Port Hakwesbury Paper SC Price Announcement

*Record net sales of $284.8 million, up 25 percent from the prior year, reflecting selling price actions to recover input costs and higher volume in both segments. Excluding the effects of the April 2021 Itasa acquisition and a facility closure, net sales were 12 percent higher. *Record net sales in Technical Products of $185.6 million were 28 percent higher than the prior year period. Excluding the effects of Itasa and the facility closure, net sales were 6 percent higher. *Net sales in Fine Paper and Packaging of $99.2 million, up 21 percent from the prior year, with strong organic growth in all categories. *As expected, operating income remained pressured by unprecedented increases in input and distribution costs and labor shortages. EBIT declined from $13.6 million in the first quarter of 2021 to $12.2 million this quarter. Excluding $12.5 million of unusual items in 2021 and $6.5 million in 2022, Adjusted EBITDA this quarter was $30.3 million compared to $35.7 million in the prior year. *In January, a fire occurred at our Brownville, New York manufacturing facility. Operations were fully restored before quarter-end, but the impact of repair costs and margin from lost sales was approximately $2 million. *On March 28, Neenah announced it has entered into a definitive all-stock merger of equals agreement with Schweitzer-Mauduit International, Inc. (NYSE: SWM). The combination is expected to form a global leader in specialty materials with combined annual revenues of approximately $3 billion and generate highly achievable, initial cost synergies of $65 million. The Form S-4 is planned to be filed by SWM shortly, and the transaction is on track to close in the second half of 2022.

Pixelle Specialty Solutions LLC announced it has completed two strategic investments that will further strengthen its portfolio and enhance service to new and existing customers. On March 31st , Pixelle acquired the specialty paper business Rollsource from Veritiv Corporation. On April 5th , Pixelle acquired the carbonless rolls and security papers business from Appvion Operations Inc. The acquisition of Rollsource includes the book of business primarily serving the forms printer market, and includes a converting facility in Pittsburg, KS. Pixelle will retain key Rollsource employees in order to ensure continuity in operations, sales and customer service. The acquisition of Appvion’s carbonless rolls and security papers business will enable Pixelle to serve new customers with Pixelle’s portfolio of ExcelOne® and Trans/Rite® carbonless papers and broad line of Defensa® security products. No production assets are included in the transaction. Pixelle will manufacture carbonless roll products for former Appvion customers at its Chillicothe, Ohio specialty paper mill, building on decades of experience producing carbonless products.

Paper Excellence announced today that it is nearing completion of a significant project to winterize the pulp mill at Prince Albert Pulp Inc (PAPI). Winterizing the mill means that the interior of the mill is now heated for the first time since 2014, when the site last operated. The project will cost approximately $500,000. “Winterizing and heating the interior of the mill is another step forward as we keep working on restarting PAPI,” said Carlo Dal Monte, VP of Energy and Business Development for Paper Excellence. “As we all know, Prince Albert winters can be very cold, so being able to heat the interior of the mill means a safer working environment for our team and contractors that may be on site with us. Winterizing the mill also helps to prevent weather-related damage to the exterior of the mill and important infrastructure inside.”