NEW YORK (Standard&Poor's) March 30, 2006--Standard&Poor's Ratings Services said today that it lowered its corporate credit rating on Appleton Papers Inc., to 'BB-' from 'BB'. The outlook is stable. At the same time, Standard&Poor's raised its recovery rating on the carbonless and specialty paper producer's secured bank facility to '2' from '3', indicating expectations of substantial recovery (80%-100%) of principal in the event of a payment default. "The downgrade reflects credit measures that remain weaker than we had been expecting for Appleton," said Standard&Poor's credit analyst Kenneth L. Farer. "Despite lower-than-expected declines in carbonless paper demand, higher carbonless paper prices, and potential growth prospects for Appleton's performance packaging and thermal segments, we
