News Release

HARTSVILLE, S.C., Oct. 31 /PRNewswire/ -- Sonoco (NYSE: SON), the global packaging company, has completed its previously announced all-cash purchase of the 90,000-ton paper mill at Hutchinson, Kansas, from the privately held Republic Group LLC, it was announced today by Harris E. DeLoach, Jr., president and chief executive officer.

(Photo: http://www.newscom.com/cgi-bin/prnh/19991006/SNCLOGO )

The mill is expected to be slightly accretive to Sonoco's earnings in the first year. The purchase price was not disclosed.

The Hutchinson mill, which had annualized sales through September 30, 2001, of approximately $30 million, has two pressure former paper machines and employs about 145 personnel. Sonoco is the mill's largest customer, purchasing paperboard for composite cans, primarily for refrigerated dough products, and for tubes.

"The acquisitions of the Hutchinson mill and U.S. Paper Mills Corp. make Sonoco the market leader in the less-cyclical consumer-driven tissue and towel coreboard market. The Hutchinson mill also provides Sonoco with needed additional lightweight paperboard capacity for outerplies of tubes and composite cans, particularly for our midwestern and western markets," said DeLoach.

Sonoco, founded in 1899, is a $2.7 billion manufacturer of industrial and consumer packaging products and provider of packaging services, with approximately 300 operations in 33 countries serving customers in 85 nations. For more information regarding the Company, visit Sonoco's website at www.sonoco.com.

Statements included herein that are not historical in nature are intended to be, and are hereby identified as, "forward-looking statements" for purposes of the safe harbor provided by Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements are based on current expectations, estimates and projections about the company's industry, management's beliefs and certain assumptions made by management. Such information includes, without limitation, discussions as to estimates, expectations, beliefs, plans, strategies and objectives concerning the company's future financial and operating performance.

These statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Therefore, actual results may differ materially from those expressed or forecasted in such forward-looking statements. Such risks and uncertainties include, without limitation: availability and pricing of raw materials; success of new product development and introduction; ability to maintain or increase productivity levels; international, national and local economic and market conditions; ability to maintain market share; pricing pressures and demand for products; continued strength of the company's paperboard-based tube, core and composite can operations; currency stability and the rate of growth in foreign markets; and actions of government agencies. Additional information concerning some of the factors that could cause materially different results is included in the company's reports on Forms 10-K, 10-Q and 8-K filed with the Securities and Exchange Commission. Such reports are available from the Securities and Exchange Commission's public reference facilities and its Internet website or from the Company's investor relations department.

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SOURCE Sonoco
Web site: http: //www.sonoco.com
Photo: NewsCom: http: //www.newscom.com/cgi-bin/prnh/19991006/SNCLOGO AP Archive: http://photoarchive.ap.org PRN Photo Desk, 888-776-6555 or 212-782-2840
CONTACT: Allan V. Cecil, Vice President, Sonoco, +1-843-383-7524, or allan.cecil@sonoco.com
CAPTION: SNCLOGO SONOCO LOGO Sonoco Logo. (PRNewsFoto)[KC] HARTSVILLE, SC USA 10/06/1999