Negotiations concerning the acquisition of French paper mill broken off

International Paper Europe has informed that they are breaking off the negotiations regarding KLIPPAN’s possible acquisition of the French paper mill Papeteries de Maresquel. The parties will have the opportunity to restart negotiations during the autumn of 2005. Negotiations in accordance with the law on co-determination at work regarding the closing down of Mölndal Mill have begun. The work of selling KLIPPAN’s real estate at Mölndal and the planned new share issue are continuing in order to improve the financial basis for the company. Board member deceased It is with great sorrow that KLIPPAN’s management and Board must inform that our deputy Board member Gunnar Bergstrand has died. Ahead of the annual general meeting, Bergstrand was nominated as ordinary Board member. For further information, please contact Thomas Billing, MD, on tel: +46 (0)435 - 291 01, +46 (0)70 - 585 08 98.