SUSTAINABILITY REPORT 2017 WE ARE OJI FIBRE SOLUTIONS We are committed to delivering smart sustainable solutions. We will innovate, adapt and grow. We will embrace the cycle of change, of investing in better ways, of developing partnerships, of looking to a future that is sustainable for us, our place and our collective future.

WE ARE A SPECIALIST IN

MARKET PULP We produce kraft market pulps for use in various boards, tissues and specialty products.

CONTAINERBOARD We produce kraft and recycled containerboards to be converted into packaging products.

PACKAGING We provide smart packaging solutions such as boxes, multiwall bags, specialty boards and paper cups.

PAPER RECYCLING Fullcircle collects waste paper throughout New Zealand for transformation into new products at our mills.

LOGISTICS Lodestar provides shipping and domestic transport solutions to deliver products to global markets. GROWING OUR FUTURE

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We look towards the future and welcome change. GROWING PARTNERSHIPS PAGE 31

Relationships are at the heart of our business. 3 |

GROWING INTRODUCTION STRENGTH

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Our products are made from one of the strongest fibres in the world, New Zealand- grown pinus radiata. GROWING INNOVATION

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The success of our customers, the standard of our products and the shape of the future depend upon our ability to innovate. HIGHLIGHTS

ELECTRICITY

Kinleith and KINLEITH MILL TASMAN MILL Tasman Mills generate close to half of their INTERNALLY Up from INTERNALLY Up from electricity % GENERATED 44% in 2016 % GENERATED 46% in 2016 requirements 47 ELECTRICITY 54 ELECTRICITY internally.

53% Purchased electricity 46% Purchased electricity Sustainability Report 2017 Report Sustainability |

MANUFACTURING OPERATIONS: 2017 ENERGY SOURCES FIBRE SOLUTIONS OJI % RENEWABLE 78.6 ENERGY EMPLOYEES 72.3% Energy from biomass Located in New Zealand: 1,475 6.3% Energy from geothermal steam Australia: 288  China, Hong Kong, Malaysia: 8

kWh GENERATED IN 2017: paper-based packaging facility in Queensland, % FEMALE NEW Australia, opened 17 EMPLOYEES 15% of our senior 5* GREEN STAR-RATED BUILDING managers are female, 28 NEW JOBS TO DATE up from 14% senior 55,704 SQUARE METRE SITE managers in 2016.

Purchase of Cardboard Cartons business

SEPTEMBER 2017 5 | 299,403 TONNES

Recovered fibre collected by Fullcircle in 2017 with 205,605 tonnes used in our mills. INTRODUCTION TARGET

1 Non-compliance with environmental laws and/or regulations 0 Product safety incidents 0 Serious injuries

IN 2017:

NEW GRADUATES PERMANENT VOLUNTARY AND APPRENTICES NEW STARTERS TURNOVER We continue our journey to transform and become a more efficient and sustainable business. This year we added to the sustainability targets put in place in 2016 with updated health and safety targets taking us to the end of 2020. These targets complement the targets we set in 2016.

For us 2017 was a challenging year; however, I am pleased to say the team at Oji Fibre Solutions has put a huge amount of energy into improving our operations. I am confident this will improve our business performance and be reflected in our waste to landfill and greenhouse gas emission intensity results in the future. Health and safety remains a top priority. Over the past two years, one of our major focuses has been on preparing Safety Cases for our Kinleith and Tasman Mills. We submitted these to WorkSafe in April 2018. The Safety Cases involved a detailed assessment of the major hazards at our mills, as well as identifying further changes we will put in place over the next two years to improve the safety of our operations and the communities that surround them. Our people are constantly challenging themselves to develop solutions that will improve the way we do things and are working hard to develop innovative products that solve our customers’ challenges. With their help, we are looking forward to growing our future, our partnerships, our strengths and our innovations to become a more sustainable company. Please read on and enjoy our Sustainability Report.

DR JON RYDER CHIEF EXECUTIVE OFFICER (CEO) OJI FIBRE SOLUTIONS Sustainability Report 2017 Report Sustainability

FIBRE SOLUTIONS OJI

We are committed to implementing activities to achieve a high level of results. We are investing to enable our future growth and success. 7

The information in this report complements the sustainability reporting of the Oji Group. Like the Oji Group, we are focused on achieving our sustainability targets and meeting the Group-wide aspiration of ‘zero-environmental burden’. INTRODUCTION

We continue to receive support from Oji Holdings to enable our future growth and success. We are determined to continue to develop a portfolio of products that address the needs of the sectors we support. In 2017, we made another investment in our packaging business to support our objective to grow our packaging solutions market share in New Zealand and Australia. The acquisition of Cardboard Cartons in Victoria, Australia, in September 2017 expands the choice of products we can make available to our customers, and we have enjoyed welcoming a further 19 employees to the Oji Fibre Solutions family. In addition, we started manufacturing at our new $70 million Green Star-rated paper-based packaging facility in Yatala, Queensland in late 2017, while in New Zealand, our $30 million paper bag hygiene line and warehouse was officially opened in February 2017. These investments have allowed us to increase our production capacity, provide additional product solutions for our existing and future customers and add greater value to our local economies. We are also putting a considerable amount of effort into optimising opportunities in the pulp and paper markets. As part of growing our strengths, we will be closing our bleaching operations at the Tasman Mill in early 2019. This will allow us to produce more world-class fibre cement pulp and other unbleached kraft pulp product solutions. In our determination for a successful future, we are working to constantly improve our reliability, processes and product quality and to create opportunities for our customers to succeed. This all contributes to making Oji Fibre Solutions a more sustainable business.

HIROYUKI ISONO DIRECTOR AND CHAIRMAN OJI FIBRE SOLUTIONS HOW WE GROW VALUE We are part of a circular economy, from virgin wood fibre to packaging products.

OUR CUSTOMERS PAPER RECYCLING Our products are sold to Fullcircle is our more than 25 countries. recycling service, We service the horticulture, with 14 baling sites dairy, meat, seafood, supplying recovered beverage, construction fibre to our mills. and personal care sectors.

RECOVE RED FIBRE S R R E U M O O T S U C

VIRGIN Sustainability Report 2017 Report Sustainability

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O L S N R O FIBRE SOLUTIONS OJI I U T O A R E MA P RKET PULP O C ON D TAINERBOAR

P ACKAGING LOGISTICS THREE PULP Lodestar is our AND PAPER MILLS logistics business, Kinleith Mill, Tasman Mill, providing shipping MARKET PULP Penrose Mill. Our mills use and domestic We produce kraft market pulps at elemental chlorine-free (ECF) transport solutions our Kinleith and Tasman Mills for bleaching processes. to deliver products use in various boards, tissues and TEN PACKAGING to global markets. specialty products. OPERATIONS CONTAINERBOARD In New Zealand and Australia. We produce kraft and recycled TWO NEW PACKAGING containerboards at our Kinleith and FACILITIES Penrose Mills to be converted into One facility opened and one packaging products. facility purchased in 2017. PACKAGING Our 10 converting sites in New Zealand and Australia provide smart packaging solutions – boxes, multiwall bags, specialty boards and paper cups. WHERE WE ARE

HONG KONG CHINA

CONTAINERBOARD MARKET PULP - Hong Kong (Office) - Shanghai (Office) CONTAINERBOARD - Shanghai (Office)

MALAYSIA

CONTAINERBOARD - Kuala Lumpur (Office) 9 | INTRODUCTION

AUSTRALIA NEW ZEALAND

PACKAGING MARKET PULP - Yatala - Tokoroa - Brisbane - Kawerau - Sydney CONTAINERBOARD - Melbourne - Auckland - Tokoroa PACKAGING - Auckland - Hamilton - Levin - Christchurch Our products PAPER RECYCLING are sold to - 14 Fullcircle sites throughout New Zealand more than LOGISTICS 25 countries - Auckland (Office) - Mount Maunganui JAPAN

Ei-ichi Shibusawa creates Japan’s modern paper manufacturing industry with the establishment of Shoshi Kaisha (shoshi meaning paper making).

A mill is built in Oji, Tokyo, and commences production of paper from waste cloth.

Keta Mill in Shizuoka starts A STRATEGIC PARTNERSHIP Japan’s first use of wood pulp for procurement. Sustainability Report 2017 Report Sustainability | The company is renamed Oji Paper, after its founding location. Oji Fibre

Series of expansions and mergers in Solutions the paper and packaging sector. FIBRE SOLUTIONS OJI GROWING TOGETHER

Oji Paper Co., Ltd. transferred to a pure holding company system and started anew under the trade name “Oji Holdings Corporation”.

2014 After the purchase by Oji Holdings and Innovation Network Corporation of Japan (INCJ) of Carter Holt Harvey Limited’s pulp, paper and packaging businesses, a new company emerged: Oji Fibre Solutions. A company built upon, and supported by, an established, solid heritage. NEW ZEALAND & AUSTRALIA

Robert Holt’s steam sawmill opens.

Alex Harvey commences tin-can manufacturing.

First Carter sawmill venture.

Merger of Carter & Holt operations A STRATEGIC PARTNERSHIP into Carter Holt Holdings.

Carter Holt acquires Alex Harvey Industries to form Carter Holt Harvey (CHH). 11 Oji Fibre |

Purchase of Tasman Mill.

Solutions INTRODUCTION Acquisition of Carter Holt Harvey by Rank Group. GROWING TOGETHER 2014 After the purchase by Oji Holdings and Innovation Network Corporation of Japan (INCJ) of Carter Holt Harvey Limited’s pulp, paper and packaging businesses, a new company emerged: Oji Fibre Solutions. A company built upon, and supported by, an established, solid heritage. 2016 NZ$30 million investment in state-of- the-art Paper Bag facility upgrade.

