Mondi Limited

(Incorporated in the Republic of South Africa)

(Registration number: 1967/013038/06)

JSE share code: MND ISIN: ZAE000097051

Mondi plc

(Incorporated in England and Wales)

(Registration number: 6209386)

JSE share code: MNP ISIN: GB00B1CRLC47

LSE share code: MNDI

As part of the dual listed company structure, Mondi Limited and Mondi plc (together `Mondi Group') notify both the JSE Limited and the London Stock Exchange of matters required to be disclosed under the JSE listings requirements and/or the Disclosure and Transparency Rules and Listing Rules of the United Kingdom Listing Authority.

27 January 2010

Announcement Regarding Potential Acquisition

Mondi Group (`Mondi') confirms that negotiations are progressing concerning a transaction that would involve Mondi acquiring Smurfit Kappa Group's (`SKG') European sack converting operations and SKG acquiring Mondi's corrugated operations in the United Kingdom.

The transaction is subject to the normal procedures and conditions attaching to such transactions, and is also subject to regulatory clearances.

There is no certainty that any such transaction will occur. A further announcement may be made as appropriate.

Contact details: Mondi Group Tel: +27(0)11 994 5415 Andrew King Kerry Crandon Tel: +27 11 994 5425 or kerry.crandon@mondigroup.com About Mondi Group

Mondi is an international paper and packaging group and in 2008 had revenues of *‚¬6.3 billion. Its key operations and interests are in Western Europe, emerging Europe, Russia and South Africa.

The Group is principally involved in the manufacture of packaging paper and converted packaging products; uncoated fine paper; and speciality products and processes, including coatings and consumer flexibles.

Mondi is fully integrated across the paper and packaging process, the growing of wood and manufacture of pulp (including recycled materials) and paper to the converting of packaging papers into corrugated packaging and industrial bags.

Mondi has production operations across 35 countries and had an average of 33,400 employees in 2008. www.mondigroup.com