SCA hosted the Capital Markets Day in Stockholm. The Group-wide financial targets and strategy remains with a focus on efficiency, innovation, growth and sustainability. The target for return on capital employed for Tissue and Forest Products has been adjusted. In recent years, SCA has completed hygiene acquisitions and divested for example the packaging operations. In order to further strengthen profitability in the hygiene operations, measures are initiated for decreased costs and improved efficiency.

1. SCA Capital Market Day 2012
Jan Johansson, President and CEO

2. Macro Economy
China’s economic slowdown…
European debt crisis
Holding back recovery
To be, or not to be…
Germans sick of paying
U.S. election
Effects of high unemployment
The Arabic spring
2 CMD 2012

3. Market Drivers
Good growth opportunities
 Global population growth
 An aging population
 Increased market penetration
 Higher disposable income
 Customers and consumers demand
more comfort and sustainability
3 CMD 2012

4. Global Hygiene Products Market
Increased penetration and aging and growing population
Personal Care
Tissue
2010 2017
4 CMD 2012

5. Aging Population
Total population aged over 60 approaching 1 billion by 2017
Millions aged over 60
years old
1 200
1 000 +25%
800
600 2010
2017
400
+34%
+12%
200
+21%
0
Total world Europe China USA
5 CMD 2012

6. Hygiene Products
High potential in markets with low penetration
Usage of Hygiene products
Units/capita/year Units/child/year Units/woman/year Kg/capita/year
North America Western Europe Eastern Europe Latin America Asia
6 CMD 2012

7. Today
SCA is a leading global
Hygiene and Forest products
company
7 CMD 2012

8. SCA Group
 Net sales of SEK 91bn*
 37,000 employees
 Sales in more than 100 countries
 World’s second-largest hygiene company
 #1 or #2 positions in close to 80 countries
 Strong brands;
TEN and Tork are leading global billion-euro
brands for Incontinence care and AFH tissue
 Europe’s largest private forest owner
 Europe’s second-largest sawmill company
 Several of the world’s most prestigious
sustainability awards
* 2011 sales adjusted for closed transactions
8 CMD 2012

9. Transforming SCA
 Divestment of the Packaging business, excluding the two kraftliner mills
 Acquisition of Georgia-Pacific’s European tissue operations
 Acquisitions in emerging markets
 Everbeauty in Asia
 Pro Descart in Brazil
 San Saglik and Komili(50%) in Turkey
 Joint venture in Australia/New Zealand
 Divestment of Aylesford Newsprint
 Efficiency program
 Leadership and culture
9 CMD 2012

10. SCA Group
Hygiene business is growing
% of net sales
~20%*
54% 40%
46% 60% ~80%*
Forest Products and Hygiene products
Packaging (Personal Care and Tissue)
10 CMD 2012

11. SCA Group
9 months 2012 sales and EBIT by Business Area
Sales by Business Area EBIT by Business Area
Forest Products Personal Care Forest Products Personal Care
22% 16%
30% 35%
48% 49%
Tissue Tissue
11 CMD 2012

12. SCA Group
Sales by Product Category
Personal Care Tissue
Feminine care
15% Incontinence products
AFH tissue
38%
54%
31% 62%
Baby diapers
73% branded
Consumer tissue
52% branded
12 CMD 2012

13. Growth
High growth in Emerging markets
Q3 2012
Emerging markets sales growth:
Personal Care: +26%*
Tissue: +20%*
% of Personal Care sales** % of Tissue sales**
Emerging markets 16% Emerging markets
37%
Mature markets Mature markets
* Adjusted for exchange rate movements
** Q3 2012
13 CMD 2012

14. Leading Market positions
Globally and regionally
Value market positions
North America Nordic region
Incontinence products: 2 Incontinence products: 1 Europe
AFH tissue: 3 Tissue: 1
Baby diapers: 1
AFH tissue: 1 Incontinence products 1
Mexico Baby diapers: 3
Consumer tissue: 2
Incontinence products: 1 Feminine care 3
Feminine care 2
Feminine care: 1 Private forest owners: 1
Consumer tissue 2 Solid-wood products: 2
AFH tissue: 3
Baby diapers: 3
Asia
Incontinence products: 1
Colombia Globally
Incontinence products: 1
Incontinence products: 1
Feminine care: 1
AFH tissue: 1
Tissue: 1
Consumer tissue: 2
Baby diapers 2
14 CMD 2012