2017 Opening of new paper-based packaging facility in Yatala, Queensland, Australia.

Purchase of Cardboard Cartons, Victoria, Australia. OJI FIBRE SOLUTIONS | Sustainability Report 2017 OUR FUTURE GROWING GROWING burden. Ourbusiness ishere for thelongterm. change. We are proud to beabusiness built We looktowards thefuture andwelcome We aspire to achieve zero environmental on renewable andlow carbonresources.

GROWING OUR FUTURE | 13 WE LOOK TOWARDS THE FUTURE AND WELCOME CHANGE

Wednesday 25th October 2017 marked a very special day for our Yatala site; we began production at our new state-of-the-art packaging facility in Queensland, Australia.

The new Yatala facility manufactures paper-based packaging for markets throughout Queensland, northern New South Wales and Northern Territory, Australia. The facility uses the latest manufacturing technology. Our customers benefit from both advanced technologies and improved operating systems housed within a 5-star Green Star-rated building, with rainwater harvesting, energy efficiency systems and solar electricity generation. Sustainability Report 2017 Report Sustainability | This $70 million investment is an exciting development for Oji Fibre Solutions. It expands our packaging business in Australia, allowing us to better service existing customers and to grow our customer network. New distribution centres have been opened in Mareeba and Bundaberg, Queensland, to support this facility, with plans to open further centres as demand grows.

FIBRE SOLUTIONS OJI YATALA PROVIDES SOLUTIONS TO

MEAT SEAFOOD Providing exceptional Packing at sea, strength characteristics for processing on shore challenging refrigerated or exporting, we have and frozen supply chains. solutions to transport seafood products from HORTICULTURE boat to market in the Delivering performance best possible condition. characteristics to protect fruit and produce from DAIRY damage in chilled, Confidently export cold store and export cartons worldwide environments. and within the domestic markets, utilising kraft BEVERAGE papers, which provide Delivering high-quality, exceptional strength flat corrugated board, characteristics ideal flexographic and for challenging pre-print solutions. supply chains. 15

YATALA FACILITY GROWING OUR FUTURE GROWING

5 GREEN STAR- RATED BUILDING

RAINWATER HARVESTING

SOLAR GENERATION

NEW JOBS TO DATE

SQUARE METRE SITE FIBRE SOLUTIONS OJI 2017 Report Sustainability

The purchase confirms our commitment to provide our customers with a broader service and product solutions. DELIVERING CHOICE FOR OUR CUSTOMERS

In September 2017, we announced a further step in the growth of Oji Fibre Solutions’ paper-based packaging business with the purchase of Cardboard Cartons Pty Limited.

Located in Dandenong South, Victoria, Australia, the newly named Oji Cardboard Carton Solutions is a leading manufacturer and supplier of specialty packaging solutions, including plain and printed corrugated cartons, litho printed cartons, shelf-ready cartons and point of purchase displays. Oji Cardboard Carton Solutions supplies to a variety of industries including 17 fast moving consumer goods, wine, automotive and horticulture. | Oji Cardboard Carton Solutions employs 19 people, whom we are proud to welcome into our Oji Fibre Solutions family. We are excited to learn from them and integrate their expertise and knowledge into the business. This acquisition reinforces our aim to provide our customers with high-quality product solutions and grow our market share in New Zealand and Australia. Oji Cardboard Carton Solutions expands our packaging business and allows for increased vertical integration, while providing complementary manufacturing capabilities and product lines for our customers. GROWING OUR FUTURE GROWING SUPPLIER OF - Fast Moving Consumer Goods SPECIALTY - Wine PACKAGING TO: - Automotive - Horticulture

Oji Cardboard Carton Solutions expands our packaging business and allows for increased vertical integration, while providing complementary manufacturing capabilities and product lines for our customers.

NICK MOLLOY GENERAL MANAGER PACKAGING AUS A NEW ERA AT TASMAN MILL

In June 2018, we announced that Tasman Mill, located in Kawerau, New Zealand, will be focusing on unbleached kraft market pulp products. As a result, we aim to cease bleaching operations in March 2019.

Oji Fibre Solutions’ K25 is recognised as a leading brand of fibre cement pulp (FCP), which is used in the building industry to make various fibre cement building products. Unbleached pulp, such as K25, has replaced the historical use of asbestos in these end-uses, creating safer building products and homes for our families. The Tasman Mill is a leader in the manufacture of fibre cement pulp, and our unbleached kraft pulps have a long-established history. New Zealand-grown pinus radiata produces ideal cellulose fibre qualities for these end-use products. Chief Executive Officer Dr Jon Ryder says, “The changes place us in a position Sustainability Report 2017 Report Sustainability | to support further growth of our premium FCP K25 product and at the same time respond to the growing demand for unbleached packing grades and other specialty unbleached products.” In the future, production of bleached kraft market pulp will be focused at Oji Fibre Solutions Kinleith Mill, while the Tasman Mill will operate at capacity producing unbleached kraft market pulp products to ensure a continued long-term future for the Tasman Mill. FIBRE SOLUTIONS OJI

We are making changes to focus on what we do best at the Tasman Mill, which is to produce more world-class fibre cement pulp and to meet growing demand for other unbleached kraft pulp products.

TERRY SKIFFINGTON CHIEF OPERATING OFFICER 19 GROWING OUR FUTURE GROWING

Our strategic directional change at the Tasman Mill to focus on unbleached kraft pulp provides an opportunity for us to build long-term relationships with existing and new customers. Truly a new era for Oji Fibre Solutions and our customers.

MIKE MEIRING VICE PRESIDENT – SALES & MARKETING – PULP WE CONTINUE TO TARGET ZERO

Oji Holdings aspires to operate in harmony with the environment. Its environmental action programme is defined by the aspiration of “zero environmental burden”.

Driven by the same aspirations, we have set five-year targets with 2015 as the base year, which reflects the purchase of our business by Oji Holdings and Innovation Network Corporation of Japan (INCJ) in late 2014. As we transform for a sustainable future, we have set and presented our targets publicly in the Oji Fibre Solutions Sustainability Report in support of Oji Holdings’ aspirational targets. Sustainability Report 2017 Report Sustainability

TARGET 2015 (BASELINE) 2016 2017 2020 TARGET

Zero non-compliance with environmental laws and 0 0 1 0 regulations1

OJI FIBRE SOLUTIONS OJI 6% reduction in GHG emission intensity from 2015 levels 0.270 tCO2-e/t 0.287 tCO2-e/t 0.291 tCO2-e/t 0.254 tCO2-e/t before the end of 20202

30% (dry basis) reduction in waste to landfill from 2015 39,507 t 40,507 t 42,103 t 27,655 t levels before the end of 2020

Zero product safety incidents3 0 0 0 0

TARGET 2015 2016 (BASELINE) 2017 2017 TARGET

Zero serious injuries4 0 0 0 0

10% reduction Lost-time Injury 1.03 0.73 1.09 0.66 Rate (LTIR) in 20175

8% reduction Total Injury Rate 2.14 1.85 2.64 1.71 (TIR) in 20176

1 A non-compliance with environmental laws and/or regulations is defined as an event resulting in a regulatory limit violation, fine or other sanction from the regulator.

2 GHG emission intensity is defined as tCO2-e direct (Scope 1) and indirect (Scope 2) emissions per tonne of total output. Total output includes market pulp, containerboard, fibre-based packaging products, chemicals and by-products. 3 A product safety incident occurs where a defective product (i) causes an injury to a person or material damage to property; (ii) leads to an end- consumer recall because it could cause such injury or damage; or (iii) is the subject of a formal safety notification to the authorities. 4 A serious injury is defined as any condition that results in a person being permanently disabled or requiring immediate in-patient hospitalisation. 5 Frequency rate of accidents resulting in lost work time = (Lost-time injuries/total work time) * 200,000. 6 Fr equency rate of accidents resulting in injury = (Lost-time injuries + restricted work injuries + medically treated injuries/total work time) * 200,000. TARGETING COMPLIANCE

Non-compliance ZERO with environmental laws and regulations1

TARGETING GREENHOUSE GAS (GHG) EMISSIONS

Reduction in GHG emission intensity from 2015 levels Before the end of 20202 21 |

TARGETING WASTE GROWING OUR FUTURE GROWING DRY BASIS

Reduction in waste to landfill from 2015 levels Before the end of 2020

1 A non-compliance with environmental laws and/or regulations is defined as an event resulting in a regulatory limit violation, fine or other sanction from the regulator.

2 GHG emission intensity is defined as tCO2-e direct (Scope 1) and indirect (Scope 2) emissions per tonne of total output. Total output includes market pulp, containerboard, fibre-based packaging products, chemicals and by-products. FIBRE SOLUTIONS OJI 2017 Report Sustainability

TARGET

Zero non-compliance with environmental laws and regulations.1 TARGETING ZERO NON-COMPLIANCE

Oji Fibre Solutions is committed to complying with our legal obligations as expressed in our zero-non-compliance target. 1

At 31st December 2017, Oji Fibre Solutions held 42 environmental consents for our mills and packaging facilities in New Zealand and Australia. Our facilities are subject to numerous conditions in relation to factors such as water abstraction, water quality, waste discharges, air quality and environmental monitoring.

