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 <p align="right" style="font-size:10.0pt;margin:0pt 0pt .0001pt;text-align:right;"><a name="scotch"><font size="2" face="Times New Roman" style="font-size:10.0pt;">As filed with the Securities and Exchange Commission on </font></a>April 5, 2007<br>Registration No.&nbsp;333-&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</p> <div style="border:none;border-bottom:double windowtext 6.0pt;padding:0pt 0pt 0pt 0pt;"> <p align="center" style="border:none;margin:0pt 0pt 12.0pt;padding:0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p> </div>

<p align="center" style="font-size:10.0pt;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">UNITED
STATES<br>
SECURITIES AND EXCHANGE COMMISSION</font><br>
WASHINGTON, DC 20549</b></p>

<div style="line-height:9.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>

<h2 align="center" style="font-weight:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">FORM
S-8</font></b></h2>

<h1 align="center" style="font-weight:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;text-align:center;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;font-weight:bold;">REGISTRATION STATEMENT<br>
</font></b><b><font size="3" style="font-size:12.0pt;font-weight:bold;">UNDER</font></b><b><font size="3" style="font-size:12.0pt;font-weight:bold;"><br>
THE SECURITIES ACT OF 1933</font></b></h1>

<div style="line-height:9.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="color:black;font-weight:bold;margin:0pt 0pt .0001pt;page-break-after:auto;text-align:center;"><b><font size="5" color="black" face="Times New Roman" style="font-size:18.0pt;">KapStone
Paper and Packaging Corporation</font></b></p>

<p style="color:black;font-weight:bold;margin:0pt 0pt 12.0pt;page-break-after:auto;text-align:center;"><b><font size="2" color="black" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">(Exact Name of Registrant as
Specified in Its Charter)</font></b></p>

<p style="color:black;margin:0pt 0pt 12.0pt;page-break-after:auto;text-align:center;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0pt 0pt .0001pt 7.2pt;text-align:center;text-indent:-7.2pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Delaware</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt 7.2pt;text-align:center;text-indent:-7.2pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(State or Other Jurisdiction of Incorporation or Organization)</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>

<p style="color:black;font-weight:bold;margin:0pt 0pt .0001pt;page-break-after:auto;text-align:center;"><b><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">20-2699372</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(I.R.S. Employer Identification No.)</font></p>

<h1 style="font-weight:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></h1>

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  <td width="48%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:48.8%;">
  <p align="center" style="font-size:10.0pt;margin:0pt 0pt .0001pt;text-align:center;"><!-- SET mrlNoTableShading --><b>One Northfield Plaza<br>
  Suite 480<br>
  Northfield, IL</b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="48%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:48.8%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">60093</font></b></p>
  </td>
 </tr>
 <tr>
  <td width="48%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:48.8%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Address of Principal Executive Offices)</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="48%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:48.8%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Zip Code)</font></p>
  </td>
 </tr>
</table>

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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<div style="line-height:9.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p style="color:black;margin:0pt 0pt 6.0pt;page-break-after:auto;text-align:center;"><font size="2" color="black" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="font-size:10.0pt;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">KapStone Paper and Packaging
Corporation<br>
2006 Incentive Plan</font></b><br>
(Full Title of the 2006 Stock Incentive Plan)</p>

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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="color:black;margin:0pt 0pt 3.0pt;page-break-after:auto;text-align:center;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">(Name and Address of Agent for Service)</font></p>

<div style="line-height:9.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p style="color:black;margin:0pt 0pt 6.0pt;page-break-after:auto;text-align:center;"><font size="2" color="black" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<h1 align="center" style="font-weight:normal;margin:0pt 0pt 6.0pt;page-break-after:avoid;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CALCULATION OF
REGISTRATION FEE</font></b></h1>

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 <tr style="page-break-inside:avoid;">
  <td width="36%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:36.3%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Title&nbsp;Of&nbsp;Securities</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">To&nbsp;Be&nbsp;Registered</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="13%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Amount&nbsp;To&nbsp;Be</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Registered&nbsp;(1)</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="13%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Proposed</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Maximum&nbsp;Offering</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Price</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Per&nbsp;Share&nbsp;(2)</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="13%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Proposed</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Maximum</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Aggregate&nbsp;Offering</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Price</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="13%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Amount&nbsp;of</font></b></p>
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Registration&nbsp;Fee</font></b></p>
  </td>
  <td width="0%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:.34%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="36%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:36.3%;">
  <p style="margin:0pt 0pt .0001pt 10.0pt;page-break-after:avoid;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="13%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="13%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="13%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="13%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="0%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:.34%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr bgcolor="#CCEEFF" style="page-break-inside:avoid;">
  <td width="36%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:36.3%;">
  <p style="margin:0pt 0pt .0001pt 10.0pt;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Common stock, par value
  $.0001 per share</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="13%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3,000,000</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="13%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$6.74</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="13%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$20,220,000.00</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="13%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:13.46%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$620.75</font></p>
  </td>
  <td width="0%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:.34%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
</table>

<p style="margin:0pt 0pt 12.0pt 25.0pt;text-indent:-25.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0pt 0pt 12.0pt 25.0pt;text-indent:-25.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(1)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Pursuant to
Rule 416(a) under the Securities Act of 1933, this Registration Statement also
covers an indeterminate number of shares of common stock which may be issued by
reason of stock splits, stock dividends or similar corporate events.</p>

<p style="font-size:10.0pt;margin:0pt 0pt 12.0pt 25.0pt;text-indent:-25.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(2)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Computed for
the purpose of determining the registration fee pursuant to Rule 457(h) under
the Securities Act of 1933, as amended, on the basis of the price at which the
options covered by this Registration Statement may be exercised, which was
equal to the average of the high and low price per share of common stock on
April 4, 2007, as reported on the Over-The-Counter Bulletin Board.</p>

<p style="margin:0pt 0pt .0001pt 54.0pt;text-indent:-54.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>


 <div style="border:none;border-bottom:double windowtext 6.0pt;padding:0pt 0pt 0pt 0pt;"> <p style="border:none;margin:0pt 0pt .0001pt;padding:0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p> </div>
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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PART I</font></b></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS</font></b></p>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item 1.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Plan
Information.</font></b></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The purpose of the 2006 Incentive Plan of KapStone Paper and Packaging
Corporation (&#147;KapStone&#148;) is to enable us to attract, retain, motivate and
provide additional incentives to certain directors, officers, employees,
consultants and advisors, whose contributions are essential to our growth and
success by enabling them to participate in our long-term growth through the
exercise of stock options and the ownership of our stock.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The following is a summary of the material provisions of the 2006
Incentive Plan and is qualified in its entirety by reference to the complete
text of the plan, a copy of which is being provided to you with this
prospectus.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Administration</font></i></b><font size="2" style="font-size:10.0pt;">. The 2006 Incentive Plan will be administered by a committee of our
board of directors of not less than two members of the board, each of whom
shall be an outside director. For purposes of the following discussion, the
term &#147;Administrator&#148; means the committee to which the board of directors
delegated its authority as provided above.&#160;
The Administrator has the authority, subject to the terms of the 2006
Incentive Plan, to determine the individuals to whom equity awards will be granted,
the times at which options will be granted and the terms and conditions of the
equity awards.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Shares That May Be Issued
Under the 2006 Incentive Plan</font></i></b><font size="2" style="font-size:10.0pt;">.
A maximum of 3,000,000 shares of our common stock, which number may be adjusted
as described below, are available for issuance pursuant to options, restricted
stock awards or stock appreciation rights, which we refer to herein
collectively as Awards, granted under the 2006 Incentive Plan. If any Award is
forfeited or expires without being exercised, or if restricted stock is
repurchased by KapStone, the shares of stock subject to the Award shall be
available for additional grants under the Plan.&#160;
The number of shares available under the 2006 Incentive Plan is subject
to adjustment in the event of any stock split, stock dividend, recapitalization,
spin-off or other similar action.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Eligibility</font></i></b><font size="2" style="font-size:10.0pt;">. Awards may be granted to employees, officers and directors of, and
consultants or advisors to, KapStone and any subsidiary corporations. Options
intended to qualify, under the standards set forth in certain federal tax
rules, as incentive stock options (&#147;ISOs&#148;) may be granted only to employees
while actually employed by us. Non-employee directors, consultants and advisors
are not entitled to receive ISOs.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Estimate of Benefits</font></i></b><font size="2" style="font-size:10.0pt;">. We cannot determine the benefits to be received by our directors or
officers under the 2006 Incentive Plan or the benefits that would have been
received by our directors and officers in 2005 had the plan been in effect in
2005.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Types of Awards</font></i></b><font size="2" style="font-size:10.0pt;">.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">Stock Options</font></i><font size="2" style="font-size:10.0pt;">. ISOs granted under the 2006 Incentive Plan are exercisable for a
period fixed by the Administrator, but no longer than 10 years from the date of
grant, at an exercise price which is not less than the fair market value of the
common stock on the date of the grant, except that the term of an incentive
option granted under the 2006 Incentive Plan to a stockholder who owns (or is
deemed to own) more than 10% of the outstanding voting power may not exceed
five years and its exercise price may not be less than 110% of the fair market
value of the shares of our common stock on the date of grant. To the extent
that the aggregate fair market value, as of the date of grant, of the shares
for which incentive options become exercisable for the first time by an
optionee during the calendar year exceeds $100,000, the portion of such option
which is in excess of the $100,000 limitation will be treated as a nonqualified
option. Nonqualified options granted under the 2006 Incentive Plan are
exercisable for a period fixed by the Administrator, but no longer than 10
years from the date of grant, at an exercise price which is not less than the
fair market value of the shares of our common stock on the date of the grant.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Options granted under the 2006 Incentive
Plan to employees (including officers) of KapStone may be exercised only while
the optionee is employed by KapStone or within three months of the date of
termination of the employment </font></p>


