institutional presentation - 3q08

7/30/2019 Institutional Presentation - 3Q08

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33rd Quarter of 2008Quarter of 2008

October/08October/08


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Forward LookingForward Looking

StatementStatement

The statements contained in this presentation related to the business outlook, operating and financial projections, and growth

prospects of Klabin S.A. are merely projections, and as such are based exclusively on the expectations of the Companys

management concerning the future of the business.

These forward-looking statements depend substantially on the market conditions, the performance of the Brazilian economy, the

industry and international markets, and therefore are subject to change without prior notice.

This presentation on Klabins performance includes non-accounting and accounting data, such as operating and financial

information, as well as projections based on Managements expectations. Note that the non-accounting data has not been

reviewed by the Companys independent auditors.

The Companys management believes EBITDA may provide useful information on the Companys operating performance and allow

for comparisons with other companies in the same industry. Note however that EBITDA is not a measure established in

accordance with generally accepted accounting principles in Brazil (Brazilian Corporate Law or BR GAAP) or with U.S. generally

accepted accounting principles (US GAAP), and may be defined and calculated differently by other companies.


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ContentsContents

Expansion of Coated Boards 51

Businesses and Markets 13

Company Profile 4

Financial Performance 36

Future 55


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Company ProfileCompany Profile

A forestry based company focused on wood, coated boards,packaging paper and paper packaging products:

Packaging Paper Paper Packaging

Net Revenue: R$ 2,291 million in 9M08

Forestry

17 plants in Brazil and 1 in Argentina

Largest Brazilian producer and exporter of paper (packaging paper and coated boards) Installed production capacity: 2.0 million tpy

Market Capitalization: US$ 1.3 billion (10/28/2008)

Wood logs

7%

Coated Boards

30%

Industrial Bags

13%

Corrugated Boxes

31%

Kraftliner

17%

Note: In 9M08, 2% of net revenue was composed of other products.


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5

Corrugated

Boxes

540,000 tpy

FinishedProducts

(*)

Liquid Packaging Board

740,000 tpy

Folding Box Board

Carrier Board

Wood - 2.5 million tpy

10

0%

Integrated

Kraftliner770,000 tpy

Sack Kraft155,000 tpy

CoatedBoards

740,000 tpy

OCC380,000 tpy

2.0 million tpy

RecycledPaper

300,000 tpy

100%Integrated

Exports 410,000 tpy

35%

Integrated

100%Integrated

(*) All figures refer toinstalled production capacity

Industrial Bags

155,000 tpy

Domestic

and

Export

Sales

Lands

446,000 ha

Forests

PlantedForests

Pine

156,000 ha

Eucalyptus64,000 ha

Integrated Business ConceptAfter MA 1100 Expansion ProjectAfter MA 1100 Expansion Project

Pulp

NBSKBEKP

CTMP

1.7 milliontpy

Exports 410,000 tpy

Domestic Market 90,000 tpy


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Klabin's presenceKlabin's presence

Pulp and Paper Mills

Forestry

Industrial Bags

Corrugated Boxes

Recycled Papers


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7

Preferred

BNDESPAR

31%

Foreign

Investors

29%

BrazilianInvestors

38%

600,855,733 shares

Shareholder StructureShareholder Structure09/30/200809/30/2008

Common

Klabin

Irmos

52%

Monteiro

Aranha

20%

BrazilianInvestors

28%

316,827,563 shares

TreasuryStock

2%

Family control + Professional management

IPO in 1979Average daily

trading volumeR$ 9.3 million

Total shares918 million


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Joined BOVESPAs level 1 of Corporate Governance

Adopted insider trading policyfor securities issued by the

company andstrict separation of Board of Directors and

Executive Board

Tag along rights of 70% for preferred shares

Liquidity:1,105 daily trades in 3Q08

Compensations for members of the Executive Board are linked tometrics that take into account the opportunity cost of investments

Level 1ADRs program

Corporate GovernanceCorporate GovernanceHighlightsHighlights


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Best global

LPB supplier

Best globalBest global

LPB supplierLPB supplier

Top

SustainabilityStandards

TopTop

SustainabilitySustainabilityStandardsStandards

Alternativefuels research

AlternativeAlternativefuels researchfuels research

Successful R&DTrack-Record

Successful R&DSuccessful R&D

TrackTrack--RecordRecord

Lowest Cash-Cost Producer

Lowest CashLowest Cash--

Cost ProducerCost Producer

SolidFinancial

Performance

SolidSolid

FinancialFinancial

PerformancePerformanceMarketLeadership and

GrowthOpportunities

MarketMarket

Leadership andLeadership and

GrowthGrowthOpportunitiesOpportunities

Investment ThesisInvestment Thesis

f


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Successful R&DSuccessful R&D

