KPresentation2008 4Q Ing

8/6/2019 KPresentation2008 4Q Ing

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Institutional Presentation - 2008

March 2009March 2009March 2009


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Shareholder StructureShareholder Structure12/31/200812/31/2008

600,855,733 shares316,827,563 shares

Family Control + Professional Management

IPO in 1979

Average dailytrading volumeR$ 7.9 million

Market Value ofR$ 3 Bi

Preferred

BrazilianInvestors;

41%

BNDESPAR;31%

ForeignInvestors;

25%

TreasuryStock; 3%

Common

Klabin Irmos;

54%

BrazilianInvestors;

26%

MonteiroAranha; 20%


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100% integrated100% integrated

Pinus

155,000 ha

Lands

449,000 ha

Eucalyptus

69,000 ha

OCC

300 Kt

Wood

2,5 mi t

Industrialbags

160Kt

CorrugatedBoxes

540 Kt

Coated boards

740 Kt

Recycledpaper

Kraftliner

500 Kt

+

NBSK BEKP and UEKP CTMP

Notes: All figures refer to installed production capacity

NBSK Northern Bleached Softwood pulp / BEKP Bleached Eucalyptus Kraft Pulp / UEKP Unbleached eucalyptus Kraft Pulp

CTMP Chemi-thermomechanical Pulp / OCC Old Corrugated Container

Pulp 1.7 million t

250 Kt


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Coated boards Corrugated boxes Industrial BagsKraftliner

Company profileCompany profile

Paper Packaging

Net revenue: R$ 3,098 million in 2008

Forestry

#1 in Brazil

Notes: In 2008, 2% of net revenue was composed of other products.

LPB Liquid Packaging Board / FBB Folding Box Board / CB Carrier Board

Wood logs

Bags

LPB FBB CB

#1 in Brazil #2 in Brazil #1 in Brazil

6% 18% 30% 31% 13%

#1 in Brazil #1 in Brazil #1 in Brazil #1 in Brazil


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ForestryAlto Paranapanema (SP)Planalto Catarinense (SC)

Campos Gerais (PR)

Industrial Bags

Lages (SC)Pilar (Argentina)

Goiana (PE)

Corrugated packagesGoiana (PE)

Feira de Santana (BA)Betim (MG)

Del Castilho (RJ)

Jundia (SP)Piracicaba (SP)

Itaja (SC)

So Leopoldo (RS)

Recycled PapersGoiana (PE)Guapimirim (RJ)

Ponte Nova (MG)Piracicaba (SP)

PapersAngatuba (SP)Correia Pinto (SC)

Otaclio Costa (SC)

Telmaco Borba (PR)

KlabinKlabins presences presence

ARGENTINA

URUGUAI

PortsSuape (RN)Santos(SP)

Paranagu (PR)

Itaja (SC)So Francisco do Sul (SC)


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Business and MarketsBusiness and Markets


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ForestsForestsForestry baseForestry base

Company Land

Planted Forests

thousand ha

449

224

Pine

Eucalyptus15569

187

Land and Forests 12/31/2008

Native preserved forests

Paran

Santa Catarina

Km

42

76

66

Average Hauling Distance

So Paulo

Correia Pinto

Otaclio Costa

95


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WoodWoodHousing startsHousing starts

"US New Privately Owned Housing Units Started"Seasonally Adjusted Annual Rate

Thousands

0

500

1,000

1,500

2,000

2,500

Jan-00

Jul-00

Jan-01

Jul-01

Jan-02

Jul-02

Jan-03

Jul-03

Jan-04

Jul-04

Jan-05

Jul-05

Jan-06

Jul-06

Jan-07

Jul-07

Jan-08

Jul-08

Housing Units Average

Source: US Census Bureau


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Kraftliner Export SalesKraftliner Export SalesVolume and PricesVolume and Prices

Source: FOEX Kraftliner Brown 175 g/m

20

40

60

80

100

120

140

160

1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08

0

100

200

300

400

500

600

700

800

900

Klabin Volume Kraftliner price (free delivered Europe)

