Southworth Acquires California Company

Premium Paper-maker Purchases Producer of Coating for Quality Color Printing

Agawam, September 26, 2003 – Southworth Company, a leading marketer of fine business papers and related products through office product dealers and retailers, has acquired the assets of Permalite ReproMedia Corporation. For nearly 40 years Permalite has been a privately held producer of premium coated papers, films and fabrics that are used in high quality digital ink jet printing and architectural/engineering applications.

David Southworth, president of Southworth Company, announced the purchase after approval by the company’s board of directors, saying “This is an opportunity to diversify Southworth into the growing category of digital imaging papers and expand our core premium business papers portfolio. We continue to champion emerging technology in our industry, as we have for over 160 years.” Southworth Company, a privately held corporation based in Agawam, Massachusetts, near Springfield, operates a paper mill producing business paper of exceptional quality and design, including 100 percent cotton fiber papers. In an industry where product consolidation and homogenization are the trend, Southworth continues to prosper while producing a variety of distinctive papers in small runs.

Tony Sary, president of Permalite, commented, “Joining forces with Southworth not only provides us with the financial resources necessary to remain competitive in this dynamic market, but it will also allow us to expand the breadth of our overall product line in order to meet the rapidly advancing needs of our diverse customer base.” Permalite will continue to be based in Gardena, California, where they have established a unique process technology that allows them to produce a line of premium coated papers, films and fabrics for use in a variety of commercial and personal digital printing applications.

Although the two companies will continue to operate separate sales and marketing organizations, Permalite plans to utilize the Southworth Company’s Massachusetts warehousing and shipping location. This capability will significantly improve service levels to many of Permalite’s East Coast customers.

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