TrackTrack--RecordRecord

Forest productivity: 5% increase in yield over the past three years

Expectation of 50% yield growth over the next 10 years

Genetic improvement, cloning and silvicultural development

Savings with new forests of approximately US$50 million per year

Allow for brownfield expansion more productivity at low fixed

costs

Ensure sustained competitiveness

di dO t t di P d t


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Outstanding ProductOutstanding Product

QualityQuality

Different fibers enable very specific and high quality products

Coated boards with lower basis weight and same mechanical

properties (due to internal R&D efforts)

Sole supplier of Liquid Packaging Boards (LPB) in southern

hemisphere

Diversity of products

Higher margins

M k t L d hi dM k t L d hi d


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Market Leadership andMarket Leadership and

Growth OpportunitiesGrowth Opportunities

Market leadership in all segments in Brazil with space to grow:

20% of Brazils Paper production

55% market share in Industrial Bags

20% market share in Corrugated Boxes

50% market share in Kraftliner

18% market share in Coated Boards

100% market share in Liquid Packaging Boards (LPB)

Largest paper exporter more than 50 countries

Regular exporter more than 25 years

Coated boards growing twice the market average in Brazil


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Business and MarketsBusiness and Markets

l b l k


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14Source: RISI

Global MarketGrowth of Paper Demand 2007-2020

1,9 %

0,6%

4,2%

3,8%

2,5%

0

0,5

1

1,5

2

2,5

3

3,5

4

4,5

1 50 99

Accumulated Participation in Global Demand 2007 (%)

AverageGrowthinDemand(%)

Printing and writing Newsprint Tissue Containerboard Others

CAGR Average = 2.8%

P od ction of PackagingProduction of Packaging


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Rigesa

9%

Others

35%

Klabin35%

Trombini

4%

Orsa

8%

Inpa

3%

S Roberto

3%

Irani

3%

Source: RISI and Bracelpa

Production of PackagingProduction of Packaging

PaperPaper -- 20072007

Global ProductionGlobal Production BrazilBrazil ProductionProduction

Africa/Oceania

5%

Europe22%

LatinAmerica

6%

Noth America27%

Asia40%

3.6 million tonnes128 million tonnes


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WoodWood

Products: wood logs

Customers: Sawmills and laminators

Pine

Eucalyptus

Sawn LumberFence

Clear BlocksFinger - Joint - Blanks

MouldingsPlywood

Sawn LumberVeneerPlywood

Glued Laminated BeamsEdge Glued Panels

Outdoor Furniture

Main Products

USA

Europe

DomesticMarket

Europe

Asia

USA

Domestic

Market

DestinationsSpecies

F tF t


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ForestsForestsForestry baseForestry base

Company Land

Planted Forests

thousand ha

446

220

Pine

Eucalyptus

156

64

186

Land and Forests 09/30/2008

Native preserved forests

Paran

Santa Catarina

Km

42

76

66

Average Hauling Distance

So Paulo

Correia Pinto

Otaclio Costa

95

Fo estsForests


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ForestsForestsCompetitive advantageCompetitive advantage

Softwood - Rotation (years)

20

25

25

35

45

100

0 20 40 60 80 100 120

Klabin

South Africa

Chile

Australia

USA

Sweden

Hardwood - Rotation (years)

7

9

11

13

37

37

0 5 10 15 20 25 30 35 40

Klabin

South Africa

Chile

Portugal

Sweden

Finland

Source: Pyry

Paran

Santa Catarina

Eucalyptus

50

27

34

Average Productivity (m3/ha/year) 09/30/2008

So Paulo

Pine

39

42

-


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KraftlinerKraftliner

Pioneerism and leadershipin the production ofkraftliner in Latin

America

Largest producer andexporter of packaging

paper - 74% ofBrazilian exports

6% share of the globalmarket, exporting to

more than 50 countries

Supplies Klabins 9corrugated boxesconverting plants



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0

100

200

300

400

500

600

700

800

900

Jan-04 Jan-05 Jan-06 Jan-07 Jan-08

Kraftliner price (free delivered Europe) Average

KraftlinerKraftlinerPrice evolutionPrice evolution

Source: FOEX/Kraftliner Brown 175 g/m2

2004 2005 2006 2007 2008

541 539

602

720

US$/tonne

0% 12%

20%

7585%



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352

419 420 430447 451

471497 498

Klabin -MA

Portugal Brazil France USA Poland Austria Russia Sweden

KraftlinerKraftlinerCost competitivenessCost competitiveness

Source: RISI Analytical Conerstone 2Q08 converted to October's exchange rate.

