Chillicothe Paper Mill - Timeline

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Chillicothe Paper Mill - Timeline

• Prior to 2001 Mead Corporation 110 years
• 2002 Mead and Westvaco merge (MeadWestvaco)
• 2005 May 2nd 5 mills sold to Cerberus to form
  NewPage (Chillicothe, Escanaba, Rumford, Luke,
  Wickliffe)
• 2005 June 2nd announce strategic
  alternatives
• 2006 April 3rd sale to Glatfelter

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Strategic Alternatives

• Alternative 1
• Sale to a Strategic Buyer
• Alternative 2
• Sale to Employees (ESOP)
• Alternative 3
• Restructure and stay with NewPage

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Buyout Activities

• Labor and Management working collaboratively
  towards
• a self-owned vision
• Ohio Employee Ownership Center (KSU) supporting
  Committee
• Overview meetings with employees held explaining
  ESOPs
• ESOP Buyout Committee created
• Grassroots employee effort out ahead of
  Cerberus/NewPage
• Mill-wide employee meetings
• ESOP newsletter biweekly to all employees
• Refined Business Plan under ESOP model
• Pre-feasibility Consultant hired
• Counsel retained to assist in ESOP creation
  negotiation of agreement with NewPage
• Investment bank engaged to identify sources of
  capital to assist in structuring the deal
• Letter of Intent issued to NewPage
• December, 2005 ESOP process put on hold

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