CASCADES INC. NBF Québec Conference - Toronto

June 3, 2015

DISCLAIMER Certain statements in this presentation, including statements regarding future results and performance, are forward-looking statements within the meaning of securities legislation based on current expectations. The accuracy of such statements is subject to a number of risks, uncertainties and assumptions that may cause actual results to differ materially from those projected, including, but not limited to, the effect of general economic conditions, decreases in demand for the Corporation’s products, the prices and availability of raw materials, changes in the relative values of certain currencies, fluctuations in selling prices and adverse changes in general market and industry conditions. This presentation may also include price indices as well as variance and sensitivity analyses that are intended to provide the reader with a better understanding of the trends related to our business activities. These items are based on the best estimates available to the Corporation. The financial information included in this presentation also contains certain data that are not measures of performance under IFRS (“non-IFRS measures”). For example, the Corporation uses earnings before interest, taxes, depreciation and amortization (EBITDA) because it is the measure used by management to assess the operating and financial performance of the Corporation’s operating segments. Such information is reconciled to the most directly comparable financial measures, as set forth in the “Supplemental Information on Non-IFRS Measures” section of our most recent quarterly report or annual report. Specific items are defined as items such as charges for or reversal of impairment of assets, for facility or machine closures, accelerated depreciation of assets due to restructuring measures, debt restructuring charges, gains or losses on sales of business units, unrealized gains or losses on derivative financial instruments that do not qualify for hedge accounting, foreign exchange gains or losses on long-term debt and other significant items of an unusual or non-recurring nature. All amounts in this presentation are in Canadian dollars unless otherwise indicated.

2  

COMPANY OVERVIEW Balance Play in Healthier Sectors of the Paper Industry

3  

• Founded in 1964 by the Lemaire family and headquartered in Kingsey Falls, QC

• Produces, converts and markets packaging and tissue products principally composed of recycled fiber

•  Balanced play in less cyclical sectors

•  Heavy exposure to two of the strongest paper segments: Tissue and Containerboard

•  Market leader across many of its primary product offerings

• Unique culture – green visionaries, turnarounds, entrepreneurial philosophy

• Approximately 10,700 employees worldwide

1 Before inter-segment sales and corporate activities Note: EBITDA excluding specific items

Segment Sales Breakdown1

Segment EBITDA Breakdown1

LTM 3/31/15 Net Sales $3,608 million

48%

24%

17%

11%

ContainerboardTissue PapersBoxboard EuropeSpecialty Products

33%

30%

22%

15%ContainerboardTissue PapersBoxboard EuropeSpecialty Products

LTM 3/31/15 EBITDA $350 million

COMPANY OVERVIEW Leading Packaging and Tissue Paper Manufacturer

4  

Packaging Products Containerboard

Tissue Papers Boxboard Europe Specialty Products

Mark

et P

ositi

on •  Leading containerboard

producer in Canada

•  # 6 containerboard producer in North America

•  # 2 producer in Europe •  Largest paper collector in Canada

•  Leading tissue paper producer in Canada

•  # 4 tissue paper producer in North America

LTM

3/31/1

5 Fi

nanc

ials •  33% of Sales1

•  48% of EBITDA1,2

•  EBITDA Margin: 15%

•  22% of Sales1

•  17% of EBITDA1,2

•  EBITDA Margin: 8%

•  15% of Sales1

•  11% of EBITDA1,2

•  EBITDA Margin: 7%

•  30% of Sales1

•  24% of EBITDA1,2

•  EBITDA Margin: 8%

1 Before inter-segment sales and corporate activities 2 Excluding specific items

COMPANY OVERVIEW Closed-loop Business Model

5  

Upstream and downstream integration in North America

80% recycled fibre (2.7M tons)

NA integration rate (2014): 30% (0.41M tons)

NA integration rate (2014): • Containerboard1 47% • Tissue Papers 70%

CLIENTS

1 Integration rate for our containerboard activities in North America (excluding boxboard activities and considering 100% of Greenpac’s production as internal capacity) 2 Including Reno De Medici’s units and Greenpac. Also including four manufacturing/converting tissue papers units which are counted in both Converting and Manufacturing.

