Exhibit 99.1

News Release

International Paper Reports First Quarter Earnings

Solid Performance Despite Seasonally Slow Demand

Off to Excellent Start Integrating Temple-Inland Operations

MEMPHIS, Tenn. – April 27th, 2012 – International Paper (NYSE: IP) today reported first-quarter 2012 net earnings attributable to common shareholders totaling $188 million ($0.43 per share) compared with net earnings of $281 million ($0.65 per share) in the fourth quarter of 2011 and $354 million ($0.81 per share) in the first quarter of 2011. Amounts in all periods include the impact of special items.

Diluted Earnings Per Share Attributable to International Paper Shareholders*

Earnings from continuing operations and before special items in the 2012 first quarter totaled $247 million ($0.57 per share), compared with $312 million ($0.72 per share) in the fourth quarter of 2011 and $334 million ($0.77 per share) in the first quarter of 2011. Temple-Inland earnings were neutral, net of incremental interest expenses (before one-time costs and special items), for the first-quarter of 2012.

Quarterly net sales were $6.7 billion compared with $6.4 billion in both the fourth and first quarters of 2011.

Operating profits were $462 million in the first quarter of 2012, down from $577 million in the fourth quarter of 2011 both of which included special items.

“First-quarter results reflect solid performance in an uneven global recovery,” said John Faraci, chairman and chief executive officer. “I’m encouraged with the early progress we are making integrating Temple-Inland and we are off to a very strong start in identifying and capturing the merger benefits. As we move into our seasonally heavy maintenance outages in the second quarter, we remain confident in the full year earnings and cash flow outlook of our global portfolio.”

SEGMENT INFORMATION

To measure the performance of the company’s business segments from quarter to quarter without variations caused by special items, management focuses on business segment operating profits excluding those items. First-quarter 2012 segment operating profits and business trends, excluding special items, compared with the prior quarter are as follows:

Industrial Packaging operating profit was $278 million ($215 million including special items) compared with an operating profit of $316 million ($306 million including special items) in the fourth quarter of 2011. North American earnings were impacted by operational issues early in the quarter, increased annual outages and higher costs, including higher inventory valuation reserves and non-recurring favorable true-ups from the previous quarter. Export market containerboard price erosion also negatively impacted first quarter results. Partly offsetting these items were volume improvements, lower input costs and earnings from the newly acquired Temple-Inland packaging operations post close.

Printing Papers operating profit was $145 million ($146 million including special items) compared with an operating profit of $190 million ($189 million including special items) in the fourth quarter of 2011. Quarterly earnings in North America were adversely impacted by lower pulp and export paper prices as well as higher Franklin fluff pulp mill start-up costs, partially offset by increased exports and lower outages. Lower operating earnings in Brazil in the quarter were due primarily to lower export prices and seasonally lower market demand in Brazil resulting in a higher export mix.

Consumer Packaging operating profit was $96 million ($103 million including special items) compared with an operating profit of $62 million ($66 million including special items) in the fourth quarter of 2011. North American Coated Paperboard operating earnings improvement is largely attributable to having no annual maintenance outages during the first quarter. Higher volume and favorable manufacturing operations were essentially offset by higher costs. Foodservice delivered record earnings in the quarter driven by improved margins, favorable operations and solid sales volumes.

xpedx, the company’s North American distribution business, reported operating earnings of $19 million (a loss of $2 million including special items) compared with $33 million ($16 million including special items) in the fourth quarter of 2011. Sales were impacted by seasonally lower volume. The benefits of the strategic transformation are continuing.

Net corporate expenses for the 2012 first quarter totaled $69 million, compared with $31 million in the fourth quarter of 2011 and $44 million in the first quarter of 2011. The increase compared with the fourth quarter of 2011 primarily reflects higher pension expenses.

EFFECTIVE TAX RATE

The effective tax rate before special items for the first quarter of 2012 was 32 percent, compared with an effective tax rate before special items of 32 percent in the fourth quarter of 2011.

