This document summarizes a presentation by Lennart Persson, CFO of SCA, a global hygiene products and paper company. Key points include: SCA has annual net sales of SEK 111 billion and approximately 50,000 employees. SCA's strategic focus areas are strengthening positions in personal care, tissue, and packaging, driving growth in emerging markets, increasing value-added products, and improving efficiency. SCA is also implementing a restructuring program in packaging to reduce costs in response to the economic downturn.

1. Carnegie Large Cap Seminar
9 March 2010
Lennart Persson, CFO
9 March 2010

2. SCA – a global hygiene products and
paper company
Net sales of SEK 111bn
Approximately 50,000 employees and
sales in more than 100 countries
TEN and Tork leading global brands for
incontinence care and Away From Home
tissue
Ranked 2nd greenest company in the
world, one of the world’s 100 most
sustainable companies and one of the
world’s most ethical companies, included
in the Dow Jones Sustainability indexes
2 9 March 2010

3. SCA Group
Sales and EBIT split 2009
EBIT split EBIT split
Forest Products Sales split Personal Care
25% 32%
15% 23%
25%
37%
4% 39%
Packaging Tissue
Sales 2009: SEK 111bn
3 9 March 2010

4. Strong global and regional positions
Nordic region
Baby diapers: 1
North America Europe
AFH tissue: 3 Tissue: 1
Incontinence care: 3 Corrugated board: 2
Baby diapers: 3
Incontinence care: 1
Mexico Privately owned forests: 1
Hygiene products: 2 Global
Incontinence care: 1
Colombia AFH tissue: 3
Incontinence care: 1 Australia
Feminine care: 1
Feminine care: 1
Tissue: 1
Incontinence care: 1
Tissue: 2
4 9 March 2010

5. SCA short and mid term
strategic focus
5 9 March 2010

6. SCA Group Strategic Direction
1. 2. 3.
6 9 March 2010

7. SCA Group Strategic direction
3.
Initiatives
1. 2.
Cost reductions in all Rationalized supply Tissue
business areas of chain in Packaging Tork elevation
close to SEK 1bn and Tissue Tempo complete care
Plenty active wipe
Green field tissue
Cash flow from plants in Russia and Personal Care
Mexico Stretch diaper upgrades
current operations:
Tampons
increased SEK 7.7bn Efficiency programs in Baby care products
Packaging & Forest Packaging
Products Mira System
Tissue packaging solutions
Forest Products
New paper qualities
Increased value added
7 9 March 2010

8. Coping recession
Net sales and Operating profit
SEKm SEKm
** ***
*
*Excluding SEK 439m Packaging restructuring costs
**Excluding SEK 387m Packaging restructuring costs
***Excluding SEK 632m Packaging restructuring costs
8 9 March 2010

9. SCA Group Strategic Direction
1. 2. 3.
4.
9 9 March 2010

10. Growth
High potential in markets with low penetration
Usage of hygiene products
Units/capita/year Units/child/year Units/woman/year Kg/capita/year
Penetration
in mature
markets
around 35%
North America Western Europe Eastern Europe Latin America Asia
10 9 March 2010

11. Our growth markets
Strong SCA positions
Good market growth
Favourable socio-demographics
Joint venture
Good market growth
Favourable socio-demographics
Market tests of Incontinence care
products and Baby diapers
11 9 March 2010

12. Growth
High growth in Emerging markets
2009
Emerging markets hygiene sales growth:
Personal Care: +13%
Tissue: +6%
% of Hygiene sales in 2009
Emerging markets
25%
Mature markets
12 9 March 2010

13. SCA Group Strategic Direction
Personal Care
Short and mid term
Maintain Tena leadership in premium segment and increase
growth in economy segment
Strengthen leading positions in Europe
Further restore Baby diapers private label profitability
Drive innovation
Market test in China
Grow in prioritized Emerging markets
Increase value added and branded
13 9 March 2010

14. SCA Group Strategic Direction
Tissue
Short and mid term
Strengthen leading positions in Europe
Further restore Consumer Tissue profitability
Drive innovation
Grow in prioritized Emerging markets
Increase value added and branded
14 9 March 2010

15. Brand strategy
Consumer Tissue Europe
Complicated, region specific, Focused, differentiated & consumer
inefficient brand portfolio relevant mega-brand portfolio
DACH East
Nordic NL
From … … To
15 9 March 2010

16. SCA Group Strategic Direction
Packaging
Short and mid term
Deliver restructuring program
Effectively address cost and efficiency improvement needs
Divest non-core assets
Grow value added
16 9 March 2010

17. Packaging restructuring program
Current status
Closed New Hythe testliner mill
Closed 11 corrugated units
Employee reduction: approx. 1,500 of 2,200
Costs: SEK 1,458m of SEK 1.7bn
Annualized savings: approx. 60% of SEK 1,070m
Full savings Q2 2010
17 9 March 2010

18. SCA Group Strategic Direction
Forest Products
Short and mid term
Continued focus on productivity and efficiency
Explore opportunities to expand pulp capacity
Grow value added and branded
Commercialize renewable energy
Explore alternative areas of fiber use
18 9 March 2010

19. Increasing raw material prices
February 2009 – USD 585
NBSK pulp February 2010 – USD 850
OCC February 2009 – EUR 37
February 2010 – EUR 93
950
USD/metric ton
USD/Metric tonne
EUR / ton
925 EUR/t
120
900
875
110
850
825
800 100
775
750 90
725
700 80
675
650
70
625
600
575 60
550
525 50
500
475 40
450
425
30
400
-98 -99 -00 -01 -02 -03 -04 -05 -06 -07 -08 -09 -10
-07 -08 -09 -10
OCC PIX
NBSK PIX Value
Recovered paper - USA February 2009 – USD 166
USD/short ton
February 2010 – USD 277
450 USD/short ton
400
350
300
250
200
150
100
50
0
-93 -94 -95 -96 -97 -98 -99 -00 -01 -02 -03 -04 -05 -06 -07 -08 -09
High grade deinking OCC
19 9 March 2010

20. Outlook 2010
Hygiene businesses
Stable demand
Good growth in emerging markets
Packaging
Demand improvement, but weak start
Increasing prices
Forest Products
Low demand and decreasing prices for publication paper
Improvement for pulp and solid-wood products
20 9 March 2010

21. Q&A
21 9 March 2010

22. 22 9 March 2010