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SAP - Sappi Limited - Press Release

Release Date: 02/11/2011 10:12
Code(s): SAP
Wrap Text

SAP - Sappi Limited - Press Release Sappi Limited (Registration number 1936/008963/06) (Incorporated in the Republic of South Africa) Share code: SAP ISIN: ZAE000006284; NYSE code SPP ("Sappi" or the "Company") Press Release 02 November 2011 Sappi Fine Paper Europe confirms to customers the uninterrupted supply of its Galerie Art range following M-reals announcement M-real Oyj, which produces the Galerie Art range of woodfree coated reels and sheets for Sappi Europe, has today announced that it will initiate a consultation process with the employees of its AAnekoski mill in accordance with Finnish labour law. Such consultation might result in the definitive closure of paper machine 2 (PM2). Sappi Europe has therefore established a contingency plan to ensure that it maintains an uninterrupted supply of products to its customers. Sappi Europe and M-real Oyj have agreed that, in case of a cessation of production at AAnekoski mill, the supply of Galerie Art woodfree coated reels would be transferred to M-real`s Husum mill in Sweden. Sappi Europe would remain the exclusive seller of coated paper produced by M-real`s Husum mill. With regard to the supply of Galerie Art woodfree coated sheets produced at AAnekoski Mill, this production would be transferred to other Sappi sites in Europe. Mr Marco Eikelenboom, Director Marketing & Sales at Sappi Europe comments: "I can assure our customers of the Galerie Art product range, and in particular our large customer base in the Nordic, Baltic and Russian markets that we remain fully committed to the continuation of this business and that we do not anticipate any supply interruptions, regardless of the outcome of the consultation process. Sappi`s local sales representatives stand ready to answer any queries that customers may have." END NOTE TO EDITORS: Sappi Fine Paper Europe (SFPE) acquired the entire coated graphic paper business of M-real Oyj on the 1st of January 2009. Under this transaction paper machine (PM) 8 at Husum Mill (PM8) and PM2 at AAnekoski Mill remained under M-real`s ownership. However, Sappi acquired the exclusive right to distribute the entire coated graphic output of Husum Mill PM8 and AAnekoski Mill PM2. Issued by: Brunswick South Africa on behalf of Sappi Limited and SFPE Tel + 27 11 502 7300 Fax + 27 11 268 5747 For further information contact: Marco Eikelenboom Claudia Hammerich Director Marketing & Sales Manager Corporate Communications Sappi Fine Paper Europe Sappi Fine Paper Europe Tel: +32 (0)2 676 9741 Tel: +32 2 676 97 84 Mobile: +32 (0)475 75 63 96 Mobile: +32 472 61 89 66 Marco.Eikelenboom@sappi.com Claudia.Hammerich@sappi.com Date: 02/11/2011 10:12:50 Supplied by www.sharenet.co.za Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.

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