Borregaard — Investor Presentation 2017

Oct 24, 2017

3^{R D Q U A R T E R 2 0 1 7}

^{O s l o} , ^{2 4 O c t o b e r 2 0 1 7}

Agenda

• • Per A Sørlie, President & CEO
• •Highlights
• •Business areas
• •Strategic update
• •Outlook
• • Per Bjarne Lyngstad, CFO
• •Financial performance

Highlights – ³rd quarter 2017

• •EBITA adj.¹ 197 mNOK (216 mNOK)
• • Reallocation effects and higher fixed costs in Performance Chemicals
• •Increased prices in Speciality Cellulose
• • Higher sales and better product mix for Fine Chemicals
• • Increased depreciation, raw material and chemicals costs

Performance Chemicals markets – Q3

• • Average price in sales currency marginally lower vs Q3-16
• •Improved product mix and increased volume within Specialities
• •Effect of increasing price pressure within the construction sector in certain regions
• • Sales volume increased by 4% vs Q3-16
• •Sales volume to the construction sector in line with Q3-16, increase for Specialities and other products
• •Stable inventory levels in total
• • Increased distribution costs
• •Further reallocation efforts and higher share of liquid lignin volumes

1 Average sales price and sales volume reflect 100% of sales and volume from the J/V in South Africa. Average sales price is calculated using actual FX rates, excluding hedging impact.

Speciality Cellulose markets – Q3

• • Increased prices vs Q3-16
• •Realised textile cellulose prices were higher than Q3-16, but lower than Q2-17
• • Strong product mix, but low sales volume in Q3
• •Sales of highly specialised grades were in line with Q3-16
• •Demand for ether grades continued to be strong
• •Lower volume due to variations in shipments

1Average sales price is calculated using actual FX rates, excluding hedging impact.

Ingredients and Fine Chemicals markets – Q3

• • Ingredients

• •High sales volume vs Q3-16

• • Fine Chemicals

• Higher sales vs Q3-16
• Better product mix

Update on strategic priorities

• • Growth within Performance Chemicals
• •Florida project on schedule
• •Recruitment both for sales and operations well underway
• • Develop the unique biorefinery assets in Sarpsborg
• •Lignin operation upgrade/specialisation in early phase
• •Ice Bear capacity expansion on track
• •High-end bioethanol expansion near completion
• • Establish Cellulose Fibrils as a new business area
• • Exilva market introduction on-going
  • Strong interest, but long lead-times and limited sales so far
• •Decision on SenseFi expansion most likely delayed until 2018

Outlook

• • Performance Chemicals
• • Sales to the construction sector will be affected by strong competition with continued price pressure in certain regions
• • Flexibility in raw material supply and reallocation efforts will contribute to market optimisation and relatively stable inventories
• •Distribution costs will continue at a higher level than in Q4-16
• •In Q4, sales volume and product mix are forecast to be in line with Q3-17
• • Speciality Cellulose
• •Sales volume in Q4 is expected to be similar to Q4-16
• •Sales of highly specialised grades are expected to be in line with Q3-17
• •Average price in sales currency in Q4 is expected to be in line with Q4-16
• •For the full year the average price is expected to be approx. 4% above the 2016 level
• • Other Businesses
• •Ingredients expects a lower sales volume and higher chemicals costs in Q4 vs Q3-17
• •Deliveries from Fine Chemicals and net costs for Cellulose Fibrils are forecast to be in line with Q3-17
• •Net corporate costs are expected to be higher than in Q3-17
• • Increased costs expected in Q4
• •Q4 is normally Borregaard's weakest quarter (maintenance stop, higher energy and payroll costs)
• •Increasing costs for wood and certain chemicals
• • The chlor-alkali plant in Sarpsborg has been running at reduced speed since early October
  • •Repairs will be completed in Q4
  • •Repairs and additional procurement of chemicals expected to cost approx. 25 mNOK

^{F I N A N C I A L P E R F O R M A N C E Q 3} - ^{1 7}

Borregaard key figures – Q3

• •Revenues 1% below Q3-16
• • Lower EBITA adj. 1 for the Group
• •Speciality Cellulose and Other Businesses improved, while Performance Chemicals had a decline
• •Increased depreciation, raw material and chemicals costs
• •FX impact was negligible
• •EPS at NOK 1.47 in Q3-17 (NOK 1.57)

