Atlanta, Georgia, USA, 21 May 2007 -- /PRNewswire/ -- Caraustar Industries, Inc. (NASDAQ:CSAR), today announced the formation of a strategic alliance with Mayers Fibre Tube and Cores of Winnipeg, Manitoba, Canada, for the marketing and manufacture, sale, and distribution of concrete column forms in the southeast United States.

Mayers has supplied construction products for Florida, Georgia, Alabama, and the Carolinas for more than 30 years. Steve Kelchen, vice president of Caraustar's Converted Products Group, stated, "With the strengthening of the Canadian dollar and the rising cost of energy it makes sense for Caraustar and Mayers to join forces to service Mayers' large customer base in these areas. This alliance will bring together Mayers' excellent manufacturing capabilities and strong customer base with Caraustar's fully integrated, strategically located plants."

Ben Clarke, president of Mayers, commented, "We look forward to working with Caraustar and this strategic alliance will enable us to better service our customers who will benefit from being able to be supplied locally." Clarke further commented, "The change for our customers will be completely seamless, and we will continue to provide the high quality of private brand labeling products and excellence in customer service."

Caraustar, a recycled paperboard and packaging company, is one of the world's largest integrated manufacturers of converted recycled paperboard 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, cores and composite cans; folding cartons; gypsum facing paper and specialty paperboard products. For additional information on Caraustar, please visit the company's website at www.caraustar.com.

Source: Caraustar Industries, Inc.