9 May 2019

Chief Executive Officer

Steve Binnie

Sappi Limited

Q2 FY19 financial results delivering on

strategy

2019

Vision2020

intentionalevolution

next phase

growth

1

Forward-looking statements and Regulation G

2

Forward-looking statementsCertain statements in this release that are neither reported financial results nor other historical information, are forward-looking statements, including but not limited to statements that are predictions ofor indicate future earnings, savings, synergies, events, trends, plans or objectives. The words “believe”, “anticipate”, “expect”, “intend”, “estimate”, “plan”, “assume”, “positioned”, “will”, “may”, “should”,“risk” and other similar expressions, which are predictions of or indicate future events and future trends and which do not relate to historical matters, identify forward-looking statements. In addition, thisdocument includes forward-looking statements relating to our potential exposure to various types of market risks, such as interest rate risk, foreign exchange rate risk and commodity price risk. Youshould not rely on forward-looking statements because they involve known and unknown risks, uncertainties and other factors which are in some cases beyond our control and may cause our actualresults, performance or achievements to differ materially from anticipated future results, performance or achievements expressed or implied by such forward-looking statements (and from past results,performance or achievements). Certain factors that may cause such differences include but are not limited to:

The highly cyclical nature of the pulp and paper industry (and the factors that contribute to such cyclicality, such as levels of demand, production capacity, production, input costs including rawmaterial, energy and employee costs, and pricing)

The impact on our business of adverse changes in global economic conditions Unanticipated production disruptions (including as a result of planned or unexpected power outages) Changes in environmental, tax and other laws and regulations Adverse changes in the markets for our products The emergence of new technologies and changes in consumer trends including increased preferences for digital media Consequences of our leverage, including as a result of adverse changes in credit markets that affect our ability to raise capital when needed Adverse changes in the political situation and economy in the countries in which we operate or the effect of governmental efforts to address present or future economic or social problems The impact of restructurings, investments, acquisitions, dispositions and other strategic initiatives (including related financing), any delays, unexpected costs or other problems experienced in

connection with dispositions or with integrating acquisitions or implementing restructurings or other strategic initiatives, and achieving expected savings and synergies, and Currency fluctuations.

We undertake no obligation to publicly update or revise any of these forward-looking statements, whether to reflect new information or future events or circumstances or otherwise.

Regulation G disclosureCertain non-GAAP financial information is contained in this presentation that management believe may be useful in comparing the company’s operating results from period to period. Reconciliation's ofcertain of the non-GAAP measures to the corresponding GAAP measures can be found in the quarterly results booklet for the relevant period. These booklets are available on our website:https://www.sappi.com/quarterly-reports.

Highlights – Q2 2019

3

EBITDA* -11%year-on-year

Profit for the periodUS$72 million

EPS 13 US cents

Net debt +3%year-on-year

o Unexpectedly weak global market conditions for printing and writing papers

o Downtime of ~85,000t graphic paper• US$23m EBITDA impact estimated• Our inventory levels have normalized

o Good DWP sales volumes post debottlenecking

Key ratios Q2 FY17 Q2 FY18 Q2 FY19

Net debt/LTM EBITDA 1.7 2.2 2.1

Interest cover 7.7 11.0 10.5

EBITDA % 15.8 14.1 12.4

ROCE % 20.5 16.8 13.1

* Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items.

Excluding special items*

EBITDA* reconciliation

4

140

180

220

260

300

211 1 79 (76) (44) 9 7 187

Q2 FY18 EBITDA Sales volume Price & mix Variable & deliverycosts

Fixed costs Other Exchange rate Q2 FY19 EBITDA

Q2 FY18 to Q2 FY19

US$

milli

on

Notes:

1. All variances were calculated excluding Sappi Forestry.

2. “Currency conversion” reflects translation and transactional effect on consolidation.

3. EBITDA = EBITDA excluding special tems

2019 2018Exchange rates:Average rate for the Quarter: US$1 = ZAR 14.0203 11.9577Average rate for the Quarter: €1 = US$ 1.1360 1.2286

Mar

Product contribution split – LTM

5

* Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items. Data above excludes treasury operations and insurance captive.