15. SCA Group’s Priorities
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
15 CMD 2012

16. Sustainability
People Nature
• Health & Safety • Climate & Energy
• Hygiene solutions • Water
• Sustainable innovations • Fiber sourcing &
• Code of Conduct Biodiversity
Financials
• Return on capital
employed
• Growth
• Capital structure
16 CMD 2012

17. Efficiency
 Restructuring program in baby diapers
in Europe completed
 2011 Efficiency program
 Annual cost saving: EUR 80m
 Higher machine efficiency and reduced CAPEX
 Cost and productivity program
 Annual cost saving: EUR 300m
 Georgia-Pacific synergies
 Annual cost saving: EUR 125m
 Energy efficiency program
 Annual cost saving: EUR 70m
 Efficiency improvements in Forest Products
 Investments in upgrades and new capacity
17 CMD 2012

18. Innovation drives Profitable growth
Strengthens market positions and profitability
 Meet changing demands and requirements
 Create long-term, profitable differentiation
 Strengthen market positions
 Build stronger brands
 Drive growth
18 CMD 2012

19. SCA’s Market Priority
Mature markets Established Not-present
 Improve profitability emerging markets emerging markets
 Increased cash flow  Profitable growth  Selected entry
generation  Strengthen market
 Strengthen market positions
positions  Category expansion
 Category expansion
19 CMD 2012

20. Financial Targets
Group
ROCE** 13%
Debt/Equity 0.70
Debt payment capacity above 35%
Dividend policy 1/3 of cash flow from current operations
Business areas
Sales growth* ROCE**
Personal Care 5-7% 30%
Tissue 3-4% 15%
Forest Products in line with market in top quartile
* Annual organic sales growth
** Return on capital employed
20 CMD 2012

21. Summary
 Transformation
 Leading brands and market positions
 Strong product portfolio and innovations
 Good growth opportunities
 Substantial efficiency improvements
 Profitability improvement
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
21 CMD 2012

22. Hygiene Operations
Mats Berencreutz, Executive Vice President
22 CMD 2012

23. Strong Brands and Market positions
 Strong brands
and leading global billion-euro brands
 #1 or #2 positions in close to 80 countries
23 CMD 2012

24. Hygiene Aspiration
 To own and develop 6-10 global brand
positionings of > EUR 1bn each
 Strengthen our profitability in core markets
 Increase share of revenues and profit from
D&E markets
 Increase share of revenues and profit from
less capital intensive opportunities
 Increase share of branded business vs.
retailer brands
 Increase share of No. 1 or No. 2 positions in
our branded business portfolio
24 CMD 2012

25. Category Priorities
Incontinence Away From Consumer Baby Feminine
care Home tissue
Innovation and Cost leadership
Leverage our Brands and broaden Offer
Growth D&E markets
 Lead & shape  Go to market  Secure  Cost effective  Drive scale
 Products and  Products and profitability to be on par
valued services
 Excellence in
valued services
 Selective D&E with market brand
 Growth  Growth leader
 Penetration  Leverage
market management
mature markets synergies globally  Speed to
 Early entrance  Early entrance market
new markets new markets  Competitive offer
premium and
value
25 CMD 2012

26. Priorities
Core Organization Cost savings
capabilities effectiveness
• Innovation & • Faster, simplified • Leaner, more agile
Marketing decision making organization
• S&M execution • Clarified ways of • Shift resources where
• Global, integrated working required to win
supply
• Best-in-class
support
Drive Growth Drive Efficiencies
26 CMD 2012

27. Cost and Productivity program*
Key actions
 Manufacturing
 Blueprint implementation Cost savings
 Asset utilization improvements
 Best practice sharing
SG&A
 Sourcing
 World-class sourcing processes Logistics 12%
 Leverage global scale 6% Manufacturing
 Consolidation of suppliers 43%
 Logistics
 Optimize warehouse footprint 39%
 Lower transportation costs
Sourcing
 Working capital management
 SG&A
 Fewer layers in the organization
 Clear roles and responsibilities, no overlaps
 Center-led support model
Total annual cost savings: EUR 300m
Related restructuring costs: EUR 100m
Headcount reduction: approx. 1,500
* Excluding Georgia-Pacific acquisition
27 CMD 2012

28. Cost and Productivity program
Substantial cost savings
Estimates of Year-end run rate savings
EURm
350
300
300
250
200
200
150
100
50
0
2013 2014
28 CMD 2012

