KLIPPAN acquires Stora Enso Mölndal

KLIPPAN expands - acquires Stora Enso Mölndal KLIPPAN AB, with paper mills at Klippan and Lessebo, is expanding and acquiring Stora Enso Mölndal AB. KLIPPAN will thus become the leading supplier of coloured fine paper in Europe and will also widen the range with fully coated fine paper for graphic use. KLIPPAN and Mölndal have the same specialization with production of office paper and paper for the graphic industry, of which nearly 80 per cent is exported, mainly to Europe. KLIPPAN, with a staff of just over 500, recorded a turnover of MSEK 866 in 2001 and achieved a profit after financial items of MSEK 33. Mölndal has just over 400 members of staff and had a turnover of MSEK 725 in 2001. "With the three mills we can refine the production and improve logistics by specializing at each production unit", says Bengt Östensson, President of KLIPPAN. "We are widening the range, both with products that are new to us and with more trademarks. In this way we can become an even more extensive supplier to the paper wholesalers. We are pleased to be able to take this pro-active step following the last years' focus on cost control. The expansion is an important step in the development of KLIPPAN, which has shown positive results for the last two years." For Mölndal, the deal means the arrival of an owner whose strategy is well in line with the unit's specialization on graphic speciality paper. "For some time, Stora Enso has been looking for a suitable buyer for the mill, where Mölndal's quality products will be favourably developed. We are convinced that KLIPPAN AB is the right environment for the unit", says Stig Johansson, Senior Vice President, Stora Enso. KLIPPAN is paying MSEK 75 for the shares in Stora Enso Mölndal AB and will take over loans in the company. A series of switches of production between mills is planned during the year and will involve considerable rationalization. After the planned restructuring, the annual synergies are expected to amount to approximately MSEK 40. The completion date for take-over is planned for 2 April 2002. KLIPPAN AB Bengt Östensson President/CEO For further information, please contact: Bengt Östensson, President KLIPPAN AB, tel +46(0)435 291 01, mobile +46(0)0705 95 86 27 Bjarne Björk, President Stora Enso Mölndal AB, tel +46(0)31 67 51 10, mobile +46(0)705 67 14 23 ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/03/21/20020321BIT00120/wkr0001.doc http://www.waymaker.net/bitonline/2002/03/21/20020321BIT00120/wkr0002.pdf