Quarterly Release February 24, 2003

October/December 2002

Cash generation reaches R$ 979 million in 2002

The figures reported by Klabin in the last quarter of 2002 for production, sales and cash generation evince a rising trend in its operating results. Net revenue rose, reflecting an appropriate management of the Company's product mix, productivity gains and its reestablishment of margins. Without the adverse effect of exchange variations in 4Q02, its entire operational performance was reflected in a net profit of R$ 401 million. Cash generation grew 34% to R$ 979 million, with an EBITDA margin of 35%. However, a currency devaluation of 52% in 2002 Klabin posted a net loss of R$ 208 million over the period.

December 31, 2002 KLBN4 (BOVESPA) / KLBAY (OTC) Preferred shares (000) Preferred share price Book value Free float Daily traded volume 600,856 R$ 1.03 R$ 1.18 68% R$ 400,000

Fourth Quarter Highlights:

Sales volume reached 491 thousand tons, with exports accounting for 207 thousand tons. Net revenue totaled R$ 899 million. Accumulated gross profit amounted to R$ 450 million, with a 50% margin. Cash generation reached R$ 366 million, with an EBITDA margin of 41%. Net profit of R$ 401 million. Reported statement of cash flow (Attachment 8).
1

Quarterly Release February 24, 2003

Initial Considerations
The information presented herewith in connection with the Company's operations and finances consists of consolidated figures stated in local currency as per Brazilian Corporate Law, except where otherwise indicated. This release compares the performance of Klabin S.A. in 2002 and 4Q02 to the IKPC consolidated pro forma figures for 2001 and 4Q01, save specifications to the contrary.

Highlights
R$ Million Sales Volume (1,000 ton) Net Revenue Gross Profit Gross Margin EBIT Net Profit (Loss) EBITDA EBITDA margin (%) Equity Net Debt Total Capitalization Net Debt / EBITDA (annualized) Net Debt / Total Capitalization Depreciation + Amortization Capex
(*) IKPC Consolidated Pro Forma.

4Q02 491 899 450 50% 279 401 366 41% 1,084 2,821 3,966 2,9 x 71% 87 40

4Q01 (*) 475 676 234 35% 52 6 122 18% 1,322 2,458 3,842 3,4 x 64% 70 99

Change 3% 33% 92% 437% 199%

2,002 1,863 2,814 1,265 45% 651 (208) 979 35% 1,084 2,821 3,966 2,9 x 71% 327 193

2001 (*) 1,788 2,434 982 40% 477 (170) 729 30% 1,322 2,458 3,842 3,4 x 64% 252 361

Change 4% 16% 29% 37% 34%

15%

15%

23% (59%)

30% (46%)

Economic and Financial Performance

Klabin's superior economic and financial performance in 2002 was primarily due to operational improvements, higher exports and a recovery of margins. However, 2002 results were adversely affected by exchange variations and the financial cost of debt.

Net Revenue and Sales Volume

Net revenue grew 33% in 4Q02 to R$ 899 million. Over the year, it totaled R$ 2,814 million, up 16% from 2001. This increase can be attributed to two factors, namely: higher export revenues (31% growth in Brazilian reais) due to an increase in export volumes coupled with a currency depreciation, and more favorable prices in the domestic market in the corrugated boxes, multiwall bags and cardboards segments. Sales volume, excluding wood, increased 3% to 491 thousand tons in 4Q02, totaling 1,863 thousand tons in 2002, up 4% from 2001, with a significant contribution from packaging paper sales.
2

Quarterly Release February 24, 2003

Operating Result
Gross profit increased 92% in 4Q02 to R$ 450 million, with a gross margin of 50% (35% in 4Q01). In 2002, it totaled R$ 1,265 million, up 29% from 2001, with a gross margin of 45% as compared to 40% in 2001. This improvement in gross margin results from a strict control over the cost of products sold (a nominal growth of 7% in 2002), a price recovery in the domestic market and an increase in export revenues (in reais). Operating result before net financial expenses (EBIT) totaled R$ 279 million in 4Q02, with a margin of 31%. Accumulated EBIT in 2002 amounted to R$ 651 million, representing a 37% growth in relation to the same period in the previous year, with an operating margin of 23% (20% in 2001). The higher sales volume shipped to the export market (41% in 2002 versus 38% in 2001), increased the US dollar denominated export freight costs up to R$ 233 million (R$ 174 million in 2001). Operating margins were also affected by the amortization of goodwill related to Igaras and Klamasa in 2002, namely R$ 54 million against R$ 27 million in 2001. Goodwill amortization began in July 2001.

