Customer focus. Just good isn t good enough

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3 Just good isn t good enough We have the energy and motivation to be the best. We want to learn and improve constantly. We appreciate a challenging partnership with our customers and colleagues. By sharpening and challenging each other, we create a basis for long-term working relations and shared success. Customer focus We live in our customers world - that s our passion. Therefore one of our key tasks is to know the challenges which our customers are facing. We listen to the customer and act accordingly. We understand how our customers want to develop. We understand how brands need to be positioned and how they should influence consumer behaviour and naturally, we have a keen understanding of retail trends. We want to make a difference for our customers. We work together smoothly and professionally, think in terms of solutions, and offer pro-active knowledge. Nothing is so infectious as enthusiasm, and we radiate this feeling to our customers. We want to build on their success and enable their future Our extensive knowledge Right first time A sustainable approach Efficiency Sustainability Impact Supply chain optimisation 3 4

4 Right first time To put our customers minds at rest in the development of packages, everything has to be right. In fact we are an essential link in the chain for our customers. We can be proud of our quality level, reliability, and administrative organisation in the retail supply chain. Our extensive knowledge Smurfit Kappa has an enormous amount of specific knowledge about packaging, the packaging process, and packing machinery. We make this knowledge available to our customers. We do this via our Development Centre, Designer Network, Machine Systems, Customer Support departments, and concepts such as Retail Ready Packaging (RRP), in-store marketing, and via our InnoTools. we are able to offer expertise to take on the challenges of our customers like no other company. Smurfit Kappa offers several innovative solutions in the following fields: product optimisation (InnoTools like Pack Expert and Paper to Box), supply management for customers (VMI), e-commerce (web shop), and sustainability (FSC). Furthermore, we offer a unique and diverse range of products geared to the supply chain of our customers, from Point-of-Sale (POS) to consumer packaging and displays, from retail to fanfold, industrial heavy duty to XXL packaging, and from corrugated board to solid board. We print not only flexo, but also offset. In short, our operational performance is unmatched. We have companies with specific knowledge and experience in every market sector or product group. This is why we, as the Smurfit Kappa group, offer the unique combination of local services and customer focus of the companies and access to a network of specialists in the Benelux, Europe, and Latin America. This means we can always offer a solution to suit our customers. 5 6

5 Building on the success of our customers The core of our mission is to help our customers become more successful in their own markets. Since many of our customers operate in highly competitive markets, this success will not happen by itself. The success of our customers is our success. We want to support our customers with that success. We aim to do this on the one hand with a combination of our knowledge and innovations and on the other hand with our operational performance. We can do so as individual companies. Yet we can do it much better together. As a group of specialist companies, we co-operate to develop the best possible solutions for our customers. As one Smurfit Kappa, we are building towards the success or our customers. A sustainable approach to develop a healthy future For us, sustainability implies a clear commitment to the three sustainability principles: People, Planet and Profit. The health and safety of our people are an integral part of our business. Furthermore, we also encourage social involvement. We work together with our customers to produce packaging in the most sustainable way developing packaging solutions with only minimal impact on the environment. We develop sustainable, innovative, fit for-purpose, right-weighted, as well as cost effective packaging. Customised machines Smurfit Kappa offers complete packaging solutions. This also includes machines. Our technicians are unrivalled as far as their experience and knowledge of packaging machines is concerned. We work closely with our customers to guarantee that each detail is taken into consideration, from concept to integration, and from optimisation of the packaging process to efficiency improvement. We supply customised solutions to meet the customer s wishes. 7 8

6 Efficiency enabled by Smurfit Kappa We are SAS Koffie, a Belgian coffee producer. We ve been making mainly private label coffee for years. We never really gave lengthy consideration to coffee packaging. We used what our customers asked us to use. This was frequently different packaging. There was room for more efficiency! We asked Smurfit Kappa to help us devise a suitable solution for all our products for all our various customers. SAS Koffie saves 50% on packaging material thanks to the innovative clickbox. That s efficiency for you! This was no easy task in view of all the different sorts of coffee which are available nowadays. From full bean to filter coffee and pads, everything had to be stored and transported in its own packaging. Furthermore, the packaging had to be shelf ready. The existing packaging solution did not meet these needs. 9 10

