International Paper has entered into an agreement with West Coast Paper Mills Limited to sell its controlling interest in International Paper APPM Limited, an India-based paper business. International Paper currently owns approximately 30 million shares, or 75% of the outstanding shares, of International Paper APPM Limited (APPM). The transaction is expected to be completed by the end of the year subject to satisfaction of customary closing conditions, including obtaining required governmental approvals and West Coast Paper Mills Limited's (WCPM) launch of a tender offer. Pursuant to Indian securities law requirements, WCPM will launch a tender offer to acquire up to all of the APPM shares owned by public shareholders, which represents 25% of APPM's outstanding shares. The closing of IP's transaction with WCPM will occur following the completion of the tender offer and receipt of antitrust clearance. Depending on the results of that tender offer, WCPM will acquire from IP between 51% and 60% of the outstanding APPM shares at a price per share of 275 Indian Rupees. Once this transaction closes, WCPM will be responsible for the operations of APPM, and International Paper will be a passive investor until such time that IP has sold its remaining shares in APPM. Click "read more" below for additional information.
U.S. Senate Minority Leader Charles Schumer, D-N.Y., is calling on the U.S. Department of Commerce to reverse its recent decision to impose duties on special paper from Canada used in newsprint.
U.S. Secretary of Commerce Wilbur Ross announced Jan. 9 duties will be imposed on imports of uncoated groundwood paper from Canada as an investigation into the possible effects such a duty would have on the nation’s economy.
“This preliminary decision allows U.S. producers to receive relief from the market-distorting effects of potential government subsidies while taking into account the need to keep groundwood paper prices affordable for domestic consumers,” Ross said. “The Department of Commerce will continue to evaluate and verify the accuracy of this preliminary determination while standing up for the American business and worker.”
The Department calculated a preliminary subsidy rates for the major manufacturers of the paper: 6.09 percent for Catalyst Paper Corporation, 9.93 percent for Kruger Trois-Rivieres L.P., 4.42 percent for Resolute FP Canada Inc. and 0.65 percent for White Birch Paper Canada Company NSULC. All other producers and exporters in Canada have been assigned a preliminary subsidy rate of 6.53 percent.
Schumer sent a letter to Ross and President Donald Trump expressing his concern about how such duties could hurt the struggling newspaper industry, especially in upstate New York.
“The bottom line is that this decision will have a huge and harmful impact on newspapers in every hometown across upstate New York, so the Department of Commerce should reconsider this decision,” Schumer said. “This decision is not supported by the domestic paper manufacturing industry, so [the Department of] Commerce should find a new way forward that does not place such an unfair and unwise burden on an already at-risk and extremely vital American industry that provides so many jobs and so much value to New Yorkers from one corner of the state to the other.”
more at: https://www.hudsonvalley360.com/article/schumer-reverse-harmful-decision-ny-newspapers