Mail-Well Disappointed With Moody's Announced Review

Company Remains Confident in Ability to Service Debt And

Underlying Earning Power



Apr 12, 2001, 01:00 ET from Mail-Well, Inc.

    ENGLEWOOD, Colo., April 12 /PRNewswire/ -- Mail-Well, Inc., (NYSE:   MWL)
 said today that it is disappointed that Moody's placed the company on review
 for possible downgrade.
     (Photo: http://www.newscom.com/cgi-bin/prnh/19990429/MAILWELLLOGO )
     "We continue to believe that the underlying earning power of our
 businesses, and that our ability to service our debt remain strong," Paul V.
 Reilly, President and CEO said.  "We are comfortable with our liquidity and
 with our cash flow which also has remained strong.  In fact, we will generate
 approximately the same amount of free cash flow in 2001 to service our debt as
 we did in 2000."
     "Mail-Well announced in January that the management team would conduct a
 comprehensive assessment, to be concluded in May, of all of its businesses and
 business strategies.  The assessment is designed to strengthen its businesses
 and to take advantage of the changing business climate," the company said.
     "This reassessment is focusing on strengthening our balance sheet, our
 capital structure and our businesses so that we can more effectively respond
 to new and changing market conditions, and to allow us to more effectively
 consolidate our growth," Reilly said.  "We also have a wide variety of
 productivity improvements and earnings growth programs underway and are
 confident the financial results will reflect the benefits of these programs."
     "In this economic environment, our businesses are reacting as we would
 expect them to," Reilly said.  "Those that are closely related to advertising,
 which has declined significantly in the past several months due to the
 economic downturn, are most affected," said Paul V. Reilly, President and CEO.
 "We are continuing to take all necessary measures to reduce operating expenses
 to mitigate the situation."
 
     Mail-Well (NYSE:   MWL) specializes in four growing multibillion-dollar
 market segments in the highly fragmented printing industry:  commercial
 printing, envelopes, labels and printed office products.  Mail-Well currently
 has approximately 16,000 employees and more than 140 printing facilities and
 numerous sales offices throughout North America and the United Kingdom.
 Mail-Well reported sales of $2.4 billion in 2000.  Mail-Well was identified in
 2000 by INFORMATIONWEEK as one of the top 400 leading IT innovators.  The
 company is headquartered in Englewood, Colorado.
 
     This press release may make forward-looking statements, which are subject
 to various uncertainties and risks that could affect their outcome.  Factors,
 which could cause or contribute to differences include, but are not limited
 to, product demand and sales, competition, ability to obtain assumed
 productivity and cost savings, acquisition opportunities, interest rates,
 availability of financing and general economic conditions.  This press release
 does not constitute an offer to sell or solicitation of an offer to buy
 Mail-Well securities.
 
     NOTE:  News Releases and other information on Mail-Well can be accessed at
 no charge at www.mail-well.com
 
 

SOURCE Mail-Well, Inc.
    ENGLEWOOD, Colo., April 12 /PRNewswire/ -- Mail-Well, Inc., (NYSE:   MWL)
 said today that it is disappointed that Moody's placed the company on review
 for possible downgrade.
     (Photo: http://www.newscom.com/cgi-bin/prnh/19990429/MAILWELLLOGO )
     "We continue to believe that the underlying earning power of our
 businesses, and that our ability to service our debt remain strong," Paul V.
 Reilly, President and CEO said.  "We are comfortable with our liquidity and
 with our cash flow which also has remained strong.  In fact, we will generate
 approximately the same amount of free cash flow in 2001 to service our debt as
 we did in 2000."
     "Mail-Well announced in January that the management team would conduct a
 comprehensive assessment, to be concluded in May, of all of its businesses and
 business strategies.  The assessment is designed to strengthen its businesses
 and to take advantage of the changing business climate," the company said.
     "This reassessment is focusing on strengthening our balance sheet, our
 capital structure and our businesses so that we can more effectively respond
 to new and changing market conditions, and to allow us to more effectively
 consolidate our growth," Reilly said.  "We also have a wide variety of
 productivity improvements and earnings growth programs underway and are
 confident the financial results will reflect the benefits of these programs."
     "In this economic environment, our businesses are reacting as we would
 expect them to," Reilly said.  "Those that are closely related to advertising,
 which has declined significantly in the past several months due to the
 economic downturn, are most affected," said Paul V. Reilly, President and CEO.
 "We are continuing to take all necessary measures to reduce operating expenses
 to mitigate the situation."
 
     Mail-Well (NYSE:   MWL) specializes in four growing multibillion-dollar
 market segments in the highly fragmented printing industry:  commercial
 printing, envelopes, labels and printed office products.  Mail-Well currently
 has approximately 16,000 employees and more than 140 printing facilities and
 numerous sales offices throughout North America and the United Kingdom.
 Mail-Well reported sales of $2.4 billion in 2000.  Mail-Well was identified in
 2000 by INFORMATIONWEEK as one of the top 400 leading IT innovators.  The
 company is headquartered in Englewood, Colorado.
 
     This press release may make forward-looking statements, which are subject
 to various uncertainties and risks that could affect their outcome.  Factors,
 which could cause or contribute to differences include, but are not limited
 to, product demand and sales, competition, ability to obtain assumed
 productivity and cost savings, acquisition opportunities, interest rates,
 availability of financing and general economic conditions.  This press release
 does not constitute an offer to sell or solicitation of an offer to buy
 Mail-Well securities.
 
     NOTE:  News Releases and other information on Mail-Well can be accessed at
 no charge at www.mail-well.com
 
 SOURCE  Mail-Well, Inc.