Average cash cost (delivered Northern Europe)US$ / tonne

C t d B dC t d B d


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Coated BoardsCoated Boards

Carrier Board

Liquid PackagingBoards (LPB)

Folding BoxBoards

Carrier Boards

Global Board MarketGlobal Board Market


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Global Board MarketGlobal Board Market28 million tpy28 million tpy

Klabin focus on the virgin fiber based segment, whichKlabin focus on the virgin fiber based segment, which

amounts to 10 million tpy:amounts to 10 million tpy:

-- Liquid Packaging Board: 3.1 million tpyLiquid Packaging Board: 3.1 million tpy

-- Carrier Board: 2.7 million tpyCarrier Board: 2.7 million tpy

-- Folding Boxboard: 4.3 million tpyFolding Boxboard: 4.3 million tpy

North AmericaNorth America8.48.4

Latin AmericaLatin America1.41.4

Africa and Middle EastAfrica and Middle East0.60.6

EuropeEurope5.65.6

Eastern EuropeEastern Europe1.51.5

AsiaAsia10.510.5

C t d B dC t d B d


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Source: Pyry

0 500 1,000 1,500 2,000 2,500 3,000

MeadWestvaco

Stora Enso

International Paper

Graphic Packaging

Korsnas/Frovi

Klabin

M Real

Iggesund

Potlatch

Georgia Pacific

1,000 tpy

Liquid Packaging Board Folding Box Board Carrier Board Solid Bleached Sulphate

KlabinKlabin -- 66thth

Largest Producer of Virgin Fiber Coated BoardsLargest Producer of Virgin Fiber Coated Boards

C t d B dC t d B d


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25Source: Pyry

0 200 400 600 800 1,000 1,200 1,400 1,600

Stora Enso

Korsnas/Frovi

Klabin

International Paper

Potlatch

MeadWestvaco

Graphic Packaging

M Real

Iggesund

1,000 tpy

Liquid Packaging Board Folding Box Board Carrier Board


KlabinKlabin 33rdrd

Largest Tetra Pak Supplier in 2009Largest Tetra Pak Supplier in 2009



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26Source: Bracelpa - * Jan to Sep, 2008

Coated Boardso oKlabin's Market Share EvolutionKlabin's Market Share Evolution

3 2 %3 4 %

3 1% 3 2 %

3%15%

18%2 1%15%

12%

13 % 13%

13%

12%

8 % 7%

10%

11%

10 %9 %

6 %

16 % 19%13%

2 7%

1995 2000 2005 2008*

Suzano Klabin R ipasa P apirus Ibema Itapag Outro s

Sales in the domestic market (excluding LPB) 1995 / 2008*

Coated BoardsCoated Boardsili C i iB ili C ti M i


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Food/

Beverages

93%

Personal

Care

3%

Others4%

Brazilian Consumption per MainBrazilian Consumption per Main

Industries and Market ShareIndustries and Market Share

Source: BRACELPA

ConsumptionConsumption

Main IndustriesMain Industries

20072007

Market ShareMarket Share

20072007

Includes LPBIncludes LPB

Suzano

25%

Ripasa/MD

8%

Papirus9%

Klabin

38%

Ibema

10%Miguel Forte

4%Bonet

3%

Ramenzoni

2%

Nobrecel

1%



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0

200

400

600

800

1,000

1,200

Jan-04 Jan-05 Jan-06 Jan-07 Jan-08

Coated Board List Price (USA) Average

Coated BoardsCoated BoardsList price evolution (Free delivered USA)List price evolution (Free delivered USA)

Source: RISI Index List Price 20Pt. Clay-Coated Unbleached Folding Cartonboard

2004 2005 2006 2007 2008

847 897

9361,003

US$/tonne

1,048



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FBB cost competitivenessFBB cost competitiveness

Source: RISI Analytical Conerstone 2Q08 converted to October's exchange rate.