44%

17%

39%

Dissolving WoodPulpPackaging &Speciality PapersPrinting & WritingPapers

57%

13%

30%

EBITDA excluding special items Operating profit excluding special items

Maturity profile*Fiscal years

6

215

9843 43 43 20

393

88

505

221

381

79

0

100

200

300

400

500

600

2019 2020 2021 2022 2023 2024 2025 2026 2032

US$

milli

on

Cash Short-term SPH term debt Securitisation SSA

EUR450m bond

EUR350m bond

US$221m bond

*The maturity profile is adjusted for the repayment of the 2022 bond post quarter-end and the resulting reduction in cash.

Capex development

7

0

100

200

300

400

500

600

2013 2014 2015 2016 2017 2018 2019E 2020F

US$

milli

on

Maintenance Efficiency and expansion Forecast

8

Market and Segmental overview

Global P&W paper market trends

9

Supply and demand Demand softening globally Capacity reductions expected in US and Europe over next 18 months

Selling prices and input costs Paper prices stable in US and EU Pulp prices falling from historical highs on weak Chinese demand – declines differ by

geography

Strategy Focus on costs to maintain margins Manage operating rates through downtime, conversions, market share, flexibility of machines Increase pulp integration over time

Global packaging and speciality paper market trends

10

Supply and demand Additional containerboard conversions entering the market Smaller speciality packaging producers exiting due to cost pressures Demand continues to grow, long-term prospects encouraging, driven by legislation and

consumer preference Brand owners pushing for paper based packaging solutions

Selling prices and input costs Realised prices rose, particularly for flexible packaging, labels, and silicone base papers Pulp prices declining slowly

Strategy Ramp-up volumes from conversions, grow into new markets We aim to be an innovative and sustainable supplier Improve pulp integration

Sappi Europe

11

Sales Tons +1%year-on-year

Sales +1.5%year-on-year

EBITDA* -27%year-on-year

* Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items.

o Market demand weaker than expected –necessitating 46,000t of downtime

o Higher selling prices did not offset higher variable costs

o Pulp prices have reduced, but remain elevated

o Some packaging and speciality segments showed renewed growth, self-adhesives remains weak

Sappi North America

12

Sales Tons +1%year-on-year

Sales +4%year-on-year

EBITDA* -16%year-on-year

* Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items.

o Weak domestic graphic paper demand exacerbated by increased imports - 39,000t of downtime taken

o Growth in legacy packaging and paperboard volumes

o Ramp-up of Somerset continues – product mix not yet optimal

o Good DWP sales volumes – debottlenecking of Cloquet complete

Global DWP market trends

13

Supply and demand VSF capacity growing faster than demand, operating rates declining Demand continues to be strong, growing by ~6% per annum Most swing capacity now on DWP New DWP capacity entering the market by year-end

Selling prices and input costs DWP selling prices declining as VSF prices and margins fall Wood price increases, chemical costs declining

Strategy Grow with the market (debottlenecked volumes 2018/19, 110kt expansion at Saiccor underway) Evaluate external opportunities for more substantial increase in volumes – ROCE critical Commitment to sustainability key

Sappi South Africa

14

Sales Tons +1%year-on-year

Sales -1%year-on-year

EBITDA* +1%year-on-year

* Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items.

o DWP sales volumes increased post debottlecking and with good operational performance

o Packaging sales volumes lower based on timing of seasonal demand

o Price increases and weaker Rand offset higher wood and energy prices

Maintaina healthybalancesheet

Rationalisedeclining

businesses

Accelerate growth in

higher margin growth

segments

Achievecost

advantages

Improveoperational

and machineefficiencies

Maximiseprocurement

benefits Optimisebusiness

processes

Continuouslybalance

paper supplyand demandin all regions

Wherepossible

convert papermachines tohigher marginbusinesses

Optimiseworkingcapital

Strongcash

generationSmart

financing

Expandpaper

packaginggrades

Enhancespecialised celluloseportfolio

Extractvalue from our

biorefinerystream

Our group strategy

15

At Sappi we do business with integrity and courage; making smart decisions which we execute with speed.Our values are underpinned by an unrelenting focus on and commitment to safety.

