Dialogo originale in Iotti 2003c, 16: «Zenovena se prepara para ir para a cama, colo ca uma camisola sexy e pergunta para Radicci que já estava deitado na cama: ‘Ma vamo

FORM AND CONTENT

RDM is a company which is established as a corporate person under the legislation of the Republic of Italy. The RDM Group carries out its activities principally in Europe. These activities consist in the production and distribution of car- tonboard for packaging made of recycled fiber. The commercial operations are carried out through a network of agents led by the joint-venture Careo S.r.l..

RDM has its registered office in Milan, Italy.

RDM’s shares are listed on the Star segment of Borsa Italiana S.p.A. and on the Madrid and Barcelona stock exchanges.

The consolidated financial statements of the RDM Group were approved by the Board of Directors of RDM on 21 March 2012 which approved them for publication.

The consolidated financial statements of the RDM Group are presented in Euros (rounded to the nearest thousand), as this is the prevailing currency in the countries in which the Group principally operates. Subsidiary companies are included in the consolidated financial statements on the basis of the principles described in the section Accounting principles and policies.

The consolidated financial statements for 2011 have been prepared in accordance with the International Financial Reporting Standards (“IFRS”) issued by the International Accounting Standards Board and adopted by the European Union, as well as based on the regulations issued to implement art. 9 of the Italian Decree nr. 38/205. By IFRS is also intended all the revised accounting principles (International Accounting Standards or IAS) and all the interpre- tations of the International Financial Reporting Interpretations Committee (“IFRIC”) and those of its predecessor, the Standing Interpretations Committee (“SIC”).

The following amendments, improvements and interpretations effective from 1 January 2011 but not relevant to the Group: • Amendment to IAS 32 - Financial Instruments: Presentation, Classification of Rights Issues;

• Amendment to IFRIC 14 - Prepayments of a Minimum Funding Requirement;

• IFRIC 19 – Extinguishing Financial Liabilities with Equity Instruments;

• Improvements to IAS/IFRS (2010);

• Amendment to IFRS 7 – Financial Instruments: Disclosures; • Related parties disclosure – IAS 24 (revised 2009).

It should be note that during the 2011 the Board of IASB has approved and issued the following documents and emen- daments:

• IFRS 10 – Consolidated financial statements; • IFRS 11 – Joint arrangmentes;

• IFRS 12 – Disclosure of interests in other entities;

• IFRS 13 – Fair value measurement;

• IAS 27 – Consolidated and separate financial statements; • IAS 28 – Investments in Associates and Joint Ventures

• IFRIC 20 – Stripping Costs in the Production Phase of a Surface Mine • Amendaments to IAS 1 – Presentation of Financial Statement;

• Amendaments to IAS 19 – Employee Benefits.

CONSOLID

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T 31 DECEMBER 2011

The financial statements are prepared on a historical cost basis with the exception of the treatment of derivative financial instruments and financial assets held for sale which are recognised at fair value and financial liabilities which are recognised at amortised cost. The carrying amount of hedged assets and liabilities which qualify for hedge accounting is adjusted to take account of changes in the fair value of the hedged risks.

The financial statements are prepared on the going concern assumption. In this respect, despite operating in an eco- nomic and financial environment that continues to be difficult, the Group’s assessment is that no material uncertain- ties (as defined in paragraph 25 of IAS 1) exist about its ability to continue as a going concern.

The preparation of the consolidated financial statements in accordance with IFRS requires the use of specific estima- tes and valuations, as well as management’s reasonable judgment in applying accounting policies. Those matters requiring higher levels of complexity and a greater use of assumptions and estimates are discussed in the paragraph “Specific estimates and valuations”.

The Group has chosen to present the structure and content of its consolidated financial statements in the following manner: • the consolidated statement of financial position is presented with separate sections for assets, liabilities and shareholders’ equity. Assets and liabilities are then presented on the basis of their classification as current, non- current or held for sale;

• the consolidated income statement is presented in a vertical format with expenses analysed using a classifica- tion based on their nature, as this provides reliable and more relevant information compared to a classification based on their function;

• the consolidated statement of comprehensive income is presented separately from consolidated income state- ment and each figures are exposed net of fiscal effect;

• the consolidated statement of cash flow is presented using the indirect method;

• the consolidated statement of changes in equity is presented by showing separately the profit or loss for the year and any gains and losses recognised directly in equity and not in profit or loss, in accordance with any specific IAS/IFRS requirements and it is presented by showing separately the transactions with shareholders.

Scope of consolidation

The consolidated financial statements include the financial statements of all subsidiary companies, from the date on which control is acquired until the date that such control ceases.

The accounting period and the balance sheet date for the preparation of the consolidated financial statements corre- spond to those of the Parent Company and of all the entities included in the scope of consolidation.

The following table provides a list of subsidiaries consolidated on a line-by-line basis with the respective percentage holdings:

Company name Registered office Activity Share Shareholding

capital _{31.12.2011 31.12.2011} (Eur/1000) Direct Indirect Direct Indirect

Reno De Medici Iberica S.L. Prat de Llobregatt

(E) Manufacturing 39,061 100.00 % 100.00 % Reno De Medici UK Limited Wednesbury (GB) Manufacturing 12,433 100.00 % 100.00 % Reno De Medici Arnsberg

GMBH Arnsberg (D) Manufacturing 5,113 94.00 % 6.00 % 94.00 % 6.00 % RDM Blendecques S.A.S. Blendecques (F) Manufacturing 1,037 100.00 % 100.00 % Cartiera Alto Milanese S.p.A. Milan (I) Sales 200 100.00 % 100.00 % Emmaus Pack S.r.l. Milan (I) Manufacturing 200 51.39 % 51.39 % Cascades Grundstück GmbH

CONSOLID

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The following table reports the list of the associated companies and jointly-controlled companies (Joint Venture) that are evaluated according to the net equity method:

Company name Registered office Activity Share Shareholding

capital _{31.12.2011 31.12.2010} (Eur/1000) Direct Indirect Direct Indirect

Associated companies Pac Service S.p.A. Vigonza (I) Industriale 1,000 33.33% 33.33% Jointly-controlled companies

(Joint Venture)

Careo S.r.l. Milano (I) Commerciale 100 70.00% 70.00% R.D.M. Tissue core S.r.l.

in liquidation Milano (I) Industriale 100 51.00% 51.00% Manucor S.p.A. Milano (I) Industriale 10,000 22.75% 22.75% Zar S.r.l. Silea (I) Industriale 90 33.33%

There is a new joint venture in the scope of consolidation of Reno De Medici Group compared to December 31, 2010. ZAR S.r.l. (established on 6 June 2011), which is 33.33% held, a company engaged in the purchase, sale, and proces- sing of waste paper as well as support and assistance in connection with those activities. This company is subject to joint control on the basis of quotaholders’ agreements.

Comparing with the previous year the associate RDM Tissue Core S.r.l. has been put into liquidation.