central Lewmar's management team will remain in place."
"Central Lewmar has a strong reputation for customer service," said Les Stern, Central Lewmar president and chief executive officer. "By joining the xpedx network of 105 distribution centers and more than 140 retail stores in the U.S., Canada and Mexico, the combined business will be well positioned for future growth. As a unit of xpedx, Central Lewmar will continue to deliver outstanding customer service, top quality products, and distribution solutions to customers," he noted.