EBITDA
Confirming Klabin's operational R$ Million improvements, EBITDA hit a record level of R$ 366 million in 4Q02 and R$ 979 million over the year, 34% 400 33 higher than the figure reported in 300 2001. EBITDA margin reached 41% in 4Q02 and 35% in 2002 (30% in 2001), rebounding to the Company's historical levels. This increase in operating cash generation can be explained by: higher revenues on account of increased volumes and more favorable prices, and greater efficiency in cost management.
200 100 0

EBITDA Margin
41% 32 35 24 366 33 34 29
40% 30% 20% 10% 0%

178

183

205

163

181

169

262

1Q01 2Q01 3Q01 4Q01 1Q02 2Q02 3Q02 4Q02

EBITDA EBITDA Margin

Excluding the effect of the forestry sale in 2Q01 and non recurring expenses in 4Q01 both totaling R$ 42 million

Quarterly Release February 24, 2003

Below is the breakdown of Klabin's cash generation (EBITDA) per business segment over the period. The packaging business includes packaging paper and cardboards, corrugated boxes and multiwall bags (Brazil).

EBITDA per business segment

R$ Million
Packaging Forestry Market Pulp Dissolving Pulp Tissue Brazil Tissue Argentina Sacks Argentina Newsprint Corporate Expenses / Intercompany Consolidated

1Q02 126 33 26 10 3 1 1 1 (20) 181

2Q02 127 36 21 7 (1) 1 2 (1) (22) 169

3Q02 170 40 57 16 5 1 1 0 (27) 262

4Q02 257 46 75 15 5 0 1 0 (34) 366

2002 680 155 179 49 12 3 6 0 (104) 979

Financial Result and Indebtedness

A stronger real (up 9%) in 4Q02 generated positive net exchange variations in the amount of R$ 108 million, thus benefiting the Company's quarterly result with R$ 8 million in net financial revenues. Nevertheless, the 52% currency devaluation observed in 2002 represented a net exchange variation of R$ 581 million (60% of total financial expenses), resulting in net financial expenses worth R$ 967 million in 2002. Gross debt rose from R$ 2,526 million in December 2001 to R$ 2,941 million in December 2002. Forty-five percent (45%) of this amount refers to long-term debts with terms to maturity extending to the year 2009. Net debt in foreign currencies accounts for 34% of the Company's total indebtedness, 68% of which refer to trade finance.
Debt - Consolidated
R$ million 12/31/2001 Currency Local Foreign 142 625 767 988 771 1,759 12/31/2002 Currency Local Foreign 899 1,027 1,926 719 295 1,014

Total 1,130 1,396 2,526 (68) 2,458

Total 1,618 1,323 2,941 (120) 2,821

Short Term Long Term GROSS DEBT Cash and Short Term Investments NET DEBT

Quarterly Release February 24, 2003

The last quarter of 2002 ended with a net debt of R$ 2,821 million, 71% of total capitalization (64% in 4Q01). Gross debt in foreign currency dropped 62% from US$ 758 million in December 2001 to US$ 287 million in December 2002, US$ 177 million of which are protected by hedge operations. Klabin accomplished an important step of its capital restructuring program with the issue of debentures totaling R$ 1,036 million in December 2002. These were issued in two series worth R$ 472 million and R$ 564 million, respectively. By doing so, the Company reduced its debt in foreign currency from 70% to 34% and, therefore, its exposure to currency fluctuations. Total net debt converted into U.S. dollars amounted to R$ 798 million at the end of 2002, a decrease of US$ 261 million.
Net Debt
(US$ million

1.059 798

2001

2002

Net Result
Thanks to a good operational performance and favorable effects of currency variations on debt, Klabin obtained a net profit of R$ 401 million in 4Q02. However, this amount was not sufficient to reverse an accumulated loss of R$ 208 million in 2002.