Performance Chemicals key figures – Q3

• Revenues 2% above Q3-16

• •4% higher sales volume

• Decline in EBITA adj. 1 primarily due to reallocation effects and higher fixed costs

• • Improved product mix and higher volume within Specialities
• •Increasing price pressure within Construction
• •Slightly negative FX impact

• EBITA adj. margin1declined vs Q3-16

Speciality Cellulose key figures – Q3

• Revenues 8% below Q3-16

• •Low sales volume

• • Increased sales prices main reason for EBITA adj 1improvement

• •Increased raw material and chemicals costs
• •Slightly positive FX impact

• Improved EBITA adj. margin1

Other Businesses key figures – Q3

• Revenues 10% above Q3-16
• • Higher sales and better product mix in Fine Chemicals

• •High sales volume in Ingredients

• Fine Chemicals: Higher sales, better product mix Fine

• • Ingredients: High sales volume, result in line with Ingredients: Q3-16
• • Cellulose Fibrils: Higher net costs, mainly due to Fibrils: increased depreciation
• Lower net corporate costsvs Q3-16
• FX impact slightly positive for Other Businesses FX

Currency impact

• • Net FX EBITA adj.¹ impact 0 mNOK vs Q3-16
• •Includes change in hedging effects and based on estimated currency exposure
• •Net FX EBITA adj.¹ impact YTD 0 mNOK
• • Net FX EBITA adj.¹ impact in Q4-17 estimated to be 15 mNOK vs Q4-16
• •Assuming rates as of 23 October (USD 8.00 and EUR 9.39) on expected currency exposure
• •Net FX EBITA adj.¹ impact in 2017 estimated to be 15 mNOK vs 2016

3Currency basket based on Borregaard's net exposure in 2016 (=100): USD 66% (approx. 208 mUSD), EUR 33% (approx. 92 mEUR), Other 1% (GBP, BRL, JPY, SEK, ZAR)

¹ Non-GAAP measure, see Appendix for definition.

²See appendix for currency hedging strategy, future hedges and hedging effects by segment

Cash flow, investments and NIBD

• • Cash flow from operations increased vs Q3-16
• •Decrease in net working capital
• • Expansion investmentsin Q3 mainly related to the LignoTech Florida project

• •NIBD¹ decreased by 149 mNOK in Q3

• •Per A Sørlie, President & CEO

• •Per Bjarne Lyngstad, CFO

^{A P P E N D I X}

Borregaard – key figures

l l Am Am in in N O K i io ts ts ou ou n n m n	Q Q 3- 3- 2 2 0 0 1 1 7 7	Q Q 3- 3- 2 2 0 0 1 1 6 6	ha C ng e	Y Y T T D- D- 2 2 0 0 1 1 7 7	Y Y T T D- D- 2 2 0 0 1 1 6 6	ha C ng e
O in t p er a g re ve nu es	1 0 8 9 1 0 8 9	1 1 0 2	% -1	3 4 4 8 8 1 1	3 3 8 2 3 8 2	% 3
1 d E B I T D A j. a	2 2 2 7 7 2	2 8 3	-4 %	8 6 4	8 8 7 7 8 8	0 % 1
1 d j. E B I T A a	1 9 7 1 9 7	2 1 6 2 1 6	% -9	6 4 0	5 8 7 5 8 7	% 9
b le isa io in i Am t t ta ts or n ng as se	-1	-1		-3	-3
1 he d O in t r co m e a n ex p en se s	0	0		0	1 3
f O in i t t p er a g p ro	1 9 6	2 1 5	-9 %	6 3 7	5 5 9 9 7 7	7 %
l in ia i F te t an c m s, ne	-6	0 -1		-1 1	-2 4
f f be fo i i Pr Pr t t ta ta o o re xe xe s s	9 0 1	2 0 5	-7 %	6 2 6	3 5 5 7 7 3	9 %
In ta co m e x e xp en se s	-4 5	-4 9		-1 5 3	-1 4 3
f f fo he he d Pr Pr i i io t t t t o o r p er	1 1 4 4 5 5	1 5 6	-7 %	4 4 7 7 3 3	4 4 3 3 0 0	% 1 0
f bu b le l l Pr i i in in t a t tr ta to tr te ts o n on -c on o g re s	-2	-1		-3	-2
f bu b le f he Pr i i t a t tr ta to t t o o w ne rs o p ar en	1 4 7	1 5 7		4 7 6	4 3 2
h h f lo fr fr ( ) Ca Ca in iv iv i i ie ie I F R S t t t t t s s w om om o p er a g ac ac s s	3 6 4	3 3 9		6 0 4	7 0 3
ha Ea Ea in in rn rn g g s s p er s re	1, 4 7	1, 5 7	-6 %	4, 7 6	4, 3 2	% 1 0
1 d d d A j E B I T D A j. M in te us a ar g	% 2 5, 0	% 2 5, 7		% 2 4, 8	% 2 3, 3
1 d d d A j E B I T A j. M in te us a ar g	% 1 8, 1	% 1 9, 6		% 1 8, 4	% 1 7, 4