Recovery •  18 units

Manufacturing2 •  Containerboard 6 units •  Boxboard Europe: 7 units •  Specialty Products: 3 units •  Tissue Papers: 11 units

27 units

Converting2 •  Containerboard: 22 units •  Specialty Products: 17 units •  Tissue Papers: 13 units

52 units

Finished Products •  Trims and rejects sent to recycling centers

350

400

450

500

550

600

650

700

750

May

-05

Nov

-05

May

-06

Nov

-06

May

-07

Nov

-07

May

-08

Nov

-08

May

-09

Nov

-09

May

-10

Nov

-10

May

-11

Nov

-11

May

-12

Nov

-12

May

-13

Nov

-13

May

-14

Nov

-14

May

-15

Containerboard - Selected Benchmarks

Linerboard 42-lb

Corrugating medium 26-lb

(US$/s.t.)

BUSINESS DRIVERS Price Dynamics

6  

800

900

1,000

1,100

1,200

1,300

1,400

1,500

1,600

Apr

-07

Sep

-07

Feb-

08Ju

l-08

Dec

-08

May

-09

Oct

-09

Mar

-10

Aug

-10

Jan-

11Ju

n-11

Nov

-11

Apr

-12

Sep

-12

Feb-

13Ju

l-13

Dec

-13

May

-14

Oct

-14

Mar

-15

Tissue Papers - Selected Benchmarks

Virgin parent rollsRecycled parent rolls

(US$/s.t.)

• Prices relatively stable since early 2013 • Recent decrease in medium prices

• Market still under pressure: •  Additional capacity coming to market •  Reasonable recovered paper prices

Source: RISI

BUSINESS DRIVERS Shipments

7  

2,7652,899 2,924 2,951

0

1,000

2,000

3,000

4,000

2012 2013 2014 LTM 3/31/15

92% 93% 93% 97%

0%

25%

50%

75%

100%

2012 2013 2014 LTM 3/31/15

•  Increase in shipments due to the ramp-up of Oregon and Santa Giustina paper machines

•  An increase in total shipments has led to utilization rates hovering around 97% •  Containerboard – 91% •  Boxboard Europe – 101% •  Tissue Papers – 98%

Total Shipment (by S.T.) Total Manufacturing Utilization1

1 Excludes Specialty Products segment

0.650.700.750.800.850.900.95

0.750.800.850.900.951.001.05

Q1 12

Q2 12

Q3 12

Q4 12

Q1 13

Q2 13

Q3 13

Q4 13

Q1 14

Q2 14

Q3 14

Q4 14

Q1 15

Q2 15

Q3 15

Q4 15

Q1 16

Euro€/CAN$US$/CAN$

US$/CAN$ Euro€/CAN$

BUSINESS DRIVERS Foreign Exchange Rates

8  

Average Q2 15 Q3 15 Q4 15 Q1 16 2016

US$/CAN$ 0.81 0.79 0.79 0.79 0.81

EURO/CAN$ 0.75 0.74 0.75 0.74 0.76

•  Sensitivity to a change of $0.01 CAN vs. $US •  EBITDA = ~$4M •  Debt = ~$7M

A weak Canadian dollar will help our cash flow generation Source: Bloomberg 1 Average of six largest Canadian banks

Foreign exchange – Historical Foreign exchange – Forecasts

1

650750850950

1,050

Feb

12

May

12

Aug

12

Nov

12

Feb

13

May

13

Aug

13

Nov

13

Feb

14

May

14

Aug

14

Nov

14

Feb

15

May

15

(US$/ton)

NBSK NBHK

BUSINESS DRIVERS Costs

9  

35%

12%19%

9%

8%

6%

11%

Raw  materialsChemicals  and  production  suppliesWages  and  employee  benefits  expensesEnergyFreightDepreciation  and  amortizationOthers

50

100

150

200

Feb

12

May

12

Aug

12

Nov

12

Feb

13

May

13

Aug

13

Nov

13

Feb

14

May

14

Aug

14

Nov

14

Feb

15

May

15

(US$/ton)

White Grades (SOP) Brown Grades (OCC)

North American Fiber List Prices Costs of sales by nature (LTM 3/31/2015)

Sources: RISI

Raw materials account for nearly half of COGS

200

350

500

650

800

Feb 0

9Ju

ne 09

Oct 0

9Fe

v 10

June

10Oc

t 10

Feb 1

1Ju

ne 11

Oct 1

1Fe

b 12

June

12Oc

t 12

Feb 1

3Ju

ne 13

Oct 1

3Fe

b 14

June

14Oc

t 14

Feb 1

5750

1,000

1,250

1,500

1,750

Apr 0

9Au

g 09

Dec 0

9Ap

r 10

Aug 1

0De

c10

Apr 1

1Au

g 11

Dec 1

1Ap

r 12

Aug 1

2De

c 12

Apr 1

3Au

g 13

Dec 1

3Ap

r 14

Aug 1

4De

c 14

Apr 1

5

~ 40% of China imports of OCC comes from the U.S.