Quarterly Release February 24, 2003

Business Performance
Volume 2002
Sacks/ Newsprint Envelopes 6% Market Pulp 6% 12% Tissue 8% Others 1%

Net Revenue 2002

Newsprint Sacks/ 4% Envelopes Market Pulp 8% 9% Corrugated Others Boxes 2% 22% Tissue 16% Printing/ Wood 6% Packaging Paper 26% Writing 2% Dissolving Pulp 5%

Corrugated Boxes 27% Printing/ Writing 1%

Packaging Paper 33%

Dissolving Pulp 6%

(*) Sales volume figures do not include wood

(*) Net Revenue consolidated 100% Net revenue does include wood

Packaging paper Packaging paper sales grew 6% in 4Q02 to 172 thousand tons, while net revenue jumped 49% to R$ 273 million. The total amount of packaging paper sold in 2002 was 617 thousand tons, up 12% from 552 thousand tons in 2001. Net revenue rose 32% to R$ 799 million when compared to R$ 604 million in the previous year. The installation of a third coater in machine 7 at Monte Alegre (PR) was completed in July, and enhanced the quality of cardboard products, particularly with regard to their printability. In addition to fulfilling the increasingly demanding requirements of the domestic market, this improvement will enable the Company to expand its exports of cardboard products. Export volumes amounted to 378 thousand tons in 2002, with a 17% increase in relation to 2001 (322 thousand tons). Net revenue from exports grew 44%, totaling R$ 458 million (R$ 318 million in 2001), favored by higher export volume and a weaker real throughout the period.

Corrugated boxes Corrugated boxes sales dropped 7% to 116 thousand tons in 4Q02, while net revenue registered a 45% increase to R$ 212 million. Sales volume amounted to 493 thousand tons in 2002, down 3% from 510 thousand tons in 2001. On the other hand, net revenue advanced 15% over the same period to R$ 672 million (R$ 586 million in 2001). The increase in net revenue was due to a price adjustment in the domestic market in the second half of 2002.

Quarterly Release February 24, 2003

The Company's operations in this segment focused on generating a return on invested capital (ROIC) in this business and began to yield acceptable results. In order to sustain this change in policy, greater emphasis was placed on Product Development, which included packaging engineering, research into materials and raw-material, and technical support to customers. More attention was also given to the use of recycled paper, which reached a record level in 2002, and to environmental awareness allied with cost reduction in the use of corrugated cardboard. Packaging Systems Integrated packaging solutions offered by Klabin include project development, implementation and operation of packaging services at the customers' sites. This activity continued throughout 2002 and will remain an important focus in 2003. In addition to consolidating Klabin's partnerships with customers, such projects play an important role in the Company's product mix by adding value to its products. Multiwall bags Sales volume grew 5% to 29 thousand tons in 4Q02, while net revenue jumped 39% to R$ 73 million. The amount of multiwall bags sold in 2002 remained flat at 116 thousand tons when compared to the previous year. On the other hand, accumulated net revenue improved 18% to R$ 245 million over the period (R$ 208 million in 2001). Export volumes reached 19 thousand tons, up 35% from 14 thousand tons in 2001. Net revenue from exports totaled R$ 52 million, a 24% increase when compared to 2001. Multiwall bag exports exceeded the Company's expectations for the year with a record volume of 30 million units shipped, mainly to other Latin American countries, North America and Africa. Market pulp The amount of market pulp sold in 4Q02 rose 22% to 64 thousand tons. Net revenue jumped 97% to R$ 98 million. Net revenue totaled R$ 279 million in 2002, an increase of 26% from R$ 221 million in 2001. This growth in net revenue in reais is due to a higher average exchange rate over the year. Sales volume (including intercompany transactions) in 2002 remained flat at 295 thousand tons in relation to the previous year. The Guaba mill was shutdown on May for the start up of its expansion project. During the second half the plant operated in the learning curve, and should reach full capacity in 2003. Dissolving pulp Sales volume declined 7% to 27 thousand tons in 4Q02, while net revenue rose 15% to R$ 48 million. Sales volume totaled 110 thousand tons in 2002, up 5% from 2001. By contrast, net revenue slid 3% from R$ 161 million in 2001 to R$ 156 million.

