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1 Third Quarter 2017 Earnings Results 3Q17 Earnings Conference Call Date: November 3, 2017 Time: 3:00 PM ET US Toll Free: Intl. Dial In: Webcast: click here Investor Relations Contacts Colomba Henríquez + (56) ir.cmpc.cl CMPC Reports 2017 Third Quarter Results Santiago de Chile, Chile, November 3, 2017 Empresas CMPC S.A. (BCS: CMPC) ( CMPC or the Company ) a leading large scale Latin American producer of pulp, tissue, wood & paper products, serving global and local markets, today announced its unaudited results for 3Q17. 3Q17 HIGHLIGHTS Consolidated sales of US$1,338 million, up 5% QoQ and 7% YoY. Pulp production of 716,000 tons, down 27% QoQ and 23% YoY. Guaíba II downtime resulted reduction of approximately 245,000 tons in production and approximately 130,000 tons in sales, difference covered by inventories. Tissue paper sales volumes of 175,000 tons, up 5% QoQ and 4% YoY. Costs increase due to higher fiber costs. Hardwood prices up 6% QoQ and 27% YoY, reaching CIF US$616/ton. Softwood prices down 1% QoQ, but up 10% YoY to CIF US$ 630/ton. EBITDA of US$323 million, increasing 12% QoQ and 22% YoY. EBITDA margin of 24.1%, increasing from 22.6% in 2Q17 and 21.2% in 3Q16. The increase was driven by Pulp, with 38.2% margin in 3Q17. Free Cash Flow of US$177 million, compared to US$122 million in 2Q17 and US$10 million in 3Q16. Net Debt of US$3,229 million, down 4% QoQ and 11% YoY. Net Debt to EBITDA ratio reached 3.1x, down from 3.4x in both 2Q17 and 3Q16. US$ Million 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY Sales 1,245 1,280 1,338 5% 7% 3,595 3,831 7% EBITDA % 22% % EBITDA Margin 21.2% 22.6% 24.1% 151 bps 291 bps 20.8% 21.5% 69 bps Net Income (Loss) % 143% % CAPEX % -11% % Total Assets 14,883 15,279 15,421 1% 4% 14,883 15,421 4% Net Debt 3,610 3,374 3,229-4% -11% 3,610 3,229-11% Market Capitalization 4,973 5,975 6,595 10% 33% 4,973 6,595 33% Closing Exchange Rate (CLP/US$) % -3% % Average Exchange Rate (CLP/US$) % -3% % Closing Exchange Rate (BRL/US$) % -3% % Average Exchange Rate (BRL/US$) % -3% % 1

2 MANAGEMENT COMMENTARY The third quarter of 2017 results confirmed once again that the disciplined execution of our strategic plan obtains good results. During the quarter, we had supportive market conditions, with the better pricing environment and increasing volumes of the value-added tissue products. These conditions, combined with the internal initiatives we have been executing during the year, allowed us to deliver 5% revenue growth, expansion of the EBITDA margin and net income in 3Q17. This was despite the Guaíba II downtime, which impacted in approximately 245,000 Tons in hardwood pulp production, but only in approximately 130,000 Tons in sales volumes, due to inventory management. We also actively managed both working capital and capital expenditures in order to continue to strengthen our cash generation. Free cash flow was increasingly positive for the fifth consecutive quarter, showing our focus in this regard. Once again, we reduced leverage, as measured by the ratio of net debt to EBITDA. At 3.1 times, this ratio has improved in every quarter on 2017, showing our commitment to maintain the ratio within our internal policy and also to preserve our investment grade, a vital condition for the execution of our strategy. On the execution of our strategic plan, we would like to highlight the official inauguration, on October 13 th, of our Cañete tissue plant, in Peru. This plant is another important step in our Tissue business, as we build upon our leadership positions in the most significant Latin American markets and continue to invest in strong regional brands across those markets that we know very well. We are also pleased with the recognition, for the third consecutive time, of our sustainability efforts by the Dow Jones Sustainability Index, a family of global indexes that analyses relevant economic, environmental and social factors to select the leading companies in sustainability. Our shares are now included not only on the Chile index but also on the newly launched MILA Pacific Alliance DJSI. REVIEW OF 3Q17 CONSOLIDATED RESULTS SALES Total Revenue was US$1,338 million for the quarter, up 5% compared to 2Q17 and 7% higher compared to 3Q16. QoQ, revenues benefitted from growth in all business divisions, with a 7% increase in Tissue, 5% increase in Papers and 2% increase in Pulp. In Tissue higher tissue paper and sanitary products volumes across all countries in which we operate, as well as higher prices in U.S. Dollars. In Pulp better pricing in hardwood and solid wood products offset lower volumes. Also, the Paper business benefited from higher boxboard and paper bag volumes.. Sales by Business 3Q17 38% 16% 46% Pulp Paper Tissue Sales by Destination 3Q17 31% 49% 20% Domestic Sales Chile Export Sales Foreign Subsidiaries 2