TARGET: Zero non-compliance with environmental laws and regulations.1 23 |

In 2017, we did not achieve zero non-compliance with environmental laws and regulations. We had one regulatory limit violation. In this instance, remedial action was taken immediately and processes reviewed to minimise a reoccurrence. In 2017, we continued to undertake annual compliance audits both internally and by external third-party auditors. In addition, we continued the review of our environmental management systems at our packaging facilities in New Zealand and extended the process to our Australian sites. This effort continues to lead to improvements across the business. GROWING OUR FUTURE GROWING

NON-COMPLIANCE SITE DETAILS OF NON-COMPLIANCE

Regulatory Tasman Mill Mill-wide particulate emissions to air limit violation exceeded the site consent limit as a result of a rolling annual average calculation. Emission sources were operating within their normal range at the time. The result was caused by insufficient monitoring. The monitoring approach is now rectified and emissions remain within limits.

1 A non-compliance with environmental laws and/or regulations is defined as an event resulting in a regulatory limit violation, fine or other sanction from the regulator. TOWARDS ZERO WASTE

Oji Fibre Solutions is a major user and recycler of both its own waste and waste from customers and others. Paper waste from our customers and packaging facilities is utilised in our paper mills to produced recycled paper.

Sludge from our wastewater treatment facilities is used as the main component of vermicompost, which is sold for agricultural use. Biomass from sawmilling, forestry activities and our own chipping and debarking operations is used as fuel, and by-products from our processes are ingredients for other manufacturers’ products.

MANUFACTURING OPERATIONS: Sustainability Report 2017 Report Sustainability | WASTE DESTINATIONS, 2017

FIBRE SOLUTIONS OJI TO COMPOST

TO RECYCLE

TO LANDFILL

HAZARDOUS WASTE WASTE TO LANDFILL

45

40 TARGET REDUCE WASTE TO 35 LANDFILL BY:

30

25

20

15 ’000 TONNES (DRY BASIS) (DRY ’000 TONNES

10

5 27,655

0

2015 2016 2017 TARGET 2020 (DRY BASIS) 25 |

TARGET: TONNES 30% (dry basis) 205,605 of recovered fibre utilised by Kinleith reduction in waste and Penrose Mills for conversion into

to landfill from containerboard products in 2017. OUR FUTURE GROWING 2015 levels before the end of 2020.

We are striving to maximise our waste usage and minimise our waste to landfill. In 2017, our reduction efforts were offset by production issues at our pulp and paper mills in New Zealand, but we continued to focus on finding solutions at these sites. We have worked to reduce lime waste production in-mill and to develop systems for reliably using lime wastes as a fertiliser on farm land. We have also looked closely at options for wood ash from the Kinleith Mill’s power boiler. These projects are likely to result in large amounts of waste diverted from landfill and add to the in-mill recycling efforts and other measures, so we expect to reap benefits by 2020. SUSTAINABLE ENERGY SOURCES

Oji Fibre Solutions MANUFACTURING OPERATIONS: is one of ENERGY CONSUMPTION PROFILE, 2017 New Zealand’s largest consumers and producers RENEWABLE ENERGY of energy. % (Biomass, geothermal steam)1 Electricity is generated on-site using biomass sourced from black liquor, 78.6 a by-product of pulp production, wood waste % residues and natural gas. 6.3 The majority of wood- PURCHASED waste residues come from GEOTHERMAL ELECTRICITY third-party sawmilling STEAM and forestry activities and approximately one-third % is site-generated from our 72.3 NATURAL GAS chipping and debarking operations. BIOMASS Sustainability Report 2017 Report Sustainability | Our energy consumption profile shows 72.3% of our OIL-BASED FUELS energy was from biomass in 2017.

1 C ontribution from purchased electricity is not included. COAL FIBRE SOLUTIONS OJI

New Zealand PURCHASED (2017) 1, 2 ELECTRICITY % GENERATION 83.4 In 2017, 98.4% of our total purchased World Australia (2015/2016) 4 electricity was consumed (2015/2016) 3 in New Zealand, with the % remaining 1.6% in Australia. RENEWABLE 23.1 New Zealand FUEL SOURCES generated 83.4% of its Hydro, solar, wind, electricity in 2017 from biomass, geothermal steam renewable sources. NON-RENEWABLE FUEL SOURCES Natural gas, coal, oil, nuclear

SOURCES: 1 Da ta for 12 months ending 30/09/2017 2 New Zealand Energy Quarterly; September Quarter 2017 (released December 2017) (MBIE: www.mbie.govt.nz) 3 2017 Australian Energy Update, August 2017 (DEE: www.energy.gov.au) 4 K ey World Energy Statistics 2017 % (International Energy Agency: www.iea.org) 85.2 GHG EMISSION INTENSITY

0.29

0.28 TARGET REDUCE GHG 0.27 EMISSION INTENSITY BY:

0.26 TOTAL OUTPUT TOTAL - e/t 2 0.25 t CO

0.24

0.23 0.254

2015 2016 2017 TARGET 2020

TARGET: 6% reduction in GHG emission intensity from 2015 levels before the end of 2020. 27 | In 2017, our GHG emission intensity was 0.291 tCO2-e/t. We have been working with the New Zealand Energy Efficiency and Conservation Authority (EECA) and other partners to identify and progress projects that reduce GHG emissions. We have started to implement these; some are small projects and some large. For example, we have started installing advanced metering at our packaging sites to enable detailed targeting and monitoring of energy use. The New Zealand electricity transmission company Transpower is in the process of rebuilding the Kinleith substation, which will improve site reliability and reduce requirements for auxiliary steam from our gas boilers. GROWING OUR FUTURE GROWING

WHAT IS ‘GHG EMISSION WHAT ARE CO2 EQUIVALENT INTENSITY’? (CO2-e) EMISSIONS?

Greenhouse gas (GHG) emission intensity for CO2-e is an abbreviation of ‘carbon dioxide equivalent’

Oji Fibre Solutions is defined as tCO2-e direct (Scope 1) and is the internationally recognised measure of and indirect (Scope 2) emissions per tonne of total output. greenhouse gas emissions. It is a measure used to compare Total output includes market pulp, containerboard, fibre- the emissions from various types of greenhouse gases based packaging products, chemicals and by-products. based on their global warming potential (GWP).

The CO2 equivalent for a gas is determined by multiplying WHAT ARE SCOPE 1 AND the metric tonnes of the gas by the associated GWP. SCOPE 2 EMISSIONS? Oji Fibre Solutions’ CO2-e includes carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O) emissions as these The GHG Protocol1, an internationally recognised are the most relevant for the pulp and paper industry. standard, provides a classification of GHG emissions, which we have adopted. Scope 1 Direct GHG emissions = GHG emissions from sources that are owned or controlled by Oji Fibre Solutions. Scope 2 Indirect GHG emissions = GHG emissions that result from the generation of purchased electricity or geothermal steam consumed by Oji Fibre Solutions.

1 T he Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard www.ghgprotocol.org/standards/corporate-standard RESPONSIBLE MANAGEMENT OF WATER RESOURCES

Oji Fibre Solutions strives to use and manage water responsibly. Water is used and reused in all our major process stages – from log debarking to chip washing, pulp washing and screening – and in the paper machines. Water is also used to generate steam for use in production processes, on-site power generation, process cooling, equipment cleaning and general facility operations.

MANUFACTURING In New Zealand, our mills have a responsibility to use, treat and monitor water in OPERATIONS: accordance with their environmental consents under the Resource Management Act WATER SOURCES, 2017 (RMA). Process water from our Kinleith and Tasman Mills undergo primary and secondary treatment before being discharged into local rivers. These discharges are regularly Surface Water 77.8% monitored and reported to the local councils for a range of parameters including total suspended solids, biochemical oxygen demand (BOD), colour, toxicity, organic chemicals, Groundwater 21.8% chlorinated organic chemicals (AOX), pH, chemical oxygen demand (COD), nitrogen and Municipal Water 0.6% phosphorus. Our other operations manage wastewater to meet the standards required for discharge into council-managed trade waste systems. Sustainability Report 2017 Report Sustainability

Precipitation OJI FIBRE SOLUTIONS OJI Evapo-transpiration

Surface water run-off and groundwater recharge

FORESTS WATER Water in wood Surface water CYCLE Groundwater Municipal water

NON-FIBRE RAW MATERIAL Other water input Steam

PRODUCTS Water in products Process wastewater

MANUFACTURING WASTEWATER TREATMENT TASMAN MILL EFFLUENT TASMAN MILL COLOUR COLOUR REDUCTION DISCHARGE AND CONSENT LIMIT PROGRAMME 90 Oji Fibre Solutions recognises that 80 Consent limit effluent colour discharges at Tasman 70 Discharge Mill are an amenity concern for the 60 local community, so colour reduction 50 40 is a continuing priority. 30

Tasman Mill co-manages its wastewater treatment (t/d) average 30-day 20 infrastructure with the neighbouring newsprint 10 operation, Norske Skog Tasman. We are committed to 0 a colour reduction-programme with a goal to reduce 2000 2017 2035 colour to the regulated target of 10 tonnes per day (Pt-Co Equivalent) by 2035. This is the point at which it is considered to be inconspicuous. We are ahead of our interim regulatory targets. In 2017, the average colour load was 15.7 tonnes per day.

REGULATED TARGET 29 |

TONNES PER DAY (Pt-Co EQUIVALENT) BY 2035

WHERE TO FIND OUT OUR FUTURE GROWING ABOUT THE QUALITY OF THE RIVER AND THE MILL DISCHARGE

The Waikato Regional Council and Bay of Plenty Regional Council monitor waterways and compliance with consents.

Both councils hold copies of our monitoring reports. However, we are happy to send our compliance reports to anyone who is interested. INSPIRING THE NEXT GENERATION

Tarawera High School Year 13 science students brought their learning out of the classroom in June during a field trip to the Oji Fibre Solutions Tasman Mill in Kawerau, New Zealand.