29. Georgia-Pacific Acquisition
Strengthens SCA’s No. 1 position in Tissue in Europe
Consumer tissue Away From Home
No. 1 No. 1
30% market share 31% market share
29 CMD 2012

30. Georgia-Pacific Acquisition
Strengthens our no.1 position
 Perfect strategic fit
 Substantial synergies
 Strengthens our geographic presence in Europe
 Strong innovation portfolio
 Strengthens our branded portfolio
30 CMD 2012

31. Georgia-Pacific Acquisition
Synergies
Supply chain synergies
Cost synergies
Cost synergies
 Manufacturing excellence and best
practice
Support and
 Footprint optimization overhead
 Scale effects raw materials 25%
 Logistics optimization 60% Supply chain
15%
Sales and Marketing Sales and
Marketing
 S&M organization consolidation
 A&P efficiency
Support and overhead
 Consolidation of support functions
Total annual cost synergies: EUR 125m
Related restructuring costs: EUR 130m
31 CMD 2012

32. Georgia-Pacific Acquisition
Synergies
Estimates of Year-end run rate cost savings
EURm
150
125
100
90
50
50
0
2013 2014 2015
32 CMD 2012

33. Summary
Cost and Productivity program and Georgia-Pacific synergies
Estimates of Year-end run rate cost savings
EURm
450
425
400 390
350
300
250
250
200
150
100
50
0
2013 2014 2015
33 CMD 2012

34. Summary
 Strong brands and market positions
 Substantial savings from cost and productivity program
 Georgia-Pacific acquisition strengthens our position and
will generate substantial cost synergies
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
34 CMD 2012

35. SCA Global Hygiene Supply
William Ledger, President

36. SCA World class Production facilities
Tissue 86 factories for hygiene products worldwide, incl. JV
Personal Care
36 CMD 2012

37. SCA’s Hygiene Business
Supply cost is a large part of turnover
Raw Material/ Energy
Other Cons.
Gross
profit Cost of Goods
Others
Distr. Costs
Savings
Depreciation
Personnel costs
37 CMD 2012

38. Gearing up to Capture Savings
We have programs to Energy
address all cost savings
components
Energy
Logistics
Hygiene
Distr.
Sourcing Costs
Waste
reduction
Raw Mat/
Others Cons. Personnel
costs Blue Print
Best practice
sharing
Depreciation
Others
38 CMD 2012

39. Global Best Practice Sharing
drives Performance
39 CMD 2012

40. Sourcing Savings
Renewed strong Global sourcing capabilities
700 initiatives identified and pursued
Georgia-Pacific Sourcing integration
Controlled by a program office
40 CMD 2012

41. Logistics Savings
Global Strategy
Reduce operating cost
Transport
optimi- Transport
Cost sourcing Warehouse
zation footprint
down
Free-up liquidity
Capital Stock
turnover reduction
up
Improve customer service
Value Added
Sales Services &
with logistics
up as
differentiator
41 CMD 2012

42. Driving Growth
 Organic
 New Paper Machine
in Germany (Kostheim)
 Extension of Tissue
Production in Russia (Sovetsk)
 M&A
 Acquisitions integration, e.g.
Georgia-Pacific
 Greenfield
42 CMD 2012

43. Summary
 Safety first
 Blueprint at all sites
 Manufacturing Excellence
 Lowest cost in Industry
 Earliest to market in key categories
 Seamless integration of all acquisitions
 Standardized low cost site for D&E
 Sustainable operations with global knowledge sharing
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
43 CMD 2012

44. SCA Forest Products
Ulf Larsson, President

45. SCA Forest Products
Europe’s largest forest owner and a cost efficient producer
Forest Containerboard Pulp
Publication paper Energy
Solid wood R&D Distribution/logistics
45 CMD 2012

46. SCA Forest Products
Business overview
 2011 net sales, SEK 20bn
 4,800 employees
46 CMD 2012

47. Market positions
Publication papers Solid-wood products Kraftliner
Growth rate: -2 – -4% p.a. Growth rate: 1% p.a. Growth rate: 1 – 2% p.a.
SCA position No 5 SCA position No 2 SCA position No 2
2%
5%
20 %
47 CMD 2012

48. Market Opportunities
SCA Forest Products
 Long term demand growth for all product areas
except publication papers
 Growing interest for wind and biofuel
 Truly sustainable products for environmentally aware
consumers
48 CMD 2012

