Holmen to invest MSEK 295 in Hallsta to raise quality of newsprint

Holmen to invest MSEK 295 in Hallsta to raise quality of newsprint Holmen's Board decided at its meeting on Friday April 28 to invest MSEK 295 within its Holmen Paper business area. The investment will be focused solely on the quality of standard newsprint produced on one of Hallsta's paper machines. The purpose is to improve the runnability and printability of the paper as well as its colour reproduction. Holmen Paper's most important customers are leading publishers, whose quality requirements are steadily being raised. This is a consequence of several factors including the dramatic growth in the use of four-colour print, high-speed printing presses and the wish to reduce the grammage of the paper. The Board's decision shall be seen as an important stage in the process of strengthening Holmen Paper's position among its key customers on the markets for standard newsprint and improved special newsprint. The investment project is expected to be completed in May 2001. Production on the paper machine in question is based equally on recovered paper and virgin fibre. The mill is located in Hallstavik, north of Norrtälje. There are around 1,000 employees. The mill's annual production capacity amounts to 670,000 tonnes. For comments, please contact Per Ericson, Holmen's President and CEO (telephone: +46 8 666 21 00), and Göran Lundin, Holmen Paper's President (telephone: +46 11 23 50 00) between 4 and 5 p.m. this afternoon. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/2000/04/28/20000428BIT00700/bit0001.doc http://www.bit.se/bitonline/2000/04/28/20000428BIT00700/bit0002.pdf