SCA is acquiring and divesting operations in AFH tissue segment

SCA is acquiring and divesting operations in AFH tissue segment SCA is acquiring the French development company Segas. The company is SCA's most important supplier of dispensers used in the European and North American AFH (Away-From-Home) markets (tissue for bulk consumers). The seller is Paredes, the French distribution company that is simultaneously acquiring SCA's distribution company Apura in the hygiene paper products segment in France. Strategically, with the acquisition of Segas, SCA is gaining control over the production, development and patent rights pertaining to a competitive dispenser system for so-called hard-rolled tissue paper products. However, the seller will continue to be responsible for the distribution and sale of dispenser systems in France and, during a transitional period, in Italy. Concurrently, as is the case in other European markets, SCA will refrain from conducting its own distribution operations in the hygiene segment. Consequently, SCA can freely choose different distribution and sales channels and avoid competition with its own customers. The acquired operation has annual sales of approximately EUR 10 M and the divested operation has sales of about EUR 60 M. The margin difference between the respective operations and the net purchase amount to SCA of EUR 7.2 M means that the transaction has a neutral effect on the Group's net earnings. The transaction requires approval by relevant competition authorities regarding Paredes' acquisition of Apura. Stockholm, 18 March 2003 SVENSKA CELLULOSA AKTIEBOLAGET SCA (publ) Communications and Investor Relations For further information, please contact: Jan Åström, President and CEO. Phone: +46 70 586 07 01 Peter Nyquist, Senior Vice President Communications and Investor Relations. Phone: +46 70 575 29 06 ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2003/03/18/20030318BIT00860/wkr0001.doc http://www.waymaker.net/bitonline/2003/03/18/20030318BIT00860/wkr0002.pdf

About Us

The core of SCA’s business is the forest, 2.6 million hectares in northern Sweden. Around this unique resource, we have built a well-developed value chain based on renewable raw material from our own and others’ forests. We offer paper for packaging and print, pulp, wood products, renewable energy, services for forest owners and efficient transport solutions. 2016 the forest products company SCA had approximately 4,000 employees and sales amounted to approximately SEK 15,4 bn (EUR 1,6 bn). SCA was founded in 1929 and has its headquarters in Sundsvall, Sweden. More information at www.sca.com.

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