Currently studying processes, having the opportunity to visit Oji Fibre Solutions was extremely beneficial to the students’ learning. It was fantastic to get students through and inspire them and it was rewarding for our people to see the lightbulb moment when a student grasps a concept. The students got the whole mill

Sustainability Report 2017 Report Sustainability experience. The day started off with a safety induction, which had the students | decked out in high-viz jackets, hard hats, safety glasses and ear plugs before they were able to go through the whole pulping process from start to finish. Science teacher Jalaja Balakrishnan said it was fascinating seeing the process in person. “As a science teacher, I deal with the theory all the time, but it was amazing seeing it occurring in front of you. We’re really privileged that Oji Fibre Solutions allowed our students this opportunity. It’s relevant to the students’ learning as well as to their understanding of the very town they live in.” Head girl Taylor Van Gulick agreed, saying, “It’s given me a better understanding of my community. It’s been amazing seeing the mill that our town was built around.” FIBRE SOLUTIONS OJI Students saw first-hand how the wood comes in, where it’s stored and how it’s transported and cut up. They saw the chipper, the digesters and the kilns. Students were allowed into the control room, where they got the chance to take a seat at the control desks. From here, the students toured the washers and dryers, where they were able to see the pulping process at different stages and get a hands-on experience; getting to feel the pulp at each different stage. The tour was wrapped up in the packaging department where the students saw the process in which the pulp is weighed, wrapped and distributed to the customer. The trip proved to be an insightful and interesting session where students asked questions not only on the processes but also on life in the workplace and pathways to becoming an engineer or a worker on an industrial site.

- Supplied by Tarawera High School 31 GROWING OUR FUTURE GROWING

As a science teacher, I deal with the theory all the time, but it was amazing seeing it occurring in front of you. We’re really privileged that Oji Fibre Solutions allowed our students this opportunity. It’s relevant to the students’ learning as well as to their understanding of the very town they live in.

JALAJA BALAKRISHNAN SCIENCE TEACHER TARAWERA HIGH SCHOOL OJI FIBRE SOLUTIONS | Sustainability Report 2017 PARTNERSHIPS GROWING GROWING Our customers cantrust ourproducts because Relationships are at the heartofourbusiness. our peopleare thebest at what they do. As asolutions-focused company, we are continually lookingat new ways we can support ourcustomers.

GROWING PARTNERSHIPS | 33 Sustainability Report 2017 Report Sustainability OJI FIBRE SOLUTIONS OJI

OUR CUSTOMERS Our customers trust us to deliver high-quality products that solve their problems, whether big or small, and help improve their competitiveness. RELATIONSHIPS ARE AT THE HEART OF OUR BUSINESS

We work to be trusted by our employees, our communities, our customers and other stakeholders by investing our energy and time into creating and maintaining meaningful relationships.

Our customers trust us to deliver high-quality products that solve their problems, whether big or small, and help improve their competitiveness. Our people are problem solvers and the best at what they do. From converting our virgin wood and recovered fibre into pulp, paper or packaging product solutions, our people are there to help our customers along, every step of the way. We invest in our people’s training and professional development to drive performance. No one understands pulp, paper and packaging better than we do. 35 OUR | STAKEHOLDERS

We interact with our stakeholders, via forums, meetings, site visits, charitable partnerships and association memberships, to ensure we are working towards the same PARTNERSHIPS GROWING sustainable future.

Our shareholders Our people Unions Customers Suppliers Local communities Local iwi Local and central government Non-governmental organisations (NGOs) The media COMMITTED TO THE WELLBEING OF OUR PEOPLE

NEW WELLBEING PROGRAMME Our people are what make our organisation successful, and we want them all to be the best that they can be; both in their personal lives and at work. This is beneficial for both employees and the company.

In 2017 we launched a new online wellbeing portal – “Flourish” – to support our commitment to enhancing the wellbeing of our people. It is designed to help employees and their families achieve health and fitness goals by providing access to a range of health-related tools and activities, such as recipes, exercise guides, an online health assessment, team and individual challenges and discounts on health products and services. Sustainability Report 2017 Report Sustainability SHIFT CHALLENGE

260 of our people, in 65 teams, participated in the inaugural Flourish ‘Shift’ challenge in March 2017. FIBRE SOLUTIONS OJI

The four-week challenge encouraged movement and activity through the counting and logging of steps but, equally importantly, generated a sense of wellbeing through team camaraderie and friendly competition.

TOTAL 67,831,512 STEPS

KM TRAVELLED

OF PARTICIPANTS FELT MOTIVATED TO MAKE POSITIVE LIFESTYLE CHANGES

OF PARTICIPANTS FELT THEIR ENERGY AND PRODUCTIVITY LEVELS HAD BEEN IMPROVED EVERYONE SAFELY HOME EVERY DAY

In 2017, we had zero serious injuries but did not achieve our one-year Lost-time Injury Rate (LTIR) nor our Total Injury Rate (TIR) targets.

We have refreshed our health and safety strategy and updated our injury targets taking us to the end of 2020; aiming for 50% reduction in LTIR and TIR by 2020 compared to 2017. We have worked on culture, employee engagement and incident management resulting in additional commitments in these areas. These targets and initiatives complement the rest of our sustainability targets set in 2016. 37

Don’t walk past a problem OUR AIM To send everyone

Safely Home PARTNERSHIPS GROWING Every Day. Safety starts Think safe; and ends act safer with me

OUR MANTRAS

Make the Take 5 to safe way the stay alive right way

OUR VISION Good health and safety performance is simply part of what we do. OUR H&S FOCUS

SAFETY CASE COMPLETION AND IMPLEMENTATION Our Safety Case documents have been submitted for approval to WorkSafe NZ. The continued development of process safety management capability at our two Major Hazard Facility sites – Kinleith and Tasman Mills – will remain a major focus.

CULTURE AND BEHAVIOURAL DEVELOPMENT The development of a strong and positive safety culture is critical to our future success. Our focus will be to develop and implement structured and coordinated programmes to increase employee involvement and engagement; and Sustainability Report 2017 Report Sustainability | to promote positive behaviour and attitudes across our whole workforce.

OCCUPATIONAL HEALTH, WELLBEING AND FITNESS FOR WORK FIBRE SOLUTIONS OJI To maintain and strengthen our approach to health, wellbeing and fitness for work for our people from the day they join Oji Fibre Solutions.

COMMUNICATIONS PROGRAMME Effective communication of health and safety messages and information is key to driving awareness, understanding, engagement and behaviour. We will focus on ensuring all messages are delivered in a consistent manner and format and they reach their target audience in the most understandable and impactful way possible. HEALTH & SAFETY CULTURE % Achieve minimum 90% positive response score 90 in the health and safety culture survey.

WELLBEING PROMOTION Minimum 50% of employees signed-up to our wellbeing programme, Flourish, by the end of 2020. 39 |

ZERO SERIOUS INJURIES A serious injury is defined as any condition that results in a person being permanently disabled or requiring 0 immediate in-patient hospitalisation. GROWING PARTNERSHIPS PARTNERSHIPS GROWING REDUCTION IN LOST-TIME INJURY RATE (LTIR) from 2017 levels by the end of 2020. Frequency rate of accidents resulting in lost work time = (Lost-time injuries/total work time) x 200,000.

REDUCTION IN TOTAL INJURY RATE (TIR) from 2017 levels by the end of 2020. Frequency rate of accidents resulting in injury = (Lost-time injuries + restricted work injuries + medically treated injuries/total work time) x 200,000. SUPPORTING OUR CUSTOMERS

Honest is a small company with big Our packaging is our absolute ideas who want people to drink capsule pride and joy. We have coffee that’s great for our planet. worked for three months with

Honest was developed to address the issue of Oji Fibre Solutions’ Auckland- coffee capsules going to landfill. The team at Honest based designers and packaging wanted to provide an environmentally sustainable option, which tastes great and is great for the planet. specialists to produce Honest’s This philosophy extended to their packaging and their very first packaging offering. work with the team at Oji Fibre Solutions. For more information, please visit: JOSH COLE www.honestcoffee.co.nz OWNER & FOUNDER HONEST COFFEE Sustainability Report 2017 Report Sustainability | FIBRE SOLUTIONS OJI 41 |

Feed My Furbaby is a tailored pet food Subscription services are delivery service in New Zealand, and their becoming very popular, and packaging is a breakthrough for the pet people understand the concept GROWING PARTNERSHIPS PARTNERSHIPS GROWING food industry. now as a business model, that is

One of the company’s main drivers is to give pet why we have looked for unique parents the opportunity to make responsible choices on selling points. Our packaging is behalf of their pets – the unique and innovative box is a big part of this story. a big differentiator for us, as is The Oji Fibre Solutions packaging team came up with the convenience of our tailored an innovative design which includes a cut-out scoop to enable the ‘furbaby’ to be fed the right amount each meal. feeding plan. The box also has a cut-out window to keep an eye on how much food is left. Most importantly, the outer box is 100% AMY AND BEN RENELL recyclable and made in New Zealand from responsibly FOUNDERS FEED MY FURBABY sourced materials. The rigid cardboard outer packaging reduces the plastic required by up to 50%. The 5kg box of food has carry handles so it is much easier to handle than big awkward plastic bags, and it is designed for daily use and tidy storage in the home. No more plastic storage containers required. The team at Feed My Furbaby aims to further improve the sustainability of their product as they grow and are working with some exciting companies to make their product 100% plastic free. For more information, please visit: www.feedmyfurbaby.co.nz COMMUNITY PARTNERSHIP PROGRAMME

GRAEME DINGLE FOUNDATION We have been supporting the Graeme Dingle Foundation to help school-age children in local communities, particularly in Tokoroa, for several years. The Graeme Dingle Foundation aims to inspire all school-age New Zealand children to reach their full potential through programmes WE ARE PROUD TO SUPPORT that help build self-esteem, promote good values and which teach valuable KIWI CAN AND STARS PROGRAMME AT: life, education and health skills. David Henry Primary, Over 1,000 Tokoroa children and young people, their families Mangakakino School, Strathmore and community are supported by the Graeme Dingle Foundation Primary, Tokoroa Central Primary, Waikato programmes. Tainui Primary, Whakamaru For more information, please visit: www.dinglefoundation.org.nz School, Tokoroa High, and Forest View High. Sustainability Report 2017 Report Sustainability

DROP YOUR BOSS In 2017, we took part in an exciting event to raise money for the Graeme Dingle Foundation

OJI FIBRE SOLUTIONS OJI to support their fantastic work.

