Certificate holder: Catalyst Paper Corp. Certification Body (CB): PricewaterhouseCoopers LLP FSC CW certificate code: PWC-CW-000405 Date of CB approval: Date of risk assessment: February 2013 Address of CB: 250 Howe Street, Suite 700, Vancouver, BC V6C 3S7 Certificate holder address: 3600 Lysander Lane, Richmond, BC, V7B 1C3

Districts, including countries covered with this Southern Interior including the 100 Mile House, Cariboo – Chilcotin, Quesnel, , risk assessment*: Thompson Rivers and Shuswap Forest Districts *NB! If sources of information, justification, and/or risk levels vary for different districts, separate tables shall be made for each district.

Risk Category FSC Indicator Information Sources Used Brief justification Designation 1. Illegally Harvested 1.1 Evidence of enforcement of logging Compliance and Enforcement Branch The Compliance and Enforcement Branch of the Wood The district of related laws in the district www.for.gov.bc.ca/hen/ Ministry of Forests, Lands and Natural Resource origin may be considered 1.2 There is evidence in the district Forest Act Part 5 Timber Marking & Part 6 Operations enforces BC’s forestry laws and low risk in relation to demonstrating the legality of harvests and Timber Scaling takes action where there is non-compliance. illegal harvesting when all wood purchases that includes robust and www.bclaws.ca/EPLibraries/bclaws_new/docume the following indicators effective systems for granting licenses and nt/ID/freeside/96157_00 Strong legislation is in place in BC regarding the related to forest harvest permits. Timber Marking and Transportation granting and regulation of harvesting rights and governance are present: Regulation the marking, scaling and transportation of timber. www.bclaws.ca/EPLibraries/bclaws_new/docume nt/ID/freeside/253_97 Low risk 1.3 There is little or no evidence or Chatham House-managed illegal logging That are no reports of illegal logging in reporting of illegal harvesting in the district information site of origin. www.illegal-logging.info/approach.php?a_id=41 1.4 There is a low perception of corruption Transparency International Canada strengthened its law aimed at foreign related to the granting or issuing of www.transparency.org/news/feature/canada_toug bribery in 2013 harvesting permits and other areas of law hens_foreign_bribery_law enforcement related to harvesting and wood trade. Transparency International 2012 CPI Report Canada is ranked “very clean” and scored 84 out http://cpi.transparency.org/cpi2012/results/ of 100 in Transparency International’s 2012 Corruption Perceptions Index report.

