Mondi Zimele Nelly Ndlovu

Agenda BACKGROUND & OBJECTIVES OUR HISTORY/DEVELOPMENT GEOGRAPHIC & BUSINESS SECTOR FOCUS MONDI ZIMELE MODEL OUR OFFERINGS OUR BUSINESS SUPPORT FRAMEWORK FUNDING CRITERIA OUR IMPACT BUSINESS CASES/EXAMPLES

WHO IS MONDI ZIMELE BACKGROUND Mondi Zimele was established in 2007 as the enterprise development arm for Mondi Ltd. While we are 100% owned by Mondi, we are an independent company, with its own Board of Directors. OBJECTIVES Mondi Zimele`s objectives are to: Promote sustainable black economic empowerment and the availability of sustainable competitive contractors in Mondi’s forestry value chains Encourage economic development and job creation in our forestry communities Develop & support emerging forestry land owners, timber farmers & small growers, whilst facilitating the increased availability of sustainable, competitive timber for Mondi mills.

OUR HISTORY Development Program Fibre Development Community SME`s ….. 2016 2013 2011 Development Program 2009 Fibre Development 2007 Community SME`s Forestry Contractors Supplier Development Global icon timesaver

Mondi Zimele: The Company Board of Directors Set the strategic direction and overall operating protocols. Meet 3 times a year, Ratify Investment Committee recommendations. Investment Committee Reviews Investment opportunities. Members comprised of Mondi Operational Executives and Mondi Zimele GM Mondi Zimele GENERAL MANAGER Staff

Geographic Focus Mondi Zimele Regional Support Offices Hilton, Richards Bay, Piet Retief Forestry & SME Development Specialists Greytown, Ntonjaneni, Dumbe contact centres Target Areas

The Mondi Zimele Model Adding value SUPPLY CHAIN/CONTRACTOR DEVELOPMENT SMALL BUSINESS DEVELOPMENT & SUPPORT FOREST DEVELOPMENT & FIBRE SECURITY Emerging land owners, Community forestry enterprises and Forestry Land Claimant Value Chain Businesses that have a Contract or similar with Mondi Community Small Businesses Leverage OUR forestry operational & technical know-how to support emerging forestry land owners & small growers. Sustainability & Transformation Job Creation & Empowerment of communities

Mondi Zimele (Pty) Ltd How we operate: our offerings MZ FOREST DEVELOPMENT & FIBRE SECURITY Forestry development support Land optimization planning Seedling supply Management and operational support Forestry technical know-how and planning Market access and supply agreements. MZ BUSINESS SUPPORT Business Plan Development Management support Business Performance Improvement Capacity building Business Administration & System Accounting Tax Corporate Statutory requirements Management information Payroll Market Linkages Funding Support MZ SUPPLY CHAIN/CONTRACTOR SUPPORT Operational Performance Improvement Profitability & Sustainability Financial, Tax, HR Admin Support/ Training Entrepreneur Development & Succession Planning Asset replacement planning Productivity improvement support Loan Funding

MZ Business Support Framework Goal Setting Financial CBA Assessments Strategy Diagnostics Coaching and Mentorship Enablers SME Diagnostic Toolkits Strategy Review Process Competency Based Assessments Business Plan Development and Financial Modelling Coaching and Mentorship Global icon timesaver

Our Funding Criteria Business Viability Entrepreneurial Viability . Entrepreneurial Viability Empowerment Impact Strategic Alignment Global icon timesaver

Impact Support Emerging Timber Farmers & Small Growers Create Jobs & Businesses Develop Suppliers/ Contractor Supported > 200 SME`s, 88% still in operation Collective employment of over 2800 people In excess of 400 potential entrepreneurs and business people trained In excess of R400m revenue created from businesses support €10.2m in loan funding with roughly 90% capital recovery rate 22 contractors currently On Zimele support program Intensive operational, technical and business support Productivity Improvement & Business Turnaround Benchmarking – Best practice learning TMM 20 000 ha MOU Small Growers Framework 3200 Small Growers 8 000 Ha Zululand Timber Supply Market CoC System 3 land claimant contractors FSC Small Grower Scheme Pilot Seedlings supply, establishment suppoty Field days and mill visits

BUSINESSES CASES

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