It’s called Drop Your Boss and it literally is just that! We had four brave bosses ready to plummet off Auckland’s iconic Skytower all in the name of raising money for a good cause. The catch was only one boss would have the exciting opportunity to take the plunge – and our people would donate and vote to see who this would be! When we tallied up the donations the winner was… our Chief Information Officer (CIO), Deon Snyders. Deon raised the most money so had the opportunity to jump. On a sunny Thursday morning in June, our unsuspecting CIO was told that he was our winner. And just an hour later, he leapt off the Skytower for a great cause.

Collectively we raised $1,650 to help support and develop local children from communities of the highest need in New Zealand. We as a company also donated a further $1,900 towards this initiative. DR JON RYDER CHIEF EXECUTIVE OFFICER, OJI FIBRE SOLUTIONS KINLEITH FUN RUN On Saturday 18th November, the 6th annual Kinleith Fun Run/Walk Event was held at the South Waikato Sport and Events Centre and Cougar Park in Tokoroa. With 325 entries, including 150 children, it was a great sunny day for the community, family and friends. There was entertainment, face painting, coffee, ice cream trucks and a gourmet BBQ lunch. Events includes a 1km and 2km kids’ fun run/ walk and a 5km or 10km fun run/walk for adults. There was over $10,000 worth of major and minor spot prizes, everyone was keen to stay for the prizegiving to try their luck. The Kinleith Fun Run committee donated money to two charities from the local community: South Waikato Living without Violence Trust and Tokoroa Council of Social Services (TCOSS). The event was a success with the help of 30 volunteers from the Kinleith Wellness Committee, Kinleith Mill employees, local sports clubs and generous donations from local and nationwide businesses. 43

DUFFY BOOKS IN HOMES Oji Fibre Solutions shares the Duffy Books in Homes vision to inspire a love of books in children so they become adults with a love of reading. Prominent New Zealanders are engaged to talk to children about their achievements and goals. They tell them “It’s cool to read, and cool to achieve” and make a connection WE ARE PROUD PARTNERSHIPS GROWING between success and reading. Twice a year, special Role Model assemblies are held TO SUPPORT: where the children are presented with their books. David Henry Oji Fibre Solutions sponsors Duffy Books in Homes in three schools in the Waikato School and region: David Henry School and Strathmore School in Tokoroa, and Kawerau South Strathmore School. In 2017, our sponsorship provided the children at these schools five new books School in Tokoroa and Kawerau of their choice, which equates to over 3,200 books and around 550 happy children. South School. For more information, please visit: www.booksinhomes.org.nz

KAWERAU WOODFEST Oji Fibre Solutions supported the Kawerau Woodfest in the Bay of Plenty. The Kawerau Woodfest and National Woodskills Competition is New Zealand’s premier festival celebrating all things wood, attracting around 12,000 people. With a huge range of activities and attractions, there is something for visitors of all ages to enjoy. Oji Fibre Solutions sponsored “The Big Dig World Champs”, a woodchip shovelling competition for adults and children. We were present during the events through a promotional trailer, providing information on the Tasman Mill and some hand-outs for kids. Involvement in this event shows how we are part of our communities, which is one of the strengths of our business. The community were impressed and our people proud that Oji Fibre Solutions took part in the festival and put us out there for their families to see. “Our families and friends hear about the Mill and drive past it every day, but our families don’t really know anything about our work. It was awesome – the actual word they used was tumeke!” PARTNERING WITH THE PORT OF TAURANGA

Our logistics team at Lodestar have been working collaboratively with the Port of Tauranga to commission a brand-new paper and forest products storage facility at the port. The facility was commissioned in April 2017 and is now fully utilised as a key component of our export supply chain.

The Port of Tauranga is an important business partner for Oji Fibre Solutions, as the port is the gateway for delivering more than a million tonnes of export cargo produced in the company’s two large pulp and paper mills to global markets. The new facility, known as Shed 16, is 22,000 square metres, and represents a Sustainability Report 2017 Report Sustainability | significant enhancement to the quality of our export logistics solution delivered to our customers. Shed 16 is strategically placed on port land, directly adjacent to the export terminal, and in close proximity to container yards, which enhances our ability to optimise container flows into the facility, while maintaining our strategic access to the export terminal. This has future-proofed our operations and enables us to provide a smoother supply chain for our customers. This is a great example of partnering, not only with the Port of Tauranga, but also with our customers and shipping providers. The strategic alliance with FIBRE SOLUTIONS OJI Oji Fibre Solutions allows the Port of Tauranga to invest with confidence, while delivering savings to our shipping lines and creating a smoother supply chain for our customers.

FUTURE-PROOFING OUR OPERATIONS

Strategic access to export terminals and container yards.

Square metre storage facility for paper and forest products. 45 GROWING PARTNERSHIPS GROWING

OUR PARTNERS Partnering with the Port of Tauranga and shipping lines to create a smoother supply chain for our customers. Sustainability Report 2017 Report Sustainability

OUR CERTIFICATIONS & STANDARDS

ISO 9001:2008-certified or ISO 9001:2015-certified Quality Management Systems at all Oji Fibre Solutions’ manufacturing sites. OJI FIBRE SOLUTIONS OJI ISO 14001:2004-certified Environmental Management System at Tasman Mill.

Forest Stewardship Council® (FSC®) Chain of Custody (CoC) certification for pulp at both the Kinleith and Tasman Mills and for paper at Kinleith Mill.

Programme for the Endorsement of Forest Certification (PEFC™) Chain of Custody (CoC) certification for pulp at both the Kinleith and Tasman Mills and for paper at Kinleith Mill.

ISO 22000:2005-certified Food Safety Management System at Packaging NZ – Northern, Packaging NZ – Central and Packaging NZ – Southern.

Hazard Analysis and Critical Control Point (HACCP) compliance at Paper Bag and Foodservice Packaging.

AS/NZS 4801:2001 Occupational Health and Safety Management System at Packaging AUS – Lansvale and Noble Park sites.

We are an Accredited Employer at tertiary level of the Accident Compensation Corporation (ACC) Partnership Programme in New Zealand.

To note: our newly opened packaging facility in Yatala, Queensland, Australia and newly purchased Oji Cardboard Carton Solutions packaging facility in Melbourne, Victoria, Australia have yet to undergo certification processes. SHARING KNOWLEDGE WITH INDUSTRY PEERS

Oji Fibre Solutions actively shares knowledge with industry peers. These two-way relationships provide growth for both our employees and business, while benefiting the wider New Zealand and Australian industry.

WOOD PROCESSORS & MANUFACTURERS ASSOCIATION (WPMA) OF NEW ZEALAND The Wood Processors & Manufacturers Association brings together all parts of New Zealand’s wood supply chain in one industry organisation to give strength and unity to dealing with the challenges facing the industry. TECHNICAL ASSOCIATION OF THE AUSTRALIAN AND NEW ZEALAND PULP AND PAPER INDUSTRY (APPITA) Appita facilitates the network of stakeholders to advance the technical capability and expertise of the Australian and New Zealand pulp and paper industry. PAPER FORUM NEW ZEALAND The New Zealand Paper Forum was established with a mandate to represent the interests of all parts of the paper supply chain, from manufacturers and importers to 47

printers, publishers and recyclers. | AUSTRALIAN PACKAGING COVENANT (APC) The Australian Packaging Covenant has been in effect from 1 July 2010. This covenant focuses on improved packaging design, ‘away from home’ recycling, litter reduction and increased engagement across the supply chain through product stewardship. GROWING PARTNERSHIPS PARTNERSHIPS GROWING OUR MEMBERSHIPS INCLUDE: OJI FIBRE SOLUTIONS | Sustainability Report 2017 49 GROWING | STRENGTH GROWING STRENGTH STRENGTH GROWING

Our products are made from one of the strongest fibres in the world, New Zealand-grown pinus radiata. Add to that our heritage, our connection with an inspirational global company and our great people and you have a very strong combination. THE SOLUTIONS WE OFFER

We are specialists in market pulp, containerboard and paper-based packaging.

OJI FIBRE SOLUTIONS: TONNES OUTPUTS, 2017 MARKET PULP Sustainability Report 2017 Report Sustainability | FIBRE SOLUTIONS OJI TONNES TONNES PACKAGING PRODUCTS CONTAINERBOARD MARKET PULP

We produce kraft market pulps for use in various boards, tissues and specialty products. Customers trust us to deliver uniform quality products on time, every time.

