News Release

Japan Pulp and Paper Company Limited (Japan Pulp and Paper) hereby announce the establishment of a new pulp and paper trading company in South Korea.

The Japan Pulp and Paper Group has been advancing trade with Korea in a number of ways for many years. In January 2007, we took this one step further and established a representative office in Seoul in order to conduct market research and further strengthen our business relationships with both end users and paper manufacturers.

As an importer of raw materials used in the manufacture of paper and also an exporter of paper products, Korea is well positioned to increase its presence in the increasingly globalized paper market.

Moreover, Japan Pulp and Paper has been furthering its trade with Asia-Pacific rim countries to the extent that 90% of its overseas operating bases have been established and are now operating within the region. In anticipation of the Asian market’s long-term future economic development and as an indication of the Japan Pulp and Paper Group’s commitment to expanding its network in the region, the Company established Japan Pulp & Paper (Shanghai) Co., Ltd in 2005 and also opened its Taipei Representative Office the following year.

Based on the Company’s overseas marketing strategy and growing trend towards the Korean market, combined with the pursuit of more proactive market development, the Company established its new subsidiary, Japan Pulp & Paper (Korea) Co., Ltd, taking over the daily operations of its Korean business partner and fellow paper merchant, D. H. Trading. In addition to the strong relations that D. H. Trading has cultivated with Korean paper manufacturers and customers, Japan Pulp and Paper intends to further expand its business activities throughout the global market from its new base in Korea, fully utilizing business activities nurtured over many years through the Company’s close relations with paper manufacturers and customers in the domestic Japanese market.