Represents ~ 50% of all recovered paper exports to China

RAW MATERIALS Asian Demand for Recovered Papers

10  

US OCC exports to China – Historical China OCC imports – Historical

(‘000 s.t.) (‘000 s.t.)

Source: RISI

RAW MATERIALS Reliable Sourcing Strategy

11  

0123456

2014 Cascades

currently controls close to 60% of its

fiber supply

Spot Purchase

41% Contractual Agreement

33%

Cascades Recovery and

Internal 26%

Top Recovered Paper Suppliers in the World Cascades’ North American Recycled Fiber Supply

•  Short term:

•  Long term:

Our Strategy •  constant review of our inventory strategy

•  ensure control over fiber supply with potential increase of tons under control •  develop substitute grades •  potential to increase virgin content in certain circumstances •  continue to close the loop with customers retailers

(M Tonnes)

Source: RISI

North American Containerboard Producers

39.0

40.0

38.0

37.0

41.0

42.0

2012

38.4

0.9

1.0

2016e 2014e

0.6

2013e

39.0

New capacity

New capacity

40.9

New capacity

New capacity

39.9

42.0 1.1

2015e

CONTAINERBOARD Environment Still Positive

12  

60%70%80%90%100%

Q12008

Q12009

Q12010

Q12011

Q12012

Q12013

Q12014

Q12015

Fundamentals strong despite added capacity Operating Rates

Capacity (Million s.t.)

% of total capacity

�  IP 33% v  Rock Tenn 20% w  Koch/GP 10% x  PCA 9% y  Kapstone 4% �  Cascades 4% �  Pratt 3%

Others 17%

Top-5 Producers 76%

2014 Industry Participants

Source: RISI, Deutsche Bank, Company reports and estimates 1 Including 59.7% of Greenpac’s total capacity

SP Fiber Atlantic Yr 1 Norampac Yr 1 Productivity 1%

SP Fiber PCA D3 Yr 1 Atlantic Yr 2 Norampac Yr 2 Productivity 1%

2 SP Fiber PCA D3 Yr 2 Pratt Greif Yr 1 IP Valliant Yr 1 Corr. Supplies Productivity 1%

Pratt Greif Yr 2 IP Valliant Yr 2 SP Fiber Yr 2 Corr. Supplies Productivity 1%

1

CONTAINERBOARD Our Strategic Move: Greenpac

13  

•  Largest recycled linerboard mill in NA: 1,500 s.t./day of lightweight recycled linerboard (26 pounds)

• Q1-2015 average daily production: 1,260 s.t.

•  Product differentiation

•  State-of-the-art equipment

•  Take-or-pay agreement for 81% of the mill’s output

•  Significant ownership at 59.7%1:

• Partners include a pension fund and two independent converters

1 Greenpac is not consolidated in the results and balance sheet since Cascades does not have effective control under IFRS 2 For illustration purposes only. Value by segment do not necessary reflect the Corporation’s view on their respective value

Greenpac Impact on Value per shareEBITDA Cascades using 7x

(M$) EPS EBITDA multipleLTM Q1-15 EPS $0.38

60 $0.08 $1.0080 $0.15 $1.88100 $0.23 $2.77

Sensitivity 10 $0.44

2  

CONTAINERBOARD Our Strategic Move: Greenpac

14  

XP Product increasing compression strength by ~12% % over regular high performance grades in North America

Starch layer Top ply: 100% long and strong recycled fibers Bottom ply: 100% recycled fibers Starch layer

•  New breed of maximum strength performance linerboard •  One of the best sustainable option for fiber reduction •  Through a fiber segregation process, longer and stronger fibers directed to the top layer to

increase the resistance to tearing and cracking while retaining outstanding printing surface •  A thin film of starch is then applied to both fiber plies with a size press, dried and calendared •  The process enhances the cross-directional compression strength of the linerboard and improves

the smoothness of the sheet •  Currently offered in five strength categories (from 26lbs to 35lbs); capacity to go as low as 20lbs

BOXBOARD EUROPE Stronger and Leaner Production Platform

15  

#2 Producer of Boxboard in Europe

•  ~58% ownership of RdM, a public Italian company, and 100% of the La Rochette mill in France •  Rationalization of production capacity (from 10 machines to 7 and closure of Djupafors mill) and

consolidation of sales forces have resulted in improved performance •  Structure simplification and modernization investments are improving the position on the cost curve •  Almazan mill is no longer a strategic asset and is available for sale

