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News Release

Final Results
28 February 2014

Mondi Limited

(Incorporated in the Republic of South Africa)

(Registration number: 1967/013038/06)

JSE share code: MND ISIN: ZAE000156550

Mondi plc

(Incorporated in England and Wales)

(Registered number: 6209386)

JSE share code: MNP ISIN: GB00B1CRLC47

LSE share code: MNDI

As part of the dual listed company structure, Mondi Limited and Mondi plc
(together `Mondi Group') notify both the JSE Limited and the London Stock
Exchange of matters required to be disclosed under the Listings Requirements of
the JSE Limited and/or the Disclosure and Transparency and Listing Rules of the
United Kingdom Listing Authority.

Full year results for the year ended 31 December 2013

Highlights

  * Record financial performance

  *
      + Underlying operating profit of €699 million, up 22%

      + Underlying earnings of 95 euro cents per share, up 37%

      + ROCE of 15.3%, up 170 basis points

  * 2012 packaging acquisitions integrated and synergies on track

  * Strategic capital investments on track, with a number of projects completed

  * Strong de-leveraging with net debt down by €251 million to €1,621 million

  *
      + Cash generated from operations exceeded €1 billion for the first time

  * Total dividend proposed of 36 euro cents per share, up 29%

Financial Summary

€ million, except for                 (Restated)                   (Restated)
percentages and per share                      4                            4
measures
                           Year ended Year ended        Six months Six months
                                   31         31          ended 31   ended 31
                             December   December Change   December   December Change
                                 2013       2012      %       2013       2012      %

Group revenue                   6,476      5,790     12      3,134      2,971      5

Underlying EBITDA1              1,068        927     15        514        490      5

Underlying operating              699        574     22        333        302     10
profit1

Operating profit                  605        547     11        320        275     16

Profit before tax                 499        368     36        270        146     85

Per share measures

Basic underlying earnings        95.0       69.2     37
per share2 (€ cents)

Basic earnings per share         79.8       50.1     59
(€ cents)

Total dividend per share         36.0       28.0     29
(€ cents)

Free cash flow per share2        64.1       52.7     22
(€ cents)

Cash generated from             1,036        849     22
operations

Net debt                        1,621      1,872

Group return on capital         15.3%      13.6%
employed (ROCE)3

Notes:

1 The Group presents underlying EBITDA, operating profit and related per share
information as measures which exclude special items in order to provide a more
effective comparison of the underlying financial performance of the Group
between financial reporting periods. A reconciliation of underlying operating
profit to profit before tax is provided in note 3 of the condensed financial
statements.

2 Free cash flow per share is the net increase in cash and cash equivalents
before the effects of acquisitions and disposals of businesses, changes in net
debt and dividends paid divided by the net number of shares in issue at year
end.

3 ROCE is underlying profit expressed as a percentage of the average capital
employed for the year, adjusted for impairments and spend on strategic projects
which are not yet in operation.

4 The Group has restated comparative information following the adoption of
revised IFRS standards. Full details of the restatements are set out in note 2b
of the condensed financial statements.

David Hathorn, Mondi Group chief executive, said:

"I am pleased to report a record financial performance, driven by our low cost
position, exposure to higher growth markets and ongoing focus on operational
excellence. While growth in demand for the Group's key products has remained
generally subdued, supply-side constraint has been supportive of pricing.

It is particularly pleasing to see how well the integration of the businesses
acquired in late 2012 has gone, with synergies delivered in line with target.
Despite a difficult trading environment, the new business segment of Consumer
Packaging has demonstrated its resilience. With order books strengthening in
the new year and the structural growth dynamics still very much in place, we
remain confident in the future development of this business.

A further priority in 2013 was the successful development of the various
capital expenditure projects initiated over the past two years. It is again
pleasing to report that a number of these were delivered during the year, all
within budget. The projects that are still in progress remain within budget and
on target for their scheduled completion dates over the coming two years.

The trading environment in the Group's main markets remains mixed. The increase
in the price of recycled containerboard in the second half of 2013 on solid
demand growth is encouraging, and should lend support to our other key
containerboard grades. However, price pressure in most virgin paper grades in
the second half of 2013 means that we start the new year with lower pricing
than the average for 2013. The near-term outlook for pricing is largely
dependent on the strength of the European macroeconomic recovery. In this
regard it is encouraging to see a recent pick-up in orders in some of our main
product segments and we are in discussions with customers on price increases in
certain virgin packaging grades.

Recent exchange rate volatility in several of the emerging markets in which we
operate does create its challenges. However, the Group's positioning as a net
exporter from most of these markets typically allows us to benefit from the
devaluation of these currencies relative to the euro.

We are confident that the ongoing capital investment programme will contribute
meaningfully to our performance going forward. Our proven ability to generate
strong cash flow through the cycle provides valuable optionality. As such, we
remain confident in the Group's ability to continue delivering industry-leading
performance."

Contact details

Mondi Group

David Hathorn                               +27 11 994 5418

Andrew King                                 +27 11 994 5415

Lora Rossler                                +27 83 627 0292

FTI Consulting

Richard Mountain / Sophie McMillan          +44 20 7269 7186 / +44 20 7909 684 466

Bheki Mpofu / Lerato Matsaneng              +27 88 552 2109 / +27 11 214 2407

Conference call dial-in and audio cast details

Please see below details of our dial-in conference call and audio cast that
will be held at 09:00 (UK) and 11:00 (SA).

The conference call dial-in numbers are:

South Africa 0800 200 648 (toll-free)

UK 0808 162 4061 (toll-free)

Europe 00800 246 78 700 (toll-free)

Alternate +27 11 535 3600

An online audio cast facility will be available via: www.mondigroup.com/
FYResults13.

The presentation will be available online via the above website address an hour
before the audio cast commences. Questions can be submitted via the dial-in
conference call or by e-mail via the audio cast.

Should you have any issues on the day with accessing the dial-in conference
call, please call +27 11 535 3600.

Should you have any issues on the day with accessing the audio cast, please
e-mail mondi@kraftwerk.co.at and you will be contacted immediately.

An audio recording of the presentation will be available on Mondi's website
during the afternoon of 28 February 2014.

Editors' notes

Mondi is an international packaging and paper Group, employing around 24,000
people in production facilities across 30 countries. In 2013, Mondi had
revenues of €6.5 billion and a ROCE of 15.3%. The Group's key operations are
located in central Europe, Russia, the Americas and South Africa.

The Mondi Group is fully integrated across the packaging and paper value chain
- from the management of its own forests and the production of pulp and paper
(packaging paper and uncoated fine paper), to the conversion of packaging paper
into corrugated packaging, industrial bags, extrusion coatings and release
liner. Mondi is also a supplier of innovative consumer packaging solutions,
advanced films and hygiene products components.

Mondi has a dual listed company structure, with a primary listing on the JSE
Limited for Mondi Limited under the ticker code MND and a premium listing on
the London Stock Exchange for Mondi plc, under the ticker code MNDI. The
Group's performance, and the responsible approach it takes to good business
practice, has been recognised by its inclusion in the FTSE4Good Global,
European and UK Index Series (since 2008) and the JSE's Socially Responsible
Investment (SRI) Index since 2007.

Forward-looking statements

This document includes forward-looking statements. All statements other than
statements of historical facts included herein, including, without limitation,
those regarding Mondi's financial position, business strategy, market growth
and developments, expectations of growth and profitability and plans and
objectives of management for future operations, are forward-looking statements.
Forward-looking statements are sometimes identified by the use of
forward-looking terminology such as "believe", "expects", "may", "will",
"could", "should", "shall", "risk", "intends", "estimates", "aims", "plans",
"predicts", "continues", "assumes", "positioned" or "anticipates" or the
negative thereof, other variations thereon or comparable terminology. Such
forward-looking statements involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or achievements
of Mondi, or industry results, to be materially different from any future
results, performance or achievements expressed or implied by such
forward-looking statements. Such forward-looking statements and other
statements contained in this document regarding matters that are not historical
facts involve predictions and are based on numerous assumptions regarding
Mondi's present and future business strategies and the environment in which
Mondi will operate in the future. These forward-looking statements speak only
as of the date on which they are made.

No assurance can be given that such future results will be achieved; various
factors could cause actual future results, performance or events to differ
materially from those described in these statements. Such factors include in
particular but without any limitation: (1) operating factors, such as continued
success of manufacturing activities and the achievement of efficiencies
therein, continued success of product development plans and targets, changes in
the degree of protection created by Mondi's patents and other intellectual
property rights and the availability of capital on acceptable terms; (2)
industry conditions, such as strength of product demand, intensity of
competition, prevailing and future global market prices for Mondi's products
and raw materials and the pricing pressures thereto, financial condition of the
customers, suppliers and the competitors of Mondi and potential introduction of
competing products and technologies by competitors; and (3) general economic
conditions, such as rates of economic growth in Mondi's principal geographical
markets or fluctuations of exchange rates and interest rates.

Mondi expressly disclaims a) any warranty or liability as to accuracy or
completeness of the information provided herein; and b) any obligation or
undertaking to review or confirm analysts' expectations or estimates or to
update any forward-looking statements to reflect any change in Mondi's
expectations or any events that occur or circumstances that arise after the
date of making any forward-looking statements, unless required to do so by
applicable law or any regulatory body applicable to Mondi, including the JSE
Limited and the LSE.

Any reference to future financial performance included in this announcement has
not been reviewed or reported on by the Group's auditors.

Overview

Mondi delivered a record financial performance in 2013, benefiting from a
strong operating performance and the strategic acquisitions completed in the
latter part of 2012.

Underlying operating profit of €699 million was up 22% on that achieved in
2012. Excluding the effects of acquisitions made in the prior year, underlying
operating profit was still up 11%, driven by particularly strong performances
from Packaging Paper and the South Africa Division.

Return on capital employed (ROCE), a key performance metric for the Group, was
15.3%, a record for the Group despite the dilutive effect of the acquisitions
made in 2012. ROCE over the past three years, averaging 14.6%, has been
consistently above the Group's through-the-cycle hurdle rate of 13%.

The focus over the last year has been on integrating and optimising the
significant acquisitions made towards the end of 2012 and delivering the major
capital projects initiated over the past two years. Excellent progress has been
made in this regard, with synergy targets delivered, a number of the capital
projects having been completed in the latter part of 2013, and the remaining
projects on track for completion within budget and on schedule over the next
two years.

The Packaging Paper business was the standout performer, benefiting from higher
average pricing in all key grades and good volume growth. The downstream Fibre
Packaging business was challenged by rising paper prices, but generally made
good progress in recovering margins. The Uncoated Fine Paper business continued
to deliver strong results despite the structural demand decline seen in mature
western European markets, a testament to the business' superior cost and market
positioning. The South Africa Division made very good progress during the year
and is now delivering well in excess of the Group's 13% through-the-cycle
hurdle rate.

The Group benefited from currency weakness in certain of the emerging markets
in which it operates, most significantly in the South Africa Division from the
rand's devaluation relative to the euro and US dollar.

