<b>Newark Building New Plant at Idled Mill Location</B>

The Newark Group will locate and build its previously announced graphic board paper machine at a newly acquired mill site in Fitchburg, Mass. Newark had originally announced plans to convert one of its present mills for the project. The unexpected availability of the Fitchburg property, the idled Princeton Paper was auctioned to the company several months ago due to bankruptcy court actions by Harnischfeger Industries.

The Newark Group expects the Fitchburg graphic board operation to be operating in fifteen months. It will have the initial capacity to produce 85,000 tons annually. The cost to update the closed facility will be in excess of $75 million. The mill will use state of the art technology to make the finished product a high value product.

The new graphic board machine has been fully engineered and will operate in tandem with new lining board machine at Fitchburg. The machine will incorporate improvements to technology used at the company's mill in Spain, where graphic board was developed as a superior, in-line-laminated paperboard for the book, loose-leaf and game industry.

The Newark Group named Dick de Haas to be the project manager. The company also announced that Dana Pelletier will be the mill's general manager.