BASWARE AUDITED FINANCIAL STATEMENTS FOR 2006

BasWare Corporation Stock Exchange Release February 8, 2007


SUMMARY

Financial year 2006:
 . Net sales EUR 59 954 thousand (EUR 41 666 thousand)
 . Operating profit EUR 8 078 thousand (EUR 3 611 thousand)
 . Operating profit 13.5 percent (8.7%) of net sales
 . International business operations' share of net sales 46 percent (52%)
 . Earnings per share EUR 0.45 (EUR 0.24)
 . Board's dividend proposal EUR 0.15 (EUR 0.10) per share
 . Outlook for 2007: BasWare expects the growth of net sales for the financial
   year to be from 15 to 20 percent compared with the Group's net sales in the
   previous year. Operating profit (EBIT) is expected to be from 10 to 15 percent
   of net sales.

The 2005 figures have been restated to comply with the adjusted accounting
principles regarding license sales recognition. The Financial Statements have
been prepared according to International Financial Reporting Standards (IFRS).


GROUP KEY FIGURES

                          10-12/ 10-12/0 Change 1-12/  1-12/0 Change 
                                 5                     5             
 EUR thousand             2006   Restate %      2006   Restat %      
                                 d                     ed            
                                                                     
 Net sales                16 508 10 823  52.5%  59 954 41 666 43.9%  
 Operating profit         1 807  97      1758.8 8 078  3 611  123.7% 
                                         %                           
 % of net sales           10.9%  0.9%           13.5%  8.7%          
 Profit before tax        1 831  101     1710.5 8 287  3 647  127.2% 
                                         %                           
 Profit for the period    526    -361           4 986  2 229  123.7% 
                                                                     
 Return on equity, %      4.8%   -6.9%          15.1%  13.9%         
 Return on investment, %  16.6%  2.5%           24.7%  21.4%         
 Cash and cash            8 975  9 987   -10.1% 8 975  9 987  -10.1% 
 equivalents *)                                                      
 Gearing, %               -18.4% -41.1%         -18.4% -41.1%        
 Equity ratio, %          77.5%  68.2%          77.5%  68.2%         
                                                                     
 Earnings per share, EUR  0.05   -0.04          0.45   0.24   89.3%  
 Earnings per share       0.05   -0.04          0.44   0.23   91.0%  
 (diluted), EUR                                                      
 Equity per share, EUR    3.88   2.16    80.0%  3.88   2.16   80.0%  

*) Includes cash, cash equivalents and financial assets at fair value through
profit or loss

BasWare's CEO Ilkka Sihvo comments the Financial Statements 2006:

"As a whole, BasWare succeeded well in the last quarter of 2006. Especially the
units in Scandinavia, United Kingdom, the Netherlands and the United States as
well as the Finnish Financial Management unit developed favorably. Profitability
of the entire Group has developed positively."

"Key success factors in 2006 were the growth in Europe and United States. 46
percent of net sales came from outside of Finland and the growth of international
net sales was 26 percent compared with 2005. The indirect sales channel was
strengthened in Europe, the United States as well as in the Asia Pacific. There
were a total of 54 resellers at the end of the year. The business operations in
Scandinavia and Finland continued to develop favorably and grew faster than the
average growth of the software market."


REPORTING

The accounting principles applied in the figures of the Financial Statements have
been adjusted compared with the previously published 2005 Financial Statements.
BasWare Group has adjusted the revenue recognition principles regarding license
sales as well as the valuation principles regarding accounts receivables, as
recommended by the new auditor. Additionally, the Group has previously in some
cases at the end of the quarters entered license sales as revenue based on
agreements where the actual license delivery has been delayed by some days. As a
result, license sales have been recognized as revenue a month beforehand.

The 2006 Financial Statements will be prepared according to the adjusted
accounting principles. Part of the agreements signed at the end of 2006 will be
recognized as revenue in the first quarter of 2007 as a result of the adjusted
revenue recognition principles. The value of these agreements totals over EUR 3
million. BasWare assesses that the adjusted accounting principles have no effect
on the Group's financial performance in the future.

BasWare issued a profit warning on January 15, 2007. Net sales have decreased by
EUR 0.8 million compared with the preliminary information given on that date. The
change results from the increase in the number of revenues to be recognized in
2007. Operating profit has decreased by EUR 0.9 million compared with the
preliminary figure of EUR 9.0 million.

BasWare has previously estimated that net sales of the Group compared with the
previous year would grow by approximately 45%, corresponding to approximately EUR
62.0 million. Operating profit was estimated to represent over 15% of net sales,
corresponding to an operating profit of EUR 9.3 million euros.

Falling below the official guidance is due to slightly weaker product sales. In
addition, part of the 2006 deals have been realized as Software as a Service
(SaaS) deliveries instead of one-off items. Net sales accumulate then gradually
due to monthly revenue recognition.

BasWare acquired Analyste Corporation on January 30, 2006. Analyste's financial
statements are consolidated in the Group financial statements from January 1,
2006 to July 31, 2006. The merger of Analyste to BasWare Corporation took place
on August 1, 2006.

FINANCIAL PERIOD JANUARY 1 - DECEMBER 31, 2006

NET SALES

BasWare Group's net sales grew by 44 percent during the financial year and were
EUR 59 954 thousand (EUR 41 666 thousand).

The sales of the Group's own products grew by 38 percent and were 32 percent
(34%) of total net sales. Maintenance revenue and support services related to
maintenance grew by 93 percent and were 31 percent (23%) of net sales. Consulting
and service revenue grew by 20 percent and represented 34 percent (40%) of net
sales. Other operations which consist mainly of license sales and maintenance
revenues from third party hardware and software were 3 percent (3%) of net sales.


Reseller partners' net share of product sales was 18 percent (16%) or EUR 3 465
thousand (EUR 2 257 thousand) in the financial year.

The international share of net sales was 46 percent (52%) in the financial year.
International business operations grew by 26 percent in the financial year.
Domestic operations grew by 64 percent.

The division of net sales geographically (primary segment by the location of
assets):

 Net sales          10-12/  10-12/0 Change, 1-12/   1-12/05 Change, 
 (EUR thousand)     2006    5       %       2006            %       
                            Restate                 Restate         
                            d                       d               
 Finland            10 918  6 349   72.0    41 028  26 111  57.1    
 Scandinavia        4 354   3 964   9.8     14 698  13 024  12.9    
 Europe             2 714   1 441   88.3    8 985   6 497   38.3    
 Other areas        1 119   553     102.5   3 512   2 077   69.1    
 Sales between      -2 598  -1 484          -8 269  -6 043          
 segments                                                           
 Group total        16 508  10 823  52.5    59 954  41 666  43.9    


FINANCIAL PERFORMANCE

In 2006, BasWare Group's operating profit grew by 124 percent and was EUR 8 078
thousand (EUR
3 611 thousand). Operating profit represented 14 percent (9%) of net sales.

