June 2016

Corporate Presentation1

Disclaimer

The information contained in this presentation may include statements which

constitute forward-looking statements, within the meaning of Section 27A of the U.S.
Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange
Act of 1934, as amended. Such forward-looking statements involve a certain degree of
risk and uncertainty with respect to business, financial, trend, strategy and other
forecasts, and are based on assumptions, data or methods that, although considered
reasonable by the company at the time, may turn out to be incorrect or imprecise, or
may not be possible to realize. The company gives no assurance that expectations
disclosed in this presentation will be confirmed. Prospective investors are cautioned
that any such forward-looking statements are not guarantees of future performance
and involve risks and uncertainties, and that actual results may differ materially from
those in the forward-looking statements, due to a variety of factors, including, but not
limited to, the risks of international business and other risks referred to in the
companys filings with the CVM and SEC. The company does not undertake, and
specifically disclaims any obligation to update any forward-looking statements, which
speak only for the date on which they are made.

The Company
3

Shareholder Structure and Corporate Governance

Votorantim
S.A. (1)

BNDES
Participaes (1)

Free
Float (2)

29.42%

29.08%

41.50%

General
Meeting
Fiscal
Council
Board of
Directors

Listed on Novo Mercado,

highest level at BM&FBovespa:

Finance
Committee

Statutory
Audit
Committee

Personnel
and
Remuneratio
n Committee

Sustainability
Committee

Innovation
Committee

30%
independent
members

100%
independent
members

50%
independent
members

45%
independent
members

Policies approved
by the Board of Directors:

Only 1 class of shares 100% voting rights

100% tag along rights (Brazilian corporate law

establishes 80%)

Board of Directors with minimum 20% independent

members

Financial Statements in International Standards IFRS

Adoption of Arbitration Chamber

SEC Registered ADR Level III program

20% independent
members
Role of CEO and
chairman is split

Indebtedness and Liquidity

Market Risk Management
Risk Management
Corporate Governance
Related Parties Transactions
Anti-Corruption
Information Disclosure
Securities Trading
Antitrust
Genetically Modified Eucalyptus
Dividend Policy
NEW
Sustainability

(1) Controlling group (2) Free Float 41.44% + Treasury 0.06%

A Winning Player
Superior Asset Combination

Belmonte
Veracel
Caravelas
Portocel
Aracruz

Main Figures 1Q16 LTM

Pulp capacity

million tons

5.300

Net revenues

US$ billion

2.930

Total Forest Base(1)

thousand hectares

969

Planted area(1)

thousand hectares

568

US$ billion

2.897

1.86

Net Debt
Net Debt/EBITDA (in Dollars)(2)

Trs Lagoas
Jacare
Santos

Port Terminal

Pulp Unit

Source: Fibria
(1) Including 50% of Veracel, excluding forest partnership areas and forest bases linked to the sales of Losango and forest assets in Southern Bahia State; As of December 31, 2015.
(2) For covenants purposes, the Net Debt/EBITDA ratio is calculated in Dollars.

Fibrias Units Industrial Capacity

* Veracel is a joint operation between Fibria (50%) and Stora Enso (50%) and the total capacity is 1,120 thousand ton/year

Fibrias Strategy 7

Leadership Position
Industry Outlook(1)

Market Pulp Capacity Ranking 2015(2) (000t)

Fiber Consumption
412 million t

59%

41%

Recycled Fiber
242 million t

Pulp
169 million t

18%

82%

Mechanical
30 million t

Chemical
140 million t

59%

41%

Integrated Mills
83 million t

Market Pulp
57 million t
54%

46%
Softwood/Other
26 million t

Hardwood
31 million t

30%

70%

Acacia/Other
9 million t

Eucalyptus
21 million t

75%
Other Eucalyptus
Pulp producers:
16 million t

5,300

Fibria
Arauco
APP
APRIL
Suzano
CMPC
UPM-Kymmene
Stora Enso
Georgia Pacific
Metsa Group
Ilim
IP (excl. Ilim)
Weyerhaeuser
Eldorado
Mercer
Domtar
Sodra
Resolute Forest
Cenibra
Canfor
0
25%