49. SCA Forest Products
Priorities
 Improvement program in difficult market and currency situation
 Reduced exposure to standard newsprint
 Product renewal towards fresh fiber based packaging papers
 Wind power expansion
 Improved market position towards Scandinavian, French and UK
building merchants
49 CMD 2012

50. Cost and Productivity
SCA Forest Products
 A strong track record of improving cost and productivity
Examples:
- Ortviken + 4 %/a in production/FTE 2006-2011
- Saw mills + 3 %/a in production/FTE 2006-2011
 Additional actions necessary due to
current market and currency situation
 Reinforced improvement program
launched in all units
50 CMD 2012

51. Innovative Solutions
Good potential in renewable energy
 Wind power business model
 JV concept where partners Statkraft and
Fred.Olsen Renewables allocate capex to SCA land
 SCA income from fixed lease and energy price
dependent components
 Hedge for electricity to SCA/Ortviken
 Decided: SEK 8bn, 1.6 TWh/a generation
In pipeline: SEK 16bn, 3.4 TWh/a generation
 Biofuels
 Logging residuals and by-products from forest
industry becomes biofuel
 Deliveries of 3.2 TWh in 2011
 Only 1/3 of potential of logging residuals utilized
51 CMD 2012

52. Sustainability - our DNA
Commercial advantages
FSC* products
Publication Papers
 SCA is the world’s largest
supplier of FSC* certified
forest products
 Strong growth in sales of
FSC* solid-wood, pulp
and paper products
 SCA is also PEFC**
certified
* Forest Stewardship Council
** Program for the Endorsement of Forest Certification
52 CMD 2012

53. Sustainability - our DNA
Reduced cost and environmental impact
Investments in lime kilns
 Replacing oil with biofuels
 Significantly reduced carbon dioxide
emissions from fossil fuels
 Annual cost saving of approximately
SEK 50m for each mill
 Östrand - 17 500 m3 oil/a
- 52 500 ton CO2/a
 Munksund - 7 500 m3 oil/a
- 22 500 ton CO2/a
53 CMD 2012

54. Summary
SCA Forest Products – Top 3 priorities
1. Product renewal from publication papers and
especially from standard newsprint
2. Commercialization of wind power
3. Improvement program to address market and
currency situation
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
54 CMD 2012

55. Global Hygiene Category
Christoph Michalski, President

56. Innovation and Branding
Strengthens market positions and profitability
 Build global brand positionings for scale
 Drive innovation for growth and profit
Within a changing global consumer/customer environment
 Changing demographics
 Urbanization
 Price pressures
 Private Label
 Digital globally
56 CMD 2012

57. Baby Diapers
ONE GLOBAL PACK DESIGN
57 CMD 2012

58. Performance
through Innovations
58 CMD 2012

59. Lights by TENA
Innovation success
UK launch summary 2011/12
 14% sales growth vs. previous year
 25% new consumers recruited from Feminine care
 Base sales are at the highest level for 3 years
 lights by TENA have grown shopper numbers
• 30% within lights by TENA only
• 70% on repertoire shoppers (liners, maxi and ultra mix)
 Brand Equity showed improvement amongst
younger consumers on parameters like
substitutability and quality
59 CMD 2012

60. Dobles launch
Innovation success
 Successfully launched in
Colombia, Australia and France
 Increased SCA liners market
share by recruiting new
consumers from competition
 Reaching 5.8% value market
share of total liners market
 Dobles share of total liners
assortment approx. 12% in
Colombia, 9% in Australasia and
7% in France
Dobles packaging design in Colombia
60 CMD 2012

61. SCA builds strong Patent positions for
Valuable Innovations
The Tork dispenser for
 SCA builds long term hand towel rolls
strategic patent protection for
The unique lock
hygiene innovation activities The seamless, strong
construction of the
The feeding dispenser
 On average SCA files 80 new mechanism of the
cassette
patent applications per year
The unique design
of the complete
 SCA’s patent portfolio Washroom dispenser
A loading and retention
mechanism for paper
family
consists of around 1,000 refill, including the
unique plug
patent families, including The function of manual
paper loading
those transferred to SCA
through acquisitions in 2012 one example of an SCA invention, protected by
several global patent families
61 CMD 2012

62. Unify and Connect
SCA and our Product Brands
62 CMD 2012

63. SCA in the Volvo Ocean Race
Empowering women
 Strengthen the SCA and product brands
 Increase sales and commercial operations performance
 A stronger one company feeling
63 CMD 2012

