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Lenzing GroupLeading Fiber Innovation

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Agenda

Lenzing AG

Lenzing Fiber Portfolio

Enduses Fiber properties Processing

Lenzing Sustainability Concept

Sustainability & Environmental issues

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Corporate Video

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Sales: EUR 1,329.1 mill.

Export share: 88%

Staff: 5,945

The Lenzing Group 2008

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The Lenzing Group 2008

Segment Fibers

Business UnitTextile Fibers

Business UnitNonwoven Fibers

Business UnitPulp

Business UnitEnergy

Sales: EUR 1,107.9 mill.

EBIT: EUR 118.1 mill.

Segment Plastics Segment Engineering

Sales: EUR 182.2 mill.

EBIT: EUR 7.3 mill.

Sales: EUR 110,9 mill.

(ext. sales EUR 51,3 mill.)

EBIT: EUR 10,0 mill.

Business UnitPerformance Products

Business UnitFilaments

Business UnitEngineering

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Fibers: Our core businessLenzing Group

Sales by segment100 % = EUR 1.33 bill.

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Global network for our customers

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Business Unit Textile Fibers in dialog with thetextile chain

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* Lenzing fibers

Whos who in fibers

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Lenzing Fiber Brands

TENCEL - The New Age Fiber

Home Textiles: quilts and bed linen Clothing: shirts, blouses, ladies and mens wear,

home wear and undergarments

Lenzing Modal - Makes the World a Softer Place

Home Textiles: terry cloth products Clothing: undergarments

Lenzing FR - The Heat Protection Fiber

special fiber for flame-resistant protective clothing

Lenzing Viscose - Sets the Industry Standard

Clothing made of woven textiles and knitwear

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Lenzing brands nonwovens fibers

TENCEL

Consumer and speciality wipes for cosmetic cleansing,household and industrial applications

Medical products such as wound pads, surgical swabs andcomponents of surgical gowns

Filtrations Special papers for electronic components Carbon fiber precursor

Lenzing Viscose

Consumer products such as wipes for infant care Speciality wipes for cosmetic cleansing,

household and industrial applications Medical products such as wound pads, surgical swabs

and components of surgical gowns TamponsViscostar

Special fiber for tampons

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Lenzing Modal the best out ofbeech

Lenzing Modal presentation

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TENCEL - New Age out ofEucalyptus

TENCEL presentation

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Cotton Viscose Modal TENCEL

Tenacity cond [cN/tex] 24-28 25 35 37

Elongation cond [%] 7-9 20 13 13

Tenacity wet [cN/tex] 25-30 13 20 30

rel. wet tenacity [%] 105 50 57 81

Elongation wet [%] 12-14 23 15 15

Loop tenacity [cN/tex] 20-26 7 8 20

Bisfa Modulus 10 3 6 10

Grade of fibrillation 2 1 1 4-5

Natural moisture content [%] (65 % rel F.) 8 11 11 11

Polymerisation degree DPv 3000 430 640 850

Volume swelling in water [%] 35 88 63 67

Data according Lenzing specification

Physical fibre data

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Cross-section of Lenzing Modal andCotton

Cotton Lenzing Modal

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Cross-section TENCEL

TENCEL Heiligenkreuz TENCEL Mobile/Grimsby

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Cross-section of Lenzing Viscose andBambooLenzing Viscose Bamboo Viscose

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TENCEL shows a nano fibrillar structure

Fiber diameter

10 - 30 mFiber skin approx. 100 nm

Macrofibrils(0,5 1 m)

Nanofibrils(10 - 100 nm)

Microfibrils(0,1 0,2 m)

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Why TENCEL

Strength & Durability

Versatility hands and optics

Function & Comfort

Botanic origin

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TENCEL for Function & Comfort

Moisture management

Natural air-condition

Reduced bacteria growth

Sensitive skin

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Peach Skin processing route for TENCEL

Primary fibrillation

Enzy

metre

atmen

t

Peach Skin

second fibrillation

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Mechanical polishing process

Prewashing

Reactive dyeing

Resin finish

No pilling and fibrillation

After homelaundering due

to resin finish

Tumbling

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TENCEL LF/A100 - Control of fibrillation bychemical crosslinking reaction