US$ / tonnethousand

tonnes

679

797

657

719


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-

50

100

150

200

250

300

350

400

Monte

Alegre

Poland

Brazil

USA

South

Africa

Oth

ersLA

Russia

C

anada

Po

rtugal

OthersE

urope

S

weden

France

A

ustria

Fibers Chemicals Energy Labor Others

KraftlinerKraftlinerCost competitivenessCost competitiveness

Average cash cost (FOB)

Source: RISI Analytical Cornerstone 4Q08

US$ / tonne

20million t

378

352

306

286276

231

capacity

10million t


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KraftlinerKraftlinerBrazilian Exports 2008Brazilian Exports 2008

Source: Bracelpa

Brazilian ExportBrazilian ExportMarket ShareMarket Share

Klabin ExportKlabin Exportdestinationsdestinations

Klabin; 76%

Cocelpa; 4%

Orsa; 3%

Others; 13%

Rigesa; 9%

Irani; 4%

America

54%Europe

33%

Africa

8%

Middle

East

4%

Far East

1%


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3 2 % 3 4 % 3 2 % 3 2 %

3%13%

18%2 1%15%

10%

13% 13%13%

12%

8 % 7%

13%

11%

10%9 %

16% 19 % 19 %

2 7%

1995 2000 2007 2008

Suzano Klabin R ipasa P apirus Ibema Itapag Outro s

Source: Bracelpa - 2008

Coated BoardsCoated BoardsKlabin's Market Share EvolutionKlabin's Market Share Evolution

Sales in the domestic market (excluding LPB) 1995 / 2008

508 MM t504 MM t


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Coated Boards Export SalesCoated Boards Export SalesVolume and PricesVolume and Prices

0

10

20

30

40

50

60

70

80

1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08

500

600

700

800

900

1.000

1.100

1.200

Klabin Volume Coated Boards List Price* (Delivered USA)

thousandtonnes US$ / tonne

Source: RISI Index List Price

* 20Pt. Clay-Coated Unbleached Folding Cartonboard

970

1,047

1,102

1,014

C t d B dC t d B d


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-

100

200

300

400

500

600

700

800

Monte

Alegre

Brazil

Chile

USA

Poland

Canada

UK

Other

Europe

Finland

S

weden

Fibers Chemicals Energy Labor Others

Coated BoardsCoated BoardsFBB virgin fibers cost competitivenessFBB virgin fibers cost competitiveness

Source: RISI Analytical Cornerstone 4Q08

Average cash cost (FOB)US$ / tonne

7million t

752

495

436

337

748

3million t

capacity


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Global Boards MarketGlobal Boards Market30 million30 million tpytpy

10,900 k tpy

20 k tpy

9,600 k tpy

100 k tpy

8,300 k tpy

100 k tpy

1,720 k tpy

120 k tpy

Source: Pory & Klabin

LPB Liquid Packaging Board

Global market (including LPB)

Klabins market (excluding LPB)

d i lI d i l B


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thousandtonnes

ConsumptionMain Industries

Industrial BagsIndustrial BagsVolume and main industriesVolume and main industries

10

15

20

25

30

35

40

1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08

BuildingIndustry

71%

Seed4%

Food3%

Minerals5%

Chemical4%

Others13%

Sales Volume

I d t i l BI d t i l B


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Industrial BagsIndustrial BagsBrazilian Consumption of CementBrazilian Consumption of Cement

Million tonnes

2,0

3,0

4,0

5,0

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2006 2007 2008

Source: SNIC

Corrugated BoxesCorrugated Boxes


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Corrugated BoxesCorrugated BoxesBrazilian Consumption per MainBrazilian Consumption per MainIndustries and Market ShareIndustries and Market Share

