THE EGGER SAWMILL. AT THE FULLy INTEGRATED BRILON PLANT.

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1 THE EGGER SAWMILL AT THE FULLy INTEGRATED BRILON PLANT

2 _ EGGER SAWMILL IN BRILON BACK TO OUR ROOTS CONTENTS EGGER SAWMILL IN BRILON A STRONG DIVISION WE MAKE MORE FROM WOOD RESPONSIBILITY FOR PEOPLE AND THE ENVIRONMENT CERTIFICATES FROM TREE TO PRODUCT OUR PLANT: STATE-OF-THE-ART PRODUCTION FACILITIES FOR YOU AT THE RIGHT SPOT EGGER Sawmill in St. Johann in Tirol,

3 _ EGGER sawmill in Brilon EGGER SAWMILL IN BRILON RIGHT IN THE HEART OF EUROPE OUR SAWMILL IN BRILON WAS BUILT IN THEREBY WE, AS A WOOD-BASED PRODUCTS COMPANY, CAME BACK TO OUR ROOTS. More than half a century ago, Fritz Egger Snr. laid the foundation to a remarkable development in establishing a sawmill in St. Johann in Tyrol. First producing chipboard in 1961, EGGER has become a leading producer of wood-based products in Europe. Located in the heart of Europe, Brilon is surrounded by vast areas of forest, providing an excellent location for the sawmill. The site is fully integrated in the existing production of wood-based products and enables us to exploit various synergies. Our well-conceived logistics via truck and railway is for your benefit. Hochsauerland, the region in which the Brilon sawmill is located, is 70 % forested, so we can draw upon extensive woodland, within the richest forest in the whole of Germany. The quality of the wood originating in this region and the people s attachment to wood as a resource, make Brilon the ideal site for our sawmill. Learn more about our company, our products, available certificates and our sustainable handling of wood on the following pages. Speak with us about your ideas! Log yard Saw line Stock 03

4 _ EGGER Building Products A STRONG DIVISION Dynamic market growth in the structural wood products segment, a clear focus on market and customer demands and harnessing internal expertise were key reasons for the formation of the new EGGER Building Products Division (EBP) in As a solid wood production site, the EGGER sawmill in Brilon is a key part of EGGER Building Products. Along with the structural wood-based materials OSB and DHF from the EGGER plant in Wismar / DE and OSB from Rădăuți / RO, this business area produces numerous wood products for construction applications. The products are offered to our customers in Europe and overseas. Key areas of application are building with wood, concrete formwork and packaging. Bringing together our building products realises synergy effects and therefore offers numerous advantages. Delivering everything from a single source guarantees a high level of technical expertise and product quality while improving flexibility and product availability. The structures within the EGGER Group are also used to best advantage for the benefit of our customers. EGGER Building Products pursues sustainable development within the EGGER Group. Innovative products and high quality standards constitute an important basis for healthy growth. Our dedicated and highly qualified employees make a major contribution to our success. Offering substantiated product and system solutions for structural applications to distributors, manufacturers and builders is a strategic objective pursued by EGGER. Comprehensive product information, environmental product declarations and technical planning documents are available for this purpose. Technical support via our application technology hotline has been set up for planners and manufacturers, offering significant additional benefits to EGGER customers. Timber DHF vapour-permeable wood fibreboards EGGER OSB boards EGGER OSB boards, T&G 04

5 _ EGGER BUILDING PRODUCTS... IS SUPPORTED BY ALL Our employees define the family company through their dedication, expertise, experience and loyalty. They form the foundation for manufacturing products of the highest quality. Innovative wood construction projects can therefore be realised around the world