2000

4000

6000

Bleached Softwood Kraft Pulp

Bleached Hardwood Kraft Pulp
Unbleached Kraft Pulp
Mechanical Pulp

(1)

Fiber Consumption, Recycled Fiber and Pulp: RISI | Market Pulp, Hardwood and Eucalyptus: PPPC Global 100 Report December 2015
(2) Hawkins Wright Outlook for Market Pulp, December 2015

Fibrias Commercial Strategy

Differentiation: Customized pulp products to specific paper grades

Sole supplier to key customers

Long term contracts

Competitive logistics set up

Fibrias Pulp End Use

Printing &
Writing
38%

Tissue
48%

Speciatilies
14%

43%
Europe

24%

Lustenau

N.America

24%
Asia

Miami

Hong Kong

9%
L.America

So Paulo

Net revenue by region

Fibria s Offices

Source: Fibria 1Q16 LTM

Door to Door Operations

Pulp mill
Outbound
Logistics
Forest
Integrated logistics solutions
Low forest to mill average distance

Easy access to the most efficient

transportation network:
rail, barging and road

Portocel: specialized port for the

pulp and paper industry
Efficient Logistics Setup

Client

Port

Sea Freight

10

Pulp and Paper Market11

Paper Consumption
CAGR 1996 2006
Developed Markets: + 1.7%
Emerging Markets : + 6.0%

117,611

CAGR 2007 2016

Developed Markets: - 4.0%
Emerging Markets : + 4.1%

114,507

85,291

P&W
Consumption
(000 tons)(1)

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Developed Markets

Emerging Markets

CAGR 2007 2016

Developed Markets: + 1.4%
Emerging Markets : + 6.7%

CAGR 1996 2006

Developed Markets: + 2.4%
Emerging Markets : + 6.9%

37,474

26,877
15,548

Tissue
Consumption
(000 tons)(1)

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Developed Markets

Emerging Markets

Source: RISI

12

Global Market Pulp Demand

Hardwood demand will continue to increase at faster pace than Softwood

Hardwood (BHKP) vs. Softwood (BSKP) (000 ton)

Demand growth rate

2014 - 2019 CAGR:

Hardwood: +2.5%
Softwood: +0.8%

000 ton

1999

2009

2019

Growth
19992009

Growth
20092019

Hardwood

16.3

24.8

33.8

52%

35%

Eucalyptus

6.0

15.9

24.1

165%

52%

Softwood

19.0

21.4

24.9

13%

16%

Market Pulp

35.3

46.2

58.7

30%

27%

40.000
35.000
30.000
25.000
20.000
15.000
10.000
5.000

Hardwood

Softwood

2019

2018

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999

1998

Source: PPPC

13

Gross capacity addition should not be counted as the only factor

influencing pulp price volatility.(1)
List Price bottoming at US$650/t in 2011 and US$724/t in 2014
1.000

2,0
Horizonte II
Eldorado

BHKP prices - CIF Europe (US$/ton)

800

Rizhao
Trs
Lagoas

700
APP
Hainan

600
500
400

APP South
Sumatra(2)

Maranho

Santa F

Valdivia

1,6
1,4

Montes
del Plata Guaba II

Fray
Bentos
Mucuri
Veracel Nueva Aldea

1,8

1,2

Klabin

1,0
Chenming
Zhanjiang

Kerinci
PL3

0,8

APP Guangxi
Oji
Nantong

300

0,6

200

0,4

100

0,2

0,0

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

(1) Source: Hawkins Wright , Poyry and Fibria Analysis. Pulp price estimates according to Hawkins Wright (Dec/15), Brian McClay (Feb./16) and RISI (Feb/16)
(2) Partially integrated production.

