Terms for Billerud's rights issue set

Terms for Billerud's rights issue set 

•	Shareholders in Billerud have preferential rights to subscribe for one new
share for every existing share
•	The subscription price is SEK 19 per share, which represents total rights
issue proceeds of approximately MSEK 978 before issue costs
•	The subscription period runs from and including September 4 up to and
including September 23, 2009
•	The rights issue is fully guaranteed by the largest shareholders in Billerud
as well as by Danske Markets, Handelsbanken Capital Markets, Nordea and SEB
•	The rights issue is subject to approval by the Extraordinary General Meeting
held on August 27, 2009

The Board of Directors in Billerud has resolved to set the terms for the rights
issue that was decided on July 22, 2009. For every existing share in Billerud
the holder is entitled to one (1) subscription right, and one (1) subscription
right entitles the holder to subscribe for one (1) new share. The subscription
price is SEK 19 per share, which means that the rights issue will raise a
maximum of approximately MSEK 978, before issue costs, through the issue of no
more than 51,491,570 new shares.

The record date at the Swedish Central Securities Depository, Euroclear Sweden
AB, for participation in the rights issue is September 1, 2009. This means that
the Billerud share will trade excluding preferential rights to participate in
the rights issue from August 28, 2009.

The subscription period will run from and including September 4 up to and
including September 23, 2009 or such later date as decided by the Board of
Directors. Trading in subscription rights will take place on NASDAQ OMX
Stockholm from and including September 4 up to and including September 18, 2009.


Timetable for the rights issue
August 27, 2009	Extraordinary General Meeting decides on the rights issue
resolved by the Board of Directors
August 28, 2009	First day of trading in Billerud shares excluding preferential
rights to participate in the rights issue
September 1, 2009	Record date for participation in the rights issue, i.e.
shareholders registered in the share register as of this day will receive
subscription rights for participation in the rights issue
September 1, 2009	Estimated day for publication of the prospectus
September 4 - September 18, 2009	Trading in subscription rights
September 4 - September 23, 2009	Subscription period

Background and Reasons
During 2005 and 2006, Billerud invested over SEK 1.0 billion in expanded
production of own energy. These highly profitable investments were financed with
bank debt, which resulted in an increase in Billerud's net debt/equity ratio
above that of Billerud's financial target. In light of the current weak economic
climate and the prevailing uncertainty that is evident in the credit markets,
Billerud believes it is prudent to return to previously lower levels of gearing.
Through the rights issue, the balance sheet is strengthened in such a way that
the net debt/equity ratio, all else equal, would have been 0.46 times if the
rights issue had been completed as per June 30, 2009 (before issue costs). In
addition, the rights issue will provide the Company with significant financial
and strategic flexibility. In combination with Billerud's cost saving
initiatives and continued focus on improving the customer- and product mix, this
is expected to ensure a continued strong position for Billerud when the economic
climate improves.

Subscription undertakings and underwriting guarantees
Billerud's largest shareholder, Frapag Beteiligungsholding AG, and another one
of Billerud's larger shareholders, Apoteket ABs Pensionsstiftelse support the
rights issue and have committed, provided that certain terms are met, to
subscribe for their respective pro rata shares in the rights issue,
corresponding to approximately 23 percent of the rights issue. In addition,
Apoteket ABs Pensionsstiftelse has agreed to subscribe for additional shares
corresponding to approximately 4.5 percent of the rights issue, which increases
the total commitment from shareholders to approximately 27 percent of the rights
issue. The remainder of the rights issue is, subject to customary conditions,
fully underwritten by Danske Markets, Handelsbanken Capital Markets, Nordea and
SEB, whereby the rights issue as a whole is covered by subscription undertakings
and guarantees.

Reduction of the share capital etc.
To facilitate the completion of the rights issue, the Board of Directors has
proposed that the Extraordinary General Meeting, held on August 27, 2009 decides
on a reduction of the share capital by SEK 400,072,822.5, thereby changing the
shares' quota value from SEK 12.50 to SEK 5.00. The Board of Directors has also
proposed that Billerud, in conjunction with the rights issue, effects a bonus
issue of SEK 250,000,000, in order to secure that the restricted equity, as well
as the share capital, are restored after the reduction.

The Board of Directors' resolution on the rights issue and bonus issue requires
a change in the Articles of Association, in the share capital limits, as well as
the limits regarding the number of shares. Based on the subscription terms
determined by the Board of Directors, the Board of Directors propose, in
accordance with item 7 on the agenda for the notification to the Extraordinary
General Meeting, that the share capital limits are changed to not less than SEK
500,000,000 and not more than SEK 2,000,000,000 and the limits regarding the
number of shares are changed to no fewer than 80,000,000 and no more than
320,000,000 shares. The Extraordinary General meeting notification in its
entirety is available under press releases on Billerud's website,
www.billerud.com.

Financial and legal advisors
Danske Markets, Handelsbanken Capital Markets, Nordea Corporate Finance and SEB
Enskilda are acting as financial advisors and Joint Lead Managers for the rights
issue and Cederquist as legal advisor to Billerud.

For further information please contact
Per Lindberg, president and CEO, +46 8 553 335 01 or +46 70 248 15 17
Bertil Carlsén, CFO, +46 8 553 335 07 or +46 73 021 10 92

The information above includes that which Billerud AB (publ) is required to
publish under the Swedish Securities Exchange and clearing Operations Act. The
information was submitted for publication on August 25, 2009 at 08:45 CET.

IMPORTANT NOTICE
In certain jurisdictions, the publication or distribution of this press release
may be subject to legal restrictions and persons in those jurisdictions where
this press release has been published or distributed should inform themselves
about and abide by such legal restrictions.
This press release is not directed at persons located in the United States,
Canada, Australia, Hong Kong, Japan or in any other country where the offer or
sale of the subscription rights, interim shares or new shares is not permitted.
This press release may not be published or distributed, directly or indirectly,
in or into the United States, Canada, Australia, Hong Kong, Japan or any other
country where such action is wholly or partially subject to legal restrictions
or where such action would require additional prospectuses, other offer
documentation, registrations or other actions in addition to what follows from
Swedish law. Nor may the information in this press release be forwarded,
reproduced or disclosed in such a manner that contravenes such restrictions or
would require such additional prospectuses, other offer documentation,
registrations or other actions. Failure to comply with this instruction may
result in a violation of the United States Securities Act of 1933, as amended
("Securities Act") or laws applicable in other jurisdictions.
This press release does not contain or constitute an invitation or an offer to
acquire, sell, subscribe for or otherwise trade in shares, subscription rights
or other securities in Billerud AB (publ). Any invitation to the persons
concerned to subscribe for shares in Billerud AB (publ) will only be made
through the prospectus that Billerud AB (publ) intends to publish in the
beginning of September 2009, which prospectus will contain, among other things,
financial statements as well as detailed information regarding Billerud ABs
(publ) Board of Directors, Group Management and Auditors.
No subscription rights, BTAs (interim shares) or new shares will be registered
under the Securities Act or any provincial act in Canada and may not be
transferred or offered for sale in the United States or Canada or to persons
resident in Canada or on account of such persons other than pursuant to an
exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act or in such exempt cases that do not require
registration in accordance with any provincial act in Canada, respectively.

Billerud is a packaging paper company with a business concept to supply
customers with innovative and high quality packaging paper. A consistent
concentration on attractive market segments and a strong customer focus are
cornerstones of Billerud's strategy. Billerud focuses on kraft paper and
containerboard and has a world-leading position within several product segments.
The company's production units are among the most cost-efficient in Europe for
these products.