The Group's fixed costs were EUR 47 427 (EUR 33 865 thousand). Growth compared
with the previous year was 40 percent. A significant part of the growth in costs
was attributed by the growing personnel due to the acquisition costs that totaled
EUR 32 953 thousand (EUR 22 569 thousand).

BasWare's research and development costs were EUR 10 925 thousand (EUR 6 204
thousand) or which EUR 2 454 thousand (EUR 1 154 thousand) or 23 percent (19)
were capitalized during the period. The amortization on development costs was EUR
462 thousand (EUR 239 thousand).  Research and development costs made 18 percent
(15%) of net sales. Costs grew by 76 percent (35%) during the year. The growth
results mainly from the acquisition.


The division of operating profit geographically (primary segment by the location
of assets):

 Operating profit   10-12/  10-12/0 Change, 1-12/   1-12/05 Change, 
 (EUR thousand)     2006    5       %       2006    Restate %       
                            Restate                 d               
                            d                                       
 Finland            3 243   1 140   184.5   12 314  7 130   72.7    
 Scandinavia        20      160     -87.8   -45     -116    60.7    
 Europe             -910    -972    6.4     -2 831  -2 379  -19.0   
 Other areas        -531    -253    -109.5  -1 297  -976    -32.9   
 Operating profit   -15     23              -62     -47             
 between segments                                                   
 Group total        1 807   97      1758.8  8 078   3 611   123.7   

The Group's profit before taxes was EUR 8 287 thousand (EUR 3 647 thousand).
Profit for the financial year was 8 percent (5%) of net sales or EUR 4 986
thousand (EUR 2 229 thousand).

Taxes for the financial year were EUR 3 301 thousand (EUR 1 417 thousand) and tax
rate was 40 percent (39%). Taxes for the period have been adjusted by a total of
EUR 765 thousand (EUR 985 thousand) resulting from subsidiaries' losses and IFRS
adjustments as well as from tax assets and liabilities resulting from other
accrual differences.

Earnings per share were EUR 0.45 (EUR 0.24).


FINANCE AND INVESTMENTS

BasWare Group's total assets of the balance sheet at the end of the financial
period were EUR 57 558 thousand (EUR 31 228 thousand). A significant part of the
growth resulted from the acquisition. The Group's cash and bank balances totaled
EUR 8 975 thousand (EUR 9 987 thousand). Cash flows from operating activities
were EUR 5 657 thousand (EUR 4 thousand) in the period. Cash flows from
investments were EUR -6 119 thousand (EUR -3 283 thousand).

Equity ratio was 77.5 percent (68.2%) at the end of the financial year and
gearing was -18.4 percent

(-41.1%). The Company had a total of EUR 758 thousand (EUR 1 230 thousand)
interest-bearing liabilities, of which current liabilities accounted for EUR 428
thousand (EUR 474 thousand).

Return on investment was 24.7 percent (21.4%) and return on equity 15.2 percent
(13.9%) in the financial year.

The Group's capital expenditure was EUR 597 thousand (EUR 794 thousand) in the
period. This consisted of regular new and replacement investments resulting from
growth. Gross investments which include, in addition to the previously mentioned,
the capitalized research and development costs as well as the acquisition of
Analyste, totaled EUR 25 318 thousand (EUR 6 925 thousand).

As a result of financial reporting according to IFRS, regular goodwill
amortizations have been ceased. According to the impairment tests conducted there
are no indications of impairments of assets. The amortization on intangible
assets was EUR 1 469 thousand (EUR 610 thousand), of which the amortization on
the acquisition was EUR 660 thousand (EUR 84 thousand).


RESEARCH AND DEVELOPMENT AND NEW PRODUCTS

Altogether 138 (79) people worked in the R&D unit at the end of 2006. This equals
to 26 percent of the total personnel.

New BasWare products were delivered to the market in 2006. As a result of the
acquisition of Analyste, BasWare extended its Enterprise Purchase to Pay
portfolio with, for example, payment software. The products were launched under
the BasWare brand in spring 2006.

During 2006, the development of both the BasWare Enterprise Purchase to Pay and
the BasWare Financial Management product suites continued. The usability and
compliance of the BasWare Invoice Processing solution was improved and a new
version was launched during the year. The user interface of BasWare Purchase
Management solution, part of the Enterprise Purchase to Pay portfolio, was
renewed and new versions of the product were launched during the year. New
versions of the value-added modules, BasWare Contract Matching, BasWare Order
Matching and BasWare Document Archiving were also launched during the year.

New versions of BasWare Travel & Expense Management were launched during the
year. The solution has a new web-based user interface and its usability was
further improved. It now enables creating expense claims unrelated to travel.

New versions of BasWare Group Consolidation, part of the BasWare Financial
Management portfolio, and the related value-added modules, BasWare IFRS Package
and BasWare Cash Flow, were launched during the year.

A new value-added module, BasWare Business Transactions Monitor, was launched on
the market. The eInvoicing solution platform was upgraded during the year.

New value-added product, BasWare Key Performance Indicator (KPI) Reporting Tool
was launched in the last quarter. The tool enables measuring purchase to pay
process efficiency with various business indicators. The product is integrated
with BasWare Purchase Management, BasWare Invoice Automation and BasWare Travel &
Expense Management solutions, enabling automatic data import directly to the
reporting tool.

During the year, the development of the new BasWare Contract Lifecycle Management
value-added product was initiated. It integrates with the BasWare Enterprise
Purchase to Pay solutions and automates the processing of contract-based orders
and purchase invoices.


PERSONNEL

BasWare Group employed on average 514 (362) people during the period and 528
(395) at the end of the year. The number of personnel grew by 34 percent compared
with the end of the previous year and by 3 percent compared with previous quarter
end.

The number of personnel working in Finland has slightly increased mostly due to
the acquisition compared with the situation in the previous year. Altogether 66
percent (60%) of personnel work in Finland and 34 percent (40%) outside of
Finland.

The average age of the employees is 35.4 (34.8) years. Of them 34 percent hold a
Master's degree and 41 percent a Bachelor's degree. 28 percent of employees are
women; 72 percent are men.

For incentive purposes, the Company has a bonus program that covers the whole
personnel. In the end of the period there was additionally one on-going warrant
program and a long-term incentive program for the top management was introduced.
Based on the program, warrants can be granted to the members of the top
management.

Geographical distribution of personnel:

 Personnel            10-12/ 10-12/ Change 1-12/  1-2/   Change 
 (employed, in        2006   2005   , %    2006   2005   , %    
 average)                                                       
 Finland              345    237    45.6   346    223    55.2   
 Scandinavia          93     88     5.6    89     75     18.7   
 Europe               66     55     20.0   62     50     24.0   
 Other areas          21     15     40.0   17     14     21.4   
 Group total          524    395    32.7   514    362    42.0   


BUSINESS OPERATIONS

The general economic outlook remained fairly good during the year. BasWare's
software generates cost savings to the customers and thus demand is not heavily
dependant on the current economic situation.