2014

2015

2016

2017

2018

Capacity (000 ton)

900

Capacity closures DO happen

Closures of Hardwood Capacity Worldwide

(000 ton)
-85

-105
-315
-540

-445

-500

-580

-910
-1,085
-1,180
-1,260
2006

2007

2008

2009

2010

2011

2012

2013

2014

Source: PPPC and Fibria

(1)

As of January 2016 | 2016: -40kt Old Town (USA), -90kt Woodland (USA), -55kt Verso Wickliffe (USA), -120 April Kerinci (Indonesia) | 2017: -275kt Arauco Valdivia (Chile)

2015

2016-2017 E (1)

Tissue Market
Per Capita Consumption of Tissue by Region, 2013(1)
Kg/capita/year

World Tissue Consumption, 1991-2013(1)

Million tons

35

LTM Growth of
+4.2%

30
30

25
24

25

20

Growth
Potential

20
15

15

15

15

10
12

10

5
1

0
N.
West Japan Oceania East LatAm
America Europe
Europe

(1) Source:

RISI

China

Africa

1991

1996

2001

2006

2009

2010

2011

2012

2013

N.America

W.Europe

E.Europe

L.America

Middle East

Japan

China

Asia FE

Oceania

Africa

16

Pulp Projects Backlog

Even though there is an extensive pulp projects backlog, there are important question marks regarding
new projects
Main Questions About Capacity

Minimum required return for new projects

Closures due to increasing costs worldwide, reduction of maintenance capex (higher technical age of recovery boilers) and
exchange rates

Fiber substitution: Softwood x Hardwood and Recycled x Virgin Fiber

Main Projects
Project

Country

Capacity

Timing

Status

Klabin Paran

Brazil

1.5 Mt*

2Q2016

Confirmed

APP South Sumatra

Indonesia

1.5 Mt 2.0 Mt

4Q2016

Confirmed

Fibria Trs Lagoas II

Brazil

1.75 Mt

4Q2017

Confirmed

* 1.1 million tonnes of hardwood and 400 thousand tonnes of softwood

17

Financial Highlights18

1Q16 Results
Pulp Net Revenues (R$ million)

Pulp Production and Sales (000 t)

Sales vs. Production

94%
1,263
1,186

95%
93%
1,277

2,372

94%

1,975

1,229

1,188

1,622

1,432

1,291
1,203
1,136

1Q13

1Q14

1Q15

Production

1Q16

Average
FX

Sales

1Q13

1Q14

1Q15

1Q16

2.00

2.37

2.87

3.90

EBITDA (R$ million) and EBITDA Margin (%) FX Sensitivity

3.90
Average FX (R$/USD)
Average
Net Price (USD/t)
EBITDA Margin

EBITDA (R$ million)

2.87

559
50%

3.07
581
50%

1,007

1,157

1Q15

2Q15

3.54

3.84

600

589

536

56%

54%

52%

1,551

1,623

3Q15

4Q15

1,254

1Q16
19

Indebtedness

Debt (US$ million) x Leverage (US$)

Interest (US$ million) x Cost of Debt (US$)

7,29
8,6

6.3
4,11

5.9

4,25
3,32

6,3

5.5
5.2

2,60

2,41
1,78

1,85

473

414

408

2010

2011

2012

2013

2014

268
200

144

2015 Mar/16
2009

Dvida Bruta

3.3(1)

3.4

350

3,2 2,8

2009

4.6

2010

2011

2012

2013

2014

2015

Dvida Lquida

Free Cash Flow

Increase

Interest
Reduction

Cost of Debt
Reduction

These dynamics
creates a virtuous
cycle

(*) Considering the portion of debt in reais fully adjusted by the market swap curves of September. 30, 2015.

20

Debt Profile
Cost of Debt Foreign Currency (% p.a.)

Debt by Currency

10%

3.8%

3.7 %

90%

Marc/16

Marc/15

Local Currency
Foreign Currency

Debt Amortization Schedule (US$ million)

990
519

816

Revolver
Cash
on hand

305

289

471

607

506

492

177
Liquidity

Pre-payment

2016

27
2017

BNDES

2018

ECN

2019

ACC/ACE

2020

Voto IV

2021

2022

Bonds

12
2023

ARC and Others

2024

Net Results (US$ million) 1Q16

72
223

(24)

(114)
322
(188)

Adjusted
EBITDA

(1)

FX Debt

MtM
Hedge

251
(41)

(1)

Net
Interest

Deprec.,
amortiz.and
depletion

Taxes

Others

Net Income

Includes other Exchange rate/monetary variations, other financial income/expenses and other operating income/expenses.

22

Investor Relations
E-mail: ir@fibria.com.br
Phone: +55 11 2138-4565
Website: www.fibria.com.br/ir