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Verso Paper Corp. Announces Public Offering of Shares
Memphis, Tennessee, USA, 14 May 2008 -- (BUSINESS WIRE) -- Verso Paper Corp. (NYSE:VRS) today announced that the initial public offering of 14,000,000 shares of its common stock has been priced at USD 12.00 per share. All of the shares are being sold by Verso Paper.

In addition, Verso has granted the underwriters a 30-day option to purchase an additional 2,100,000 shares of common stock. Verso intends to use the net proceeds from the offering to repay a total of USD 153.3 million of debt and related prepayment fees. The debt to be repaid by Verso consists of the USD 4 million outstanding under the revolving credit facility, the USD 10 million outstanding under the senior secured term loan of Verso Fiber Farm LLC, and USD 137.9 million of the USD 250 million outstanding under the senior unsecured term loan of Verso Paper Finance Holdings LLC and a related USD 1.4 million prepayment fee.

Credit Suisse Securities (USA) LLC and Citigroup Global Markets Inc. acted as joint bookrunning managers for the offering, and Deutsche Bank Securities Inc., J.P. Morgan Securities Inc., Lehman Brothers Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, Morgan Stanley & Co. Incorporated and Utendahl Capital Partners, L.P. acted as co-managers.

A registration statement relating to the offering was filed with and declared effective by the Securities and Exchange Commission. The offering is being made solely by means of a prospectus. A copy of the prospectus may be obtained by calling toll-free Credit Suisse Securities (USA) LLC at 1-800-221-1037 or Citigroup Global Markets Inc. at 1-800-851-9146.

Based in Memphis, Tennessee, Verso Paper is a leading North American producer of coated papers, including coated groundwood and coated freesheet, and supercalendered products. Verso's paper products are used primarily in media and marketing applications, including magazines, catalogs, and commercial printing applications such as high-end advertising brochures, annual reports, and direct-mail advertising. Additional information about Verso is available at www.versopaper.com.

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