Appleton, Wisconsin, USA, 25 January 2010 -- Appleton Papers Inc. announced today that it intends to offer USD 300 million in aggregate principal amount of senior secured notes due 2015 in a private offering to “qualified institutional buyers” as defined in Rule 144A under the Securities Act of 1933, as amended, and outside the United States in reliance on Regulation S under the Securities Act.
The notes will be senior secured obligations of Appleton, secured by a first priority lien on certain of the property and assets of Appleton subject to various exceptions and permitted liens. The notes will be guaranteed by Paperweight Development Corp. and certain of Appleton’s existing and future subsidiaries. The proceeds from the offering, together with borrowings under Appleton’s new revolving credit facility, will be used to repay amounts outstanding under Appleton’s existing credit facilities and to pay related fees and expenses.
The notes have not been and will not be registered under the Securities Act or any state securities laws, may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements, and will therefore be subject to substantial restrictions on transfer.
Appleton creates product solutions through its development and use of coating formulations, coating applications, and encapsulation technology. Appleton produces carbonless, thermal, security, and performance packaging products. Appleton, headquartered in Appleton, Wisconsin, has manufacturing operations in Wisconsin, Ohio, Pennsylvania, and Massachusetts; employs approximately 2200 people; and is 100% employee-owned. For more information, visit www.appletonideas.com.