CINCINNATI (AdAge.com) -- Georgia-Pacific Corp. today put the spinoff of its consumer products and packaging business on hold, citing weakness in financial markets and its building products business.
The company had planned
to separate its consumer products and packaging businesses -- including Brawny paper towels, Quilted Northern bath tissue and Dixie paper cups -- into a $1 billion initial public offering some time in the first half of 2002.
Georgia-Pacific didn't set a new timetable for the deal, though Chairman-CEO A.D. Correll said the company remains committed to the planned spinoff.
The separation, in which Mr. Correll would head the consumer products business, is intended to help the company focus more on its consumer brands and isolate the consumer business from asbestos liabilities from the building products business.