3 Increases of 11% in Pulp, 6% in Tissue and 2% in Papers, were the reason for YoY revenue growth. Higher pulp prices, in addition to higher tissue paper volumes and prices, completely offset the decrease in hardwood and solid wood products volumes during the quarter. Revenues Analysis to Third Parties QoQ Revenues Analysis to Third Parties YoY ,280 1,338 1,338 1,245 Sales 2Q17 Pulp + 13 Paper + 10 Tissue +35 Sales 3Q17 Sales 3Q16 Pulp + 60 Paper + 4 Tissue +29 Sales 3Q17 OPERATING COSTS Prices Volumes Operating Costs, excluding depreciation, stumpage and decreases due to harvest, were US$835 million, up 3% both sequentially and annually. The QoQ increase was the result of, primarily, higher sales volumes of softwood, tissue paper, sanitary products and paper. Also impacting operating costs were higher directs costs in the Pulp division and in the Tissue division, as a result of higher fiber costs. The same items also were responsible for the YoY increase. Consolidated Operating Costs in 3Q17 were 62% of total sales, down from 63% in 2Q17 and 65% in 3Q16. OTHER OPERATING EXPENSES Other Operating Expenses totaled US$180 million, down 1% compared to 2Q17 but up 8% compared to 3Q16. The QoQ decrease is mainly attributed to lower distribution costs in the Pulp division as a result of the lower hardwood and solid wood products sales volumes during the quarter. Partly offsetting these positive impacts we had distribution costs in the Tissue division trending up on higher sales volumes, as well as increasing administrative expenses. The YoY increase is due to higher SG&A expenses in the Tissue business, related to higher sales volumes and administration expenses. This was partly offset by lower distribution costs in the Pulp division, related to lower sales volumes, in addition to lower administration expenses in the Paper division. Consolidated Other Operating Expenses in 3Q17 were 13% of total revenues, compared with 14% reported in 2Q17 and 13% in 3Q16. EBITDA EBITDA totaled US$323 million during the quarter, up 12% QoQ and 22% YoY. EBITDA margin expanded to 24.1%, up from 22.6% in 2Q17 and 21.2% in 3Q16. The higher sequential EBITDA resulted from increased EBITDA in all business divisions, with a 34% increase at the Paper division, 18% increase at the Tissue division and 7% increase at the Pulp division. 3

4 In particular, the QoQ increase in EBITDA reflected higher hardwood prices and softwood volumes, partly offset by lower hardwood volumes and higher direct costs. The 22% YoY increase in EBITDA was mainly due to a 41% increment in Pulp EBITDA, partially offset by the 14% decline in Tissue EBITDA. Higher Pulp EBITDA reflects increased pulp prices and higher softwood volumes, while the lower Tissue EBITDA reflects higher fiber costs, as well as higher SG&A expenses. EBITDA by Business 3Q17 7% 21% 72% Pulp Paper Tissue EBITDA Variation by Business QoQ EBITDA Variation by Business YoY EBITDA 2Q17 Pulp Papers Tissue Holding & Others EBITDA 3Q17 EBITDA 3Q16 Pulp Papers Tissue Holding & Others EBITDA 3Q17 FINANCIAL RESULT Financial Expenses totaled US$56 million, down 3% compared to 2Q17 and up 4% compared to 3Q16. The YoY increase is mainly explained by the US$500 million bond issuance in April, CMPC s Financial Income totaled US$10 million, up from US$3 million in 2Q17 and US$1.9 million in 3Q16, mainly explained by US$5.3 million equivalent to the registration of the accrued interest of the amount of sales tax paid in excess from previous years by CMPC Tissue Brazil. NET INCOME (LOSS) CMPC reported a Net Income of US$89 million in 3Q17, compared to US$26 million in 2Q17 and US$37 million in 3Q16. Net Income Analysis QoQ Net Income Analysis YoY Net Income 2Q17 EBITDA Dep. & Net Biol. Stumpage Income Net Fin. Costs Other Non Oper. (1) FX Diff. & Index. Results Net Income 3Q17 Net Income 2Q16 EBITDA Dep. & Net Biol. Stumpage Income Net Fin. Costs Other Non Oper. (1) FX Diff. & Index. Results Net Income 2Q17 (1) Other Non Operating includes: Share Results in Associated Companies, Other Gains (Losses) and Income Taxes. 4

5 Currency Exchange Rate Differences resulted in a US$0.7 million loss in the quarter, compared to a loss of US$4.4 million in 2Q17 and a gain of US$1.4 million in 3Q16. Indexation Unit Results registered a US$60,000 gain in the quarter, compared to losses of US$0.6 million in 2Q17 and US$0.9 million in 3Q16. Other Gains (Losses) resulted in a US$38 million loss. The line-item includes US$27 million related to the impairment of the recovery boiler of the Guaíba II mill. Other Gains (Losses) may also include noncore business revenues and other items, such as insurance deductible on losses, donations, and the relative effects of changes in the fair value of financial instruments including forwards, swaps (different from those under hedge accounting), among others. Income Taxes represented a gain of US$15 million in 3Q17, compared to a loss of US$46 million in 2Q17 and of US$29 million in 3Q16. The result for the quarter is mainly composed by a US$31 million income tax provision, US$10 million gain from a lower deferred tax provision and a US$36 million gain related to the effect of currency exchange rate movement on deferred taxes. As CMPC s tax accounting is in local currencies (except in Chile), the depreciation of these currencies, mainly the Brazilian Real, increases the tax base of assets measured in dollars, and therefore the Deferred Taxes account. CAPITAL EXPENDITURES Capital Expenditures in 3Q17 totaled US$126 million, increasing 16% QoQ but decreasing 11% YoY. These capital expenditures are mainly related to forestry maintenance, and disbursements related to the Laja, Maule and Cañete project. Also, the repairs of the recovery boiler of the Guaíba II mill accounted for approximately US$19 million during the quarter. (1) Capital Expenditures includes Value Added taxes. Capital Expenditures (1) Q16 2Q17 3Q17 FREE CASH FLOW Free Cash Flow reached US$177 million in 3Q17, compared to US$122 million in 2Q17 and US$10 million in 3Q16. The main drivers behind the positive free cash flow during 3Q17 were the higher EBITDA generation, working capital management and lower net financial expenses. US$ Million 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY EBITDA % 22% % (-) Capex (141) (108) (126) 16% -11% (418) (345) -17% (-) Dividends (0) (5) (0) -100% -83% (36) (5) -87% (-) Net Financial Expenses (40) (46) (34) -27% -15% (129) (125) -3% (-) Income tax (35) (6) (18) 205% -48% (131) (55) -58% (+/-) Working Capital Variation (39) (2) % 183% (75) % Free Cash Flow % 1690% (43) % 0 5