64. Summary
 Branding and constant innovation creating
profitable growth today and tomorrow
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
CMD 2012
64 CMD 2012

65. SCA Consumer Goods Europe
Magnus Groth, President

66. One face to retail Customers in Europe
 2011 net sales of SEK 24.5bn
 Consumer tissue biggest category
Sales by category
 Number of employees: 4,300
7% 2% Consumer tissue
5%
Baby
12%
Feminine
Incontinence
products Retail
74% Other (Cotton
pads)
66 CMD 2012

67. Trends in Retail
 Consolidation and internationalization
 Multichannel and multiformat
 Internet shopping
 Promotions
 Retailer brands
67 CMD 2012

68. Market Positions
Europe
Consumer Tissue Baby Feminine
 SCA #1  SCA #3  SCA #3
 Growth rate: 3.6%  Growth rate: 2.1%  Growth rate: 1.1%
21%
26%
30%
45%
50%
11%
56%
8%
13% 12%
16%
12%
SCA KC Sofidel Others P&G KC SCA Others P&G J&J SCA Others
68 CMD 2012

69. Opportunities
 One face to the Retail customers
 One Go to market approach
 Dual-track strategy
69 CMD 2012

70. Efficiency
Go to Market Advantage
Channel Management Account Management Pricing Management
Trade Spend and Promotion Shopper Engagement and
Execution at Retail
effectiveness Category Management
Sales Force Effectiveness Logistics Management
70 CMD 2012

71. Maximizing the Shopper journey
Promotional Support
Online Home Store Fixture
+20%
+14%
Confirmed contact
with 61k shoppers
71 CMD 2012

72. Innovation
Baby private label success story
 Strategic Partnerships
 Product innovation and improved quality
 Thin diapers meet consumer demand
 Dedicated supply chain and retailer brand organization
Secured new contracts and increased volumes with 50%
72 CMD 2012

73. Growth
Consumer Tissue in Russia
CAGR*: 24%
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Zewa Net Sales in Russia
* Compound annual growth rate
73 CMD 2012

74. Summary
 Strong supplier to Retailers
 Go to Market is a competitive advantage
 Innovations enable growing faster than the market
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
74 CMD 2012

75. SCA AFH Professional
Hygiene Europe
Sune Lundin, President

76. Away From Home
Business Overview
Products
Tork provides complete professional dispenser and
refill systems for:
 Personal hygiene (hand wiping tissue, toilet
paper and soap)
 Products for wiping, cleaning and polishing
applications
 Napkins and related table-top products
Customers
 Industrial
 Trade and service
 Education
 Hotels, restaurants, catering
 Health care
76 CMD 2012

77. Go to Market
Distributors End
Service providers Customers
77 CMD 2012

78. AFH tissue
SCA is the global market leader
SCA is global No. 1
19 % market share
78 CMD 2012

79. SCA AFH Professional Hygiene Europe
Business overview
 2011 net sales: SEK 7.2bn
 Approx. 10,500 Employees in 2012
 Clear No. 1 position with 31%
market share
 Market leader in all Regions with
the best Supply Chain footprint
79 CMD 2012

80. Many Opportunities
Sustainability Innovation & Digital Hygiene awareness
awareness world
Supply Chain Efficiency Strong market Market growth
positions in Europe
80 CMD 2012

81. Growth
 Market growth in Europe of 2%
 Capturing adjacent growth in the
hygiene sector
 Value adding products and services
 Soaps, disinfectants, cleaning solutions,
washroom solutions and design
 Well positioned for growth e.g. in
Russia through local manufacturing
81 CMD 2012

82. Innovation
82 CMD 2012

83. Summary
 Strong market positions and good growth opportunities
 Increased efficiency in supply chain
 Sustainability as a differentiator
 Innovations add value
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
83 CMD 2012

84. SCA Americas
Don Lewis, President

85. SCA Americas
Business overview
Sales by Category
6%
9%
 2011 net sales SEK 15.6bn 46%
AFH
 8,300 employees Consumer tissue
20% Incontinence care
Feminine
Baby
19%
Sales by Region
22%
North Americas
South America
Mexico & Central
America
22%
56%
85 CMD 2012

