Jul 25, 2008. /Lesprom.com/. Temple-Inland Inc. announced that it has acquired the remaining 50% interest in Premier Boxboard Limited LLC (PBL) from Caraustar Industries, Inc. PBL was a joint venture between Temple-Inland and Caraustar. The purchase price for Caraustar’s interest was $62 million in cash and assumption of $25 million of debt associated with the purchased interest. PBL produces lightweight gypsum facing paper and containerboard at a 308 thousand tons per year mill in Newport, Indiana. Temple-Inland will continue to produce lightweight gypsum facing paper and containerboard at the mill. The lightweight gypsum facing paper will serve the needs of both Temple-Inland’s building products operations and external customers. Containerboard produced at the mill will be primarily used by Temple-Inland’s corrugated packaging operations. For the last three years, PBL’s average annual EBITDA was $23 million. PBL’s EBITDA for 1Q 2008 was $7 million. Caraustar has been the managing partner of PBL since its formation in 1999. Effective today, Temple-Inland terminated the marketing and management agreements by and between PBL and Caraustar. Marketing and management fees paid by PBL to Caraustar under these agreements have been approximately $4 million annually. Adjusting to eliminate these fees would add $4 million annually to PBL’s EBITDA. In addition to eliminating the marketing and management fees paid to Caraustar, Temple-Inland expects to realize synergies of approximately $10 million from reducing cost, improving productivity and optimizing the mix of product as the mill is fully integrated into the Temple-Inland mill system. Temple-Inland will fund the cash portion of the purchase price through borrowings under its existing credit facilities. Temple-Inland Inc. is a manufacturing company focused on corrugated packaging and building products.