6 _ WE MAKE MORE FROM WOOD IN ThE BEGINNING IS ThE TREE... 06

7 _ WE MAKE MORE FROM WOOD THEN, WE MAKE MORE from WOOD CUSTOMISED PRODUCTS: THAT S OUR ASPIRATION. WE INvESTED IN STATE OF THE ART TECHNOLOGY FOR OUR SAWMILL, PLANER LINE AND KILN CHAMBERS. WE CUT m³ LOGS PER YEAR, AND WE CAN REACT TO YOUR DEMANDS WITH GREAT FLExIBILITY. EGGER timber is sold worldwide and is used in various applications in both sawn and planed form. From the logs delivered to the sawmill, we produce quality sawn and planed timber for a wide variety of applications. EGGER timber is utilised as construction material for the prefabricated house industry, the building sector, as well as the DIy sector and the packaging industry. Our high quality standards regarding the finished product are to the fore as are our reliability and flexibility. With 800,000 solid cubic metres of harvesting annually, we are very flexible in responding to your needs. In all end use areas our timber fulfils international quality standards. For the European market we offer, for example, stress graded timber for use in construction. We offer a broad range of visually and mechanically graded products with CE marking. Certification is available e. g. for the Australian and American markets, where we support you with mechanically graded timber in classes MGP 10/12/15 as well as visually graded No.2&Btr. in all common dimensions. Our kiln dried timber is available with a moisture content from 8 20 %. State of the art kiln chambers, which are certified according to IPPC Standard, ISPM 15, ensure constant high qualities. Our claim is to provide consistently high quality in all respects. We document this claim in our EGGER Environmental Product Declarations. This builds trust and offers security. After all, EGGER takes its responsibility to people and the environment seriously. This is why operating in a sustainable manner is common practice for us. Environmental Product Declaration Environmental Product Declaration according to ISO Declaration number EPD-EHW E EGGER Timber The sustainability and environmental compatibility of our timber products has been verified and confirmed by independent institutes and disclosed in our environmental product declarations (EPDs according to ISO 14025). This certificate is required for the evaluation of the sustainability of buildings and it is, as a matter of course, available for all relevant product groups of EGGER. Institut Bauen und Umwelt e.v. 07

8 _ We make more from wood EGGER TIMBER best quality timber EGGER timber is obtainable in a wide range of controlled and certified products. Applications range from construction, prefabricated house building, the retail area and semi-finished products for the processing industry through to packaging products. GENERAL INFORMATION ON OUR PRODUCTS EGGER timber is produced in three different product groups green, kiln dried (KD), planed (S4S) according to the customers request regarding quality and dimension. Range of dimensions Minimum [mm] maximum [mm] Length Thickness Width PRODUCT FEATURES product group Kiln drying * (KD) moisture content u [%] Optional sorting by strength Surface Edge profile Visual Mechanical Timber, fresh no* > 20 yes no sawn sawn cut square edge Timber, dried yes 20 yes yes sawn / surfaced sawn cut square edge Planed wood yes yes yes planed sharp / bevelled / rounded * Heat treatment according to IPPC, ISPM 15 is possible PRODUCT PARAMETERS CAN DIFFER, DEPENDING ON THE REQUESTS OF OUR CUSTOMERS AND OF THE MARKET Alongside visually stress graded products there is a wide range of mechanically stress graded products available. For all relevant markets we are able to supply products with specific certification. We offer CE marking for the European market on both visually and mechanically stress graded timber. Further certification is at our disposal in all common dimensions for structural timber. Certification Standard Visual grading Mechanical grading Europe EN C16 / C18 / C24 C16 - C40 Australia AS / NZS 1748 / 2858 F5 / F8 MGP 10 / 12 / 15 North America PS NO.1 / NO.2 / 2COM / 3COM - 08

9 _ We make more from wood STRUCTURAL-PHYSICAL CALCULATION VALUES Criterion * Standards Properties Reaction to fire ( > 22 mm) DIN EN D-s2, d0 Building material class DIN B2 normal flammability Thermal conductivity λr EN ,13 W/(mK) Water vapour diffusion resistance indicator µ EN /20 (dry/wet) Specific thermal capacity c EN J/(kgK) Natural durability (spruce / pine) EN / 3-4 * wood with 500 kg / m³ raw density ρ 15 (15% MC) PACKAGING Green timber is strapped with plastic straps and put on stick, depending on the customer requirements. In order to protect our products we deliver our kiln dried timber and S4S products fully wrapped. 09