The strong culture of continuous productivity improvement, relentless focus on
cost management and the benefits of restructuring activities completed during
the year ensured that fixed cost increases were contained to well below
inflationary levels.

The Group remains strongly cash generative with net debt reducing to
€1,621 million, compared to €1,872 million at 31 December 2012, notwithstanding
the €405 million (2012:€294 million) invested in capital expenditure projects
during the year. Cash generated from operating activities exceeded €1 billion
for the first time.

Underlying earnings of 95 euro cents per share grew 37% compared to 2012, with
higher finance charges offset by a lower effective tax rate and reduced
non-controlling interest charges.

We continue to refine our product and geographic mix in line with our strategic
focus. Our emphasis is on growing our packaging interests, which currently
account for around 70% of the Group's revenues, while at the same time
continuing to invest appropriately to maintain and improve the competitiveness
of our uncoated fine paper business. Within the broader packaging sphere, we
see greater opportunities to develop those segments offering exposure to
consumer related packaging. This includes both our Consumer Packaging business,
and the corrugated packaging value chain. We continue to develop our presence
in emerging markets, which offer us inherent cost and growth benefits, while
recognising in some areas, most notably Consumer Packaging, that there are also
opportunities to develop and leverage our competencies in mature markets.
Overall, approximately 62% of the Group's net operating assets and 51% of
revenue by destination are currently in emerging markets.

The Boards are recommending payment of a final dividend of 26.45 euro cents per
share, bringing the total dividend for the year to 36 euro cents per share, an
increase of 29% on 2012.

Europe & International - Packaging Paper

€ million                                                  Six      Six
                                Year     Year           months   months
                            ended 31 ended 31         ended 31 ended 31
                            December December  Change December December  Change
                                2013     2012       %     2013     2012       %

Segment revenue                2,000    1,896       5      957      936       2

Underlying EBITDA                394      321      23      199      171      16

Underlying operating profit      298      227      31      150      123      22

Underlying operating profit    14.9%    12.0%            15.7%    13.1%
margin

Capital expenditure              139       89               84       55

Net segment assets             1,484    1,466

ROCE                           21.9%    17.9%

Packaging Paper benefited from positive trading conditions in all key paper
grades and a strong operating performance, resulting in an underlying operating
profit of €298 million, an increase of 31%, and ROCE of 21.9%.

The average benchmark selling price for recycled containerboard was 4% higher
than the comparable prior year period, and by December was 14% up on the same
stage in the prior year, with increases being implemented at various stages
throughout the year. Price increases were driven by reasonable demand growth
supported by limited net capacity additions, with new capacity brought on
stream during the year largely offset by closures.

Selling prices for the virgin containerboard grades increased modestly over the
first half of the year before coming under some pressure during the second
half. At year-end benchmark selling prices were around 2% lower than the
average levels during the year. The price weakness in the second half was seen
as a reaction to increased substitution towards recycled grades due to the
abnormally high price differential that developed between virgin and recycled
containerboard grades, competition from imports due to the weaker US dollar and
an increase in supply as producers converted production from less profitable
grades. The price differential has now reduced to levels towards the lower half
of the historic trading range, typically seen as supportive of virgin
containerboard pricing. With improving demand seen in early 2014, discussions
are underway with customers around price increases in unbleached kraftliner
grades.

Kraft paper prices were relatively stable for much of the year while volumes
were up on the prior year, supported by stable European markets and strong
gains in export markets. As anticipated, there was some price erosion seen
towards the end of the fourth quarter and into early 2014 on the back of
seasonally weaker demand in Europe and increased competition in key export
markets. By the end of the year, average selling prices had declined by around
9% from their highs in mid-2013. It is, however, encouraging to note a recent
pick-up in orders. Sack kraft paper price increases are currently under
discussion with customers.

The uncertain regulatory environment surrounding renewable energy in Poland led
to a significant decline in market prices for green energy in the first quarter
of the year. As a consequence, the Group recognised an €11 million write down
in the value of its existing green energy credits in the first quarter. The
lower market prices prevailed throughout the year and income from the sale of
green energy credits in the Packaging Paper business was €17 million lower than
in 2012 (excluding the impact of the one-off write-down).

Input costs were well contained. The cost of paper for recycling was relatively
stable throughout the year following a sharp drop in prices seen in the second
half of 2012, although there was some regional pressure in Poland following the
start-up of new competitor capacity. The average benchmark price was
approximately 7% lower than in 2012. Wood costs in central Europe were
generally well contained.

Following the acquisitions, in Fibre Packaging, of the Duropack corrugated
packaging plants in the latter part of 2012, Packaging Paper benefited from the
realisation of supply chain synergies.

A strong operating performance and significant productivity improvements, most
notably in Syktyvkar, ensured that increases in fixed costs were contained well
within inflation.

Europe & International - Fibre Packaging

€ million                                                 Six      Six
                                Year     Year          months   months
                            ended 31 ended 31        ended 31 ended 31
                            December December Change December December Change
                                2013     2012      %     2013     2012      %

Segment revenue                1,967    1,860      6      965      914      6

Underlying EBITDA                163      168    (3)       80       88    (9)

Underlying operating profit       93      101    (8)       45       54   (17)

Underlying operating profit     4.7%     5.4%            4.7%     5.9%
margin

Special items                    (3)     (16)             (3)     (16)

Capital expenditure               78       76              43       48

Net segment assets               903      958

ROCE                           10.8%    12.5%

Underlying operating profit declined by 8% to €93 million as the business was
impacted by rising input costs, adverse currency movements and market and
operational challenges in the coatings segment.

Corrugated packaging benefited from higher sales volumes and higher prices,
although margins were squeezed by the lag in passing on increasing paper input
costs to customers, currency effects and aggressive competitor activity in
certain markets. The business benefited from the successful integration of the
acquisitions of the Duropack corrugated plants in Germany and the Czech
Republic in the latter part of 2012.

Industrial bags continued to deliver solid results. Selling prices and paper
input costs were at similar levels to 2012, while the business realised the
benefits of its restructuring activities, mainly in western Europe, with fixed
costs reducing significantly compared to 2012. Sales volumes increased with
good demand in Russia and the CIS as well as in Africa, Middle East and north
and central America. Sales volumes in Europe were marginally down on the
previous year. The weaker export currencies relative to the euro had a negative
impact on margins.

The coatings business experienced volume declines and margin pressures, mainly
due to weak demand in the industrial and automotive markets and increased
competitor activity in the main European markets.

Europe & International - Consumer Packaging

€ million
                                 Year     Year      Six months Six months
                             ended 31 ended 31        ended 31   ended 31
                             December December        December   December
                                 2013     2012            2013       2012

Segment revenue                 1,153      502             571        352

Underlying EBITDA                 129       45              63         30

Underlying operating profit        74       19              35          9

Underlying operating profit      6.4%     3.8%            6.1%       2.6%
margin

Special items                    (13)     (11)               -       (11)

Capital expenditure                56       28              32         21

Net segment assets                855      872

ROCE - adjusted                  9.1%    10.8%

ROCE for 2012 has been adjusted to exclude one-off costs related to the
acquisition of Nordenia.

The benefits of the acquisition of Nordenia in October 2012 are reflected in
the increase in underlying operating profit of €55 million to €74 million. On a
pro-forma basis, assuming Nordenia was acquired at the beginning of 2012, and
excluding the effects of acquisition accounting, the underlying operating
profit of the combined business was in line with the prior year, with synergy
gains offset by a weaker trading performance, the impact of some one-off costs,
and higher fixed costs.

Synergies related to the Nordenia acquisition of €16 million were realised
during the year, well on track to achieve the targeted €20 million in 2014.
One-off costs of €5 million were incurred in achieving these synergies.

Sales volumes in the commoditised segments of the films business were lower
than the previous year. With focus on higher value added products, it is
pleasing to see volumes for fully converted packaging products held up well, up
2%, with good performances from the emerging European and north American
operations. It is encouraging to note a pick-up in order intake in early 2014
following a weak finish to 2013.

An increase in fixed costs, excluding synergy effects, due in part to costs
incurred on new product launches and a new plant start-up further impacted the
underlying result.

The closure of the Lindlar operation and redirection of production to existing
Consumer Packaging facilities in Germany and Hungary and to the Fibre Packaging
business in the Czech Republic was completed.

Europe & International - Uncoated Fine Paper

€ million                                                 Six      Six
                                Year     Year          months   months
                            ended 31 ended 31        ended 31 ended 31
                            December December Change December December Change
                                2013     2012      %     2013     2012      %

Segment revenue                1,388    1,466    (5)      648      717   (10)

Underlying EBITDA                277      300    (8)      120      146   (18)

Underlying operating profit      172      191   (10)       70       91   (23)

Underlying operating profit    12.4%    13.0%           10.8%    12.7%
margin

Special items                   (60)        -            (10)        -

Capital expenditure               80       58              44       34

Net segment assets             1,135    1,248

ROCE                           16.2%    16.7%

Uncoated Fine Paper continued to deliver robust results, with underlying
operating profit of €172 million and a ROCE of 16.2%.

Sales volumes in uncoated fine paper were around 1.5% down on the prior year,
reflecting mainly the effects of the decision to restructure the Neusiedler
mill. In May 2013, Mondi announced plans to restructure the non-integrated
Neusiedler operation to improve the competitiveness of the mill. The
restructuring was successfully completed and the mill is now focused on
production of speciality paper grades enjoying higher margins.

Selling prices were largely unchanged in the first part of the year compared to
the levels at the end of 2012, but decreased in the second half in the face of
continuing weak demand and the introduction of additional capacity from
industry competitors in an already oversupplied market. Average benchmark
selling prices for uncoated fine paper were around 2% lower than the prior
year, while prices at the year-end were around 1% below the average for the
year.

Input costs increased, with higher wood costs in Ruzomberok, higher pulp input
costs at the unintegrated Neusiedler mill in Austria and higher gas and
transportation costs in Syktyvkar. In Syktyvkar, wood costs reduced as a result
of a number of cost reduction initiatives. On average, own wood costs in
Syktyvkar have decreased by more than 10% from 2012 average costs.

Profit improvement initiatives and productivity improvements more than offset
inflationary fixed cost increases, enabling the business to realise a net
reduction in fixed costs compared to 2012.

South Africa Division

                                 (Restated)                    (Restated)

€ million
                      Year ended Year ended         Six months Six months
                              31         31           ended 31   ended 31
                        December   December  Change   December   December  Change
                            2013       2012       %       2013       2012       %

Segment revenue              624        702    (11)        299        354    (16)

Underlying EBITDA            135        125       8         68         69     (1)

Underlying operating          93         69      35         49         40      23
profit

Underlying operating       14.9%       9.8%              16.4%      11.3%
profit margin

Special items               (11)          6                  7          -

Capital expenditure           52         43                 38         26

Net segment assets           622        821

ROCE                       16.0%       9.6%

The South Africa Division delivered a very strong performance. Underlying
operating profit was €93 million, an increase of 35%, and ROCE was 16.0%,
despite net fair value gains from the revaluation of the Division's forestry
assets being around €23 million lower than those realised in the prior year.

