Greif, Inc. Proposes Senior Notes Offering

Delaware, Ohio, USA, 22 January 2007 -- /PRNewswire/ -- Greif, Inc. (NYSE:GEF) (NYSE:GEF.B) a global leader in industrial packaging, today announced that it intends to offer up to USD 300 million of senior notes due 2017. The net proceeds from this offering will be used to fund the purchase of Greif's 8-7/8% Senior Subordinated Notes due 2012 and for general corporate purposes.

As announced on 11 January 2007, Greif commenced an offer to purchase and consent solicitation for any and all of its outstanding 8-7/8% Senior Subordinated Notes due 2012. If the tender offer is not consummated, Greif will not issue the new senior notes.

The new senior notes will be offered to qualified institutional buyers under Rule 144A. The new senior notes will not be registered under the Securities Act of 1933, as amended (the Securities Act), and unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws.

About Greif

Greif a world leader in industrial packaging products and services. The company produces steel, plastic, fiber, corrugated and multiwall containers, protective packaging, and containerboard. It provides blending and packaging services for a wide range of industries. Greif also manages timber properties in North America. The company is strategically positioned in more than 40 countries to serve global and regional customers. Additional information is on the company's Web site at www.greif.com.

Source: Greif