KCI KONECRANES PLC   STOCK EXCHANGE RELEASE   3 May, 2005 10.00 a.m.   1 (16)



All numbers according to IFRS. 2004 numbers restated and do not match previous

Strong orders growth 27.1 %, the organic growth was 12.5%
Sales growth 26.6 %, the organic growth was 15.0%
Operating profit EBIT 4.9 MEUR (Q1/2004: 0,7 MEUR)
Special Cranes profits still burdened by high costs in Western European
IFRS valuation of currency forward contracts lowered Q1 EPS to  -0.10 EUR (0.01),
The strong order intake moves full year 2005 sales growth expectation to 20% (10%
Full year EBIT margin forecasted to exceed 2004 level (2004 IFRS margin 4.3 %)

                        First quarter              LTM        LY      
 MEUR                   1-3/05 1-3/04  Change %   4/04-3/0   1-12/04 
 SALES                                            5                  
   Maintenance Services 86.2   74.5    15.7       356.3      344.6   
   Standard Lifting                                                  
   Equipment            64.0   47.0    36.4       248.3      231.2   
   Special Cranes       61.3   43.2    42.1       232.3      214.1   
   Internal Sales       -18.9  -12.4   52.3       -68.5      -62.0   
 Sales total            192.7  152.2   26.6       768.5      728.0   
 Operating income       4.9    0.7     596.6      35.5       31.3    
 Interests, net         -1.5   -0.7               -4.3       -3.5    
 Other financial income                                              
 and expenses           -5.3   0.1                -5.5       -0.1    
 Income before taxes    -1.8   0.1     -1549.0    25.7       27.7    
 Net income             -1.3   0.2     -868.0     16.9       18.4    
 Earnings per share,                                                 
 - basic                -0.10  0.01               1.20       1.31    
 - diluted              -0.10  0.01               1.19       1.29    
 ORDERS RECEIVED                                                     
   Maintenance Services 78.5   70.7    11.0       316.2      308.4   
   Standard Lifting                                                  
   Equipment            75.9   60.8    24.8       261.7      246.6   
   Special Cranes       79.3   53.3    48.7       269.7      243.7   
   Internal Orders      -16.2  -13.8   17.5       -64.3      -61.9   
 Orders Received total  217.4  171.0   27.1       783.3      736.9   
 Order book at end of                                                
 period                 351.1  234.9   49.4       -          298.8   


Currency forward contracts are mainly used to hedge the order book in Special
Cranes and the estimated cash flows in Standard Lifting. In IFRS, KCI Konecranes
has opted to value these contracts at market (i.e. not at hedged) rates, yielding
intermediate positive or negative result effects. However, as the contracts
mature at their predetermined values, the end effect for each contract is always
      2 (16)

Comments on Q1/2005:

Both orders and sales were strong in all business areas. North American organic
orders growth was 19 %. Asia-Pacific orders growth was 40 %. Western European
growth was lower, but positive. The profitability development was good in
Maintenance Services, as a larger contract base and better retention rate lifted
margins. Standard Lifting volume growth was significant, with gradually improving
margins. In Special Cranes the quarter was uneven: excellent volume growth but
still too high costs for Western European production. Group Q1/2005 EPS was
negative, which was caused by the new method of valuing currency forward
contracts in compliance with IAS 39.

Comments on full year 2005:

Continuing strong orders growth allows KCI Konecranes to increase the full year
sales growth guidance to 20 %. Approx. 50% of this growth is expected to be
organic, the rest coming from the acquisitions of SMV Lifttrucks AB and Morris
Material Handling Ltd at the end of last year. The profitability development of
the three Business Areas is expected to be uneven, as could be seen in the first
quarter. The full year 2005 EBIT margin for the Group is forecasted to exceed the
level achieved in 2004, both in IFRS and FAS terms.

General business development

(Numbers in brackets are corresponding values for the first quarter in 2004
unless otherwise indicated.) KCI Konecranes applies IFRS-standards (International
Financial Reporting Standards) as of 1 January 2005. The Group has prepared its
opening balance sheet as of 1 January 2004 and has recorded comparative
information on fiscal 2004, in compliance with effective IFRS standards at
reporting date. A separate communication was published on 19 April 2005. The same
report is available on KCI Konecranes website www.konecranes.com. All actual and
comparative numbers in this report are in accordance with IFRS unless otherwise

Group total orders received were EUR 217.4 million (171.0), up by 27.1 % compared
to Q1/2004. Orders grew in all Business Areas. The two acquisitions, SMV
Lifttrucks AB (SMV) and Morris Material Handling Ltd (MMH), during the last
quarter of 2004 contributed positively. The organic growth in orders was 12.5 %.
Geographically the order activity grew strongly in Asia-Pacific (especially in
Australia and China) and in the Americas while in Europe most of the growth was
related to acquisitions.

The Group's total order book grew to a new record level of EUR 351.1 million
(234.9), up by 49.0 % from the end of Q1/2004. There was a good sales growth in
all business areas during the first quarter, still the order book continued to
grow in all Business Areas.


Group total sales was EUR 192.7 million (152.2). The sales growth was 26.6 %. All
Business Areas reported growth. The latest acquisitions (SMV and MMH) contributed
to the growth. The organic growth was 15 %. All market areas, with the exception
of Asia-Pacific, posted growing sales numbers. In Asia Pacific sales remained at
Q1/2004 levels.

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The Group's operating income was EUR 4.9 million (0.7), which is EUR 4.2 million
more compared to Q1/2004. The corresponding figure last year was affected by EUR
2.0 million restructuring costs, which according to FAS (Finnish Accounting
Standards) were recorded already in 2003. The growth in operating income, when
adjusted for these costs, was 81.5 %. The operating income margin was 2.5 % (0.5

Detail numbers on business development and profitability is presented in the
review by Business Areas.