2. Wood harvested in 2.1 There is no UN Security Council ban on UN Security Council There is no UN Security Council ban on timber violation of traditional timber exports from the country concerned; www.un.org/sc/committees exports from Canada. or civil rights 2.2 The country or district is not designated Global Policy Forum Canada is not designated as a source of conflict The district of origin may a source of conflict timber (e.g. USAID www.globalpolicy.org/security/natres/timbrindex.ht timber. be considered low risk in Type 1 conflict timber) m relation to the violation of 2.3 There is no evidence of child labour or Employment Standards Branch Forest employment in Canada is regulated under traditional, civil and violation of ILO Fundamental Principles and federal and provincial labour codes, which collective rights when all Rights at work taking place in forest areas Employment Standards Regulation prohibit child labour, protect the rights of workers the following indicators in the district concerned www.bclaws.ca/EPLibraries/bclaws_new/docume to organize and are in conformity with are present: nt/ID/freeside/396_95 fundamental ILO Conventions. 2.4 There are recognized and equitable Aboriginal Affairs and Northern Development There is a process in place with both the Low risk processes5 in place to resolve conflicts of Canada governments of Canada and BC to negotiate and substantial magnitude pertaining to www.aadnc- implement land claims and self government traditional rights including use rights, aandc.gc.ca/eng/1100100028568/110010002857 agreements. cultural interests or traditional cultural 2 identity in the district concerned Ministry of Aboriginal Relations and Reconciliation www.gov.bc.ca/arr/treaty/default.html 2.5 There is no evidence of violation of the Canadian Human Rights Commission There is no evidence of violation. According to ILO Convention 169 on Indigenous and www.chrc- the Canadian Human Rights Commission it is Tribal Peoples taking place in the forest ccdp.gc.ca/legislation_policies/aboriginal_employ not a discriminatory practice for an employer to areas in the district concerned. ment-eng.aspx give preferential treatment to hiring Aboriginal persons. 3. Wood harvested from 3.1 Forest management activities in the Forest & Range Legislation & Regulation Forest management activities are regulated by forest in which high relevant level (eco-region, sub-eco-region, www.for.gov.bc.ca/tasb/legsregs the Forest and Range Practices Act and other conservation values are local) do not threaten eco-regionally legislation and regulations that provide protection threatened by significant high conservation values. for high conservation values. management activities The district of origin may Conservation International Biodiversity Hotspots There are no Conservation International be considered low risk in www.biodiversityhotspots.org/Pages/default.aspx Biodiversity Hotspots in British Columbia. relation to threat to high 3.2 A strong system of protection (effective WWF WildFinder The Southern Interior Region of BC includes 4 conservation values if: a) protected areas and legislation) is in place http://worldwildlife.org/science/wildfinder/ as listed in the Information Sources indicator 3.1 is met; or b) that ensures survival of the HCVs in the Used column. indicator 3.2 eliminates . Fraser Plateau and Basin Complex Ecoregion (or greatly mitigates) the http://worldwildlife.org/ecoregions/na0514 Much of the Fraser Plateau and Basin Ecoregion threat posed to the falls within the boundaries of the Cariboo- district of origin by non- Okanagan Dry Forests Ecoregion Chilcotin regional land use planning process compliance with 3.1. http://worldwildlife.org/ecoregions/na0522 completed by the Commission on Resources and Environment. Low risk North Central Rockies Forests Ecoregion http://worldwildlife.org/ecoregions/na0518 A land use order for the plan area declared in 2010 set objectives for a number of important Cascade Mountain Leeward Forests Ecoregion resources including, biodiversity, old growth, http://worldwildlife.org/ecoregions/na0507 critical habitat for fish, community areas of special concern, lakes, riparian, mature birch Cariboo-Chilcotin Land Use Plan retention, grasslands, scenic areas, trails, high http://ilmbwww.gov.bc.ca/slrp/lrmp/williamslake/ca value wetlands for moose and grizzly. riboo_chilcotin/index.html There are other district-level strategic land use Land & Resource Management Plan plans such as the Kamloops and Okanagan- www.ilmb.gov.bc.ca/slrp/lrmp/kamloops/kamloops Shuswap LRMPs which have also enhanced the /index.html system of protected areas within the Southern Interior Region of BC, Okanagan-Shuswap LRMP www.ilmb.gov.bc.ca/slrp/lrmp/kamloops/okanagan 2

/index.html Land and Marine Planning http://ilmbwww.gov.bc.ca/category/region/souther n-bc 4. Wood harvested from 4.1 There is no net loss AND no significant The State of British Columbia’s Forests Third British Columbia contains vast and diverse areas being converted rate of loss (> 0.5% per year) of natural Edition 2010 forests and rangelands. Almost 60% (55 million from forests and other forests and other naturally wooded hectares) of B.C.′s 95 million hectares is wooded ecosystems to ecosystems such as savannahs taking www.for.gov.bc.ca/hfp/sof/2010/SOF_2010_Web. classified as forest land. Overall, less than 3% plantations or non- place in the eco-region in question. pdf of B.C.′s original forest has been converted to forest uses The district human (non-forest) use. of origin may be Low risk considered low risk in Since 1850, ecosystem conversion to relation to conversion of agriculture, reservoirs, urban areas, and other forest to plantations or land uses has occurred on 2% of the province. non-forest uses when the following indicator is present: 5. Wood from forests in a) There is no commercial use of Tree Improvement Branch The Tree Improvement Branch of the Ministry of which genetically genetically modified trees of the species www.for.gov.bc.ca/hti/grm/generesource.htm Forests, Lands and Natural Resource modified trees are concerned taking place in the country or Operations is not involved in any genetic planted The district of district concerned engineering, gene insertion, gene splicing or origin may be considered b) Licenses are required for commercial biotechnology that results in genetically modified Low risk low risk in relation to use of genetically modified trees and there organisms. The Branch ensures that no wood from genetically are no licenses for commercial use genetically modified tree seed is registered or modified trees when one c) It is forbidden to use genetically modified used in operational forest planting on Crown land of the following indicators trees commercially in the country in British Columbia. is complied with: concerned

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