10 _ RESPONSIBILITY FOR PEOPLE AND THE ENvIRONMENT OUR LOVE Of ThE RAW MATERIAL... 10

11 _ RESPONSIBILITY FOR PEOPLE AND THE ENVIRONMENT wood RESPONSIBILITY FOR PEOPLE AND THE ENVIRONMENT THE EGGER SAWMILL IN BRILON PROCESSES SOFTWOOD, MAINLY SPRUCE (WHITEWOOD), FROM SUSTAINABLE MANAGED FORESTS IN NORTH RHINE WESTPHALIA, HESSE AND LOWER SAXONY A responsible approach to our wood raw material and a strong environmental awareness are second nature to us. Our committed employees in the wood purchasing department serve as regional contact persons for our partners in the forestry and distribution sector. Supplying logs for the sawmill, our partners are in a good position to profit from our proximity to the wood-based products facility. As a fully integrated site we can accept the whole range of products offered by our forestry partners. Consequently even smaller dimension logs out of forest thinnings can be utilised. This means our suppliers benefit and we can avail ourselves to new optimized purchases. Environmental protection starts with sustainable forestry Responsible and sustainable forestry is a top priority for EGGER. This principle is anchored in our core values. With PEFC* (CoC) and FSC** (CoC, CW) chain of custody certification, we have this claim confirmed by independent third parties. With the chain of custody certification from PEFC and FSC, third parties approve that our whole product range conforms to the criteria of sustainability guaranteed! PEFC/ Promoting Sustainable Forest Management * PEFC (Programme for the Endorsement of Forest Certification Schemes) Long-term partnerships with all log providers, which guarantee sustainable forestry, are to the fore. ** FSC (Forest Stewardship Council) 11

12 _ CERTIFICATES Certification your guarantee for... For you, all our products are geared to your requirements and markets and they are certified accordingly. Our internal quality management and close cooperation with accredited testing institutes ensure a permanent monitoring of the production process and a strict final inspection. As a consequence the EGGER Sawmill in Brilon adjusts its product groups to the needs of its customers and to the requirements specific for the country and the market. EGGER timber is distributed around the world and used for a wide variety of applications. Our timber meets national and international requirements in all areas of application. The highest quality standards Securing the country specific requirements, we liaise closely with accredited testing institutes in the respective markets. Our on-going internal self-monitoring guarantees continuously the high quality of our products. WE RE EXAMINED! Our quality management system is certified by independent auditors and thereby fulfils the high requirements of ISO The commitment of our employees in all relevant bodies regarding standards and organisations supports further development and advancement of all product groups on a national and international level. 12

13 _ CERTIFICATES QUALITY AND RELIABILITY! 13 13

14 _ FROM TREE TO PRODUCT from TREE TO PRODUCT WE BIND IN CO₂ By the processing of wood, 4.64 million tons CO₂* are bound in EGGER products every year*. This amount equals a CO₂-emission of 1.03 million households**. Through the usage of recycled wood we save the environment 1.53 million tons CO₂ per year and by the usage of our biomass power plant we generate, in comparison to the combustion of natural gas, a CO₂-conservation of 695,000 tons. 1 m³ of spruce wood bind in 825 kg of CO₂ 1 m³ of OSB boards bind in 864 kg of CO₂ 1 m³ of raw chipboard bind in 745 kg of CO₂ 1 m³ of MDF board bind in 505 kg of CO₂ 14 * Ascertained by the global warming potential determined in the EGGER EPDs (in kg of CO₂ equivalents, based on 2010/2011 production figures) ** An average European household, with three people, generates round about 4.5 tons of CO₂ per year Source: EUROSTAT 08/2008

15 _ FROM TREE TO PRODUCT A CLOSED CYCLE WE ORIENTATE OURSELVES TOWARDS THE FUNDAMENTAL IDEA OF SUSTAINABILITY BECAUSE WE KNOW THAT OUR ACTIONS TODAY DETERMINE THE QUALITY OF OUR FUTURE LIVING ENVIRONMENT. AS A CONSEQUENCE WE GAVE IN OUR MISSION STATEMENT THE HIGHEST PRIORITY TO THE SUSTAINABLE USAGE OF RAW MATERIALS. Therefore we depend upon fully integrated plants where we substantially utilise wood. This principle is used in the timber production as well as in the production of chipboards, MDF-boards, wood-based products in general and laminate floorings. Residual wood and recycled timber which cannot be used in the production are burned in our own biomass power plant and transformed into energy for the production process. In this way we utilise the re-usable material in an optimal climate-friendly manner. In our ecological cycle we have given consideration to all processes and to our philosophy. An essential contribution to a healthy and complete living environment is the reduction of greenhouse gases in the atmosphere. Wood products which we use do have a clear advantage regarding climate change: they are carbon dioxide neutral, because through the process of photosynthesis, carbon dioxide is bound in the wood. By the substantial and thermal utilisation of wood, we are contributing to the reduction of the climate-damaging greenhouse gas carbon dioxide. sawmill From the tree to the product the ecology lifecycle illustrates all processes. 15

