This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

USW Eager To Work With KPS To Build Specialty Paper Company

PITTSBURGH, March 21, 2013 /PRNewswire-USNewswire/ -- The United Steelworkers Union (USW) greeted today's announcement from Wausau Paper about the potential purchase of Wausau's Mosinee and Rhinelander mills and other non-disclosed assets with interest and cautious optimism.

(Logo: )

Wausau signed a non-binding Letter of Intent to sell its specialty paper business to a new company that will be formed and controlled by investment funds sponsored by KPS Capital Partners L.P. KPS also signed a non-binding Letter of Intent to acquire a second company to establish a new specialty paper business.

This new company will acquire the assets of Wausau's Rhinelander and Mosinee mills provided it acquires the second company. USW Locals 01778 and 2-15 represent workers at the Rhinelander mill. USW Locals 2-221 and 2-316 represent workers at the Mosinee mill.

The transaction requires that the USW ratify new collective bargaining agreements with the new company.

"The specialty sector of the paper industry has lagged other sectors in terms of strategic consolidation, and deserves a renewed focus," said USW International Vice President Jon Geenen, who oversees the USW's paper sector, of the announcement. "The sector produces paper for many stable markets today, and given the right attention is poised to capture even more opportunity in advanced and evolving technical markets."   

The Mosinee and Rhinelander mills have highly skilled workforces that employ modern work systems.  These mills have provided decent jobs for generations of workers.  

"We are anxious to engage in a discussion that will position the new company and its employees for long-term success and operational viability. We have had a long-term relationship with KPS, and have successfully worked with the company on numerous acquisitions that have resulted in the creation of thriving businesses. We appreciate KPS's constructive approach to doing business," Geenen added.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs