SAPPI LIMITED

The following table sets forth sales by product for Sappi Southern Africa’s operations:
Year ended September
2010 2009 2008
Sales (US$ million):
Commodity paper products (1) ................... 452 355 474
Chemical cellulose ........................... 604 366 453
Woodfree and speciality papers ................. 380 321 385
Paper pulp (2) ............................... 59 77 93
Timber and timber products .................... 676 50 74
Total ...................................... 1,561 1,169 1,479
(1) Includes newsprint and packaging products.
(2) The Usutu Pulp mill was closed in January 2010.
For the years ended September 2010 and 2009, Sappi Southern Africa sold approximately
2,345,700 tonnes and 2,160,500 tonnes respectively, of paper, pulp and forest products.
The following table sets forth annual production capacity with respect to Sappi Southern Africa’s
products:
Production capacity: (’000 tonnes)
Paper products
Packaging paper ........................................ 690
Newsprint ............................................. 140
Coated woodfree paper ................................... 80
Uncoated (1) ............................................ 270
Total ...............................................
Pulp
1,180
Chemical cellulose ....................................... 800
Paper pulp (3) ........................................... 1,025
Total ............................................... 1,825
Timber products (2) ...................................... 43
(1) Includes 30,000 tonnes of tissue manufactured at the Stanger mill and 14,000 tonnes of kraft paper manufactured
at the Enstra and Adamas mills.
(2) Represents 85,000 cubic meters.
(3) Excludes 190,000 tonnes for the Usutu Pulp mill which ceased production in January 2010.
Facilities and Operations
Sappi Chemical Cellulose
Saiccor was established in 1951 and was acquired by us in 1988. It is the world’s largest single
low-cost producer of chemical cellulose. In 1995, we completed an approximately US$ 221 million
expansion project to increase capacity by one third to approximately 600,000 tonnes per annum. Capital
expenditures during the period from October 2005 to the end of September 2010 were approximately
US$ 615 million. Included in this period were a modernization project to de-bottleneck production at
Saiccor at a cost of US$ 40 million and an amount of US$ 551 million spent on an expansion project to
increase Saiccor’s chemical cellulose capacity to approximately 800,000 tonnes per annum.
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