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Carter Holt Harvey to Sell Pulp, Paper & Packaging Business

Carter Holt Harvey Agrees to Sell its Pulp, Paper & Packaging Business to a Joint Venture Between Oji and INCJ

Carter Holt Harvey Limited (CHH), Oji Holdings Corporation (Oji) and Innovation Network Corporation of Japan (INCJ) announced today that they have entered into an agreement for the sale of the Pulp, Paper and Packaging business owned by CHH and its related companies (PPP Business) to a joint venture between Oji and INCJ. The proposed transaction is valued at $NZ1.037 billion and is subject to a number of usual conditions. It is anticipated that the sale will complete in the second half of 2014.

The PPP Business principally comprises the Kinleith pulp & paper mill, Tasman pulp mill, Penrose paper mill, and the CHH Group packaging businesses inAustraliaandNew Zealand.

Oji Executive Chairman, Mr Shinoda, commented, “Oji have a long history in investing inNew Zealand. Oji first invested in the Pan Pac forest products business in theHawkesBayin 1971. Since 2002, Oji have spent around $180 million on forest land and manufacturing investment for Pan Pac including a significant upgrade of the pulp mill completed in 2012”.

Oji is a substantial international paper and packaging business listed on the Tokyo Stock Exchange, and INCJ is a corporation sponsored by the Japanese government and Japanese private enterprises.

CHH Chief Executive, Mr Bryce Murray, commented, “CHH is delighted to agree the transaction with Oji and INCJ. I have no doubt that they will make excellent long term owners of this business.”

PPP Business CEO, Dr Jon Ryder, added, “My management team and I are very excited about the new technical and engineering capabilities and global sales strength that the Oji and INCJ joint venture will bring to the table. For example, Oji has 9 research and development facilities with around 300 employees just focussed on developing improvements for products and processes in pulp, paper and packaging.”

Oji Executive Chairman, Mr Shinoda said, “We believe Jon Ryder and his local management team have done an excellent job getting the CHH business to where it is today. However, Oji can definitely provide additional know-how and technology that will help further improve and grow the business. We can also open up new sales opportunities overseas including with Oji owned companies that consume some of the products CHH makes. Oji makes sales to over 50 countries.”

Further Background:

CHH

CHH owns the PPP business and building products businesses inNew ZealandandAustralia. It is ultimately 100% owned byNew Zealandprivate businessman, Mr Graeme Hart.

Oji & INCJ Joint Venture

The joint venture will be a newly formed investment vehicle with voting rights split between Oji (60%) and INCJ (40%).

Oji

Oji is a Japanese based company listed on the Tokyo Stock Exchange which produces paper and printing, writing and packaging. It also manufactures containers made from paper products and chemicals used in the production of paper and paper packaging. The company has production sites throughout Japan, and as well as operations in New Zealand, Australia, Canada, China, Germany, Brazil and other countries worldwide. It has total sales of around USD 13 billion and 27,360 employees worldwide as at 31 March 2013.

More information about Oji can be found at www.ojiholdings.co.jp/english .

INCJ

INCJ is a corporation sponsored by the Japanese government and Japanese private enterprises aimed at Promoting innovation and enhancing the value of businesses inJapan. INCJ commenced operations in July 2009 and is incorporated under the industrial Competitiveness Enhancement Act. INCJ is capitalised at JPY 300 billion, with the Government of Japan injecting JPY 286 billion and the other founding corporate partners providing JPY 14 billion, and has a total investment capacity of approx. USD 20 billion.

INCJ aims to provide financial, technological and management support to promote the creation of next-generation businesses through “open innovation” achieved by increasing the flow of technology and expertise beyond the boundaries of existing organizational structures.

INCJ has over 60 current investments.

More information about INCJ can be found at www.incj.co.jp/english .

Ends

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