Continued evidence of strength in third-quarter

CEO Per Lindberg comments on the development during Q3 2014:

“Our performance in the third quarter was very strong and I am pleased to see an
adjusted operating margin for the quarter at 10% and an adjusted operating
profit level of SEK 518 million. The quarter contained maintenance shutdowns at
three of our production units with a negative impact on profits of approximately
SEK 227 million. Year on year our net sales has grown 5% and our sales volume
has grown 4%. We have reduced our debts significantly thanks to a strong cash
flow and our Net debt/equity ratio is now down to 0.73.

In spite of an uncertain global environment, the overall market for packaging
materials has been good for all business areas during the quarter with stable
prices and demand. Business area Packaging Paper has kept the prices stable and
is seeing opportunities to raise prices for some of the segments in speciality
kraft papers. Business area Containerboard has, as expected, experienced
pressure from the increased market capacity on the liner side which is reflected
in lower sales volume but with continued strong margins. Business area Consumer
Board shows stability with sales volumes growing better than planned, 5%
compared to last year.

After several consecutive quarters with improved performance, we are temporarily
seeing some challenges in the fourth quarter. December will be very short from a
delivery perspective and business areas Packaging Paper and Consumer Board both
anticipates a seasonal volume decrease. Containerboard continues on a lower than
normal volume level for liner in the fourth quarter due to increased market
capacity.

During the third quarter we have announced investments in line with our asset
review and long term strategy. We are growing in accordance with our profitable
growth plans, 4% compared to last year. We have now reached our synergy targets
well ahead of plan. Even if we now close our synergy program, we will continue
our efforts with driving profit improvements in our daily work to improve our
efficiency and operational excellence. We see great opportunities to still learn
from each other within the organisation and to create value for our customers,
shareholders and employees.’’
For further information, please contact:
Per Lindberg, President and CEO 46 (0)8 553 335 00
Susanne Lithander, CFO, 46 (0)8 553 335 00
BillerudKorsnäs – Packaging manufacturers and brand owners are offered added
value in the form of brand-strengthening, productivity-boosting and environment
-enhancing packaging solutions. BillerudKorsnäs has a world-leading market
position within primary fibre-based packaging paper. The company has annual
sales of around SEK 20 billion and is listed on NASDAQ OMX Stockholm.
www.billerudkorsnas.com