STORA initiates co-determination negotiations

STORA initiates co-determination negotiations regarding the relocation of research activities in Säffle to Karlstad Stora Corporate Research has today entered into co-determination negotiations with employee representatives regarding the relocation of research operations in Säffle to Karlstad. The relocation to Karlstad does not result in any reductions or changes in the number of employees. Karlstad is within commuting distance of Säffle and Stora Corporate Research's ambition is that the personnel will continue their employment with the company. Preliminary contact has been taken with representatives of the county, municipality and university in order to jointly find constructive solutions to issues related to communications and premises. The relocation of operations to Karlstad is expected to take place during 1998. STORA views the move as an investment for the future. The relocation to Karlstad brings research operations closer to some of the Group's most important production units (Stora Skoghall and Stora Gruvön) and to the University of Karlstad. The Province of Värmland's substantial interest in forceful research and development within the forest industries sector, in which it engages in cooperation with national and international centers, makes a positive contribution to STORA's operations in the region and is a significant complementary aspect of this investment. Stora Corporate Research in Säffle has 140 employees and operations focus primarily on research into the properties of future paper and board and pulp production. The Group's other research centers are located in Falun, Sweden, and Viersen, Germany. These units are not affected by the relocation.

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