16 _ OUR PLANT: STATE-OF-THE-ART Production FACILITIES OUR PLANT: STATE-OF-THE-ART Production FACILITIES Innovative sawmilling technology and synergistic benefits by the linking to the on-site wood-based products are a guarantee of considerable advantages for us both. Thanks to a direct railway link, we are able to ensure environmentally friendly transportation and delivery structures. The five hectare log yard gives a stock capacity of 80,000 m³ logs. Long logs from 6 to 20 m and short logs from 3 to 5 m are stored and processed. Inbound logs are measured with calibrated 3D equipment. With 20 sophisticated kiln chambers, there is a kilning capacity of c. 370,000 m³ available. The thermal energy needed for the kilning process is taken from the on site biomass power plant. In the sawing hall, logs from 3.0 to 5.4 m length and from 12 to 55 cm in diameter can be processed. The maximum infeed rate is 180 m/min. This typically results in 1,500 m³ logs being cut on average per shift. The sawn timber is graded at two high-efficiency sorting stations. The maximum speed per station is 220 pieces per minute. The finished timber is stored on the 40,000 m² asphalted site with higher quality products stored under cover in a 15,000 m² purpose-built shed. Order picking is done there for loading and onward worldwide transport via truck, railway or container. Residues from the production process are transported through a 1.6 km long conveyor belt system to the adjacent wood-based products site for further use. Our efficient planer line enables further processing of the timber (with a length from 1.8 to 5.4 m) at a maximum feed rate of 750 m/min. The paths of production and logistics at the site in Brilon Rail Truck Conveyor belt for by-products from sawmill and planing mill District heating 16

17 _ OUR PLANT: STATE-OF-THE-ART Production FACILITIES Our sawmill covers an area m adjoining the plant of EGGER wood-based products. The EGGER plant in Brilon covers an area of 570,000 m2 and encompasses a rail network with a length of approximately 5 km

18 _ FOR YOU AT THE RIGHT SPOT! AT ThE RIGhT TIME... At the right time and the right place for you logistics keep EGGER moving. In order to deliver our products quickly and reliably, we depend on electronic stock management and the best application of differing means of transport, railway, vessel and truck which are all available to us

19 _ For you at the right spot! For you at the right place! We think internationally and act locally. The proximity to you and the raw material is of the utmost importance. We have plants in seven different European countries. Our intentions are to further develop and modernise these, to expand existing markets and to exploit new markets. For that reason we decided to build our own sawmill in 2007, which started up in All available means of transport from railway to vessel are deployed, to be in a position to quickly be wherever you need our products at anytime. Allow yourself to be convinced by us! We are an international company with Tyrolean roots, whose emphasis is on its activities in Europe, but simultaneously we deliver to strategically important overseas markets employees 17 plants 1 philosophy 1 Team Production sites 1 St. Johann in Tirol AT 2 Wörgl AT 3 Unterradlberg AT 4 Brilon DE 5 Bevern DE 6 Gifhorn DE 7 Bünde DE 8 Marienmünster DE 9 Wismar DE 10 Hexham UK 11 Barony UK 12 Rambervillers FR 13 Rion des Landes FR 14 Shuya RU 15 Gagarin RU 16 RĂdĂuŢi RO 17 Gebze TR sales offices 1 TOURS FR 2 Zulte BE 3 TISTRUP DK 4 KRIENS CH 5 treviso IT 6 ŠENČUR SI 7 VARAŽDIN HR 8 HRADEC KRÁLOVÉ CZ 9 PoznaŃ PL 10 BUDAPEST HU 11 Smederevo RS 12 SOFIA BG 13 Bucureşti RO 14 İstanbul TR 15 VILNIUS LT 16 Minsk BY 17 KIEV UA 18 Moscow RU 19 Shanghai CN 20 TokYo jp 21 New Delhi IN 22 Santiago de chile CL 23 Melbourne AU 19

20 EGGER Building Products GmbH Weiberndorf St. Johann in Tirol Austria T F [email protected] EGGER Sägewerk Brilon GmbH Im Kissen Brilon Germany T F [email protected] EN_822079_01/14 Subject to technical modifications and amendments. 20