Achievecost

advantages

Improveoperational

and machine efficiencies

Maximiseprocurement

benefitsOptimisebusiness

processes

Our group strategy

16

We work to lower fixed and variable costs, increase cost efficiencies and invest for cost advantages. Group efficiency and procurement initiatives US$60m

target for 2019: +US$80m achieved in 2018 Ongoing continuous improvement across all mills. Investigate pulp integration opportunities in US and

EU Saiccor expansion will lead to lower variable costs €30m upgrade to Gratkorn mill completed

Rationalisedeclining

businesses

Continuouslybalance

paper supplyand demand in all regions

Wherepossible

convert paper machines tohigher margin

businesses

Our group strategy

17

Recognising the decreasing demand for graphic paper, we manage our capacity to strengthen our leadership position in these markets, realising their strategic importance to the group and maximising their significant cash flow generation. Downtime taken at mills to lower inventories Progressive transition of Lanaken Mill out of LWC Reduced CWF exposure at Maastricht Mill, Ehingen

Mill and Somerset Mill PM1

Maintaina healthybalancesheet

Optimiseworkingcapital

Strongcash

generationSmart

financing

Our group strategy

18

Maintain leverage below 2x Net debt:EBITDA Finance costs US$60-70m/annum going

forward 7 yr €450m bond raised @3.125% - used to

repay €450m 2022 bond

Accelerategrowth in

higher margingrowth

segments

Extractvalue from our

biorefinerystream

Enhancespecialisedcelluloseportfolio

Expandpaper

packaginggrades

Our group strategy

19

We will make investments in existing and adjacent areas with strong potential growth. Debottlenecking of Saiccor, Ngodwana and Cloquet

DWP complete Expansion of Saiccor by 110kt/annum has started Additional packaging at Ngodwana and Tugela Mills Securing additional HW and SW timber supply Biomaterials, bio-chemicals – lignins, sugars Ramp-up of board grades at Maastricht and Somerset

We expect continued healthy demand for DWP. Lower prices/volumes next quarter due to

market pricing and shuts.

Most grades continue to grow for our packaging and specialities segment. Product qualifications

and customer trials proceeding.

Weak demand for graphics, Lanaken conversion forthcoming .

Capex for the remainder of the year is expected to be approximately $370m – majority at

Saiccor, Cloquet and Lanaken for expansion/conversion.

For the remainder of the financial year, given weak graphic paper markets, pricing pressure for

DWP and a more conservative outlook on the global economy, we have revised our forecast

downward relative to last year.

20

Outlook

Thank you

21

22

Supplementary information

Excluding special items*

23

EBITDA and operating profit

* Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items.

201 20

8

155

221

172

211

155

224

197

187

136 14

5

93

152

105

142

85

148

128

117

0

50

100

150

200

250

US$

milli

on

EBITDA Operating profit ex special items

24

Net debt/EBITDA development

* EBITDA is excluding special items.** The covenant Net debt/LTM EBITDA calculation has adjustments and therefore differs from that shown above.

2,38

0

2,24

8

2,28

6

1,94

6 2,04

0

1,91

6

1,91

7

1,77

1

1,73

4

1,65

2

1583

1408

1338

1329

1318

1322 1349

1632

1603

1568

1557

1680

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

1,000

1,200

1,400

1,600

1,800

2,000

2,200

2,400

2,600

Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19

US$

milli

on

Net debt Net debt/LTM EBITDA**

2.2

4.6

Sappi specialities and packaging papers

25

Global production sites with the ability to switch between graphics and packaging at various sites*

Alfeld Mill (Germany)Containerboard, flex-pack, label,

paperboard, silicone base papers

Carmignano Mill (Italy)Flexible packagingand functional papers

Condino Mill (Italy)Flexible packaging

and functional packaging

Cloquet Mill* (USA)Label papers

Ehingen Mill* (Germany)Containerboard

Maastricht Mill* (The Netherlands)Paperboard

Ngodwana Mill (South Africa)Containerboard

Somerset Mill* (USA)Label paper and flexible packaging paper

Tugela Mill (South Africa)Containerboard

Westbrook Mill (USA)Release papers

Stockstadt Mill* (Germany)Flexible packaging

and functional papers

26

Product Groups and ProductsEU Packaging

and Specialities

Accelerategrowth in

higher margingrowth

segments

Extractvalue from our

biorefinerystream

Enhancespecialisedcelluloseportfolio

Expandpaper

packaginggrades

Packaging and Speciality papers expansion plans

27

Europe Maastricht: complete, ramp-up by 2021

-160k CWF, +150k specialities (FBB) Ehingen: complete

-75k CWF, +60k specialities (WTL) Alfeld: construction to start FY19, complete by Q4 FY20

