Buckeye Announces Acquisition of Brazilian Cotton Facility.Business Editors MEMPHIS Memphis, city, ancient Egypt Memphis (mĕm`fĭs), ancient city of Egypt, capital of the Old Kingdom (c.3100–c.2258 B.C.), at the apex of the Nile delta and 12 mi (18 km) from Cairo. , Tenn.--(BUSINESS WIRE)--July 26, 2000 Buckeye Technologies Inc. (NYSE NYSE See: New York Stock Exchange :BKI BKI Babbar Khalsa International BKI Kota Kinabalu, Sabah, Malaysia - Kota Kinabalu (Airport Code) BKI Bible Knowledge Institute BKI Brasil Kaffe Import (Danish Coffee Importer) ) today announced its purchase of the cotton cellulose business of Fibra, S.A. located in Americana, Brazil, for U.S. $35 million. Buckeye and Fibra concurrently entered into a contract under which this plant will continue to supply cotton cellulose for Fibra's staple rayon operations in Brazil. Buckeye will assume operation of the facility effective August 1. Fibra President, Ricardo Steinbruch, stated, "This transaction is a major step forward in implementing a new concept that we have been building in our company. We plan to focus on those core activities that add value to our business and our customers' businesses." Buckeye's Chairman, Robert Cannon, commented, "This is a very good arrangement for both parties. Buckeye plans to almost double the capacity of the plant to 50,000 metric tons per year, allowing it to serve new markets in addition to supplying Fibra's needs. Not only are we strategically positioned near South America's large cotton growing regions, but we gain an important business ally through our collaboration with Fibra and its affiliate, the Vicunha Group." Fibra, a leading manufacturer of artificial and synthetic fibers for the textile industry, is headquartered in the city of Americana, Brazil and controlled by the Vicunha Group. The Vicunha Group is the largest textile group in Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. and one of the largest privately held companies privately held company A firm whose shares are held within a relatively small circle of owners and are not traded publicly. in Brazil with extensive operations in the textile, mining, steel, and communications industries. Buckeye, a leading manufacturer and marketer of specialty cellulose and absorbent absorbent /ab·sor·bent/ (-sor´bent) 1. able to take in, or suck up and incorporate. 2. a tissue structure involved in absorption. 3. a substance that absorbs or promotes absorption. products, is headquartered in Memphis, Tennessee For the ancient Egyptian capital, see . Memphis is a city in the southwest corner of Tennessee, and the county seat of Shelby County. Memphis rises above the Mississippi River on the 4th Chickasaw Bluff just below the mouth of the Wolf River. , USA. The Company currently operates facilities in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , Canada, Germany, and Ireland. Its products are sold worldwide to makers of consumer and industrial goods. Certain matters discussed in this press release may constitute forward-looking statements within the meaning of the federal securities laws that involve risks and uncertainties, including but not limited to economic, competitive, governmental, and technological factors affecting the Company's operations, markets, products, services and prices, and other factors. For further information on factors which could impact the Company and the statements contained herein, please refer to public filings with the Securities and Exchange Commission. |
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