Post by pavel on Jan 26, 2016 18:47:54 GMT -6
Nearly four years after David Paterson came aboard to stabilize Verso Corp., the Memphis paper maker has filed for bankruptcy protection, staggered by paper imports, the decline in catalog and magazine publishing and $2.8 billion in debts.
New York investor Apollo Global Management, which acquired control of Verso in 2006, brought in Paterson, a former Georgia Pacific executive, to run its Memphis business as the chief executive officer.
The new CEO set out to merge Verso with bankrupt Ohio rival NewPage Holdings and use the larger scale to drive up prices for glossy paper and drive down production costs.
Although the merger was completed a year ago, analysts say the strategy was pushed off course by the surge in value of the U.S. dollar overseas as the global economy weakened.
Read more: www.commercialappeal.com/business/public-corporations/Verso-files-for-bankruptcy-protection--366564541.html
New York investor Apollo Global Management, which acquired control of Verso in 2006, brought in Paterson, a former Georgia Pacific executive, to run its Memphis business as the chief executive officer.
The new CEO set out to merge Verso with bankrupt Ohio rival NewPage Holdings and use the larger scale to drive up prices for glossy paper and drive down production costs.
Although the merger was completed a year ago, analysts say the strategy was pushed off course by the surge in value of the U.S. dollar overseas as the global economy weakened.
Read more: www.commercialappeal.com/business/public-corporations/Verso-files-for-bankruptcy-protection--366564541.html