BillerudKorsnäs reported strong first quarter results for 2011, with operating profit of MSEK 332, a 12% increase in net sales, and record sales volume of 369 ktonnes. Packaging paper continued strong results due to good order situation and price increases. Market pulp results were lower due to stronger SEK and higher costs, though price increases were announced. Outlook remains positive with announced price increases expected to impact future quarters and currency hedges compensating SEK strength.

1. INTERIM REPORT
JANUARY-MARCH 2011
Per Lindberg, President and CEO
Bertil Carlsén, CFO
20 April, 2011 1

2. AGENDA
• Highlights
• Development by Business Area
• Financials
• Outlook
2

3. HIGHLIGHTS IN Q1 2011
• Strong Q1 results
» Operating profit of MSEK 332, margin 13%
» Top line growth of 12% vs. Q4
• Sales volume record – 369 ktonnes
• Continued strong results for
packaging paper
» Strong order situation
• Good results in Market Pulp
» Pulp market balance remained stable
3

4. CONTINUED INCREASE IN NET SALES & EBIT
Net sales EBIT
3 000 400
350
2 500 +2%
+12%
300
2 000
250
MSEK
MSEK
1 500 200
2 547 332
326
2 279 150
1 000
100
500
50
0 0
Oct-Dec 2010 Jan-Mar 2011 4 Oct-Dec 2010 Jan-Mar 2011

5. BUSINESS AREAS & SEGMENTS
PACKAGING & PACKAGING BOARDS
SPECIALITY PAPER S/C Fluting, Liner, Liquid Board
Kraft & Sack Paper
MARKET PULP
Nordic Bleached
Softwood Kraft Pulp
Note: Graph shows sales breakdown per
business area for Jan-Mar 2011. 5

6. PACKAGING & SPECIALITY PAPER
Market situation in Q1 2011
• Continued very good order
situation for the season for sack
paper and slightly below Q1 2010
Consumer
level for kraft paper Building &
construction
• Increased price level in local
currency for most products vs. Q4
Food
• Additional price increases have
been announced
6

7. PACKAGING & SPECIALITY PAPER
Financials – Q1 2011 vs. Q4 2010
160
• Operating profit up by MSEK 9 140
120
• +24% increase in sales volume
EBIT, MSEK
100
• Price improvements and higher
80
60
sales compensated for a stronger 40
SEK and higher variable costs 20
0
Q1 Q2 Q3 Q4 Q1
2010 2011
Q1 2011 Q4 2010 Q1 2010 FY 2010
Net sales, MSEK 1,217 1,020 1,052 4,166
Operating profit, MSEK 140 131 96 417
Operating margin, % 12 13 9 10
7

8. PACKAGING BOARDS
Market situation in Q1 2011
• Continued stable order situation
throughout the quarter
• Increased price level in local
currency for most products vs. Q4
• Additional price increases have
been announced
8

9. PACKAGING BOARDS
Financials – Q1 2011 vs. Q4 2010
140
• Operating profit down by MSEK 25
120
100
EBIT, MSEK
• +12% increase in sales volume 80
60
• Price improvements and higher 40
20
sales compensated partly for a
0
stronger SEK and higher variable -20
Q1 Q2 Q3 Q4 Q1
costs
2010 2011
Q1 2011 Q4 2010 Q1 2010 FY 2010
Net sales, MSEK 728 648 613 2,428
Operating profit, MSEK 97 122 56 271
Operating margin, % 13 19 9 11
9

10. MARKET PULP
Market situation in Q1 2011
• Pulp market balance remained
stable
• Price level in Europe increased
during Q1
» 980 USD/ton end of Q1 vs. 950
USD/ton end of Q4
• An additional price increase has
been announced
» 1 010 USD/ton as of April 1, 2011
10

11. MARKET PULP
Financials – Q1 2011 vs. Q4 2010
120
100
• Operating profit down by MSEK 15 80
EBIT, MSEK
60
• Stronger SEK and increased 40
variable costs 20
0
-20
-40
Q1 Q2 Q3 Q4 Q1
2010 2011
Q1 2011 Q4 2010 Q1 2010 FY 2010
Net sales, MSEK 436 450 384 1,731
Operating profit, MSEK 38 53 31 276
Operating margin, % 9 12 8 16
11

12. Q1 IN SUM
• Strong Q1 results
» Both in terms of margin and net sales
growth
» Sales volume record – 369 ktonnes
• Continued strong results for
packaging paper
• Product and business development
continues
12

13. FINANCIALS
13

14. QUARTERLY KEY FIGURES
vs. Q4 vs. Q1
Q1 2011 Q4 2010 Q1 2010
2010 2010
Sales volume (ktonnes) 369 323 343 +14% +8%
Net sales, MSEK 2,547 2,279 2,190 +12% +16%
Operating profit, MSEK 332 326 234 +2% +42%
Operating margin 13% 14% 11% -1 p.p. +2 p.p.
Profit/share, SEK 2.28 2.19 1.52 +4% +50%
Net debt/equity ratio 0.05 0.03 0.24 -0.02 +0.19
14

