EXEL APPLIES FOR PUBLIC QUOTATION OF 200

EXEL OYJ STOCK EXCHANGE ANNOUNCEMENT 22 October 2003 at 12.30


EXEL APPLIES FOR PUBLIC QUOTATION OF 2001 B-WARRANTS ON THE MAIN
LIST OF THE HELSINKI EXCHANGES

Exel Oyj applies for public quotation of all the 2001 B-warrants
on the main list of the Helsinki Exchanges so that the quotation
will commence on 27 October 2003.

The total number of B-warrants is 185,000. Each B-warrant entitles
its holder to subscribe for one Exel Oyj share. In the aggregate,
the B-warrants entitle holders to subscribe for 185,000 shares.
The present share subscription price with B-warrants is EUR 9.72
per share. The dividends payable annually shall be deducted from
the share subscription price.

The share subscription period with B-warrants commenced on 1
October 2003 and will end on 30 April 2006.

Mäntyharju, 22 October 2003


EXEL OYJ

Ari Jokelainen
President & CEO

Further information:
Mr Ari Jokelainen, President & CEO, Tel. +358 50 590 6750
Mr Markku Herranen, CFO, Tel. +358 50 590 6758

Internet: www.exel.net

Encls.
Terms and Conditions of the Warrants 2001


TERMS AND CONDITIONS OF WARRANTS 2001 OF EXEL OYJ

The Annual General Meeting of Shareholders of Exel Oyj (“Exel or
the “Companyö) has on 28 March 2001 resolved that warrants be
issued to the key personnel of the Exel Group and to a wholly
owned subsidiary of Exel Oyj on the following terms and
conditions:

I ISSUANCE OF WARRANTS

1. Number of warrants

The number of warrants issued will be 370,000 which entitle to
subscribe a total of 370,000 shares in Exel Oyj.
                                                      2 (5)

2. Warrants

Of the warrants 185,000 will be marked with the letter A and
185,000 with the letter B. The persons to whom warrants will be
issued will be notified in writing by the Company about the issue
of warrants. The warrants will be delivered to the recipient when
he or she has accepted the offer of the Company. Warrant
certificates shall upon request be delivered to the warrant holder
at the start of the relevant subscription period unless the
warrants have been transferred to the book-entry system.

3. Right to warrants

The warrants shall, with deviation from the shareholders’ pre-
emptive right to subscription, be issued to the key personnel of
the Exel Group and to Pro Stick Oy, a wholly-owned subsidiary of
Exel Oyj. It is proposed that the shareholders’ pre-emptive right
to subscription be deviated from since the warrants are intended
to form part of the Group’s incentive and commitment program for
the key personnel.

4. Distribution of warrants

The Board of Directors decides upon the distribution of the
warrants. Pro Stick Oy shall be distributed warrants to such
extent that the warrants are not distributed to key personnel of
the Exel Group. The Board of Directors of Exel Oyj shall later on
decide upon the further distribution of the warrants issued to the
subsidiary to the key personnel employed by or to be recruited by
the Exel Group.

5. Transfer of warrants and obligation to offer warrants

The warrants are freely transferable, when the relevant share
subscription period has begun. The Board of Directors may, as an
exception to the above, permit the transfer of a warrant also at
an earlier date.

Should a warrant-holder cease to be employed by or in the service
of the Exel Group for any other reason than the death or
retirement of the employee, before 1 October 2003, such person
shall without delay offer to the Company free of charge the
warrants for which the share subscription period in accordance
with Section II.2 had not begun on the last day of such person’s
employment.

Should the warrants be transferred to the book-entry system, the
Company has the right, whether or not the warrants have been
offered to the Company, to request and get transferred all
                                                      3 (5)

warrants from the warrant-holder’s book-entry securities account
to the book-entry securities account appointed by the Company.

II TERMS AND CONDITIONS OF THE SHARE SUBSCRIPTION

1. Right to subscribe new shares

Each warrant entitles its holder to subscribe for one (1) new
share in Exel Oyj. The nominal value equivalent of each share is
EUR 0.35. As a result of the subscriptions the share capital of
Exel Oyj may be increased by a maximum of 370,000 shares, i.e. by
a maximum of EUR 129,500.

2. Share subscription and payment

The subscription period shall begin:

for warrant A     on 1 June 2002 and
for warrant B     on 1 October 2003.

The share subscription period shall, for all warrants, end on 30
April 2006.