The business benefited from higher domestic selling prices, good domestic
containerboard volume growth, and improved export margins due to the weaker
South African rand coupled with higher average export pulp prices.

In May 2013, the closure of one of the two newsprint machines located in
Merebank was announced as a result of the continued decline in demand for
newsprint in South Africa. The machine stopped production with effect from 1
July 2013.

The South African rand came under significant pressure during the year, closing
the year more than 30% weaker against the euro than in December 2012. The
Division generates approximately 40% of its revenue from exports, with a
predominantly rand cost base and thus benefited from the weakening currency.

The Division has continued to invest in the modernisation of its forestry
operations, with a focus on silviculture and harvesting in the current year.
The benefits of these investments, further productivity improvements and strong
cost management ensured that fixed costs were contained to well within
inflationary levels.

Tax

The Group's underlying effective tax rate of 17% is below that of the prior
year, and reflects a favourable underlying profit mix, the continued benefits
arising from the utilisation of certain tax incentives available to the Group,
most notably in Poland, and further tax incentives received during the year
related to the recovery boiler investment project in Slovakia.

Non-controlling interests

The non-controlling interest charge of €28 million is €7 million lower than the
previous year, primarily due to the impact of the acquisition of the remaining
minority interest in Mondi Swiecie during the first half of 2012.

Special items

Special items are those items of financial performance that the Group believes
should be separately disclosed to assist in the understanding of the underlying
financial performance achieved by the Group and its businesses. These items are
considered to be material either in nature or in amount.

The net special item charge of €87 million before tax, the cash component of
which amounted to €20 million, included the following:

  * Closure of Consumer Packaging's Lindlar operation in Germany (€13 million);

  * Closure of the Newsprint machine in Merebank, South Africa and related
    restructuring activities (€18 million);

  * Impairment of Uncoated Fine Paper's Neusiedler mill in Austria and related
    restructuring costs (€51 million);

  * Write-down of unutilised assets in Uncoated Fine Paper's Syktyvkar mill in
    Russia (€9 million);

  * Gain from the sale of land in South Africa Division (€7 million); and

  * Further restructuring and impairment costs in the Industrial Bags segment
    of Fibre Packaging in France and Mexico (€3 million).

Further detail is provided in note 5 of the condensed financial statements.

After taking special items into consideration, earnings of €386 million (79.8
euro cents per share) were 59% higher than the previous year (€242 million,
50.1 euro cents per share).

Cash flow

The Group is strongly cash generative with EBITDA of €1,068 million, reflecting
an increase of 15% compared to the prior year. The Group generated
€1,036 million of cash from operations (2012: €849 million) after taking into
account a net increase in working capital of €27 million. Working capital as a
percentage of revenue was 11%, in line with the target of 10-12% of turnover,
and represents a reduction on the prior year comparable figure of 11.9%
(adjusted for acquisitions).

The strong cash flow generation was applied to fund the Group's capital
expenditure of €405 million, the payment of finance charges of €124 million,
and the payment of dividends to holders of non-controlling interests of
€60 million and to shareholders of €138 million. The net cash flow generated by
the Group of €174 million was applied to reduce the Group's net debt.

Capital investments

Capital expenditure of €405 million was €111 million higher than the prior year
as expenditure on a number of the Group's previously announced energy and
debottlenecking investments ramped up. The capital expenditure to depreciation
ratio was 113%.

The major strategic investments initiated over the past two years and completed
during 2013 include the rebuild of the bark boiler at the Syktyvkar uncoated
fine paper and containerboard mill in Russia, a new recovery boiler at the
Group's Frantschach kraft paper mill in Austria, a recovery boiler economiser
and turbine at the Stambolijski kraft paper mill in Bulgaria and a new steam
turbine at the Richards Bay pulp and containerboard mill in South Africa. With
the exception of the bark boiler, completed in the first half of 2013, these
projects were completed in the second half of the year, with the benefits of
reduced energy costs, improved efficiencies and improved electricity
self-sufficiency expected to be realised from 2014 onwards. In total,
approximately €140 million has been invested in these, and other smaller energy
related projects.

Early in 2013, the construction of a 150,000 tonne bleached kraft paper machine
at the Steti kraft paper mill in the Czech Republic was approved. This will
enable the mill to integrate its remaining open market pulp production on site,
providing further growth opportunities for this business. The €70 million
project is expected to be completed in the first half of 2014.

Good progress is being made on the €30 million investment in a 100,000 tonne
pulp dryer in the Syktyvkar mill and the project is on schedule for completion
in the second half of 2014.

In the first half of the year, a €128 million project to replace the recovery
boiler at the Ruzomberok uncoated fine paper mill in Slovakia commenced.
Completion is scheduled towards the end of 2014. The project will reduce the
mill's environmental footprint and improve its overall cost position. Some of
the benefits from this project also result from avoiding otherwise essential
stay-in-business capital expenditure.

In the second half of the year, the Boards approved a €166 million investment
at the Mondi Swiecie containerboard mill in Poland, bringing forward the
planned replacement of the recovery boiler and the mill's coal fired boilers.
The investment will result in a reduction of ongoing maintenance costs, an
improvement in overall energy efficiency and a reduction in CO2e emissions. The
project is expected to be completed towards the end of 2015.

These investments are all proceeding according to schedule.

As a consequence of the major capital projects approved during 2013, coupled
with some delay in the expected spend on previously approved projects, capital
expenditure is expected to increase to around €500 million per annum, on
average, over the next two years.

Treasury and borrowings

Net debt at 31 December of €1,621 million decreased by €251 million from 31
December 2012 as a consequence of the Group's strong cash flow generation and
currency effects. The weakening of a number of the emerging market currencies
in which the Group's debt is denominated resulted in a net currency gain of
€59 million being recorded.

Gearing reduced to 36.3% at the end of 2013, down from 39.5% at the end of
2012. The net debt to 12 month trailing EBITDA ratio was 1.5 times, well within
the Group's key financial covenant requirement of 3.5 times.

Finance charges of €115 million were €5 million higher than the previous year,
with higher average net debt as a consequence of the acquisitions made at the
end of 2012 offset by a lower effective interest rate.

Mondi's public credit ratings, first issued in March 2010, were again
reaffirmed during the year at BBB- (Standard and Poor's) and Baa3 (Moody's
Investors Service).

The Group actively manages its liquidity risk by ensuring it maintains
diversified sources of funding and debt maturities. The weighted average
maturity of the Eurobonds and committed debt facilities was 3.7 years at
31 December 2013. At the end of the year €792 million of the Group's
€2.5 billion committed debt facilities remained undrawn.

Dividend

The Boards' aim is to offer shareholders long-term dividend growth within a
targeted dividend cover range of two to three times over the business cycle.
Given the Group's strong financial position and the Boards' stated objective to
increase distributions to shareholders through the ordinary dividend, the
Boards have recommended an increase in the final dividend.

The Boards of Mondi Limited and Mondi plc have recommended a final dividend of
26.45 euro cents per share (2012: 19.1 euro cents per share), payable on 22 May
2014 to shareholders on the register on 25 April 2014. Together with the
interim dividend of 9.55 euro cents per share, paid on 17 September 2013, this
amounts to a total dividend for the year of 36.0 euro cents per share. In 2012,
the total dividend for the year was 28.0 euro cents per share. The final
dividend is subject to the approval of the shareholders of Mondi Limited and
Mondi plc at the respective annual general meetings scheduled for 14 May 2014.

Outlook

The trading environment in the Group's main markets remains mixed. The increase
in the price of recycled containerboard in the second half of 2013 on solid
demand growth is encouraging, and should lend support to the other key
containerboard grades. However, price pressure in most virgin paper grades in
the second half of 2013 means that the new year started with lower pricing than
the average for 2013. The near-term outlook for pricing is largely dependent on
the strength of the European macroeconomic recovery. In this regard it is
encouraging to see a recent pick-up in orders in some of the Group's main
product segments and discussions are underway with customers on price increases
in certain virgin packaging grades.

Recent exchange rate volatility in several of the emerging markets in which the
Group operates does create some challenges. However, the Group's positioning as
a net exporter from most of these markets typically allows it to benefit from
the devaluation of these currencies relative to the euro.

The Group is confident that its ongoing capital investment programme will
contribute meaningfully to Mondi's performance going forward. Mondi's proven
ability to generate strong cash flows through the cycle provides valuable
optionality. As such, the Group remains confident in its ability to continue
delivering industry-leading performance.

Principal risks and uncertainties

It is in the nature of Mondi's business that the Group is exposed to risks and
uncertainties which may have an impact on future performance and financial
results, as well as on its ability to meet certain social and environmental
objectives.

The executive committee, mandated by the Boards, has established a Group-wide
system of internal control to manage Group risks. The Group-wide system, which
complies with corporate governance codes in South Africa and the UK, supports
the Boards in discharging their responsibility for ensuring that the wide range
of risks associated with Mondi's diverse international operations is
effectively managed.

Continuous monitoring of risk and control processes across all key risk areas
provides the basis for regular reports to management, the executive committee
and the Boards. On an annual basis, the executive committee, the audit
committee and the Boards conduct a formal systematic review of the Group's most
significant risks and uncertainties and the monitoring of and response to those
risks. These risks are assessed against pre-determined risk tolerance limits,
established by the Boards, taking both the likelihood and severity of the risk
factors into consideration.

The risk management framework addresses all significant strategic,
sustainability, financial, operational and compliance-related risks which could
undermine the Group's ability to achieve its business objectives in a
sustainable manner. The risk management framework is designed to be flexible,
to ensure that it remains relevant at all levels of the business given the
diversity of the Group's locations, markets and production processes; and
dynamic, to ensure that it remains current and responsive to changing business
conditions.

The directors are satisfied that the Group has effective systems and controls
in place to manage its key risks within the risk tolerance levels established
by the Boards.

Competitive environment in which Mondi operates

The industry in which Mondi operates is highly competitive and selling prices
are subject to significant volatility. New capacity additions are usually in
large increments which, combined with product substitution towards lighter
weight products, electronic substitution, alternative packaging solutions and
increasing environmental considerations, have a significant impact on the
supply-demand balance and hence on market prices.

The Group monitors industry developments in terms of changes in capacity as
well as trends and developments in its product markets and potential
substitutes. Mondi's strategic focus on low-cost production in growing markets
with consistent investment in its operating capacity ensures that the Group
remains competitive. Mondi invests in research and development activities to
improve existing processes and to identify new markets and new products.

The locations in which the Group operates

The Group operates in a number of geographical locations in countries with
differing levels of political, economic and legal systems.

The Group continues to actively monitor and adapt to changes in the
environments in which it operates. Management engages in regular formal and
informal interaction with the authorities to ensure they remain abreast of new
developments. Thorough country risk assessments are conducted and return
requirements adjusted to take country risk into consideration.

The Group's geographical diversity and decentralised management structure,
utilising local resources in countries in which it operates, reduces exposure
to any specific jurisdiction. The Boards have established limits on exposure to
any particular geographic environment and new investments are subject to
rigorous strategic and commercial evaluation.

Capital intensive operations

Mondi operates large facilities, often in remote locations. The ongoing safety
and sustainable operation of all its facilities is critical to the success of
the Group.