6 DEBT In Million US$ 3Q16 2Q17 3Q17 QoQ YoY (i) Current Interest-bearing Liabilities % 151% (ii) Non Current Interest-bearing Liabilities 3,859 3,796 3,798 0% -2% (iii) Other Obligations (34) (33) (32) -1% -5% (iv) Net Hedging Current Liabilities related to Debt Instruments (21) (7) (8) 16% -61% (v) Net Hedging Non Current Liabilities related to Debt Instruments % -95% Total Debt ( (i) + (ii) + (iii) + (iv) + (v) ) 4,206 4,633 4,593-1% 9% Cash* 596 1,260 1,364 8% 129% Net Debt 3,610 3,374 3,229-4% -11% *Cash and cash equivalents + Term deposits within 90 to 360 days of maturity CMPC s Financial Debt was US$4,593 million as of September 30 th, 2017, down 1% compared to June 30 th, 2017, but up 9% compared to September 30 th, The YoY increase in total debt is related to the US$500 million bond issuance on April 4 th, Cash held by the Company totaled US$1,364 million as of September 30 th, 2017, representing increases of 8% QoQ and 129% YoY. The increase in cash is explained by the US$500 million bond issuance in April, 2017, as well as the positive free cash flow generation during 3Q17. Net Financial Debt stood at US$3,229 million as of September 30 th, 2017, down 4% compared to June 30 th, 2017, and 11% compared to September 30 th, Debt Breakdown Debt by Currency Debt by Type Debt by Interest Rate 3% 5%3% 11% 7% 6% 4% 89% 76% 96% USD CLP BRL Other Banks Bonds BNDES ECA Fixed Rate Floating Rate 6

7 Amortization Schedule 1, (1) / / /39 (1) The figure of 2017 include US$116 million in amortizations and US$56 million related to accrued interests FINANCIAL RATIOS The Net Debt/EBITDA ratio in 3Q17 was 3.1x, down from 3.4x in both 2Q17 and 3Q x 3.4x Financial Ratio Evolution 4.63x 4.89x The Debt/Tangible Net Worth ratio was 0.57x, down from 0.59x in 2Q17, but up from 0.53x in 3Q16. The Interest Coverage ratio was 4.89x, compared to 4.63x in 2Q17 and 5.19x in 3Q x 3.1x 0.53x 0.59x 0.57x 3Q16 2Q17 3Q17 Net Debt / EBITDA Debt / Tangible Net Worth Interest Coverage Ratio REVIEW OF RESULTS BY BUSINESS PULP MARKET During the first nine months, WORLD-100 Bleached Kraft (BKP) market pulp demand grew 3.5% YoY (+1.47 million tons), still above the 2.4% trend rate. Chinese market remains leading global demand growth this year, but not as hegemonic as in the past, with the Rest of Asia and N. America demand growing at good rates. By grades, softwood scored a 2.4% YoY demand growth (trend 1.4%), while hardwood demand grew at a 4.3% YoY growth rate (trend 3.3%). In 3Q17, market pulp demand grew 3.3% YoY compared to the 0.8% growth in 2Q17. The recovery came hand in hand with the increase in demand from China, which, after contracting YoY ( 2.2%) in 2Q17, posted a 5.3% growth rate in 3Q17. The really good news in the last 2 quarters this year is that the Rest of the World is contributing to global BKP market pulp demand. The better economic performance observed in North America and Europe has contributed to the demand recovery from these Regions and we hope that it will do even more in the near future. After remaining stable most of the 3Q17, Chinese pulp prices began to rise since late August at a sustained rate. However, these rising prices have not been verified at the same speed in the rest of the Regional markets. At the 19 th Congress of the Chinese Communist Party, the Government's decision to raise the environmental management standards of its industry was confirmed, with the restrictions on recovered paper imports and processing being only an example of the application of this policy. These restrictions, the closure of many mills of the "old China" Paper Industry along with the high rate of growth of the Chinese economy would be the factors to be considered as the reasons behind this increase in BKP prices. Source: PPPC, World Chemical Market Pulp Global 100 Report September

