PDM PHILIPPINES INDUSTRIES INC. Our Principal Company Schweitzer-Mauduit International, Inc.

(SWM) is a diversified producer of premium specialty papers and the world s largest supplier of fine papers tobacco industry. Schweitzer-Mauduit conducts business in over 90 countries and employs approximately 3,100 people worldwide, with operations in the United States, France, Brazil, Canada, Indonesia, Philippines and a joint venture in China. SWM has two (2) main product categories (1) Tobacco Industry Products and (2) Commercial and Industrial Products. Tobacco industry products include cigarette, plug wrap and tipping papers used to wrap various parts of a cigarette; reconstituted tobacco wrappers and binders for cigars, and paper products used in cigarette packaging. These products are sold directly to tobacco companies or their designated converters in North and South America, Western and Eastern Europe, China and elsewhere. Non-tobacco industry product include lightweight printing and writing papers, coated papers for packaging and labeling applications, business forms, furniture laminates, battery separator paper, drinking straw wrap, filter papers and other specialized papers, primarily for the Northern American, Western Europe and Brazilian Markets. These products are generally sold directly to converters and other end-users in North America and Western Europe and through brokers in Brazil. In July 2005, Schweitzer-Mauduit acquired the Cigarette Paper manufacturing operations of Kimberly-Clark Philippines, Inc. (now PDM Philippines Industries, Inc., or PPI) located along Maharlika Drive, United San Pedro Subdivision, San Antonio, San Pedro, Laguna. The Cigarette Paper Manufacturing Operations under Kimberly-Clark Philippines, Inc., (KCPI) began operations on 1967 and is the only independent tobacco-related paper producer in the Philippines. Under KCPI it was the exclusive sales representative in the Philippines of the Haunti Werke Koeber & Co., of Hamburg, West Germany the leading cigarette machinery manufacturer in that country, and of Alfred N. Hertz & Co., a leading producer of tobacco flavoring, also of Hamburg, West Germany. PDM Philippines Industries now runs the Cigarette and Specialty Paper operations independently of KCPI. In July 2008, PPI received its ISO certification. This achievement demonstrates the company s commitment to industry leadership and employees dedication to provide the highest quality products and services for its customers. The certification is a critical step in the growth and development of our company as continual improvement and commitment to quality are critical elements or our mission. ISO 9001 certification assures our customers that PPI has an internationally recognized Quality Management System.