EXEL TO ACQIURE FASERPROFIL GMBH’S BUSINESS OPERATIONS

EXEL OYJ STOCK EXCHANGE RELEASE 31.3.2005 10.20 1(2) EXEL TO ACQIURE FASERPROFIL GMBH’S BUSINESS OPERATIONS Exel Oyj has signed an agreement with regard to the acquisition of the business operations of the Austria-based Faserprofil GmbH (FAS). The company manufactures and markets glass-fibre-based special profiles for example for the electrical and mechanical industries as well as railway and paper machine industries in Central and Eastern Europe. Exel will take possession of the business operations as of 1 April 2005. The company’s production units are located in Kapfenberg, Austria. FAS employs some 25 persons. On an annual basis the net sales of FAS are some EUR four million. The acquisition is expected to increase Exel’s annual net sales with the corresponding sum. Exel acquires FAS’ business operations, stocks, machinery and equipment and patents. The acquisition does not include real estate property or any debts related to the company’s business. Purchase price including expenses will be a maximum of some EUR 2.0 million. The final purchase price is partly contingent on the future net sales of the operations in question. The acquisition strengthens Exel’s technology base as FAS’ expertise relative to epoxy pultrusion and production automation will be transferred to Exel. The acquisition further strengthens Exel’s position in the European pultrusion market, in line with its strategy. FAS’ expertise in epoxy pultrusion and good machinery complete Exel’s technical know-how and capacity. FAS’ product range and clientele combined with Exel’s existing products and distributor network form a comprehensive contact surface for new customers in Central and Eastern Europe. Mäntyharju, 31 March 2005 Exel Oyj Ari Jokelainen President Further information: Mr Ari Jokelainen, President, Exel Oyj, tel. +358 50 590 6750 Mr Vesa Korpimies, Executive Vice President, Exel Oyj, tel. +358 50 590 6754 www.exel.net 2 (2) Exel Oyj is a Finnish company specialised in composite technology. The Group’s operations consist of sporting goods and industrial applications. Exel’s best-known products include cross-country and alpine poles, Nordic Walking poles, surfboard masts, floorball clubs and industrial profiles in general. The Group’s six factories are located in Finland, Germany, Belgium and Spain. Over 80% of production is exported. In 2004 the Group’s net sales totalled EUR 83.9 million. Exel personnel numbers 450. Exel’s share is listed on Helsinki Exchanges Main List.