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RICOH TO ACQUIRE IKON OFFICE SOLUTIONS, INC.

By Brad Jenkins

Tokyo ? August 27, 2008 ? Ricoh Company, Ltd. (TSE: 7752, "RICOH")(President & CEO: Shiro Kondo) today announced that it has reached a definitive agreement with IKON Office Solutions, Inc. (NYSE: IKN, "IKON") to acquire IKON (the "Transaction") through RICOH?s wholly owned U.S. distribution subsidiary, Ricoh Americas Corporation ("RAC"). The Transaction is supported by both RICOH and IKON and has been approved by the Boards of Directors of the respective organizations.

1. Background
RICOH (headquartered in Tokyo, Japan) is a global leader in imaging solutions that has brought to the market innovations such as digitalization, network solutions, and colorization. In the rapidly growing printing and document solution areas, RICOH?s challenge has been to strengthen its channels for assessing customers? potential needs and making appropriate proposals based on a customer-driven approach. In the extremely competitive U.S. market, Ricoh is committed to further strengthening its sales and support channels....

2. Acquisition Price
Target: IKON Office Solutions, Inc.
Estimated Acquisition Price: U.S. $1.617 billion (approx. JPY 172.1 billion) *1 based on an offer of $17.25 per share. This price is a 33% premium over the average daily closing price of the past 60 days until August 26th. After careful analysis and review of IKON's assets, business operations and prospects, RICOH considers that this price is fair and reasonable.
(*1) Exchange rate is $1 = JPY106.42, unless otherwise noted.

Finance: RICOH will finance the Transaction with a mix of its own and external funding.

Full post as published by Litigation support industry business news and information on August 29, 2008 (boomark / email).