In an independent evaluation by Forrester Research BasWare has been named a
leading electronic invoice presentment and payment vendor globally. BasWare is
also estimated to have the largest market share of all vendors. BasWare estimates
that the integrated concept formed by its products has a positive impact on the
company's competitiveness. The company's strengths include long-term software
development, fast implementation of ready-made solutions and worldwide
distribution and support services.

According to the world's leading industry analysts, BasWare also became a major
player in procurement solutions during 2006. Market analysts like Gartner
estimate that the purchase management market as a whole is transferring into a
productivity phase where the demand is expected to grow.

International share of BasWare Group's net sales was 46 percent (52%) in the
period and international operations grew by 26 percent. In the end of the period
the Company had software installations in over 20 countries.

Enterprise Purchase to Pay operations grew by 48 percent during the year and
represented 88 percent (86%) of net sales. A total of 51 percent (61%) of net
sales came from outside of Finland.

Altogether 155 (135) new invoice processing and purchase management agreements
were signed in Enterprise Purchase to Pay units in eight countries. The sales of
BasWare Purchase Management picked up during the year and new customers include
the City of Helsinki in Finland, Ernst & Young in the United Kingdom and
ThiemeMeulenhoff in the Netherlands. The first agreements for BasWare KPI
Reporting Tool, launched in December, were signed with Monster and Chenaga
Corporation in the United States. Other new customers include IKEA Russia, Sonic
Corporation, Endemol Netherlands, Adecco UK, Catepillar Belgium, Maxygen ApS, M-
real Corporation and Pöyry Group.

Financial Management operations grew by 18 percent in the period and represented
12 percent (15%) of net sales. A total of 3 percent (3%) of net sales came from
outside of Finland. The unit signed 39 (34) new customer agreements in three
countries related to the main products. New customers include FIM Group,
Puukeskus Oy and Capman Oyj in Finland, Red Cross in Norway and DHL in Denmark.
During the year, the competitiveness of the total offering was increased with new
value added products, especially the BasWare Analyzer analysis tool that was sold
to 16 customers during the year as well as the new public sector package solution
that was sold to seven Finnish municipalities towards the end of 2006. The
package is used by for example the cities of Espoo, Oulu and Turku in Finland.


Reseller channel

Reseller operations through business partners were a significant part of
international operations in 2006. Strong reseller network ensures as wide as
possible distribution of the Company's products as well as needed service and
support functions for customers. The partners are responsible for sales,
marketing as well as for the service and support functions needed by the
customers.

The subsidiaries in Germany, the Netherlands, France, United Kingdom and the
United States as well as the global functions in the parent company have channel
sales units that support existing partners and strengthen the indirect sales
channel. The reseller channel organization was further strengthened during the
financial period by appointing a new Vice President to the Global Operations
unit, responsible for managing international reseller operations.

At the end of 2006, BasWare had a total of 54 business partners. Of these 46 were
international resellers, operating in altogether 29 countries. Additionally
BasWare has diverse marketing and sales partnerships in Europe and the United
States.

In January-December, a net share of 18 percent (16%) of product sales has been
achieved through the partner network which represents 13 percent (10%) of
international operations' net sales.


Nordic

BasWare's Nordic organization includes the Enterprise Purchase to Pay and
Financial Management units in Finland, as part of the parent company, as well as
the Scandinavian (Sweden, Denmark and Norway) unit. All the BasWare Enterprise
Purchase to Pay and Financial Management products are sold in the Nordic
countries, apart from the Analyste-based products which are currently sold only
in Finland. Marketing and sales activities of the Financial Management products
were initiated in Sweden and Norway in the beginning of 2005 and later that year
in the spring in Denmark.

Sales and other business operations are mainly handled by the own organization.
There are altogether 28 resellers and 17 application service providers selling
Analyste's products in Finland. There are two Enterprise Purchase to Pay business
partners in Sweden, one Enterprise Purchase to Pay partner in Iceland and one
Financial Management partner in Denmark.

As a whole, BasWare's business units in Finland and Scandinavia achieved the
sales objective for the financial year. The Finnish Financial Management unit
exceeded its objective. The Swedish and Danish subsidiaries achieved their
objective moderately and the Norwegian unit exceeded its objective.

Over 5 million invoices were transmitted through the BasWare Business
Transactions service during the financial year. The service is sold in the Nordic
countries. The invoice volume of the service grew by 70 percent during the
financial year compared with 2005.


Europe

Outside of Scandinavia, BasWare has European subsidiaries in the Netherlands,
Germany, the United Kingdom and France. At the end of the year, there were
altogether 31 partners that sold BasWare's products in the area. Additionally,
the Company has three partners in Southern Europe.

The European business area as a whole fell slightly behind the objective. All
BasWare Enterprise Purchase to Pay products are sold in the area, including the
BasWare Business Transactions service and electronic invoicing solutions.

The Dutch subsidiary exceeded its objective for the financial year. The
operations of the subsidiary in the United Kingdom developed favorably during the
year but fell slightly behind the objective. Also the German unit took a positive
turn during the year but fell behind the objective. The French subsidiary signed
several agreements towards the end of 2006, but fell behind the full year
objective due to weak sales at the beginning of the year.


Other areas

Outside of Europe, BasWare has a subsidiary in the United Stated which focuses on
the sales of the Enterprise Purchase to Pay solutions in the United States and
Canada. Additionally there are eight resellers in the area.

Of all the units, lisence sales of BasWare, Inc. developed the most favorably
although the year end sales fell behind the objective and as a whole the unit
fell slightly behind the objective. The objective for the unit is significantly
higher than for other units.

The sales to other areas outside Europe, mainly to Australia, are handled through
value added resellers. There are currently three resellers in the area. Their net
sales are entered as a part of the Finnish parent company's operations in segment
reporting. The reseller operations in the area exceeded their objective in 2006.


OPERATING RISKS

BasWare takes risks that are a natural part of the strategy and objectives. These
risks are managed and reduced in various ways. The Company is not ready to take
risks that might endanger the continuity of operations or that are uncontrollable
or would significantly harm the Company's operations.

The goal of risk management is to systematically and extensively identify and
acknowledge the risk involved in the operations as well as to make sure that the
risks are appropriately managed when making business decisions. The company's
risk management supports the attainment of strategic goals and ensures the
continuity of business operations.

In the process of risk management, the goal is to identify and evaluate the
risks, after which a risk-specific plan is drawn up and concrete action is taken.
These actions may include, for example, avoidance of the risk, diminishment of
the risk by different means or transference of the risk by insurance or
agreements.

BasWare has divided the risks into six categories: risks related to business
operations, products, personnel as well as legal, financial and data security
risks. Each group has a designated person in charge. The essential risks have
been recognized and measures for preparing for them undertaken. In 2006, the
Board monitored the progress regularly.