7 Clickbox Smurfit Kappa has developed the innovative clickbox, specially for SAS Koffie. An ingenious little folding box with a perforated edge, the clickbox saves up to 50% in packaging material for coffee businesses. Furthermore, SAS Koffie no longer transports any thin air. All the space in the box is now used to the full. The pallet is loaded much more efficiently because the packaging is nestable, i.e. fewer layers of pallets are needed to transport the same quantity of coffee. This has reduced the number of transported freight containers per annum drastically. transport less air 50% less material Shelf Ready Packaging Efficiency INNOTOOL: InnoBook Smurfit Kappa made use of InnoBook for SAS Koffie. InnoBook is a unique library with over 4000 packaging solutions. Here we made use of all the ideas which the 650 designers all over the world have. This means there is always a suitable packaging solution for your request. InnoBook offers the most diverse and creative packaging designs to give you plenty of inspiration. Once we have arrived at a particular solution, we adapt the packaging to your specifications. The designers from Smurfit Kappa help to refine InnoBook every day, so that the number of packaging ideas continues to grow. This makes InnoBook a unique and powerful knowledge bank for your packaging request. In fact, the more ideas we have, the better we are equipped to meet your packaging needs! Could it be any more efficient? Yes, it could. On the shop floor, too, the clickbox can result in savings. The ingenious perforated and folding edge means that supermarket staff now spend less time in stacking coffee on the shelves. That saves a lot of time in the shop as well. The clickbox acts in this way not only as a transport box, but also as a shelf display. Why do things the hard way? 11 12

8 Sustainability enabled by Smurfit Kappa We re Arla Foods from Nijkerk. Every day, we provide tasty dairy produce, cheese specialities, and butter, made with respect for mankind, animals, and the environment. We do this with strong brands such as Friesche Vlag, Arla, Milk & Fruit, Breaker, Arla Apetina, Castello, and Lurpack. We like to bring consumers closer to the natural world with our products. This is why we also accept responsibility in the field of sustainability. We do this in the production of our dairy produce, but also with everything else, from ingredients to packaging and from transport to our internal administration. Or, as we always say, from cow to customer. Arla Foods challenged Smurfit Kappa to make a secondary line of packaging in a sustainable manner at a competitive price. -and we did it! The solution completely satisfied the high sustainability requirements of the Nijkerk-based company. Smurfit Kappa has made an important contribution to the further development of Arla as a sustainable producer of dairy products. Arla attaches great importance to the FSC certificate which Smurfit Kappa has because this gives the assurance that all packaging material is made from sustainable material. Smurfit Kappa aims to ensure that all the paper and packaging which is produced are made from sustainable sources. In this way Smurfit Kappa makes it possible for us to come a step Closer to Nature. 14

9 Sustainability is in the genes Arla and Smurfit Kappa both have a clear view of sustainability. They lead the market together in this field. Cardboard can easily be recycled and is made largely from recycled paper and cardboard. Smurfit Kappa helps its customers to make their business more sustainable and completes the circle in terms of responsible forest management and re-use of raw materials. CO2 reduction is part of its policy. Smurfit Kappa is FSC certified and constantly occupied with reducing waste and consumption of energy, water, and raw materials. Recently, Smurfit Kappa won a sustainability award from one of our international customers. All these things show that Smurfit Kappa can call itself an integrated company and can be proud of it. primary packaging FSC certified secondary packaging FSC certified Sustainability INNOTOOL: Paper to Box Smurfit Kappa made use of the InnoTool Paper to Box in the case of Arla. This software established what the most suitable material composition is for a particular packaging solution and prevents excess or insufficient specification of products. Arla and Smurfit Kappa always give priority to product protection. At the same time they needed to consider saving material and the fact that the material originated from controlled sources. And so, this was the perfect assignment for Paper to Box. With the use of this tool, Smurfit Kappa was able to develop a cost-saving solution for Arla in which they optimised both the transport and the use of material. Paper To Box deploys the very latest scientific insights and combines them with packaging tests and the practical experience of Smurfit Kappa all over the world. This software also makes it possible to set benchmarks for cardboard material which must meet particular customer requirements such as a low CO 2 impact, for instance. In this way we guarantee that you receive the correct material to meet all your requirements

10 Impact enabled by Smurfit Kappa We are Carlsberg, one of the most famous beer brands in the world. Baltika and Tuborg also belong to the Carlsberg Group and, together with Carlsberg, are in the top six major beer brands. We sell our products in over 150 countries. In Belgium we are the undisputed market leader in the field of premium lager beers. This is the result of consistent brand communication and activation. We attach great importance to the presentation of our products, that they look like real premium brands. The features of this are the bottle, slogan, and the recognisable green colour. A strong brand image, innovative displays, and qualitative point-of-sale (POS) materials. By means of colour printing, Carlsberg has confirmed its leading market position and has an excellent image. Smurfit Kappa has made some striking suggestions and visualised them in advance in 3D so that Carlsberg has had a good impression of the character of the shops. Furthermore, Smurfit Kappa is the central point of contact for handling the POS materials, including the assembly and furnishing of the displays and the co-ordination of co packing assignments. This was a partnership with an impact! 17 18

