Caraustar Opens Illinois Manufacturing Operation

Atlanta, Georgia, USA, 11 December 2007 -- /PRNewswire/ -- Caraustar Industries, Inc. (Nasdaq: CSAR), today announced the opening of its fifth manufacturing operation for Protect-A-Board and Protect-A-Wrap edge and strap protectors. The operation is located at Caraustar's existing Beardstown, Illinois facility, which currently manufactures tubes and cores.

The expanded operations at Beardstown will continue to service customers throughout the Midwest, offering a more diverse product line that now includes Protect-A-Board and Protect-A- Wrap. The new operation provides significantly shorter lead times to customers, which were previously served from more remote Caraustar facilities.

Caraustar currently manufactures Protect-A-Board, Protect-A-Wrap, and related protective packaging products at its Arlington, Texas; Austell, Georgia; Beardstown, Illinois; Lancaster, Pennsylvania; and Tacoma, Washington, converting facilities.

Caraustar, a recycled packaging company, is one of the world's largest integrated manufacturers of converted recycled paperboard. The company is a socially responsible corporation committed to environmentally sound practices and is dedicated to providing customers with outstanding value through innovative products and services. Caraustar has developed its leadership position in the industry through diversification and integration from raw materials to finished products. Caraustar serves the four principal recycled boxboard product end-use markets: tubes and cores, folding cartons, gypsum facing paper, and specialty paperboard products. For additional information on Caraustar, visit the company's website at www.caraustar.com.