Boxboard Europe Group’s Performance

La Rochette (165K tons GC)

Source: Reno de Medici’s public disclosure

4341

0

20

40

60

80

0%

6%

8%

2%

10%

4%

2014

72

2013

57

2012 2011

65

LTM Q1-15

6% 7%

9%

6%

(M CAN$)

: Energy credits totaling $5M in 2013, $9M in 2014 and $4M in LTM Q1-15

8%

SPECIALTY PRODUCTS GROUP Stable Source of Revenue and Unique Platform for Innovation

16  

•  Largest recycled paper collector in Canada through 73% interest in Cascades Recovery

•  18 units

•  Largest producer of honeycomb in Canada

•  6 units

•  Leading producer of papermill packaging •  12 units •  JV Share of EBITDA $10-$15M

•  Diverse and stable revenue stream with leading market positions •  Recent initiatives have included

•  Sale of Fine Papers division (3 units) •  Exit from the kraft paper market (1 unit) •  Disposal of a smaller unit (1 unit)

Recycling and Recovery (~35% of sales1)

Consumer Packaging Products (~15% of sales1) Industrial Packaging Products (~40% of sales1)

•  2 units •  Vinyl backing •  Deinked pulp

Other Products (~10% of sales1)

1 Including 100% of joint ventues

8,365 8,514 8,686 9,032 9,451149 172 346 419

0

2,500

5,000

7,500

10,000

2009 Newcapacity

2011 Newcapacity

2013 Newcapacity

2015 Newcapacity

2017

TISSUE PAPERS Stong Position Across the North American Tissue Market

17  

Branded52%

Private Label48%

Source: RISI

Sales by Geography

Sales by End Markets

Tissue Market Demand

North American Tissue Capacity Additions

At-Home54%

At-Home47%

Away-from-Home46%

Away-from-Home53%

Canada (27%) US (73%)Canada (27%) U.S. (73%)

At-Home42%

Away-from-Home43%

Parent Rolls15%

Private Label85%

Branded15%

80

100

120

140

160

1996 2000 2004 2008 2012 2016E

Inde

xed

U.S

. Tis

sue

Dem

and

CAGR 2.1%

Historical CAGR 1.8%

(M m.t.)

TISSUE PAPERS Extended Geographical Reach

18  

RetailAway-from-Home

Eau Claire, WI- Manufacturingand Conversion

St-Helens, OR- Manufacturing- Manufacturing

Kingman, AZ- Conversion Brownsville, TN

- Conversion

Memphis, TN- Manufacturing

Rockingham, NC- ManufacturingWagram, NC (New Site)- ConversionKinston, NC- Conversion

Whitby, ON- ManufacturingScarborough, ON- ManufacturingToronto, ON- Conversion

Candiac, QC- Manufacturing and ConversionGranby, QC- ConversionKingsey Falls, QC- Manufacturing and ConversionLachute, QC- Manufacturing and ConversionLaval, QC- Conversion

Waterford, NY- ConversionMechanicville, NY- Manufacturing

Ransom, PA- ManufacturingPittston, PA- Conversion

New 55k tons machine

New 10M cases facility

OTHER INVESTMENTS Boralex Inc.

19  

EBITDA ($M) - Boralex1

•  Publicly traded independent power producer •  Legacy ownership

•  Following the recent transaction, ownership of ~27 %

•  A smaller portion of a bigger pie •  Enterprise value: $1,990M •  Market capitalization: $671M •  Strong potential of growth

•  Solid pipeline of projects •  Sizeable footprint in Europe

1 Results presented on a proportional consolidation basis; refer to Boralex website for more details

OUR STRATEGIC ACTION PLAN

20  

155

221

50

100

150

200

250

300

2012 LTM  3/31/15

CFFO

285

350

250

275

300

325

350

375

2012 LTM  3/31/15

EBITDA

Focus on operations to drive increased profitability and operating cash flows

Modernize core operations through

focused investments

Optimize capital allocation and

reduce working capital

Restructure underperforming units

Innovate to improve and develop processes

and products

2 1

4 3

(M CAN$) (M CAN$)

