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Reno De Medici - Cascades

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120<br />

110<br />

100<br />

90<br />

80<br />

70<br />

104<br />

100<br />

Source: Bloomberg.<br />

YTD 2011 INPUT COST INFLATION<br />

North American selling price/raw material cost spread<br />

(manufacturing)<br />

117<br />

114<br />

(17)%<br />

99<br />

97<br />

Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11<br />

Spread in US$/s.t. Spread in Can$/s.t.<br />

(US$/<br />

bushel)<br />

8<br />

Main drivers for <strong>Cascades</strong>' chemical input costs<br />

+90%<br />

YTD 2011 financial results impacted by signification variable cost inflation<br />

7<br />

6<br />

5<br />

4<br />

3<br />

Jan<br />

10<br />

Mar<br />

10<br />

May<br />

10<br />

3.41<br />

July Sept Nov Jan Mar May July<br />

10 10 10 11 11 11 11<br />

Corn (left axis) Oil (right axis)<br />

Sept<br />

11<br />

(US$/<br />

barrel)<br />

120<br />

6.47<br />

93<br />

9<br />

110<br />

100<br />

90<br />

80<br />

70<br />

60

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