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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): July 25, 1996
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Stone Container Corporation
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(Exact name of registrant as specified in its charter)
Delaware 1-3439 36-2041256
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(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
150 North Michigan Avenue, Chicago, Illinois 60601
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(Address of principal executive offices) (Zip code)
Registrant's telephone number,
including area code: (312) 346-6600
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N/A
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(Former name or former address, if changed since last report.)
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ITEM 5. OTHER EVENTS
CELGAR PULP MILL
Stone Venepal (Celgar) Pulp, Inc., an indirect
subsidiary of Stone Container Corporation, and CITIC B.C. Inc.,
an indirect subsidiary of China International Trust and
Investment Corporation, have entered into an agreement to create
a new corporation that will own the Celgar pulp mill in
Castlegar, British Columbia. The agreement would establish a new
entity that would own 100 percent of the interest in the mill.
The new entity would be owned 50 percent by CITIC Canada, Inc.,
and 45 percent by Stone Container (Canada) Inc., with the
remaining 5 percent owned by a subsidiary of Venepal S.A.C.A., a
Venezuelan pulp and paper company.
As part of the agreement, CITIC B.C. has agreed to
bring current all interest, fees and expense payments due on its
indebtedness, including reimbursements to Stone for amounts
previously advanced on behalf of CITIC B.C. Lenders to the mill
have also agreed to a six-month moratorium in which to provide
time to work together toward an acceptable restructuring of
indebtedness at the mill, which is non-recourse to its owners.
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Pursuant to the requirements of Securities Exchange Act
of 1934, the Company has duly caused this report to be signed on
its behalf by the undersigned hereunto duly authorized.
STONE CONTAINER CORPORATION
By: /s/ Leslie T. Lederer
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Leslie T. Lederer
Vice President, Secretary
and Counsel
Date: July 25, 1996
