2010-11-10, London, UK | Jan Johansson, President and CEO, SCA presented the company, growth strategies and q3 results at the Deutsche Bank Paper Seminar. http://www.sca.com

1. Deutsche Bank Paper Seminar
Jan Johansson, President and CEO
10 November 2010

2. SCA Group
A global hygiene products and paper company
Net sales SEK 111bn
45,000 employees and sales in more than
100 countries
World’s third largest hygiene products
company
TEN and Tork leading global brands for
incontinence care and Away From Home
tissue
Europe’s largest private forest owner
Europe’s second largest packaging company
2 10 November 2010

3. SCA Group
Hygiene business is growing
% of net sales
100%
80% 40%
58%
60%
40%
60%
20% 42%
0%
1999
1997 2009
2008 09
Packaging and Hygiene products
Forest Products
3 10 November 2010

4. SCA Group
Sales and EBIT split 2009
EBIT split EBIT split
Forest Products Sales split Personal Care
25% 32%
15% 23%
25%
37%
4% 39%
Packaging Tissue
Sales 2009: SEK 111bn
4 10 November 2010

5. Leading market positions
Global and regional
Nordic region
Incontinence care: 1
Baby diapers: 1
North America AFH tissue: 1
AFH tissue: 3 Consumer tissue: 2
Incontinence care: 3
Europe
Tissue: 1
Corrugated board: 2
Mexico Baby diapers: 3
Incontinence care: 1 Incontinence care: 1
Tissue: 2
Privately owned forests: 1
Feminine care: 3
Baby: 3 Global
Incontinence care: 1
Colombia
AFH tissue: 3 Australia
Incontinence care: 1
Feminine care: 1 Feminine care: 1
Tissue: 1 Incontinence care: 1
Tissue: 2
5 10 November 2010

6. SCA Group Strategic Direction
6 10 November 2010

7. Growth
High potential in markets with low penetration
Usage of hygiene products
Units/capita/year Units/child/year Units/woman/year Kg/capita/year
Penetration
in mature
markets
around 35%
North America Western Europe Eastern Europe Latin America Asia
7 10 November 2010

8. Our growth markets
Strong SCA positions
Good market growth
Favourable socio-demographics
Joint venture
Good market growth
Favourable socio-demographics
Market tests of Incontinence care
products
8 10 November 2010

9. Increased pace of innovation
Strengthens market positions
9 10 November 2010

10. Q3 2010 vs Q3 2009
SCA market update
Significantly increased raw material prices
Pulp, OCC, recovered paper
Raw material costs increased SEK 1.8bn
Stronger SEK to other currencies
Negative sales impact of SEK 1.5bn equivalent to 6%
Hygiene business
Good growth for Incontinence care, Feminine care and AFH tissue
Continued good growth in emerging markets
Packaging and Forest Products
Increased demand for Packaging
• Corrugated volumes increased 4%
Publication paper volumes flat
Increased volumes for solid-wood products and pulp
10 10 November 2010

11. Q3 2010 results
SEK millions Q3 Q3 Change, Change, Q2
unless otherwise stated 2010 2009 Q3/Q3,%* Q3/Q3,%** 2010
Net sales 27,204 27,108 0 6 27,652
EBIT* 2,574 2,576 0 2 2,440
EBIT margin* (%) 9.5 9.5 8.8
Profit before tax* 2,274 2,199 3 2,196
Earnings per share (SEK) 1.95 1.82 7 2.04
Cash flow from current operations 2,194 4,259 1,668
* Excluding restructuring cost
** Adjusted for exchange rate movements
11 10 November 2010

12. Net debt
And debt payment capacity
SEKm %
35% 36%
33% 33% 33%
12 10 November 2010

13. Personal Care
Q3 2010 vs Q3 2009
Sales decreased 1% (+2%*)
6,125 6,197
Incontinence care increased 4%*
-1%
Feminine care increased 5%*
Baby diapers decreased 4%*
Emerging markets increased 7%*
Incontinence care increased 14%*
SALES SEKm Q3 2010 Q3 2009
810
EBIT decreased by 14%** (-11%***)
697** Higher volumes
-14%** Higher raw material cost
Increased market activities
EBIT SEKm Q3 2010 Q3 2009
EBIT margin 11.4%** 13.1%
* Adjusted for exchange rate movements
** Excluding restructuring costs
*** Excluding restructuring costs and adjusted for exchange rate movements
13 10 November 2010

14. Tissue
Q3 2010 vs Q3 2009
Sales decreased 2% (+2%*)
10,147
9,924 Consumer tissue increased 1%*
-2% AFH tissue increased 4%*
EBIT decreased by 32% (-31%*)
Q3 2010 Q3 2009
SALES SEKm Higher raw material costs
1,102
Higher prices
753
Synergies from acquisition
-32% Lower other production costs and energy
costs
EBIT SEKm Q3 2010 Q3 2009
EBIT margin 7.6% 10.9%
* Adjusted for exchange rate movements
14 10 November 2010

15. Packaging
Q3 2010 vs Q3 2009
Sales increased by 6% (24%*)
7,392
6,946 Higher prices and volumes
6%
EBIT increased to SEK 512m (172)**
Higher prices and volumes
SALES SEKm Q3 2010 Q3 2009 Savings from restructuring program
Increased raw material costs
512 Negative currency impact
197%**
172**
EBIT SEKm Q3 2010 Q3 2009
EBIT margin 6.9% 2.5**%
* Adjusted for the divestment of the Asian packaging business and exchange rate movements
** Excluding restructuring costs
15 10 November 2010

16. Forest Products
Q3 2010 vs Q3 2009
Sales increased by 7% (8%*)
4,415 4,145
Publication papers
• Lower prices
7%
Pulp and Solid-wood products
• Higher prices and volumes
SALES SEKm Q3 2010 Q3 2009
EBIT increased by 11%** (7%***)
Publication papers, decreased EBIT
685** 617 • Lower prices
11%** • Increased raw material costs
Pulp and Solid-wood products,
increased EBIT
EBIT SEKm Q3 2010 Q3 2009 • Higher prices and volumes
EBIT margin 15.5%** 14.9%
* Adjusted for exchange rate movements
** Excluding restructuring costs
*** Excluding restructuring costs and adjusted for exchange rate movements
16 10 November 2010

17. Outlook 2010
Hygiene businesses
Good demand
Seasonally weaker demand in Q4 for AFH tissue North America
Full impact in Q4 of price increases in Tissue
Packaging
Seasonally weaker demand in Q4
Increasing prices
Forest Products
Good demand
17 10 November 2010

18. Q&A
18 10 November 2010

19. 19 10 November 2010