SAN FRANCISCO, - Paperloop.com, the premier global information and business exchange for the paper, printing and converting industries, and PacificNet Holding Corp., parent of ChinaPaperOnline.com, the leading, bilingual e-commerce portal for the China paper market, today announced they have reached an agreement in principle to form a strategic alliance. Under the terms of the proposed agreement, the alliance will initially involve the exchange of editorial content between the two websites and, at a later date, development of e-commerce services between China and the rest of the world. Paperloop will receive news and information from ChinaPaperOnline's editors in Beijing, and ChinaPaperOnline members in China and Southeast Asia will be able to access selected news articles in Chinese from paperloop's and Miller Freeman's extensive publication resources, including Pulp & Paper Week and paperloop daily news from around the world. ChinaPaperOnline will also be developing a "Technology Center" on its website for pulp and paper mill managers in China. The center will feature technical and operational content translated from paperloop's leading industry magazines: Pulp and Paper, PPI and Pulp & Paper Asia. "This is a very exciting opportunity for us and the global paper, printing and converting industry," said Tim Fazio, paperloop president and CEO. "The new alliance will enable international pulp and paper producers and suppliers of new and used equipment and chemicals to more easily and cost effectively reach buyers in one of the world's leading paper markets." Fazio points out that according to PPI magazine, China is currently the second largest paper consumer and third largest paper producer in the world. In 1998, China consumed nearly 33 million tons of paper and paperboard and produced nearly 28 million tons. By 2010 the China Paper Assn. has estimated that China's annual consumption could reach 65 million tons, while domestic production will be around 40 million tons -– a huge gap that will have to be filled by imports. "The future for doing business on the Internet in China is tremendous," emphasized Jimmy J. Lu, president of PacificNet. "When you consider that more and more mill managers and buyers are using it to make transactions with the fact that China and Southeast Asia are the fastest growing regions in the world for pulp and paper production and consumption, the potential is staggering." The new alliance will also provide paperloop with the services of an experienced staff of pulp and paper traders in China who can offer industry professionals a variety of specialized customer services, such as assistance with logistics and government regulations. PacificNet also has firm commitment and support from China's Xinhua news agency and other media covering China's paper, forest products and packaging industry. Meanwhile, PacificNet customers will have access to paperloop's extensive pricing and information resources. In addition, paperloop and PacificNet will be organizing a "China Paper Industry Summit," a management conference covering implications of China's entry into the WTO (World Trade Organization) and what this will mean for exports to China and investment opportunities in its paper industry. The conference is scheduled for the spring of 2001 in Beijing and is targeted to senior Chinese and international paper industry executives, Chinese government officials, investment bankers, management consultants and industry suppliers. Under the terms of the proposed agreement, paperloop will be supplying editorial, advertising and marketing services to PacificNet in exchange for an equity interest in the company. The agreement is expected to be finalized in October. PacificNet has offices in New Jersey and Beijing, China. About paperloop Paperloop.com is the premier information and business exchange for the global paper, printing and converting industries. A newly established joint venture, paperloop.com combines the breadth and depth of Miller Freeman's extensive industry content, contacts, and conference resources–including Pulp & Paper and Pulp & Paper International–with the financial backing and investment expertise of Pegasus capital. This combination enables paperloop.com to deliver timely information to its site visitors, enabling them to make better-informed buying decisions. The company directs its existing publishing, conference, trade show and Internet ventures from its San Francisco headquarters, providing a complete range of transactional and information services for manufacturers, suppliers, printers, converters, the financial community and end-users across multiple mediums including the Internet, print publications, conferences and trade shows.