The management systems in place ensure ongoing monitoring of all operations to
ensure they meet the requisite standards and performance requirements. The
Group has adequate insurance in place to cover material property damage,
business interruption and liability risks. A structured maintenance programme
is in place under the auspices of the Group technical director. Emergency
preparedness and response procedures are in place and subject to periodic
drills.

Cost and availability of a sustainable supply of fibre

Paper for recycling and wood account for approximately one-third of input
costs. It is the Group's objective to acquire fibre from sustainable sources
and to avoid the use of any illegal or controversial supply.

International market prices are constantly monitored and, where possible, cost
pass through mechanisms are in place with customers.

The Group maintains strong forestry management teams in Russia and South Africa
to actively monitor environmental influences impacting its owned sources of
fibre. Mondi's relatively high levels of integration and access to own FSCTM
certified wood in Russia and South Africa serve to mitigate this risk. All the
Group's mills have chain-of-custody certificates in place ensuring that wood
procured is from non-controversial sources.

Cost of energy and related input costs

Energy and related input costs comprise approximately a third of the Group's
variable costs. Increasing energy costs, and the consequential impact thereof
on both chemical and transport costs, may impact profit margins.

Energy usage levels, emission levels and usage of renewable energy are
monitored and energy costs are benchmarked against external sources. The Group
continues to invest in energy infrastructure at its key operating facilities in
order to improve energy efficiency and electricity self-sufficiency as well as
to reduce its environmental footprint.

Attraction and retention of key skills and talent

The complexity of operations and geographic diversity of the Group is such that
high-quality, experienced employees are required in all locations.

The Group monitors its staff turnover levels, diversity and training activities
and conducts regular employee surveys. Appropriate reward and retention
strategies are in place to attract and retain talent across the organisation.
At more senior levels, these include a share based incentive scheme.

Employee and contractor safety

The Group's employees work in potentially dangerous environments where hazards
are ever-present and must be managed.

The Group engages in extensive safety communication sessions, involving
employees and contractors, at all operations. The Nine Safety Rules to Live By,
applied across the Group, are integral to the safety strategy. Operations
conduct statutory safety committee meetings where management and employees are
represented.

A risk-based approach underpins all safety and health programmes. All business
units and operations are required to have safety improvement plans in place.

Governance risks

The Group operates in a number of legal jurisdictions and non-compliance with
legal and governance requirements in these jurisdictions could expose the Group
to significant risk if not adequately managed.

The Group operates a comprehensive training and compliance programme, supported
by regular self-certification and reporting as well as its confidential
reporting hotline for all stakeholders, Speakout.

Financial risks

Mondi's trading and financing activities expose the Group to financial risks
that, if left unmanaged, could adversely impact current or future earnings.
These risks relate to the currencies in which the Group conducts its
activities, interest rate and liquidity risks as well as exposure to customer
credit risk.

Going concern

The Group's business activities, together with the factors likely to affect its
future development, performance and position, the most significant risks and
the Group's related management and mitigating actions are set out above. The
financial position of the Group, its cash flows, liquidity position and
borrowing facilities are described in the condensed financial statements.

Mondi's geographical spread, product diversity and large customer base mitigate
potential risks of customer or supplier liquidity issues. Ongoing initiatives
by management in implementing profit improvement initiatives which include
ongoing investment in its operations, plant optimisation, cost-cutting, and
restructuring and rationalisation activities have consolidated the Group's
leading cost position in its chosen markets. Working capital levels and capital
expenditure programmes are strictly monitored and controlled.

The Group meets its funding requirements from a variety of sources as more
fully described in note 11 of the condensed financial statements. The
availability of some of these facilities is dependent on the Group meeting
certain financial covenants all of which have been complied with. Mondi had
€792 million of undrawn committed debt facilities as at 31 December 2013 which
should provide sufficient liquidity in the medium term. The Group's debt
facilities have maturity dates of between 1 and 12 years, with a weighted
average maturity of 3.7 years.

The Group's forecasts and projections, taking account of reasonably possible
changes in trading performance, including an assessment of the current
macroeconomic environment indicate that the Group should be able to operate
well within the level of its current facilities and related covenants.

The directors have reviewed the overall Group strategy, the budget for 2014 and
subsequent years, considered the assumptions contained in the budget and
reviewed the critical risks which may impact the Group's performance. After
making such enquiries, the directors are satisfied that the Group remains
solvent and has adequate liquidity in order to meet its obligations and
continue in operational existence for the foreseeable future. Accordingly, the
Group continues to adopt the going concern basis in preparing this report.

Directors' responsibility statement

These financial statements have been prepared under the supervision of the
Group chief financial officer, Andrew King CA (SA), and have been audited in
compliance with the applicable requirements of the Companies Act of South
Africa 2008 and the UK Companies Act 2006.

The directors confirm that to the best of their knowledge:

  * the condensed set of combined and consolidated financial statements has
    been prepared in accordance with International Financial Reporting
    Standards and in particular with International Accounting Standard 34,
    `Interim Financial Reporting';

  * the full year results report includes a fair review of the important events
    during the year ended 31 December 2013 and a description of the principal
    risks and uncertainties; and

  * there have been no significant changes in the Group's related party
    relationships from that reported in the half yearly results for the six
    months ended 30 June 2013.

The Group's condensed combined and consolidated financial statements, and
related notes, were approved by the Boards and authorised for issue on 27
February 2014 and were signed on its behalf by:

David Hathorn    Andrew King

Director         Director

27 February 2014 27 February 2014

Audited financial information

The condensed combined and consolidated financial statements for the year ended
31 December 2013 have been audited by the Group's auditors, Deloitte LLP and
Deloitte & Touche. Their unqualified audit reports are available for inspection
at the Group's registered offices.

Condensed combined and consolidated income statement
for the year ended 31 December 2013

                                                                   (Restated)

                                              2013                       2012

€ million                   Notes  Before  Special   After  Before    Special   After
                                  special    items special special      items special
                                    items (note 5)   items   items   (note 5)   items

Group revenue                   3   6,476        -   6,476   5,790          -   5,790

Materials, energy and             (3,391)        - (3,391) (3,024)          - (3,024)
consumables used

Variable selling expenses           (523)        -   (523)   (527)          -   (527)

Gross margin                        2,562        -   2,562   2,239          -   2,239

Maintenance and other               (278)        -   (278)   (279)          -   (279)
indirect expenses

Personnel costs                     (940)     (17)   (957)   (834)       (16)   (850)

Other net operating                 (276)     (10)   (286)   (199)       (10)   (209)
expenses

Depreciation, amortisation          (369)     (67)   (436)   (353)        (1)   (354)
and impairments

Operating profit/(loss)         3     699     (94)     605     574       (27)     547

Non-operating special items     5       -        7       7       -       (64)    (64)

Net profit/(loss) from                  2        -       2     (5)          -     (5)
associates

Total profit/(loss) from              701     (87)     614     569       (91)     478
operations and associates

Net finance costs               6   (115)        -   (115)   (110)          -   (110)

Investment income                       3        -       3       4          -       4

Foreign currency losses               (1)        -     (1)     (2)          -     (2)

Finance costs                       (117)        -   (117)   (112)          -   (112)

Profit/(loss) before tax              586     (87)     499     459       (91)     368


Tax (charge)/credit             7    (98)       13    (85)    (90)        (1)    (91)

Profit/(loss) for the year            488     (74)     414     369       (92)     277

Attributable to:

Non-controlling interests                               28                         35

Shareholders                                           386                        242

Earnings per share (EPS)
for profit attributable to
shareholders

Basic EPS (€ cents)             8                     79.8                       50.1

Diluted EPS (€ cents)           8                     79.6                       49.9

Basic underlying EPS (€         8                     95.0                       69.2
cents)

Diluted underlying EPS (€       8                     94.8                       68.9
cents)

Basic headline EPS (€           8                     91.3                       62.9
cents)

Diluted headline EPS (€         8                     91.1                       62.7
cents)


Condensed combined and consolidated statement of comprehensive income
for the year ended 31 December 2013

                                                              (Restated)

                                       2013                         2012

€ million                   Before            Net of   Before             Net of
                               tax      Tax      tax      tax        Tax     tax
                            amount  expense   amount   amount    benefit  amount

Profit for the year                              414                         277

Other comprehensive
(expense)/income

Items that may
subsequently be
reclassified to the
combined and consolidated
income statement:

Effect of cash flow            (2)        -      (2)        2          -       2
hedges:

Gains on                         2        -        2        1          -       1
available-for-sale
investments

Exchange differences on      (233)        -    (233)       49          -      49
translation of foreign
operations

Share of other                 (1)        -      (1)        -          -       -
comprehensive income of
associates1

Items that will not
subsequently be
reclassified to the
combined and consolidated
income statement:

Remeasurements on               19      (6)       13     (33)          8    (25)
retirement benefits plans

Other comprehensive          (215)      (6)    (221)       19          8      27
(expense)/income for the
year

Other comprehensive
(expense)/income
attributable to:

Non-controlling interests     (11)        -     (11)        7          -       7

Shareholders                 (204)      (6)    (210)       12          8      20

Total comprehensive                              193                         304
income for the year

Total comprehensive
income attributable to:

Non-controlling interests                         17                          42

Shareholders                                     176                         262


Note:

1 Associates' share of exchange differences on translation of foreign
operations.

Condensed combined and consolidated statement of financial position
as at 31 December 2013

                                                            (Restated) (Restated)

€ million                                    Notes     2013       2012       At 1
                                                                          January
                                                                             2012

Intangible assets                                       675        695        238

Property, plant and equipment                         3,428      3,709      3,355

Forestry assets                                 10      233        311        309

Investments in associates                                 6          6         19

Financial asset investments                              27         26         22

Deferred tax assets                                       4         10          5

Net retirement benefits asset                             -          -          8

Derivative financial instruments                          1          -          3

Total non-current assets                              4,374      4,757      3,959

Inventories                                             746        783        633

Trade and other receivables                             954      1,010        814

Current tax assets                                       26         10          6

Financial asset investments                               1          1          1

Cash and cash equivalents                      13b      130         56        193

Derivative financial instruments                          5          4         10

Assets held for sale                                      4          2          -

Total current assets                                  1,866      1,866      1,657

Total assets                                          6,240      6,623      5,616

Short-term borrowings                           11    (181)      (281)      (268)

Trade and other payables                              (989)    (1,029)      (877)

Current tax liabilities                                (76)       (66)       (78)

Provisions                                             (46)       (67)       (44)

Derivative financial instruments                        (4)        (4)        (8)

Total current liabilities                           (1,296)    (1,447)    (1,275)

Medium and long-term borrowings                 11  (1,571)    (1,648)      (746)

Net retirement benefits liability               12    (211)      (253)      (202)

Deferred tax liabilities                              (264)      (344)      (313)

Provisions                                             (32)       (33)       (30)

Derivative financial instruments                        (1)        (1)          -

Other non-current liabilities                          (19)       (24)       (18)

Total non-current liabilities                       (2,098)    (2,303)    (1,309)

