INTERNATIONAL PAPER
                                           2 MANHATTANVILLE ROAD 
                                           PURCHASE, NY 10577-2196

          News Release

          IP Media            IP Analyst        Federal Paper
          Contacts:           Contacts:         Board Contact:
          Carl Gagliardi      Carol Tutundgy    Quentin J.
          (914) 397-1666      (914) 397-1632    Kennedy
          Molly Sullivan      Maryanne Rupy     201-391-1776
          (914) 397-1652      (914) 397-1626
                              Brian Turcotte
                              (914) 397-1623

          INTERNATIONAL PAPER, FEDERAL PAPER BOARD ANNOUNCE MERGER

          NOVEMBER 6, 1995

          PURCHASE, N.Y. -- International Paper and Federal Paper
          Board announced today that they have agreed to merge. 
          Once the merger is complete, Federal Paper Board, a
          diversified forest products company with $1.57 billion in
          1994 net sales, will become a wholly owned subsidiary of
          International Paper.  The transaction, which is valued at
          $3.5 billion, including assumption of debt, is subject to
          approval by Federal Paper Board's shareholders, as well
          as by regulatory authorities.  It is expected to close in
          the first quarter of next year.

          In the merger, Federal Paper Board's shareholders will be
          entitled to receive at their election, either $55 in cash
          per share or $55 worth of International Paper common
          stock per share, subject to the limitation that not more
          than 1.612 and not less than 1.275 International Paper
          shares will be issued for each Federal Paper Board share
          exchanged for International Paper stock.  The shareholder
          election to receive cash or International Paper stock
          will be subject to adjustment so that, in the aggregate,
          approximately 49 percent of the Federal Paper Board
          shares will be exchanged for cash.  The merger is
          intended to qualify as a tax-free reorganization.

               "This is a wonderful opportunity to combine two
          first-class organizations in a way that will strengthen
          both," said John R. Kennedy, Federal Paper Board's
          president and chief executive officer.  "Our
          complementary businesses will provide an opportunity to
          better serve a broader range of customers.  The
          combination of cash and International Paper stock is an
          excellent value for our shareholders."

               "Merging with this outstanding forest products
          company will help us enhance our position as one of the
          industry's most efficient producers," said John A.
          Georges, chairman and chief executive officer of
          International Paper.  "With Federal Paper Board, we gain
          two world-class facilities in its Riegelwood, N.C., and
          Augusta, Ga., mills."

               Over the last six years, Federal Paper Board has
          invested over $1.7 billion in upgrades and process
          improvements to these and other facilities.  Along with
          the two mills comes over a half million acres of valuable
          and mature plantation timberland close to their
          facilities.  Federal Paper Board's Tait facility in
          Scotland is an important supplier of uncoated free sheet
          in the United Kingdom and will be a significant addition
          to International Paper's existing product lines in
          Europe.

               "We are pleased to welcome Jack Kennedy to our
          board," said Mr. Georges, "and we are looking forward to
          having the Federal Paper Board employees become part of
          the International Paper family."

               International Paper, headquartered in Purchase,
          N.Y., is a worldwide producer of printing papers,
          packaging and forest products.  The company also operates
          specialty businesses and a broadly based paper
          distribution network.  International Paper has
          manufacturing operations in 28 countries and exports its
          products to more than 130 nations.

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