Operating revenues and EBITA adj.1per segment

	l l Am in N O K i io ts ou n m n
O O in in t t p p er er a a g g re re ve ve nu nu es es	Q 3- 2 0 1 Q 3- 2 0 1 7 7
d Bo rr eg aa r	0 8 9 1	0 2 1 1 1 0 2	-1 %
fo he ls Pe C ica r rm an ce m	5 2 3	5 1 5	2 %
l l lu lo Sp ia i Ce ty ec se	3 8 3	6 4 1	-8 %
he O Bu in t r s es se s	1 9 7	1 7 9	1 0 %
l im in io E t a ns	-1 4	-8

			Am in N ts ou n	l l O K i io m n
Q 3- 2 0 1 6	ha C ng e	1 d E B I T A j. a	Q 3- 2 0 1 7	Q 3- 2 0 1 6	ha C ng e
1 1 0 2 1 0 2	% -1	d d Bo Bo rr rr eg eg aa aa r r	1 9 7 1 9 7	2 1 6	% -9
	2 %	fo he ls Pe C ica r rm an ce m	1 0 0	1 3 2	-2 4 %
	-8 %	l l lu lo Sp ia i Ce ty ec se	9 1	8 2	1 1 %
	1 0 %	he O Bu in t r s es se s	6	2	2 0 0 %

	l l Am in N O K i io ts ou n m n
O O in in t t p p er er a a g g re re ve ve nu nu es es	Y T D- 2 0 1 7 Y T D- 2 0 1 7	Y T D- 2 0 1 6 Y T D- 2 0 1 6
d Bo rr eg aa r	3 8 3 4 4 8 1 1	3 3 8 2 3 3 8 2	3 %
fo he ls Pe C ica r rm an ce m	1 6 5 5	1 6 4 9	0 %
l l lu lo Sp ia i Ce ty ec se	1 2 6 3	1 1 8 4	% 7
he O Bu in t r s es se s	5 9 3	5 7 5	% 3
l im in io E t a ns	-3 0	-2 6

		Am in N ts ou n	l l O K i io m n
ha C ng e	1 d E B I T A j. a	Y T D- 2 0 1 7	Y T D- 2 0 1 6	ha C ng e
	d d Bo Bo rr rr eg eg aa aa r r	6 6 4 4 0 0	5 8 7	9 %
0 %	fo he ls C ica Pe r rm an ce m	3 3 7	0 4 1	-9 %
7 %	l l lu lo Sp ia i Ce ty ec se	2 8 3	2 0 3	3 9 %
3 %	he O Bu in t r s es se s	-1 6	-2 6	3 8 %

