American Greetings Corporation Announces Closing of $225 Million Senior Notes Offering in Connection With Tender Offers for Its Outstanding 7.375% Senior Notes Due 2016 and 7.375% Notes Due 2016

CLEVELAND, November 30, 2011 /PRNewswire/ --

American Greetings Corporation (NYSE: AM) ("American Greetings") announced today that it has closed its public offering of $225.0 million aggregate principal amount of 7.375% Senior Notes due 2021. 

American Greetings intends to use the net proceeds of the offering, along with cash on hand, to finance its cash tender offers for any and all of its outstanding 7.375% Senior Notes due 2016 and any and all of its outstanding 7.375% Notes due 2016, which were commenced on November 15, 2011.  Any remaining net proceeds will be used to finance the redemption of any such notes that remain outstanding after the completion of the tender offers.

J.P. Morgan Securities LLC and BofA Merrill Lynch served as joint book-running managers for the offering.

A prospectus supplement and accompanying prospectus relating to these securities were filed with the Securities and Exchange Commission.  A copy of the prospectus supplement and accompanying prospectus related to this offering may also be obtained from J.P. Morgan Securities LLC, Attention High Yield - New Issue, 383 Madison Avenue, 3rd Floor, New York, NY 10179, Telephone: 800-245-8812 or from BofA Merrill Lynch, Attention: Syndicate Operations, 4 World Financial Center, New York, NY 10080, Telephone: 800-294-1322, or by email: dg.prospectus_requests@baml.com.

This announcement does not constitute an offer to sell or the solicitation of an offer to buy any securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About American Greetings Corporation 

For more than 100 years, American Greetings Corporation (NYSE: AM) has been a creator and manufacturer of innovative social expression products that assist consumers in enhancing their relationships to create happiness, laughter and love.  American Greetings' major greeting card lines are American Greetings, Carlton Cards, Gibson, Recycled Paper Greetings and Papyrus, and other paper product offerings include DesignWare party goods and American Greetings and Plus Mark gift-wrap and boxed cards.  American Greetings also has one of the largest collections of electronic greetings on the Web, including cards available through AG Interactive, Inc. (American Greetings' online division).  In addition to its product lines, American Greetings also creates and licenses popular character brands through the American Greetings Properties group.  Headquartered in Cleveland, Ohio, American Greetings generates annual revenue of approximately $1.6 billion, and its products can be found in retail outlets worldwide. 

Forward-Looking Statements

This press release contains statements that are forward-looking within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.  Forward-looking statements are only predictions and are not guarantees of future performance.  Investors are cautioned that any such forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and factors relating to American Greetings that may cause the actual results to be materially different from any future results expressed or implied in such forward-looking statements.

Although American Greetings believes that the expectations and assumptions reflected in such forward-looking statements are reasonable based on information currently available to the management of American Greetings, American Greetings cannot guarantee future results or events.  American Greetings expressly disclaims a duty to update any of the forward-looking statements contained herein.