NewPage Closes Kimberly, Wisconsin Facility

    MIAMISBURG, Ohio, July 30 /CNW/ -- NewPage Corporation today announced
that it will close its Kimberly, Wisconsin, mill at the end of August.  The
Kimberly mill currently operates two paper machines, Nos. 96 and 97, which
produce approximately 500,000 tons annually of coated freesheet paper used for
a variety of commercial printing and specialty applications.
    (Logo: )
    "The coated paper market is being hit with a slowdown in demand as the
uncertain economy is reflected in a reduction in print advertising. At the
same time, we are experiencing higher input costs for raw materials and
transportation driven by oil and natural gas prices.  To balance the somewhat
reduced demand in a manner that helps us reduce costs, we are closing our mill
in Kimberly, Wisconsin.  We continue to work to offset the negative influences
by raising prices and driving productivity programs harder.  We have made
sufficient progress with the integration of our recently acquired facilities
and we now have more flexibility to respond to customer needs. We can readily
meet our customers' needs with our remaining facilities and at the same time
improve our cost advantage versus our peers," said NewPage Chairman and Chief
Executive Officer Mark A. Suwyn.  "We are proactively taking this step to stay
on our committed path to achieve financial returns that exceed our cost of
    "We are committed to setting production levels to match demand without
over-supplying the marketplace.  We also believe it is imperative to continue
to look for ways to lower our costs.  While the Kimberly mill has first-class
paper machines and is operated by an excellent workforce, it doesn't have a
pulp mill to support the paper operations.  Because purchased pulp has become
extremely expensive, the cost to run that facility is much higher than making
the same products at our other fully-integrated, lower-cost locations," said
Richard D. Willett Jr., NewPage president and chief operating officer.  "We
now have the capacity and flexibility to produce a number of freesheet,
supercalendered and groundwood grades on several different machines.  For
example, our Escanaba, Michigan and Rumford, Maine, mills which have
traditionally manufactured mostly coated groundwood grades, will now become
swing mills producing both coated groundwood and freesheet products.
Therefore, while we are idling 500,000 tons of coated capacity at the Kimberly
mill, the effect is likely to be approximately 200,000 tons of coated
freesheet and 300,000 tons of coated groundwood."
    Approximately 475 employees will be affected by the shutdown of Kimberly.
This is in addition to the 125 employees affected by the shutdown of Kimberly
No. 95 paper machine in May 2008.  "Our decision to close the mill is the
result of a weak economy, the continued effects of low priced imported
products and sky-rocketing costs. We realize these decisions have a
significant impact on our employees and they are difficult to make.  We will
continue helping individuals at the Kimberly mill to stay focused on working
safely so that no one gets hurt prior to the mill closing, while
simultaneously assisting them in identifying new employment opportunities,
offering Employee Assistance Programs or providing severance benefits to those
who are displaced," said Michael T. Edicola, NewPage vice president, human
    To learn more about NewPage Corporation, visit
    About NewPage Corporation
    Headquartered in Miamisburg, Ohio, NewPage Corporation is the largest
coated paper manufacturer in North America, based on production capacity, with
$4.7 billion in pro forma net sales for the year ended December 31, 2007. The
company's product portfolio is the broadest in North America and includes
coated freesheet, coated groundwood, supercalendered, newsprint and specialty
papers. These papers are used for corporate collateral, commercial printing,
magazines, catalogs, books, coupons, inserts, newspapers, packaging
applications and direct mail advertising.
    NewPage owns paper mills in Kentucky, Maine, Maryland, Michigan,
Minnesota, Nova Scotia, and Wisconsin. These mills currently have a total
annual production capacity of approximately 5.5 million tons of paper,
including approximately 4.3 million tons of coated paper, approximately
920,000 tons of uncoated paper and approximately 300,000 tons of specialty
paper, as well as approximately 3.2 million tons of pulp.

For further information:

For further information: Shawn Hall, National Media Contact,
+1-937-242-9373, +1-513-312-8549, Shannon Semmerling, Wisconsin and Michigan
Media Contact, +1-715-422-4023, +1-715-213-5072, or Jason Bixby, Investor
Relations Contact, +1-937-242-9144, +1-763-258-3105, all of NewPage
Corporation Web Site:

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