8 PULP BUSINESS During 3Q17, Pulp & Forestry sales increased 2% QoQ, and 11% YoY, reaching US$618 million. Pulp Sales & EBITDA In US$ Million 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY Pulp Sales % 11% 1,627 1,766 9% - Pulp Sales % 15% 1,249 1,383 11% - Forestry Sales % -2% % EBITDA % 41% % EBITDA Mg. 30.1% 36.5% 38.2% 172 bps 810 bps 30.1% 33.2% 311 bps FORESTRY Third Party Sales Volumes 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY - Pulpwood % -64% % - Sawing Logs % -23% 1,288 1,207-6% - Sawn Wood % -30% % - Remanufactured Wood % -22% % - Plywood % -26% % - Others % -45% % Total (th. m 3 ) 1, % -32% 3,194 2,625-18% Forestry sales volumes to third parties decreased 15% QoQ mainly explained by declines of 32% in sawn wood, 16% in plywood and 13% in remanufactured wood, caused by a delay in shipments of approximately 42,000 m 3, 3,500 m 3 and 27,000 m 3, respectively. The delayed volumes should be recognized in the coming months. Also, there was a decline in sawing logs volumes in Chile due to higher intercompany sales. This was partly compensated by higher pulpwood volumes (+54%), as a result of higher volumes in Argentina. 3Q17 Forestry volumes sold to third parties decreased 32% YoY with lower volumes in all products explained the following factors: pulpwood (-64%), due to higher intercompany sales in Chile and lower sales volumes in Argentina; sawing logs (-23%), as a result of lower production in Argentina; and sawn wood (-30%), plywood (-26%) and remanufactured wood (-22%), as a results of the delay in shipments during the quarter. Forestry average sale prices increased 24% QoQ and 43% YoY, both related to higher solid wood products prices and a change in the product mix. PULP Production 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY BSKP (1) % -2% % BEKP % -29% 2,147 1,889-12% Total Pulp (th. Tons) % -23% 2,705 2,474-9% Papers (2) % 12% % (1) Includes UKP (2) Includes Sackraft produced in the Laja mill and P&W paper produced in the Guaiba mill 8

9 The Guaíba II mill was stopped 11 days for its annual maintenance downtime and remained halted for the rest of the quarter for the repair of the recovery boiler. During October, the Company carried out scheduled maintenance downtimes at Guaíba I (15 days) and Santa Fe I (15 days). Also, the maintenance downtime at Laja is scheduled for November (15 days). Pulp production totaled 716 thousand tons during 3Q17, decreasing 27% QoQ and 23% YoY. Hardwood production totaled 515 thousand tons in 3Q17, decreasing 34% QoQ and 29% YoY. The QoQ and YoY decreases are due to the Guaíba II mill stoppage, which resulted in approximately 245 thousand tons production loss during the quarter. Softwood production totaled 201 thousand tons decreasing 1% QoQ and 2% YoY, both attributed to a slightly lower production at the Laja mill. BEKP cash cost (3) reached US$204/ton during 3Q17, increasing 11% compared to 2Q17 and 13% compared to 3Q16. The QoQ increase is mainly due to higher chemicals costs in Santa Fe and higher costs in Guaíba, mainly related to the Guaíba II stoppage. YoY, the increase is mainly explained by higher costs in Brazil, associated to the Guaíba II stoppage, and higher wood and chemical costs in Chile, associated to higher harvesting costs and higher caustic soda prices, respectively. BSKP cash cost (3) reached US$313/ton during 3Q17, increasing 6% compared to 2Q17 and 11% compared to 3Q16. The sequential and annual increase is mainly explained by higher wood costs, related to higher transportation costs and chemicals costs, mainly related to an increase in caustic soda prices. Also, there was an increase in energy costs at the Laja mill. BEKP Cash Cost (US$/ton) Q16 2Q17 3Q17 BSKP Cash Cost (US$/ton) Q16 2Q17 3Q17 (3) Cash cost is calculated as: wood plus chemicals plus energy plus materials plus labor costs. Third Party Sales Volumes 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY BSKP % 19% % BEKP % -12% 1,851 1,788-3% Total Market Pulp (Th. Tons) % -6% 2,301 2,292 0% P&W Guaiba (Th. Tons) % 26% % Market pulp sales volumes decreased 3% from 2Q17 and 6% from 3Q16. Softwood sales volumes increased 21% QoQ and 19% YoY, in both cases explained by higher sales to Asia and Europe. Hardwood volumes decreased 9% QoQ and 12% YoY, as a result of lower exports to all markets. It is important to note that the Guaíba II stoppage during 3Q17 resulted in a reduction in BEKP sales of approximately 130,000 tons during the quarter. 9

10 US$/ton CIF CMPC's average net pulp export price evolution Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 BSKP BEKP Pulp average sales prices (including a small tonnage of P&W papers and energy sold to the SIC grid) increased 4% QoQ and 22% YoY. The average effective net export price was CIF 630 US$/ton for softwood and CIF 616 US$/ton for hardwood. During 3Q17, the price spread between the two fibers was CIF 15 US$/ton, compared with CIF 55 US$/ton in 2Q17. EBITDA for 3Q17 increased 7% QoQ and 41% YoY. EBITDA margin increased to 38.2%, from 36.5% in 2Q17 and 30.1% in 3Q16. Higher hardwood prices and higher softwood sales volumes were the main causes of the QoQ increase in EBITDA. These were partly offset by the lower hardwood sales volumes due to the stoppage of the Guaíba II mill during the quarter. Also, there were higher costs in the Pulp segment, mainly related to the Guaíba II stoppage. The YoY increase resulted mainly from the 10% increase in softwood prices and the 27% increase in hardwood prices, as well as higher softwood sales volumes. Partly offsetting these impacts lower hardwood sales volumes, higher pulp cash costs and higher administrative expenses. It is important to mention that the Energy segment contributed with US$1.7 million to consolidated EBITDA, compared to US$4.5 million in 2Q17 and US$3 million in 3Q16. It is also important to note that the sale of real-estate land during the quarter resulted in a contribution of US$26 million in revenues and US$14 million in EBITDA during the quarter. TISSUE BUSINESS In 3Q17, Tissue sales increased 7% from 2Q17 and 6% from 3Q16 to US$513 million. Tissue Sales & EBITDA In US$ Million 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY Sales % 6% 1,340 1,443 8% EBITDA % -15% % EBITDA Mg. 16.2% 12.0% 13.0% 99 bps -315 bps 13.9% 12.2% -167 bps 10

