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International Paper To Keep Arizona Chemical/Appoint New Vice President

August 1, 2002
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JACKSONVILLE, Fla. -- International Paper (IP) has decided to discontinue the efforts to divest its Arizona Chemical business. The business will remain a part of International Paper. After reviewing its options, IP determined that the best course of action for Arizona Chemical's future and International Paper's success is to keep the business.

"Arizona Chemical has a sound strategy in place for growth, and International Paper will provide support to the business as it executes that strategy and wins in the marketplace," said Jim Melican, executive vice president of IP. "This announcement should put to rest the uncertainty surrounding Arizona Chemical's future and allow its people to focus on making money and exceeding customers' expectations."

Shortly after the announcement, IP announced that Gerald C. Marterer has been appointed vice president of Arizona Chemical. He will report to Jim Melican. In his new position, Marterer will be responsible for overseeing all of Arizona Chemical's global business activities.

"Jerry is a tremendous leader in this company, and I'm confident that his leadership will help Arizona Chemical achieve strong business results," said Melican.

Marterer has been with International Paper for 33 years and has held numerous positions in the company, including president, IP Asia; vice president, Quality Management; and general manager, Akrosil and Nicolet. He has been vice president, Industrial Papers, since 1998.

Arizona Chemical is a global leader in pine chemistry. Headquartered in Jacksonville, Fla., the company has seven manufacturing plants in the United States and seven in Europe, and supplies pine chemicals to the adhesives, inks and coatings, and oleochemicals markets. International Paper is the world's largest paper and forest-products company. Businesses include paper, packaging and forest products.

For more information, visit www.arizonachemical.com or www.internationalpaper.com.

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