11 Father s Day Gift Box Together with Smurfit Kappa, Carlsberg has developed various POS materials such as displays and gift wrappings. With innovative solutions and high quality printing, Carlsberg products really do stand out in the shops. One of the ingenious solutions has been the special Father s Day Gift Box, which Smurfit Kappa has developed together with Carlsberg. This is intended primarily for Father s Day, but very soon it became apparent that the effect and functionality of the box is suitable for selling Carlsberg products throughout the year. And so, a solution designed for one day in the year became a solution for 365 days each year. Brand perception Brand recognition Impact INNOTOOL: Colour Printing To produce the Carlsberg POS and packaging material, Smurfit Kappa made use of the InnoTool Colour Printing. This tool is a collection of all printing possibilities in combination with an overview of the various sorts of paper and cardboard, which can be printed. This ranges from lithographical and flexographic post-print to top quality post-print (HQPP), pre-print and screen printing, to digital print. With each new issue, Smurfit Kappa draws its inspiration from the Colour Printing database for some new solutions, which are the most suitable for you. Smurfit Kappa starts from your marketing objective and converts this into packaging which helps to keep a firm ahead of your rivals on the shop shelf. That s where the products vie with each other to win the consumer s heart. A strong packaging design provides brand recognition and contributes to the brand image both for primary and secondary packaging. This is packaging with an impact

12 Supply chain optimisation enabled by Smurfit Kappa We are Lotus Bakeries, makers of those delicious biscuits and cakes. In Belgium, the Netherlands, France, Sweden, and Canada, we bake all sorts of delicacies, from ginger biscuit and gingerbread (breakfast snack) to waffles and gingerbread biscuits. We sell all those delights under the brands of Lotus, Peijnenburg, and Anna s. We strive to maintain a healthy balance between innovation and tradition in the production and development of all our products. The (secondary) packaging of biscuits has to meet several demands. Firstly, our products must pass through the entire supply chain intact and arrive at the retailer s crispy and whole. No one enjoys going home with a packet of delicious biscuits, which have disintegrated into thousands of pieces. Lotus Bakeries and Smurfit Kappa have worked together to optimise the packaging along the entire logistics chain. Since the logistics chain involves several steps, it was a challenge to develop the right packaging to be efficient and functional at every step of the way. After a thorough analysis of the entire process, Smurfit Kappa and Lotus Bakeries together achieved, among other things, an increase in the number of boxes (and thereby products) per pallet. This has resulted in savings of about 1000 pallets a year. This reduction in pallets has resulted in indirect savings in handling, storage costs, and transport costs and has also had a beneficial impact on the environment

13 Quick Scan A quick scan of the entire logistics chain of Lotus Bakeries has led to customised solutions for various production locations. Smurfit Kappa analysed each step in the supply chain extensively and monitored all incoming and outgoing goods. This gave a full and unique impression of the entire trajectory which packaging completes, from supply to processing, storage, distribution, and presentation in the shops. This is a special trajectory because it requires an intensive share of knowledge. By combining the knowledge of the entire production process with the experience in the development of innovative packaging solutions, Smurfit Kappa arrived at various ingenious solutions for improving efficiency. This helped to cut down on costs for Lotus Bakeries and work at the same time on new packaging products. Pallets a year Costs Supply chain INNOTOOL: Pack Expert For Lotus Bakeries Smurfit Kappa made use of the InnoTool Pack Expert. Smurfit Kappa has developed this intelligent software on the basis of our extensive knowledge of the supply chains of the most diverse markets. Pack Expert does the calculations for all packaging solutions. Pack Expert automatically calculates the conditions which the packaging has to meet in order to ensure that the logistics run as efficiently as possible on the basis of questions such as: How many boxes do we need? What s being transported inside them?, Which pallets are being used?, and How are the products being transported? Furthermore, Pack Expert also automatically determines how sustainable the packaging is. The sustainability module calculates the CO 2 emission for the entire logistics chain and, what s more, also makes it possible to compare CO 2 values. Pack Expert bases its calculations on practical experience of 20,000 supply chains and 4400 customers

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15 Smurfit Kappa Warandelaan PC Oosterhout the Netherlands T (+31) F (+31)