HI WHITE™ is a bleached radiata pine kraft pulp valued by customers for its consistency, strength properties, bulk and To thrive, we need to be brightness. HI WHITE™ has a strong reputation with Asia- adaptable to our environment, Pacific paper-makers for suitability in applications such as coated and uncoated printing and writing papers, bleached foster productive customer paperboard, filter papers and tissue products. relationships and build a HI WHITE LCP™ brand of bleached radiata pine kraft pulp is produced from specially selected woodchips. It is designed sense of community within for tissue products where both softness and strength are our business. We aim to make important qualities for end consumers. that our strength. K25™ is a wood pulp used in the production of high- quality cement-based building boards. Customers value MIKE MEIRING the special fibre properties together with the very tightly VICE PRESIDENT 51 controlled quality parameters and product consistency. SALES & MARKETING – PULP |

CONTAINERBOARD

We produce kraft and recycled STRENGTH GROWING containerboards to be converted into packaging products. Our kraft and recycled fibre-based containerboards are chosen by our customers to meet their specific requirements. Our paper products are used to package high-quality products HI GOLD™ is a premium light shade, high-strength liner for performance packaging with superior visual appeal. all around the world. From locally GRAPHIX™ is a high-strength white liner that delivers grown kiwifruit to high-value quality graphics. CLIMATE™ is a high-performance medium for use in Korean electronics and the Wilson high-humidity, cool-store environments. tennis balls used in the US Open. ECOFLEX™ is a fully recycled medium for use in In each case, our customers use standard packaging environments. ECOKRAFT™ is a kraft and recycled liner for our high-performance papers in performance in standard packaging conditions. the knowledge that their goods will reach their final destination in pristine condition.”

GRANT WILCOCK VICE PRESIDENT SALES & MARKETING – PAPER PACKAGING

We provide smart packaging solutions such as boxes, multiwall bags, specialty boards and paper cups. Our fibre-based packaging solutions are chosen by our customers to meet their individual specifications.

CARDBOARD PACKAGING We produce a comprehensive Our strength is based on selection of cardboard products for numerous industries, including horticulture, dairy, meat, beverage, seafood, reseller tailoring our products and and industrial manufacturing. services to customer needs PAPER BAG We specialise in complex multi-ply bags where product integrity and efficient distribution are – developing an innovative critical, supported by high-quality graphics. Our product new traceability technology range includes bags for the dairy, cement, flour and sugar industries, from 5kg sizes through to 50kg industrial bags. for application on our paper SPECIALTY BOARDS Our specialty boards are used in bags is just one example. the manufacture of heavy-duty packaging, packaging for frozen and chilled products, point-of-sale displays, solid fibre slipsheets and bulk bins. GRANT FITZGIBBON PAPER CUPS We manufacture paper cups for a range of GROUP GENERAL MANAGER PACKAGING NZ food and beverage products and other products that benefit from being presented in well-designed packaging. Sustainability Report 2017 Report Sustainability | FIBRE SOLUTIONS OJI

We are very conscious of our environmental responsibilities and the opportunity this creates to establish competitive advantage for our customers and organisation. This is reflected in our new state-of-the-art, 75,000 tonne capacity corrugated packaging facility in Yatala, Queensland, Australia.

NICK MOLLOY GENERAL MANAGER PACKAGING AUS PAPER RECYCLING

Fullcircle collects waste paper throughout New Zealand for transformation into new products at our mills.

BALING PLANTS Nationwide in New Zealand 14 from Auckland to Invercargill. MATERIALS RECOVERY FACILITIES In partnership with Wellington City Council and Dunedin Regional Council. 299,403 TONNES OF RECOVERED FIBRE COLLECTED by Fullcircle in 2017.

TONNES OF RECOVERED FIBRE UTILISED by our Kinleith and Penrose Mills in 2017. 53 |

LOGISTICS

Lodestar provides shipping and

domestic transport solutions to STRENGTH GROWING deliver products to global markets.

CHARTER 2 SHIPS TEU CONTAINERS PER ANNUM

TONNES OF 1.4M EXPORT CARGO FREIGHT TONNES DOMESTICALLY (road and rail) OUR FIBRE INPUTS TONNES

PAPER PRODUCTS1 TONNES

RECOVERED FIBRE TONNES Sustainability Report 2017 Report Sustainability | MARKET PULP2 FIBRE SOLUTIONS OJI

3,563,251 TONNES VIRGIN WOOD FIBRE (logs and chips)

1 P aper products include internally produced and externally purchased paper, containerboard, wrapping, cores. 2 Externally purchased market pulp. OUR VIRGIN WOOD FIBRE

Oji Fibre Solutions requires all suppliers to comply with relevant legislation and with the company’s TOPLOG 2 wood-sourcing policy.

Used for pulp Wood for our pulp and paper mills comes from exotic plantation-grown forests in the North Island of New Zealand. These wood supplies consist of residues from other parts of TOPLOG 1 the forest industry, including low-value industrial logs, toplogs Used for pulp, not suitable for sawmilling and timber products sawmill chips typically derived from slabwood.

SLABWOOD Used for pulp GROWING STRENGTH | 55 STRENGTH GROWING SAWLOG 2 Used for timber products, building furniture

SLABWOOD Used for pulp

SAWLOG 2 Used for timber products, building furniture RESPONSIBLE SOURCING OF VIRGIN WOOD FIBRE FOREST STEWARDSHIP To provide surety of the integrity of our COUNCIL (FSC®) products to our customers, our fibre is subject to a due diligence process to ensure it complies with international laws We have Forest Stewardship Council® (FSC®) relating to illegal logging. Chain of Custody (CoC) certification for pulp at both the Kinleith and Tasman Mills We obtain as much wood as is practicable from Forest and for paper at Kinleith Mill. Stewardship Council® (FSC®) and/or Programme for the Endorsement of Forest Certification (PEFC™)-certified For more information on FSC®, forests, with the balance meeting the input eligibility please visit: http://ic.fsc.org/en requirements for mixed sources. PROGRAMME FOR THE ENDORSEMENT OUR CERTIFICATIONS OF FOREST CERTIFICATION Kinleith and Tasman Mills have both (PEFC™) FSC® and PEFC™ Chain of Custody certification. This ensures the wood can We have Programme for the Endorsement be tracked from the point of harvest of Forest Certification (PEFC™) Chain of Custody (CoC) certification for pulp at both through to the finished product delivered the Kinleith and Tasman Mills and for paper to our customers. at Kinleith Mill. FSC® and PEFC™ have set standards for forest For more information on PEFC™, management to protect environmental, social and economic please visit: http://pefc.org/ values. Independent auditors certify that forests meet these Sustainability Report 2017 Report Sustainability

| standards. Kinleith and Tasman Mills source as much of their wood as is practicable from FSC® and PEFC™-certified sources, with the balance meeting the standards to prevent the use of unacceptable material as defined in our Wood Sourcing Policy. RESPONSIBLE WOOD SOURCING FIBRE SOLUTIONS OJI POLICY Our Wood Sourcing Policy adheres to the FSC® and PEFC™ goal of avoiding the procurement of wood fibre from unacceptable wood sources, including:

Illegally harvested wood

Wood harvested in violation of traditional and human rights

Wood harvested in forests in which high conservation values are threatened by management activities

Wood harvested in forests being converted from natural and forest plantations or non-forest use

Wood from forests in which genetically modified trees are planted COMMON QUESTIONS

Does the use of virgin fibre Oji Fibre Solutions’ use of virgin fibre does not impact deplete native forests? on native forest as no native species are used in Oji Fibre Solutions products. Our pulp and paper mills source wood from plantation-grown, introduced species of trees, purpose-grown in a tree-farming environment. These designated tree farms displace the felling of natural forests both in New Zealand and overseas.

Do tree plantations mean No; Oji Fibre Solutions’ forestry suppliers have statutory an end to biodiversity? obligations and industry agreements to protect biodiversity within their forest estates. Independent research has identified a wide range of rare and threatened species living within plantation-grown forests.

What is the relationship Trees absorb C02 as they grow. After harvest, they release between forest products emissions when wood products degrade or where wood is and the carbon cycle? burned as a fuel. If forests are managed sustainably, there is a balance between absorption and emissions and the net impact is neutral. If areas of sustainable forests increase, the net effect is to reduce greenhouse concentrations and mitigate climate change. 57 |

PULPWOOD PLANTATION TRIAL GROWING STRENGTH STRENGTH GROWING Radiata pine is typically harvested after 25 to 28 years. Oji Fibre Solutions is investigating the feasibility of 10 to 14 year rotation radiata pine plantations as a potential feedstock to our mills.

The trial is looking at planting densities of 700, 1,000 and 1,500 stems per hectare. It will test elite radiata pine families with superior wood and fibre properties. This approach aims to grow more wood per hectare thereby improving the conversion of wood chips to pulp reducing the cost of wood without the loss of fibre characteristics. If successful at a commercial level, we expect the proposed new pulpwood regime to contribute to New Zealand’s greenhouse gas emissions reductions by giving landowners greater choice of forest rotation length. OUR PEOPLE Our people are what differentiate us from our competitors – they bring their great thinking, judgement and commitment to work every day. When our people grow, our business grows. Together, we work to find the right support for the individual and the sustained success of our business.

WHERE OUR PEOPLE ARE LOCATED: % CHINA, HONG KONG, NEW ZEALAND AUSTRALIA MALAYSIA Sustainability Report 2017 Report Sustainability

| 83

AGE PROFILE 2017: % FIBRE SOLUTIONS OJI UNDER 30 30 TO 50 OVER 50 YEARS OLD 47 YEARS OLD YEARS OLD

SALARIED 40%

FEMALE EMPLOYEES % OF TOTAL EMPLOYEES 15% of our senior managers are female, up from 14% senior managers in 2016.

