Arctic Paper S.A.

Report Publication Announcement • Mar 18, 2019

Current report number 2/2019

Dated: March 18th 2019

Subject: Arctic Paper S.A. Management Board's recommendation onnon-payment of dividend from the net profit of 2018.

General legal basis:

Art. 17 sec. 1 of MAR - inside information

Treść:

The Management Board of Arctic Paper S.A. (the "Company") hereby informsthat on 18th of March 2019 it took a decision to submit a recommendationto the Company's Supervisory Board and to the Ordinary ShareholdersMeeting on non-payment of dividend from the net profit of 2018, whichwas disclosed in the Company's annual financial statement as of 2018.

Lower financial result of the Group than the one achieved in previousyears, currently implemented investments aiming to retaincompetitiveness and stability of energy costs, as well as the currentlevel of the Company's indebtedness, prompt the Management Board tosubmit a recommendation of keeping the net profit in the Company inorder to strengthen its equity.

The Management Board's recommendation will be a subject to the opinionof the Company's Supervisory Board.

The final decision in reference to the distribution of the net profit of2018 will be taken by the Ordinary Shareholders Meeting.