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Interim Report
1 January – 30 September 2010




                                Interim Report Q3 2010
Q3 2010 vs Q3 2009
SCA market update


    Significantly increased raw material prices
        Pulp, OCC, recovered paper
        Raw material costs increased SEK 1.8bn

    Stronger SEK to other currencies
        Negative sales impact of SEK 1.5bn equivalent to 6%

    Hygiene business
        Good growth for Incontinence care, Feminine care and AFH tissue
        Continued good growth in emerging markets

    Packaging and Forest Products
        Increased demand for Packaging
         • Corrugated volumes increased 4%
        Publication paper volumes flat
        Increased volumes for solid-wood products and pulp

2                                                                         Interim Report Q3 2010
Q3 2010 results

SEK millions                                 Q3       Q3    Change,     Change,        Q2
    unless otherwise stated                2010     2009    Q3/Q3,%*   Q3/Q3,%**    2010

Net sales                                 27,204   27,108      0          6        27,652
EBIT*                                      2,574    2,576      0          2         2,440
EBIT margin* (%)                             9.5      9.5                               8.8
Profit before tax*                         2,274    2,199      3                    2,196
Earnings per share (SEK)                    1.95     1.82      7                      2.04
Cash flow from current operations          2,194    4,259                           1,668




* Excluding restructuring cost
** Adjusted for exchange rate movements


3                                                                             Interim Report Q3 2010
First nine months 2010 results

SEK millions                                 9M       9M    Change,   Change,
    unless otherwise stated                2010     2009      %*       %**

Net sales                                 81,578   83,350     -2        4
EBIT*                                      7,041    7,080     -1        2
EBIT margin* (%)                             8.6      8.5
Profit before tax*                         6,218    5,724      9
Earnings per share (SEK)                    5.53     5.06      9
Cash flow from current operations          5,010    8,946
Debt/Equity ratio                           0.59     0.64



* Excluding restructuring cost
** Adjusted for exchange rate movements


4                                                                            Interim Report Q3 2010
Q3 2010 vs. Q2 2010
  Summary
      Group
               Sales flat*
               EBIT increased 7%**
               Profit before tax increased 4%

      Business areas
               Personal Care, EBIT decreased 5%**
                  • Higher raw material costs
               Tissue, EBIT decreased 4%**
                  • Higher prices
                  • Higher raw material costs and lower volumes
               Packaging, EBIT increased 77%**
                  • Higher prices
               Forest Products, EBIT flat
                  • Slightly higher prices
                  • Higher energy costs
* Adjusted for exchange rate movements
** Excluding restructuring costs and adjusted for exchange rate movements

  5                                                                         Interim Report Q3 2010
Net debt
And debt payment capacity

    SEKm                                               %


                            35%         36%
           33%   33%              33%




6                                             Interim Report Q3 2010
                                                             Q2
Personal Care
  Q3 2010 vs Q3 2009

                                                              Sales decreased 1% (+2%*)
                         6,125    6,197
                                                                        Incontinence care increased 4%*
                                                                        Feminine care increased 5%*
                          -1%
                                                                        Baby diapers decreased 4%*
                                                                        Emerging markets increased 7%*
                                                                             Incontinence care increased 14%*
SALES SEKm             Q3 2010 Q3 2009



                                  810
                                                              EBIT decreased by 14%** (-11%***)
                         697**                                          Higher volumes
                        -14%**                                          Higher raw material cost
                                                                        Increased market activities

EBIT SEKm              Q3 2010 Q3 2009


EBIT margin           11.4%** 13.1%
* Adjusted for exchange rate movements
** Excluding restructuring costs
*** Excluding restructuring costs and adjusted for exchange rate movements
   7                                                                                                   Interim Report Q3 2010
Tissue
  Q3 2010 vs Q3 2009

                                         Sales decreased 2% (+2%*)
                               10,147
                       9,924                Consumer tissue increased 1%*
                        -2%                 AFH tissue increased 4%*