WAGED 60% IN 2017:

NEW GRADUATES 23 AND APPRENTICES

PERMANENT NEW STARTERS

VOLUNTARY TURNOVER 59 |

1ST ENGAGEMENT SURVEY

In 2017, we undertook out first

company-wide engagement survey. STRENGTH GROWING % PARTICIPATION 47 RATE

ENGAGEMENT RATE

THREE FOCUS AREAS:

- Leadership and communication. - Processes and systems. - Site-level engagement action plans. INVESTING IN OUR PEOPLE’S GROWTH

Our Packaging NZ Specialty Boards management team in Hamilton invests a lot of energy and passion into training and developing their people.

Workplace training includes NZ Qualification Authority (NZQA) programmes in literacy and numeracy, as well as modules on industry knowledge, Trade Certifications and Health & Safety levels 1-4. On Monday 22 May 2017, more than 20 people from Specialty Boards graduated from a 16-week literacy training programme, which covered how to improve communication, workplace values and root cause analysis. The graduation included a special lunch and presentations led by the graduates. Sustainability Report 2017 Report Sustainability |

This training has truly changed people’s lives. Many of them FIBRE SOLUTIONS OJI started with no qualifications, and we are proud to give them the opportunity to study through Oji Fibre Solutions.

TONY ANTONIADIS SPECIALTY BOARDS FACILITY MANAGER I’m loving the course, and I look forward to every Wednesday. It has given me a big confidence boost, talking to my team-mates, helping me bring up any issues that need to be brought up. I might not have reported some health and safety stuff in the past, but am now confident enough to complete health and safety event reports.

CHARLEY MACDONALD LEVIN BRIDGING 61

PROGRAMME PARTICIPANT | BRIDGING

THE GAP STRENGTH GROWING

In 2017, as a commitment to our people’s development, we began a 20-week Bridging Programme across Packaging NZ.

The first Bridging Programme was run at our Packaging NZ Speciality Boards facility in Hamilton in 2016. As a result of the programme’s success, and after further improvements to the programme’s design, it was introduced at our Packaging NZ Northern, Central and Southern facilities in Auckland, Levin and Christchurch. The programme has been tailored to the specific needs of each packaging facility, so all the participants can attain the skills and knowledge required to effectively progress onto earning Competenz Level 2 or 3 Certificate in General Manufacturing. These qualifications provide elements of health and safety, quality and productivity improvement in relation to the packaging industry. Education Unlimited tutors visit the sites weekly to work with the participants, completing a module each session. The tutors work closely with each participant to ensure everyone in the programme is progressing at the same pace. The course will run until February 2018, at which point the participants will have the experience, knowledge and skills they need to be successful in higher Competenz qualifications. OJI FIBRE SOLUTIONS | Sustainability Report 2017 63 GROWING | INNOVATION GROWING INNOVATION INNOVATION GROWING

The success of our customers, the standard of our products and the shape of the future depend on our ability to innovate. Sustainability Report 2017 Report Sustainability OJI FIBRE SOLUTIONS OJI

OUR PRODUCTS Most fibre-based packaging contains both virgin wood and recycled fibres in different proportions. COMPLEMENTARY FIBRES

Most fibre-based packaging contains both virgin wood and recycled fibres in different proportions. Producing an effective product is not about choosing one or the other; instead, it is about deciding how much of each to use for the job required.

Virgin wood fibres are important where high humidity is present, where high strength is needed or where appearance and print quality are important. Our ECOKRAFT™ range of kraft-top liners made at Kinleith Mill is an example of a hybrid combination of virgin wood fibre on the surface for colour and consistency and recovered fibre as the balance material. A product made with recovered fibre may not necessarily be environmentally superior to one made with responsible virgin wood fibre. There are good reasons to use at least a proportion of virgin wood fibre in many papers; for example, if packaging fails, then any environmental gains achieved through using recycled fibre can be lost through spoilage of the packaged product. 65 | GROWING INNOVATION INNOVATION GROWING

COMMON QUESTION

Is 100% recycled fibre-based packaging suitable for direct food contact?

Yes; 100% recycled fibre-based packaging can be suitable for direct food contact, subject to appropriate controls and testing. This type of packaging is currently used in a number of direct-contact applications by consumer product companies. TRANSFORMING WASTE INTO USABLE PRODUCTS

The collection of recovered fibre from Oji Fibre Solutions’ sites, from other businesses and from households throughout New Zealand is handled through our recycling operation – Fullcircle.

In 2017, Fullcircle collected 299,403 tonnes of waste cardboard and paper, 205,605 tonnes (69%) of which was processed into paper products at our Penrose and Kinleith Mills and then either sold or further processed into fibre-based packaging solutions at our packaging sites in New Zealand and Australia. Sustainability Report 2017 Report Sustainability OJI FIBRE SOLUTIONS OJI

We operate New Zealand’s largest paper recycling business FULLCIRCLE Did you know? Paper and cardboard can be recycled many times (typically estimated at between five and eight cycles), after which the fibres ‘wear out’.

Did you know? New (virgin) wood fibres need to be introduced into the paper-making process to make up for permanent removals and maintain the supply and performance of the finished products. INNOVATION GROWING 67

FULLCIRCLE

BALING PLANTS Nationwide in New Zealand 14 from Auckland to Invercargill. MATERIALS RECOVERY FACILITIES In partnership with Wellington City Council and Dunedin Regional Council.

Recovered fibre collected by Fullcircle 299,403 TONNES in 2017. Recovered fibre utilised by our Kinleith and Penrose Mills in 2017. TONNES Sustainability Report 2017 Report Sustainability OJI FIBRE SOLUTIONS OJI

Partnering with Oji Fibre Solutions, we undertook a review of all our waste streams, and with their experience, we soon had a new comprehensive recycling and waste solution. Recycling and waste are now cost neutral for us, and we are thriving with increased levels of service, fewer bins (equals more space!) and a lot of feel-good for our efforts. Thanks Fullcircle, nice one!

GARY MCDONALD LEIGHTONS ANSWERS TO KEY QUESTIONS

What can Fullcircle’s main focus is on cardboard and paper recycling, but depending on be collected? where you are located, and the market for different products we may be able to offer you a much broader range of recycling services. These services range from: secure document destruction, kerbside collections, plastic, aluminium and steel container recycling to plastic film and shrinkwrap recycling. We can also manage your residual waste disposal needs.

What happens to my In 2017, 69% of the paper and cardboard collected by Fullcircle was recycled recycled product? at our own Oji Fibre Solutions paper mills within New Zealand. Each year, these mills process over 205,000 tonnes of used cardboard and paper and turn it back into new packaging-grade materials. The balance of the recovered paper and other recyclables (plastic film 69 and shrinkwrap, plastic containers, steel and aluminium cans) are sold to local | re-manufacturers or international buyers.

Are there different There are many different types of cardboard and paper used in New Zealand. types of paper? The type determines how valuable it is and whether it can be recycled here in New Zealand. Whether the material you have is old cardboard boxes, old newspapers, used office paper, a collection of old books or magazines or a bit of everything, we would like to discuss how we can assist you with your recycling efforts. GROWING INNOVATION INNOVATION GROWING There are a few types of paper that can not be recycled in New Zealand. In most cases, they can be recycled somewhere. We sell to markets throughout the world. When the markets exist we find them and arrange for the paper to be shipped.

Are some cardboards In general, the majority of cardboard collected in New Zealand can be not recyclable in recycled in New Zealand. Cardboard that is contaminated, soiled or that has water resistant waxes and PE or other coatings is not recyclable in New Zealand? New Zealand.

How are the In most cases, Fullcircle will arrange for a purpose built recyclables collection recyclables collected? vehicle to visit your premises. The type and amount of material you have available for recycling will determine the optimal solution for both you and us. The most common collection vehicles used by Fullcircle are front-loading and rear-loading trucks. These safely lift wheelie bins and large metal cages carrying paper, cardboard, film and other recyclables. To see the range of equipment options available and learn more about which of these might best suit your requirements, please refer to www.ojifs.com/fullcircle Sustainability Report 2017 Report Sustainability OJI FIBRE SOLUTIONS OJI

Oji Fibre Solutions is pleased to offer our customers a choice between 8-bale units and 10-bale units for our pulp products manufactured at the Tasman Mill. Pulp units can now be delivered in units of 8x250 kg bales or 10x250 kg bales. IMPROVING THE EFFICIENCY OF OUR CONTAINER UTILISATION

Tasman Mill has been innovative in improving the efficiency of our container utilisation.

CHALLENGES The concept of a 10-bale unit has been with us for many years, but always had challenges. Not all customers would be able to receive 10-bale units, which meant that not all pulp production could switch to the new 10-bale unit, creating operational and logistical hurdles. LAUNCHING THE PROJECT The pulp team initiated the project with discussions with key customers. Some customers were very interested, identifying benefits 71 in fewer containers to transport and devanning, savings in onshore freight cost | and less administration around customs clearance. A cross-functional team was established to develop robust and safe systems to enable the Tasman Mill to manufacture 10-bale units. The team involved representatives from pulp team, Tasman Pulp Drying & Warehouse Operations, Tasman Engineering, Lodestar, Procurement and Information Technology. THE TRIAL Trials were conducted looking at feasibility, clearance testing and wire optimisation. These trials allowed the team to monitor and develop solutions to any issues which arose, ensure safe operations continued, develop warehouse stack configurations to ensure safe storage and identify any implications to warehouse capacity. In addition, the trial enhanced knowledge and capability for the team to INNOVATION GROWING advise and assist customers in regards to vehicle cameras to improve driver visibility and pulp handling as the 10-bale units are both bigger and heavier, as well as storage. In early 2018, the Tasman Mill successfully commissioned its two production lines producing 10-bale units offering our customers a choice of size. A cross-functional team has now been formed to review the capability of manufacturing 10-bale units at the Kinleith Mill.