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<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">relationship,
except that: (i) if the individual is terminated for cause, the option shall
terminate immediately and no longer be exercisable, (ii) if such options are
nonqualified options which are exercisable at the time the optionee&#146;s
employment is terminated by death or permanent disability, such options may be
exercised within two years of the date of termination of the employment
relationship, (iii) if such options are incentive options which are exercisable
at the time the optionee&#146;s employment is terminated by death or permanent
disability, such options may be exercised within one year of the date of
termination of the employment relationship, and (iv) in the case of the
retirement of an optionee, (a) nonqualified options will be exercisable prior
to the date which is the earlier of two years following the date of retirement
or the expiration date of the option and (b) incentive options will be
exercisable prior to the earlier of the date which is three months following
the date of retirement or the expiration of the option.&#160; With respect to options granted to
individuals who are not employees of KapStone, the Administrator shall
determine the consequences, if any, of the termination of the optionee&#146;s
relationship with KapStone. Payment of the exercise price of an option may be
made by cash, by surrender of shares having a fair market value equal to the
exercise price, or by any other means that the Administrator determines.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">Restricted Stock</font></i><font size="2" style="font-size:10.0pt;">. Each restricted stock award will be evidenced by a written restricted
stock grant agreement.&#160; No cash or other
consideration will be required to be paid by the plan participant to receive
the shares other than in the form of services performed under the terms and
conditions determined by the Administrator and specified in the restricted
stock agreement.&#160; Terms and conditions
for shares that are part of the award may include the completion of a specified
number of years of service or attaining certain performance goals prior to the
restricted shares subject to the award becoming vested.&#160; Upon termination, if the restricted stock is
not vested, KapStone may repurchase the restricted stock from the participant
on the terms and conditions contained in the restricted stock grant agreement.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">Stock Appreciation Rights or SARs</font></i><font size="2" style="font-size:10.0pt;">. A stock appreciation right means the right to receive payment in
shares of common stock or, if permitted by Section 409A of the Code without
causing the stock appreciation rights to be treated as deferred compensation
subject thereto, cash in an amount equal to the excess of the fair market value
of the shares on the date of exercise and the fair market value of the shares
at the time of grant.&#160; Each stock
appreciation right will be evidenced by a written stock appreciation right
agreement.&#160; No cash or other
consideration will be required to be paid by the plan participant to receive
the cash or shares, other than the terms and conditions determined by the
Administrator and specified in the stock appreciation right agreement. Terms
and conditions for shares that are part of the award could include the
completion of a specified number of years of service or attaining certain
performance goals prior to the rights subject to the award becoming vested. A
plan participant holding a stock appreciation right will have none of the
rights of a stockholder (including the right to receive the payment of cash
dividends) until such time as shares, if any, are actually issued. Upon
termination of the employment of an employee, any unvested portion of a stock
appreciation right will be forfeited.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">A participant may be granted more than
one Award under the 2006 Incentive Plan. The Administrator will, in its
discretion, determine (subject to the terms of the 2006 Incentive Plan), among
other things, who will be granted an Award, the time or times at which Awards
shall be granted, and the number of shares subject to each Award, whether options
are incentive options or nonqualified options, the manner in which options may
be exercised and the vesting schedule of any Award. In making such
determination, consideration may be given to the value of the services rendered
by the respective individuals, their present and potential contributions to the
success of KapStone and its subsidiaries and such other factors deemed relevant
in accomplishing the purposes of the 2006 Incentive Plan.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Federal Income Tax
Consequences</font></i></b><font size="2" style="font-size:10.0pt;">. </font><font size="2" style="font-size:10.0pt;">The following
is a general summary of the federal income tax consequences under current tax
law of options, stock appreciation rights and restricted stock.&#160; It does not purport to cover all of the
special rules, including special rules relating to participants subject to
Section 16(b) of the Exchange Act and the exercise of an option with
previously-acquired shares, or the state or local income or other tax
consequences inherent in the ownership and exercise of stock options and the
ownership and disposition of the underlying shares or the ownership and
disposition of restricted stock.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">Stock Options</font></i><font size="2" style="font-size:10.0pt;">. </font><font size="2" style="font-size:10.0pt;">A participant will not recognize taxable income for federal income tax
purposes upon the grant of a nonqualified option or an incentive option. Upon
the exercise of an incentive option, the optionee will not recognize taxable
income.&#160; If the optionee disposes of the
shares acquired pursuant to the exercise of an incentive option more than </font></p>


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<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">two years after the date of grant and more
than one year after the transfer of the shares to him or her, the optionee will
recognize long-term capital gain or loss and KapStone will not be entitled to a
deduction.&#160; However, if the optionee
disposes of such shares within the required holding period, all or a portion of
any gain will be treated as ordinary income and KapStone will generally be
entitled to deduct such amount.&#160;
Long-term capital gain is generally subject to more favorable tax
treatment than ordinary income or short-term capital gain.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Upon the exercise of a nonqualified option, the optionee will recognize
ordinary income in an amount equal to the excess, if any, of the fair market
value of the shares acquired on the date of exercise over the exercise price
thereof, and KapStone will generally be entitled to a deduction for such amount
at that time. &#160;If the optionee later
sells shares acquired pursuant to the exercise of a nonqualified option, he or
she will recognize long-term or short-term capital gain or loss, depending on
the period for which the shares were held.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In addition to the federal income tax consequences described above, an
optionee may be subject to the alternative minimum tax, which is payable to the
extent it exceeds the optionee&#146;s regular tax.&#160;
For this purpose, upon the exercise of an incentive option, the excess
of the fair market value of the shares over the exercise price therefore is an
adjustment which increases alternative minimum taxable income.&#160; In addition, the optionee&#146;s basis in such
shares is increased by such excess for purposes of computing the gain or loss
on the disposition of the shares for alternative minimum tax purposes.&#160; If an optionee is required to pay an
alternative minimum tax, the amount of such tax which is attributable to
deferral preferences (including the incentive option adjustment) is allowed as
a credit against the optionee&#146;s regular tax liability in subsequent years.&#160; To the extent the credit is not used, it is
carried forward.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">Restricted Stock</font></i><font size="2" style="font-size:10.0pt;">. </font><font size="2" style="font-size:10.0pt;">A participant who receives a grant of restricted stock will generally
receive ordinary income equal to the fair market value of the stock at the time
the restriction lapses.&#160; Alternatively,
the participant may elect to be taxed on the value at the time of grant.&#160; KapStone is generally entitled to a deduction
at the same time and in the same amount as the income required to be included
by the participant.</font></p>

<p align="left" style="font-family:Times New Roman;margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">Stock Appreciation Rights</font></i><font size="2" style="font-size:10.0pt;">. A participant does not
recognize income upon the grant of a stock appreciation right. The participant
has ordinary income upon exercise of the stock appreciation right equal to the
increase in the value of the underlying shares, and KapStone will generally be
entitled to a deduction for such amount. Awards of SARs under the 2006 Plan
may, in some cases, result in the deferral of compensation that is subject to
the requirements of section 409A of the Code. To date, the U.S. Treasury
Department and Internal Revenue Service have issued only preliminary guidance
regarding the impact of section 409A of the Code on the taxation of these types
of awards. Generally, to the extent that deferrals of these awards fail to meet
certain requirements under section 409A of the Code, such awards will be
subject to immediate taxation and tax penalties in the year they vest unless
the requirements of section 409A of the Code are satisfied. It is the intent of
KapStone that Awards under the 2006 Plan will be structured and administered in
a manner that either complies with or is exempt from the requirements of
section 409A of the Code.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The foregoing discussion does not
purport to be a complete analysis of all the potential tax consequences
relevant to recipients of Awards or to KapStone or its subsidiaries. The above
discussion does not take into account the effect of state and local tax laws.
Moreover, no assurance can be given that legislative, administrative,
regulatory or judicial changes or interpretations will not occur which could
modify such analysis. In addition, an individual&#146;s particular tax status may
result in different tax consequences from those described above. Therefore, any
participant in the 2006 Incentive Plan should consult with his own tax adviser
concerning the tax consequences of the grant, exercise and surrender of any
such Award and the disposition of any stock acquired pursuant to such Awards.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;font-weight:bold;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">Termination of and Amendments to the 2006 Incentive Plan</font></i></b><font style="font-weight:normal;">. The 2006 Incentive Plan may be amended or
terminated by the board of directors at any time, provided that no amendment
requiring stockholder approval by law or by the rules of any securities
exchange or other market on which the shares are traded may be made without
stockholder approval, and further, that there shall be no amendment to the
terms of any options under the 2006 Incentive Plan which would result in the
repricing of an Award, the cancellation of an Award and substitution with an Award
with a lower exercise price or any similar amendment without stockholder
approval. Also, no amendment or termination may materially adversely affect any
outstanding Award without the written consent of the participant. No Awards may
be granted under the 2006 Incentive Plan after December 29, 2016.</font></p>