Quarterly Release February 24, 2003

Tissue The use of new technologies to produce Chiffon paper towels and Neve toilet paper consolidated Klabin's leadership in both segments. Sales volume in 4Q02 amounted to 38 thousand tons and net revenue totaled R$ 156 million, rising 2% and 40% from 4Q01 figures, respectively. Accumulated sales volume grew 11% to 154 thousand tons in 2002 against 138 thousand tons in 2001. Net revenue totaled R$ 505 million, a 24% increase as compared to R$ 408 million in the previous year. A weaker real in 2002 favored the export of jumbo rolls, which improved 31% to 41 thousand tons against 2001. Net revenue from exports rose 22%, totaling R$ 121 million in 2002 (R$ 99 million in 2001). Higher pulp prices and currency variations pressured production costs in the pulp & paper industry, leading to an adjustment in domestic prices during second semester of 2003. Newsprint The volume of newsprint sold in 4Q02 remained flat at 28 thousand tons in relation to 4Q01. Net revenue improved 4% to R$ 38 million. Sales volume reached 106 thousand tons in 2002, up 16% from 92 thousand tons in 2001. Net revenue amounted to R$ 127 million, just about par with the R$ 126 million generated in the previous year. Klabin operates in this segment through a joint venture with Norske Skog, initiated in 2000 and scheduled to end in March 2003, when machine 6 at Monte Alegre (PR) will be adapted to produce packaging paper. Printing and Writing paper Sales volume shrank 20% in 4Q02 to 8 thousand tons, while net revenue remained stable at R$ 18 million. Sales volume reached 26 thousand tons in 2002, a 21% decrease from 33 thousand tons in 2001. Net revenue dropped 7% to R$ 52 million (R$ 56 million in 2001). The reduction in sales volume was due to the higher production of packaging paper at Guaba mill.

Wood Klabin carried out 8,313 thousand tons of pinus and eucalyptus logs in 2002, up 14% from 2001, 5,850 thousand tons of which were transferred to its plants in So Paulo, Paran, Santa Catarina and Rio Grande do Sul. Sales to third parties rose 44% to 2,463 thousand tons in 2002 as compared to 2001. Mostly made to rolling mills and saw-mills, such sales generated R$ 178 million in net revenue, up 62% from the previous year.

Quarterly Release February 24, 2003

Sales by Market Export volumes improved 8% in 4Q02 and 11% in 2002, totaling 207 thousand tons and 764 thousand tons, respectively. Their contribution to the total volume sold rose from 38% in 2001 to 41% in 2002.
Sales Volume by Market Net Revenue by Market

41%

38%

36%

32%

59%

62%

64%

68%

2002

2001

2002 Domestic Market

2001 Exports

Domestic Market

Exports

(*) Sales volume figures do not include wood

(*) Net Revenue consolidated 100% Net revenue does include wood

Revenues from exports grew 55% and amounted to R$ 377 million in 4Q02, totaling R$ 1,107 million in 2002, a 31% increase in relation to 2001. Their share in total net revenue rose from 32% in 2001 to 36% in 2002, in tune with the Company's strategy. Export revenues totaled US$ 103 million in 4T02 versus US$ 95 million in 4Q01, and US$ 372 million in 2002 against US$ 357 million in 2001. The figures for 2002 were as follows: US$ 155 million from packaging paper, US$ 91 million from market pulp, US$ 52 million from dissolving pulp, US$ 41 million from tissue, US$ 17 million from multiwall bags, US$ 9 million from wood, and US$ 7 million from other products. Exports should continue to grow in 2003, favored by a larger output of market pulp from Guaba (RS), higher production of cardboards, greater production of kraftliner as of April due to the conversion of machine 6 at Monte Alegre (PR), and the development of new markets.

Capital Expenditures
Capital expenditures amounted to R$ 40 million in 4Q02, totaling R$ 193 million in 2002 and down 46% from R$ 361 million in the previous year. In 2002, R$ 101 million was spent on expansion projects and R$ 92 million was used in the preventive maintenance of industrial units. An important investment was the conclusion of the expansion project at Guaba (RS), whose production capacity jumped from 300 thousand to 400 thousand tons/year as of the second quarter of 2002. The amount invested was R$ 47 million in 2002 and R$ 217 million in 2001. A third coater was installed in machine 7 at Monte Alegre (PR) in 2002, enabling the Company to produce coated cardboard of higher quality (capital expenditure of R$ 23 million). Furthermore, R$ 26 million was invested in the installation of a recycled paper plant at the tissue unit in Correia Pinto (SC).
9

Quarterly Release February 24, 2003

Outlook
The Management understands that the local and international market conditions for Klabin products will be more favorable in 2003 when compared to the prevailing scenario in 2002. This improvement applies to packaging products, pulp, packaging paper and cardboard, tissue and the wood supplied to the lumber industry in the south of Brazil. Company Management will focus on: expanding the export of pulp, packaging paper and cardboard, corrugated boxes and multiwall bags, based on the capex already made; boosting the Company's overall productivity; increasing its operating cash generation; tight control of capital expenditures; assets divestitures.

