Memphis, Tennessee, USA, 21 May 2008 --(BUSINESS WIRE)-- Buckeye Technologies Inc. (NYSE:BKI) today announced that it has called for redemption before their maturity of USD 15 million in aggregate principal amount of its outstanding 8.0% Senior Subordinated Notes due 2010 and will redeem them on 20 June 2008, in accordance with their terms.

Upon completion of this redemption, USD 115 million of the 2010 Notes will remain outstanding. A formal notice of redemption has been sent separately to the affected holders of the 2010 Notes, in accordance with the terms of the indenture for the 2010 Notes. Buckeye plans to finance this redemption using its USD 200 million senior secured revolving credit facility, which was put in place 25 July 2007.

Buckeye, a leading manufacturer and marketer of specialty fibers and nonwoven materials, is headquartered in Memphis, Tennessee. The company currently operates facilities in the United States, Germany, Canada, and Brazil. Its products are sold worldwide to makers of consumer and industrial goods.