April 4 (Reuters) - International Paper ( IP ) said on

Thursday a deal with British paper and packaging peer DS Smith ( DITHF )

can deliver at least $514 million of pre-tax cost

savings on an annual basis, chiefly from their network of mills,

plants and global supply chain.

International Paper ( IP ) last month stirred up a potential

bidding war over DS Smith ( DITHF ), making a takeover offer that valued

the UK firm at 5.72 billion pounds ($7.24 billion), or 415 pence

per share.

($1 = 0.7901 pounds)