86. Market Positions
North America
AFH Incontinence care
 Growth rate*: 1.4%  Growth rate*: 4.7%
 Market position: #3  Market position: #2
AFH North America Incontinence care
North America
22%
30% GP 25% K-C
K-C 34%
SCA
SCA Medline
7%
Bay West First Quality
Other 18%
Other
11%
20% 21% 12%
* CAGR 2012-2015
Healthcare includes Institutions and Homecare
Source: Global Market Database 2011
86 CMD 2012

87. Market Positions
Mexico & Central America
Tissue Personal Care
 Growth rate*: 4.6%  Growth rate*: 4.8 %
 Market positions: #2 Tissue  Market positions: #2 Personal Care
(#2 in Consumer tissue & AFH) (#1 Incontinence care; #1 Feminine,
#3 Baby)
Mexico/Central America
Mexico/Central America Tissue Personal Care
16% 10%
5% K-C
K-C
5% 9%
SCA SCA
6% FAPSA Mabesa
61% P&G 61% P&G
15%
12%
Other
Other
*CAGR 2012-2015
87 CMD 2012

88. Market Positions
South America
Tissue Personal Care
 Growth rate*: 5.5%  Growth rate*: 4.8%
 Market positions: #3 Tissue (Consumer  Market positions: #1 Incontinence;
tissue & AFH) #3 Feminine, #4 Baby
South America
South America Tissue
Personal Care
24% CMPC K-C
24%
K-C P&G
40% 37%
SCA J&J
Santher SCA
19% Other 19% Other
7% 10% 10%
10%
*CAGR 2012-2015
88 CMD 2012

89. AFH tissue North America
35% of sales from value added products
35%
33%
29%
26%
20%
16%
13%
9%
8%
6%
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 YTD
89 CMD 2012

90. New tissue plant in Mexico
Improved products and increased cost efficiency
90 CMD 2012

91. Mexico/Central America Incontinence market
Opportunity ripe for SCA as category leader
 Mexican Incontinence category growing at 15% annually
 60+ age group to double by 2025
 Current consumption shows huge opportunity
 SCA the undisputed leader, 40% share
91 CMD 2012

92. Leveraging strong Brands and Market
share in Colombia with adjacent products
92 CMD 2012

93. Brazil Expansion
 2011 acquisition of Pro Descart for #2 market position in
incontinence products
 Incontinence market growing rapidly
 2012 TENA launch
93 CMD 2012

94. Summary
 Insight-driven innovation fueling value added growth in
North America, world’s largest hygiene markets
 Powerful hygiene positions in the fast-growing Latin
American market
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
94 CMD 2012

95. SCA Asia Pacific
Ulf Söderström, President

96. SCA Asia Pacific
Business overview
Sales by category
(post Everbeauty acq)
1%
 Net sales 2011: SEK 2bn*
8%
 2,900 employees
Baby
 4 manufacturing plants and 14 OEM Feminine
28%
(Malaysia, China, Taiwan) Incontinence care
60%
 Strong global and regional brands Consumer tissue
AFH
 No.1 Incontinence brand in Asia (ex. Japan) 3%
Sales by regions 2011
(post Everbeauty acq) China
Hong Kong
4%
8% 12% Japan JV
4%
8% Korea
Taiwan
8%
Malaysia
37% Philippines
17% Singapore
2%
* Excluding Australia and New Zeeland Thailand
96 CMD 2012

97. Market Positions
Asia
 CAGR* 2011-2017: 6.2%
Incontinence care Baby
4% 3% UC 4% 3% UC
5% 5%
Other Other
5%
Livedo P&G
6% 27% 27%
Daio 5% K-C
9%
Hakujuji Kao
9%
10% Kao DSG
21% SCA 22% SCA
15% 20%
Nepia HengAn
Kami Shoji Daio
* Compound annual growth rate
97 CMD 2012

98. Market Positions
Key markets
South Korea
Incontinence care: 2
China Mainland
Incontinence care: 2 Japan
Incontinence care: 5
Baby: 5
Taiwan
Incontinence care: 1
Thailand Baby: 5
Baby: 3
Hong Kong
Hankies and box facials: 1
Malaysia
Baby: 1 Singapore
Incontinence care: 1 Baby: 3
Feminine: 3
Asia
Incontinence care brand* 1
* Excluding Japan
98 CMD 2012

99. Market Opportunities
 High organic hygiene growth in China
 Many other fast emerging hygiene markets
 Consolidation opportunities
 More sophisticated consumers
 Rising sustainability awareness
 Significant social media influence
99 CMD 2012