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<p style="font-weight:bold;margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item 2.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Registrant
Information and Employee Plan Annual Information.</font></b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Pursuant to Rule 428(b)(1) under the Securities Act of
1933, as amended (the &#147;Securities Act&#148;), the documents containing the
information specified in Part I of Form S-8 (of which this prospectus is a
part) will be sent or given to each participant in our 2006 Incentive
Plan.&#160; This document and the documents
incorporated by reference in this registration statement pursuant to Item 3 of
Part II of the registration statement of which this prospectus is a part, taken
together, constitute the Section 10(a) Prospectus.&#160; We will provide to you without charge, upon
written or oral request, copies of the documents incorporated by reference in
the registration statement of which this prospectus is a part.&#160; Any such request for documents should be
directed to: Matthew Kaplan, President, KapStone Paper and Packaging
Corporation, One Northfield Plaza, Suite 480, Northfield, IL 60093.&#160; Mr. Kaplan can also be reached at (847)
441-0929.</font></p>

<h1 align="center" style="font-weight:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PART II</font></b></h1>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">INFORMATION
REQUIRED IN THE REGISTRATION STATEMENT</font></b></p>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item 3.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Incorporation
of Documents by Reference.</font></b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:54.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We hereby incorporate by
reference into this registration statement the following documents previously
filed with the Securities and Exchange Commission (the &#147;SEC&#148;):</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 90.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(1)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our Annual Report on Form 10-K for the year
ended December&nbsp;31, 2006 filed on March&nbsp;16, 2007;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 90.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(2)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our Current Report on Form 8-K filed on January
4, 2007;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 90.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(3)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our Current Report on Form 8-K filed on
January 10, 2007;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 90.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(4)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our Current Report on Form 8-K filed on
January 31, 2007 (other than with respect to the information under Item 9.01,
which is not incorporated by reference);</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 90.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(5)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our Current Report on Form 8-K filed on March
1, 2007 (other than with respect to the information under Item 9.01, which is
not incorporated by reference);</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 90.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(6)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our Current Report on Form 8-K/A filed on
March 21, 2007; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 90.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(7)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>the description of our common stock contained
in our Form 8-A filed July 18, 2005 and any further amendment or report filed
with the SEC for the purpose of updating such description.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:54.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">All documents filed by the
Registrant pursuant to Sections 13(a), 13(c), 14 and 15(d) of the Exchange Act,
after the date of this registration statement and prior to the filing of a
post-effective amendment which indicates that all shares of common stock
offered hereby have been sold or which de-registers all shares of common stock
then remaining unsold, shall be deemed to be incorporated by reference into
this registration statement and to be part hereof from the date of the filing
of such documents. Any statement contained in a document incorporated or deemed
to be incorporated by reference herein shall be deemed to be modified or
superseded for purposes of this registration statement to the extent that a
statement contained herein or in any other subsequently filed document which
also is or is deemed to be incorporated by reference herein modifies or
supersedes such statement. Any statement so modified or superseded shall not be
deemed, except as so modified or superseded, to constitute a part of this
registration statement.</font></p>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item 4. &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Description
of Securities.</font></b></p>

<p style="margin:0pt 0pt 12.0pt 55.0pt;text-indent:0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Not applicable.</font></p>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item 5. &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Interests
of Named Experts and Counsel.</font></b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:54.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Not applicable.</font></p>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;page-break-after:avoid;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item
6. &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Indemnification of Directors
and Officers.</font></b></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Our certificate of incorporation provides that all directors, officers,
employees and agents of the registrant shall be entitled to be indemnified by
us to the fullest extent permitted by Section&nbsp;145 of the Delaware General
Corporation Law.</font></p>


 <p style="margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 145 of the Delaware General Corporation Law concerning
indemnification of officers, directors, employees and agents is set forth
below.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 145. Indemnification of officers, directors, employees and
agents; insurance.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a) A corporation shall have power to indemnify any person who was or
is a party or is threatened to be made a party to any threatened, pending or
completed action, suit or proceeding, whether civil, criminal, administrative
or investigative (other than an action by or in the right of the corporation)
by reason of the fact that the person is or was a director, officer, employee
or agent of the corporation, or is or was serving at the request of the
corporation as a director, officer, employee or agent of another corporation,
partnership, joint venture, trust or other enterprise, against expenses
(including attorneys&#146; fees), judgments, fines and amounts paid in settlement
actually and reasonably incurred by the person in connection with such action,
suit or proceeding if the person acted in good faith and in a manner the person
reasonably believed to be in or not opposed to the best interests of the
corporation, and, with respect to any criminal action or proceeding, had no
reasonable cause to believe the person&#146;s conduct was unlawful. The termination
of any action, suit or proceeding by judgment, order, settlement, conviction,
or upon a plea of nolo contendere or its equivalent, shall not, of itself,
create a presumption that the person did not act in good faith and in a manner
which the person reasonably believed to be in or not opposed to the best
interests of the corporation, and, with respect to any criminal action or
proceeding, had reasonable cause to believe that the person&#146;s conduct was
unlawful.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b) A corporation shall have power to indemnify any person who was or
is a party or is threatened to be made a party to any threatened, pending or
completed action or suit by or in the right of the corporation to procure a
judgment in its favor by reason of the fact that the person is or was a
director, officer, employee or agent of the corporation, or is or was serving
at the request of the corporation as a director, officer, employee or agent of
another corporation, partnership, joint venture, trust or other enterprise
against expenses (including attorneys&#146; fees) actually and reasonably incurred
by the person in connection with the defense or settlement of such action or
suit if the person acted in good faith and in a manner the person reasonably
believed to be in or not opposed to the best interests of the corporation and
except that no indemnification shall be made in respect of any claim, issue or
matter as to which such person shall have been adjudged to be liable to the
corporation unless and only to the extent that the Court of Chancery or the
court in which such action or suit was brought shall determine upon application
that, despite the adjudication of liability but in view of all the
circumstances of the case, such person is fairly and reasonably entitled to
indemnity for such expenses which the Court of Chancery or such other court
shall deem proper.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c) To the extent that a present or former director or officer of a
corporation has been successful on the merits or otherwise in defense of any
action, suit or proceeding referred to in subsections (a) and (b) of this
section, or in defense of any claim, issue or matter therein, such person shall
be indemnified against expenses (including attorneys&#146; fees) actually and
reasonably incurred by such person in connection therewith.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d) Any indemnification under subsections (a) and (b) of this section
(unless ordered by a court) shall be made by the corporation only as authorized
in the specific case upon a determination that indemnification of the present
or former director, officer, employee or agent is proper in the circumstances
because the person has met the applicable standard of conduct set forth in
subsections (a) and (b) of this section. Such determination shall be made, with
respect to a person who is a director or officer at the time of such
determination, (1) by a majority vote of the directors who are not parties to such
action, suit or proceeding, even though less than a quorum, or (2)&nbsp;by a
committee of such directors designated by majority vote of such directors, even
though less than a quorum, or (3)&nbsp;if there are no such directors, or if
such directors so direct, by independent legal counsel in a written opinion, or
(4)&nbsp;by the stockholders.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(e) Expenses (including attorneys&#146; fees) incurred by an officer or
director in defending any civil, criminal, administrative or investigative
action, suit or proceeding may be paid by the corporation in advance of the
final disposition of such action, suit or proceeding upon receipt of an
undertaking by or on behalf of such director or officer to repay such amount if
it shall ultimately be determined that such person is not entitled to be
indemnified by the corporation as authorized in this section. Such expenses
(including attorneys&#146; fees) incurred by former directors and officers or other
employees and agents may be so paid upon such terms and conditions, if any, as
the corporation deems appropriate.</font></p>