EBITDA excluding specific items

MODERNIZE

21  

1

Containerboard – Manufacturing

Containerboard – Converting

•  Construction of the Greenpac linerboard mill in Niagara Falls, NY

Tissue Papers – Manufacturing

Tissue Papers – Converting

•  Consolidation of the platform in Ontario •  Recent investments in Québec

•  Installation of a new paper machine in Oregon (Q4-2014)

•  Additional converting capacity in Arizona and North Carolina •  $25M upgrade at Candiac and Kingsey Falls facilities

Corporate

Boxboard Europe – Manufacturing

•  ERP platform •  On-going initiatives to improve our business processes

•  Rebuild of a paper machine at Santa Giustina mill

14.8%14.0%

13.1% 12.9% 12.6% 11.9%

8%

10%

12%

14%

16%

Q32012

Q12013

Q32013

Q12014

Q32014

Q12015

LTM Working Capital (% of LTM Sales)

OPTIMIZE

22  

2

Corporate initiative – Improving working capital management

•  Acquisition and conversion of Boise paper machine adjacent to our existing tissue machine •  Increase capacity by 55,000 tons on a

faster timeline and a lower cost per ton •  Improve overall operating efficiency of

the mill and market reach •  US$40M cost and start-up in Q4-2014

•  Installation of a new tissue converting facility in Wagram, NC •  Increase presence in the fast growing

Southeastern US area •  US$45M cost with start-up in Q4-2014

Allocate capital towards core sectors – Tissue papers example

Working capital includes accounts receivable (excluding the short term portion of other assets) plus inventories less accounts payable.

RESTRUCTURE

23  

3

15 closures 7 asset sales

•  Containerboard: •  1 manufacturing mill + 5 converting plants

•  Boxboard North America: •  1 converting plant

•  Boxboard Europe: •  3 mills + 1 paper machine

•  Specialty Products: •  1 pulp mill, 1 industrial packaging plant and 1

specialty paper mill •  Tissue:

•  1 napkin plant

•  Containerboard – Manufacturing •  Avot-Vallée mill

•  Boxboard •  Manufacturing - Versailles mill •  Converting - Dopaco business, Hebron plant •  5 units in Canada

•  Specialty Products •  Fine papers division •  Other small unit

•  Europe •  Announced intention to sell mill in Spain

Third priority of our strategic plan – restructure – mostly behind us

INNOVATE

24  

4

UltratillTM Cascades® Antibacterial Towels

Made from 100% recycled fibre.

Special agent activated by water.

Kills over 99.99% of harmful bacteria1.

Low-density PETE containing 80% of post-

consumer material.

Polystyrene foam packaging using recycled material.

EVOKTM

1 Based on third party laboratory testing.

FINANCIAL PERFORMANCE AND SITUATION Q1 2015 Performance Update

25  

•  Sales driven by: •  volume increases in the

Containerboard and Tissue Papers segments, and

•  favorable foreign exchange rates

•  Offset by lower average selling prices (except Containerboard)

Q1 2015 Snapshot Q1 ‘15 Q1 ‘14 Δ

Sales $910 $863 $47

Growth 5% 9%

Operating Income $28 $36 ($8)

Margin 3% 4%

EBITDA1 $85 $75 $10

Margin 9% 9%

(M CAN$)

Focus remains on managing balance sheet and enhancing core operations 1 EBITDA excluding specific items

FINANCIAL PERFORMANCE AND SITUATION Strong Financial Momentum

26  

285

342 340 350

6.0%

8.0%

10.0%

12.0%

14.0%

200

250

300

350

400

2012 2013 2014 LTM  3/31/15

3,141  

3,370  

3,561  3,608  

2,750

3,000

3,250

3,500

3,750

2012 2013 2014 LTM  3/31/15

Sales EBITDA (excl. specific items)

(M CAN$) (M CAN$)

CAGR: 6.4% CAGR: 9.6%

Results progressed as productivity, FX and pricing environment improved

FINANCIAL PERFORMANCE AND SITUATION Historical Segmented EBITDA

27  

3741 40 42

0%

10%

20%

30%

40%

50%

0

10

20

30

40

50

2012 2013 2014 LTM 3/31/15

Containerboard

90

150164

185

0%

20%

40%

60%

80%

0

50

100

150

200

2012 2013 2014 LTM 3/31/15

43

57

7265

0%

15%

30%

45%

60%

0

25

50

75

100

2012 2013 2014 LTM 3/31/15

Boxboard Europe

Specialty Products Tissue Papers

138 133

96 91

0%

15%

30%

45%

60%

75%

0

30

60

90

120

150

2012 2013 2014 LTM 3/31/15

(M CAN$) (M CAN$)

