SPOKANE, Wash.--(BUSINESS WIRE)--
Clearwater Paper Corporation (NYSE:CLW) today announced that its
Board of Directors has declared a 2-for-1 split of its common stock. The
split will be effected in the form of a stock dividend payable on August
26, 2011, to shareholders of record on August 12, 2011. Shareholders
will receive one additional share for each share of common stock held on
the record date.
As of today, there are approximately 11,519,260 shares of the company's
common stock outstanding. Immediately following the distribution of the
stock dividend, there will be approximately 23,038,520 shares of the
company's common stock outstanding.
"The Board's action conveys its confidence in the long-term prospects
for Clearwater Paper and is a recognition of the significant
appreciation in the company's stock price since our spinoff," said
Gordon L. Jones, chairman, president and chief executive officer.
"Additionally, we hope the stock split will improve the company's stock
liquidity."
Clearwater Paper also announced today that its Board of Directors has
authorized the repurchase of up to $30 million of the company's common
stock from time to time. Under the stock repurchase program, Clearwater
Paper may repurchase shares in the open market or as otherwise may be
determined by management, subject to market conditions, business
opportunities, and other factors.
"We expect to use the stock repurchase program to help offset dilution
from the issuance of shares under the company's equity incentive plan
and to return value to our stockholders. Our strong balance sheet gives
us the flexibility to continue to execute our growth strategies while we
implement the stock repurchase program," said Jones.
The company may enter into Rule 10b5-1 plans to facilitate repurchases
under the stock repurchase program. The company has no obligation to
repurchase shares under this program and may suspend or terminate the
program at any time. The company intends to finance any repurchases with
cash on hand.
ABOUT CLEARWATER PAPER
Clearwater Paper manufactures quality consumer tissue, away-from-home
tissue, parent roll tissue, machine glazed tissue, bleached paperboard,
pulp and wood products at 15 manufacturing locations in the U.S. and
Canada. The company is a premier supplier of private label tissue to
major retailers and wholesale distributors, which include grocery, drug,
mass merchants and discount stores. The company also produces bleached
paperboard used by quality-conscious printers and packaging converters.
Clearwater Paper's more than 4,000 employees build shareholder value by
developing strong customer partnerships through quality and service.
FORWARD-LOOKING STATEMENTS
This press release contains certain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995, as
amended, including statements regarding the long-term prospects for
Clearwater Paper, improvements to the company's stock liquidity
following the stock split, the expected number of shares to be
outstanding following the stock split, the dollar value of shares
repurchased through the stock repurchase program, the condition of our
balance sheet and the execution of our growth strategies. These
forward-looking statements are based on current expectations, estimates,
assumptions and projections that are subject to change, and actual
results may differ materially from the forward-looking statements.
Factors that could cause actual results to differ materially include,
but are not limited to, fluctuations and volatility in the company's
stock price; risks and uncertainties arising from difficulties with the
integration process or the realization of the benefits expected from the
acquisition of Cellu Tissue; the company's ability to complete its new
facilities; customers' product preferences; market acceptance of product
price increases and competitive pricing pressure for the company's
products; changes in the United States and international economies;
changes in raw material and energy costs; cyclical industry conditions;
loss of a large customer; changes in the Alternative Fuel Mixture Tax
Credit or Cellulosic Biofuel Producer Credit regulations and the
company's eligibility for such tax credits; changes in transportation
costs and disruptions in transportation services; unanticipated
manufacturing disruptions; changes in general and industry-specific laws
and regulations; unforeseen environmental liabilities or expenditures;
labor disruptions; and other risks and uncertainties described from time
to time in the company's public filings with the Securities and Exchange
Commission. The forward-looking statements are made as of the date of
this press release and the company does not undertake to update any
forward-looking statements.
For additional information on Clearwater Paper, please visit our
website at www.clearwaterpaper.com.
Clearwater Paper Corporation
Matt Van Vleet, 509-344-5912 (News
Media)
Linda Massman, CFO, 509-344-5905
or
IR Sense
Sean
Butson, 509-344-5906 (Investors)
Source: Clearwater Paper Corporation
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