Total liabilities                                   (3,394)    (3,750)    (2,584)

Net assets                                            2,846      2,873      3,032

Equity

Share capital and stated capital                        542        542        542

Retained earnings and other reserves                  2,049      2,030      2,044

Total attributable to shareholders                    2,591      2,572      2,586

Non-controlling interests in equity                     255        301        446

Total equity                                          2,846      2,873      3,032


The Group's condensed combined and consolidated financial statements, and
related notes, were approved by the Boards and authorised for issue on 27
February 2014 and were signed on its behalf by:

David Hathorn Andrew King

Director      Director

Mondi Limited company registration number: 1967/013038/06

Mondi plc company registered number: 6209386

Condensed combined and consolidated statement of cash flows
for the year ended 31 December 2013

                                                                      (Restated)

€ million                                              Notes     2013       2012

Cash generated from operations                           13a    1,036        849

Dividends from associates                                           1          1

Dividends from other investments                                    -          1

Income tax paid                                                 (126)      (109)

Net cash generated from operating activities                      911        742

Cash flows from investing activities

Investment in property, plant and equipment                     (405)      (294)

Investment in intangible assets                                  (12)        (9)

Investment in forestry assets                             10     (41)       (51)

Investment in financial asset investments                         (4)        (7)

Proceeds from the disposal of tangible and intangible              36         15
assets

Proceeds from the disposal of financial asset                       1          4
investments

Acquisition of subsidiaries, net of cash and cash                   -      (381)
equivalents

Investment in associates                                            -       (43)

Proceeds from disposal of associates                                4          -

Proceeds from the disposal of businesses, net of cash               2          1
and cash equivalents

Loan repayments from related parties                                1          -

Loan repayments from external parties                               2         16

Interest received                                                   3          3

Net cash used in investing activities                           (413)      (746)

Cash flows from financing activities

Repayment of short-term borrowings                       13c     (77)      (114)

Proceeds from medium and long-term borrowings            13c      107        613

Repayment of medium and long-term borrowings             13c    (117)       (65)

Interest paid                                                   (124)       (92)

Dividends paid to shareholders                                  (138)      (128)

Purchases of treasury shares                                     (30)       (34)

Dividends paid to non-controlling interests                      (60)       (29)

Non-controlling interests bought out                              (4)      (298)

Net realised gain/(loss) on held-for-trading                       30        (9)
derivatives

Government grants received                                          2          -

Net cash used in financing activities                           (411)      (156)

Net increase/(decrease) in cash and cash equivalents               87      (160)

Cash and cash equivalents at beginning of year                   (37)        119

Cash movement in the year                                13c       87      (160)

Effects of changes in foreign exchange rates             13c       14          4

Cash and cash equivalents at end of year                 13b       64       (37)


Condensed combined and consolidated statement of changes in equity
for the year ended 31 December 2013

€ million              Combined
                          share
                        capital                          Total
                            and                   attributable        Non-
                         stated Retained    Other           to controlling   Total
                        capital earnings reserves shareholders   interests  equity

At 31 December 2011,        542    2,041        3        2,586         449   3,035
as previously reported

Effect of restatement         -        -        -            -         (3)     (3)

At 1 January 2012           542    2,041        3        2,586         446   3,032
(restated)

Total comprehensive           -      242       20          262          42     304
income for the year

Dividends paid                -    (128)        -        (128)        (29)   (157)

Issue of shares under         -        9      (9)            -           -       -
employee share schemes

Purchases of treasury         -     (34)        -         (34)           -    (34)
shares

Non-controlling               -    (141)        -        (141)       (157)   (298)
interests bought out

Disposal of businesses        -        -       15           15           -      15

Reclassification              -     (12)       12            -           -       -

Other                         -        2       10           12         (1)      11

At 31 December 2012         542    1,979       51        2,572         301   2,873
(restated)

Total comprehensive           -      386    (210)          176          17     193
income/(expense) for
the year

Dividends paid                -    (138)        -        (138)        (60)   (198)

Issue of shares under         -       12     (11)            1           -       1
employee share schemes

Purchases of treasury         -     (30)        -         (30)           -    (30)
shares

Non-controlling               -      (1)        -          (1)         (3)     (4)
interests bought out

Reclassification              -        1      (1)            -           -       -

Other                         -        -       11           11           -      11

At 31 December 2013         542    2,209    (160)        2,591         255   2,846


Other reserves1
(restated)

€ million                Share-  Cumulative     Cash      Post-
                          based translation     flow retirement
                        payment  adjustment    hedge   benefits Statutory
                        reserve     reserve  reserve    reserve reserves2   Total

At 1 January 2012            17       (208)      (2)       (56)       252       3

Total comprehensive           -          42        2       (25)         1      20
income/(expense) for
the year

Mondi share schemes'         10           -        -          -         -      10
charge

Issue of shares under       (9)           -        -          -         -     (9)
employee share schemes

Disposal of businesses        -          15        -          -         -      15

Reclassification              -           -        -         12         -      12

At 31 December 2012          18       (151)        -       (69)       253      51

Total comprehensive           -       (223)      (2)         13         2   (210)
income/(expense) for
the year

Mondi share schemes'         11           -        -          -         -      11
charge

Issue of shares under      (11)           -        -          -         -    (11)
employee share schemes

Reclassification              -           -        -        (1)         -     (1)

At 31 December 2013          18       (374)      (2)       (57)       255   (160)


Notes:

1 All movements in other reserves are disclosed net of non-controlling
interests. The movement in non-controlling interests as a direct result of the
movement in other reserves for the year ended 31 December 2013 was a decrease
in non-controlling interests related to total comprehensive income for the year
of €11 million (2012: increase of €7 million).

2 Statutory reserves consist of the merger reserve of €259 million (2012: €259
million) and other sundry reserves in deficit of €4 million (2012: deficit of €
6 million).

Notes to the condensed combined and consolidated financial statements
for the year ended 31 December 2013

1 Basis of preparation

The Group has two separate legal parent entities, Mondi Limited and Mondi plc,
which operate under a dual listed company (DLC) structure. The substance of the
DLC structure is such that Mondi Limited and its subsidiaries, and Mondi plc
and its subsidiaries, operate together as a single economic entity through a
sharing agreement, with neither parent entity assuming a dominant role.
Accordingly, Mondi Limited and Mondi plc are reported on a combined and
consolidated basis as a single reporting entity.

The Group's condensed combined and consolidated financial statements included
in this preliminary announcement have been prepared in accordance with
International Financial Reporting Standards (IFRS) as issued by the
International Accounting Standards Board (IASB) and contain the information
required by IAS 34, `Interim Financial Reporting'. There are no differences for
the Group in applying IFRS as issued by the IASB and IFRS as adopted by the
European Union (EU) and therefore the Group also complies with Article 4 of the
EU IAS Regulation. The Group has also complied with the South African Institute
of Chartered Accountants Financial Reporting Guides as issued by the Accounting
Practices Committee and Financial Reporting Pronouncements as issued by the
Reporting Standards Council of South Africa. The condensed combined and
consolidated financial statements have been prepared on a going concern basis
as set out above.

The financial information set out above does not constitute the Company's
statutory accounts for the years ended 31 December 2013, 2012 or 2011 but is
derived from those accounts. Statutory accounts for 2011 and 2012 have been
delivered to the registrar of companies, and those for 2013 will be delivered
in due course. The auditors have reported on those accounts; their reports were
(i) unqualified, (ii) did not include a reference to any matters to which the
auditors drew attention by way of emphasis without qualifying their report and
(iii) did not contain a statement under section 498 (2) or (3) of the UK
Companies Act 2006. Copies of their unqualified auditors' reports on the
Integrated report and financial statements 2013 as well as the condensed
combined and consolidated financial statements are available for inspection at
the Mondi Limited and Mondi plc registered offices.

These condensed combined and consolidated financial statements have been
prepared on the historical cost basis, except for the fair valuing of financial
instruments and forestry assets.

2a Accounting policies

The same accounting policies, methods of computation and presentation have been
followed in the preparation of the condensed combined and consolidated
financial statements as were applied in the preparation of the Group's annual
financial statements for the year ended 31 December 2012, except as set out
below.

Standards and Interpretations early adopted by the Group

There were no Standards or Interpretations early adopted by the Group in the
current year. An amendment to IAS 36 - Impairment of Assets which clarifies
certain disclosure requirements, was adopted with effect from 1 January 2013.

Standards, amendments to published Standards and Interpretation effective
during 2013

The Group has adopted the following Standards and amendments to published
Standards during the current year, and their impact on the Group's results are
detailed in note 2b:

  * IFRS 10 - Consolidated Financial Statements

  * IFRS 11 - Joint Arrangements

  * IAS 19 (revised) - Employee Benefits

The following Standards, amendments to published Standards and Interpretation
which the Group has adopted during the current year, had no significant impact
on the Group's results except for the addition of certain disclosures:

  * IFRS 1 - First-time Adoption of International Financial Reporting Standards

  * IFRS 7 - Financial Instruments: Disclosure

  * IFRS 12 - Disclosure of Interests in Other Entities

  * IFRS 13 - Fair Value Measurement

  * IAS 1 - Presentation of Financial Statements

  * IAS 16 - Property, Plant and Equipment

  * IAS 27 - Separate Financial Statements

  * IAS 28 - Investments in Associates and Joint Ventures

  * IAS 32 - Financial Instruments: Presentation

  * IAS 34 - Interim Financial Reporting

  * IFRIC 20 - Stripping Costs in the Production Phase of a Surface Mine

2b Restatement of comparative information

IFRS 10 and IFRS 11 broadened the concept of control and eliminated the option
of proportionate consolidation for joint ventures, except in certain
circumstances. The impact of these Standards has been that Mondi Shanduka
Newsprint Proprietary Limited has been consolidated whilst Aylesford Newsprint
Limited has been accounted for using the equity method up to the date of sale
in 2012. Comparative information has been restated.

IAS 19 (revised) impacted the measurement of the various components
representing movements in the defined benefit pension obligation and associated
disclosures. As the Group has always recognised actuarial gains and losses
immediately, the Group's total obligation was unchanged. This Standard has been
adopted with effect from 1 January 2012 as it was impractical to complete
revised actuarial valuations prior to that date. Following the replacement of
expected returns on plan assets with a net finance cost in the combined and
consolidated income statement, the profit for the period was reduced and
accordingly other comprehensive income increased in 2012. Comparative
information for the year ended 31 December 2012 has been restated.

The following tables summarise the impacts resulting from the changes in
accounting policies above on the Group's financial position, comprehensive
income and cash flows.

Combined and consolidated income statement

                                                  Year ended 31 December     2012

€ million                                                 As
                                                  previously   Effect of       As
                                                    reported restatement restated

Group revenue                                          5,807        (17)    5,790

Gross margin                                           2,235           4    2,239

Operating profit                                         541           6      547

Non-operating special items                             (64)           -     (64)

Net profit/(loss) from associates                          1         (6)      (5)

Total profit from operations and associates              478           -      478

Net finance costs                                      (107)         (3)    (110)

Investment income                                         10         (6)        4

Foreign currency losses                                  (2)           -      (2)

Finance costs                                          (115)           3    (112)

Profit before tax                                        371         (3)      368

Tax charge                                              (92)           1     (91)

Profit for the year                                      279         (2)      277

Attributable to:

Non-controlling interests                                 35           -       35

Shareholders                                             244         (2)      242


The restatement had no impact on special items.