Note: Green line represents segment EBITDA as percent of total Company EBITDA Note: EBITDA excluding specific items

(M CAN$) (M CAN$)

FINANCIAL PERFORMANCE AND SITUATION Historical Cash Flow

28  

Cash Flow From Operating Activities Capital Expenditures

•  Capital expenditures for LTM 3/31/15 stood at $166 million

•  Divestitures and free cash flow have funded capital expenditures

•  Cash flows have grown at a 8% CAGR since 2012

•  Improving cash flows driven by Strategic Action Plan

199

236 231 239

$0

$75

$150

$225

$300

2012 2013 2014 LTM 3/31/15

148138

178166

0.0%

2.0%

4.0%

6.0%

8.0%

$0

$50

$100

$150

$200

2012 2013 2014 LTM 3/31/15

(M CAN$) (M CAN$)

FINANCIAL PERFORMANCE AND SITUATION Managing our Debt During our Modernization Phase

29  

1,691228

1,463442

5432

1,535

800

900

1,000

1,100

1,200

1,300

1,400

1,500

1,600

1,700

Net debt after

continuing operations

Capital investments

& others

Dividends paid, shares buyback &

others

Var. in non-cash work.

cap. components

Discontinued operations

+16%

-5%

Net Debt 03/31/2015

FX

(89)

Cash flow from

operations

(511)

Net Debt 12/31/2012

FINANCIAL PERFORMANCE AND SITUATION Financial Ratios and Maturities

30  

56%58% 57%

62%

63%

45%

50%

55%

60%

65%

2011 2012 2013 2014 LTM3/31/2015

Net Debt / Net Debt + Total Equity

5.8x

5.0x4.6x

4.7x 4.8x

3.0x

4.0x

5.0x

6.0x

7.0x

2011 2012 2013 2014 LTM3/31/2015

Net Debt / LTM EBITDA

2.5x3.0x

3.4x 3.4x 3.6x

1.0x

2.0x

3.0x

4.0x

5.0x

2011 2012 2013 2014 LTM3/31/2015

Interest Coverage Ratio

313250

697

334

59400

175

350

525

700

1 year >1 year 2016 2020 2021 2022

Long-Term Debt Maturities

Senior notes RevolverDebts without recourse Subsidiaries debts

Cascades’ bank debt financial covenant ratios: Net funded debt to capitalization < 65% (currently at 60.7%), interest coverage ratio > 2.25x (currently at 3.53x)

Net debt to EBITDA ratio should continue to improve in 2015

FINANCIAL PERFORMANCE AND SITUATION Proportionate Consolidation

31  Note 1 – Mainly Greenpac at 59.7%, Sonoco JVs at 50%, Reno de Medici at 57.6% and Recovery at 73%. Note 2 – Proportionate net debt includes a subordinated loan of Greenpac to be repaid upon receipt of U.S. tax credits amounting to approximately $34 million on a proportionate basis. Note 3 – Ratio as reported based on LTM EBITDA excluding specific items; ratio under proportionate consolidation based on run rate EBITDA of $380 million.

(in millions of Canadian dollars)As reported

(IFRS)Proportionate consolidation1

Q1-2015 Selected financial dataSales 910 878EBITDA excluding specific items 85 95EBITDA excluding specific items - margin (%) 9.3% 10.8%Total assets 3,719 3,741Net debt2 1,691 1,842Net debt/EBITDA excl. specific items ratio (x)3 4.8x 4.8x

Our investment in Greenpac improves the profile on a proportionate basis

POTENTIAL BENEFITS STEMMING FROM OUR INITIATIVES

32  

Other sources of growth and incremental value •  Culture of innovation •  Good performance from European platform and hidden value of Boralex investment •  On-going initiatives to improve our business processes

Modernizing our operating platform to increase profitability •  ±$150M capex program per year, including ERP upgrade •  Divestitures and closures of under-performing units •  Containerboard: great fundamentals and improved platform

•  Modernized converting platform and manufacturing productivity improvement •  Greenpac to positively contribute to EPS in 2015

•  Tissue Papers: strong and growing position in North America •  Increasing presence in the US with recent expansion initiatives

Potential tailwinds •  CAD$ weakness •  Economic recovery in Canada, the US and Europe •  Chinese’s economy weakness and impact on recovered paper prices •  Lower oil and gas costs

ü

ü

ü Taking the right steps to position Cascades for the future