Fortum Corporation to apply for the listing of the 2001A options issued to key

Fortum Corporation           Stock Exchange Release 7 October 2005

Fortum Corporation to apply for the listing of the 2001A options issued to key
employees on the Main List of the Helsinki Stock Exchange

The Board of Directors of Fortum Corporation has decided to apply for the trading
of the 2001A options offered to its key employees in 2001 on the Main List of the
Helsinki Stock Exchange, with the listing to commence on 17 October 2005.

The Annual General Meeting of Fortum Corporation decided on 4 April 2001 to issue
options to the Group's key employees. Altogether 8,000,000 of these options were
marked with the code 2001A. In March 2002, a total of 2,525,000 of the options
were annulled. On 30 September 2005 a total of 4,937,500 Fortum's 2001A options
were held by key employees. The rest of the 2001A options have been allocated to
Fortum's wholly owned subsidiary Fortum Assets Oy and will be annulled before the
listing commences.

The maximum total number of options for which listing is sought is 4,937,500.
Each option gives the right to subscribe for one Fortum Corporation share with a
nominal value of 3.40 euros. A maximum of 4,937,500 shares may be subscribed for
based on the total amount of options, and the share capital may increase by a
maximum of 16,787,500 euros as a result of the share subscriptions. The shares
subscribed for with options represent no more than 0.57 percent of Fortum
Corporation's share capital. The subscription period for shares on the basis of
these options will run from 17 October 2005 to 1 May 2007.

The share subscription price on the basis of the options equals the nominal value
of the share, 3.40 euros. Future dividends do not reduce the subscription price
since the terms and conditions of the options state that the subscription price
must not be less than the nominal value of the share.

The options will be transferred to the book-entry securities system before their
listing. Shares can be subscribed for at the asset management branches of Nordea
Bank Finland Plc. The entitlement of the shares subscribed for with the options
to a dividend, and other shareholder rights, will commence once the increase in
the share capital has been entered into the trade register.

 
Fortum Corporation
Carola Teir-Lehtinen
Senior Vice President,
Corporate Communications

For further information, please contact:
Jouni Huttunen, tel. +358 10 452 4649

Distribution:
Helsinki Stock Exchange
Key media

ENCLOSURE
Terms and conditions

WARRANTS IN FORTUM CORPORATION 2001


The Annual General Meeting of Shareholders of Fortum Corporation has  on  4  April
2001 resolved that warrants be issued to the key personnel  of  the  Fortum  Group
and to a wholly owned subsidiary of Fortum Corporation, determined  by  the  Board
of Directors, on the following terms and conditions:

I ISSUANCE OF WARRANTS

1. Number of warrants

The  number  of  warrants  issued  will  be  24,000,000,  and  they  entitle   for
subscription of a total of 24,000,000 shares in Fortum Corporation.

2. Warrants

Of the warrants 8,000,000 will be marked with the symbol 2001A, 8,000,000 will  be
marked with the symbol 2001B and 8,000,000 will be marked with the  symbol  2001C.
The persons to whom warrants will be issued will be notified  in  writing  by  the
Company about the issue of warrants. The warrants will, by the resolution  of  the
Board of Directors, be given 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 Fortum Group and to  a  wholly
owned subsidiary of Fortum Corporation, determined by the Board of  Directors.  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.  Warrants
shall be distributed to a wholly owned subsidiary of Fortum  Corporation  to  such
extent that the warrants are not  distributed  to  key  personnel  of  the  Fortum
Group. The Board of Directors of Fortum Corporation 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 Fortum Group.

5. Transfer of warrants and obligation to offer warrants

The warrants are freely transferable, when the relevant share subscription  period
has begun. The warrants shall be kept by the Company on behalf of  the  subscriber
until the start of the subscription period. The subscriber shall  have  the  right
to  receive  the  warrants  in  his  possession  at  the  start  of  the  relevant
subscription period. Should the warrant-holder transfer his warrants, such  person
is obliged to inform the Company about the transfer without delay.  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  Fortum
Group for any other reason than the death  or  retirement  or  disability  of  the
employee, before 15 April 2006, such a person shall without  delay  offer  to  the
Company or its  order,  free  of  charge,  those  warrants  for  which  the  share
subscription period in accordance with Section II.2 had not begun at the last  day
of his/her employment. Regardless  of  whether  the  subscriber  has  offered  his
warrants to the company or not, the company is entitled to inform  the  subscriber
in writing that the subscriber has lost his warrants on the basis  of  the  above-
mentioned reasons. 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 the  warrants,  for  which  the  share
subscription period had not begun, from  the  subscriber'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  Fortum
Corporation. The nominal value of each share is 3.40 euro.  As  a  result  of  the
subscriptions the number of shares in Fortum Corporation may  be  increased  by  a
maximum of 24,000,000 shares and the share capital  by  a  maximum  of  81,600,000
euro.