Earnings per share (EPS) for profit attributable          As
to shareholders                                   previously   Effect of       As
                                                    reported restatement restated

Basic EPS      (€ cents)                                50.5       (0.4)     50.1

Diluted EPS    (€ cents)                                50.3       (0.4)     49.9

Basic          (€ cents)                                69.6       (0.4)     69.2
underlying EPS

Diluted        (€ cents)                                69.3       (0.4)     68.9
underlying EPS

Basic headline (€ cents)                                63.4       (0.5)     62.9
EPS

Diluted        (€ cents)                                63.1       (0.4)     62.7
headline EPS


Combined and consolidated statement of
comprehensive income

                                                  Year ended 31 December     2012

€ million                                                 As
                                                  previously   Effect of       As
                                                    reported restatement restated

Profit for the year                                      279         (2)      277

Other comprehensive income/(expense):

Items that may subsequently be reclassified to            52           -       52
the combined and consolidated income statement

Items that will not subsequently be reclassified        (27)           2     (25)
to the combined and consolidated income statement

Other comprehensive income for the year, net of           25           2       27
tax

Total comprehensive income for the year                  304           -      304

Attributable to:

Non-controlling interests                                 42           -       42

Shareholders                                             262           -      262


Combined and
consolidated statement
of financial position

                          As at 31    December     2012    As at 1     January     2012

€ million                       As                              As
                        previously   Effect of       As previously   Effect of       As
                          reported restatement restated   reported restatement restated

Non-current assets           4,755           2    4,757      3,971        (12)    3,959

Current assets               1,859           7    1,866      1,674        (17)    1,657

Total assets                 6,614           9    6,623      5,645        (29)    5,616

Current liabilities        (1,443)         (4)  (1,447)    (1,306)          31  (1,275)

Non-current liabilities    (2,295)         (8)  (2,303)    (1,304)         (5)  (1,309)

Total liabilities          (3,738)        (12)  (3,750)    (2,610)          26  (2,584)

Net assets                   2,876         (3)    2,873      3,035         (3)    3,032



Equity

Share capital and              542           -      542        542           -      542
stated capital

Retained earnings and        2,030           -    2,030      2,044           -    2,044
other reserves

Total attributable to        2,572           -    2,572      2,586           -    2,586
shareholders

Non-controlling                304         (3)      301        449         (3)      446
interests in equity

Total equity                 2,876         (3)    2,873      3,035         (3)    3,032

Net debt                   (1,864)         (8)  (1,872)      (831)          11    (820)


Combined and consolidated statement of cash
flows

                                                Year ended 31    December     2012

€ million                                       As previously
                                                     reported   Effect of       As
                                                              restatement restated

Net cash generated from operating activities              740           2      742

Net cash used in investing activities                   (725)        (21)    (746)

Net cash used in financing activities                   (173)          17    (156)

Net decrease in cash and cash equivalents               (158)         (2)    (160)

Cash and cash equivalents at beginning of year            117           2      119

Cash movement in the year                               (158)         (2)    (160)

Effects of changes in foreign exchange rates                4           -        4

Cash and cash equivalents at end of year                 (37)           -     (37)


3 Operating segments

Mondi Shanduka Newsprint was incorporated into the South Africa Division during
2012 due to similarities in geographical location, production processes and the
integrated nature of the production facilities and is now consolidated as a
subsidiary. The effects of this change on the comparative periods are set out
in note 2b. The Group's segmental information for the comparative periods has
been restated to reflect this change in accounting policy.

Year ended 31 December 2013

                                Europe & International             South Corporate Intersegment Segments
                                                                  Africa   & other  elimination    total
                                                                Division

€ million, unless                                      Uncoated
otherwise stated     Packaging     Fibre      Consumer     Fine
                         Paper Packaging     Packaging    Paper

Segment revenue          2,000     1,967         1,153    1,388      624         -        (656)    6,476

Internal revenue         (503)      (33)           (5)     (14)    (101)         -          656        -

External revenue         1,497     1,934         1,148    1,374      523         -            -    6,476

EBITDA                     394       163           129      277      135      (30)            -    1,068

Depreciation,             (96)      (70)          (55)    (105)     (42)       (1)            -    (369)
amortisation and
impairments1

Operating profit/          298        93            74      172       93      (31)            -      699
(loss) from
operations before
special items

Special items                -       (3)          (13)     (60)     (11)         -            -     (87)

Operating segment        1,837     1,156           993    1,311      731         2        (140)    5,890
assets

Operating net            1,484       903           855    1,135      622         1            -    5,000
segment assets

Additions to               155        72            60       94       93         -            -      474
non-current
non-financial assets

Capital expenditure        139        78            56       80       52         -            -      405
cash payments

Operating margin (%)      14.9       4.7           6.4     12.4     14.9         -            -     10.8

Return on capital         21.9      10.8           9.1     16.2     16.0         -            -     15.3
employed (%)


Note:

1 Excluding impairments included in special items (see note 5).

Year ended 31 December 2012 (restated)

                                Europe & International             South Corporate Intersegment Segments
                                                                  Africa   & other  elimination    total
                                                                Division

€ million, unless                                      Uncoated
otherwise stated     Packaging     Fibre      Consumer     Fine
                         Paper Packaging     Packaging    Paper

Segment revenue          1,896     1,860           502    1,466      702         -        (636)    5,790

Internal revenue         (469)      (42)           (4)     (13)    (108)         -          636        -

External revenue         1,427     1,818           498    1,453      594         -            -    5,790

EBITDA                     321       168            45      300      125      (32)            -      927

Depreciation,             (94)      (67)          (26)    (109)     (56)       (1)            -    (353)
amortisation and
impairments1

Operating profit/          227       101            19      191       69      (33)            -      574
(loss) from
operations before
special items

Special items                -      (16)          (11)        -        6      (70)            -     (91)

Operating segment        1,829     1,229         1,019    1,450      975         5        (150)    6,357
assets

Operating net            1,466       958           872    1,248      821         1            -    5,366
segment assets

Additions to               249       144           621       60       94         -            -    1,168
non-current
non-financial assets

Capital expenditure         89        76            28       58       43         -            -      294
cash payments

Operating margin (%)      12.0       5.4           3.8     13.0      9.8         -            -      9.9

Return on capital         17.9      12.5           6.2     16.7      9.6         -            -     13.6
employed (%)


Note:

1 Excluding impairments included in special items (see note 5).

The description of each business segment reflects the nature of the main
products they sell. In certain instances the business segments sell minor
volumes of other products and due to this reason the external segment revenues
will not necessarily reconcile to the external revenues by product type
presented below.

External revenue by product type

                                                                      (Restated)

€ million                                                        2013       2012

Products

Fibre packaging products                                        1,891      1,785

Packaging paper products                                        1,482      1,393

Uncoated fine paper                                             1,284      1,355

Consumer packaging products                                     1,148        498

Pulp                                                              269        276

Newsprint                                                         177        215

Other                                                             225        268

Group total                                                     6,476      5,790


                                         External revenue by    External revenue by

                                      Location of   customer Location of production

                                                  (Restated)             (Restated)

€ million                                    2013       2012        2013       2012

Revenue

Africa

South Africa                                  432        448         623        702

Rest of Africa                                231        242          11          8

Africa total                                  663        690         634        710

Western Europe

Austria                                       161        145         958      1,025

Germany                                     1,003        783         993        486

United Kingdom                                262        230          48         53

Rest of western Europe                      1,390      1,287         720        693

Western Europe total                        2,816      2,445       2,719      2,257

Emerging Europe

Poland                                        450        364         877        766

Rest of emerging Europe                       893        816       1,168      1,086

Emerging Europe total                       1,343      1,180       2,045      1,852

Russia                                        608        592         741        729

North America                                 349        270         274        196

South America                                  57         41           -          -

Asia and Australia                            640        572          63         46

Group total                                 6,476      5,790       6,476      5,790


Reconciliation of operating profit before special items

                                                                      (Restated)

€ million                                                        2013       2012

Operating profit before special items                             699        574

Special items (see note 5)                                       (87)       (91)

Net profit/(loss) from associates                                   2        (5)

Net finance costs                                               (115)      (110)

Group profit before tax                                           499        368


Reconciliation of operating segment assets

                                                           (Restated) (Restated)

                                             2013     2013       2012       2012

€ million                                              Net                   Net
                                          Segment  segment    Segment    segment
                                           assets   assets     assets     assets

Segments total                              5,890    5,000      6,357      5,366

Unallocated:

Investments in associates                       6        6          6          6

Deferred tax assets/(liabilities)               4    (260)         10      (334)

Other non-operating assets/(liabilities)      182    (306)        167      (319)

Group capital employed                      6,082    4,440      6,540      4,719

Financial asset investments                    27       27         26         26
(non-current)

Cash and current financial asset              131  (1,621)         57    (1,872)
investments/(net debt)

Group                                       6,240    2,846      6,623      2,873


4 Write-down of inventories to net realisable value

                                                                      (Restated)

€ million                                                        2013       2012

Write-down of inventories to net realisable value                (21)       (19)

Aggregate reversal of previous write-down of inventories           12         13


5 Special items

€ million                                                        2013     2012

Operating special items

Asset impairments                                                (67)      (1)

Restructuring and closure costs:

Restructuring and closure costs excluding related personnel      (10)      (4)
costs

Personnel costs relating to restructuring                        (17)     (16)

Transaction costs incurred on the acquisition of Nordenia           -     (11)

Gain on insurance settlement                                        -        5

Total operating special items                                    (94)     (27)

Non-operating special items

Loss on disposals                                                   -     (70)

Gain on sale of land                                                7        6

Total non-operating special items                                   7     (64)

Total special items before tax and non-controlling interests     (87)     (91)

Tax (see note 7)                                                   13      (1)

Total special items attributable to shareholders                 (74)     (92)


Operating special items
During the first quarter of the year a decision was taken to close the Lindlar
operation in Germany and redirect production to existing plants in Germany,
Hungary and the Czech Republic. An impairment charge of €2 million and
restructuring and closure costs amounting to €11 million were recognised.

In May 2013, Mondi announced the closure of one of the two newsprint machines
located in Merebank, South Africa. Further restructuring activities in the
Merebank mill as a result of the closure of the newsprint machine were also
implemented. An impairment charge of €13 million and associated closure and
restructuring costs of €5 million were recognised.

In May 2013, Mondi announced plans to restructure the Neusiedler operation in
Austria to improve the cost base of this mill. An impairment charge of €42
million and restructuring costs of €9 million were recognised.

During the third quarter of the year, unutilised assets amounting to €9 million
in the Syktyvkar mill, Russia were written off.

Additional impairment charges of €1 million, and restructuring costs of €2
million were recognised in the Industrial Bags segment of the Fibre Packaging
business in France and Mexico.

