How will this affect Georgia-Pacific’s existing collective bargaining agreements?
It will not affect those contracts. All of Georgia-Pacific’s existing contracts will remain in place. Will Georgia-Pacific’s compensation and benefits change? Koch has advised us that Georgia-Pacific will maintain current aggregate employee benefits and compensation after transaction closing at a level substantially equivalent to pre-closing benefits. What is the total value of this acquisition? The stock purchase of $48 per share implies a total market value for Georgia-Pacific’s equity of $13.21 billion (excluding debt) and an enterprise value of $21 billion. How is Koch funding the purchase? Substantial cash will come from Koch’s cash resources plus financing from Citigroup. What happens to Georgia-Pacific bondholders? Select issues of Georgia-Pacific debt are being tendered for and the rest remain outstanding, i.e., no change. I am an employee shareholder. What can you tell me about my shares? As the press release states, Koch expects to launch its tender offer for all outstanding
