Atlanta, Georgia, USA, 05 August 2009 -- /PRNewswire/ -- Caraustar Industries, Inc. (OTC: CSARQ) announced that the United States Bankruptcy Court for the Northern District of Georgia has confirmed the Debtors' First Amended Joint Plan of Reorganization dated 30 June 2009, as supplemented by the Plan Supplement dated and filed 17 July 2009, and the Annex to the Plan Supplement dated and filed 29 July 2009. The Debtors filed for bankruptcy on 31 May 2009.
The Plan was approved by all impaired classes, including 94.9% of the holders of the Senior Notes and 90.1% of equity holders who voted for the Plan.
Michael J. Keough, president and chief executive officer, stated: "We are appreciative of the support of our customers, employees, vendors, advisors, and other stakeholders, whose collective support helped us navigate these Court proceedings efficiently. We expect to emerge from these Court proceedings with a strong balance sheet, the Caraustar brand name intact, and the ability to continue to focus on becoming first choice for each and every one of our customers."
The Plan will become effective and Caraustar will emerge as a private company once all conditions to the Plan are satisfied.
Caraustar Industries, Inc. is one of North America's largest integrated manufacturers of 100% recycled paperboard and converted paperboard products. The company is a socially responsible corporation, is committed to environmentally sound practices, and is dedicated to providing customers with outstanding value through innovative products and services. Caraustar has developed its leadership position in the industry through diversification and integration from raw materials to finished products. Caraustar serves the four principal recycled boxboard product end-use markets: tubes and cores; folding cartons; gypsum facing paper and specialty paperboard products. For additional information on Caraustar, visit www.caraustar.com.