The subsidiary of Fortum Corporation shall not be entitled to subscribe shares  in
Fortum Corporation on the basis of the warrants.

2. Shares subscription and payment

The subscription period shall begin:

- for warrant 2001A   on 15 October 2005,
- for warrant 2001B   on 15 January 2006 and
- for warrant 2001C   on 15 April 2006.

The subscription period, however, does not begin  with  any  warrants  unless  the
share quotation of the Fortum Corporation share,  during  calendar  years  2001  -
2004 has developed at least as well as a European utilities index, and unless  the
average four (4) successive year profit per share, after 31 December 2000, is  105
per cent of the average profit per share for the accounting periods 1998  -  2000,
rectified of exceptional entries.

Should the above key figure not  be  attained  due  to  a  corporate  acquisition,
arrangement or some other comparable significant change, the  Board  of  Directors
shall estimate the fulfillment of objectives without those significant changes.

The share subscription period shall, for all warrants, end on 1 May 2007.

The share subscription shall take place at the head office of  Fortum  Corporation
and possibly at another  location  to  be  determined  later.  Payment  of  shares
subscribed shall be effected upon subscription to the bank  account  appointed  by
the Company.

3. Share subscription price

The share subscription price shall be:

- for warrant 2001A the trade volume weighted  average  quotation  of  the  Fortum
Corporation share in the Helsinki Exchanges between 1  April  2001  and  31  March
2005,
- for warrant 2001B the trade volume weighted  average  quotation  of  the  Fortum
Corporation share in  the  Helsinki  Exchanges  between  1  October  2001  and  30
September 2005 and
- for warrant 2001C the trade volume weighted  average  quotation  of  the  Fortum
Corporation share in the Helsinki Exchanges between 1  April  2002  and  31  March
2006.

The development of  the  Fortum  Corporation  share  is  compared  to  a  European
utilities index. From the share subscription  price  of  the  warrants,  shall  be
deducted  twice  the  percentage  with  which  the  appreciation  of  the   Fortum
Corporation share exceeds the appreciation of  the  comparison  index  during  the
period for determination of the subscription price, as well as the amount  of  the
cash  dividends  distributed  during  the  period   for   determination   of   the
subscription price.

The above determined share subscription price shall nevertheless always amount  to
at least the trade volume weighted average quotation  of  the  Fortum  Corporation
share in the Helsinki Exchanges between 1 April and 30 April 2001. From the  share
subscription price of the warrants shall  be  deducted  the  amount  of  the  cash
dividend distributed after the beginning of the period for  determination  of  the
subscription price but before the date of the share subscription.

The share subscription price will be round up to the nearest full cent. The  share
subscription price shall be at least the nominal value of the share.

4. Registration of shares

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

5. Shareholder rights

Dividend rights of the shares and other shareholder  rights  shall  commence  when
the increase of the share capital has been registered with 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 another 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, provided that  the  above  mentioned  subscription  terms  and
conditions  of  the  share  subscription  are  fulfilled.  After  such   date   no
subscription right shall exist. In the above situations the warrant-holder has  no
right to require that the company redeems the warrants from him for market value.

If the Company, after the beginning of  the  period  and  right  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, before the end of the subscription period, 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, or as  referred  to
in Chapter 6 Section 6 of the Finnish Securities Market Act, or as referred to  in
Section VI in the Articles of Association, arise, 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,  provided  that  the  above-
mentioned  subscription  terms  and  conditions  of  the  share  subscription  are
fulfilled.

If the nominal value of the share is  changed  while  the  share  capital  remains
unchanged, the subscription terms shall be  amended  so  that  the  total  nominal
value 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.

7. 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. The Board of Directors decides on other matters  related  to
the warrants. The warrant documentation is kept available for  inspection  at  the
head office of Fortum Corporation in Espoo.


This is an English-language translation  of  the  Finnish-language  documents.  In
case of any discrepancy between  the  Finnish  and  English  texts,  the  Finnish-
language documents are decisive.


About Us

Fortum is a leading clean-energy company that provides its customers with electricity, heating and cooling as well as smart solutions to improve resource efficiency. We want to engage our customers and society to join the change for a cleaner world. We employ some 9,000 professionals in the Nordic and Baltic countries, Russia, Poland and India, and 62% of our electricity generation is CO2 free. In 2016, our sales were EUR 3.6 billion. Fortum's share is listed on Nasdaq Helsinki. www.fortum.com

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