Average cash cost (delivered Northern Europe)US$ / tonne

472

577

643702

780 827

903 904 915

Klabin - MA Brazil USA Poland France Sweden Finland Germany UK

Industrial BagsIndustrial Bags


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Recognized for highquality products andcustomized customer

service

Market leadership in thesegments of multiwall

and SOS bags

Supplies for a variety ofindustries, highlightingthe building industry,

food, chemical productsand agribusiness

Industrial BagsIndustrial BagsBrazilian Consumption per MainBrazilian Consumption per Main


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IndustriesIndustries

Seeds

4%

Others

13%

Building Industry

71%

Minerals

5%Chemicals

4%

Food

3%

Source: Klabin

ConsumptionConsumption

Main IndustriesMain Industries

20072007



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ggBrazilian Consumption of CementBrazilian Consumption of Cement

Million tonnes

2,0

3,0

4,0

5,0

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2006 2007 2008

Source: SNIC

Corrugated BoxesCorrugated Boxes


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Corrugated Boxeso g o

Leadership of thecorrugated boxesmarket in Brazil

Largest production

capacity in Brazil withnine corrugated boxesconverting plants

Klabins products reachevery industry sector,

providing totalprotection for packaged

products transported

Corrugated BoxesCorrugated BoxesBrazilian Consumption per MainBrazilian Consumption per Main


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Industries and Market ShareIndustries and Market Share

ConsumptionConsumptionMain IndustriesMain Industries

20072007

Market ShareMarket Share

20072007

Source: ABPO

Ibria 3%

Rigesa

12%Orsa

10%

Trombini7%

Penha

6%

So

Roberto4%

Adami

4%INPA

4%

Others34%

Klabin

20%

Fruits

6%Others

47%

Chemicals

9%

Food /

Beverages

38%

Corrugated BoxesCorrugated BoxesB ili hi tB ili hi t


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35

Thousand tonnes

140

150

160

170

180

190

200

210

Jan-

02

May-

02

Sep-

02

Jan-

03

May-

03

Sep-

03

Jan-

04

May-

04

Sep-

04

Jan-

05

May-

05

Sep-

05

Jan-

06

May-

06

Sep-

06

Jan-

07

May-

07

Sep-

07

Jan-

08

May-

08

Sep-

08

Shipments Annual Average

179

157

176180 182

187

Source: ABPO

193

Brazilian shipmentsBrazilian shipments


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Financial PerformanceFinancial Performance

Income StatementIncome StatementConsolidatedConsolidated


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ConsolidatedConsolidated

R$ Million 2005 2006 2007 9M07 9M08 3Q08

Volume (1,000 tonnes) 1,377 1,393 1,437 1,097 1,186 388

Net Revenue 2,706 2,713 2,796 2,128 2,291 770

Gross Profit 1,025 963 953 755 609 182

Gross Margin 38% 35% 34% 35% 27% 24%

Total Operating Expenses (516) (497) (455) (334) (372) (133)

Operating Profit (before fin Results) 356 598 842 730 (48) (398)

Net Financial (Expenses)/Revenue (154) 132 345 310 (284) (447)

Net Income (loss) 309 473 621 550 (1) (253)

Financial HighlightsFinancial HighlightsConsolidatedConsolidated


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ConsolidatedConsolidated

R$ Million 2005 2006 2007 9M07 9M08

EBITDA 755 709 741 603 539

EBITDA Margin 28% 26% 27% 28% 24%

EBIT 509 466 498 421 236

EBIT Margin 19% 17% 18% 20% 10%

Total Assets 4,696 6,123 7,806 7,647 8,302

Net Debt 319 702 2,007 1,755 2,771

Equity 2,245 2,461 2,741 2,789 2,623

Minority Interest 97 112 128 120 139

Total Captalization 2,661 3,385 4,997 4,664 5,649

Net Debt / Capitalization 12% 21% 40% 38% 49%

Klabin's PerformanceKlabin's Performance


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1,0971,186

9M07 9M08

Does not include wood Includes wood

Net RevenueNet RevenueR$ millionR$ million

Sales VolumeSales Volume1.000 tonnes1.000 tonnes

Volume and Net Revenue growingVolume and Net Revenue growing

2,2912,128

9M07 9M08

8%8% 8%8%

Klabin's PerformanceKlabin's PerformanceDomestic MarketDomestic Market


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675732

9M07 9M08

Net RevenueNet RevenueR$ millionR$ million

Sales VolumeSales Volume1,000 tonnes1,000 tonnes

Volume and net revenue growing with stable pricesVolume and net revenue growing with stable prices