WHY 10-BALE UNITS?

THE 10-BALE UNIT PROVIDES CUSTOMERS MORE PULP PER 20FT CONTAINER AND GREATER EFFICIENCY THROUGH THE SUPPLY CHAIN. When shipping in containers, we will still ship 10 units per 20ft container, but instead of shipping 80 bales (10 x 8-bale units) under the current configuration, we can ship 100 bales (10 x 10-bale units), so an additional 20 bales can be shipped per container. OJI FIBRE SOLUTIONS DATA:

OJI FIBRE OJI FIBRE OJI FIBRE KINLEITH TASMAN PENROSE PACKAGING PACKAGING SOLUTIONS SOLUTIONS SOLUTIONS MILL MILL MILL NZ AUS 2015 2016 2017 2017 2017 2017 2017 2017 UNITS ANNUAL TOTAL OUTPUTS1 Market pulp and containerboard products tonne 940,204 912,074 928,664 562,560 281,960 84,144 0 0 Fibre-based packaging products tonne 175,293 182,753 187,543 0 0 0 127,537 60,006 Chemicals and by-products2 tonne 35,911 35,326 35,786 19,437 16,349 0 0 0 Total outputs1 tonne 1,151,408 1,130,153 1,151,993 581,997 298,309 84,144 127,537 60,006

RAW MATERIALS Fibre inputs Virgin wood (logs and chips) tonne 3,521,473 3,464,744 3,563,252 2,215,078 1,348,174 0 0 0 Market pulp tonne 9,538 10,559 8,058 8,058 0 0 0 0 Recovered fibre tonne 209,844 203,563 205,605 102,284 0 103,321 0 0 Paper, containerboard, wrapping, cores tonne 195,660 201,400 204,205 2,058 0 221 136,712 65,214 Total fibre tonne 3,936,515 3,880,266 3,981,120 2,327,478 1,348,174 103,542 136,712 65,214 Other significant inputs (approximate)3 tonne 118,453 114,301 114,609 59,719 43,792 708 8,993 1,397

ENERGY CONSUMPTION Direct sources Biomass: kraft black liquor, GJ 21,431,008 21,070,039 21,088,935 13,712,753 7,376,182 0 0 0 wood residues Fossil fuels4: natural gas, waste oil fuel, GJ 3,561,501 4,205,551 4,646,002 3,100,517 903,794 476,017 105,980 59,694 fuel oil, coal, diesel, petrol, LPG Indirect sources (purchased) Electricity GJ 1,861,902 1,748,706 1,587,752 1,049,120 317,417 146,274 48,585 26,356 Steam GJ 287,070 0 0 0 0 0 0 0 Geothermal steam GJ 1,408,426 1,591,588 2,597,324 0 1,734,418 622,291 154,565 86,050 Total energy consumption GJ 28,549,907 28,615,884 29,920,013 17,862,390 10,331,811 1,244,582 309,130 172,100 Electricity generation (fuels included above) GJ 1,284,089 1,217,413 358,429 255,313 103,116 0 0 0

WATER WITHDRAWAL

Municipal supply Ml 370 377 345 0 43 221 61 20 Sustainability Report 2017 Report Sustainability | Surface water Ml 43,727 44,086 41,995 21,058 20,937 0 0 0 Groundwater Ml 10,772 10,914 11,764 11,228 0 536 0 0 Total withdrawal Ml 54,869 55,376 54,104 32,286 20,980 757 61 20

EMISSIONS TO AIR

5 Scope 1 (direct) emissions (CO2-e) tonne 220,067 257,932 279,308 183,708 59,734 25,750 6,983 3,133

Scope 2 (indirect) emissions (CO2-e) tonne 91,172 65,992 56,124 24,854 20,042 3,465 1,151 6,612

5 Total Scope 1 and 2 emissions (CO2-e) tonne 311,239 323,924 335,432 208,562 79,776 29,215 8,134 9,745

6

FIBRE SOLUTIONS OJI Biomass CO2 emissions tonne 2,011,646 1,883,750 1,884,678 1,215,366 669,312 0 0 0

WASTE 7 To landfill (approximate) dry 39,507 40,507 42,103 23,419 7,223 9,709 1,510 242 tonne To recycle dry 26,900 30,225 29,317 808 330 0 20,334 7,845 tonne To compost/vermicompost dry 19,448 21,075 19,925 12,277 7,019 629 0 0 tonne Hazardous waste (incl. EPA, Victoria) tonne 76 339 195 129 13 0 0 53

DISCHARGE TO WATER

9 Volume Ml 55,722 56,778 57,322 35,550 21,485 287 N/A N/A Treatment 1° & 2° 1° & 2° N/A Municipal Municipal treatment treatment Discharge to Waikato Tarawera Municipal Municipal Municipal River River sewer sewer sewer Total Suspended Solids (TSS)8 tonne 1,249 1,064 9810 N/A N/A Biochemical Oxygen Demand (BOD)8 tonne 674 696 83110 N/A N/A

A zero (0) in the table signifies the parameter is either Packaging NZ: Starch, adhesives, plastic film, inks. 9 Volume estimated for Tasman Mill and excludes not applicable or not material. N/A signifies that the Packaging AUS: Starch, adhesives, coatings, inks. contributions from Norske Skog Tasman newsprint parameter is not available. mill and stormwater. 4 Direct emissions from on-site stationary and mobile 1 Outputs are gross; i.e. includes internal transfers (vehicular) combustion of fossil fuels. 10 Measurements made at point of discharge to trade between sites. waste system. 5 Includes CH4 and N2O emissions from combustion 2 Chemicals include: liquid chlorine, sodium of biomass. Market pulp tonnages are expressed on an ‘air dry’ or hypochlorite and hydrochloric acid. By-products 90/10 basis, under which pulp weights are derived by 6 Biomass-derived CO2 is reported separately include: crude tall oil and crude sulphate turpentine. normalisation to 90% dry pulp solids, 10% moisture for information only, in accordance with the content, which is standard for the industry. 3 Other significant inputs include: GHG Protocol. Kinleith Mill: Alum, bale wire, burnt lime, caustic soda, 7 Solid wastes are reported on a ‘dry solids’ basis; calcium carbonate, clay, hydrogen peroxide, oxygen, waste to landfill is deposited in facilities owned by paper size, salt, starch, sulphuric acid. Oji Fibre Solutions or licensed third parties. Tasman Mill: Bale wire, burnt lime, caustic soda, 8 Discharges listed for Tasman Mill, include those from hydrogen peroxide, lime rock, magnesium sulphate, neighbouring newsprint mill owned and operated oxygen, salt, saltcake, sulphuric acid. by Norske Skog Tasman, due to shared effluent Penrose Mill: Starch. treatment infrastructure. ABOUT THIS REPORT This Sustainability Report is our third report as Oji Fibre Solutions and continues our previous environmental and sustainability performance reporting (since 2007) under different ownership. SCOPE This report covers the calendar year 2017 and includes environmental performance data for the manufacturing operations of Oji Fibre Solutions. Manufacturing operations are defined as Kinleith Mill, Tasman Mill, Penrose Mill, Packaging Australia (AUS) and Packaging New Zealand (NZ). Environmental performance data is not presented for the service-focused sectors; Corporate Offices, Fullcircle and Lodestar; the newly opened Yatala facility in Queensland, Australia or the newly purchased Oji Cardboard Carton Solutions, Melbourne, Australia. People data covers the service-focused sectors and all manufacturing operations including the newly opened Yatala facility in Queensland, Australia, the newly purchased Oji Cardboard Carton Solutions, Melbourne, Australia. Safety data covers the service-focused sectors and all manufacturing operations excluding the newly purchased Oji Cardboard Carton Solutions, Melbourne, Australia. REPORTING STANDARDS Greenhouse gas (GHG) emissions are reported according to the GHG Protocol1 published by the World Resources Institute and the World Business Council for Sustainable Development. We have referred to the Global Reporting Initiative (GRI) Sustainability Reporting Standard 20162 for guidance in the production of this report. This report references topic-specific disclosures from the GRI Sustainability Reporting Standard 2016. DATA Data is collected and presented in reference to the following topic-specific disclosures: 301-1 Materials used by weight or volume 302-1 Energy consumption within the organisation 303-1 Water withdrawal by source 305-1 Direct (Scope 1) GHG emissions 305-2 Energy indirect (Scope 2) GHG emissions 305-4 GHG emission intensity 306-1 Water discharge by quality and destination 306-2 Waste by type and disposal method 307-1 Non-compliance with environmental laws and regulations 401-1 New employee hires and turnover 405-1 Diversity of governance bodies and employees As a result of shared wastewater treatment infrastructure, certain effluent data presented for the Tasman Mill includes those from the neighbouring newsprint operation owned and operated by Norske Skog Tasman. These are identified in the notes to the data tables.

1 The Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard. www.ghgprotocol.org/standards/corporate-standard 2 Global Reporting Initiative (GRI) Sustainability Reporting Standard www.globalreporting.org CONTACT For more information or feedback, please email: [email protected] Oji Fibre Solutions Private Bag 92004, Victoria Street West Auckland 1142, New Zealand linkedin.com/company/oji-fibre-solutions

DISCLAIMER This report has been compiled by Oji Fibre Solutions (NZ) Limited (‘Oji Fibre Solutions’) for general information purposes. Oji Fibre Solutions has taken care in compiling this report and believes the information it contains to be correct, but does not warrant the completeness or accuracy of the information or any opinion or statement contained in this report. ojifs.com