5-2010

INTERNATIONAL RECYCLING GROUP HONORS INDAH KIAT SERANG

MILL WITH PAPYRUS AWARD

For the first time, Bureau of International Recycling praises Asian company for
significantly increasing its use of recovered paper

Receiving the Papyrus Award at BIR World Recycling Convention

in Brussels, Belgium on 24 October 2010

One of Asia Pulp & Paper (APP) group’s mill, the PT Indah Kiat Pulp & Paper Serang mill, is the first
Asian company to be honored with the Papyrus Award by the Bureau of International Recycling (BIR),
recognizing its commitment to paper recycling. Indah Kiat Serang produces various types of packaging
products that are distributed globally. Around 82 percent of IKS raw material is post consumer waste
paper, collected from every corner of the world.

The Papyrus Award, first presented in 2008, recognizes individuals or organizations that have made a
significant contribution to paper recycling. The prize was presented to Indah Kiat Serang (IKS) by BIR
World President Dominique Maguin and members of the BIR paper division board at the BIR world
recycling convention in Brussels, Belgium, on October 24. BIR is the oldest recycling industry
organization, founded in 1948. Its goal is to promote recycling and recyclability to conserve natural
resources, protect the environment and facilitate the free trade of secondary raw materials.

“The mill has substantially increased its recovered fiber use over the last five years and has worked
hard to promote sustainability and partnerships with the recovered paper industry,” said Ranjit Baxi,
BIR paper division president during the award presentation to the media. He cited Indah Kiat’s practice
of using recovered paper from around the world as raw material for its paper production.

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The mill achieved ISO 9001 certification in 1995 and the ISO 14001 environmental management
certification nine years later.

Recycling is critically important to APP. The company recycles waste paper, reuses its treated water,
reduces its reliance on traditional fossil fuels by recycling timber scrap, and using black liquor, which is
a by-product of the pulping process. Companywide, approximately 35 percent of the pulp used by APP
to produce paper is manufactured from recycled fiber.

The largest producer and exporter of pulp and paper products in Indonesia, APP contributes
significantly to the sustainability of Indonesia’s economy with seven mills in Sumatra and Java. APP
employs more than 70,000 people directly and indirectly.

Further, APP and its pulpwood suppliers allocated more than USD 40 million each year in 2007 and
2008 for poverty alleviation, community empowerment programs as well as environmental investment.
APP offers communities around its mills and plantations a variety of education, training, and
empowerment programs, including health care initiatives, supplies of clean water and electric power.

APP is one of the largest recycled paper producers in Asia.

Jakarta, 22 November 2010

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