11 Third Party Sales Volumes 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY - Chile % -1% % - Brazil % 2% % - Mexico % 18% % - Argentina % -2% % - Peru % 8% % - Uruguay % -7% % - Colombia % 3% % - Ecuador % 9% % Total Tissue Paper (Th. Tons) % 4% % - Diapers % 3% 2,234 2,281 2% - Feminine Care % 6% 999 1,005 1% - Others % -20% % Total Sanitary (M. Units) 1,372 1,307 1,366 5% 0% 3,985 3,964-1% Tissue Paper sales volumes increased 5% from 2Q17 and 4% from 3Q16. QoQ, sales volumes benefitted from increases across all countries of operations. YoY, volumes were higher in Mexico, Ecuador, Peru, Brazil and Colombia. Sanitary Products sales volumes increased 5% QoQ, and were stable YoY. Driving the QoQ increase was higher diaper volumes in Brazil, Argentina, Chile and Peru, as well a higher feminine care products in Brazil, Colombia and Argentina. YoY, higher diaper and feminine care sales volumes in Brazil and Argentina were mainly offset by lower wet wipes volumes and lower diaper volumes in Mexico. Average sales prices (measured in US Dollars) increased sequentially by 3% for tissue paper and for sanitary products and annually by 3% for tissue paper and 1% for sanitary products. The QoQ and YoY increases are mainly due to higher prices in local currencies in the main markets. Also, there was a positive effect due to the appreciation of local currencies, with the exception of the Argentinean peso. EBITDA in 3Q17 increased 16% QoQ, but decreased 15% YoY. EBITDA margin was 13% in 3Q17, above the 12% in 2Q17, but below the 16.2% reported in 3Q16. The sequential increase in EBITDA is mainly due to higher tissue paper and diaper sales volumes, as well as higher average prices measured in U.S. dollars. These were partly offset by increased direct costs, mainly as a result of higher fiber costs, and SG&A expenses, as a result of higher distribution costs related to higher volumes, as well as higher administrative expenses. The YoY decrease in EBITDA is attributed to higher direct costs, related to an increase in fiber costs, and SG&A expenses, as a result of higher administration expenses. These were partly offset by increased tissue paper sales volumes and higher average prices in both tissue paper and sanitary products. It is important to note that during the quarter CMPC Tissue Brazil registered US$8.4 million in EBITDA, associated to the recovery of sales tax paid in excess in previous years. 11

12 PAPER BUSINESS In 3Q17, Paper sales increased 5% QoQ and 2% YoY to US$207 million. Papers Sales & EBITDA In US$ Million 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY Sales % 2% % EBITDA % 5% % EBITDA Mg. 11.2% 9.1% 11.6% 252 bps 34 bps 14.2% 11.9% -224 bps Third Party Sales Volumes 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY - Boxboard % 9% % - Paper Bags % 3% % - Other Papers % 14% % - Corrugated Paper % -3% % - Corrugated Boxes % -5% % - Molded Pulp Trays % 1% % Total (Th. Tons) % 4% % Sales volumes to third parties increased 6% QoQ mainly explained by higher volumes of corrugated paper (+38%) and boxboard (+14%), both as a result of higher exports to LatAm, as well as higher paper bags volumes (+9%) in Chile, Argentina and Peru. These were partly offset by lower sales of molded pulp trays (-34%) and corrugated boxes (-22%), driven by lower apple trays and boxes, respectively. Sales volumes sold to third parties increased YoY as a result of higher volumes of boxboard (+9%), mainly explained by higher exports to LatAm, paper bags (+3%), explained by higher sales in Argentina and Mexico, and molded pulp trays (+1%). These were partly offset by lower corrugated boxes (-5%), as a result of lower industrial and fruit boxes sales in Chile, and corrugated paper (-3%) volumes, as a result of the lower production during the year. Average sale prices decreased 1% QoQ and 2% YoY. QoQ prices decreased due to a change in the product mix, while YoY decrease is due to lower average boxboard and corrugated prices and a change in the product mix. EBITDA in 3Q17 increased 34% from 2Q17 and 5% from 3Q16. EBITDA margin was 11.6% in 2Q17, compared with 9.1 % in 2Q17 and 11.2% in 3Q16. The sequential increase in EBITDA is mainly related to the increase in boxboard revenues during the quarter, and to a lower extent to higher paper bag sales. These were partly offset by higher operating costs during the quarter, associated with higher sales volumes and higher fiber costs, as well higher maintenance costs in corrugated paper. YoY, the increase in EBITDA is mainly explained by higher boxboard revenues, as well as lower administration expenses. This was partly offset by lower corrugated paper and corrugated boxes sales, in addition to higher operating costs, mainly as a result of increased in fiber and maintenance costs. 12