Company's international operations generate normal risks related to financing.
The goal of financial risk management is to cost effectively ensure the Company
to have sufficient financing as well as to monitor and if necessary limit the
risks by certain measures. Risk management is centralized in the Group's finance
department. The department reports to the Company's Board of Directors at least
once a year according to the risk management policy. The Company did not realize
hedging during the period.

The Board of Directors receives annually a report of the most significant risks
discovered during risk mapping. At the same time, the Board reviews the risks
from the shareholder value's perspective. Risk management does not have a
separate organization within the Company but its responsibilities follow the
distribution of liability throughout the organization and operations.


ACQUISITIONS AND CHANGES IN GROUP STRUCTURE

On January 31, 2006 BasWare announced that it was to acquire the entire share
capital of Analyste Corporation. The acquisition price was EUR 27.92 million of
which EUR 9.45 million was paid in cash and EUR 18.19 million in BasWare's shares
with two directed offerings to the shareholders of Analyste. The acquisition
strengthened BasWare's position in Finland and extended the Company's portfolio
to cover, for example, payment software.

Trivet Software Oy was merged to BasWare Corp. on January 5, 2006. Analyste Oyj
was transferred from a public limited-liability company to a limited-liability
incorporated company on February 28, 2006. Analyste Oy was merged to BasWare
Corp. on August 1, 2006.

BasWare resolved on August 14, 2006 to centralize its Scandinavian operations
into one unit. Odd Roar Trapnes was appointed Managing Director of the unit and
he will report to CEO Ilkka Sihvo. The change improves the service level for
Scandinavian customers as well as streamlines the cost structure of the area
thanks to common administration and marketing operations.

BasWare announced on December 1, 2006 that it incorporates its eInvoicing unit to
an own company, called BasWare eInvoices. Petri Karjalainen acts as the Managing
Director. BasWare is a significant player in the Finnish eInvoicing market and
the aim is to strengthen the position also internationally.


ENVIRONMENT AND CORPORATE RESPONSIBILITY

The direct environmental impacts of BasWare's operations are fairly minimal.
BasWare's solutions promote paperless operations and financial management in the
customer organizations which in part can contribute to the decrease of office
waste.

The corporate headquarters in Espoo, Finland, follow an environmental management
system that has been granted a WWF Green Office Certificate. The Green Office
system aims at supporting everyday actions that save energy and raw material.
Within the framework of the system, energy consumption and material consumption
of the office is measured.

The Company continued its cooperation with Plan Finland as part of its social
responsibility program. Initiated in 2002, BasWare supports the living conditions
and education of 14 children in developing countries. Additionally the Company
has supported two development projects through the Plan Investor program.

OTHER EVENTS OF THE FINANCIAL PERIOD

BasWare Corporation's Annual General Meeting (AGM) on February 15, 2006 adopted
the Financial Statements of 2005 and discharged the members of the Board of
Directors and the CEO from liability. The AGM resolved, according to the Board's
proposition, to distribute a dividend of EUR 0.10 per share, a total of EUR 1
069 725.90 for 2005.


New strategy

On September 12, 2006 BasWare Corp. published its new growth strategy and
strategic goals for the years 2007-2010. The objective for the future BasWare
growth of net sales is 20-40 percent annually, with the operating profit margin
of 10-20 percent.

According to its strategy, BasWare aims at growing in all of its markets. In the
Nordic area the focus will be more on profitability. More resources and focus
will be directed to the strategic markets of United States, Germany, United
Kingdom and France. In these areas growth will be high and profitability will be
reached in the mid-term. In distribution, focus is on transitioning more from
direct to the indirect channel where multiple channel partners will be acquired.

Expansion to selected new markets will take place according the following
schedule: Southern and Eastern Europe from 2006 onwards, Russia and Asia Pacific
from 2007 onwards. Indirect channel is widely used in these areas. BasWare's
global presence is further strengthened by several global alliances and by the
development of the channel program. The number of channel partners will be
multiplied by the year 2010.

BasWare Invoice Processing is still the volume product in most of the markets and
in the indirect channel. BasWare's growth will be supported by several new
products for direct and indirect global distribution. In BasWare Enterprise
Purchase to Pay portfolio this includes BasWare Purchase Management, BasWare
Travel & Expense Management and BasWare Payment. Other BasWare products will be
distributed in selected international markets.

BasWare has completed its organic growth with acquisitions. BasWare continues to
review possible acquisition targets. With the acquisitions, BasWare can extend
the sales channel and the product portfolio. They may also strengthen BasWare's
position in the electronic invoicing market.

BasWare's vision is that by 2010 the company is recognized as the leading
software company for Enterprise Purchase to Pay software solution suite in all of
its key markets. BasWare is known for high customer satisfaction and
innovativeness as well as being a credible and secure business partner for the
customers.  BasWare has a focused and unique Enterprise Purchase to Pay software
solution suite for the global marketplace. BasWare's other products are
distributed and supported in selected markets. Its packaged software products are
easy to use, fast to implement and provide a rich end-to-end functionality.
BasWare has one million end users in fifty countries by 2010. Its presence covers
all major markets worldwide with more than ten subsidiaries and 150 reseller
partners. BasWare is an attractive employer with committed, result-driven
employees who have competence in international business.

BasWare's vision of future growth and profitability is realized with BasWare's
strong global presence with a clear focus on major markets and expansion to
selected new markets, excellent customer relationship management strengthened by
effective marketing actions, clear segmentation and customer benefits as well as
with the highly competitive product portfolio, committed international personnel
and everyday operational excellence.

According to its mission, BasWare provides value for financial processes with
leading-edge process automation software. BasWare is a forerunner constantly
meeting the needs of its customers.


MANAGEMENT AND AUDITOR

Ilkka Sihvo acted as the CEO of the Company in 2006. The CEO is in charge of the
day-to-day management of the Company in accordance with the instructions and
orders given by the Board, as well as by the Companies Act.

The Annual General Meeting on February 15, 2006 elected six members to the Board
of Directors. Their term will last until the closing of the following AGM on
February 26, 2007. Kirsi Eräkangas, Ossi Pohjola, Antti Pöllänen and Hannu
Vaajoensuu were re-elected to the Board. Tom Bangemann and Asko Ahonen were
elected as new members to the Board. In its first meeting on February 15, 2006,
the Board elected Hannu Vaajoensuu as Chairman of the Board and Kirsi Eräkangas
as Vice Chairman.

In 2006, the auditor of BasWare was Deloitte & Touche, Authorized Public
Accountants, with APA Eero Lumme in charge.


SHARE AND SHARE CAPITAL

In 2006, the Company's share capital was increased by a total of EUR 477 259.80
in two directed offerings and by share subscription based on warrants. At the end
of 2006, the Company's share capital was EUR 3 440 437.20 and the number of
shares 11 468 124.

