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Author Topic: LP - GP Mill trade  (Read 1561 times)

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Offline Texas Ranger

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LP - GP Mill trade
« on: August 07, 2002, 08:04:30 AM »
GEORGIA-PACIFIC TO DIVEST ORIENTED STRAND BOARD FACILITY IN MAINE; ADD PLYWOOD FACILITIES IN LOUISIANA AND TEXAS

Georgia-Pacific has reached a definitive agreement to acquire four Louisiana-Pacific Corp. (LP) plywood-manufacturing facilities and one medium density fiberboard facility located in Louisiana and Texas. G-P will divest to LP oriented strand board (OSB) and chip-n-saw facilities at Woodland, Maine.

The transaction will be an asset exchange, and will allow Georgia-Pacific to acquire plants that geographically complement our existing structural panels manufacturing and distribution capabilities.

Production at the Georgia-Pacific Woodland, Maine, OSB facility will be suspended next month- The plant and the currently shutdown chip-n-saw will be transferred to LP in a position so they may be restarted if and when LP may determine.
Two of the four plywood facilities we are acquiring are located at Cleveland, Texas, and Logansport, La., and are expected to continue operating, with production increasing over time.

Of the remaining facilities, one plywood plant and the medium density fiberboard plant are located at Urania, La. Both of these facilities will be idled. LP will proceed with the previously annoU11ced closure' of the plywood facility located at Bon Wier, Texas. T11ese three facilities will remain in position to be restarted as conditions dictate.

Closing of the transaction is scheduled for mid-September and is subject to completion of due diligence.


The Ranger, home of Texas Forestry


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