RICHMOND, Va. and NEW YORK, Oct. 10 /PRNewswire/ -- James River
Corporation (NYSE: JR) announced today that it has completed the sale of its
CZ Inks Division to Progressive Ink Company, LLC.  In consideration for the
sale, James River received cash proceeds of $27 million, subject to customary
closing adjustments.  James River expects to record a gain of approximately
$.10 per share in the fourth quarter related to this divestiture.
     The CZ Inks Division develops, manufactures and sells high quality inks
for packaging applications.  This division, headquartered in St. Louis, Mo.,
employs 200 people at seven plants located throughout the U.S.
     This transaction follows James River's December 1995 announcement of its
intent to sell both its Flexible Packaging and CZ Inks Divisions, as part of a
restructuring program designed to improve the strategic focus and long-term
profitability of the company.  James River completed the sale of the Flexible
Packaging Division to Printpack Inc. of Atlanta, Ga. in August 1996.
     Progressive Ink Company is part of the Alper Ink Group, which is
headquartered in New York, N.Y.  The Group, which also includes Arcar Graphics
and Alper Dispersions, has been a pioneer in the development and expansion of
waterbase ink products.  The addition of CZ Inks to the Alper Ink Group
provides technical expertise in the area of specialized inks for film
lamination used in the flexible packaging industry.
     James River Corporation, headquartered in Richmond, Va., is a leading
marketer and manufacturer of consumer products, packaging, and business,
printing and converting papers.  In North America, the company markets
diversified brands such as Quilted Northern bathroom tissue, Brawny paper
towels, Dixie paper cups and plates, Quilt-Rap sandwich wrap, Qwik Wave
microwave packaging, Eureka! recycled copy paper and Word Pro copy paper.  In
addition, the company produces a number of popular European brands such as
Lotus towel and tissue products.  James River has a current annual sales rate
of approximately $5.5 billion.
    Today's news release, along with past releases from James River, is
available by fax, at no charge, by calling 800-758-5804, ext. 457350.
You may access James River's corporate-wide site at Internet address
http://www.jamesrivercorp.com.

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