                                     Number of      Share capital, EUR 
                                     shares                            
 Share capital 1.1.2006              9 877 258      2 963 177.40       
                                                                       
 Directed offering 31.1.             +820 001       246 000.30         
 Directed offering 8.3.              +643 515       193 054.50         
 Share subscriptions based on        +7 500         2 250              
 warrants 21.4.                                                        
 Share subscriptions based on        +119 850                  35 955  
 warrants 20.7.                                                        
                                                                       
 Share capital 31.12.2006            11 468 124     3 440 437.20       


Warrant programs

In its meeting on April 7, 2006, BasWare Corporation's Board of Directors
resolved, based on the authorization given by the Annual General Meeting of
Shareholders on February 15, 2006, to establish a new warrant program. Based on
the warrant program, a maximum of 300 000 warrants can be granted
to the key personnel of BasWare Group, each warrant entitling to subscribe one
BasWare share. The warrants of the Warrant Program 2006 are divided into three
series, each having an own subscription period as follows: April 1, 2008-March,
31 2009, April 1, 2009-March 31, 2010 and April 1, 2010-March 31, 2011. The
subscription prices of the shares correspond to the volume-weighted average share
price of the Company in January-March of 2006, 2007 and 2008. The terms and
conditions of the program have been published as a stock exchange release on
April 10, 2006.

The subscription period of BasWare Finland II 2002-2006 warrant program ended on
June 30, 2006. Atotal of 160 030 shares were subscribed with program of which
127 350 shares in 2006. A total number of 49 970 warrants were not given and were
therefore nullified.


Board authorizations

The Board of Directors authorization for share issue is in effect until February
14, 2007. According to the authorization, the share capital can be increased with
a maximum of EUR 641 835.30 and 2 139 451 new shares. Based on the authorization,
two directed offerings were carried out in March 2006 and a new warrant program
launched in April 2006 and to launch a new warrant program in April 2006. The
share capital can still be increased by EUR 170 635.80 and 568 786 new shares
based on the authorization.

BasWare Corporation does not own BasWare shares and the Board does not have the
authorization to purchase BasWare's shares.


Shareholders

At the end of 2006, BasWare had 19 759 (21 679) shareholders. Nominee registered
holdings represented 12.3 percent of the share capital. There were no notices in
change of ownership in 2006.

The Company applies the Guidelines for Insiders issued by the Board of Directors
of the Helsinki Stock Exchange as well as the Recommendation on Corporate
Governance with the exceptions mentioned in the Company's Corporate Governance
Statement. The statement can be found in the Investors section of the Company's
website.


Share price and trade

During 2006, the highest price of the share on the Helsinki Stock Exchange was
EUR 15.25 (EUR 13.00) and the lowest price EUR 11.21 (EUR 7.70). On the last day
of trading in 2006, BasWare's closing rate was EUR 13.05 (EUR 12.62). The average
price of the share in 2006 was EUR 13.09 (EUR 9.85). Market capitalization with
the period's closing price was EUR 149 659 018 (EUR 124 650 996).

A total number of 5 534 522 shares were traded during 2006 (3 666 939 in 2005)
which is the equivalent of 48 percent (39%) of the number of shares at the end of
2006.


FUTURE OUTLOOK

According to research institutions, the global enterprise software market will
grow by approximately 5-7 percent annually. However, regional growth may outstrip
this; for example in Asia Pacific annual growth is estimated at over 12 percent.
BasWare operates in the electronic procurement and purchase invoice area, which
is expected to grow more rapidly than the average for enterprise software.

Western Europe and the United States represent approximately three quarters of
overall demand for enterprise software. Since invoice processing and purchase
management software remain at the beginning of their lifecycles in these regions,
demand is estimated to be high.

The purchase management and invoice processing software markets are relatively
heterogeneous with regards to the competitive situation. However, strong growth
may attract more competitors to the market. The industry is consolidating rapidly
and this development is expected to continue in the future. Comparing
consolidation trends between industries, it can be seen that software companies
are small on average in international terms. BasWare is a medium sized software
company on a global scale, in terms of sales and number of personnel.

BasWare's direct competitors are mainly smaller companies that operate locally.
In invoice processing in particular, local competition is increasing due to
document management, scanning and workflow solution developers. Competing
solutions also include tailored software solutions that complement Enterprise
Resource Planning (ERP) systems and require extensive client-specific project
work.

The competitiveness of the software is still good due to new value added products
and the integrated concept that the products form.

The Company's international growth is based on the Company's own sales and
marketing efforts as well as on reseller operations. The development of the
indirect channel continues especially in Europe and North America, in Russia and
in Asia. In Scandinavia, the focus is on profitability, supported by the
extending product poftfolio. In Finland, the focus is on profitability and the
moderate growth is enabled by the success in the purchase management area.

BasWare has complemented its organic growth with acquisitions. The Company
continues to review possible acquisition targets during 2007. With the
acquisitions, the Company can extend the sales channel and the product portfolio.
They may also strengthen the Company's position in the electronic invoicing
market.

In 2007, BasWare expects the growth of net sales for the financial year to be
from 15 to 20 percent compared with the Group's net sales in the previous year.
Operating profit (EBIT) is expected to be from 10 to 15 percent of net sales.





BOARD'S DIVIDEND PROPOSAL


BasWare is a growth company that aims for increasing the  value  of  shareholders'
investments and for moderate dividend distribution. When  preparing  the  dividend
proposal,  the  Board  takes  into  notice  the  Company's   financial   position,
profitability and prospects in the near future.

At the end of 2006, the Group's the parent company's distributable funds are EUR
19 540 493.24.


The Board of Directors of BasWare  Corporation  proposes  to  the  Annual  General
Meeting that from the financial year 2006,  a  dividend  of  EUR  0.15  per  share
(2005: EUR 0.10) be paid, a total of EUR 1 720 218.60 with the  number  of  shares
at the end of the financial period.


In Espoo, Finland, February 7, 2007

BASWARE CORP.

Board of Directors

Hannu Vaajoensuu, Chairman of the Board
Asko Ahonen
Tom Bangemann
Kirsi Eräkangas
Ossi Pohjola
Antti Pöllänen

Ilkka Sihvo, CEO

Annual General Meeting of Shareholders will be held on Monday, February 26, 2007,
starting at 1.30 PM at Kansallissali (Aleksanterinkatu 44) in Helsinki, Finland.
Notice of the Annual General Meeting will be published immeadiately after this
release.
 
For further information, please contact:
Ilkka Sihvo, CEO, BasWare Corp.
Tel. +358 9 8791 7251 or +358 40 501 8251, E-mail ilkka.sihvo@basware.com

Financial data in this stock exchange release is based on the audited BasWare
Financial Statements. The Auditors' Report is dated on February 7, 2007.