+10k specialities (Various) Lanaken: enable CWF on PM8, as market develops

North America Somerset: construction done, 3 year ramp up

-150k CWF, +350k specialities (SBS)

28

Sappi Europe

* Sales less operating profit excluding special items divided by tons sold.** Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items.

Q2 FY19 Q2 FY18 YTD 19 YTD 18

Tons sold (‘000) 842 847 1,651 1,669

Sales (EURm) 675 616 1,317 1,188

Price/Ton (EUR) 802 727 798 712

Cost/Ton* (EUR) 773 684 765 671

Operating profit excluding special items** (EURm) 24 37 54 68

Western Europe

29

Coated paper deliveries and prices

0.5

0.6

0.7

0.8

0.9

1

1.1

1.2

Q1

08

Q1

09

Q1

10

Q1

11

Q1

12

Q1

13

Q1

14

Q1

15

Q1

16

Q1

17

Q1

18

Q1

19

CWF Demand MCR Demand CWF 100gsm Sheets LWC 60gsm offset reels

Western Europe shipments including export.Source: Cepifine, Cepiprint and RISI indexed to calendar 1Q 2008.

30

Sappi North America

* Sales less operating profit excluding special items divided by tons sold.** Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items.

Q2 FY19 Q2 FY18 YTD 19 YTD 18

Tons sold (‘000) 350 347 671 690

Sales (USDm) 378 363 729 705

Price/Ton (USD) 1,080 1,046 1,086 1,022

Cost/Ton* (USD) 1,051 994 1,058 997

Operating profit excluding special items** (USDm) 10 18 19 17

United States of America

31

Coated paper prices and shipments

0.5

0.6

0.7

0.8

0.9

1

1.1

1.2

Q1

08

Q1

09

Q1

10

Q1

11

Q1

12

Q1

13

Q1

14

Q1

15

Q1

16

Q1

17

Q1

18

Q1

19

Domestic CWF shipments Domestic CWF purchases RISI price CFS #3 60lb rolls

US industry purchases defined as industry shipments, plus imports, less exports.Source: AF&PA and RISI indexed to calendar Q1 FY08.

32

Sappi South Africa

* Sales less operating profit excluding special items divided by tons sold.** Refer to the supplementary information in this presentation for a reconciliation of EBITDA to reported operating profit and page 22 in our Q2 FY19 financial results booklet (available on www.sappi.com) for a definition of special items.

Q2 FY19 Q2 FY18 YTD 19 YTD 18

Tons sold (‘000) 418 413 814 796

Sales (ZARm) 4,981 4,331 9,690 8,404

Price/Ton (ZAR) 11,916 10,487 11,904 10,558

Cost/Ton* (ZAR) 9,234 8,816 9,033 8,813

Operating profit excluding special items** (ZARm) 1,121 950 2,338 1,890

Excludes forestry

33

Pulp prices*

* Source: FOEX, CCF group.

600

700

800

900

1,000

1,100

1,200

1,300

US$

/ton

NBSK Europe BHKP Europe Commodity DWP Cotton linter pulp

34

Textile fibre prices*

* Source: CCF group.