13 RELEVANT EVENTS Guaíba II Stoppage: On August 10 th, 2017, the Company took note of a specialist s technical report, within the framework of the scheduled annual maintenance downtime of the Guaíba II mill. The report states that the recovery boiler of this unit presents damages in various areas of its furnace as a result of the incident that occurred in February In consideration of the above, the Board of Directors determined the need to extend the downtime of the mill until the damaged equipment is repaired. Based on currently available information and considering the availability of components and the time needed to execute the repairs, it is estimated that the Guaíba mill will resume its operations on November 11 th, This will mean a loss of production of approximately tons, additional to those reported for the February 2017 incident. The effect of the stoppage is estimated at approximately US$200 million, which includes a lower contribution margin associated with the decrease in pulp sales of US$140 million, which will be reflected during the downtime period and additionally, US$60 million of costs associated with the repair of the boiler. The mentioned damage is covered by the insurance policies the Company maintains for this purpose, and the insurance companies have already been notified in this regard. Sustainability Recognition: On September 7 th, 2017, CMPC was included for a third time in the Dow Jones Sustainability Index (DJSI) Chile, which recognizes the Company s commitment to long-term sustainability. Also, on October 18th, 2017, CMPC was included in the newly launched DJSI MILA Pacific Alliance. DJSI is a global index that evaluates the financial performance of the leading companies in sustainability through an analysis of financially relevant factors in economic, environmental and social terms. Provisional Dividend for September: On September 7 th, 2017, CMPC s Board of Director s announced through a material fact that they had agreed not to distribute the provisional dividend contemplated for September in the dividend policy informed to the ordinary shareholders meeting in April The above is based on the fact that although the Financial Statements of the Company showed profits as of the second quarter of 2017, they are low. In addition, such profit is exposed to the exchange rate fluctuations of the currencies in which CMPC has accounted a significant part of its assets, a situation that is volatile by nature and therefore it is not possible to predict its behavior for the second half of the year. The aforementioned resolution will be revised again in December 2017 or in January 2018, when the distribution of the second interim dividend corresponds, according to the policy informed in the Shareholders Meeting. SUBSEQUENT EVENTS Guaíba II Insurance: On October 6 th, 2017, CMPC s Board of Director s informed through a material fact that they acknowledged a letter issued by the insurer Mapfre Seguros Gerais S/A, where it reports its rejection of coverage for the Guaíba II incident. Together with expressing its absolute disagreement with the terms of the letter and the basis of that decision, the Board of Directors instructed the administration to take all necessary legal actions to collect the indemnities contracted in the policies. Cañete Mill Inauguration: On October 13 th, 2017, the Cañete Tissue mill was inaugurated, The ceremony had the presences of Mr. Pedro Pablo Kuczynski, the President of Peru, and CMPC s top management officials, including Mr. Luis Felipe Gazitúa, Chairman of the board, Mr. Hernán Rodríguez, CEO, and Mr. Jorge Navarrete, CEO of Protisa Perú. The mill, located 151 km south of Lima,. 13

14 involved a total investment of US$140 million, which included a double width tissue machine, conversion lines, storage and distribution. The new double width tissue machine produced its first jumbo roll on January 25 th, 2017, ahead of schedule. The new 54,000 tons/year tissue machine brings CMPC Tissue Peru with a total capacity of 133,000 tons/year. Inversiones CMPC 2018 US$500 million 144A-S bond: on October 20 th, 2017, Inversiones CMPC redeemed the 2018 US$500 million 144A-S bond at par value. This bullet note had a 4.75% coupon and the maturity date was January 19 th, 2018 with the option to redeem it at par 3 months prior to its due date. About CMPC Empresas CMPC produces forestry, pulp, paper, tissue and packaging products throughout Latin America. The Company aims to deliver world-class products, from forestry to finished products, to its global customer base. Its high quality timber and production facilities are strategically located in countries including Chile, Brazil, Argentina, Mexico, Peru, Colombia, Uruguay and Ecuador, hiring more than 17 thousand direct employees, making CMPC a truly regional company with a competitive cost structure. The Company sells more than 25 different product lines in more than 45 countries, always seeking long-term relationships. Forward-Looking Statements This earnings release may contain forward-looking statements. Such statements are subject to risks and uncertainties that could cause Empresas CMPC s actual results to differ materially from those set forth in the forward-looking statements. These risks include: market, financial and operational risks. All of them are described in CMPC s Financial Statements, Note 3 ( Gestión de Riesgos ). In compliance with the applicable rules, Empresas CMPC S.A. publishes this document on its web site ( and sends to the Superintendencia de Valores y Seguros the Financial Statements of the Company and its corresponding notes, which are available for consultation and review on its website ( 14

15 FINANCIAL TABLES FOLLOW BALANCE SHEET Figures in Th. US$ 3Q16 2Q17 3Q17 QoQ YoY Current Assets 3,270,978 3,702,333 3,846,451 4% 18% Cash and Cash Equivalents 596,025 1,259,726 1,363,594 8% 129% Operative Receivables 886, , ,299-1% -18% Inventories 1,118,820 1,153,401 1,183,815 3% 6% Biological Assets 409, , ,803 0% -13% Tax Assets 199, , ,758 6% -13% Other Current Assets 60,494 37,319 47,182 26% -22% Non Current Assets 11,611,674 11,576,732 11,574,112 0% 0% Intangible Assets, Different from Goodwill 14,379 14,121 14,601 3% 2% Goodwill 112, , ,211 1% 0% Property, Plant and Equipment, Net 7,957,334 7,929,563 7,913,202 0% -1% Biological Assets 3,045,962 3,208,370 3,187,023-1% 5% Deferred Tax Assets 50,102 53,756 58,713 9% 17% Other Non Current Assets 431, , ,362 11% -33% TOTAL ASSETS 14,882,652 15,279,065 15,420,563 1% 4% Current Liabilities 1,078,424 1,755,678 1,819,301 4% 69% Other Financial Liabilities 355, , ,769-3% 139% Operative Liabilities 609, , ,207 8% 15% Other Current Liabilities 113, , ,325 16% 137% Non Current Liabilities 5,688,949 5,511,768 5,457,488-1% -4% Other Financial Liabilities 3,952,465 3,838,713 3,824,327 0% -3% Deferred Tax Liabilities 1,595,036 1,563,162 1,518,473-3% -5% Other Non Current Liabilities 141, , ,688 4% -19% Non Controlling Participations 4,011 1,335 1,346 1% -66% Equity Attributable to the Owners of the Controller 8,111,268 8,010,284 8,142,428 2% 0% TOTAL LIABILITIES & SHAREHOLDERS' EQUITY 14,882,652 15,279,065 15,420,563 1% 4% Balance Sheet numbers are based on CMPC's quarterly financial data, which is presented to the "Superintendencia de Valores y Seguros" (SVS). 15

