ARCHIVED REPORTS_FIRST QUARTER 2008 GROUNDWATER MONITORING REPORT

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Fox River Paper Company January 31,2007 Combined Annual and 4th-Quarter 2006 Groundwater-Monitoring Report Page 4 of 9 • derived, in part, from the Stanislaus River) to effluent from the Mill Sump. Semiperched zone well OB-16 and upper zone well TH-5 are the best examples of the least-degraded water- quality category. These wells are located in the southeast corner of the site adjacent to the Stanislaus River and groundwater samples likely are composed mainly of river water. The small size of their Stiff patterns (relative to most other wells) indicates that this water is less mineralized than that in other wells. The shape of the pattern also is distinct: on the cation side, sodium and potassium are highest relative to calcium and magnesium; on the anion side, bicarbonate is higher relative to chloride, sulfate, and nitrate. The most mineralized wells in the semiperched zone are OB-1, OB-2, OB-4, OB-11, and OB- 28; the most mineralized well in the upper aquifer is TH-4; the most mineralized wells in the intermediate aquifer are PW-4 and PW-5 located in the northeast corner of the site. Overall, the 2006 Stiff patterns are generally similar to the 2005 patterns. Corrective Action Implementation Schedule Corrective actions and their implementations schedules previously were submitted in L&A's Amended Report of Waste Discharge For Disposal Of Plant Effluent Water dated June 15, 2005, and the subsequent Addendum To Amended Report of Waste Discharge For Disposal Of Plant Effluent Water dated March 31, 2006. The preferred corrective actions proposed in the documents were (1)the importation of South San Joaquin Irrigation District (SSJID) water to recharge the semiperched aquifer with low TDS water and if necessary (2) lining ASB-2 to prevent the infiltration of high TDS effluent water. FR is currently negotiating with the City of Ripon for the delivery of approximately 70 acre-feet of SSJID irrigation water; water tdelivery should begin during the 2007 irrigation season. Following the end of the 2007 irrigation season, L&A will evaluate what effects the application of SSJID water has had on groundwater quality and report findings in the fourth- quarter 2007/annual summary monitoring report. If groundwater quality has indeed improved to the degree anticipated, and FR's process water achieves the objective of being below the newly adopted WQPS for the semiperched aquifer(713 mg/L TDS), then FR will re-evaluated whether or not there is a need to proceed with the lining of ASB-2. Site Descriptions and Operations Fox River The FR Paper Company is located next to the Stanislaus River in Ripon, California. There is an electric-power cogeneration plant adjacent to the Mill. Previously,both the Mill and the cogeneration (cogen) plant were owned by Simpson Paper Company; now,however, the cogeneration plant is owned by Countryside Power Income Fund. The cogen plant contributes approximately 300,000 gallons of water containing approximately 1,000 mg/L TDS to FR's waste stream per day. Mill operations have been described in the Waste Discharge Requirements and other documents. Briefly, the Mill manufactures several grades of fine papers from purchased pulps. Process water is added to the pulps to make a pulp slurry which is then made into • paper. Effluent from this process, along with some regeneration brine from the cogen plant, is collected and discharged into a primary clarifier. 005194.00, Task 8 Lawrence&Associates W:IClients)FoxRiverlQuarterlyMonitoring1200614Q100614th 2006reportdoc