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CELLMARK FINANCIAL SUMMARY 2020 Bridging the Distance FINANCIAL SUMMARY THEME SMÖGENBRON, SWEDEN

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CELLMARK FINANCIAL SUMMARY 2020 Bridging the Distance FINANCIAL SUMMARY THEME SMÖGENBRON, SWEDEN CELLMARK FINANCIAL SUMMARY 2020 Bridging the distance FINANCIAL SUMMARY THEME SMÖGENBRON, SWEDEN Bridging the distance The theme of this Financial Summary 2020 was a very special year that had an immense impact on everyone and everything – professionally and personally. This is especially true for a company that provides products, services, and solutions to a global market. How well we succeed from this point on, will be determined largely by our ability to work together in the face of brand new challenges. This is the time to grow and deepen relationships; between colleagues, countries, and cultures – made all the more difficult by the need for social distancing. The only way to keep surpassing expectations with passion and purpose, becomes clear: first and foremost, it will be about bridging the distance that the pandemic has made necessary. To keep connecting, staying close, and working together over great distances. To focus on our global advantages, and not yield to isolation. Bridging the distance is the way forward, and therefore it is also the theme of this Financial Summary. Photo: Stefan Kaffeemann 2 3 VALUE PLATFORM Value Platform Additionally: VISION The bedrock of all our actions • We empower each other to be creative and decisive. We are company of ”Surpassing global entrepreneurs, where we generate ideas and welcome change. Expectations” • We care about the future welfare, health and well-being of our people, our business partners, and the communities where we are present. MISSION Our vision • We build strong, agile teams of dedicated people with a results- ”We deliver products, is Surpassing Expectations. oriented work ethic to align towards common goals. We develop services, and solutions long-lasting relationships while having fun. to the world market” Our mission • We are supportive, promote open dialogues, and treat each is to deliver products, services, and solutions to the world market. other with respect. We celebrate our accomplishments and learn from our experiences. Our Guiding Principles are the bedrock of all our actions. Integrity is the foundation of our • We develop tools, training, and guardrails to facilitate CORE VALUES relationships, with each other, and with our business partners. sustainable growth. ”CellMark Guiding Principles” ST MICHAEL’S BRIDGE Ghent, Belgium CELLMARK IN GHENT CellMark has one office in Ghent, represented by our Basic Materials Division. The office specializes in the iron foundry business and offers almost all consumables and equipment a foundry could possibly need. 4 5 TOKYO GATE BRIDGE, TOKYO GUARDIAN OF THE HOLY MOUNTAIN Designed to increase traffic flow through the Port of Tokyo, the Tokyo Gate Bridge is a powerful example of when sustainable development meets new technology. Meeting the demands of both the marine industry and the nearby airfield took a lot of creative thinking, that in turn has already influenced the construction work of many subsequent bridges. CELLMARK IN TOKYO One of our CellMark companies, CellMark Japan Co., Ltd., is based in Tokyo. With impressive market experience, CellMark Japan is handling metals, chemicals, and energy products with excellence. 6 7 A WORD FROM THE PRESIDENT CHRISTER SIMRÉN, A WORD FROM THE PRESIDENT: A year like no other remotely from home during 2020. This made it possible to continue our close rapid change made demands on our IT partnerships by committing to new standards and support systems. But, ways of communication and collabora- Closing the books on 2020 we coped well with the situation, and tion. As always, we value our relation- the experience gave us great learning ships highly and are pleased with and further preparation for the future. the confidence our partners put We have expanded our thoughts on in our professionalism. how we can apply more flexibility in how we work, while also continuing to live Now, 2021 is here – and we 2020 is a year that none of us will ever basic chemicals competencies, in order Connecticut, which will support the our vision of Surpassing Expectations. are more than ready. forget. In the first quarter, the COVID-19 to provide even more value to our business with ingredients for food, pandemic hit the world with its full customers and suppliers. I am pleased nutraceutical, pharmaceutical, animal Building upon our strategy in 2019, we power and forced us to adapt to a new to declare that our new division, nutrition, and vitamins. It is a great remained focused on our core business Christer Simrén situation with unexpected challenges especially the basic chemicals business, investment that will add value to the during 2020. We aim to grow and diver- President & CEO and uncertainty. At CellMark, we acted performed a record result in 2020. company for many years to come. sify within, or very close to, the core quickly and took decisive measures business areas where we have our most for our supply chain to remain fully CellMark