SMART Papers Wins Court Approval of Business Reorganization Plan
HAMILTON, OH—December 20, 2006—SMART Papers LLC today reported that the U.S. Bankruptcy Court for the District of Delaware has approved and confirmed its business reorganization plan, paving the way for emergence from Chapter 11 upon the company’s sale to an affiliate of Plainfield Asset Management LLC, a Greenwich, CT-based investment advisor.
The SMART Papers Plan of Reorganization was approved by the court yesterday in Wilmington, Del. The plan was accepted by an overwhelming majority of voting creditors. It is also supported by SMART Papers’ secured lender, its unsecured creditors committee, Memphis-based International Paper Co. and many other important creditor groups.
“We’re very pleased with the court’s decision,” said SMART Papers CEO and President Tim Needham. “SMART Papers has benefited from the loyalty of its customers and vendors as well as the hard work and dedication of its employees. We look forward to reinvigorating and expanding our longtime customer relationships, to launching new and innovative products and to achieving significant growth through 2007 and beyond.”
Needham expressed appreciation to SMART Papers’ creditors and to Plainfield Asset Management for their support in reaching this milestone. Needham said SMART Papers is expected to emerge from Chapter 11 in the next few days under new ownership, with a strong balance sheet, an intact management team and a solid operating platform.
About Plainfield Asset Management
Based in Greenwich, Connecticut, Plainfield Asset Management is an investment advisor registered with the Securities and Exchange Commission. Plainfield manages in excess of $1.9 billion of investment capital for institutions and high net worth individuals based in the United States and abroad. The firm was founded in February 2005 by Max Holmes, and the Plainfield Special Situations Master Fund was launched in May 2005.
About SMART Papers
SMART Papers is the largest independent North American manufacturer and marketer of premium cast-coated, matte-coated and uncoated printing, text, cover and writing papers. The company markets a wide range of premium papers, including the well-known brands of Kromekote®, Knightkote® Matte, SMART Digital™, Pegasus®, Carnival®, Synergy®, Passport®, Genesis®, Benefit®, Magna Carta® and SMART Brights®. Its customers include paper distributors, printers, and specialty converters throughout North America. SMART Papers’ high-value premium branded products are used in producing annual reports, greeting cards, announcements, stationery, book cover and end-leaf, advertising brochures, packaging products, direct mail envelopes, security papers, tickets, high end labels and gift wrap. SMART Papers has successfully developed a wide offering of premium, value-added products. It also offers flexible manufacturing lead times and prompt delivery to customers.