                                         EBIT decreased by 32% (-31%*)
                      Q3 2010 Q3 2009
SALES SEKm                                  Higher raw material costs
                               1,102
                                            Higher prices
                        753
                                            Synergies from acquisition
                       -32%                 Lower other production costs and energy
                                            costs

EBIT SEKm              Q3 2010 Q3 2009


EBIT margin            7.6% 10.9%

* Adjusted for exchange rate movements

  8                                                                     Interim Report Q3 2010
Packaging
  Q3 2010 vs Q3 2009

                                                            Sales increased by 6% (24%*)
                        7,392
                                 6,946                               Higher prices and volumes
                          6%


                                                            EBIT increased to SEK 512m (172)**
                                                                     Higher prices and volumes
SALES SEKm             Q3 2010 Q3 2009                               Savings from restructuring program
                                                                     Increased raw material costs
                         512                                         Negative currency impact
                       197%**
                                  172**




EBIT SEKm              Q3 2010 Q3 2009


EBIT margin             6.9% 2.5**%

* Adjusted for the divestment of the Asian packaging business and exchange rate movements
** Excluding restructuring costs
  9                                                                                              Interim Report Q3 2010
Forest Products
  Q3 2010 vs Q3 2009

                                                              Sales increased by 7% (8%*)
                          4,415   4,145
                                                                        Publication papers
                                                                             • Lower prices
                           7%
                                                                        Pulp and Solid-wood products
                                                                             • Higher prices and volumes

SALES SEKm              Q3 2010 Q3 2009
                                                              EBIT increased by 11%** (7%***)
                                                                        Publication papers, decreased EBIT
                          685**    617                                       • Lower prices
                         11%**                                               • Increased raw material costs
                                                                        Pulp and Solid-wood products,
                                                                        increased EBIT
EBIT SEKm               Q3 2010 Q3 2009                                      • Higher prices and volumes

EBIT margin           15.5%** 14.9%
* Adjusted for exchange rate movements
** Excluding restructuring costs
*** Excluding restructuring costs and adjusted for exchange rate movements
   10                                                                                                         Interim Report Q3 2010
Outlook 2010

 Hygiene businesses
        Good demand
        Seasonally weaker demand in Q4 for AFH tissue North America
        Full impact in Q4 of price increases in Tissue

     Packaging
        Seasonally weaker demand in Q4
        Increasing prices

     Forest Products
        Good demand




11                                                               Interim Report Q3 2010
Q&A




12         Interim Report Q3 2010
13   Interim Report Q3 2010

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Presentation of SCA interim report Q3 January - September 2010