 <p style="margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(f)&nbsp;The indemnification and advancement of expenses provided by,
or granted pursuant to, the other subsections of this section shall not be
deemed exclusive of any other rights to which those seeking indemnification or
advancement of expenses may be entitled under any bylaw, agreement, vote of
stockholders or disinterested directors or otherwise, both as to action in such
person&#146;s official capacity and as to action in another capacity while holding
such office.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(g)&nbsp;A corporation shall have power to purchase and maintain
insurance on behalf of any person who is or was director, officer, employee or
agent of the corporation, or is or was serving at the request of the
corporation as a director, officer, employee or agent of another corporation,
partnership, joint venture, trust or other enterprise against any liability
asserted against such person and incurred by such person in any such capacity,
or arising out of such person&#146;s status as such, whether or not the corporation
would have the power to indemnify such person against such liability under this
section.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(h)&nbsp;For purposes of this section, references to &#147;the corporation&#148;
shall include, in addition to the resulting corporation, any constituent
corporation (including any constituent of a constituent) absorbed in a
consolidation or merger which, if its separate existence had continued, would
have had power and authority to indemnify its directors, officers, and
employees or agents, so that any person who is or was a director, officer, employee
or agent of such constituent corporation, or is or was serving at the request
of such constituent corporation as a director, officer, employee or agent of
another corporation, partnership, joint venture, trust or other enterprise,
shall stand in the same position under this section with respect to the
resulting or surviving corporation as such person would have with respect to
such constituent corporation if its separate existence had continued.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)&nbsp;For purposes of this section, references to &#147;other enterprises&#148;
shall include employee benefit plans; references to &#147;fines&#148; shall include any
excise taxes assessed on a person with respect to any employee benefit plan;
and references to &#147;serving at the request of the corporation&#148; shall include any
service as a director, officer, employee or agent of the corporation which
imposes duties on, or involves services by, such director, officer, employee or
agent with respect to an employee benefit plan, its participants or
beneficiaries; and a person who acted in good faith and in a manner such person
reasonably believed to be in the interest of the participants and beneficiaries
of an employee benefit plan shall be deemed to have acted in a manner &#147;not
opposed to the best interests of the corporation&#148; as referred to in this
section.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(j)&nbsp;The indemnification and advancement of expenses provided by,
or granted pursuant to, this section shall, unless otherwise provided when
authorized or ratified, continue as to a person who has ceased to be a
director, officer, employee or agent and shall inure to the benefit of the
heirs, executors and administrators of such a person.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(k)&nbsp;The Court of Chancery is hereby vested with exclusive
jurisdiction to hear and determine all actions for advancement of expenses or
indemnification brought under this section or under any bylaw, agreement, vote
of stockholders or disinterested directors, or otherwise. The Court of Chancery
may summarily determine a corporation&#146;s obligation to advance expenses
(including attorneys&#146; fees).&#148;</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Insofar as indemnification for liabilities arising under the Securities
Act may be permitted to our directors, officers, and controlling persons
pursuant to the foregoing provisions, or otherwise, we have been advised that
in the opinion of the SEC such indemnification is against public policy as
expressed in the Securities Act and is, therefore, unenforceable. In the event
that a claim for indemnification against such liabilities (other than the
payment of expenses incurred or paid by a director, officer or controlling person
in a successful defense of any action, suit or proceeding) is asserted by such
director, officer or controlling person in connection with the securities being
registered, we will, unless in the opinion of its counsel the matter has been
settled by controlling precedent, submit to the court of appropriate
jurisdiction the question whether such indemnification by it is against public
policy as expressed in the Securities Act and will be governed by the final
adjudication of such issue.</font></p>

<p align="left" style="margin:12.0pt 0pt .0001pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Paragraph&nbsp;B
of Article&nbsp;Eighth of our certificate of incorporation provides:</font></p>

<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;The
Corporation, to the full extent permitted by Section&nbsp;145 of the GCL, as
amended from time to time, shall indemnify all persons whom it may indemnify
pursuant thereto. Expenses (including attorneys&#146; fees) incurred by an officer
or director in defending any civil, criminal, administrative, or investigative
action, suit or proceeding for which </font></p>


 <p style="margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">6</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">such
officer or director may be entitled to indemnification hereunder shall be paid
by the Corporation in advance of the final disposition of such action, suit or
proceeding upon receipt of an undertaking by or on behalf of such director or
officer to repay such amount if it shall ultimately be determined that he is
not entitled to be indemnified by the Corporation as authorized hereby.&#148;</font></p>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;page-break-after:avoid;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item
7.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Exemption from Registration
Claimed.</font></b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:54.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Not applicable.</font></p>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item 8.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Exhibits.</font></b></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p style="font-size:8.0pt;font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><!-- SET mrlNoTableShading -->EXHIBIT</p>
  </td>
  <td width="5%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="83%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="5%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="83%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="5%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="83%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">NUMBER</font></b></p>
  </td>
  <td width="5%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="83%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p align="left" style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:left;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">DESCRIPTION
  OF EXHIBIT</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;4.1</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2006 Incentive Plan(1)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;5.1</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Opinion of Sonnenschein Nath and Rosenthal LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.1</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Ernst &amp; Young LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.2</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Deloitte &amp; Touche LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.3</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Eisner LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="10%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:10.92%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">24.1</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:83.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Power of Attorney (included as part of the signature
  page of this registration statement).</font></p>
  </td>
 </tr>
</table>

<p style="margin:0pt 0pt 12.0pt 54.0pt;page-break-after:avoid;text-indent:-54.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 20.0pt;text-indent:-20.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(1)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Incorporated by
reference to Annex C to our Definitive Proxy Statement filed with the SEC on
December 15, 2006.</p>

<p style="font-weight:bold;margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Item 9. &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; Undertakings.</font></b></p>

<p style="margin:12.0pt 0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The undersigned Registrant
undertakes:</font></p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(1)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>To file, during any period in which offers or sales are being made, a
post-effective amendment to this registration statement to:</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 54.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Include any prospectus required by Section
10(a)(3) of the Securities Act of 1933;</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 54.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Reflect in the prospectus any facts or events
which, individually or in the aggregate, represent a fundamental change in the
information set forth in the registration statement.&#160; Notwithstanding the foregoing, any increase
or decrease in volume of securities offered (if the total dollar value of
securities offered would not exceed that which was registered) and any deviation
from the low or high end of the estimated maximum offering range may be
reflected in the form of prospectus filed with the Commission pursuant to Rule
424(b) if, in the aggregate, the changes in volume and price represent no more
than 20 percent change in the maximum aggregate offering price set forth in the
&#147;Calculation of Registration Fee&#148; table in the effective registration
statement.</p>


 <p style="margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">7</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 54.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>Include
any material information with respect to the plan of distribution not
previously disclosed in this registration statement or any material change to
such information in the registration statement;</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(2)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>That, for determining liability under the Securities Act of 1933, treat
each post-effective amendment as a new registration statement relating to the
securities offered, and the offering of the securities at that time to be the
initial bona fide offering thereof.</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(3)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>To file a post-effective amendment to remove from registration any of
the securities that remain unsold at the end of the offering.</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(4)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>That, for determining liability of the undersigned Registrant under the
Securities Act to any purchaser in the initial distribution of the securities,
the undersigned Registrant undertakes that in a primary offering of securities
of the undersigned Registrant pursuant to this registration statement,
regardless of the underwriting method used to sell the securities to the
purchaser, if the securities are offered or sold to such purchaser by means of
any of the following communications, the undersigned Registrant will be a
seller to the purchaser and will be considered to offer or sell such securities
to such purchaser:</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 54.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Any preliminary prospectus or prospectus of
the undersigned Registrant relating to the offering required to be filed
pursuant to Rule 424;</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 54.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Any free writing prospectus relating to the
offering prepared by or on behalf of the undersigned Registrant or used or
referred to by the undersigned Registrant;</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 54.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>The
portion of any other free writing prospectus relating to the offering
containing material information about the undersigned Registrant or its
securities provided by or on behalf of the undersigned Registrant; and</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 54.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iv)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160; </font>Any other communication that is an offer in
the offering made by the undersigned Registrant to the purchaser.</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(5)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>That, for purposes of determining any liability under the Securities
Act of 1933, each filing of the Registrant&#146;s annual report pursuant to
Section&nbsp;13(a) or Section&nbsp;15(d) of the Securities Exchange Act of 1934
(and, where applicable, each filing of an employee benefit plan&#146;s annual report
pursuant to Section&nbsp;15(d) of the Securities Exchange Act of 1934) that is
incorporated by reference in the Registration Statement shall be deemed to be a
new registration statement relating to the securities offered therein, and the offering
of such securities at that time shall be deemed to be the initial bona fide
offering thereof.</p>

<p align="left" style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;text-align:left;text-indent:-18.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(6)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Insofar as indemnification for liabilities arising under the Securities
Act of 1933 may be permitted to directors, officers and controlling persons of
the Registrant pursuant to the foregoing provisions, or otherwise, the
Registrant has been advised that, in the opinion of the Securities and Exchange
Commission, such indemnification is against public policy as expressed in the
Act and is, therefore, unenforceable. In the event that a claim for
indemnification against such liabilities (other than the payment by the
Registrant of expenses incurred or paid by a director, officer or controlling
person of the Registrant in the successful defense of any action, suit or
proceeding) is asserted by such director, officer or controlling person in
connection with the securities being registered, the Registrant will, unless in
the opinion of its counsel the matter has been settled by controlling
precedent, submit to a court of appropriate jurisdiction the question whether
such indemnification by it is against public policy as expressed in the Act and
will be governed by the final adjudication of such issue.</p>


