SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
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FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
May 4, 1999
(Date of Report)
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GEORGIA-PACIFIC CORPORATION
(Exact Name of Registrant as Specified in its Charter)
GEORGIA
(State of Incorporation)
1-3506
(Commission File Number)
93-0432081
(IRS Employer Identification Number)
133 PEACHTREE STREET, N.E., ATLANTA, GEORGIA 30303
(Address of Principal Executive Offices)
(404) 652-4000
(Registrant's Telephone Number, including area code)
Item 5. Other Events.
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On May 4, 1999, the Corporation issued the following news release
nationally.
GEORGIA-PACIFIC ANNOUNCES STOCK SPLIT FOR
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GEORGIA-PACIFIC GROUP; BOARD DECLARES QUARTERLY DIVIDENDS; PULP DRYER
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DISMANTLING AND TISSUE MACHINE ANNOUNCED
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AUGUSTA, Ga. -- Georgia-Pacific Corp. today announced that its board of
directors, meeting here in conjunction with the corporation's annual
shareholders meeting, has declared a two-for-one split of Georgia-Pacific
Group's common stock (NYSE:GP) in the form of a special dividend to shareholders
of record on May 14, 1999. The stock dividend of one share of Georgia-Pacific
Group common stock for each share of Georgia-Pacific Group will be paid June 3,
1999.
Georgia-Pacific Group's common stock, which was redesignated in December
1997, reflects the performance of the corporation's pulp, paper and building
products manufacturing and distribution businesses. No stock dividend is being
paid on the corporation's separately designated class of common stock, known as
The Timber Company (NYSE:TGP).
"We are pleased that Georgia-Pacific Group's performance and the execution
of our financial strategy has been reflected in the group's share price, which
increased by 59 percent from the beginning of 1999 through April," said A.D.
"Pete" Correll, chairman and chief executive officer. "This split reflects our
desire to continue to increase Georgia-Pacific Group's value to current
shareholders, as well as to make investment in our manufacturing and
distribution business even more attractive to additional shareholders."
At Tuesday's meeting, the board declared a regular quarterly dividend of
25 cents per share on each of the corporation's common stocks, Georgia-Pacific
Group and The Timber Company. These dividends are payable May 27, 1999, to
shareholders of record May 13, 1999. It is anticipated that future dividends on
Georgia-Pacific Group common stock will be declared at the rate of 12.5 cents
per share as a result of the stock split.
Also Tuesday, consistent with its strategy to exit the Southern hardwood
market pulp business, the corporation announced that it will fully dismantle its
pulp dryer located at Port Hudson, La., near Baton Rouge. In July 1998, this
pulp dryer was indefinitely shut down. At its meeting, the board of directors
approved construction of a new tissue-manufacturing machine at Port Hudson. The
machine will support the group's rapidly growing consumer tissue business, which
includes the brands Angel Soft(R), Sparkle(R), Coronet(R) and MD(R).
Approval of the new machine is contingent on the Louisiana Board of
Commerce and Industry's review of the corporation's application to participate
in the state's tax equalization program and execution of a contract.
"The addition of this machine is aimed at providing shareholder value and
maintaining a viable cost structure at Port Hudson as well as ensuring the
continued success of our tissue growth strategy, which has resulted in
significant annual sales gains during this decade," Correll said. "Importantly,
the investment also is in line with our disciplined approach to capital spending
for Georgia-Pacific Group and is consistent with our strategy to invest in
businesses with strong return and growth potential."
The approximately $95 million project, which is expected to be completed in
2001, will be capable of producing approximately 80,000 tons of premium tissue.
Headquartered at Atlanta, Georgia-Pacific (www.gp.com) is the leading
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manufacturer and distributor of building products in the United States and one
of the world's leading manufacturers and distributors of pulp, paper and
building products and related chemicals. The Timber Company manages more than 5
million acres of timberland in North America.
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Certain statements contained in this release, including statements regarding
anticipated levels of future dividends, are forward-looking statements (as
such term is defined under the Private Securities Litigation Reform Act of
1995) based on current expectations. The accuracy of such statements is
subject to a number of risks, uncertainties and assumptions including, but not
limited to, the effect of general global and domestic economic conditions on
the demand for pulp, paper and building products, the effect of changes in the
productive capacity of manufacturers of competitive products, and other
factors listed in Georgia-Pacific Corp.'s Securities and Exchange Commission
filings, including but not limited to, its Annual Report on Form 10-K dated
Dec. 31, 1998, on file and recorded March 18, 1999.
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Contact: Ken Haldin
(404) 652-6098
Greg Guest
(404) 652-4739
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
DATED: May 4, 1999
GEORGIA-PACIFIC CORPORATION
By /s/ Kenneth F. Khoury
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Kenneth F. Khoury
Vice President, Deputy General
Counsel and Secretary