STORA ENSO OYJ Stock Exchange Release 20 March 2003 at 16.15
Stora Enso reorganises its core product areas
Stora Enso is changing its organisational structure to reflect
the Group's strategic principle of being operated and managed as
one industrial group. The new structure will be streamlined
around Stora Enso's core product areas: Paper, Packaging and
The present organisation has been successful during integration
of Stora Enso and the basic structure will therefore be
retained. The reorganisation is intended to improve coordination
and cooperation between the units within the three core product
areas and to facilitate more focus on Stora Enso's growth areas
in North America, Asia Pacific and Latin America.
Stora Enso's current paper divisions will form the new Paper
Product Area comprising the Publication Papers, Fine Paper,
North America and Merchants divisions.
The current Newsprint and Magazine Paper divisions will be
merged to form the new Publication Papers division. Speciality
Papers, which is now part of the Packaging Boards division, will
form a new business area within Fine Paper.
The objective is to improve cooperation between paper-related
businesses in strategy, sales and marketing, and production.
This will result in a more coordinated approach to customers
through improved customer relationship management. Prioritising
of mergers, acquisitions and investments will be enhanced, and
capacity will be more efficiently managed. Synergies are
expected as a result of easier exchange of best practice.
The Paper Product Area will be headed by Kai Korhonen, currently
Senior Executive Vice President, Stora Enso North America.
The divisions within the Paper Product Area will be headed by:
- Publication Papers: Bernd Rettig, currently SEVP,
- Fine Paper: Jussi Huttunen, SEVP, who will remain head of
- North America: Lars Bengtsson, currently SEVP,
- Merchants: Sven Rosman, EVP, who will remain head of the
The Packaging Product Area will comprise Consumer Boards,
Corrugated Packaging, Industrial Papers and Cores and
Coreboards. Senior Executive Vice President Pekka Laaksonen will
remain head of the product area. The head of Consumer Boards,
Senior Vice President Niilo Pöyhönen, will join Stora Enso's
The heads of the Paper and Packaging Product Areas will report
to the CEO.
Timber, the Pulp Competence Centre and Forest will be brought
together as the new Forest Products Product Area, headed by Arno
Pelkonen, currently Senior Executive Vice President, Timber
Products. The aim is to attain better coordination between
sawmilling, pulping and wood procurement. This will result in
better integration of wood procurement and optimisation of
global wood flows. The head of Forest Products will report to
the Deputy CEO.
A new Latin America division will be formed to manage local
projects and to coordinate sales company activities. It will be
headed by Nils Grafström, currently Executive Vice President,
Market Service and IT, who will report to the Deputy CEO.
Market Services, consisting of the Sales Network and Transport
and Distribution, will become a separate staff function headed
by Senior Vice President Petri Wager, who will report to the
CEO. The IT staff function will come under the Deputy CEO.
Responsibility for the Energy department will be transferred to
the Deputy CEO.
The new organisational structure will take effect on 1 May 2003.
The organisational changes mentioned above will result in some
alterations to the Company's financial reporting, although the
results for Q1 2003 (released on 29 April 2003) will not be
affected and will be reported as earlier.
For further information, please contact:
Jukka Härmälä, Chief Executive Officer, tel. +358 2046 21404
Björn Hägglund, Deputy Chief Executive Officer,
tel. +46 70 528 2785
Kari Vainio, Executive Vice President, Corporate
Communications, tel. +44 77 9934 8197
Keith B Russell, Senior Vice President, Investor Relations,
tel. +44 77 7578 8659
An image bank of pictures that may be freely used to illustrate
articles about Stora Enso is available at
Direct link to selected pictures:
STORA ENSO OYJ
p.p. Jussi Siitonen Pauli Mäkimaa