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Norske Skog Enters into a Sales Cooperation

Lysaker, Finland 13 January 2014 -- Norske Skog and CellMark AB have agreed to enter into a long term marketing agreement for sales of publication paper in the Asian markets. The parties will establish a new distributor in Singapore, NorCell Asia, which will have the exclusive marketing rights for all Norske Skog products to be sold in the Asian markets. Norske Skog will transfer its current sales operations and sales staff in Singapore from PanAsia Paper Trading to NorCell Asia.

Norske Skog and CellMark established a similar long term sales cooperation for the North American markets in August 2011. The North American sales operations are operated by NorCell Inc. The parties' experiences from the cooperation in the North American markets have triggered the expansion of the cooperation between the two groups into the Asian markets. 

- The common goal of Norske Skog and CellMark in this cooperation is to offer customers a broader range of solutions for their publishing needs while maximizing efficiency and minimizing cost in the supply chain, says the CEO of Norske Skog, Sven Ombudstvedt. 

- This agreement significantly strengthens CellMark's position in sales of publication grades into Asia and allows us to further develop our well functioning co-operation with Norske Skog in a new region, says CellMark's CEO, Hans Kling.

Norske Skog furthermore expects to release approximately USD 15-20 million in working capital by the cooperation with CellMark in the Asian markets.  The new sales and marketing operations by NorCell Asia will start operate in January 2014.

About CellMark

Since its establishment in 1984, CellMark has become one of the world's foremost providers of supply chain services to the global pulp and paper industry. The company has extended its traditional portfolio of services, products and raw material for the paper industry to include also other industries. This move reflects CellMark's longstanding plans to develop its global supply chain capabilities, creative trade finance solutions and risk management.

Today, CellMark comprises six divisions: Pulp, Paper, Packaging, Recycling, Chemicals & Metals as well as the subdivisions: Energy, Basic Chemicals & Machinery. CellMark's specialists in sales, marketing, logistics and financial services provide real value added business and service solutions to its partners.

The Group sales volume exceeds 5.2 million tons and the sourcing activities extend to about 80 countries, with sales in more than 125 markets. CellMark has a global network of 65 offices in 30 countries complemented by numerous representatives. The company's number of employees in wholly owned subsidiaries is now well above 700.


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