1,7181,569

9M07 9M08

9%9% 9%9%

Domestic MarketDomestic Market

Does not include wood Includes wood

Klabin's PerformanceKlabin's PerformanceExport MarketExport Market


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41

422454

9M07 9M08

Net RevenueNet Revenue

R$ millionR$ million

Sales VolumeSales Volume

1,000 tonnes1,000 tonnes

Growth of coated boards exportsGrowth of coated boards exports

558 573

9M07 9M08

8%8% 3%3%

279

340

9M07 9M08

22%22%

Net RevenueNet Revenue

US$ millionUS$ million

Export MarketExport Market

PerformancePerformance 9M089M08Per MarketPer Market


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Per MarketPer Market

DomesticDomestic

MarketMarket62%62%

ExportsExports

38%38%

Does not include woodDoes not include wood

DomesticDomestic

MarketMarket75%75%

ExportsExports

25%25%

Includes woodIncludes wood

R$ 1405 millionR$ 1405 millionR$ 2,291 million1,186 thousand tonnes

Net RevenueNet RevenueSales VolumeSales Volume

Exports DestinationExports Destination9M089M08


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9M0808

R$ 452 million454 thousand tonnes


EuropeEurope

28%28%

AfricaAfrica

9%9%

LatinLatin

AmericaAmerica

43%43%

AsiaAsia

15%15%

NorthNorth

AmericaAmerica

5%5%

AsiaAsia

16%16%

EuropeEurope

25%25%

NorthNorth

AmericaAmerica

6%6%AfricaAfrica

7%7%LatinLatin

AmericaAmerica

46%46%

PerformancePerformance 9M089M08Per ProductPer Product


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Does not include woodDoes not include wood Includes woodIncludes wood


Per ProductPer Product

CoatedCoated

BoardsBoards

32%32%

IndustrialIndustrial

BagsBags

8%8% KraftlinerKraftliner

28%28%

OthersOthers

3%3%

CorrugatedCorrugated

BoxesBoxes

29%29%

CoatedCoated

BoardsBoards

30%30%

IndustrialIndustrial

BagsBags

13%13%


17%17%

WoodWood

7%7%

CorrugatedCorrugated

BoxesBoxes

31%31%

OthersOthers

2%2%

R$ 2,291 million1,186 thousand tonnes

EBITDAEBITDA


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755709

741

603

539

28%26%

27% 28%

24%

2005 2006 2007 9M07 9M08

EBITDA - R$ million EBITDA Margin

EBITDA Margin of 24% in the 9 months of 2008EBITDA Margin of 24% in the 9 months of 2008

Capex and Net DebtCapex and Net Debt


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524

486

1,914

836

54

1,308

2006 2007 9M08

Capex MA 1100

702

2,007

2,272

2006 2007 9M08

1.0x

EBITDA

2.7x

EBITDA

Net DebtNet DebtR$ millionR$ million

CapexCapexR$ millionR$ million

MAMA--1100 Project: Final phase of implementation1100 Project: Final phase of implementation

4.1x

EBITDA

312

432

606

Debt AmortizationDebt AmortizationScheduleSchedule 09/30/0809/30/08


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Foreign Currency 95 29 56 207 327 503 567 327 442

Local Currency 2.035 29 378 462 319 304 279 276 397

Cash 4Q08 2009 2010 2011 2012 2013 2014After2015

2,130

434

669

58

10.9%

5.1%

Average Debt Maturity Average Annual Cost

Total 51 months

Local 44 months

Foreign 57 months

646

Low debt repayment in 4Q08 and 2009Low debt repayment in 4Q08 and 2009

806847

602

839

Others28%

Trade

Finance

72%

BNDES

79%

Others

21%

Local CurrencyLocal Currency

(50%)(50%)

Foreign CurrencyForeign Currency

(50%)(50%)

Export and trade financeExport and trade finance

operationsoperations


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pp

Low exposure level of the companyLow exposure level of the company

s exports to trade finance operations.s exports to trade finance operations.