Cash flow

l l Am in N O K i io ts ou n m n	Q 3- 2 0 1 7	Q 3- 2 0 1 6	Y Y Y T T T D- D- D- 2 2 2 0 0 0 1 1 1 7 7 7	Y Y Y T T T D- D- D- 2 2 2 0 0 0 1 1 1 6 6 6	F F Y- Y- 2 2 0 0 1 1 6 6
l l Am in N O K i io ts ou n m n
f be fo Pr i t tax o re es	1 9 0	2 0 5	6 2 6	5 7 3	7 2 4
de d ha Am isa ion ia ion im irm t t t t c or p rec an p a en rg es ,	7 6	6 9	2 2 7	2 0 4	2 7 8
ha k l, C in ing i t w ta tc ng e ne or ca p e	1 0 1	4 8	-1 7 2	9	1 7 0
de d ( ha f p f ) fro D iv i i J V t n s re o ro m	1	3 1	-2	-7	-1
d Ta i xe s p a	-4	-1 4	-7 5	-7 6	-9 0
h f lo fro Ca in iv i ies t t t s w m op er a g ac	3 3 6 6 4 4	3 3 3 3 9 9	6 0 4	7 0 3	1 0 8 1
lan d e d b le * Inv ip in i tm ts ty, t a t a ta ts es en p ro p er p n q u me n n ng as se	-2 5 5	-1 1 5	-6 2 9	-3 2 8	-6 2 2
he l O i ion t ta tra t r c ap ns ac s	1	1	8	3	5
h f lo fro Ca In In in in iv i ies t t t t s m ve ve s s g g ac w	-2 -2 5 5 4 4	-1 1 4	-6 2 1	-3 2 5	-6 1 7
de ds D iv i n	0	0	-3 4 9	-1 4 9	-1 4 9
/ ds fro f o ha loy Pr ise ion t to oc ee m ex erc o p s s res em p ee s	0	2	1 1	5	7
ba k o f s ha Bu y- c res	0	-1	-2 9	-1 0	-1 0
/ ( los ) he dg fo bs d Ga in inv in i iar ies t tm ts s on es r n e es en su	4 5	1 6	4 3	4 5	1 3
/ d fro ha ho l de Ne i t p to a m s re rs	4 5	1 7	-3 2 4	-1 0 9	-1 3 9
ds fro be l b l Pr in ing ia i i ies te t- t oc ee m res ar	1 1 7	0	3 8 0	1 0 0	1 0 6
fro be l b l Re in ing ia i i ies t te t- t p ay me n m res ar	-1 0 3	-3	-1 3 2	-1 0 7	-3 0 9
/ ha be b les he l b l C in in ing iva ia i i ies te t- t t ng e res ar re ce o r	-4	-1 1	3 4	-2 6	-2 3
ha be l b l C in in in ia i ies t te t- t ng e ne re s ar g	1 1 0 0	-1 4	2 8 2	-3 3	-2 2 6
h f lo fro f Ca in in iv i ies t t s w m an c g ac	5 5	3	-4 2	-1 4 2	-3 6 5
ha h d h len len C in iva iva ts ts ng e ca s an ca s eq eq u u	1 6 5	2 2 8	-5 9	2 3 6	9 9
h a d c h e len be f p d Ca iva inn ing io ts t s n as q u a g o er	4 3	1 6 3	2 6 5	1 6 9	1 6 9
ha h a d c h e len C in iva ts ng e ca s n as q u	1 6 5	2 2 8	-5 9	2 3 6	9 9
f fec h a d c h e len Cu iva ts ts rre nc e ca s n as q y u	-1 0	-6	-8	-2 0	-3
h d d h h len he d f he d Ca iva io ts t t t s an an ca ca s s eq a e n o p er u	1 1 9 8	3 8 5	1 9 8	3 8 5	2 6 5
* by Inv tm t te es en ca g or y
lac Re Inv t tm ts p em en es en	7 6	6 5	2 0 0	1 9 4	3 5 8
1 Ex ion inv tm ts p an s es en	1 7 9	5 0	4 2 9	1 3 4	2 6 4

¹ Non-GAAP measure, see Appendix for definition.

