The cutting stock problem with binary patterns (0-1 CSP) is a variant of CSP that usually appears as a relaxation of 2D and 3D packing problems. We present an exact method, based on an arc-flow formulation with side constraints, for solving 0-1 CSP by simply representing all the patterns in a very compact graph. Gilmore-Gomory's column generation approach is usually used to compute strong lower bounds for 0-1 CSP. We report a computational comparison between the arc-flow approach and the Gilmore-Gomory's approach.