Cash generation, coupled with a tight control over capital expenditures and the disposal of assets will provide the basis required to balance Klabin's capital structure.

Capital Markets
Klabin's preferred shares (KLBN4) were negotiated in every trading session held at Bovespa [So Paulo Stock Exchange] in 2002, totaling 13,515 transactions around 99.2 million shares, with a daily traded volume of R$ 400 thousand. KLBN4 quotations rose 8%, while the Ibovespa [Bovespa Index], which includes KLBN4, declined 17%. The Company's capital stock comprises 918.8 million shares, namely: 317.0 million common shares and 601.8 million preferred shares. DIVIDENDS Dividends in the amount of R$ 30 million from the results obtained in 2001 were distributed in January 2002.
KLBN4 vs.Ibovespa - 12 months Closing Price: 12/28/01 = 100
140 120

Klabin
100 80 60

Ibovespa
40
02 02 02 01 02 02 02 02 02 02 02 02 02 20 20 20 20 20 20 20 20 20 20 20 20 20 1/ 0/ 2/ 2/ 9/ 8/ 7/ 6/ 5/ 4/ 3/ 2/ 1/ /1 /1 /1 /1 8/ 8/ 8/ 8/ 8/ 8/ 8/ 8/ 8/ 2 2 2 2 2 2 2 2 2 28 28 28 28

10

Quarterly Release February 24, 2003

CORPORATE GOVERNANCE In December 2002, Klabin was granted a Level I Corporate Governance seal by the So Paulo Stock Exchange (BOVESPA), which attests the transparency of its financial statements as well as the respect and equanimity with which it treats all shareholders.

CASH FLOW Klabin began to publish its consolidated cash flow statements as of 4Q02.

For further information, please contact:

Ronald Seckelmann, Diretor Financeiro e de RI Luiz Marciano Candalaft, IR Manager Tel: (11) 3225-4045 Email: marciano@klabin.com.br Paulo Roberto Esteves Tel: (11) 3848-0887 Ext:. 205 Email: paulo.esteves@thomsonir.com.br

With gross revenue of R$ 3.2 billion in 2002, Klabin stands as the largest integrated pulp & paper mill in Brazil, capable of selling 2 million tons of products per year, and as a leader in most of its business markets. For strategic purposes, the Company will focus on the following business lines: packaging paper and cardboard, corrugated boxes, multiwall bags, tissue paper, wood and pulp.

The statements contained herein with regard to the Company's business prospects, operating and financial result projections, and references to its potential growth are merely forecasts based on the expectations of Company Management in relation to its future performance. Such estimates are highly dependent on market behavior and on Brazilian economic, industry and international market conditions. They are therefore subject to change.

11

Attachment 1 Consolidated Income Statement Brazilian Corporate Law (Thousand of R$)

4Q02
Net Revenue Cost of Products Sold Gross Profit Selling Expenses General & Administrative Expenses Other Revenues (Expenses) Total Operating Expenses Operating Profit (before Fin. Results) Equity in net profit (loss) of subsidiaries Financial Expenses Net Foreign Exchange Losses Financial Revenues Net Financial Expenses Operating Profit Non Operating Revenues (Expenses) Net Profit (Loss) before Taxes Income Tax and Soc. Contrib. Minority Interest Net Profit (Loss) Amortization Depreciation EBITDA 898,905 (448,908) 449,997 (111,927) (40,839) (17,978) (170,744) 279,253 (1,197) (109,670) 108,031 9,702 8,063 286,119 (9,868) 276,251 125,568 (1,135) 400,684 65,508 21,339 366,100

4Q01
675,807 (441,554) 234,253 (92,800) (59,003) (30,447) (182,250) 52,003 (1,639) (86,622) 75,055 (10,322) (21,889) 28,475 (1,844) 26,631 (20,333) (370) 5,928 50,544 19,836 122,383