Balance sheet

l l Am Am in in N N O O K K i io ts ts ou ou n n m n	3 0. 0 9. 2 0 1 7	3 3 0. 0. 0 0 6. 6. 2 2 0 0 1 1 7 7	3 3 1. 1. 1 1 2. 2. 2 2 0 0 1 1 6 6
As ts se :
b le In i ta ts ng as se	1 1 2	1 1 8	1 2 5
lan d Pr ip ty t a t op er p n eq u m en ,	2 8 5 8	2 6 9 2	2 4 7 1
he O t ts r a ss e	1 6 5	9 7	1 1 5
In in j in tm t t v tu ve s en o en re	1 1 6	1 2 7	1 2 1
N N t t ts ts on on -c -c ur ur re re n n as as se se	3 2 2 5 5 1 1	3 3 0 3 4	2 2 8 8 3 3 2 2
In ies to ve n r	7 1 2	6 6 1	6 2 6
b les Re iva ce	8 9 9	1 0 6 6	9 4 8
h d h de Ca i ts s an ca s p os	1 9 9	7 5	2 6 5
Cu t ts rr en as se	1 8 1 0	1 1 8 0 2	1 1 8 8 3 3 9 9
l a To ta ts ss e	5 0 6 1	4 8 3 6	4 4 6 6 7 1 1 7
d l b l Eq i ia i i ie ty t u a n s:
Gr i ty ou p eq u	2 9 2 3	2 6 4 2	2 6 7 9
l l No in in tr te ts n- co n o g re s	7 8	8 1	3 4
Eq i ty u	3 0 0 1	2 2 7 2 3	2 2 7 7 1 1 3 3
d he l b l Pr is io ia i i ies t t ov ns a n o r	2 9 8	2 8 8	2 9 9
be l b l In in ia i i ies te t- t re s ar g	7 7 5	7 6 5	5 2 5
l l b b l l N N ia ia i i i i ie ie t t t t on on -c -c ur ur re re n n s s	1 0 0 7 3 3 7	1 0 5 3	8 8 2 2 4 4
be l b l In in ia i i ies te t- t re s ar g	7 1	1 0 6	6 1
he l b l O ia i i ies t t t r c ur re n	9 1 6	9 5 4	1 0 7 3
l l b b l l Cu ia ia i i i i ie ie t t t rr en s s	9 9 8 8 7 7	1 0 6 0	1 1 3 4 1
d d l l b b l l Eq Eq i i ia ia i i i i ie ie ty ty t t u u a a n n s s	5 0 0 6 6 1 1	4 8 3 6	4 4 6 6 7 1 1 7
1 ( ) Eq i io % ty t u ra :	% 5 9, 3	% 5 6, 3	% 5 8, 1

¹ Non-GAAP measure, see Appendix for definition.

Net financial items & net interest-bearing debt1

l l Am in N O K i io ts ou n m n
f l in ia i N t te e an c m s	Q 3- 2 0 1 7	Q 3- 2 0 Q 3- 2 0 1 1 6 6	2 0 Y Y T T D- D- 2 0 1 1 7 7	2 0 Y Y T T D- D- 2 0 1 1 6 6
in Ne t te t e re s xp en se s	-7	-4	-1 4	-1 5
/ lo Cu in rre nc y g a ss	2	-7	4	-9
he f l O in ia i t te t r an c m s, ne	-1	1	-1	0
f l N in ia i t te e an c m s	-6	-1 0	-1 1	-2 4

l l Am in N O K i io ts ou n m n
1 ( ) be de b N in in N I B D t te t- t e re s ar g	3 0. 0 9. 2 0 1 7	3 0. 0 6. 2 0 1 7	3 1. 1 2. 2 0 1 6
be l b l No in in ia i i ies t te t- t n- cu rre n re s ar g	7 7 5	7 6 5	5 2 5
f f c be l b l lu d dr hp l Cu in in ia i i ies in in t te t- t t o rre n re s ar g c g ov er a as oo	7 1	1 0 6	6 1
( ") be b les lu de d "O he No in in iva in in As t te t- t ts n- cu rre n re s ar g re ce c r se	-1	-1	-2 1
h d h de Ca i ts s an ca s p os	-1 9 9	-7 5	-2 6 5
1 be de b ( ) N in in N I B D t te t- t e re s ar g	6 4 6	7 9 9 5 7 5	3 0 0

Currency hedging strategy

Purpose is to delay effects of currency fluctuations and secure competitiveness

• • Hedging based on expected EBITA adj. impact 1
• •Base hedge: 75%/50% on a rolling basis for 6/9 months Base hedge: for major currencies
• • Extended hedge: 75%/50% of the next 24/36 months if US Extended hedge: D and EUR are above defined levels EUR; effective rate above 8.50
  • USD; gradually at effective rates between 7.50 and 8.50
• • Contracts²: 100% hedged
• •Balance sheet exposure hedged 100%
• •Net investments in subsidiaries hedged up to 90% of book value in major currencies

Contracted FX hedges with EBITA adj. impact (as of 23.10.17) Hedging effects by segment Hedging effects by segment