16 INCOME STATEMENT Figures in Th. US$ 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY Sales 1,245,389 1,279,714 1,338,322 5% 7% 2,349,265 2,492,760 7% Operating Costs (1) (814,201) (807,880) (835,448) 3% 3% (1,544,067) (1,648,474) 5% Operating Margin 431, , ,874 7% 17% 805, ,286 9% Other Operating Expenses (2) (166,991) (182,387) (180,012) -1% 8% (322,855) (345,253) 7% EBITDA ( 3) 264, , ,862 12% 22% 482, ,033 10% EBITDA Margin (%) 21.2% 22.6% 24.1% 151 bps 291 bps 20.8% 21.5% 69 bps Depreciation, Amortizations and Stumpage (144,172) (139,998) (146,470) 5% 2% (278,606) (282,358) 1% Increase in Biological Assets due to Forests Growth and Price Effects 42,522 51,829 29,462-43% -31% 87,764 87,217-10% Decrease in Biological Assets due to Harvest (59,009) (52,851) (47,854) -9% -19% (96,147) (101,749) -4% Operating Income 103, , ,000 6% 53% 195, ,143 20% Financial Expenses (53,471) (57,500) (55,864) -3% 4% (104,233) (108,987) 5% Financial Income 1,850 3,093 9, % 417% 5,921 5,634 95% Share Results in Associated Companies 8 1 (1) -200% -113% % Foreign Exchange Difference 1,374 (4,427) (729) 84% -153% (36,312) % Indexation Unit Results (860) (603) % 107% (3,132) (979) 77% Other Gains (Losses) 12,871 (16,813) (37,576) -123% -392% (26,095) (69,435) -709% Income Taxes (28,787) (46,439) 15, % 153% 75,945 (20,871) -112% Net Income (Loss) 36,523 25,739 88, % 143% 107,452 7,788-33% Net Income (Loss), attributable to owners of the parent 36,592 25,740 88, ,955 98,232 (0) Net Income (Loss), attributable to non-controlling interest (69) (1) % 128% 20 (1,775) (90) (1) Operating Costs are calculated as: Costs of Sales minus Stumpage minus Decrease in Biological Assets due to Havest minus Depreciation (2) Other Operating Expenses are calculated as: Distribution Costs plus Administration Expenses plus Other Functional Expenses (3) EBITDA is calculated as: Sales minus Operating Costs minus Other Operating Expenses 16

17 CASH FLOW STATEMENT Figures in Th. US 3Q16 2Q17 3Q17 QoQ YoY 9M16 9M17 YoY Cash Flow from Operating Activities 185, , ,657 13% 74% 535, ,960 60% Cash collection from operating activities Collections from sales of goods and services delivered 1,377,144 1,470,086 1,456,275-1% 6% 4,050,831 4,338,546 7% Other cash collections from operating activities 60,626 57, , % 110% 158, ,798 54% Payments for operating activities Payments to suppliers for goods and services (1,051,332) (1,041,501) (1,052,232) 1% 0% (3,049,535) (3,137,575) 3% Payments to and on behalf of employees (106,789) (120,772) (118,979) -1% 11% (305,822) (345,305) 13% Payments for premiums, benefits, annuities, and other obligations derived from suscribed policies (356) (1,466) (1,760) 20% 394% (1,245) (6,260) 403% Other payments from operating activities (59,648) (73,424) (70,090) -5% 18% (186,452) (183,203) -2% Net cash flows from (used in) operating activities 219, , ,586 17% 55% 666, ,000 37% Income taxes paid (reimbursed) (34,557) (5,875) (17,928) 205% -48% (131,251) (55,039) -58% Cash Flow from Investment Activities (130,579) (110,797) (116,090) 5% -11% (314,789) (313,271) 0% Amounts obtained from the sale of property, plant and equipment , % 58% 794 1,159 46% Purchases of property, plant and equipment (103,757) (86,146) (100,395) 17% -3% (325,967) (272,645) -16% Cash obtained from the sale of intangible assets % Purchases of other long-term assets (28,561) (18,615) (24,925) 34% -13% (60,926) (60,380) -1% Payments of future contracts, forwards, options and swaps (34,510) (10,764) (14,369) 33% -58% (54,152) (34,851) -36% Collections of future contracts, forwards, options and swaps 33,352 (773) 18, % -44% 67,243 41,737-38% Interest received 2,100 4,221 4,984 18% 137% 7,040 11,608 65% Other cash inflows (outflows) - 1,273 (1,180) -193% - 51, % Cash Flow from Financing Activities (101,424) 411,011 (112,335) -127% 11% (141,462) 221, % Proceeds raised through short-term loans 3, ,460 (209,280) -131% -5597% 264, ,725 85% Proceeds raised through long-term loans 29,049 59, , % 1483% 127, , % Proceeds raised through loans 32, , ,516-66% 662% 392,029 1,169, % Loans reimbursements (91,859) (277,391) (322,750) 16% 251% (361,262) (803,688) 122% Dividends paid (129) (4,702) (22) -100% -83% (36,295) (4,744) -87% Interest paid (42,292) (50,684) (39,123) -23% -7% (135,934) (137,072) 1% Other cash inflows (outflows) - - (957) (2,349) - Net increase (decrease) in cash and cash equivalents before effect of exchanges rate change (46,915) 585,170 94,232-84% 301% 79, , % Effects of variation in the exchange rate on cash and cash equivalents (2,433) (2,391) 9, % 496% 6,571 4,066-38% Net increase (decrease) in cash and cash equivalents (49,348) 582, ,868-82% 310% 85, , % Cash and cash equivalents at beginning of period 645, ,947 1,259,726 86% 95% 510, ,843 17% Cash and cash equivalents at end of period 596,026 1,259,726 1,363,594 8% 129% 596,026 1,363, % Term deposits within 90 to 360 days of maturity Total Cash at the end of the period 596,026 1,259,726 1,363,594 8% 129% 596,026 1,363, % 17