Non-operating special items

In December 2013, land in the South Africa Division with a carrying value of €1
million was sold for €8 million, realising a gain of €7 million.

6 Net finance costs

                                                                      (Restated)

€ million                                                        2013       2012

Total investment income                                             3          4

Foreign currency losses                                           (1)        (2)

Finance costs

Interest expense

Interest on bank overdrafts and loans                           (108)       (98)

Net interest expense on net retirement benefits liability        (11)       (15)

Total interest expense                                          (119)      (113)

Less: interest capitalised                                          2          1

Total finance costs                                             (117)      (112)

Net finance costs                                               (115)      (110)


7 Tax charge

                                                                      (Restated)

€ million                                                        2013       2012

UK corporation tax at 23.25% (2012: 24.5%)                          1          -

SA corporation tax at 28% (2012: 28%)                              21         19

Overseas tax                                                      105         66

Current tax                                                       127         85

Deferred tax in respect of the current period                     (1)         13

Deferred tax in respect of prior period over provision           (28)        (8)

Total tax charge before special items                              98         90

Current tax on special items                                      (5)          2

Deferred tax on special items                                     (8)        (1)

Total tax (credit)/charge on special items (see note 5)          (13)          1

Total tax charge                                                   85         91


The Group's effective rate of tax before special items for the year ended 31
December 2013, calculated on profit before tax before special items and
including net profit from associates, is 17% (2012: 20%).

8 Earnings per share

                                                                      (Restated)

€ cents per share                                                2013       2012

Profit for the year attributable to shareholders

Basic EPS                                                        79.8       50.1

Diluted EPS                                                      79.6       49.9

Underlying earnings for the year

Basic EPS                                                        95.0       69.2

Diluted EPS                                                      94.8       68.9

Headline earnings for the year

Basic EPS                                                        91.3       62.9

Diluted EPS                                                      91.1       62.7


The calculation of basic and diluted EPS, basic and diluted underlying EPS and
basic and diluted headline EPS is based on the following data:

                                                                        Earnings

                                                                      (Restated)

€ million                                                        2013       2012

Profit for the year attributable to shareholders                  386        242

Special items (see note 5)                                         87         91

Related tax (see note 5)                                         (13)          1

Underlying earnings for the year                                  460        334

Special items: restructuring and closure costs                   (27)       (20)

Transaction costs incurred on the acquisition of Nordenia           -       (11)

Profit on disposal of tangible and intangible assets              (2)        (4)

Impairments not included in special items                           4          4

Related tax                                                         7          1

Headline earnings for the year                                    442        304


                                                              Weighted  average

                                                             number of   shares

million                                                           2013     2012

Basic number of ordinary shares outstanding                        484      483

Effect of dilutive potential ordinary shares                         1        2

Diluted number of ordinary shares outstanding                      485      485


9 Dividends

An interim dividend for the year ended 31 December 2013 of 126.03689 rand cents
/9.55 euro cents per share was paid on 17 September 2013 to all Mondi Limited
and Mondi plc ordinary shareholders on the relevant registers on 23 August
2013.

A proposed final dividend for the year ended 31 December 2013 of 26.45 euro
cents per ordinary share will be paid on 22 May 2014 to those shareholders on
the register of Mondi plc on 25 April 2014. An equivalent South African rand
final dividend will be paid on 22 May 2014 to shareholders on the register of
Mondi Limited on 25 April 2014. The final dividend is subject to the approval
of the shareholders of Mondi Limited and Mondi plc at the respective annual
general meetings scheduled for 14 May 2014.

The proposed final dividend for the year ended 31 December 2013 of 26.45 euro
cents per share will be paid in accordance with the following timetable:

                                    Mondi Limited     Mondi plc

Last date to trade shares
cum-dividend

JSE Limited                         16 April 2014     16 April 2014

London Stock Exchange               Not applicable    22 April 2014

Shares commence trading ex-dividend

JSE Limited                         17 April 2014     17 April 2014

London Stock Exchange               Not applicable    23 April 2014

Record date

JSE Limited                         25 April 2014     25 April 2014

London Stock Exchange               Not applicable    25 April 2014

Last date for receipt of Dividend   2 May 2014        2 May 2014
Reinvestment Plan (DRIP) elections
by Central Securities Depository
Participants

Last date for DRIP elections to UK  5 May 2014        27 April 2014*
Registrar and South African
Transfer Secretaries by
shareholders of Mondi Limited and
Mondi plc

Payment Date

South African Register              22 May 2014       22 May 2014

UK Register                         Not applicable    22 May 2014

DRIP purchase settlement dates      30 May 2014       27 May 2014**

Currency conversion date

ZAR/euro                            28 February 2014   28 February 2014

Euro/sterling                       Not applicable     6 May 2014

*5 May 2014 for Mondi plc South African branch register shareholders

**30 May 2014 for Mondi plc South African branch register shareholders

Share certificates on the South African registers of Mondi Limited and Mondi
plc may not be dematerialised or rematerialised between 17 April 2014 and 28
April 2014, both dates inclusive, nor may transfers between the UK and South
African registers of Mondi plc take place between 16 April 2014 and 28 April
2014, both dates inclusive.

Information relating to the dividend tax to be withheld from Mondi Limited
shareholders and Mondi plc shareholders on the South African branch register
will be announced separately, together with the ZAR/euro exchange rate to be
applied, on or shortly after 28 February 2014.

10 Forestry assets

                                                                      (Restated)

€ million                                                        2013       2012

At 31 December 2011, as previously reported                                  297

Effect of restatement                                                         12

At 1 January (restated)                                           311        309

Capitalised expenditure                                            39         42

Acquisition of assets                                               2          9

Fair value gains                                                   17         40

Disposal of assets                                                (9)        (3)

Felling costs                                                    (55)       (66)

Currency movements                                               (72)       (20)

At 31 December                                                    233        311


The fair value of forestry assets is a level 3 measure in terms of the fair
value measurement hierarchy and this category is consistent with prior years.
The fair value of forestry assets is calculated on the basis of future expected
net cash flows arising on the Group's owned forestry assets, discounted using a
discount rate relevant in the local country, based on a pre tax real yield on
long-term bonds over the last five years. All fair value gains originate from
South Africa.

11 Borrowings

                                                               (Restated)

                                       2013                          2012

€ million               Current Non-current   Total   Current Non-current   Total

Secured

Bank loans and                4           2       6         5           3       8
overdrafts

Obligations under             1           6       7         2           9      11
finance leases

Total secured                 5           8      13         7          12      19

Unsecured

Bank loans and              156         216     372       253         251     504
overdrafts

Bonds                         -       1,289   1,289         -       1,310   1,310



Bonds                         -       1,340   1,340         -       1,357   1,357

Call option derivative        -        (51)    (51)         -        (47)    (47)

Other loans                  20          58      78        21          75      96

Total unsecured             176       1,563   1,739       274       1,636   1,910

Total borrowings            181       1,571   1,752       281       1,648   1,929



Financing facilities

Group liquidity is provided through a range of committed debt facilities. The
principal loan arrangements in place include the following:

€750 million Syndicated Revolving Credit Facility (RCF)

The RCF is a five year multi-currency revolving credit facility which was
signed on 14 April 2011. Interest is charged on the balance outstanding at
market-related rates linked to EURIBOR/LIBOR.

€500 million 2017 Eurobond

Mondi Finance plc launched a seven year publicly traded bond, guaranteed by
Mondi plc, in March 2010. The €500 million bond, which matures on 3 April 2017,
was issued at a discount of €5.63 million and pays a fixed coupon of 5.75% per
annum. The bond contains a coupon step-up clause whereby the coupon will be
increased by 1.25% per annum if Mondi fails to maintain at least one investment
grade credit rating from either Moody's Investors Service or Standard & Poor's.
Mondi currently has investment grade credit ratings from both Moody's Investors
Service (Baa3, outlook stable) and Standard & Poor's (BBB-, outlook stable).

€500 million 2020 Eurobond

In September 2012 Mondi Finance plc launched an eight year publicly traded
bond, guaranteed by Mondi plc. The €500 million bond, which matures on 28
September 2020, was issued at a discount of €0.1 million and pays a fixed
coupon of 3.375% per annum. The bond contains the same 1.25% per annum coupon
step-up clause as the €500 million 2017 Eurobond.

€280 million Eurobond

As part of the acquisition of Nordenia in 2012 Mondi assumed Nordenia's €280
million Eurobond, paying a coupon of 9.75% per annum and maturing on 15 July
2017. The bond was recognised at its fair value of €324 million at date of
acquisition. The value of the bond includes the fair value of an option to call
the bond early at the following redemption rates:

%                                                                    Redemption
                                                                           rate

Redemption date

15 July 2014                                                            104.875

15 July 2015                                                            102.438

15 July 2016 and thereafter                                             100.000


The option is valued at €51 million at 31 December 2013 (2012: €47 million).

€160 million Export Credit Agency Facility (ECAF)

The ECAF is used to part finance expansionary capital expenditure in Russia.
The facility has an amortising repayment until 2020 and interest is charged on
the balance outstanding at a market-related rate linked to EURIBOR.

PLN 474 million European Investment Bank Facility (EIBF1)

The EIBF1 is used to part finance expansionary capital expenditure at Mondi
Swiecie in Poland. The facility has an amortising repayment until 2017 and
interest is charged at a market-related rate linked to WIBOR (Warsaw Interbank
Offered Rate).

€100 million European Investment Bank Facility (EIBF2)

The EIBF2 facility was fully drawn on 28 June 2013 and is used to part finance
expansionary capital expenditure in Russia. The facility amortises over 12
years with a two year grace period and interest is charged on the balance
outstanding at a market-related rate linked to EURIBOR.

RUB 1.6 billion European Bank for Reconstruction and Development Facility
(EBRDF)

The EBRDF is used to part finance expansionary capital expenditure in Russia.
The facility has an amortising repayment until 2019 and interest is charged on
the balance outstanding at a market-related rate linked to MOSPRIME (Moscow
Prime Offered Rate).

In addition to the facilities above, the Group has a revolving committed bank
facility amounting to ZAR500 million in South Africa. This facility is
repayable on its maturity date of 11 June 2014 and bears interest at one month
JIBAR plus a margin. On 31 October 2013 the Group repaid and cancelled a ZAR700
million revolving loan that was outstanding at 31 December 2012.

