March 25, 1996

The announcement of expansion at the Yatsushiro Mill

Nippon Paper Industries Co., Ltd.

Nippon Paper Industries Co., Ltd. announced the capital investment and the improvement plan of mill's efficiency and productivity at the Yatsushiro mill, which was under the consideration for the past years.
 
The details of announcement
1) Main objective of capital investment
 * The restructuring for improvement of mill's cost competitiveness
 * The expansion of newsprint machine
 
2) Expansion and shut down details
 a) Expansion of No.2 machine
   Monthly production capacity 20,000 tons
   (5 A rolls size newsprint)
   Wire width 9000 mm with the average speed of 1500 meter per minute
 
 b) Machines to be shut down after the start-up of new No.2 machine
   No.2 newsprint machine with capacity of 5,500 tons per month
   No.3 newsprint machine with capacity of 5,500 tons per month
   No.5 fine paper machine with