Mercer International Announces Redemption of All of Its Remaining 8.5% Convertible Senior Subordinated Notes Due 2012

Mercer International MERC today announced that it intends to redeem all of its 8.5% Convertible Senior Subordinated Notes due 2012 (CUSIP 588056AK7) (the "Notes"), of which $37,008,608 in aggregate principal amount remain outstanding. A notice of redemption (the "Redemption Notice") pursuant to the terms of the indenture governing the Notes (the "Indenture") is being distributed by Wells Fargo Bank, National Association, the trustee under the Indenture. The Redemption Notice stipulates a redemption date of July 15, 2011 the "Redemption Date", and a redemption price of 100.00 percent of the principal amount of Notes redeemed, plus accrued and unpaid interest to, but not including, the Redemption Date. The Notes may continue to be converted into shares of the Company's common stock up until the Redemption Date at a conversion price of $3.30 per share.