The share subscription shall take place at the head office of Exel
Oyj and possibly at another location to be determined later.
Payment of shares subscribed shall be effected upon subscription.

2. Share subscription price

The share subscription price for warrant A shall be the trade
volume weighted average quotation of the Exel Oyj share on the
Helsinki Exchanges between 1 April and 30 April 2001, with an
addition of 10 per cent.

The share subscription price for warrant B shall be the trade
volume weighted average quotation of the Exel Oyj share on the
Helsinki Exchanges between 1 October and 31 October 2001, with an
addition of 10 per cent.

From the share subscription price shall as per the dividend record
date be deducted the amount of the cash dividend distributed after
the period for determination of the subscription price but before
the date of the share subscription. The share subscription price
shall nevertheless always amount to at least the nominal value
equivalent of the share.

4. Registration of shares


                                                      4 (5)

Shares subscribed for and fully paid shall be registered in the
book-entry account of the subscriber.

5. Shareholder rights

The shares shall entitle to dividend for the financial year in
which the subscription takes place. Other shareholder rights shall
commence when the increase of the share capital has been entered
into the Trade Register.

6. Share issues, convertible bonds and warrants before share
subscription

Should the Company, before the subscription for shares, increase
its share capital through an issue of new shares, or issue
convertible bonds or warrants, a warrant holder shall have the
same right as or an equal right to that of a shareholder. Equality
is reached in the manner determined by the Board of Directors by
adjusting the amount of shares available for subscription, the
subscription price or both of these.

Should the Company, before the subscription for shares, increase
its share capital by way of a bonus issue, the subscription ratio
shall be amended so that the ratio to the share capital of shares
to be subscribed for by virtue of warrants remains unchanged. If
the number of shares that can be subscribed for by virtue of one
warrant should be a fraction, the fractional part shall be taken
into account by reducing the subscription price.

7. Rights in certain cases

If the Company reduces its share capital before the subscription
of shares, the subscription right accorded by the terms of the
warrant shall be adjusted accordingly as specified in the
resolution to reduce the share capital.

If the Company is placed in liquidation before the subscription of
shares, the warrant holder shall be given an opportunity to
exercise his subscription right before the liquidation begins
within a period of time determined by the Board of Directors.

If the Company resolves to merge in an other company as the
company being acquired or in a company to be formed in a
combination merger or if the Company resolves to be divided, the
warrant holder shall before the merger or division be given the
right to subscribe for the shares within the period of time
determined by the Board of Directors. After such date no
subscription right shall exist.

                                                      5 (5)

If the Company, after the beginning of the period of subscription,
resolves to acquire its own shares by an offer made to all
shareholders, the warrant holders shall be made an equivalent
offer. In other cases acquisition of the Company’s own shares does
not require the Company to take any action in relation to the
warrants.

In case a situation as referred to in Chapter 14 Section 19 of the
Finnish Companies Act, in which a shareholder possesses over 90%
of the shares of the Company and therefore has the right and
obligation to redeem the shares of the remaining shareholders, the
warrant holders shall be entitled to use their right of
subscription by virtue of the warrant within a period of time
determined by the Board of Directors.

If the nominal value equivalent of the share is changed while the
share capital remains unchanged, the subscription terms shall be
amended so that the total nominal value equivalent of the shares
available for subscription and the total subscription price remain
the same.

Converting the Company from a public company into a private
company will not affect the terms and conditions of the warrants.

8. Dispute resolution

Disputes arising in relation to the warrants shall be settled by
arbitration in accordance with the Arbitration Rules of the
Central Chamber of Commerce.

9. Other matters

The Board of Directors may decide on the transfer of the warrants
to the book-entry system at a later date and on the resulting
technical amendments to these terms and conditions. Other matters
related to the warrants are decided upon by the Board of
Directors. The warrant documentation is kept available for
inspection at the head office of Exel Oyj at Mäntyharju.


About Us

Exel Composites (www.exelcomposites.com) is a leading composite technology company that designs, manufactures and markets composite products and solutions for demanding applications. Exel Composites provides superior customer experience through continuous innovation, world-class operations and long-term partnerships. The core of the operations is based on own, internally developed composite technology, product range based on it and strong market position in selected segments with a strong quality and brand image. Profitable growth is pursued by a relentless search for new applications and development in co-operation with customers. The personnel’s expertise and high level of technology play a major role in Exel Composites’ operations. Exel Composites Plc share is listed in Nasdaq Helsinki Ltd.

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