EXHIBIT 99.1
WESTVACO COMPLETES ACQUISITION OF IMPAC GROUP, INC.
NEW YORK--(BUSINESS WIRE)--July 11, 2000--Westvaco Corporation
(NYSE: W) today completed its previously announced acquisition of IMPAC Group,
Inc., a leading global supplier of innovative packaging and printing solutions
to consumer markets including entertainment, cosmetics and health and beauty
aids.
"IMPAC significantly broadens our packaging solutions capabilities,
both in terms of geographic reach and product lines," said John A. Luke, Jr.,
Chairman and CEO of Westvaco. "With IMPAC, our portfolio of paperboard packaging
expands, and we add new innovative products made from paperboard and plastic as
well as combinations of the two materials. We see many opportunities to leverage
the combined strengths of our now larger consumer packaging business."
IMPAC is Westvaco's latest initiative to achieve growth in global
packaging. In 1999, following a strategic review, the company created its
Packaging Resources Group. In December it acquired a modern bleached paperboard
mill in Evadale, TX, and in January of 2000, acquired Mebane Packaging Group,
Inc., a leading U.S. supplier of packaging for pharmaceutical, health care and
personal care products.
IMPAC is a leading supplier to North American and European audio and
multimedia entertainment markets and the North American cosmetics and personal
care markets. Its entertainment products include printed paper inserts for CD
and DVD packaging as well as paperboard folding cartons and a wide variety of
specialty packaging for music, home movie and video game products. Cosmetics and
personal care packaging includes paperboard, plastic and windowed folding
cartons and rigid paperboard set-up boxes. IMPAC also produces litho-laminated
fluted packaging for computer software, consumer electronics and specialty
liquors. Examples of IMPAC's proprietary products include its globally licensed
Digipak(R) CD package and its Klearfold(R) plastic folding cartons that can be
printed with high-quality graphics.
IMPAC operates seven production facilities and one fulfillment
center in the United States and a total of 12 production facilities in Austria,
Ireland, the Netherlands and the United Kingdom. Westvaco's other consumer
packaging operations include eight plants in the United States, Brazil, China
and the Czech Republic and seven additional plants in the eastern United States
and Puerto Rico as part of its Mebane operations.
IMPAC has pro forma annual revenues of approximately $332 million
after adjustment for recent acquisitions. Westvaco expects the acquisition to be
immediately accretive to earnings.
Westvaco Corporation (www.westvaco.com), headquartered in New York,
NY, is a major producer of packaging, paper and specialty chemicals. The company
serves customers in more than 70 countries with operations in the United States,
South America, Asia and Europe.
Certain statements in this document and elsewhere by management of
the company that are neither reported financial results nor other historical
information are "forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995.
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Such information includes, without limitation, the business outlook, assessment
of market conditions, anticipated financial and operating results, strategies,
future plans, contingencies and contemplated transactions of the company. Such
forward-looking statements are not guarantees of future performance and are
subject to known and unknown risks, uncertainties and other factors which may
cause or contribute to actual results of company operations, or the performance
or achievements of the company, or industry results, to differ materially from
those expressed, or implied by the forward-looking statements. In addition to
any such risks, uncertainties and other factors discussed elsewhere herein,
risks, uncertainties and other factors that could cause or contribute to actual
results differing materially from those expressed in or implied by the
forward-looking statements include, but are not limited to, competitive pricing
for the company's products; changes in raw materials, energy and other costs;
technological developments; fluctuations in demand and changes in production
capacities; changes in economic growth in the U.S. and international economies,
especially in Asia and Brazil; government policies and regulations, including
but not limited to those affecting the environment and the tobacco industry;
and currency movements.
CONTACT:
Westvaco Corporation
New York Media Contact:
William P. Fuller III, 212/318-5250
or Investor Relations Contact:
Roger A. Holmes, 212/318-5288