Change
33.0% 1.7% 92.1% 20.6% (30.8%) (41.0%) (6.3%) 437.0% (27.0%) 26.6% 43.9% (194.0%) (136.8%) 904.8% 435.1% 937.3% (717.6%) 206.8% 6659.2% 29.6% 7.6% 199.1%

% of Net Revenue 4Q02 4Q01

100.0 49.9 50.1 12.5 4.5 2.0 19.0 31.1 0.1 12.2 12.0 1.1 0.9 31.8 1.1 30.7 14.0 0.1 44.6 7.3 2.4 40.7 100.0 65.3 34.7 13.7 8.7 4.5 27.0 7.7 0.2 12.8 11.1 1.5 3.2 4.2 0.3 3.9 3.0 0.1 0.9 7.5 2.9 18.1

(*) Consolidated Pro-Forma

12

Attachment 2 Consolidated Income Statement Brazilian Corporate Law (Thousand of R$)

2002
Net Revenue Cost of Products Sold Gross Profit Selling Expenses General & Administrative Expenses Other Revenues (Expenses) Total Operating Expenses Operating Profit (before Fin. Results) Equity in net profit (loss) of subsidiaries Financial Expenses Net Foreign Exchange Losses Financial Revenues Net Financial Expenses Operating Profit Non Operating Revenues (Expenses) Net Profit (Loss) before Taxes Income Tax and Soc. Contrib. Minority Interest Net Profit (Loss) Amortization Depreciation EBITDA 2,814,044 (1,548,789) 1,265,255 (384,624) (167,810) (61,355) (613,789) 651,466 (439) (408,309) (580,521) 21,665 (967,165) (316,138) (12,016) (328,154) 122,612 (2,754) (208,296) 245,467 82,005 978,938

2001 (*)
2,433,547 (1,451,057) 982,490 (285,849) (174,693) (44,819) (505,361) 477,129 (1,639) (387,304) (323,462) 32,788 (677,978) (202,488) 3,867 (198,621) 31,213 (2,732) (170,140) 201,753 50,457 729,339

Change
15.6% 6.7% 28.8% 34.6% (3.9%) 36.9% 21.5% 36.5% (73.2%) 5.4% (279.5%) (33.9%) 42.7% (256.1%) (410.7%) 65.2% 292.8% 0.8% 22.4% 21.7% 62.5% 34.2%

% of Net Revenue 2002 2001 (*)

100.0 55.0 45.0 13.7 6.0 2.2 21.8 23.2 0.0 14.5 20.6 0.8 34.4 11.2 0.4 11.7 4.4 0.1 7.4 8.7 2.9 34.8 100.0 59.6 40.4 11.7 7.2 1.8 20.8 19.6 15.9 15.9 13.3 1.3 27.9 8.3 0.2 8.2 1.3 1.3 0.1 8.3 2.1 30.0

(*) Consolidated Pro-Forma

13

Attachment 3 Consolidated Balance Sheet Brazilian Corporate Law (Thousand of R$)

Assets
Current Assets Cash and banks Short-term investments Receivables Inventories Recoverable taxes and contributions Other receivables 12/31/2002 12/31/2001 1,021,844 60,952 58,871 473,035 291,805 90,016 47,165 738,574 8,878 59,161 272,839 241,095 100,606 55,995

Liabilities and Stockholders' Equity

Current Liabilities Loans and financing Debentures Suppliers Income tax and social contribution Taxes payable Payroll provisions Dividends payable Other accounts payable Long-Term Liabilities Loans and financing Debentures Other accounts payable Results for Future Fiscal Years Minority Interests Stockholders' Equity Capital Capital reserves Revaluation reserve Treasury stock / Profit reserve Total

12/31/2002 2,031,405 1,135,431 482,705 231,842 3,788 32,510 56,133 88,996 1,566,618 758,566 564,000 244,052 2,605 61,733 1,083,566 800,000 193,632 93,799 (3,865) 4,745,927

12/31/2001 1,469,989 1,126,685 1,995 157,720 13,831 38,064 45,821 30,000 55,873 1,606,044 1,282,042 115,300 208,702 13,028 57,878 1,287,973 800,000 205,430 96,309 186,234 4,434,912

Long-Term Receivables Deferred income tax and soc. contrib. Taxes to compensate Recoverable taxes Other receivables Permanent Assets Other investments Property, plant & equipment, net Deferred charges

