PAPER COMPANIES MERGING
By Adnews Staff
The boards of directors at Kimberly-Clark of Dallas and Scott Paper of Philadelphia have agreed to the merger of the two companies in a stock swap valued at $6.8 billion(US). Under the deal, Scott would own 42% of the company, and Kimberly would own 58%. In Canada, advertising for Scott is done by Toronto-based J.Walter Thompson. Kimberly's advertising comes out of the U.S. The American company refused to name its agencies, but it did say it uses a "couple" of them. Kimberly products include Huggies baby wipes, Kleenex facial tissue, Kleenex premium bathroom tissue, Kotex and New Freedom feminine care products, Hi-Dri paper towels and Depend and Poise incontinence care products. Scott products include Scott and Cottonelle bathroom tissue, Scott and Viva paper towels, Scotties facial tissues and Baby Fresh and Wash-a-bye Baby wet wipes. The deal is still subject to shareholder approval.