Press ReleasesNippon Paper Industries Establishes Nippon Paper Logistics Co., Ltd., an Intermediate Holding Company for Logistics Subsidiaries

Nippon Paper Industries Co., Ltd.

Nippon Paper Industries Co., Ltd. (President: Fumio Manoshiro; hereinafter, "the Company") today announced that it has formed Nippon Paper Logistics Co., Ltd. (hereinafter, "Nippon Paper Logistics"), a wholly owned subsidiary, as a holding company of NIPPON PAPER LOGISTICS CO., LTD.(President: Tetsuya Oichi; Headquarters: Soka-shi, Saitama; hereinafter, "NIPPON PAPER LOGISTICS"), NANKO UNYU CO., LTD.(President: Koichiro Uchida; Headquarters: Ishinomaki-shi, Miyagi; hereinafter, "NANKO UNYU") and KYOKUSHIN TRANSPORT CORPORATION(President: Masayuki Ikeda; Headquarters: Tomakomai-shi, Hokkaido; hereinafter, "KYOKUSHIN TRANSPORT"), the main logistics subsidiaries of the Nippon Paper Group(hereinafter, "the Group").

The logistics subsidiaries engage in the logistical operations of the Group on a regional block basis, mainly offering the transportation of the products and materials manufactured or used by the Group's nationwide plants. KYOKUSHIN TRANSPORT covers Hokkaido, NANKO UNYU covers Tohoku, and NIPPON PAPER LOGISTICS covers an area extending from Kanto to Kyushu. With the establishment of Nippon Paper Logistics, the Group aims to strengthen collaborations among the logistics subsidiaries, in which the company is expected to play a pivotal role. Specifically, while maintaining the strengths established in their respective regions, the logistics subsidiaries will enhance wide area-based collaboration through transportation relays for long-distance transportation, work to retain truck drivers through improved working conditions and promote efficient round-trip transport.

In addition, Nippon Paper Logistics will also undertake the planning of logistics strategies for the Group's products as a whole, working on the improvement of logistics efficiency in consumption areas, such as the consolidation of logistics bases beyond the categories of the Group's products and an increase in turnover rates and loading efficiency of truck deliveries for customers. It will also actively seek collaboration with other companies in the same and in different industries, and will aim to establish more competitive logistics platforms.

1. Overview of Nippon Paper Logistics

(1) Headquarters 4-6 Kandasurugadai, Chiyoda-ku, Tokyo
(2) President

Takeo Konno (Executive Officer, and General Manager of

Sales Management & Planning Div. of the Company)

(3) Founded June 29, 2017

(4) Capital

10 million yen (wholly owned the Company)

2. Main logistic system of the Group