480,342 281,457 25,151 120,254 53,480 3,243,741 70,225 2,921,101 252,415

311,262 151,724 33,454 78,365 47,719 3,385,076 93,302 2,927,085 364,689

Total

4,745,927

4,434,912

14

Attachment 4 Domestic Market (Consolidated 100%)

1Q01 Sales Volume (1,000 ton) Newsprint Printing and Writing Paper Packaging Paper Tissue Market Pulp Dissolving Pulp Corrugated Boxes Sacks/Envelopes Others Wood Volume (1,000 ton) Net Revenue (R$ million) (1) Newsprint Printing and Writing Paper Packaging Paper Tissue Market Pulp Dissolving Pulp Corrugated Boxes Sacks/Envelopes Others Wood 272 24 6 62 26 2 3 126 25 (2) 368 411 33 9 72 74 2 5 139 39 20 19 2Q01 268 17 7 54 28 3 7 127 27 (1) 426 408 24 11 67 77 2 11 143 42 7 24 3Q01 275 23 9 55 26 4 7 124 25 2 421 426 32 15 71 77 2 12 146 43 3 26 4Q01 283 28 9 58 27 3 6 125 24 3 430 502 37 16 75 82 1 11 144 43 69 26 2001 1,097 92 30 229 107 11 24 501 101 2 1,644 1,747 126 51 285 309 6 38 572 166 100 94 1Q02 261 23 6 53 28 3 0 121 23 5 497 419 28 10 71 83 2 0 140 43 14 29 2Q02 272 26 5 53 28 3 0 126 25 5 532 439 28 8 74 88 1 0 148 47 12 33 3Q02 283 28 6 61 29 2 0 127 25 5 607 500 34 11 84 99 2 1 166 49 15 41 4Q02 283 28 7 73 27 2 0 116 24 7 628 610 38 15 113 113 1 1 211 54 17 48 2002 1,099 106 22 239 113 9 2 489 97 22 2,264 1,969 127 44 341 384 5 2 664 192 58 152

(1) Excluding the effect of the sale of forestry assets of Klabin Riocell in 2Q01

15

Attachment 5 Exports (Consolidated 100%)

1Q01 Sales Volume (1,000 ton) Newsprint Printing and Writing Paper Packaging Paper Tissue Market Pulp Dissolving Pulp Corrugated Boxes Sacks/Envelopes Others Wood Volume (1,000 ton) Net Revenue (R$ million) Newsprint Printing and Writing Paper Packaging Paper Tissue Market Pulp Dissolving Pulp Corrugated Boxes Sacks/Envelopes Others Wood 149 0 1 72 4 46 18 2 3 2 12 173 0 1 64 15 48 28 2 9 3 2 2Q01 181 0 1 79 6 66 19 4 3 2 17 209 0 1 72 23 60 28 7 11 3 4 218 0 1 74 32 59 34 3 12 2 0 3Q01 169 0 0 67 11 62 22 2 4 1 4Q01 192 0 1 104 10 50 23 1 4 0 40 242 0 2 108 29 48 32 1 10 2 10 2001 690 0 3 322 32 224 82 8 14 5 70 842 0 5 318 99 215 123 14 42 10 16 1Q02 179 0 0 96 9 49 20 1 3 0 44 192 0 1 90 20 44 24 2 6 1 5 2Q02 172 0 1 82 11 45 28 2 4 0 49 207 0 2 82 25 47 33 3 8 1 5 3Q02 206 0 1 100 11 53 33 1 6 0 76 332 0 3 126 33 87 49 2 19 2 12 4Q02 207 0 1 100 11 62 27 0 6 0 76 377 0 3 160 43 97 48 1 19 1 4 2002 764 0 4 378 41 209 109 4 19 0 168 1,107 0 8 458 121 274 154 8 52 5 26

16

Attachment 6 Total Sales (Consolidated 100%)

