BillerudKorsnäs — Capital/Financing Update 2007

Sep 6, 2007

Change in finance policy regarding currency hedging

Billerud's Board of Directors has decided to change the company's finance policy regarding currency hedging to the following:

"Billerud continuously hedges a forecast net flow in foreign currencies. Some 50% of flows over the coming 12 months will always be hedged. Following a decision by the Board, this figure may rise to 100% of net flows over the coming 15 months if it is considered suitable with regard to profitability and the currency situation."

The previous wording was as follows:

"Billerud continuously hedges forecast net flows in foreign currencies. Some 50% of flows over the coming 12 months will always be hedged. This figure may rise to 100% of flows over the coming 15 months if exchange rates will enable Billerud to achieve a return of over 20% on capital employed."

Solna September 6, 2007 Billerud AB (publ)

Per Lindberg President and CEO

For further information, please contact: Per Lindberg, President and CEO, +46 8 553 335 00 Bertil Carlsén, CFO, +46 8 553 335 07 or 0730 211 092

Billerud AB (publ) Box 703, SE-169 27 Solna, Sweden Tel +46 8 553 335 00 Fax +46 8 553 335 60 E-mail: ir@billerud.com

Billerud is a packaging paper company. The company's business concept is to offer demanding customers packaging materials and solutions that promote and protect their products – packaging that is attractive, strong, sustainable and based on renewable materials. Billerud has a world-leading position within several product segment; within paper for consumer and industrial packaging. Production takes place at three integrated pulp and paper mills in Sweden and at one paper mill in the UK.