Borregaard - Earnings Release 2015

Borregaard: All-time high result for Performance Chemicals

Borregaard's 2(nd) quarter 2015 results

(15.07.2015) Borregaard's operating revenues totalled NOK 1,054 million (NOK

993 million)(1) in the 2(nd) quarter of 2015. EBITA(2) was NOK 131 million (NOK

130 million).

Performance Chemicals improved its EBITA, while there was a decline in Specialty

Cellulose and Other Businesses. In total, costs were stable in local currencies.

Currency developments, including negative hedging effects, contributed

positively by approximately NOK 50 million. Hedging effects were NOK -54 million

in the 2(nd) quarter.

EBITA in Performance Chemicals increased to an all-time high as positive

currency effects, product mix and higher sales prices more than compensated for

lower raw material supply. The reduction in Specialty Cellulose was mainly due

to lower sales prices, a weaker product mix and lower contribution from

bioethanol. EBITA in Other Businesses declined, primarily due to a higher

activity level in the Exilva project.

Profit before tax was NOK 125 million (NOK 126 million) in the 2(nd) quarter.

Earnings per share were NOK 0.92 (NOK 0.91).

- We are pleased to deliver another all-time high result for Performance

Chemicals. In addition, we reached important milestones in our strategic

projects in the US and South Africa, both aimed at growing this business area

further, says President and CEO Per A. Sørlie.

Contacts

Director Investor Relations, Jørn Syvertsen, +47 958 36 335

SVP Organisation and Public Affairs, Dag Arthur Aasbø, +47 918 34 108

1. Figures in parentheses are for the corresponding period in the preceding

year.

2. Operating profit before amortisation and other income and expenses.

This information is subject to the disclosure requirements pursuant to Section

5-12 of the Norwegian Securities Trading Act.

[HUG#1938746]

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