SAPPI LIMITED

The following table sets out the approximate annual production capacity of Sappi Fine Paper’s
products as of September 2010.
Annual Production Capacity
North
America Europe Total
Production capacity: (’000 tonnes)
Woodfree paper
Coated (1)(2) .............................. 1,160 3,925 5,085
Uncoated ............................... — 285 285
Total (3) ................................ 1,160 4,210 5,370
Paper pulp ............................... 945 1,175 2,120
(1) Includes coated woodfree paper, coated mechanical paper and speciality papers.
(2) Excludes 210,000 tonnes for the Kangas mill which ceased production during January 2010.
(3) Excludes Chinese joint venture tonnes.
Facilities and Operations
Sappi Fine Paper North America
Sappi Fine Paper North America is a leading producer and supplier of coated woodfree paper in the
United States. Sappi Fine Paper North America also produces coated speciality papers and, from time to
time, uncoated woodfree papers.
Sappi Fine Paper North America is headquartered in Boston, Massachusetts, and operates three
paper mills in the United States in Somerset, Maine; Westbrook, Maine; and Cloquet, Minnesota. These
three mills have a total annual production capacity of approximately 1.2 million tonnes of paper and
approximately 0.9 million tonnes of paper pulp, which represents approximately 117% of Sappi Fine
Paper North America’s pulp requirements. This significantly reduces Sappi Fine Paper North America’s
exposure to fluctuations in the price of market pulp that are not driven by fluctuations in wood or other
major raw material prices. Coated paper accounted for approximately 79% and 75% of Sappi Fine Paper
North America’s sales in fiscal 2009 and fiscal 2010, respectively. Speciality paper and pulp accounted
for 21% and 25% of our sales in fiscal 2009 and 2010, respectively.
The following table sets forth sales by product for our North American operations.
Year ended September
2010 2009 2008
Sales: (US$ million)
Coated woodfree paper ..................... 1,024 1,021 1,273
Speciality paper and other (1) .................. 349 274 391
Total ................................. 1,373 1,295 1,664
(1) Other consists primarily of market pulp.
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