JAKARTA (News release) -- In the 5 years since APP launched our Forest Conservation Policy (FCP), we have made significant progress in achieving our goals as part of our new way of doing business. Whilst there have been challenges, we have sought to address these by working together with all our stakeholders, including NGOs.

The NGO groups who put their names to this statement are all important stakeholders of ours, whom we engage with frequently through a variety of platforms, including our bi-annual Stakeholder Advisory Forum where we review together how we can improve on our progress in implementing the FCP.

We are already in dialogue directly with these groups on the issues raised in the statement, but would also like to take the opportunity to share more widely our response to the areas of concern:

1. Wood supply and involvement in deforestation

The statement alleges that APP's plantations will not provide enough fibre to meet the demand of our mills on a sustainable basis. As a business, it is the utmost priority that we have enough supply for our production. With the support of The Forest Trust and Ata Marie, APP has made several projections on the sustainability of the pulpwood supply, using methodology that has been verified by Rainforest Alliance. The result suggests that APP will have enough supply for its production. We are confident that our fibre supply can be improved sustainably in order to meet our future demand. Over the last 5 years we have already achieved significant improvements in yield, efficiency, and reducing wood loss and leakage.

As for the observation that APP concessions continue to be deforested by third parties, we agree that third party deforestation is a critical issue not just for us but for all forestry companies across Indonesia and worldwide. We have been working to address encroachment alongside local and national authorities and will continue to do so, actively seeking to improve on the lessons we've learned to date. APP has repeatedly stated that it is open to working together with stakeholders/organisations in addressing the issue of third party forest clearance and welcomes the opportunity to work with the NGOs identifying this as a critical issue.

On the alleged relationship with PT. Muara Sungai Landak, we would like to reiterate that there is no business nor ownership relation between APP and PT.MSL. If any of our employees have involvementin other business, as a result of which a conflict of interest which violates our business code of conduct could occur, we will undertake disciplinary action which can include the termination of employment.

2. Progress in resolving land conflicts

In response to the claim that we have failed to show enough progress on resolving social conflict in our suppliers' concessions, we would agree that we hoped to be further along

in resolving conflicts. However we are also committed to resolving conflicts in a lasting way. As of end of 2017, 43% of the identified conflicts in our suppliers' concessions have been resolved. In resolving conflict, we have developed multi-stakeholder working groups at regional level, improving coordination and communication with relevant stakeholders and the Government, and engaging with professional consultants to act as mediator in conflict resolution process.

Many of the remaining conflicts to resolve involve multiple parties with multiple terms and combine issues related to land tenure and livelihoods - all of which take careful attention to ensure that all parties are satisfied with the way conflicts are resolved. APP is in dialogue not only with communities involved but also the social NGOs supporting them and welcomes the engagement of the NGOs listed to be part of the working groups that we have established.
more details at: https://asiapulppaper.com/news-media/press-releases/app-response-joint-ngo-statement-5th-anniversary-asia-pulp-papers-forest-conservation-policy

****

EMPLOYMENT OPPORTUNITY: We are a large automation company that has a line of consistency transmitters, sample valves and sheet break detectors that are marketed through a rep. network. We are seeking someone with a strong background in consistency control to facilitate start-ups, provide troubleshooting and technical advice. The individual should have experience in all major types of consistency measurement technologies (blade, rotary, microwave and optical). Knowledge of sheet break detection technology is desirable as well. Willingness to travel to paper production facilities across the US is a must.

Travel & Living Expenses to be reimbursed along with an agreed upon daily per diem rate.

For more information, please contact Jim Thompson at: jthompson@taii.com Ph. 678-206-6010 Cell: 404-822-3412

****

Jim Thompson is back again...with a new book on a taboo subject: the personalities in the pulp & paper industry. Jim has written in the past on many subjects based on his four plus decades in the worldwide pulp and paper industry. This new book is packed full of information valuable to the senior member of the industry as well as the recent entrant. A must for every pulp and paper library.