15. EBIT BRIDGE Q1 2011 vs. Q4 2010
450
+46
400
+51
350
-75 +13 332
326 +49
300
-78
250
MSEK
200
150
100
50
0
EBIT Sales & Selling prices Effects of Change in Change in Change in EBIT
Q4 2010 production (in respective exchange rate variable costs fixed costs depreciation Q1 2011
volumes* sales fluctuations,
currency) incl. hedging
* Includes product mix.
15

16. CONTINUED STRONG MARGIN TREND
14%
13%
12%
EBIT margin, rolling 12 months (%)
11%
10% Financial
target
9%
8%
7%
6%
5%
4%
3%
2%
1%
0%
-1% FY 06 FY 07 FY 08 FY 09 FY 10
-2%
16

17. CASH FLOW
MSEK
Q1 2011 Q1 2010
Operating surplus, etc 481 379
Change in working capital, etc. -301 -88
Net financial items, taxes, etc. -181 -30
Cash flow from operating activities -1 261
Current net investments -82 -50
Business combinations - -
Operating cash flow -83 211
Dividend - -
Other items, not affecting cash flow -6 -35
Change in net debt 1) -89 176
1) Minus equals increase in net debt
17

18. DSO days
09
01
0
10
20
30
40
50
60
70
09 31
04
09 30
07
09 31
10
10 31
01
10 31
04
10 30
DSO
07
10 31
10
11 31
01
31
% of total receivables
09
01
0,0
1,0
2,0
3,0
4,0
5,0
6,0
09 31
04
09 30
07
09 31
10
10 31
01
10 31
18
04
10 30
07
Overdue
10 31
10
11 31
01
31
WORKING CAPITAL KEY RATIOS
Working capital (excl. IAS)/quartely net turnover
0%
10%
20%
30%
40%
50%
60%
70%
09
03
09
06
09
09
09
12
10
03
10
06
10
09
10
12
11
03
WC as % of quarterly sales

19. MARKET PRICES AFFECTING RESULT
Electricity index (Sweden*) Wood price index
160
280 150
240 140
130
200 120
160 110
100
120 90
80 80
2004 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 2004 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4
2005 2006 2007 2007 2008 2009 2010 2010 2005 2006 2007 2007 2008 2009 2010 2010
Source: Nordpool. *Price area Sweden Source: Billerud
Market Pulp (USD/t) TCW index
1 000 118
950 115
900 112
850 109
800 106
750
103
700
650 100
600 97
550 94
2004 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 2004 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4
2005 2006 2007 2007 2008 2009 2010 2010 2005 2006 2007 2007 2008 2009 2010 2010
Note: Average price for the quarter Source: Riksbanken
19

20. CURRENCY EFFECT OF A STRONGER SEK
Average rate Average rate Spot rate vs. vs.
Q1 2011 Q4 2010 17 Apr 2011 Q4 2010 17 Apr 2011
EUR 8.87 9.22 8.96 -4% -1%
USD 6.48 6.78 6.26 -4% +4%
GBP 10.39 10.72 10.21 -3% +2%
How do we manage?
• Price increases
• Hedging in the short-run
• Customer and market mix to some extent
20

21. CURRENCY SITUATION
• Profit effect of net flow hedging
MSEK 99 for Q1 2011 (117) Apr-Jun Jul-Sep Oct-Dec Jan-Mar Total 12
2011 2011 2011 2012 months
• Market value of outstanding
Average Average Average Average Average
contracts not relating to hedged hedged hedged hedged hedged
accounts receivables was currency currency currency currency currency
rates rates rates rates rates
MSEK 132 (as of 31/3-11) (hedged net (hedged net (hedged net (hedged net (hedged net
• Hedge level 12 months
flows) flows) flows) flows) flows)
forward:
9.23 9.19 9.41 9.48 9.31
EUR 58%
(85%) (51%) (49%) (47%) (58%)
7.12 7.50 6.82 6.60 7.14
USD 50%
(88%) (61%) (35%) (16%) (50%)
10.79 10.77 10.74 10.64 10.76
GBP 51%
(86%) (54%) (42%) (20%) (51%)
Note: Data in table and graph are as of 31 March 2011
21

22. OUTLOOK
22

23. OUTLOOK FY 2011
• The order situation remains good or
very good in most of Billerud’s
packaging paper areas. This provides
conditions for a stable development
within Billerud’s packaging paper and
packaging paper solutions segments.
• Price increases announced in the first
quarter of 2011 are expected to have
an impact in the coming quarters.
• The effects of a stronger SEK will be
largely compensated by currency
hedges.
23

24. Q&A
24