TENCEL A100: Trifunctional TAHT crosslinker

TENCEL LF: Crosslinking agent based on anchor-chemistry of reactive dyestuffs,

colourless, non toxic, free of formaldehyde

CROSSLINK

Disruptionof H-bondingallowssplitting

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Fibrillation tendency of cellulose fibres

Viscose, Modal,TENCEL A100TENCEL LF

Cotton Polynosic TENCEL

No fibrillation Strong fibrillation

TENCEL A100 or LF Standard TENCEL

Fibrillation

after

reactive dyeing process

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End-uses and working procedures for TENCEL

Denim

Garment dye

Garment wash

Standard TENCEL

Hometextiles

bed sheets, Inletts

Continue processes

Open width

Standard TENCEL

Outerwear

blouses, shirts,

bottom weights

Knitted goods

Discontinue processes

Rope form

TENCEL LF,TENCEL A100

Sustainability inthe Lenzing Group

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Lenzing sustainability concept

Sustainable economic success Growth, innovation, productivity,

technology leadership, quality leadership

Responsibility for the environment Lenzing sets environmental standards Closed loops and integration Renewable raw material wood

Responsibility for the people Attractive jobs High safety and health standards Regional support of social, sports and cultural activities

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The Cellulose Cycle

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91% increase of fiber production inLenzing between 1990 and 2008

0

50.000

100.000

150.000

200.000

250.000

300.000

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

Fiber production location Lenzing [t/a]

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Wood is the raw material and the fuel for pulp production in Lenzing

Utilisation of wood in Lenzing

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Reduction of Wastewater in LenzingW

ast e

wa

ter

ine

qu

ivale

nts

of

ha

bita

nts

1982 - 2009

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Comparison of energy sources

* incl. RVL

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The Cellulose Cycle

Green Finishing

LCA

Eco-Metrics

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LCA - Life cycle analysis of fibers

Comprehensive evaluation of fibers (ISO 14040 series)

Utrecht University, The Netherlands (Prof. M. Patel, LiShen)

Assessment of sustainability of Lenzing fibersin comparison to cotton, polyester and polypropylene.

11 environmentally relevant factors studied

Peer studies confirm results

Result:

Environmental load of Lenzing fibers is significantly lower thanthat of cotton!

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Energy: Non-Renewable Energy Use (NREU)

Global Warming (kg CO2 equivalents)

Land use for biomass production

Water use

The CML indicators (Center for Environmental studies, University Leiden /Netherlands)

1. abiotic depletion

2. human toxicity

3. fresh water ecotoxicity

4. terrestrial ecotoxicity

5. photochemical oxidant

6. acidification

7. eutrophication

What are the environmental impacts?

36 PET

(W.E

urop

e)

PP(W

.Eur

ope)

Cotto

n(U

S&CN

)

Tenc

el,Au

stria

Lenz

ing

Moda

l

Tenc

el,Au

stria

, 201

2-20

0

20

40

60

80

100

78

56

34

26

1613

Net NREU (GJ/t fibre), Cradle-to-factory gateplus post-consumer waste incineration

Cotton

37 PET

(W.E

urop

e)

PP(W

.Eur

ope)

Cotto

n (US

&CN)

Tenc

el,Au

stria

Tenc

el,Au

stria,

2012

Lenz

ingMo

dal

-1

0

1

2

3

4

5

6

-0.3

3.1

5.5

4.2

2.1

1.1 0.9

Net GWP (t CO2 eq./t fibre), Cradle-to-factory gateplus post-consumer waste incineration

Cotton

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Up to 70 % less required acreage

Required acreage for the production of 1 ton of fiber

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Up to 20 times less water consumption

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Life cycle analysis - relativeenvironmental load per ton of fiber

Global warming Consumption of non-renewable

resources

Human health Soil pollution Water pollution Air pollution Ozone layer depletion Acidification of air, water and soil Eutrophicationsoil pollution

waterpollution

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VNIX Sustainability Index

CSR Ranking Austria 2008

Eco-Label of the European Commission

Responsible Care

Panda-Award (WWF Austria)

DIN CERTO

R.I.O. Award 2006

KOTEX

European Environmental Award

Nordic Swan

Awards

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Green Finishing

Lenzing AG in co-operation with

Dystar, Huntsman, Then

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Efficiency in Dyeing & Finishing

TENCEL is the purest cellulosic fiber with no contamination likecotton seeds, heavy metals, waxes or sulphur therefore Little or no scouring is needed in knitted fa