SOURCE: Port Townsend Paper Corporation

August 14, 2007 19:03 ET

Port Townsend Paper Corporation Announces Confirmation of Plan of Reorganization

PORT TOWNSEND, WA--(Marketwire - August 14, 2007) - Port Townsend Paper Corporation ("the Company") announced today that the Bankruptcy Court for the Western District of Washington under supervision of Judge Samuel J. Steiner confirmed its restructuring plan and now has an effective date of August 27th. There were no objections raised and the creditors voted overwhelmingly to approve the plan. "This action will allow the Company to complete the restructuring process and move forward," said Emmett Bergman, the Company's interim CFO.

"We want to recognize the hard work of our restructuring team led by Gayle Bush and Emmett Bergman, Katy Samiljan, the teams from Akin Gump, Alverez and Marsal, and Jefferies," said John Begley, President and CEO.

The plan includes paying creditors claims, liens and contract cures within 5 business days of the effective date.

Copies of court documents filed in connection with the Chapter 11 cases are available via the Court's website at www.wawb.uscourts.gov. Please note that a PACER password is required to access the documents via the Court's website.

The Port Townsend Paper family of companies employs approximately 800 people and annually produces more than 320,000 tons of unbleached Kraft pulp, paper and linerboard at its mill in Port Townsend, Washington. The Company also manufactures approximately 1.8 billion square feet of corrugated products annually at its three Crown Packaging Plants and two BoxMaster Plants located in British Columbia and Alberta. For more information on Port Townsend Paper Corporation, please see the Company's websites at www.ptpc.com and www.crownpackaging.com.

Some of the statements in this press release are forward-looking statements. Forward-looking statements include statements about our future financial condition, our industry and our business strategy. Statements that contain words such as " will", "should", "anticipate", "believe", "expect", "intend", "estimate", "hope" or similar expressions, are forward-looking statements. These forward-looking statements are based on the current expectations of Port Townsend Paper Corporation, its parent, PT Holdings Company, Inc. and all of its subsidiaries. Because forward-looking statements involve inherent risks and uncertainties, the plans, actions and actual results Port Townsend Paper Corporation, PT Holdings Company, Inc. and its subsidiaries, could differ materially. Among the factors that could cause plans, actions and results to differ materially from current expectations include the following: the impact of general economic conditions; containerboard and corrugated products general industry conditions, including competition, product demand and product pricing; fluctuation in wood fiber and recycled fiber costs; fluctuations in purchased energy costs; and legislative or regulatory requirements, particularly concerning environmental matters.

Contact Information

  • Contact:
    Charles Madison
    Vice President, Human Resources
    Port Townsend Paper Corporation
    (360) 379-2155