EFFECTS OF SPECIAL ITEMS

Special items in the first quarter of 2012 included pre-tax charges of $34 million ($23 million after taxes) for restructuring and other charges, a pre-tax charge of $20 million ($12 million after taxes) related to the write-up of the Temple-Inland inventories to fair value, pre-tax charges of $43 million ($33 million after taxes) for integration costs related to the Temple-Inland acquisition and a net pre-tax gain of $5 million ($4 after taxes) for other items. Restructuring and other charges included pre-tax charges of $16 million ($10 million after taxes) for debt extinguishment costs, pre-tax charges of $19 million ($14 million after taxes) for costs associated with the restructuring of our xpedx operations and a gain of $1 million (before and after taxes) for other items.

Special items in the fourth quarter of 2011 included a pre-tax charge of $18 million ($13 million after taxes) for restructuring and other charges, a pre-tax gain of $4 million ($3 million after taxes) for an adjustment to the loss on the sale of our Shorewood business, a net tax expense of $22 million and charges of $6 million ($5 million after taxes) for other items. Restructuring and other charges included a pre-tax charge of $14 million ($11 million after taxes) for costs associated with the restructuring of our xpedx operations, pre-tax charges of $12 million ($7 million after taxes) for costs associated with the Temple-Inland acquisition, and net pre-tax gains of $8 million ($5 million after taxes) for other items. The net tax expense of $22 million included a $24 million expense related to internal restructurings, a $9 million expense for costs associated with our acquisition of a majority interest in Andhra Pradesh Paper Mills Limited, a $13 million benefit related to the release of a deferred tax asset valuation allowance, and $2 million of expense for other items. In addition, a gain of $6 million (before and after taxes) was recorded for interest associated with a tax claim.

Special items in the first quarter of 2011 included pre-tax charges of $45 million ($28 million after taxes) for restructuring and other charges, a loss of $8 million (before and after taxes) for asset impairment charges at our Inverurie, Scotland mill which was closed in 2009 and a $7 million gain (before and after taxes) for a bargain purchase price adjustment on an acquisition by our joint venture in Turkey. Restructuring and other charges included pre-tax charges of $32 million ($19 million after taxes) for early debt extinguishment costs, $3 million ($2 million after taxes) for severance and benefit costs associated with the company’s 2008 overhead cost reduction initiative, $7 million ($4 million after taxes) for costs associated with the restructuring of our xpedx operations and $3 million (before and after taxes) for other items.

Discontinued Operations

Discontinued Operations in the first quarter of 2012 included the operating earnings of the Building Products business which was acquired during the quarter as part of the Temple-Inland acquisition.

Discontinued Operations in the first quarter of 2011 included a pre-tax gain of $50 million ($30 million after taxes) for an earnout provision related to the sale of the Company’s Kraft Papers business completed in January 2007. Also, the Company sold its Brazilian Coated Paper business in the third quarter of 2006. Local country tax contingency reserves were included in

the business’ operating results in 2005 and 2006 for which the related statute of limitations has expired. The reserves were reversed and a tax benefit of $15 million plus associated interest income of $6 million ($4 million after taxes) was recorded in the first quarter of 2011.

EARNINGS WEBCAST

The company will host a webcast to discuss earnings and current market conditions at 9 a.m. EDT (8 a.m. CDT). All interested parties are invited to listen to the webcast via the company’s Internet site at http://www.internationalpaper.com by clicking on the Investors tab and going to the Webcasts and Presentations page. A replay of the webcast will also be on the Web site beginning approximately two hours after the call.

Parties who wish to participate in the webcast via teleconference may dial +1 (706) 679-8242 or, within the U.S. only, (877) 316-2541, and ask to be connected to the International Paper First Quarter Earnings Call. The conference ID number is “69472027.” Participants should call in no later than 8:45 a.m. EDT (7:45 a.m. CDT). An audio-only replay will be available for four weeks following the call. To access the replay, dial +1 404-537-3406 or, within the U.S. only, (855) 859-2056, and when prompted for the conference ID, enter “69472027.”

