SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
Current Report Pursuant to Section 13 or 15(d) of
The Securities Act of 1934
Date of Report: November 29, 1999
WESTVACO CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE 1-3013 13-1466285
(State or other (Commission (I.R.S. Employer
jurisdiction File Number) Identification No.)
of incorporation)
299 PARK AVENUE, NEW YORK, NEW YORK 10171
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code
(212) 688-5000
Item 5. Other Events.
See Exhibit 99 to this Form 8-K
Item 7. Financial Statements, Pro Forma Financial
Information and Exhibits.
(c) Exhibits.
Exhibit 99 Westvaco Corporation Press Release
issued November 29, 1999
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.
WESTVACO CORPORATION
By
John C. Carrara
Assistant General Counsel and Assistant
Secretary
December 3, 1999
EXHIBIT INDEX
Exhibit 99 - Westvaco Corporation Press Release issued
November 29, 1999
FormType: 8-K
Exhibit 99. Additional Exhibits
Media Contacts: William P. Fuller III
(212) 318-5250
Donna Bodden
(212) 318-5258
Investor Relations Contact: Roger A. Holmes
(212) 318-5288
FOR IMMEDIATE RELEASE:
WESTVACO TO ACQUIRE MEBANE PACKAGING GROUP, INC.
Action significantly increases Westvaco's participation in premium
packaging markets
NEW YORK, NY, NOVEMBER 29, 1999 -- Westvaco Corporation (NYSE:W)
today announced a definitive agreement to acquire Mebane Packaging
Group, Inc., a leading supplier of packaging for pharmaceutical
products and personal care items with more than $130 million in
annual sales. Terms of the transaction were not disclosed.
Subject to regulatory review, the sale is scheduled to close by the
end of the calendar year.
"Increasing our participation in premium consumer packaging
markets, particularly the pharmaceutical and personal care
segments, is a prime strategic direction for us," said John A.
Luke, Jr., Chairman and CEO. "Mebane is the leading domestic
supplier to many major multinational companies in these market
segments, which are particularly attractive because of their size
and significant growth potential. Mebane will be an outstanding
operational fit with our existing consumer packaging operations.
We expect the acquisition to become accretive to our earnings
within the second year of our ownership."
Mr. Luke said the decision to purchase Mebane is the latest action
to result from Westvaco's strategic review process, which began
earlier this year. In September, the company announced that it
would reorganize its packaging-related businesses to create a
single business unit called the Packaging Resources Group (PRG).
The PRG provides an attractive platform to increase Westvaco's
participation in worldwide packaging markets through internal
growth and acquisitions. In October, Westvaco announced its intent
to purchase Temple-Inland Inc.'s bleached paperboard mill in
Evadale, TX. That transaction is scheduled to close in December.
"Packaging markets in the United States and elsewhere in the world
offer some of our most promising business opportunities," said Mr.
Luke. "We already have industry-leading paperboard and converted
packaging products. Mebane's current customer base does not
overlap with our existing consumer packaging business.
Furthermore, this acquisition presents us with excellent
opportunities to leverage our existing research, product
development and manufacturing strengths, while offering the
potential for synergies and cost savings."
Commenting on the sale, George F. Krall, President and CEO of
Mebane, said, "In order to thrive in the current business
environment, we believe that now is the best time for us to extend
our partnership perspective and join with a premium, world-class
company who shares our values and beliefs and vision for the
future. We are making this decision from a position of strength
and confidence in the continued growth and success of our
business."
Mebane is a privately held business headquartered in Mebane, NC,
with seven packaging plants located in Greenville, MS, Garner and
Mebane, NC, Chatham and Kearny, NJ, Memphis, TN, and Caguas, Puerto
Rico. Mebane employs about 900 people. Westvaco operates eight
consumer packaging plants located in the eastern United States, the
Czech Republic and Brazil.
Westvaco Corporation (www.westvaco.com), headquartered in New York,
NY, is a major producer of paper, packaging and specialty chemicals
with annual sales of $2.8 billion. The company derives 24 percent
of its revenues from international sales involving customers in
more than 70 countries. Westvaco's assets include wholly-owned
operations in the United States, Brazil, the Czech Republic, a
joint venture in China and 1.45 million acres of timberland in the
United States and Brazil.
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.
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; impact of Year 2000
issues; fluctuations in demand and changes in production
capacities; changes to 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.
