SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): June 15, 1995
JAMES RIVER CORPORATION OF VIRGINIA
(Exact name of registrant as specified in its charter)
Virginia
(State or other jurisdiction of incorporation)
1-7911 54-0848173
(Commission File Number) (IRS Employer Identification Number)
120 Tredegar Street, Richmond, Virginia 23219
(Address of principal executive offices, including zip code)
Registrant's telephone number, including area code: (804) 644-5411
Item 5. Other Events.
On June 16, 1995, James River Corporation of
Virginia ("James River") published a press release
announcing that a Registration Statement was filed on June 15, 1995,
with the Securities and Exchange Commission by Crown Paper Co.
for the proposed issuance of $250 million of debt securities. James
River has formed two new wholly owned subsidiaries, Crown Paper Co.
and Crown Vantage Inc., to effect the spinoff of a substantial part
of its Communications Papers Business and the specialty paper-based
portion of its Food & Consumer Packaging Business. The spin-off
transaction is currently expected to be completed in late summer.
A copy of the press release is filed herewith as Exhibit 99.
Item 7. Financial Statements and Exhibits.
(c) Exhibits:
99 Press release dated June 16, 1995, published by the
registrant -- filed herewith
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.
JAMES RIVER CORPORATION OF VIRGINIA
By:/s/James R. Hudson, Jr.
James R. Hudson, Jr.
Vice President, Corporate Controller
Date: June 20, 1995
EXHIBIT 99
News Release: Immediate Contact: Richard B. Elder (Media)
(804)343-4785
Celeste Gunter (Financial)
(804) 649-4307
REGISTRATION STATEMENT FOR DEBT SECURITIES FILED FOR JAMES RIVER SPIN-OFF
RICHMOND, VIRGINIA, June 16, 1995 -- James River
Corporation announced today that a Registration Statement on Form
S-1 has been filed with the Securities and Exchange Commission by
Crown Paper Co. for the proposed issuance of $250 million of debt
securities.
James River has formed two new wholly owned subsidiaries,
Crown Paper Co. and Crown Vantage Inc., in connection with the
spin-off of a substantial part of its Communications Papers
Business and the specialty paper-based portion of its Food &
Consumer Packaging Business. The spin-off transaction is
currently expected to be completed in late summer.
Crown Vantage will be a holding company, owning all of the
capital stock of Crown Paper. Crown Paper will be the new
operating company. In connection with the spin-off, James River
will transfer the assets and liabilities of the spun-off
operations to Crown Paper.
It is anticipated that Crown Paper will initially incur
$500 million in long-term debt, including the $250 million of
debt securities and $250 million of borrowings under a bank
credit facility. The net proceeds from these financings are
planned to be paid to James River as a return of its capital
investment. Crown Vantage is also expected to issue $100 million
of notes to James River.
Following the completion of financing activities, James
River will distribute to its shareholders, on a pro rata basis,
all of the outstanding stock of Crown Vantage. At that time,
Crown Vantage will be a separately traded entity. On a pro forma
basis, Crown Vantage had net sales of $874 million in 1994 and
$261 million in the first quarter of 1995.
In total, James River expects to receive $480 million in
cash plus the $100 million of notes as a result of the spin-off
transaction. James River plans to use the cash proceeds to pay
down its existing long-term debt.
James River Corporation, headquartered in Richmond,
Virginia, is a leading manufacturer and marketer of consumer
products, food and consumer packaging and communications papers.
These product lines include leading brands such as QUILTED
NORTHERN bathroom tissue, BRAWNY paper towels, DIXIE paper cups
and plates, QUILT-RAP sandwich wrap, QWIK WAVE microwave
packaging, EUREKA! recycled copy paper and WORD PRO copy paper.
In addition, the company produces a number of popular European
brands for the towel and tissue market. James River has a
current annual sales rate of $6.3 billion, before the effect of
the spin-off.
Today's news release, along with past releases from James River,
is available by fax, at no charge, by calling PR Newswire's
Company News On Call at (800) 758-5804, ext. 457350.
