Portucel Soporcel group sales account for 3% of total Portuguese exports and 43% of European paper exports

Setubal, Portugal, Feb 17, 2011 - Portucel Soporcel group’s sales in 2010 accounted for 3% of exports of Portuguese goods. The total value of exports stood at approximately 1.2 billion euros, representing growth of 25% over the previous year.

The Portucel Soporcel group is one of Portugal’s top exporters, and possibly the exporter generating the highest national value added, given that its products are obtained essentially from Portuguese raw materials and resources.

Most of the Group’s sales are to foreign markets, and total paper sales stood at approximately 1.4 million tons, up by 24% when compared to 2009. This performance was achieved on the back of double-digit growth in all global regions and expanded geographical sales coverage.

Portucel Soporcel group grows 20% in Europe and 30% in the US…

In 2010 the Portucel Soporcel group grew by 20% in Europe and 30% in the US, accounting for 8% of total Portuguese exports to the US.

In the European market, the company achieved a market share of 15% in the UWF printing and writing paper segment, increasing its sales by close to 190 thousand tons.
The figures show it to be a major player in the international paper market: it accounted for 59% of European exports of UWF printing and writing paper to North America, 55% of these exports to Africa, 39% to the Middle East, 37% to Latin America and 2% to Asia.

The Group was also responsible for 58% of office paper exports by European industry as a whole, selling to more than 100 countries in five continents. It represented 62% of
European office paper exports to the Middle East and 65% to North America.

It is also significant to note that it accounted for 37% of European exports of UWF printing and writing paper to Latin America where, in countries such as Chile, more than half of the paper for the printing industry imported from Europe came from the Portucel Soporcel group.

The Group also enjoys a prominent profile in Asia, where its share of European exports of UWF printing and writing paper stands at 13% for India, 10% for South Korea and 2% for China.

…and increases sales of premium products

The overall expansion in sales to international markets in 2010 was centred above all in cut-size and premium products. During the first full year of operation of the new Setúbal paper mill, premium products continued to account for a large proportion of total sales, in a context of a sharp hike in the quantity of paper sales. Significantly, the Group’s share of the premium segment in Europe is estimated at around 45%.

The Portucel Soporcel group’s own paper brands also strengthened their position further on European markets in 2010. The Group has pursued a strategy of innovation and
development in its own brands, achieving growth in sales of more than 20%, meaning that own brands continued to account for some 60% of total Group sales, a figure unrivalled amongst other major manufacturers.

Special attention should be drawn to Navigator, the world’s best selling premium brand of office paper , which recorded a growth of 13% over 2009, and to Soporset, the leading brand in the European printing segment, with sales in quantity up by 19% over the year.

European leader in the production of UWF printing and writing paper

The Portucel Soporcel group operates in one of the key sectors of the Portuguese economy and is a leading player in the internal pulp and paper market. The new paper mill has had a significant impact on the Portuguese economy,
positioning the Group as the leading European manufacturer of UWF printing and writing paper and the 6th largest producer in the world. This has placed Portugal on the
top of the European ranking of countries manufacturing this type of paper. The Group is also Europe’s leading manufacturer, and one of the largest producers in the world, of bleached eucalyptus kraft pulp (BEKP).