TX: Cascades to Expand in Grand Prairie, Converting Longhorn Paper

Cascades Inc., leader in the recovery and manufacturing of green packaging and tissue products, is pleased to announce that it has taken a majority position in Longhorn Paper Converting, a tissue converting plant in Grand Prairie, Texas , USA.

While recent investments have consolidated Cascades' presence on the American west coast, this latest initiative will expand its coverage of the US even further. Owing to its strategic location, this converting plant will foster synergies and enhance Cascades' integration rate in the region by converting parent rolls manufactured in other Cascades plants.

"This heightened presence in south-central US is a concrete example of our company's desire to serve its customers coast-to-coast," commented Mario Plourde, president and chief executive officer of Cascades. "This initiative, which is part of our strategic development plan, will allow us to continue to grow in a region that offers potential for this core segment of our business."

"This investment has widened our presence in the US and will allow to take another important step toward achieving our objective of expanding into key markets in the southern and western United States. It will also enable us to provide even greater quality and flexibility to our American customers. Moreover, Longhorn Paper Converting offers us medium-term growth opportunities," underscored Jean Jobin, president and chief operating officer of Cascades Tissue Group.

Cascades Tissue Group, a division of Cascades Canada ULC, is the fourth-largest tissue paper manufacturer in North America.

Founded in 1964, Cascades produces, converts and markets packaging and tissue products that are composed mainly of recycled fibres. The Company employs 11,000 employees, who work in close to 90 production units located in North America and Europe . With its management philosophy, half a century of experience in recycling, and continuous efforts in research and development as driving forces, Cascades continues to deliver the innovative products that customers have come to rely on. Cascades' shares trade on the Toronto Stock Exchange, under the ticker symbol CAS. Web site: www.cascades.com.