About International Paper

International Paper (NYSE: IP) is a global paper and packaging company with manufacturing operations in North America, Europe, Latin America, Russia, Asia and North Africa. Its businesses include uncoated papers and industrial and consumer packaging, complemented by xpedx, the company’s North American distribution company. Headquartered in Memphis, Tenn., the company employs approximately 70,000 people following the acquisition of Temple-Inland Inc. and is strategically located in more than 24 countries serving customers worldwide. International Paper net sales for 2011 were $26 billion. Temple-Inland Inc., which was acquired in February 2012, had 2011 net sales of $4 billion. For more information about International Paper, its products and stewardship efforts, visit internationalpaper.com.

Certain statements in this press release may be considered forward-looking statements. These statements reflect management’s current views and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these statements. Factors which could cause actual results to differ include but are not limited to: (i) the level of our indebtedness and increases in interest rates; (ii) industry conditions, including but not limited to changes in the cost or availability of raw materials, energy and transportation costs, competition we face, cyclicality and changes in consumer preferences, demand and pricing for our products; (iii) global economic conditions and political changes, including but not limited to the impairment of financial institutions, changes in currency exchange rates, credit ratings issued by recognized credit rating organizations, the amount of our future pension funding obligation, changes in tax laws and pension and health care costs; (iv) unanticipated expenditures related to the cost of compliance with existing and new environmental and other governmental regulations and to actual or potential litigation; (v) whether we experience a material disruption at one of our manufacturing facilities and risks inherent in conducting business through a joint venture; (vi) risks and uncertainties associated with the divestitures required by the U.S. Department of Justice consent decree that allowed the Temple-Inland transaction to proceed; (vii) the failure to realize synergies and cost savings from the Temple-Inland transaction or delay in realization thereof; and (viii) our ability to achieve the benefits we expect from all other strategic acquisitions, divestitures and restructurings. These and other

factors that could cause or contribute to actual results differing materially from such forward-looking statements are discussed in greater detail in the company’s Securities and Exchange Commission filings. We undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.

###

Contacts:

Media: Thomas J. Ryan, 901-419-4333; Investors: Glenn Landau, 901-419-1731; Emily Nix and Michele Vargas, 901-419-4987.

INTERNATIONAL PAPER COMPANY

Consolidated Statement of Operations

Preliminary and Unaudited

(In millions, except per share amounts)

The accompanying notes are an integral part of this consolidated statement of operations.

International Paper Company

Reconciliation of Earnings Before Special Items to Net Earnings

Attributable to International Paper Company

Preliminary and Unaudited

(In millions except for per share amounts)

Notes:

(1) The Company calculates Earnings Before Special Items by excluding the after-tax effect of items considered by management to be unusual from the earnings reported under U.S. generally accepted accounting principles ("GAAP"). Management uses this measure to focus on on-going operations, and believes that it is useful to investors because it enables them to perform meaningful comparisons of past and present operating results. International Paper believes that using this information, along with net earnings, provides for a more complete analysis of the results of operations by quarter. Net earnings is the most directly comparable GAAP measure.

International Paper

Sales and Earnings by Industry Segment

Preliminary and Unaudited

(In Millions)

Sales by Industry Segment

Operating Profit by Industry Segment

International Paper Company

Reconciliation of Operating Profit to Operating Profit Before Special Items

(In millions)

International Paper

Sales Volume by Product (1)

Preliminary and Unaudited

International Paper Consolidated

INTERNATIONAL PAPER COMPANY

Consolidated Balance Sheet

Preliminary and Unaudited

(In Millions)

INTERNATIONAL PAPER COMPANY

Consolidated Statement of Cash Flows

Preliminary and Unaudited

(In Millions)