Business News

White Birch Paper Company Announces Results of Auction

Thursday 23. September 2010 - Hearings to Approve Sale Set for September 24 in Canada and September 30 in the U.S.

White Birch Paper Company (“White Birch” or the “Company”) and its subsidiaries today announced that BD White Birch Investment, LLC (“BD White Birch”) has submitted the highest and best offer for the Company’s operations at an auction held on September 21. Funds managed by Black Diamond Capital Management, L.L.C. and its affiliates are the majority owners of BD White Birch, with Caspian Capital Advisors LLC also participating as equity owners. White Birch expects to seek final approval of the sale at hearings in Canada and the U.S. scheduled for September 24 and September 30, respectively.

White Birch indicated that operations will continue as normal during the sale process. If approved by the Courts, the sale is expected to be completed in late November 2010, subject to certain regulatory approvals and other conditions.

Information about the White Birch restructuring is available at the Company’s website, http://www.whitebirchpaper.com or via the Company’s restructuring information line at (888) 232-0287.

About White Birch: White Birch is the second largest newsprint manufacturer in North America, with operations in both Canada and the United States.

http://www.whitebirchpaper.com
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