<B>Plainwell Files for Bankruptcy Protection</B>

Plainwell Inc. filed a voluntary petition for reorganization under Chapter 11 of the United States Bankruptcy Code.

``We want to assure our customers that we are dedicated to serving their needs today while we strengthen our ability to provide them with high-quality products well into the future,'' said Gary Hayden, president and COO. ``Protecting customer interests and providing them with exceptional customer service has been and remains one of our top priorities.''

Along with its Chapter 11 petition, Plainwell Inc. immediately sought preliminary court approval for a new $55 million debtor-in-possession financing facility to be provided by Congress Financial Corp. The new facility will provide an immediate source of funds to the company, enabling it to satisfy the customary obligations associated with the daily ongoing operation of its businesses.

Hayden stated that significant debt interest obligations, rising raw material and energy costs in both of the core businesses, along with market resistance to offsetting price increases in its specialty paper division, have had a negative impact on profit margins.