 <p style="margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">8</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SIGNATURES</font></b></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Pursuant to the requirements of the
Securities Act of 1933, as amended, the registrant certifies that it has
reasonable grounds to believe that it meets all of the requirements for filing
on Form S-8 and authorized this registration statement to be signed on its
behalf by the undersigned, thereunto duly authorized, in the city of Chicago,
state of Illinois, on this 5th day of April, 2007.</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.64%;">
  <p style="font-size:10.0pt;margin:0pt 0pt .0001pt;"><!-- SET mrlNoTableShading --></p>
  </td>
  <td width="57%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:57.36%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">KAPSTONE PAPER AND
  PACKAGING CORPORATION</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.64%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="52%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:52.4%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.64%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="52%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:52.4%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.64%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="52%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:52.4%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Roger W. Stone</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.64%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="52%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:52.4%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Roger W. Stone</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.64%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="52%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:52.4%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chief Executive Officer</font></p>
  </td>
 </tr>
</table>

<p style="margin:12.0pt 0pt 12.0pt 216.0pt;"><font size="3" face="Times New Roman" style="font-size:12.0pt;">&nbsp;</font></p>

<p style="font-weight:bold;margin:12.0pt 0pt;page-break-after:avoid;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">POWER OF ATTORNEY</font></b></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">KNOW ALL MEN BY THESE PRESENTS, that each person whose signature
appears below constitutes and appoints Roger Stone and Matthew Kaplan his true
and lawful attorney-in-fact, with full power of substitution and resubstitution
for him and in his name, place and stead, in any and all capacities to sign any
and all amendments including post-effective amendments to this registration
statement, and to file the same, with all exhibits thereto, and other documents
in connection therewith, with the Securities and Exchange Commission, hereby
ratifying and confirming all that said attorney-in-fact or his substitute, each
acting alone, may lawfully do or cause to be done by virtue thereof.</font></p>

<p align="left" style="margin:12.0pt 0pt;text-align:left;text-indent:36.0pt;text-justify:inter-ideograph;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In accordance with the requirements of the
Securities Act of 1933, this Registration Statement has been signed by the
following persons in the capacities on this 5th day of April, 2007.</font></p>

<p style="margin:0pt 0pt 12.0pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p style="font-size:8.0pt;font-weight:bold;line-height:12.0pt;margin:0pt 0pt .0001pt;text-align:center;"><!-- SET mrlNoTableShading --><font size="2" style="font-size:10.0pt;font-weight:normal;">SIGNATURE</font></p>
  </td>
  <td width="8%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="font-weight:bold;line-height:12.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:normal;">&nbsp;</font></b></p>
  </td>
  <td width="47%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="font-weight:bold;line-height:12.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">TITLE
  (CAPACITY)</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Roger W. Stone</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chairman of the Board and Chief Executive Officer</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Roger W. Stone</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Andrea Tarbox</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chief Financial Officer</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Andrea Tarbox</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Matthew Kaplan</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">President, Secretary and Director</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Matthew Kaplan</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ John Chapman</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">John Chapman</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ James Doughan</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">James Doughan</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Jonathan Furer</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Jonathan Furer</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Muhit Rahman</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Muhit Rahman</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ S. Jay Stewart</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">S. Jay Stewart</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="43%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:43.68%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="47%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
</table>

<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>


 <p style="margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">9</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<h1 align="center" style="font-weight:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">EXHIBIT INDEX</font></b></h1>

<p style="margin:0pt 0pt 12.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;"><font style="text-decoration:none;">&nbsp;</font></font></u></p>

<table border="1" cellspacing="0" cellpadding="0" width="100%" style="border:none;border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="font-size:8.0pt;font-weight:bold;line-height:12.0pt;margin:0pt 0pt .0001pt;text-align:center;"><!-- SET mrlNoTableShading --><font size="2" style="font-size:10.0pt;font-weight:normal;">EXHIBIT<br>
  NUMBER</font></p>
  </td>
  <td width="4%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="font-weight:bold;line-height:12.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:normal;">&nbsp;</font></b></p>
  </td>
  <td width="83%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p align="left" style="font-weight:bold;line-height:12.0pt;margin:0pt 0pt .0001pt;text-align:left;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">DESCRIPTION OF EXHIBIT</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.1</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2006 Incentive Plan.(1)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5.1</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Opinion of Sonnenschein Nath and Rosenthal LLP.</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.1</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Ernst &amp; Young LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.2</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Deloitte &amp; Touche LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.3</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Eisner LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="11%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.92%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">24.1</font></p>
  </td>
  <td width="4%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="83%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:83.1%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Power of Attorney (included as part of the signature
  page of this registration statement).</font></p>
  </td>
 </tr>
</table>

<p style="margin:0pt 0pt 12.0pt 36.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 20.0pt;text-indent:-20.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(1)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Incorporated by
reference to Annex C of our Definitive Proxy Statement filed with the SEC on
December 15, 2006.</p>


 <p style="margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">10</font></p>
</div><br><hr size="3" width="100%" noshade color="#010101" align="center">