	U S D l l i io m n	U S D te ra	E U R l l i io m n	E U R te ra
Q 4- 2 0 1 7	3 8	8. 1 4	2 1	9. 0 3
2 0 1 8	1 4 6	8. 2 3	8 5	9. 3 4
2 0 1 9	1 0 4	8. 3 6	7 6	9. 5 8
2 0 2 0	4 7	8. 2 2	4 0	9. 6 2

l l N O K i io m n	Q 3- 1 7	Q 3- 1 6	Y T D- 1 7	Y T D- 1 6
fo Pe r rm an ce he ls C ica m	0	-7	-1 8	-2 6
l Sp ia i ty ec l lu lo Ce se	-3	-1 3	-3 0	-4 6
he O Bu in t r s es se s	-2	-4	-1 4	-1 9
d Bo rre g aa r	-5 -	-2 4	-6 2	-9 1

1Hedging done mainly in the Norwegian company

2Strict definition of contracts applied for 100% hedging (mutually binding agreement in which price, currency, volume and time are defined)

Debt, credit facilities and solidity

•Debt and overdraft facilities

• • Long-term credit facilities
• • 1,500 mNOK revolving credit facilities, maturity 2021
• • 200 mNOK 5-year bond issue, maturity 2019
• • 40 mEUR 10-year loan, maturity 2024
• • 60 mUSD term loan for LT Florida, tenor 8.5 years from completion
• • Overdraft facilities
• •225 mNOK
• • Solidity (covenants)
• • Equity ratio159.3% (> 25%)
• • Leverage ratio1LTM 0.59 (< 3.25)

Non-GAAP measures

In the discussion of the reported operating results, financial position and cash flows, Borregaard refers to certain measureswhich are not defined by generally accepted accounting principles (GAAP) such as IFRS. Borregaard management makes regular use of these non-GAAP measures and is of the opinion that this information, along with comparable GAAP measures, is useful to investors who wish to evaluate the company's operating performance, ability to repay debt and capability to pursue new business opportunities. Such non-GAAP measures should not be viewed in isolation or as an alternative to the equivalent GAAP measure.

• • Cash flow from operations:
• •Cash flow from operating activities (IFRS) + tax paid +/- net financial items +/- dividend (share of profit) from JV.
• • EBITA adjusted (EBITA adj.)
• •Operating profit before amortisation and other income and expenses.
• • EBITA adj. margin
• •EBITA adj. divided by operating revenues
• • EBITDA adjusted (EBITDA adj.)
• •Operating profit before depreciation, amortisation and other income and expenses.
• • Equity ratio
• •Equity (including non-controlling interests) divided by equity and liabilities.
• • Expansion investments
• • Investments made in order to expand production capacity, produce new products or to improve the performance of existing products. Such investments include business acquisitions, pilot plants, capitalised R&D costs and new distribution set-ups.
• • Other income and expenses
• • Non-recurring items or items related to other periods or to a discontinued business or activity. These items are not viewed as reliable indicators of future earnings based on the business areas' normal operations. These items will be included in the Group's operating profit.
• • Leverage ratio
• •Net interest-bearing debt divided by last twelve months' (LTM) EBITDA adj.
• • Net interest-bearing debt (NIBD)
• •Interest-bearing liabilities minus interest-bearing assets (see slide 26)
• • Return on capital employed (ROCE)
• • Last twelve months' (LTM) EBITA adj. divided by average capital employed based on the ending balance of the last five quarters. Capital employed is defined by Borregaard as the total of net working capital, intangible assets, property, plant and equipment and investment in joint venture minus net pension liabilities.

Important notice

This presentation is being made only to, and is only directed at, persons to whom such presentation may lawfully be communicated ('relevant persons'). Any person who is not a relevant person should not act or rely on this presentation or any of its contents.

This presentation does not constitute an offering of securities or otherwise constitute an invitation or inducement to any person to underwrite, subscribe for or otherwise acquire securities in any company within the Borregaard Group. The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law, and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about, and observe, such restrictions.

This presentation includes and is based, inter alia, on forward-looking information and contains statements regarding the future in connection with the Borregaard Group's growth initiatives, profit figures, outlook, strategies and objectives. All forward-looking information and statements in this presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for the Borregaard Group and its lines of business. These expectations, estimates and projections are generally identifiable by statements containing words such as "expects", "believes", "estimates" or similar expressions.

Important factors may lead to actual profits, results and developments deviating substantially from what has been expressed or implied in such statements. Although Borregaard believes that its expectations and the presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the presentation.

Borregaard is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the presentation, and neither Borregaard nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use.

This presentation was prepared for the interim results presentation for the third quarter of 2017, held on 24 October 2017. Information contained herein will not be updated. The slides should also be read and considered in connection with the information given orally during the presentation.