Recycling had their best year CellMark Packaging continued to solid experience and knowledge. Other operational. Once again – thanks to our ever. Even within this volatile environ- broaden the base of its products and focus areas that were important for us most valuable assets, our people – we ment, our trading group did an out- suppliers serving the world market, during the year included sustainability, proved that we know how to use our standing job. The division completed including packaging grades adapted integrity, and risk control. These areas agility and flexibility to pivot in times of the acquisition of Rocky Mountain to novel distribution and packaging will remain in our focus during 2021. uncertainty. Perhaps most importantly Recycling Services, a major supplier methods. Fiber based packaging will is that CellMark managed to make and valued strategic partner for the continue to grow in importance, driven We carried on with the process of continual financial progress and stay last 20 years. Moreover, we started up by sustainability requirements and how modernizing our IT landscape and profitable – a streak we have kept since a new CellMark Recycling company, we consume goods. CellMark will be an improving our cyber security. the company was founded in 1984. Charleston Recycling Services (CRS). important partner in this development. We will continue our IT and digital Recycling is becoming even more modernization journey in 2021. Given the circumstances, we managed important for the future, and CellMark CellMark Pulp delivered a stable and to deliver a satisfactory result for 2020. is a leading force in both sustainability satisfactory result. Several partner- As always, we continued our support While many companies had their and value creation. ships were added, and the business for the PaperSeed Foundation, a toughest year ever, we relied upon our continues to broaden and diversify non-profit organization dedicated to diversification and the fact that we CellMark Paper had a demanding year, into related fiber applications. Pulp will strengthening educational oppor- operate across multiple industries. This suffering from continued and unprece- always be a fundamental base to a tunities for children and youth around is a unique strength that, over the years, dented deterioration in graphic paper variety of grades and end uses. It has the world. As there is likely to be less has helped us to remain successful and demand. The division implemented contributed to CellMark’s success since money available for education in the competitive through ups and downs. a successful realignment in order to our foundation more than 36 years ago, wake of the pandemic, PaperSeed’s reduce operational costs while ensuring and this will remain for the future. dedicated work is now more important In September, we introduced a new flexibility and adaptability for the than ever. division: CellMark Basic Materials. business. I am very satisfied with this The COVID-19 pandemic not only This division is the result of merging progress and optimistic for the future. affected the markets, but also many In no other year could the theme of two of our divisions, CellMark Metals companies’ way of working. CellMark this Financial Summary, “Bridging the and CellMark Basic Chemicals. The CellMark Chemicals had a satisfactory was no exception. To stop the spread Distance”, be more relevant or impor- aim of the new division is to combine year. The division opened a new of the virus, a major percentage of our tant as during 2020. We are genuinely the best of CellMark’s metals and manufacturing facility in Naugatuck, employees had to switch to working grateful to our partners who have 8 9 ABOUT CELLMARK FREDVANG BRIDGES, FREDVANG Our company Excellence in supply chain services CellMark is a privately-owned inde- The company is privately held and Relationships pendent marketing and supply chain owned by its employees and an outside CellMark has established its position services company providing products, corner investor, Ernström & Co., who through long-term relationships and services, and solutions to customers helps us achieve our strategic objec- consistent performance. Our global and suppliers all over the world. We tives. Our annual sales are approxi- network affords our various professionals facilitate trade and business develop- mately USD 2.5 billion, with volumes of with an in-depth understanding of even ment across multiple industries using almost 7 million tons annually. CellMark small changes in the market’s culture our vast network of local offices and takes pride in contributing to global and mechanics. It also facilitates professional expertise. sustainability efforts and is committed superior, day-to-day interaction with to strengthening educational oppor- clients. This structure helps us continu- Through a network of 70-plus offices in tunities through support of the Paper- ously guide and support customers. 30-plus countries, we provide a full suite Seed Foundation. of services: sourcing, sales & marketing, As we are constantly reminded, environ- exclusive representation, finance, Background ments shift quickly and without warning.
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