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{"company-data": {"conformed-name": "KAPSTONE PAPER & PACKAGING CORP", "cik": "0001325281", "assigned-sic": "2621", "irs-number": "202699372", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "S-8", "act": "33", "file-number": "333-141916", "film-number": "07752512"}, "business-address": {"street1": "C/O STONE-KAPLAN INVESTMENTS, LLC", "street2": "ONE NORTHFIELD PLAZA, SUITE 480", "city": "NORTHFIELD", "state": "IL", "zip": "60093", "phone": "847-441-0929"}, "mail-address": {"street1": "C/O STONE-KAPLAN INVESTMENTS, LLC,", "street2": "ONE NORTHFIELD PLAZA, SUITE 480", "city": "NORTHFIELD", "state": "IL", "zip": "60093"}, "former-company": [{"former-conformed-name": "KapStone Paper & Packaging CORP", "date-changed": "20070104"}, {"former-conformed-name": "Stone Arcade Acquisition CORP", "date-changed": "20050428"}]}
As filed with the Securities and Exchange Commission on
April 5, 2007
Registration No. 333-
UNITED
STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM
S-8
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
KapStone
Paper and Packaging Corporation
(Exact Name of Registrant as
Specified in Its Charter)
Delaware
(State or Other Jurisdiction of Incorporation or Organization)
20-2699372
(I.R.S. Employer Identification No.)
One Northfield Plaza
Suite 480
Northfield, IL
60093
(Address of Principal Executive Offices)
(Zip Code)
KapStone Paper and Packaging
Corporation
2006 Incentive Plan
(Full Title of the 2006 Stock Incentive Plan)
(Name and Address of Agent for Service)
CALCULATION OF
REGISTRATION FEE
Title Of Securities
To Be Registered
Amount To Be
Registered (1)
Proposed
Maximum Offering
Price
Per Share (2)
Proposed
Maximum
Aggregate Offering
Price
Amount of
Registration Fee
Common stock, par value
  $.0001 per share
3,000,000
$6.74
$20,220,000.00
$620.75
(1)
Pursuant to
Rule 416(a) under the Securities Act of 1933, this Registration Statement also
covers an indeterminate number of shares of common stock which may be issued by
reason of stock splits, stock dividends or similar corporate events.
(2)
Computed for
the purpose of determining the registration fee pursuant to Rule 457(h) under
the Securities Act of 1933, as amended, on the basis of the price at which the
options covered by this Registration Statement may be exercised, which was
equal to the average of the high and low price per share of common stock on
April 4, 2007, as reported on the Over-The-Counter Bulletin Board.
PART I
INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS
Item 1.            Plan
Information.
The purpose of the 2006 Incentive Plan of KapStone Paper and Packaging
Corporation ("KapStone") is to enable us to attract, retain, motivate and
provide additional incentives to certain directors, officers, employees,
consultants and advisors, whose contributions are essential to our growth and
success by enabling them to participate in our long-term growth through the
exercise of stock options and the ownership of our stock.
The following is a summary of the material provisions of the 2006
Incentive Plan and is qualified in its entirety by reference to the complete
text of the plan, a copy of which is being provided to you with this
prospectus.
Administration
. The 2006 Incentive Plan will be administered by a committee of our
board of directors of not less than two members of the board, each of whom
shall be an outside director. For purposes of the following discussion, the
term "Administrator" means the committee to which the board of directors
delegated its authority as provided above. 
The Administrator has the authority, subject to the terms of the 2006
Incentive Plan, to determine the individuals to whom equity awards will be granted,
the times at which options will be granted and the terms and conditions of the
equity awards.
Shares That May Be Issued
Under the 2006 Incentive Plan
.
A maximum of 3,000,000 shares of our common stock, which number may be adjusted
as described below, are available for issuance pursuant to options, restricted
stock awards or stock appreciation rights, which we refer to herein
collectively as Awards, granted under the 2006 Incentive Plan. If any Award is
forfeited or expires without being exercised, or if restricted stock is
repurchased by KapStone, the shares of stock subject to the Award shall be
available for additional grants under the Plan. 
The number of shares available under the 2006 Incentive Plan is subject
to adjustment in the event of any stock split, stock dividend, recapitalization,
spin-off or other similar action.
Eligibility
. Awards may be granted to employees, officers and directors of, and
consultants or advisors to, KapStone and any subsidiary corporations. Options
intended to qualify, under the standards set forth in certain federal tax
rules, as incentive stock options ("ISOs") may be granted only to employees
while actually employed by us. Non-employee directors, consultants and advisors
are not entitled to receive ISOs.
Estimate of Benefits
. We cannot determine the benefits to be received by our directors or
officers under the 2006 Incentive Plan or the benefits that would have been
received by our directors and officers in 2005 had the plan been in effect in
2005.
Types of Awards
.
Stock Options
. ISOs granted under the 2006 Incentive Plan are exercisable for a
period fixed by the Administrator, but no longer than 10 years from the date of
grant, at an exercise price which is not less than the fair market value of the
common stock on the date of the grant, except that the term of an incentive
option granted under the 2006 Incentive Plan to a stockholder who owns (or is
deemed to own) more than 10% of the outstanding voting power may not exceed
five years and its exercise price may not be less than 110% of the fair market
value of the shares of our common stock on the date of grant. To the extent
that the aggregate fair market value, as of the date of grant, of the shares
for which incentive options become exercisable for the first time by an
optionee during the calendar year exceeds $100,000, the portion of such option
which is in excess of the $100,000 limitation will be treated as a nonqualified
option. Nonqualified options granted under the 2006 Incentive Plan are
exercisable for a period fixed by the Administrator, but no longer than 10
years from the date of grant, at an exercise price which is not less than the
fair market value of the shares of our common stock on the date of the grant.
Options granted under the 2006 Incentive
Plan to employees (including officers) of KapStone may be exercised only while
the optionee is employed by KapStone or within three months of the date of
termination of the employment
1
relationship,
except that: (i) if the individual is terminated for cause, the option shall
terminate immediately and no longer be exercisable, (ii) if such options are
nonqualified options which are exercisable at the time the optionee's
employment is terminated by death or permanent disability, such options may be
exercised within two years of the date of termination of the employment
relationship, (iii) if such options are incentive options which are exercisable
at the time the optionee's employment is terminated by death or permanent
disability, such options may be exercised within one year of the date of
termination of the employment relationship, and (iv) in the case of the
retirement of an optionee, (a) nonqualified options will be exercisable prior
to the date which is the earlier of two years following the date of retirement
or the expiration date of the option and (b) incentive options will be
exercisable prior to the earlier of the date which is three months following
the date of retirement or the expiration of the option.  With respect to options granted to
individuals who are not employees of KapStone, the Administrator shall
determine the consequences, if any, of the termination of the optionee's
relationship with KapStone. Payment of the exercise price of an option may be
made by cash, by surrender of shares having a fair market value equal to the
exercise price, or by any other means that the Administrator determines.
Restricted Stock
. Each restricted stock award will be evidenced by a written restricted
stock grant agreement.  No cash or other
consideration will be required to be paid by the plan participant to receive
the shares other than in the form of services performed under the terms and
conditions determined by the Administrator and specified in the restricted
stock agreement.  Terms and conditions
for shares that are part of the award may include the completion of a specified
number of years of service or attaining certain performance goals prior to the
restricted shares subject to the award becoming vested.  Upon termination, if the restricted stock is
not vested, KapStone may repurchase the restricted stock from the participant
on the terms and conditions contained in the restricted stock grant agreement.
Stock Appreciation Rights or SARs
. A stock appreciation right means the right to receive payment in
shares of common stock or, if permitted by Section 409A of the Code without
causing the stock appreciation rights to be treated as deferred compensation
subject thereto, cash in an amount equal to the excess of the fair market value
of the shares on the date of exercise and the fair market value of the shares
at the time of grant.  Each stock
appreciation right will be evidenced by a written stock appreciation right
agreement.  No cash or other
consideration will be required to be paid by the plan participant to receive
the cash or shares, other than the terms and conditions determined by the
Administrator and specified in the stock appreciation right agreement. Terms
and conditions for shares that are part of the award could include the
completion of a specified number of years of service or attaining certain
performance goals prior to the rights subject to the award becoming vested. A
plan participant holding a stock appreciation right will have none of the
rights of a stockholder (including the right to receive the payment of cash
dividends) until such time as shares, if any, are actually issued. Upon
termination of the employment of an employee, any unvested portion of a stock
appreciation right will be forfeited.
A participant may be granted more than
one Award under the 2006 Incentive Plan. The Administrator will, in its
discretion, determine (subject to the terms of the 2006 Incentive Plan), among
other things, who will be granted an Award, the time or times at which Awards
shall be granted, and the number of shares subject to each Award, whether options
are incentive options or nonqualified options, the manner in which options may
be exercised and the vesting schedule of any Award. In making such
determination, consideration may be given to the value of the services rendered
by the respective individuals, their present and potential contributions to the
success of KapStone and its subsidiaries and such other factors deemed relevant
in accomplishing the purposes of the 2006 Incentive Plan.
Federal Income Tax
Consequences
.
The following
is a general summary of the federal income tax consequences under current tax
law of options, stock appreciation rights and restricted stock.  It does not purport to cover all of the
special rules, including special rules relating to participants subject to
Section 16(b) of the Exchange Act and the exercise of an option with
previously-acquired shares, or the state or local income or other tax
consequences inherent in the ownership and exercise of stock options and the
ownership and disposition of the underlying shares or the ownership and
disposition of restricted stock.
Stock Options
.
A participant will not recognize taxable income for federal income tax
purposes upon the grant of a nonqualified option or an incentive option. Upon
the exercise of an incentive option, the optionee will not recognize taxable
income.  If the optionee disposes of the
shares acquired pursuant to the exercise of an incentive option more than
2
two years after the date of grant and more
than one year after the transfer of the shares to him or her, the optionee will
recognize long-term capital gain or loss and KapStone will not be entitled to a
deduction.  However, if the optionee
disposes of such shares within the required holding period, all or a portion of
any gain will be treated as ordinary income and KapStone will generally be
entitled to deduct such amount. 
Long-term capital gain is generally subject to more favorable tax
treatment than ordinary income or short-term capital gain.
Upon the exercise of a nonqualified option, the optionee will recognize
ordinary income in an amount equal to the excess, if any, of the fair market
value of the shares acquired on the date of exercise over the exercise price
thereof, and KapStone will generally be entitled to a deduction for such amount
at that time.  If the optionee later
