Terminology change in Stora Enso’s reporting

Term Non-recurring items (NRI) will be changed to Items affecting comparability (IAC) in accordance with the ESMA guideline

STORA ENSO OYJ STOCK EXCHANGE RELEASE 7 June 2016 at 9.00 EET

Stora Enso will change the terminology in its reporting in accordance with the new guidelines from the European Securities and Markets Authority (ESMA) concerning Alternative Performance Measures. This will begin from the interim report for the second quarter, to be published on 21 July 2016.

The term “Non-recurring items” (NRI) will be changed to “Items affecting comparability” (IAC), but the definition remains the same. As before, these items are exceptional transactions that are not related to recurring business operations. The most common items affecting comparability are capital gains, additional write-downs or reversals of write-downs, restructuring costs, and penalties. IAC are disclosed individually, if they exceed one cent (EUR 0.01) per share, or EUR 8 million.

Stora Enso will add a table in its interim reports from the second quarter of 2016 onwards explaining the main IAC. The table will also include fair valuations and non-operational items. The same table has already been disclosed in Stora Enso’s Financial Reports.

ITEMS AFFECTING COMPARABILITY, FAIR VALUATIONS AND NON-OPERATIONAL ITEMS

EUR million Q1/16  2015 Q4/15 Q3/15 Q2/15 Q1/15 2014 Q4/14 Q3/14 Q2/14 Q1/14
Impairment and reversals of
  intangible asset, PPE
  and biological assets
-1   -266 -265 - -1 - -219 -214 9 -12 -2
Restructuring costs
  excluding fixed asset
  impairments
-   7 -2 16 -7 - -118 -20 19 -99 -18
Disposals -27   - - - - - 53 9 - - 44
Other -   25 17 - - 8 5 - - 5 -
Total Items Affecting
  Comparability
-28   -234 -250 16 -8 8 -279 -225 28 -106 24
Fair valuations and
  non-operational items
-26   378 401 -25 15 -13 -131 -79 -23 -18 -11
Total -54   144 151 -9 7 -5 -410 -304 5 -124 13


There will be no changes regarding the other alternative performance measures used by Stora Enso. These are Operational EBIT, Operational EBITDA, Cash flow from operations, Cash flow after investing activities, Net debt to operational EBITDA, Operational ROCE, Operational ROOC and EPS excluding IAC. These key figures present the operational result without exceptional transactions that are not related to recurring business operations, and thus enhance the comparability from period to period.

There will be no changes to Fair valuations and Non-operational items. Fair valuations and Non-operational items include equity incentive schemes and related hedges, CO2 emission rights, valuations of biological assets, and the group’s share of tax and net financial items of equity accounted investments.

The definitions and calculations of key figures are presented in Stora Enso’s Interim Report for January–March 2016, and in Financial Report 2015. There will be no changes in these definitions and calculations.


For further information, please contact:
Ulla Paajanen-Sainio, SVP, Investor Relations, tel. +358 2046 21242

Stora Enso is a leading provider of renewable solutions in packaging, biomaterials, wooden constructions and paper on global markets. Our aim is to replace fossil based materials by innovating and developing new products and services based on wood and other renewable materials. We employ some 26 000 people in more than 35 countries, and our sales in 2015 were EUR 10.0 billion. Stora Enso shares are listed on Nasdaq Helsinki (STEAV, STERV) and Nasdaq Stockholm (STE A, STE R). In addition, the shares are traded in the USA as ADRs (SEOAY) on the International OTCQX over-the-counter market. storaenso.com

STORA ENSO OYJ

For further information, please contact:
Ulla Paajanen-Sainio
SVP, Investor Relations
tel. +358 2046 21242

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