1Q01 Sales Volume (1,000 ton) Newsprint Printing and Writing Paper Packaging Paper Tissue Market Pulp Dissolving Pulp Corrugated Boxes Sacks/Envelopes Others Wood Volume (1,000 ton) Net Revenue (R$ million) (1) Newsprint Printing and Writing Paper Packaging Paper Tissue Market Pulp Dissolving Pulp Corrugated Boxes Sacks/Envelopes Others Wood 380 583 33 10 136 89 49 33 141 48 23 20 421 24 6 135 30 49 21 127 28 2Q01 449 17 8 133 34 69 25 131 30 1 443 618 24 12 140 99 61 40 150 53 10 28 3Q01 444 23 10 122 36 66 29 126 29 3 421 644 32 16 145 108 61 46 149 55 6 26 4Q01 475 28 10 162 38 52 29 125 28 3 470 744 37 18 182 111 50 42 146 52 70 36 2001 1,788 92 33 552 138 236 105 510 116 7 1,714 2,590 126 56 604 408 221 161 586 208 110 110 1Q02 441 23 6 150 36 52 21 121 27 5 541 611 28 10 161 103 45 25 142 49 14 34 2Q02 444 26 6 135 39 47 29 128 29 5 581 646 28 10 156 114 48 33 151 55 14 38 3Q02 489 28 7 161 40 55 34 128 31 5 683 832 34 14 210 132 88 49 168 67 17 53 4Q02 491 28 8 172 38 64 27 116 29 8 658 987 38 18 273 156 98 48 212 73 18 53 2002 1,863 106 26 617 154 218 110 493 116 22 2,463 3,076 127 52 799 505 279 156 672 245 63 178

(1) Excluding the effect of the sale of forestry assets of Klabin Riocell in 2Q01

17

Attachment 7
Financing Repayment Schedule December 31, 2002
Total Debt- Average Tenor: 17 months
R$ Million 1Q03 2Q03 3Q03 4Q03 2004 2005 2006 onwards TOTAL Currency Local Foreign TOTAL

247 65 61 525 138 681 209 1,926

303 122 216 79 353 (65) 7 1,014

550 187 277 604 491 615 216 2,941

Local Currency Average Term: 21 months - Average Cost 24.8% per year
R$ Million 1Q03 2Q03 3Q03 4Q03 2004 2005 2006 onwards TOTAL BNDES Debentures Others TOTAL

45 41 39 34 126 115 208 608

11 472 0 564 1,047

192 23 22 19 12 2 1 271

247 65 61 525 138 681 209 1,926

Foreign Currency Average Term: 8 months- Average Cost 6.5% per year
US$ Million 1Q03 2Q03 3Q03 4Q03 2004 2005 2006 onwards TOTAL Trade Finance Eurobonds Others TOTAL

37 28 29 20 69 12 195

1 23 24

48 7 32 2 8 (31) 2 68

86 34 61 22 100 (18) 2 287

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Attachment 8
Consolidated Statement of Cash Flow
Year ended December 31, 2002
Operating Activities Net loss for the period Expenses (revenues) not affecting working capital: Depreciation, amortization and depletion Amortization of goodwill Gain (Loss) on sale of property, plant and equipment Impaiment for losses on fixed assets Other provisions Deferred income tax and social contribution Income tax and social contribution charges Interest and exchange rate variations on loans and financings Equity in losses of subsidiaries Inflationary effects on investments abroad Exchange rate variations on investments abroad Minority Interest Redution (increase) in Assets Cash and cash equivalents Accounts receivable Inventories Taxes recoverable Prepaid Expenses Judicial Deposits Others accounts receivable Increase (reduction) in Liabilities Suppliers Taxes payable Provision for income tax and social contribution Salaries, vacation pay and payroll charges Provision for contingencies Deferred income Others accounts payable Net cash provided from operating activities Investing activities Acquisitions of property, plant and equipment Increase in deferred assets Proceeds from disposals of property, plant and equipment Loans to related parties Other investments, net Net cash used on investing activities Financing activities: New funding Debentures issuance Loan amortization Debentures amortization Interest paid Dividends paid Net cash used in financing activities Net increase in cash and equivalents Cash and cash equivalent at beggining of period Cash and cash equivalent at end of period Thousand of Reais (208,296) 318,003 9,469 (3,957) 14,445 6,218 (130,310) 7,174 853,485 439 (37,784) 4,876 2,754 (22,205) (186,431) (50,710) 18,893 (23,900) (32,437) 9,516 74,122 (5,554) (13,138) 10,312 25,685 (10,423) 41,989 672,235 (181,731) (6,908) 11,888 (6,054) (466) (183,271) 1,492,137 1,044,495 (2,567,204) (112,400) (286,413) (30,000) (459,385) 29,579 45,849 75,428 29,579

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