  • 1. Interim Report 1 January – 30 September 2010 Interim Report Q3 2010
  • 2. Q3 2010 vs Q3 2009 SCA market update Significantly increased raw material prices Pulp, OCC, recovered paper Raw material costs increased SEK 1.8bn Stronger SEK to other currencies Negative sales impact of SEK 1.5bn equivalent to 6% Hygiene business Good growth for Incontinence care, Feminine care and AFH tissue Continued good growth in emerging markets Packaging and Forest Products Increased demand for Packaging • Corrugated volumes increased 4% Publication paper volumes flat Increased volumes for solid-wood products and pulp 2 Interim Report Q3 2010
  • 3. Q3 2010 results SEK millions Q3 Q3 Change, Change, Q2 unless otherwise stated 2010 2009 Q3/Q3,%* Q3/Q3,%** 2010 Net sales 27,204 27,108 0 6 27,652 EBIT* 2,574 2,576 0 2 2,440 EBIT margin* (%) 9.5 9.5 8.8 Profit before tax* 2,274 2,199 3 2,196 Earnings per share (SEK) 1.95 1.82 7 2.04 Cash flow from current operations 2,194 4,259 1,668 * Excluding restructuring cost ** Adjusted for exchange rate movements 3 Interim Report Q3 2010
  • 4. First nine months 2010 results SEK millions 9M 9M Change, Change, unless otherwise stated 2010 2009 %* %** Net sales 81,578 83,350 -2 4 EBIT* 7,041 7,080 -1 2 EBIT margin* (%) 8.6 8.5 Profit before tax* 6,218 5,724 9 Earnings per share (SEK) 5.53 5.06 9 Cash flow from current operations 5,010 8,946 Debt/Equity ratio 0.59 0.64 * Excluding restructuring cost ** Adjusted for exchange rate movements 4 Interim Report Q3 2010
  • 5. Q3 2010 vs. Q2 2010 Summary Group Sales flat* EBIT increased 7%** Profit before tax increased 4% Business areas Personal Care, EBIT decreased 5%** • Higher raw material costs Tissue, EBIT decreased 4%** • Higher prices • Higher raw material costs and lower volumes Packaging, EBIT increased 77%** • Higher prices Forest Products, EBIT flat • Slightly higher prices • Higher energy costs * Adjusted for exchange rate movements ** Excluding restructuring costs and adjusted for exchange rate movements 5 Interim Report Q3 2010
  • 6. Net debt And debt payment capacity SEKm % 35% 36% 33% 33% 33% 6 Interim Report Q3 2010 Q2
  • 7. Personal Care Q3 2010 vs Q3 2009 Sales decreased 1% (+2%*) 6,125 6,197 Incontinence care increased 4%* Feminine care increased 5%* -1% Baby diapers decreased 4%* Emerging markets increased 7%* Incontinence care increased 14%* SALES SEKm Q3 2010 Q3 2009 810 EBIT decreased by 14%** (-11%***) 697** Higher volumes -14%** Higher raw material cost Increased market activities EBIT SEKm Q3 2010 Q3 2009 EBIT margin 11.4%** 13.1% * Adjusted for exchange rate movements ** Excluding restructuring costs *** Excluding restructuring costs and adjusted for exchange rate movements 7 Interim Report Q3 2010
  • 8. Tissue Q3 2010 vs Q3 2009 Sales decreased 2% (+2%*) 10,147 9,924 Consumer tissue increased 1%* -2% AFH tissue increased 4%* EBIT decreased by 32% (-31%*) Q3 2010 Q3 2009 SALES SEKm Higher raw material costs 1,102 Higher prices 753 Synergies from acquisition -32% Lower other production costs and energy costs EBIT SEKm Q3 2010 Q3 2009 EBIT margin 7.6% 10.9% * Adjusted for exchange rate movements 8 Interim Report Q3 2010
  • 9. Packaging Q3 2010 vs Q3 2009 Sales increased by 6% (24%*) 7,392 6,946 Higher prices and volumes 6% EBIT increased to SEK 512m (172)** Higher prices and volumes SALES SEKm Q3 2010 Q3 2009 Savings from restructuring program Increased raw material costs 512 Negative currency impact 197%** 172** EBIT SEKm Q3 2010 Q3 2009 EBIT margin 6.9% 2.5**% * Adjusted for the divestment of the Asian packaging business and exchange rate movements ** Excluding restructuring costs 9 Interim Report Q3 2010
  • 10. Forest Products Q3 2010 vs Q3 2009 Sales increased by 7% (8%*) 4,415 4,145 Publication papers • Lower prices 7% Pulp and Solid-wood products • Higher prices and volumes SALES SEKm Q3 2010 Q3 2009 EBIT increased by 11%** (7%***) Publication papers, decreased EBIT 685** 617 • Lower prices 11%** • Increased raw material costs Pulp and Solid-wood products, increased EBIT EBIT SEKm Q3 2010 Q3 2009 • Higher prices and volumes EBIT margin 15.5%** 14.9% * Adjusted for exchange rate movements ** Excluding restructuring costs *** Excluding restructuring costs and adjusted for exchange rate movements 10 Interim Report Q3 2010
  • 11. Outlook 2010 Hygiene businesses Good demand Seasonally weaker demand in Q4 for AFH tissue North America Full impact in Q4 of price increases in Tissue Packaging Seasonally weaker demand in Q4 Increasing prices Forest Products Good demand 11 Interim Report Q3 2010
  • 12. Q&A 12 Interim Report Q3 2010
  • 13. 13 Interim Report Q3 2010