RockTenn to Acquire Smurfit-Stone

NORCROSS, Ga., CREVE COEUR, Mo., CHICAGO—RockTenn and Smurfit-Stone Container Corporation announced that the Boards of Directors of both companies have approved a definitive agreement under which Smurfit-Stone will become a wholly owned subsidiary of RockTenn. The aggregate consideration, consisting of 50 percent cash and 50 percent RockTenn stock, is valued at $35 per share of Smurfit-Stone common stock, and represents a 27 percent premium to Smurfit-Stone's closing stock price on January 21, 2011. The aggregate equity value of the transaction, based on the closing price of RockTenn’s common stock on January 21, 2011, is approximately $3.5 billion. This strategic transaction, unanimously approved by the Boards of Directors of both companies, will create a $9 billion leader in the North American paperboard packaging market. Upon closing, RockTenn will maintain its headquarters in Norcross, Ga.