18 INCOME STATEMENT DATA BY BUSINESS UNIT September, 2017 Business Areas (Operating Segments) Pulp Paper Tissue Total Other (3) Adjustments & Eliminations Total CMPC In th. US$ Operating income from external customers 1,766, ,419 1,443,466 3,831, ,831,082 Operating income between operating segments of the same entity 205,594 21, ,269 26,550 (253,819) - Income from External and Related Customers 1,971, ,640 1,443,920 4,058,351 26,550 (253,819) 3,831,082 Cost of Sales (1,737,390) (550,774) (996,821) (3,284,985) - 222,632 (3,062,353) Distribution Costs (40,803) (16,871) (130,162) (187,836) - 4,862 (182,974) Administrative Costs (67,294) (29,836) (64,175) (161,305) (42,277) 28,454 (175,128) Raw Materials an Supplies Used (1,128,550) (478,150) (938,231) (2,544,931) - 211,909 (2,333,022) Employee Benefit Expenses (139,422) (65,466) (194,052) (398,939) (15,420) - (414,359) Depreciation & Amortization Expense (251,090) (38,563) (55,823) (345,476) (3,887) 5,682 (343,681) Interest Income 1,683 3,376 8,286 13, ,152 (143,307) 15,190 Interest Expense (132,085) (5,652) (41,779) (179,516) (128,642) 143,307 (164,851) Other Significant Income (Expense) Items (79,942) 625 (32,878) (112,195) 9,359 (4,175) (107,011) Total Other Significant Income (Expense) Itms (210,344) (1,651) (66,371) (278,366) 25,869 (4,175) (256,672) Share in Income of Associates Income Tax (Charge) Credit 13,376 (8,602) (9,435) (4,661) (987) - (5,648) EBITDA Determined by Segment (1) 586,463 74, , ,502 (12,541) (3,066) 821,895 Operating Profit (Loss) (2) 217,302 35, , ,955 (16,428) 2, ,143 Profit (Loss) Before Taxes 9,406 39, , ,737 99,305 (149,937) 102,105 Profit (Loss) 22,782 31,252 94, ,076 98,318 (149,937) 96,457 September, 2016 Business Areas (Operating Segments) Adjustments Total CMPC In th. US$ Pulp Paper Tissue Total Other (3) & Eliminations Operating income from external customers 1,626, ,605 1,340,443 3,594, ,594,654 Operating income between operating segments of the same entity 214,343 23,833 1, ,078 29,724 (269,802) - Income from External and Related Customers 1,971, ,438 1,342,345 3,834,732 29,724 (269,802) 3,594,654 Cost of Sales (1,709,136) (541,301) (923,999) (3,174,436) (1,197) 239,431 (2,936,202) Distribution Costs (44,326) (16,399) (109,124) (169,849) - 4,531 (165,318) Administrative Costs (76,534) (32,103) (53,879) (162,516) (48,975) 28,334 (183,157) Raw Materials an Supplies Used (1,071,789) (471,709) (879,065) (2,422,563) (1,173) 224,635 (2,199,101) Employee Benefit Expenses (123,515) (64,166) (163,659) (351,340) (19,891) - (371,231) Depreciation & Amortization Expense (242,609) (36,982) (44,837) (324,428) (3,914) 5,377 (322,965) Interest Income 3,405 6,157 1,790 11, ,368 (187,949) 7,771 Interest Expense (160,500) (11,850) (38,406) (210,756) (134,897) 187,949 (157,704) Other Significant Income (Expense) Items 2,865 (1,749) (18,422) (17,306) 7,132 (3,050) (13,224) Total Other Significant Income (Expense) Itms (154,230) (7,442) (55,038) (216,710) 56,603 (3,050) (163,157) Share in Income of Associates Income Tax (Charge) Credit 106,207 (12,680) (11,938) 81,589 (34,431) - 47,158 EBITDA Determined by Segment (1) 489,452 89, , ,010 (16,538) (1,932) 746,540 Operating Profit (Loss) (2) 122,160 52, , ,899 (20,452) 3, ,892 Profit (Loss) Before Taxes (141,474) 44, ,404 57, ,381 (137,818) 96,817 Profit (Loss) (35,267) 31, , , ,950 (137,818) 143,975 18