Trading Statement

16 February 2010

 

Mondi Limited
(Incorporated in the Republic of South Africa)
(Registration number: 1967/013038/06)
JSE share code: MND ISIN: ZAE000097051

 

Mondi plc
(Incorporated in England and Wales)
(Registration number: 6209386)
JSE share code: MNP ISIN: GB00B1CRLC47
LSE share code: MNDI

 

Mondi Group: Trading Statement

As part of the dual listed company structure, Mondi Limited and Mondi plc
(together 'Mondi Group') notify both the JSE Limited and the London Stock
Exchange of matters required to be disclosed under the JSE Listings
Requirements and/or the Disclosure and Transparency and Listing Rules of the
United Kingdom Listing Authority.

 

In terms of paragraph 3.4(b) of the Listings Requirements of the JSE Limited,
companies are required to publish a trading statement as soon as they become
reasonably certain that the financial results for the period to be reported on
next will differ by at least 20% from those of the previous corresponding
period.

 

Mondi is currently finalising its results for the year ended 31 December 2009,
which will be released on 23 February 2010. It can now be confirmed that Group
underlying operating profit for the second half of 2009 is expected to be above
that of the first half but below that of the comparable period in 2008.

 

Furthermore, results for the year ended 31 December 2009 have been impacted by
a net special items charge for the period of circa €128 million (2008: €383
million), primarily relating to the early actions taken to restructure the
Group in response to prevailing market conditions. €78 million of this charge
was taken in the first half with a further circa €50 million taken in the
second half mainly related to a goodwill impairment in Europapier, asset
impairment costs in Austria and Germany and restructuring costs associated with
the mothballing of the paper machine at the Merebank mill in South Africa.

 

Accordingly, Mondi advises that it expects full year earnings per share ('EPS')
to be within the ranges shown below:

 

Basic underlying earnings per share (euro cents per share) 16 to 20 (2008 33.9)

Basic headline earnings per share (euro cents per share) 9 to 13 (2008 20.3)

Basic loss per share (euro cents per share) -4 to -8 (2008 41.6 loss).

 

Mondi has disclosed basic underlying EPS, which is defined as basic EPS
excluding the impact of special items, as the directors believe this provides a
useful additional measure of the Group's underlying performance. The disclosure
of basic headline EPS is required under the Listings Requirements of the JSE
Limited and has been calculated in accordance with Circular 3/2009 as issued by
the South African Institute of Chartered Accountants.

 

The above information has neither been reviewed nor audited by Mondi's
auditors.

 

End

 

 

Contact details:

 

Mondi Group                        
                                   
David Hathorn      [phone] 
                                   
Andrew King        [phone] 
                                   
Kerry Crandon      [phone] 
                                   
                                   
                                   
Financial Dynamics                 
                                   
Sophie Kernon      [phone]
                                   
Chloe Webb         [phone] 
                                   

 

Editors' notes:

 

Mondi is an international paper and packaging group and in 2008 had revenues of
€6.3 billion. Its key operations and interests are in western Europe, emerging
Europe, Russia and South Africa.

 

The Group is principally involved in the manufacture of uncoated fine paper
(UFP), packaging paper and converted packaging products as well as speciality
products.

 

Mondi is fully integrated across the paper and packaging process, from the
growing of wood and manufacture of pulp and paper (including recycled paper) to
the converting of packaging papers into corrugated packaging and industrial
bags.

 

Mondi has production operations across 35 countries and had an average of
33,400 employees in 2008.