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International Paper Announces Final Results of Debt Tender Offer

Thursday 21. May 2009 - International Paper (NYSE: IP) today announced the final results of its previously announced tender offer for any and all of its outstanding bonds described below.

The tender offer expired at 5 p.m., ET, on May 19, 2009. As of the expiration of the tender offer, International Paper had received valid tenders, not withdrawn, of $874,452,000 aggregate principal amount of the bonds. International Paper has accepted for payment all of these bonds, representing 81.8% of the $1,068,465,000 principal amount of the bonds outstanding prior to the tender offer. On the settlement date, which is expected to be May 20, 2009, International Paper will pay an aggregate of $895,994,621.77 (including accrued and unpaid interest) as consideration for these bonds. International Paper intends to use the proceeds from the recent offering of its 9.375% Notes due 2019 and other available cash resources to purchase the bonds.

The table below identifies the principal amount of each series of bonds validly tendered in the tender offer and the principal amount that International Paper has accepted for purchase under the terms of the Offer to Purchase. Bonds that have been tendered but not accepted will be promptly returned to the tendering parties.

Principal
Amount
Outstanding Principal
Prior to Principal Amount
Settlement of Amount Accepted for
CUSIP No. Title of Security Tender Offer Tendered Purchase
——— ———————— ————- ———— ————
460146BY8 4.00% Notes due 2010 $414,350,000 $364,079,000 $364,079,000


905530AH4 9.25% Debentures due 2011 $44,333,000 $35,804,000 $35,804,000


460146BN2 6.75% Notes due 2011 $195,425,000 $162,538,000 $162,538,000


313693AF0 8.875% Debentures due 2012 $16,469,000 $7,027,000 $7,027,000


460146BQ5 5.85% Notes due 2012 $249,088,000 $210,801,000 $210,801,000


460146AD5 5.125% Notes due 2012 $148,800,000 $94,203,000 $94,203,000





Citigroup Global Markets Inc. and UBS Securities LLC served as the lead dealer managers of the tender offer, and Banc of America Securities LLC, BNP Paribas Securities Corp., J.P. Morgan Securities Inc. and RBS Securities Inc. served as co-dealer managers for the tender offer. Persons with questions regarding the tender offer should contact Citigroup Global Markets Inc. at (toll-free) (800) 558-3745 or (collect) (212) 723-6106 or UBS Securities LLC at (toll-free) (888) 719-4210 or (collect) (203) 719-4210. Global Bondholder Services Corporation has been retained to serve as the depositary and information agent in connection with the tender offer.

http://www.internationalpaper.com
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