Distribution:
Helsinki Stock Exchange
Principal media
www.basware.com

GROUP INCOME STATEMENT

 EUR thousand               1.10.-31.1                1.1.-3        
                   1.10.-31 2.05       Change 1.1.-   1.12.0 Change 
                   .12.06   Restated   ,      31.12.0 5      , %    
                                       %      6       Restat        
                                                      ed            
                                                                    
 NET SALES         16 508   10 823     52.5   59 954  41 666 43.9   
                                                                    
 Other operating   50       13         272.5  177     60     193.1  
 income                                                             
                                                                    
 Material and      -658     -669       -1.7   -2 593  -3 172 -18.3  
 services                                                           
 Employee benefits -9 042   -6 604     36.9   -32 953 -22    46.0   
 expenses                                             569           
 Depreciation and  -572     -277       106.7  -2 033  -1 077 88.9   
 amortization                                                       
 Other operating   -4 479   -3 190     40.4   -14 474 -11    28.1   
 expenses                                             296           
 Operating profit  1 807    97         1      8 078   3 611  123.7  
                                       758.8                        
                                                                    
 Finance income    66       44         51.4   308     146    110.8  
 Finance expenses  -43      -40        6.7    -99     -111   -10.4  
 Profit before tax 1 831    101        1      8 287   3 647  127.2  
                                       710.5                        
                                                                    
 Income tax        -1 304   -462       182.4  -3 301  -1 417 132.9  
 expense                                                            
 PROFIT FOR THE    526      -361       245.9  4 986   2 229  123.7  
 PERIOD                                                             
                                                                    
 EPS (undiluted),  0.05     -0.04             0.45    0.24   89.6   
 EUR                                                                
 EPS (diluted),    0.05     -0.04             0.44    0.23   91.3   
 EUR                                                                
                                                                    

GROUP BALANCE SHEET

 EUR thousand                   31.12.2006 31.12.2005            
                                                      Change, %  
                                           Restated              
                                                                 
 ASSETS                                                          
                                                                 
 NON-CURRENT ASSETS                                              
 Intangible assets              9 980      4 040      147.0      
 Goodwill                       18 477     4 481      312.3      
 Tangible assets                784        729        7.5        
 Investments in associates                 3                     
 Available-for-sale investments 2 612                            
 Trade and other receivables               24                    
 Deferred tax assets            3 501      3 296      6.2        
 Non-current assets             35 354     12 573     181.2      
                                                                 
 CURRENT ASSETS                                                  
 Inventories                    20         9          125.1      
 Trade and other receivables    13 018     8 616      51.1       
 Income tax receivables         192        43         340.7      
 Financial assets at fair value 5 963                            
 through profit and loss                                         
 Cash and cash equivalents      3 012      9 987      -69.8      
 Current assets                 22 204     18 655     19.0       
                                                                 
 TOTAL ASSETS                   57 558     31 228     84.3       
                                                                 
                                                                 
 EQUITY AND LIABILITIES                                          
                                                                 
 SHAREHOLDERS' EQUITY                                            
 Share capital                  3 440      2 963      16.1       
 Share premium account          33 127     15 010     120.7      
 Other reserves                 540                              
 Translation differences        235        -203       215.7      
 Retained earnings              7 176      3 527      103.5      
 Minority interest              88                               
 Shareholders' equity           44 606     21 296     109.5      
                                                                 
 NON-CURRENT LIABILITIES                                         
 Deferred tax liability         1 462      283        416.2      
 Interest-bearing liabilities   329        757        -56.5      
 Non-current liabilities        1 791      1 040      72.2       
                                                                 
 CURRENT LIABILITIES                                             
 Interest-bearing liabilities   428        474        -9.6       
 Trade payables and other       9 957      8 066      23.4       
 liabilities                                                     
 Tax liability from income tax  775        352        120.1      
 Current liabilities            11 160     8 892      25.5       
                                                                 
 TOTAL EQUITY AND LIABILITIES   57 558     31 228     84.3       


GROUP STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY 1.1.-31.12.2006
 EUR thousand        Share-ho Share    Other   Transla Retain Minori Share-holde 
                     lders'   premium  reserve tion    ed     ty     rs'         
                     equity   account  s       differe earnin intere equity      
                                               nces    gs     st                 
                                                                                 
 SHAREHOLDERS'       2 582    6 000            -70     3 647         12 159      
 EQUITY 1.1.2005                                                                 
 Restatement                                           -1 264        -1 264      
 RESTATED            2 582    6 000            -70     2 383         10 895      
 SHAREHOLDERS'                                                                   
 EQUITY 1.1.2005                                                                 
                                                                                 
 Restated change in                            -133    -129          -262        
 translation                                                                     
 difference                                                                      
 Share-related                                                                   
 compensation                                                                    
 Granted warrants                                      81            81          
 Restated net                                  -133    -49           -181        
 profit/loss                                                                     
 recognized directly                                                             
 in shareholders'                                                                
 equity                                                                          
                                                                                 
 Restated profit for                                   2 229         2 229       
 the period                                                                      
 RESTATED TOTAL                                -133    -49           -181        
 PROFITS AND LOSSES                                                              
                                                                                 
 Total profits and                                                               
 losses (breakdown)                                                              
 - previously                                  -141    3 053         2 912       
 reported                                                                        
 - restatement                                 8       -872          -864        
 Restated total                                -133    2 181         2 048       
 profits and losses                                                              
                                                                                 
 Dividend                                              -1 037        -1 037      
 distribution                                                                    
 Rights issue        272                                             272         
 Warrants used       109      2 073                                  2 182       
 Share premium                7 058                                  7 058       
 Transaction costs            -121                                   -121        
 for equity                                                                      
 RESTATED            2 963    15 010           -203    3 527         21 296      
 SHAREHOLDERS'                                                                   
 EQUITY 31.12.2005                                                               
                                                                                 
 EUR thousand        Share-ho Share    Other   Transla Retain        Share-holde 
                     lders'   premium  reserve tion    ed            rs'         
                     equity   account  s       differe earnin        equity      
                                               nces    gs                        
                                                                                 
 SHAREHOLDERS'       2 963    15 010           -203    3 527         21 296      
 EQUITY 1.1.2006                                                                 
                                                                                 
 Change in                                     438     -198          240         
 translation                                                                     
 difference                                                                      
 Granted warrants                                      32            32          
 Other changes                         540                           540         
 Net profit/loss                       540     438     -274          704         
 recognized directly                                                             
 in shareholders'                                                                
 equity                                                                          
                                                                                 
 Profit for the                                        4 993  -7     4 986       
 period                                                                          
 Total profits and                     540     438     4 719  -7     5 690       
 losses                                                                          
                                                                                 
 Dividend                                              -1 070        -1 070      
 distribution                                                                    
 Rights issue        439                                             439         
 Warrants used       38       912                                    950         
 Share premium                17 211                                 17 211      
 Transaction costs            -6                                     -6          
 for equity                                                                      
 Business transfer                                            95     95          
 SHAREHOLDERS'       3 440    33 127   540     235     7 176  88     44 606      
 EQUITY 31.12.2006                                                               


Dividend per share was EUR 0.10 for 2005 and EUR 0.12 for 2004.

