SINGAPORE, Oct. 27 /PRNewswire-AsiaNet/ -- Asia Pulp and Paper Company Ltd. (NYSE: PAP) ("APP") announced today that it has filed a registration statement with the Securities and Exchange Commission for the issuance, through a finance subsidiary, of 15-year zero-coupon senior unsecured convertible notes with an issue price of approximately US$300 million, with a 15% over-allotment option. The convertible notes will be issued in the form of Liquid Yield Option (TM) Notes (LYONs(TM)) underwritten by Merrill Lynch & Co., Inc. The LYONs will accrue interest over their life and will be paid at maturity or the earlier of purchase or redemtion. The LYONs will be sold to the public and are convertible into cash based on the value of AAP American Depositary Shares (ADS), or after a specified date, into ADSs (or the ordinary shares of AAP underlying such ADSs). The registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release shall not constitute an offer to buy nor shall there be any sale ofthese securities where such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such State. APP is one of the world's largest pulp and paper companies. With current pulp capacity of 2.0 million tonnes and paper and packaging capacity of 2.9 million tonnes, it is the largest vertically integrated pulp and paper company in Asia. Headquatered in Singapore, the Company currently has 16 manufacturing facilities in Indonesia, China and India and markets it products in more than 40 countries on four continents. AAP organizes regular visits to its manufacturing sites. If you would be interested in joining such a trip, please contact Ms.Jenny Soehardi, Investor Relations, at 62-21-538-0029 (ext. 1612) to obtain the schedule of forthcoming plant site visits. SOURCE Asia Pulp and Paper Company Ltd. CONTACT: Wendy Kwan or Richard Green, +65-374-9203 or 9216, or fax, +65-374-9387, or Prisca Deassy or Richard Green, +62-21-538-1644 or 0767, or fax, +62-21-538-2933, all of Asia Pulp and Paper Company; or Gregory Pettit or Jennifer Hendrickson of Edelman Financial - New York, 212-704-8176 or 4583, or fax, 212-768-1025