100. Chinese Market
 Biggest consumer group in the world
 21 million new born babies in 2011
 Age 60+ accounts for 13% of total population
 Growing purchasing power
 Increasing hygiene awareness
 Actionable sustainability commitment
100 CMD 2012

101. Acquisition of Everbeauty
Leading Asian personal care company
 National sales & distribution network in China
 Efficient low cost production sites
 Strong economy segment brands
 Successful integration program
 Ambitious growth plans
101 CMD 2012

102. Innovation Case
 During 2012 R&D Asia continued it’s successful momentum and
achievement by launching the following new innovations*.
1. Flirt Value
 A more affordable TENA Belt
2. Libresse PureFresh Green Tea Odor Control
 Feminine hygiene range of sanitary pads and panty liners,
with Green Tea scent and odor control feature
3. Tempo Toilet paper
 A premium quality toilet paper encompassing
both Neutral and Applewood
* All innovations from start to launch within approx. 7 months
102 CMD 2012

103. Summary
Asia is the engine of future hygiene growth
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
103 CMD 2012

104. SCA Incontinence Care Europe
Margareta Lehmann, President

105. Incontinence Care
SCA is the clear global market leader
SCA is global No. 1
25% market share
No. 2 has 9%
105 CMD 2012

106. SCA Incontinence Care Europe
Business overview
 2011 net sales of SEK 9.5bn Channel Split
European Incontinence Market
 Clear European market
leader with 41% market
share and strong positions 18%
in all channels
 Approx. 1,000 employees 48% Home care
34% Institution
 All market segments in one Retail
organization to secure
synergies
106 CMD 2012

107. Market Position
Clear European No. 1 in Incontinence care
 European market growth rate 3%
 Average Market Penetration 37%
Others 10%
Abena 3%
Attends 4%
Indas 4%
Artsana 4% SCA 41%
P&G 5%
TZMO 7%
Ontex (incl Hartmann
Lille) 10% 13%
107 CMD 2012

108. Market Opportunities
Many growth opportunities to exploit growth in TENA
 Aging society
 Low penetration rates
 Eastern Europe
 Light Incontinence (Lady & Men)
Bakgrunds bild
 Increased awareness
of the category
 Holistic view on care
 Lobbying and Co-payment
 TENA brand strength
108 CMD 2012

109. Aging Population
Total population aged over 60 approaching 1 billion by 2017
Millions aged over 60
years old
1 200
1 000 +25%
800
600 2010
2017
400
+34%
200 +12%
+21%
0
Total world Europe China USA
109 CMD 2012

110. Grow Market share
take>50% of market growth
 Drive growth in selected market/segment
combinations
 Grow tender business profitably by
develop tender excellence – influencing
tender criterias
 Increase competiveness in all quality tiers
in the assortment
 Drive Retail growth in all key markets
110 CMD 2012

111. Grow Penetration in Key segments
Examples Market
Penetration
%
 Increase market value
80
by upgrading to new
70
modern concepts, e.g.
60 Pants
50  Increase usage &
40 value by influencing
reimbursement models
30
 New users by
20
innovation and
10
communication
Average Pants Light Light
market Inco Inco
Female Male
111 CMD 2012

112. Expand the Category
Leverage TENA strength
Service
Diagnostics
 Build on core competence
Skin Patient
to expand beyond
Absorbent
care
Incontinence
S
hygiene absorbent products
products
 Expand core competence
into new service areas
Diagnostics
Training
112 CMD 2012

113. Innovation
Right Product Offer
Improve Increased Heavy Incontinence
the Core development in all quality tiers
Upgrades & Promising launch program in
New Launches Light Incontinence & Pants
Acquisition of new innovation
Drive concepts; Diagnostics, Patient
new areas Hygiene
113 CMD 2012

114. Summary
Global Brand with potential:
• Growing market - demography and low penetration
• Customer driven innovation
• Expertise in continence management
• Strong Go to market approach
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
114 CMD 2012

115. Summary
 Transformation
 Leading brands and market positions
 Strong product portfolio and innovations
 Good growth opportunities
 Substantial efficiency improvements
 Profitability improvement
EFFICIENCY INNOVATION GROWTH
SUSTAINABILITY
115 CMD 2012

116. IR Contacts:
Johan Karlsson, VP Investor Relations Louise Tjeder, Director Investor Relations
Tel: +46 8 788 51 30 Tel: +46 8 788 51 62
Email: ir@sca.com Website: www.sca.com