sells shares acquired pursuant to the exercise of a nonqualified option, he or
she will recognize long-term or short-term capital gain or loss, depending on
the period for which the shares were held.
In addition to the federal income tax consequences described above, an
optionee may be subject to the alternative minimum tax, which is payable to the
extent it exceeds the optionee's regular tax. 
For this purpose, upon the exercise of an incentive option, the excess
of the fair market value of the shares over the exercise price therefore is an
adjustment which increases alternative minimum taxable income.  In addition, the optionee's basis in such
shares is increased by such excess for purposes of computing the gain or loss
on the disposition of the shares for alternative minimum tax purposes.  If an optionee is required to pay an
alternative minimum tax, the amount of such tax which is attributable to
deferral preferences (including the incentive option adjustment) is allowed as
a credit against the optionee's regular tax liability in subsequent years.  To the extent the credit is not used, it is
carried forward.
Restricted Stock
.
A participant who receives a grant of restricted stock will generally
receive ordinary income equal to the fair market value of the stock at the time
the restriction lapses.  Alternatively,
the participant may elect to be taxed on the value at the time of grant.  KapStone is generally entitled to a deduction
at the same time and in the same amount as the income required to be included
by the participant.
Stock Appreciation Rights
. A participant does not
recognize income upon the grant of a stock appreciation right. The participant
has ordinary income upon exercise of the stock appreciation right equal to the
increase in the value of the underlying shares, and KapStone will generally be
entitled to a deduction for such amount. Awards of SARs under the 2006 Plan
may, in some cases, result in the deferral of compensation that is subject to
the requirements of section 409A of the Code. To date, the U.S. Treasury
Department and Internal Revenue Service have issued only preliminary guidance
regarding the impact of section 409A of the Code on the taxation of these types
of awards. Generally, to the extent that deferrals of these awards fail to meet
certain requirements under section 409A of the Code, such awards will be
subject to immediate taxation and tax penalties in the year they vest unless
the requirements of section 409A of the Code are satisfied. It is the intent of
KapStone that Awards under the 2006 Plan will be structured and administered in
a manner that either complies with or is exempt from the requirements of
section 409A of the Code.
The foregoing discussion does not
purport to be a complete analysis of all the potential tax consequences
relevant to recipients of Awards or to KapStone or its subsidiaries. The above
discussion does not take into account the effect of state and local tax laws.
Moreover, no assurance can be given that legislative, administrative,
regulatory or judicial changes or interpretations will not occur which could
modify such analysis. In addition, an individual's particular tax status may
result in different tax consequences from those described above. Therefore, any
participant in the 2006 Incentive Plan should consult with his own tax adviser
concerning the tax consequences of the grant, exercise and surrender of any
such Award and the disposition of any stock acquired pursuant to such Awards.
Termination of and Amendments to the 2006 Incentive Plan
. The 2006 Incentive Plan may be amended or
terminated by the board of directors at any time, provided that no amendment
requiring stockholder approval by law or by the rules of any securities
exchange or other market on which the shares are traded may be made without
stockholder approval, and further, that there shall be no amendment to the
terms of any options under the 2006 Incentive Plan which would result in the
repricing of an Award, the cancellation of an Award and substitution with an Award
with a lower exercise price or any similar amendment without stockholder
approval. Also, no amendment or termination may materially adversely affect any
outstanding Award without the written consent of the participant. No Awards may
be granted under the 2006 Incentive Plan after December 29, 2016.
3
Item 2.            Registrant
Information and Employee Plan Annual Information.
Pursuant to Rule 428(b)(1) under the Securities Act of
1933, as amended (the "Securities Act"), the documents containing the
information specified in Part I of Form S-8 (of which this prospectus is a
part) will be sent or given to each participant in our 2006 Incentive
Plan.  This document and the documents
incorporated by reference in this registration statement pursuant to Item 3 of
Part II of the registration statement of which this prospectus is a part, taken
together, constitute the Section 10(a) Prospectus.  We will provide to you without charge, upon
written or oral request, copies of the documents incorporated by reference in
the registration statement of which this prospectus is a part.  Any such request for documents should be
directed to: Matthew Kaplan, President, KapStone Paper and Packaging
Corporation, One Northfield Plaza, Suite 480, Northfield, IL 60093.  Mr. Kaplan can also be reached at (847)
441-0929.
PART II
INFORMATION
REQUIRED IN THE REGISTRATION STATEMENT
Item 3.            Incorporation
of Documents by Reference.
We hereby incorporate by
reference into this registration statement the following documents previously
filed with the Securities and Exchange Commission (the "SEC"):
(1)
our Annual Report on Form 10-K for the year
ended December 31, 2006 filed on March 16, 2007;
(2)
our Current Report on Form 8-K filed on January
4, 2007;
(3)
our Current Report on Form 8-K filed on
January 10, 2007;
(4)
our Current Report on Form 8-K filed on
January 31, 2007 (other than with respect to the information under Item 9.01,
which is not incorporated by reference);
(5)
our Current Report on Form 8-K filed on March
1, 2007 (other than with respect to the information under Item 9.01, which is
not incorporated by reference);
(6)
our Current Report on Form 8-K/A filed on
March 21, 2007; and
(7)
the description of our common stock contained
in our Form 8-A filed July 18, 2005 and any further amendment or report filed
with the SEC for the purpose of updating such description.
All documents filed by the
Registrant pursuant to Sections 13(a), 13(c), 14 and 15(d) of the Exchange Act,
after the date of this registration statement and prior to the filing of a
post-effective amendment which indicates that all shares of common stock
offered hereby have been sold or which de-registers all shares of common stock
then remaining unsold, shall be deemed to be incorporated by reference into
this registration statement and to be part hereof from the date of the filing
of such documents. Any statement contained in a document incorporated or deemed
to be incorporated by reference herein shall be deemed to be modified or
superseded for purposes of this registration statement to the extent that a
statement contained herein or in any other subsequently filed document which
also is or is deemed to be incorporated by reference herein modifies or
supersedes such statement. Any statement so modified or superseded shall not be
deemed, except as so modified or superseded, to constitute a part of this
registration statement.
Item 4.            Description
of Securities.
Not applicable.
Item 5.            Interests
of Named Experts and Counsel.
Not applicable.
Item
6.            Indemnification of Directors
and Officers.
Our certificate of incorporation provides that all directors, officers,
employees and agents of the registrant shall be entitled to be indemnified by
us to the fullest extent permitted by Section 145 of the Delaware General
Corporation Law.
4
Section 145 of the Delaware General Corporation Law concerning
indemnification of officers, directors, employees and agents is set forth
below.
Section 145. Indemnification of officers, directors, employees and
agents; insurance.
(a) A corporation shall have power to indemnify any person who was or
is a party or is threatened to be made a party to any threatened, pending or
completed action, suit or proceeding, whether civil, criminal, administrative
or investigative (other than an action by or in the right of the corporation)
by reason of the fact that the person is or was a director, officer, employee
or agent of the corporation, or is or was serving at the request of the
corporation as a director, officer, employee or agent of another corporation,
partnership, joint venture, trust or other enterprise, against expenses
(including attorneys' fees), judgments, fines and amounts paid in settlement
actually and reasonably incurred by the person in connection with such action,
suit or proceeding if the person acted in good faith and in a manner the person
reasonably believed to be in or not opposed to the best interests of the
corporation, and, with respect to any criminal action or proceeding, had no
reasonable cause to believe the person's conduct was unlawful. The termination
of any action, suit or proceeding by judgment, order, settlement, conviction,
or upon a plea of nolo contendere or its equivalent, shall not, of itself,
create a presumption that the person did not act in good faith and in a manner
which the person reasonably believed to be in or not opposed to the best
interests of the corporation, and, with respect to any criminal action or
proceeding, had reasonable cause to believe that the person's conduct was
unlawful.
(b) A corporation shall have power to indemnify any person who was or
is a party or is threatened to be made a party to any threatened, pending or
completed action or suit by or in the right of the corporation to procure a
judgment in its favor by reason of the fact that the person is or was a
director, officer, employee or agent of the corporation, or is or was serving
at the request of the corporation as a director, officer, employee or agent of
another corporation, partnership, joint venture, trust or other enterprise
against expenses (including attorneys' fees) actually and reasonably incurred
by the person in connection with the defense or settlement of such action or
suit if the person acted in good faith and in a manner the person reasonably
believed to be in or not opposed to the best interests of the corporation and
except that no indemnification shall be made in respect of any claim, issue or
matter as to which such person shall have been adjudged to be liable to the
corporation unless and only to the extent that the Court of Chancery or the
court in which such action or suit was brought shall determine upon application
that, despite the adjudication of liability but in view of all the
circumstances of the case, such person is fairly and reasonably entitled to
indemnity for such expenses which the Court of Chancery or such other court
shall deem proper.
(c) To the extent that a present or former director or officer of a
corporation has been successful on the merits or otherwise in defense of any
action, suit or proceeding referred to in subsections (a) and (b) of this
section, or in defense of any claim, issue or matter therein, such person shall
be indemnified against expenses (including attorneys' fees) actually and
reasonably incurred by such person in connection therewith.
(d) Any indemnification under subsections (a) and (b) of this section
(unless ordered by a court) shall be made by the corporation only as authorized
in the specific case upon a determination that indemnification of the present
or former director, officer, employee or agent is proper in the circumstances
because the person has met the applicable standard of conduct set forth in
subsections (a) and (b) of this section. Such determination shall be made, with
respect to a person who is a director or officer at the time of such
determination, (1) by a majority vote of the directors who are not parties to such
action, suit or proceeding, even though less than a quorum, or (2) by a
committee of such directors designated by majority vote of such directors, even
though less than a quorum, or (3) if there are no such directors, or if
such directors so direct, by independent legal counsel in a written opinion, or
(4) by the stockholders.
(e) Expenses (including attorneys' fees) incurred by an officer or
director in defending any civil, criminal, administrative or investigative
action, suit or proceeding may be paid by the corporation in advance of the
final disposition of such action, suit or proceeding upon receipt of an
undertaking by or on behalf of such director or officer to repay such amount if
it shall ultimately be determined that such person is not entitled to be
indemnified by the corporation as authorized in this section. Such expenses
(including attorneys' fees) incurred by former directors and officers or other
