Sappi Fine Paper Europe begins consultations regarding the future of its Nijmegen Mill in the Netherlands. Sappi Limited (Incorporated in the Republic of South Africa) Registration number: 1936/008963/06 JSE share code: SAP ISIN code: ZAE000006284 NYSE code: SPP ("Sappi" or the "Company") 30 September 2013 Sappi Fine Paper Europe begins consultations regarding the future of its Nijmegen Mill in the Netherlands. Action required in response to market conditions and sustained increase in input costs As a result of the continued market decline and consequent overcapacity in the European coated paper markets, combined with high raw material costs not compensated for by higher selling prices, Sappi has generated a loss in its European activities. To return its European operations to profitability, Sappi has undertaken a review of its European production assets and has identified the need to concentrate its production at fewer sites. Exhaustive analysis has indicated that the preferred option would be to relocate the entire production of Nijmegen Mill to other Sappi mills in Europe. The aim of this action would be to optimise Sappi’s entire Heat Set Web Offset (HSWO) business. In order to identify possible alternatives for the future of the Nijmegen Mill, Sappi Fine Paper Europe (SFPE) has today initiated a process of consultations with its Nijmegen Mill employee representatives and social partners as well as the works council. Should the relocation go ahead, SFPE capacity for WFC reels would reduce by 240,000 tons. The mill currently employs 192 people. Issued by: Brunswick South Africa on behalf of Sappi Limited Tel + 27 11 502 7300 Fax +27 11 268 5747 For further information contact: With regard to the decision of Sappi Fine Paper Europe: Mat J H Quaedvlieg Director Manufacturing Sappi Fine Paper Europe Tel +32 2 67 69 703 Mobile: +32 495 588 703 Mat.Quaedvlieg@sappi.com With regard to the next operational steps in the mill: 1 Wayne Thomas Mill Director Sappi Fine Paper Europe – Nijmegen Mill Tel +31 24 3710 600 Mobile +31 6 4623 3406 Wayne.Thomas@sappi.com Corporate Communications : Marjolein Vilé André F Oberholzer Manager Corporate Communications Group Head Corporate Affairs Sappi Fine Paper Europe Sappi Limited Tel +32 2 676 97 86 Tel + 27 11 407 8044 Mobile +32 497 59 35 53 Mobile + 27 83 235 2973 Marjolein.Vile@sappi.com Andre.Oberholzer@sappi.com Date: 30/09/2013 02:22:00 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.