ConsumptionConsumptionMain IndustriesMain Industries

20072007

Market ShareMarket Share20072007

Source: ABPO

Others31%

Klabin20%

Rigesa12%

Orsa10%

Trombini7%So Roberto

4%

Penha6%

INPA3%

Ibria3%

Adami

4%Corrugated

board sheets14%

Beverages4%

Poultry5%

Fruits &Floriculture

8%Chemicals

8%

Other26%

Food36%

Total Brazilian shipments: 2.3 million tonnes

Corrugated BoxesCorrugated Boxes


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Thousand tonnes

140

150

160

170

180

190

200

210

01/02

04/02

07/02

10/02

01/03

04/03

07/03

10/03

01/04

04/04

07/04

10/04

01/05

04/05

07/05

10/05

01/06

04/06

07/06

10/06

01/07

04/07

07/07

10/07

01/08

04/08

07/08

10/08

01/09

Shipments Annual Average

Source: ABPO

Corrugated BoxesCorrugated BoxesBrazilian shipmentsBrazilian shipments

179

157

176180 182

187189

160


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Financial PerformanceFinancial Performance

Klabin's PerformanceKlabin's Performance


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Net RevenueNet RevenueR$ millionR$ million

Sales VolumeSales Volume1,000 tonnes1,000 tonnes

Net RevenueNet RevenueUS$ millionUS$ million

Klabin s PerformanceKlabin s Performance

888 956

549623

1,579

1,437

2007 2008

Domestic Market Export Market

2081 2244

715

852

3,097

2,796

2007 2008

1073

1251

366

462

1,713

1,439

2007 2008

10%10%

11%11%

19%19%

EBITDA d N t D btEBITDA d N t D bt


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EBITDA and Net DebtEBITDA and Net Debt

EBITDA Margin of 24% in 2008EBITDA Margin of 24% in 2008

1.77

1.79

1.75

1.74

1.59

1.67

2.341.911.841.932.05Closing

2.281.671.921.982.11Average

Exchange rate (R$ / US$)

EBITDA

210 199 201

108

191

141155

242

30%28% 28%

16%

26%

18% 20%

30%

1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08

Margem EBITDA (%)

C d N t D btC d N t D bt


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Capex and Net DebtCapex and Net Debt

Forestry52%

Paper39%

CorrugatedBoxes,

IndustrialBags andOthers

9%

Investments and allocation in 2008

400

1.674

587

2007 2008 2009*

* Forecast

250

1,674

Net DebtNet Debt 12/31/0812/31/08


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ForeignCurrency

54%

Local Currency

46%

/ // /ScheduleSchedule

Loans Cash

1,703

479

727

725

2009 2010 2011

The current cash position coversmore than 30 months of debt maturities

1,931

228

1,206

479

DebtR$ million

Net Debt R$ 3,748 million

Net Debt / EBITDA = 5.1x


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Growth StrategyGrowth Strategy


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R$ 2.2 billioninvestmentsconcluded to

reach 2.0million tonnes

capacity

Solid Growth ProspectsSolid Growth Prospects

Maturation ofMA-1100 project

Expansionprogram

Future

Operationalstability and

continuityFinancialdiscipline

Value creation

To prepare

Klabin for thenext growth

cycle

44

22

11

Improving

efficiencies

Increaseproduction capacityfrom 2.0 million tpy

to 3.5 million tpy

Cost reduction andhigher productivity

33

Growth StrategyGrowth Strategy

Klabin at a glanceKlabin at a glance


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Best global

LPB supplier

Best globalBest globalLPB supplierLPB supplier

Top

SustainabilityStandards

TopTop

SustainabilitySustainability

StandardsStandards

Alternativefuels research

AlternativeAlternativefuels researchfuels research

Successful R&D

Track-Record

Successful R&DSuccessful R&D

TrackTrack--RecordRecord

Lowest Cash-Cost ProducerLowest CashLowest Cash--Cost ProducerCost Producer

SolidFinancial

Performance

SolidSolidFinancialFinancial

PerformancePerformanceMarketLeadership and

GrowthOpportunities

MarketMarketLeadership andLeadership and

GrowthGrowth

OpportunitiesOpportunities

Klabin at a glanceKlabin at a glance


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IR Contact

Phone: (55 11) 3046-8404 / 8415 / 8416

www.klabin.com.br

[email protected]

IR ContactIR Contact

Phone: (55 11) 3046Phone: (55 11) 3046--8404 / 8415 / 84168404 / 8415 / 8416

[email protected]@klabin.com.br

Documents

KPresentation2008 4Q Ing