1. “A Look Recovered Paper Grades” What Is Happening and Why ?

2. What is the “Paper Industry?” US PAPER MANUFACTURING PAPER TISSUE GRADES PRINTING & WRITING GRADES Newsprint Free Sheet Printing and Writing PAPERBOARD Kraft Paperboard Kraft Linerboard Bleached Paperboard Recycled Paperboard

3. Who are the Mills in Our Market?  Newsprint  SP Newsprint, Dublin, GA  Augusta Newsprint, Augusta GA (Abitibi-Bowater)  Bowater, Coosa Pines, AL (Abitibi-Bowater)  Tissue  Kimberly Clark – Mobile, AL  Kimberly Clark – Loudon, TN  SCA North America – Barton, AL  Georgia Pacific – Rincon, GA  Paperboard  Smurfit-Stone – Jacksonville, FL  International Paper – Prattville, AL  Smurfit – Stone – Stevenson, AL  Temple Inland – Rome, GA

4. US Paper Production YTD 2009 vs. 2008 Grade 2009 YTD 2009 YTD 2008 YTD % Change Decrease in Tons Newsprint572,000815,977-28.9%243,977 Tissue1,185,0001,220,391-2.9%35,391 Paperboard6,917,0008,323,706-16.9%1,406,706 Total Paper & Paperboard 12,303,00015,077,205-18.4%2,774,205

5. WHY?  Printing and Writing Grades  Newsprint Consumption is based on Advertising Sales  Coated Newsprint is used to print this Advertising  Printing / Writing Grades are tied to Active Businesses.  Tissue Grades  Used primarily for personal use  Away from home tissue products are the reason for decline  Paperboard  Used primarily for packaging products.

7. EFFECTS ON RECOVERED FIBER?  Reduced Orders to Consuming Mills  Lower Sales Price for Recovered Paper / Mill Downtime  Mills Taking Unprecedented Steps to Insure Survival  Panic!

8. What Can Recyclers Do?  DON’T PANIC!  Why did we begin recycling?  What are the Alternatives?  Landfill?  Understand that Recovered Fiber is a Commodity  Educate the Public  Fiber is not being land filled, there is still demand for material  Inexpensive raw material supports Mills