0

100

200

300

400

500

600

Free exports 113 404 388 376 308 238 366 469 476 550 550 524 499

Pre payment 5 18 67 153 216 273 146 43 0 0 0 0 0

Export credit note 0 88 95 22 27 39 38 38 74 0 0 26 51

Exposure 4% 21% 29% 32% 44% 57% 33% 15% 13% 0% 0% 5% 9%

Oct /Dec 08

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

550

118

510

550 550 550 550 550 550 550 550 550 550

US$ MM

Net Income andNet Income andDividendsDividends


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49

309

473

621

252

172

231

293

117

2005 2006 2007 1H08

Net Income Declared Dividends

R$ million

3.5%*

6.1%*

6.0%*

* Dividend Yield

ShareShares Performance ats Performance atBovespaBovespa


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4.4 4.4 4.3 4.33.9

3.6

7.1

5.8

4.04.3

5.0

6.4

5.5 5.6

6.9

6.2

5.4 5.55.0

4.4

5.7

3.63.4

2.8

1.9

3.4

2.2 2.2

2.6

2.8

3.03.2 3.1

2.7

3.5

3.73.6

3.23.0

3.1

3.5

3.2

0.0

2.0

4.0

6.0

8.0

10.0

Jan-07 Feb-07 Mar -07 Apr -07 May-07 Jun-07 Jul -07 Aug-07 Sep-07 Oct -07 Nov-07 Dec-08 Jan-08 Feb-08 Mar -08 Apr -08 May-08 Jun-08 Jul -08 Aug-08 Sep-080.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

Daily Trading Volume Market Capitalization

US$ million US$ billion

Market capitalization and daily trading volumeMarket capitalization and daily trading volume


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Expansion of Coated BoardsExpansion of Coated Boards

Projeto MA 1100


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BrownfieldBrownfield projectproject

New coated board machine moving forward along theNew coated board machine moving forward along the

industrial andindustrial and commercialcommercial learning curveslearning curves

Start up of the new power boiler (Biomass)Start up of the new power boiler (Biomass) Completed the energy source of the MonteCompleted the energy source of the Monte AlegreAlegre millmill

70% of electric energy consumption provided by self70% of electric energy consumption provided by self--generationgeneration

Paper machine #9


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198

368386

620

823

756792

756791

861

541

873

Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 2009

onwards

Average Daily Production (tonnes)

PM9 average daily production evolutionPM9 average daily production evolution1,000 tonnes / day

Nominal Capacity

Forecast 2008 = 280,000 tonnesForecast 2008 = 280,000 tonnesForecast 2008 = 280,000 tonnes

Electrical Energy


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Purchased

E.Energy

35%

Hidro-Electric

27%

Biomass

38%

Purchased

E.Energy

30%

Hidro-

Electric

15%

Biomass

55%After MAAfter MA--11001100

Reduced dependence on purchased energyReduced dependence on purchased energy

65% of electric energy65% of electric energy

selfself--sufficiencysufficiency

70% of electric energy70% of electric energy

selfself--sufficiencysufficiency

85 MWh 150150 MWhMWh


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FutureFuture

Growth StrategyGrowth Strategy


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Coated boardsWood

Industrial BagsCorrugated Boxes

Domestic Market

Maintain leadership inevery businesssegment



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Coated boards

Kraftliner

Increase share inthe coated boards

market

Exports

More value added products

Less volatile prices

Growing market

Costs competitiveness

Entrance barriers Financial capacity

Technology: use of long and shortfibers and coating

Capacity increase opportunities

Costs competitiveness

Technology

To prepare



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R$ 2.2 billioninvestmentsconcluded to

reach 2.0million tonnes

capacity

Solid Growth ProspectsSolid Growth Prospects

Maturation ofMA-1100 project

Expansionprogram

Future

Operationalstability andcontinuity

Financialdiscipline

Value creation

Klabin for thenext growth

cycle

44

22

11

Improvingefficiencies

Increase

production capacityfrom 2.0 million tpyto 3.0 million tpyby 2013 / 2014

Cost reduction andhigher productivity

33

FutureFuture3.0 Million tonnes/year3.0 Million tonnes/year


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Feasibility studies for the capacity increase andFeasibility studies for the capacity increase andmodernization projects are under review, aiming to achievemodernization projects are under review, aiming to achieve

higher profitabilityhigher profitability

Capacity increase to 3 million tonnes by 2013 / 2014Capacity increase to 3 million tonnes by 2013 / 2014

Cost reduction and higher productivityCost reduction and higher productivity


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Value in all we doValue in all we do

IR Contact

Phone: (55 11) 3046-8404 / 8415 / 8416

[email protected]

IR ContactIR Contact

Phone: (55 11) 3046Phone: (55 11) 3046--8404 / 8415 / 84168404 / 8415 / 8416

[email protected]@klabin.com.br

institutional presentation - 3q08

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