The Group's borrowings as at 31 December are analysed by nature and underlying
currency as follows:

2013/€ million                   Floating            Non-interest    Total
                                     rate Fixed rate      bearing carrying    Fair
                               borrowings borrowings   borrowings    value   value

Euro                                  208      1,299            -    1,507   1,591

South African rand                     79          -            6       85      85

Polish zloty                           64          -            -       64      64

Russian rouble                         30          -            -       30      30

Turkish lira                           33          -            -       33      33

Other currencies                       25          2            6       33      33

Carrying value                        439      1,301           12    1,752

Fair value                            439      1,385           12            1,836


2012/€ million (restated)        Floating            Non-interest    Total
                                     rate Fixed rate      bearing carrying    Fair
                               borrowings borrowings   borrowings    value   value

Euro                                  126      1,322            -    1,448   1,559

South African rand                    180          -            8      188     188

Pounds sterling                       116          -            -      116     116

Polish zloty                           84          -            -       84      84

Russian rouble                         41          -            -       41      41

Turkish lira                           29          -            -       29      29

Other currencies                       22          1            -       23      23

Carrying value                        598      1,323            8    1,929

Fair value                            598      1,434            8            2,040


In addition to the above, the Group swaps euro debt into other currencies
through the foreign exchange market. The currencies swapped into/(out of) and
the amounts as at 31 December were as follows:

€ million                                                        2013     2012

Long-dated contracts with tenures of more than 12 months

Russian rouble                                                     27       59

Short-dated contracts with tenures of less than 12 months

Russian rouble                                                    179      127

Czech koruna                                                       81       51

US dollar                                                          80       62

Pounds sterling                                                    62     (59)

Swedish krona                                                      34       13

Polish zloty                                                       94      128

Other                                                              57       29

Total swapped                                                     614      410


The fair values of the €500 million 2017 Eurobond, €500 million 2020 Eurobond
and €280 million Eurobond are estimated with reference to the last price quoted
in the secondary market. All other financial liabilities are estimated by
discounting the future contractual cash flows at the current market interest
rate that is available to the Group for similar financial instruments.

12 Retirement benefits

All assumptions related to the Group's defined benefit schemes and
post-retirement medical plan liabilities were re-assessed individually for the
year ended 31 December 2013.

The net retirement benefit liability decreased by €42 million mainly due to
changes in assumptions and an exchange rate impact of €22 million. The assets
backing the defined benefit scheme liabilities reflect their market values as
at 31 December 2013. Any movements in the assumptions have been recognised as a
remeasurement in the condensed combined and consolidated statement of
comprehensive income.

13 Consolidated cash flow analysis

(a) Reconciliation of profit before tax to cash generated from operations

                                                                      (Restated)

€ million                                                        2013       2012

Profit before tax                                                 499        368

Depreciation and amortisation                                     365        349

Impairment of tangible and intangible assets (not included          4          4
in special items)

Share-based payments                                               11         10

Non-cash effect of special items                                   60         91

Net finance costs                                                 115        110

Net (profit)/loss from associates                                 (2)          5

Decrease in provisions and net retirement benefits               (25)       (22)

Increase in inventories                                           (7)       (16)

Increase in operating receivables                                (14)       (38)

Decrease in operating payables                                    (6)       (29)

Fair value gains on forestry assets                              (17)       (40)

Felling costs                                                      55         66

Profit on disposal of tangible and intangible assets              (2)        (4)

Other adjustments                                                   -        (5)

Cash generated from operations                                  1,036        849


(b) Cash and cash equivalents

                                                                      (Restated)

€ million                                                        2013       2012

Cash and cash equivalents per combined and consolidated           130         56
statement of financial position

Bank overdrafts included in short-term borrowings                (66)       (93)

Net cash and cash equivalents per combined and consolidated        64       (37)
statement of cash flows


The fair value of cash and cash equivalents approximate the carrying values
presented.

(c) Movement in net debt (restated)

The Group's net debt position is as follows:

€ million                                   Debt due               Current
                                   Cash and   within  Debt due   financial   Total
                                       cash      one after one       asset     net
                               equivalents1     year      year investments    debt

At 31 December 2011, as                 117    (212)     (737)           1   (831)
previously reported

Effect of restatement                     2       18       (9)           -      11

At 1 January 2012 (restated)            119    (194)     (746)           1   (820)

Cash flow                             (160)      114     (548)           -   (594)

Business combinations                     -     (67)     (393)           -   (460)

Movement in unamortised loan              -        -         3           -       3
costs

Reclassification                          -     (46)        46           -       -

Currency movements                        4        5      (10)           -     (1)

At 31 December 2012 (restated)         (37)    (188)   (1,648)           1 (1,872)

Cash flow                                87       77        10           -     174

Movement in unamortised loan              -        -        18           -      18
costs

Reclassification                          -     (34)        34           -       -

Currency movements                       14       30        15           -      59

At 31 December 2013                      64    (115)   (1,571)           1 (1,621)


Note:

1 The Group operates in certain countries (principally South Africa) where the
existence of exchange controls may restrict the use of certain cash balances.
These restrictions are not expected to have any material effect on the Group's
ability to meet its ongoing obligations.

The following table shows the amounts available to draw down on the Group's
committed loan facilities:

€ million                                                        2013     2012

Expiry date

In one year or less                                                42       27

In more than one year                                             750      735

Total credit available                                            792      762


14 Capital commitments

                                                                      (Restated)

€ million                                                        2013       2012

Contracted for but not provided                                   366        129

Approved, not yet contracted for                                  625        589


These capital commitments relate to the following categories of non-current
non-financial assets:

                                                                      (Restated)

€ million                                                        2013       2012

Intangible assets                                                   4          9

Property, plant and equipment                                     987        709

Total capital commitments                                         991        718


The expected maturity of these capital commitments is:

                                                                      (Restated)

€ million                                                        2013       2012

Within one year                                                   544        445

One to two years                                                  392        263

Two to five years                                                  55         10

Total capital commitments                                         991        718


Capital commitments are based on capital projects approved to date and the
budget approved by the Boards.

Major capital projects still require further approval before they commence.
These capital commitments are expected to be financed from existing cash
resources and borrowing facilities.

15 Contingent liabilities

Contingent liabilities comprise aggregate amounts as at 31 December 2013 of €25
million (2012: €15 million) in respect of loans and guarantees given to banks
and other third parties. No acquired contingent liabilities have been recorded
in the Group's combined and consolidated statement of financial position for
both years presented.

16 Financial instruments' fair value disclosures

Financial instruments that are measured in the combined and consolidated
statement of financial position at fair value or where the fair value of
financial instruments have been disclosed in notes to the combined and
consolidated financial statements require disclosure of fair value measurements
by level based on the following fair value measurement hierarchy:

  * level 1 - quoted prices (unadjusted) in active markets for identical assets
    or liabilities;

  * level 2 - inputs other than quoted prices included within level 1 that are
    observable for the asset or liability, either directly (that is, as prices)
    or indirectly (that is, derived from prices); and

  * level 3 - inputs for the asset or liability that are not based on
    observable market data (that is, unobservable inputs).

The fair values of financial instruments that are not traded in an active
market (for example, over-the-counter derivatives) are determined using
standard valuation techniques. These valuation techniques maximise the use of
observable market data where available and rely as little as possible on Group
specific estimates.

The significant inputs required to fair value all of the Group's financial
instruments are either quoted prices or are observable. The Group only holds
level 1 and 2 financial instruments and therefore does not hold any financial
instruments categorised as level 3 financial instruments. There have also been
no transfers of assets or liabilities between levels of the fair value
hierarchy during the year.

Specific valuation methodologies used to value financial instruments include:

  * the fair values of interest rate swaps and foreign exchange contracts are
    calculated as the present value of expected future cash flows based on
    observable yield curves and exchange rates;

  * the Group's commodity price derivatives are fair valued by independent
    third parties, who in turn calculate the fair values as the present value
    of expected future cash flows based on observable market data; and

  * other techniques, including discounted cash flow analysis, are used to
    determine the fair values of other financial instruments.

The only assets or liabilities measured at fair value on level 3 of the fair
value measurement hierarchy represent forestry assets. Refer to note 10 for
more details on fair value measurement.

Except as detailed in the following table, the directors consider that the
carrying values of financial assets and financial liabilities recorded at
amortised cost in the combined and consolidated financial statements are
approximately equal to their fair values.

                                         Carrying     amount     Fair      value

                                                  (Restated)          (Restated)

€ million                                    2013       2012     2013       2012

Financial liabilities

Borrowings                                  1,752      1,929    1,836      2,040


17 Related party transactions

The Group and its subsidiaries, in the ordinary course of business, enter into
various sale, purchase and service transactions with equity accounted investees
and others in which the Group has a material interest. These transactions are
under terms that are no less favourable than those arranged with third parties.
These transactions, in total, are not considered to be significant.

The Group has a related party relationship with its equity accounted investees.
Transactions between Mondi Limited, Mondi plc and their respective
subsidiaries, which are related parties, have been eliminated on consolidation
and are not disclosed in this note.

With effect from 3 May 2013, Cyril Ramaphosa ceased to be a director of Mondi
Limited and Mondi plc. As a result, all transactions with the Shanduka Group
Proprietary Limited, in which Mr Ramaphosa held a 29.6% interest, and its
subsidiaries are no longer classified as related party transactions from that
date.

Other than the paragraph above, there have been no significant changes to the
related parties as disclosed in note 39 of the Group's annual financial
statements for the year ended 31 December 2012.

18 Events occurring after 31 December 2013

With the exception of the proposed final dividend for 2013, included in note 9,
there have been no material reportable events since 31 December 2013.

Production statistics

                                                                     (Restated)

                                                                2013       2012

Europe & International

Containerboard                                     Tonnes  2,138,714  2,079,005

Kraft paper                                        Tonnes  1,010,885    980,637

Softwood pulp                                      Tonnes  2,007,959  1,978,583

Internal consumption                               Tonnes  1,859,597  1,825,916

External                                           Tonnes    148,362    152,667

Corrugated board and boxes                         Mm²         1,344      1,213

Industrial bags                                    M units     3,997      3,829

Coating and release liners                         Mm²         3,348      3,352

Consumer packaging1                                Tonnes    283,161    121,127

Uncoated fine paper                                Tonnes  1,381,141  1,417,709

Newsprint                                          Tonnes    207,228    201,278

Hardwood pulp                                      Tonnes  1,087,615  1,059,140

Internal consumption                               Tonnes  1,013,790    972,883

External                                           Tonnes     73,825     86,257

South Africa Division

Containerboard                                     Tonnes    254,714    263,468

Uncoated fine paper                                Tonnes    258,751    257,747

Hardwood pulp                                      Tonnes    645,611    658,368

Internal consumption                               Tonnes    331,928    337,596

External                                           Tonnes    313,683    320,772

Softwood pulp2 - internal consumption              Tonnes    166,101    215,828

Newsprint2                                         Tonnes    145,498    198,024


Notes:

1 Includes Nordenia from October 2012.

2 Restated to include 100% of the Mondi Shanduka Newsprint production.

Exchange rates

                                                                 2013      2012

Closing rates against the euro

South African rand                                              14.57     11.17

Czech koruna                                                    27.43     25.15

Polish zloty                                                     4.15      4.07

Pounds sterling                                                  0.83      0.82

Russian rouble                                                  45.32     40.33

Turkish lira                                                     2.96      2.36

US dollar                                                        1.38      1.32

Average rates for the period against the euro

South African rand                                              12.83     10.55

Czech koruna                                                    25.99     25.14

Polish zloty                                                     4.20      4.18

Pounds sterling                                                  0.85      0.81

Russian rouble                                                  42.32     39.91

Turkish lira                                                     2.53      2.31

US dollar                                                        1.33      1.29

Sponsor in South Africa: UBS South Africa Proprietary Limited