800

1,200

1,600

2,000

2,400

2,800

Cotton 328 Cotton "A" Index PSF 1.4 D VSF 1.2 D VSF 1.5 D

US$

/ton

Cash flow

35

US$m Q2 FY19 Q2 FY18 1H 19 1H 18Cash generated from operations 182 194 379 356Movement in working capital (80) (35) (167) (118)

Net finance costs paid (20) (15) (25) (21)

Taxation (paid) (43) (50) (46) (44)

Dividend paid (92) (81) (92) (81)

Cash generated from operating activities (53) 13 49 92Cash utilised in investing activities (95) (238) (204) (331)Capital expenditure (95) (119) (201) (207)

Proceeds on disposal of assets 1 10 1 10

Acquisition of subsidiary - (132) - (132)

Other non-current asset movements (1) 3 (4) (2)

Net cash generated (utilised) (148) (225) (155) (239)

Excluding special items* reconciliation to reported operating profit

36

EBITDA and operating profit

* Refer to page 22 in our Q2 FY19 results booklet (available on www.sappi.com) for a definition of special items.

US$m Q2 FY19 Q2 FY18 1H FY19 1H FY18

EBITDA excluding special items* 187 211 384 383Depreciation and amortisation (70) (69) (139) (136)

Operating profit excluding special items* 117 142 245 247Special items* - gains (losses) - 12 (5) 23

Plantation price fair value adjustment 10 6 13 22

Acquisition cost - (2) - (2)

Net restructuring provisions - 2 - 2

Profit on disposal and written off assets (3) 9 (3) 9

Asset impairments (11) - (11) -

Asset impairment reversals 8 - 8 -

Black Economic Empowerment charge - (1) - (1)

Fire, flood, storm and other events (4) (2) (12) (7)

Segment operating profit 117 154 240 270

Fibre properties and applications

37

Cellulosic fibre properties helping drive that growth

Source: IHS Global, RISI, Hawkins Wright.

Key strength Qualifies Issue

ApparelHome textilesNonwovens/Technical textiles

Overall value proposition

Applications

Function and feel

Appearance

Sustainability

1762

21

6627

7

5220

28

Cellulosic fibres Cotton Polyester

• On a pure property basis, cellulosic fibres are superior to cotton and differentiated on sustainability.

• Polyester is differentiated on strength/durability versus cotton and cellulosic fibres.

• Natural and attractive, ‘greener’ alternative to cotton

• Natural, functional and well established

• Cheap, durable and versatile

Durability

Absorbency Breathability Softness

Drape Dyeability

Brightness/Lustre

Renewable and biodegradeable

Resource efficiency

38

There is still significant headroom to increase the level of cellulosic fibre blending in most sub-categories

Source: Expert interviews.

POLYESTER

Future Today Gap Today Future Gap Today Future Gap COTTON CELLULOSIC

Apparel

Home textile

Towels 5% 5% 0% 80% 75% -6% 15% 20% +33%

Bedding 45% 55% +22% 45% 40% -11% 1% 2% +100%

Denim 5% 5% 0 95% 95% 0% 0% 0% 0%

Shirts 35% 40% +14% 50% 40% -20% 15% 20% +33%

T-shirts 30% 50% +67% 70% 50% -29% 3% 5% 0%

Dresses 10% 10% 0% 35% 25% -29% 55% 65% +18%

Suits 35% 40% +14% 25% 20% -20% ~1% ~2% +100%

Sportswear 85% 85% 0% 0% 0% 0% 15% 15% 0%

Casual wear 45% 50% +11% 45% 35% -22% 10% 15% +50%

Product Segments

39

Q1 18 Q2 Q3 Q4 FY18 Q1 19 Q2Tons sold (‘000) 1,063 1,074 968 1,045 4,150 977 987Sales 877 945 851 927 3,600 867 880EBITDA 69 91 57 101 317 76 65

margin 8% 10% 7% 11% 9% 9% 7%

Q1 18 Q2 Q3 Q4 FY18 Q1 19 Q2 Tons sold (‘000) 287 302 277 332 1,198 297 350Sales 241 279 245 278 1,043 263 308EBITDA 78 83 60 88 306 91 92

margin 32% 30% 25% 32% 29% 35% 30%

Q1 18 Q2 Q3 Q4 FY18 Q1 19 Q2Tons sold (‘000) 198 231 289 291 1,009 252 273Sales 196 254 327 310 1,087 282 312EBITDA 27 38 33 40 139 30 29

margin 14% 15% 10% 13% 13% 11% 9%

Packaging & Speciality Papers

Printing & Writing Papers

Dissolving Wood Pulp

Thank you

40