employees and agents may be so paid upon such terms and conditions, if any, as
the corporation deems appropriate.
5
(f) The indemnification and advancement of expenses provided by,
or granted pursuant to, the other subsections of this section shall not be
deemed exclusive of any other rights to which those seeking indemnification or
advancement of expenses may be entitled under any bylaw, agreement, vote of
stockholders or disinterested directors or otherwise, both as to action in such
person's official capacity and as to action in another capacity while holding
such office.
(g) A corporation shall have power to purchase and maintain
insurance on behalf of any person who is or was director, officer, employee or
agent of the corporation, or is or was serving at the request of the
corporation as a director, officer, employee or agent of another corporation,
partnership, joint venture, trust or other enterprise against any liability
asserted against such person and incurred by such person in any such capacity,
or arising out of such person's status as such, whether or not the corporation
would have the power to indemnify such person against such liability under this
section.
(h) For purposes of this section, references to "the corporation"
shall include, in addition to the resulting corporation, any constituent
corporation (including any constituent of a constituent) absorbed in a
consolidation or merger which, if its separate existence had continued, would
have had power and authority to indemnify its directors, officers, and
employees or agents, so that any person who is or was a director, officer, employee
or agent of such constituent corporation, or is or was serving at the request
of such constituent corporation as a director, officer, employee or agent of
another corporation, partnership, joint venture, trust or other enterprise,
shall stand in the same position under this section with respect to the
resulting or surviving corporation as such person would have with respect to
such constituent corporation if its separate existence had continued.
(i) For purposes of this section, references to "other enterprises"
shall include employee benefit plans; references to "fines" shall include any
excise taxes assessed on a person with respect to any employee benefit plan;
and references to "serving at the request of the corporation" shall include any
service as a director, officer, employee or agent of the corporation which
imposes duties on, or involves services by, such director, officer, employee or
agent with respect to an employee benefit plan, its participants or
beneficiaries; and a person who acted in good faith and in a manner such person
reasonably believed to be in the interest of the participants and beneficiaries
of an employee benefit plan shall be deemed to have acted in a manner "not
opposed to the best interests of the corporation" as referred to in this
section.
(j) The indemnification and advancement of expenses provided by,
or granted pursuant to, this section shall, unless otherwise provided when
authorized or ratified, continue as to a person who has ceased to be a
director, officer, employee or agent and shall inure to the benefit of the
heirs, executors and administrators of such a person.
(k) The Court of Chancery is hereby vested with exclusive
jurisdiction to hear and determine all actions for advancement of expenses or
indemnification brought under this section or under any bylaw, agreement, vote
of stockholders or disinterested directors, or otherwise. The Court of Chancery
may summarily determine a corporation's obligation to advance expenses
(including attorneys' fees)."
Insofar as indemnification for liabilities arising under the Securities
Act may be permitted to our directors, officers, and controlling persons
pursuant to the foregoing provisions, or otherwise, we have been advised that
in the opinion of the SEC such indemnification is against public policy as
expressed in the Securities Act and is, therefore, unenforceable. In the event
that a claim for indemnification against such liabilities (other than the
payment of expenses incurred or paid by a director, officer or controlling person
in a successful defense of any action, suit or proceeding) is asserted by such
director, officer or controlling person in connection with the securities being
registered, we will, unless in the opinion of its counsel the matter has been
settled by controlling precedent, submit to the court of appropriate
jurisdiction the question whether such indemnification by it is against public
policy as expressed in the Securities Act and will be governed by the final
adjudication of such issue.
Paragraph B
of Article Eighth of our certificate of incorporation provides:
"The
Corporation, to the full extent permitted by Section 145 of the GCL, as
amended from time to time, shall indemnify all persons whom it may indemnify
pursuant thereto. Expenses (including attorneys' fees) incurred by an officer
or director in defending any civil, criminal, administrative, or investigative
action, suit or proceeding for which
6
such
officer or director may be entitled to indemnification hereunder shall be paid
by the Corporation in advance of the final disposition of such action, suit or
proceeding upon receipt of an undertaking by or on behalf of such director or
officer to repay such amount if it shall ultimately be determined that he is
not entitled to be indemnified by the Corporation as authorized hereby."
Item
7.            Exemption from Registration
Claimed.
Not applicable.
Item 8.            Exhibits.
EXHIBIT
NUMBER
DESCRIPTION
  OF EXHIBIT
4.1
2006 Incentive Plan(1)
5.1
Opinion of Sonnenschein Nath and Rosenthal LLP
23.1
Consent of Ernst & Young LLP
23.2
Consent of Deloitte & Touche LLP
23.3
Consent of Eisner LLP
24.1
Power of Attorney (included as part of the signature
  page of this registration statement).
(1)
Incorporated by
reference to Annex C to our Definitive Proxy Statement filed with the SEC on
December 15, 2006.
Item 9.            Undertakings.
The undersigned Registrant
undertakes:
(1)
To file, during any period in which offers or sales are being made, a
post-effective amendment to this registration statement to:
(i)
Include any prospectus required by Section
10(a)(3) of the Securities Act of 1933;
(ii)
Reflect in the prospectus any facts or events
which, individually or in the aggregate, represent a fundamental change in the
information set forth in the registration statement.  Notwithstanding the foregoing, any increase
or decrease in volume of securities offered (if the total dollar value of
securities offered would not exceed that which was registered) and any deviation
from the low or high end of the estimated maximum offering range may be
reflected in the form of prospectus filed with the Commission pursuant to Rule
424(b) if, in the aggregate, the changes in volume and price represent no more
than 20 percent change in the maximum aggregate offering price set forth in the
"Calculation of Registration Fee" table in the effective registration
statement.
7
(iii)
Include
any material information with respect to the plan of distribution not
previously disclosed in this registration statement or any material change to
such information in the registration statement;
(2)
That, for determining liability under the Securities Act of 1933, treat
each post-effective amendment as a new registration statement relating to the
securities offered, and the offering of the securities at that time to be the
initial bona fide offering thereof.
(3)
To file a post-effective amendment to remove from registration any of
the securities that remain unsold at the end of the offering.
(4)
That, for determining liability of the undersigned Registrant under the
Securities Act to any purchaser in the initial distribution of the securities,
the undersigned Registrant undertakes that in a primary offering of securities
of the undersigned Registrant pursuant to this registration statement,
regardless of the underwriting method used to sell the securities to the
purchaser, if the securities are offered or sold to such purchaser by means of
any of the following communications, the undersigned Registrant will be a
seller to the purchaser and will be considered to offer or sell such securities
to such purchaser:
(i)
Any preliminary prospectus or prospectus of
the undersigned Registrant relating to the offering required to be filed
pursuant to Rule 424;
(ii)
Any free writing prospectus relating to the
offering prepared by or on behalf of the undersigned Registrant or used or
referred to by the undersigned Registrant;
(iii)
The
portion of any other free writing prospectus relating to the offering
containing material information about the undersigned Registrant or its
securities provided by or on behalf of the undersigned Registrant; and
(iv)
Any other communication that is an offer in
the offering made by the undersigned Registrant to the purchaser.
(5)
That, for purposes of determining any liability under the Securities
Act of 1933, each filing of the Registrant's annual report pursuant to
Section 13(a) or Section 15(d) of the Securities Exchange Act of 1934
(and, where applicable, each filing of an employee benefit plan's annual report
pursuant to Section 15(d) of the Securities Exchange Act of 1934) that is
incorporated by reference in the Registration Statement shall be deemed to be a
new registration statement relating to the securities offered therein, and the offering
of such securities at that time shall be deemed to be the initial bona fide
offering thereof.
(6)
Insofar as indemnification for liabilities arising under the Securities
Act of 1933 may be permitted to directors, officers and controlling persons of
the Registrant pursuant to the foregoing provisions, or otherwise, the
Registrant has been advised that, in the opinion of the Securities and Exchange
Commission, such indemnification is against public policy as expressed in the
Act and is, therefore, unenforceable. In the event that a claim for
indemnification against such liabilities (other than the payment by the
Registrant of expenses incurred or paid by a director, officer or controlling
person of the Registrant in the successful defense of any action, suit or
proceeding) is asserted by such director, officer or controlling person in
connection with the securities being registered, the Registrant will, unless in
the opinion of its counsel the matter has been settled by controlling
precedent, submit to a court of appropriate jurisdiction the question whether
such indemnification by it is against public policy as expressed in the Act and
will be governed by the final adjudication of such issue.
8
SIGNATURES
Pursuant to the requirements of the
Securities Act of 1933, as amended, the registrant certifies that it has
reasonable grounds to believe that it meets all of the requirements for filing
on Form S-8 and authorized this registration statement to be signed on its
behalf by the undersigned, thereunto duly authorized, in the city of Chicago,
state of Illinois, on this 5th day of April, 2007.
KAPSTONE PAPER AND
  PACKAGING CORPORATION
By:
/s/ Roger W. Stone
Roger W. Stone
Chief Executive Officer
POWER OF ATTORNEY
KNOW ALL MEN BY THESE PRESENTS, that each person whose signature
appears below constitutes and appoints Roger Stone and Matthew Kaplan his true
and lawful attorney-in-fact, with full power of substitution and resubstitution
for him and in his name, place and stead, in any and all capacities to sign any
and all amendments including post-effective amendments to this registration
statement, and to file the same, with all exhibits thereto, and other documents
in connection therewith, with the Securities and Exchange Commission, hereby
ratifying and confirming all that said attorney-in-fact or his substitute, each
acting alone, may lawfully do or cause to be done by virtue thereof.
In accordance with the requirements of the
Securities Act of 1933, this Registration Statement has been signed by the
following persons in the capacities on this 5th day of April, 2007.
SIGNATURE
TITLE
  (CAPACITY)
/s/ Roger W. Stone
Chairman of the Board and Chief Executive Officer
Roger W. Stone
/s/ Andrea Tarbox
Chief Financial Officer
Andrea Tarbox
/s/ Matthew Kaplan
President, Secretary and Director
Matthew Kaplan
/s/ John Chapman
Director
John Chapman
/s/ James Doughan
Director
James Doughan
/s/ Jonathan Furer
Director
Jonathan Furer
/s/ Muhit Rahman
Director
Muhit Rahman
/s/ S. Jay Stewart
Director
S. Jay Stewart
9
EXHIBIT INDEX
EXHIBIT
NUMBER
DESCRIPTION OF EXHIBIT
4.1
2006 Incentive Plan.(1)
5.1
Opinion of Sonnenschein Nath and Rosenthal LLP.
23.1
Consent of Ernst & Young LLP
23.2
Consent of Deloitte & Touche LLP
23.3
Consent of Eisner LLP
24.1
Power of Attorney (included as part of the signature
  page of this registration statement).
(1)
Incorporated by
reference to Annex C of our Definitive Proxy Statement filed with the SEC on
December 15, 2006.
10