GROUP CASH FLOW STATEMENT JANUARY 1 - DECEMBER 31, 2006

 EUR thousand                           1.1. -      Restated    
                                        31.12.2006  1.1.-31.12. 
                                                    2005        
                                                                
 Cash flows from operating activities                           
                                                                
 Profit for the period                  4 986       2 229       
 Adjustments for profit                 5 235       2 528       
 Working capital changes                -902         -1 648     
 Interest paid                          -41         -72         
 Interest received                      70          140         
 Other financial items in operating     57          -41         
 activities                                                     
 Income taxes paid                      -3 750      -3 133      
 Net cash from operating activities      5 657       4          
                                                                
                                                                
 Cash flows from investing activities                           
                                                                
 Purchase of tangible and intangible    -3 021      -1 849      
 assets                                                         
 Proceeds from sale of tangible and     64          11          
 intangible assets                                              
 Acquired subsidiaries                  -3 660      -1 445      
 Disposal of associated companies       23                      
 Proceeds from other investments        457                     
 Granted loans                          -1                      
 Repayments of loan receivables         24                      
 Net cash used in investing activities  -6 114      -3 283      
                                                                
                                                                
 Cash flows from financing activities                           
                                                                
 Proceeds from issuance of share        760         9 056       
 capital                                                        
 Minority's capital investment          95                      
 Repayments of long-term borrowings     -400        -511        
 Repayments of financial lease          -75         -79         
 liabilities                                                    
 Dividends paid                         -1 070      -1 037      
 Net cash used in financing activities  -689        7 428       
                                                                
                                                                
 Net change in cash and cash            -1 146      4 150       
 equivalents according to cash flow                             
 statement                                                      
                                                                
 Cash and cash equivalents at beginning 9 987       5 789       
 of period                                                      
 Effects of exchange rate changes on    -19         49          
 cash                                                           
 and cash equivalents                                           
 Effects of fair value implementation   152                     
 Cash and cash equivalents at end of    8 975       9 987       
 period                                                         
 Net change in cash and cash            -1 146      4150        
 equivalents                                                    

In the cash flow statement, cash and cash equivalents constitute from the
following instalments: Cash and bank receivables and Financial assets at fair
value through profit or loss.


GROUP QUARTERLY INCOME STATEMENT
                                                                    
 Commitments on behalf of subsidiaries                              
 Guarantees                                     986       746       
 Guarantees, total                              986       746       
                                                                    
                                                                    
 OWN CONTIGENT LIABILITIES                                          
                                                                    
 Lease liabilities                                                  
 Current lease liabilities                      544       541       
 Lease liabilities maturing in 1-5 years        567       513       
 Total                                          1 111     1 054     
                                                                    
 Rental liabilities                                                 
 Current rental liabilities                     1 334     1 341     
 Rental liabilities maturing in 1-5 years       3 193     1 618     
 Total                                          4 527     2 960     
                                                                    
 Own contingent liabilities, total              5 638     4 014     


SEGMENT REPORTING

Geographical segments (primary segment)

 Net sales           10-12/ 10-12/ Change,  1-12/  1-12/  Change,  
 (EUR thousand)      2006   05              2006   05              
                            Restat %               Restat %        
                            ed                     ed              
 Finland             10 918 6 349  72.0     41 028 26 111 57.1     
 Scandinavia         4 354  3 964  9.8      14 698 13 024 12.9     
 Europe              2 714  1 441  88.3     8 985  6 497  38.3     
 Other areas         1 119  553    102.5    3 512  2 077  69.1     
 Sales between       -2 598 -1 484          -8 269 -6 043          
 segments                                                          
 Group total         16 508 10 823 52.5     59 954 41 666 43.9     
                                                                   
                                                                   
 Operating profit    10-12/ 10-12/ Change,  1-12/  1-12/  Change,  
 (EUR thousand)      2006   05              2006   05              
                            Restat %               Restat %        
                            ed                     ed              
 Finland             3 243  1 140  184.5    12 314 7 130  72.7     
 Scandinavia         20     160    -87.8    -45    -116   60.7     
 Europe              -910   -972   6.4      -2 831 -2 379 -19.0    
 Other areas         -531   -253   -109.5   -1 297 -976   -32.9    
 Operating profit    -15    23              -62    -47             
 between segments                                                  
 Group total         1 807  97     1758.8   8 078  3 611  123.7    
                                                                   
                                                                   
 Personnel           10-12/ 10-12/ Change,  1-12/  1-12/  Change,  
 (employed, in       2006   05              2006   05              
 average)                   Restat %               Restat %        
                            ed                     ed              
 Finland             345    237    45.6     346    223    55.2     
 Scandinavia         93     88     5.6      89     75     18.7     
 Europe              66     55     20.0     62     50     24.0     
 Other areas         21     15     40.0     17     14     21.4     
 Group total         524    395    32.7     514    362    42.0     

Business segments (secondary segment)

 Net sales             10-12/ 10-12/ Change 1-12/  1-12/05 Change, 
 (EUR thousand)        2006   05     ,      2006           %       
                              Restat %             Restate         
                              ed                   d               
 Product sales         5 241  2 786  88.1   19 374 14 044  38.0    
 Maintenance and       5 283  2 630  99.2   18 776 9 714   93.3    
 support                                                           
 Consulting and        5 380  4 805  12.0   20 106 16 725  20.2    
 services                                                          
 Other operations      648    601    7.8    1 698  1 183   43.5    
 Group total           16 508 10 823 52.5   59 954 41 666  43.9    

 Net sales by the      10-12/ 10-12/ Change 1-12/  1-12/  Change,  
 location of customer  2006   05     ,      2006   05              
 (EUR thousand)               Restat %             Restat %        
                              ed                   ed              
 Finland                8 147 4 896  66.4   32 557 19 830 64.2     
 Scandinavia           4 415  3 875  13.9   14 129 13 042 8.3      
 Europe                2 705  1 499  80.5   9 421  6 434  46.4     
 Other areas           1 241  553    124.5  3 848  2 360  63.1     
 Group total           16 508 10 823 52.5   59 954 41 666 43.9     



GROUP KEY INDICATORS 2002-2006

Group Key Financial Performance Indicators

 EUR thousand     2006     Restated 2004     2003     2002     
                                                               
                           2005                                
                  IFRS     IFRS     IFRS     FAS      FAS      
                                                               
 Net sales        59 954   41 666   33 891   25 597   20 263   
 Growth of net    43.9%                      26.3%    63.4%    
 sales, %                                                      
 Operating profit 8 078    3 611    6 256    1 133    1 370    
 Growth of        123.7%                     -17.3%   252.4%   
 operating                                                     
 profit, %                                                     
    % of net      13.5%    8.7%     18.5%    4.4%     6.8%     
 sales                                                         
 Profit before    8 287    3 647    6 119    1 031    1 505    
 tax                                                           
    % of net      13.8%    8.8%     18.1%    4.0%     7.4%     
 sales                                                         
 Profit for the   4 986    2 229    4 018    564      886      
 period                                                        
    % of net      8.3%     5.4%     11.9%    2.2%     4.4%     
 sales                                                         
                                                               
