Borregaard - Earnings Release 2014

Borregaard: Improved results for Performance Chemicals and Other Businesses

Borregaard's 4Q 2014 results

(04.02.2015) Borregaard's operating revenues totalled NOK 951 million (NOK 968

million)¹ in the 4(th) quarter of 2014. EBITA² was NOK 92 million, compared with

NOK 86 million in the corresponding quarter of 2013.

Compared with the 4(th) quarter of 2013, both Performance Chemicals and Other

Businesses improved their EBITA, while a decline was recorded for Specialty

Cellulose.

Favourable currency rates, improved product mix and higher sales prices more

than compensated for a 4 % volume reduction in Performance Chemicals. The

decline in Specialty Cellulose was primarily due to lower sales volume and

reduced prices, softened by a weaker Norwegian krone. Lower net corporate costs

contributed to the improvement in Other Businesses. Lower production at the

Sarpsborg site had a negative effect in all business areas.

Profit before tax was NOK 59 million (NOK 79 million) in the 4(th) quarter.

Earnings per share were NOK 0.68 (NOK 0.62).

Full year 2014

Operating revenues in 2014 amounted to NOK 3,939 (NOK 3,886). EBITA was NOK 486

million (NOK 489 million). Profit before tax was NOK 430 million (NOK 460

million) with tax expense at NOK 98 million (NOK 129 million). Earnings per

share were NOK 3.34 (NOK 3.35).

- We are pleased with the continued progress in Performance Chemicals.

Borregaard's result in 2014 is satisfactory, and for the fourth consecutive year

we achieved a return on capital above our long term target, 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#1891544]

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