 Return on        15.2%    13.9%    38.3%    5.6%     9.2%     
 equity, %                                                     
 Return on        24.7%    21.4%    50.8%    10.2%    15.2%    
 investment, %                                                 
 Interest bearing 758      1 230    1 645    2 075    282      
 liabilities                                                   
 Cash and liquid  8 975    9 987    5 789    3 633    2 538    
 assets                                                        
 Gearing, %       -18.4%   -41.1%   -34.1%   -15.4%   -22.7%   
 Equity ratio, %  77.5%    68.2%    58.8%    63.0%    74.3%    
 Total assets     57 558   31 228   20 680   16 003   13 392   
                                                               
 Gross            25 315   6 925    1 688    489      2 163    
 investments *)                                                
    % of net      42.2%    16.6%    5.0%     1.5%     10.7%    
 sales                                                         
 Capital          597      749      626      489      2 163    
 expenditure                                                   
    % of net      1.0%     1.8%     1.8%     1.5%     10.7%    
 sales                                                         
 Research and     10 925   6 204    4 604    4 113    3 535    
 development                                                   
 costs                                                         
    % of net      18.2%    14.9%    13.6%    16.1%    17.4%    
 sales                                                         
 R&D personnel at 138      86       65       59       59       
 end of period                                                 
                                                               
 Personnel        514      362      280      256      205      
 average for                                                   
 period                                                        
 Personnel at end 528      395      302      254      244      
 of period                                                     
 Growth of        33.7%    30.8%    18.9%    4.1%     45.2%    
 personnel, %                                                  

*) Includes acquisitions and capitalized R&D costs.

Group Share Indicators

                            2006      2005      2004      2003      2002      
                                      Restated                                
                            IFRS      IFRS      IFRS      FAS       FAS       
                                                                              
 Earnings per share, EUR    0.45      0,24      0.47      0.07      0.10      
 Earnings per share, EUR    0.44      0,23      0.47      0.07      0.10      
 (diluted)                                                                    
 Equity per share, EUR      3.88      2,16      1.41      1.18      1.16      
 Dividend per share, EUR    0.15*     0.10      0.12      0.12      0.05      
 Dividend per profit, %     33.6%     42.4%     25.6%     182.1%    48.3%     
 Effective dividends, %     1.1%      0.8%      1.5%      2.0%      1.1%      
 P/E ratio                  29.24     53.54     16.58     92.55     43.44     
                                                                              
 Share price performance.                                                     
 share issue adjusted                                                         
    lowest share price, EUR 11.21     7.70      6.10      3.63      3.50      
    highest share price,    15.25     13.00     10.10     6.42      6.10      
 EUR                                                                          
    average share price,    13.09     9.85      7.83      4.83      5.14      
 EUR                                                                          
    closing share price,    13.05     12.62     7.78      6.10      4.50      
 EUR                                                                          
                                                                              
 Share issue adjusted       11 468     9 877    8 607 300 8 550 600 8 550 600 
 average share number       124       258                                     
 31.12.                                                                       
 Market value of shares     149 659   124 650   66 964    52 158    38 477    
 31.12., EUR                018       996       794       660       700       
                                                                              
 Number of traded shares    5 534 522 3 666 939 1 981 098 658 514   701 223   
 % of average share number  49.5%     38.8%     23.1%     7.7%      8.2%      
                                                                              
 Average share number:                                                        
 - undiluted                11 172    9 458 460 8 560 967 8 550 600 8 550 600 
                            612                                               
 - diluted                  11 221    9 877 816 8 634 413 8 552 575 8 562 526 
                            052                                               

* Board's proposal to the Annual General Meeting of Shareholders


SHAREHOLDERS

Distribution of holdings by sector December 31, 2006

                          Number of  Shares and votes     
                          holdings   %       holdings     
 Private companies        746        6.46    740 902      
 Financial and insurance  45         14.55   1 668 650    
 institutions                                             
 Public-sector            6          2.00    229 750      
 organizations                                            
 Non-profit organizations 29         0.89    101 436      
 Households               18 882     63.48   7 279 711    
 Foreigners               51         0.31    35 693       
                          19 750     87.69   10 056 142   
 Nominee-registered       9          12.31   1 411 982    
 Total                    19 759     100     11 468 124   


Distribution by number of shares December 31, 2006

                     Number of        Shares and votes     
 Number of shares    shareholders     %      Number       
 1 - 100             16 289           3.30   378 270      
 101 - 1 000         3 108            8.44   968 292      
 1 001 - 10 000      312              6.86   786 377      
 10 001 - 100 000    28               9.94   1 139 700    
 100 001 +           22               71.46  8 195 485    
 Total               19 759           100    11 468 124   
                                                          


MAJOR SHAREHOLDERS

    December 31, 2006                  Shares and votes   
                                       Number     %       
 1. Sihvo, Ilkka                       1 065 800  9.3     
 2. Vaajoensuu, Hannu (incl. a         1 045 800  9.1     
    controlled company and children                       
    under guardianship)                                   
 3. Eräkangas, Kirsi (incl. children   1 031 800  9.0     
    under guardianship)                                   
 4. Pöllänen, Antti (incl. children    830 900    7.2     
    under guardianship)                                   
 5. Perttunen, Sakari                  830 400    7.2     
 6. Nordea Small cap Fund              452 997    4.0     
 7. Ahonen, Asko                       333 822    2.9     
 8. Perttunen, Meimi                   215 400    1.9     
 9. Luoto, Matti                       199 450    1.7     
 10 Royal Skandia Life Assurance       180 000    1.6     
 .                                                        
 11 Veritas Pension Insurance Company  176 000    1.6     
 .                                                        
 12 Henki-Sampo Insurance Company      155 000    1.4     
 .                                                        
 13 Fondita Nordic Small Cap Fund      155 000    1.4     
 .                                                        
 14 Evli-Select Fund                   130 300    1.1     
 .                                                        
 15 Sarvala, Vesa                      122 741    1.0     
 .                                                        
 16 OP Finland Small Firm Fund         106 600    0.9     
 .                                                        
 17 Kaleva Mutual Insurance Company    93 800     0.8     
 .                                                        
 18 Nordea Fennia Plus Fund            86 000     0.7     
 .                                                        
 19 Fides Fund Management Company      76 100     0.7     
 .                                                        
 20 Aktia Secura Fund                  60 000     0.5     
 .                                                        
                                       7 347 910  64.1    
    20 largest shareholders total                         
    Nominee-registered shares total    1 411 982  12.3    
    Others                             2 708 832  23.6    
    Total                              11 468 124 100.0   




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