Financing costs net of financing income was EUR 6.8 million (0.6). The Group does
not currently apply hedge accounting, in accordance with IFRS, on derivatives
used to hedge currency exposures relating to non-euro transactions. Therefore all
derivatives are measured at fair values (revaluation at the end of each reporting
period) and recorded in the profit and loss statement. In short to medium term
fair valuation of derivatives that are used for hedging forecasted cash flows and
order book, will cause fluctuation to the Group's net income. Valuation changes
are reported in other financial income and expenses. In due course (approx. 6-12
months) as the currency forward contracts expire at their predetermined values,
the cumulative impact the result will always be zero. This does not have any
impact on cash flow.

For Q1/05 the valuation difference on hedging instruments had a negative impact
of approx. EUR 4.7 million on financing costs without any corresponding cash flow
effect. In consequence, the income after financing items is negative EUR 1.85
million (+0.1).

The Group deferred tax and income taxes were EUR +0.5 million (+0.05), based on
an estimated 31% tax rate.

Group net income was EUR -1.3 million (0.2) and earnings per share (EPS) -0.10
euros (0.01).

The Group's return on capital employed was 15.6 % counted on a last twelve
months' basis and the return on equity 13.0 % accordingly.

The profit accumulation has never been uniform between different quarters, but
there have been clear seasonal variations in earnings between different quarters.
For the whole Group the profit accumulation has typically been slow in the
beginning of the year and then accelerating towards the yearend. The seasonality
in earnings is expected to repeat itself also during the current year.

Cash flow and balance sheet

The cash flow before the change in working capital was EUR 5.0 million (3.7) or
EUR 0.35 per share (0.26).

The growth in working capital had a negative EUR 2.2 million (+13.1) impact on
the cash flow during Q1/2005. In spite of a strong sales growth, the value of
work-in-progress grew by EUR 16 million from the end of last year and with
approximately EUR 34 million compared to the end of Q1/2004. Also component and
raw-material inventories increased as a consequence of overall growth. Short-term
receivables came down from the yearend 2004, but grew year-on-year. This growth
relates to the growth in customer receivables following increased sales. This
development was balanced by growth in advance payments received and accounts
      4 (16)

The cash flow after change in working capital was EUR 2.8 million (16.8) and cash
based net investments were EUR 3.3 million (1.3).

The Group's net interest bearing debt grew to EUR 126.1 million (42.0). The
growth in working capital and the two acquisitions made at the end of last year
are the main contributors to the debt increase. The net gearing was 102.5 (30.6)
and the solidity ratio 26.4 (38.1).

The Group renewed its committed backup financial facility with the bank syndicate
during the first quarter. The size of this facility was increased from EUR 100
million to EUR 200 million. At the end of the quarter this facility was totally


The currency exchange rate changes had only marginal translational effect on
Group's orders, sales and profitability development. However, the strength of
euro especially against US-dollar had a negative effect on Group's profitability
through non-euro export from the euro-area (transactional effect).

Currency forward contracts are mainly used to hedge the order book in Special
Cranes and the estimated cash flows in Standard Lifting. In IFRS, KCI Konecranes
has opted to value these contracts at market (i.e. not at hedged) rates, yielding
intermediate positive or negative result effects. However, as the contracts
mature at their predetermined values, the end effect for each contract is always

The exchange rates of some important currencies developed as follows (the value
of one euro in other currency):

The average rates

         Q1/2005   Q1/2004    Change % 
 USD     1.3111    1.24878    -4.75    
 CAD     1.6078    1.6473     2.46     
 GBP     0.69351   0.67915    -2.07    
 CNY     10.851    10.4317    -3.86    
 SGD     2.1452    2.1154     -1.39    
 SEK     9.0751    9.1865     1.23     
 NOK     8.2381    8.6261     4.71     
 AUD     1.688     1.6327     -3.28    

The period end rates

       Q1/2005  Q1/2004  Change % Q4/2004 Change  
 USD   1.2959   1.2318   -4.95    1.3621  5.11    
 CAD   1.5736   1.6103   2.33     1.6416  4.32    
 GBP   0.68665  0.6663   -2.96    0.70505 2.68    
 CNY   10.7255  10.2974  -3.99    11.2734 5.11    
 SGD   2.1449   2.0611   -3.91    2.2262  3.79    
 SEK   9.1687   9.2231   0.59     9.0206  -1.62   
 NOK   8.195    8.408    2.60     8.2365  0.51    
 AUD   1.6803   1.6095   -4.21    1.7587  4.67    

      5 (16)

The currency rate management policy of hedging was continued. The main instrument
used was forward exchange contracts. The ultimate goal for the hedging is to
minimize risks relating to order book margins. Additionally, hedging allows time
to take actions in case of notable and relatively permanent exchange rate

Capital expenditure

The Group's capital expenditures to tangible and intangible assets were EUR 1.8
million (1.3). Most of these investments are replacement and IT investments of
their nature.


At the end of Q1/2005 the Group employed in total 4992 (4298). The increase in
personnel in large relates to acquired companies and growth in Group's Chinese

Review by Business Areas

Maintenance Services

Maintenance Services sales was EUR 86.2 million (74.5), up by 15.7 % compared to
Q1/2004. The operating income was EUR 4.6 million (2.6) and the operating income
margin 5.3 % (3.5).

The positive profit development was supported by a strong organic sales growth
(10 %), a positive contract base development and improved productivity. Also the
MMH acquisition contributed to profits.

The total order intake in Maintenance Services was EUR 78.5 million (70.7), up by
11 % compared to Q1/2004. In field services (approx. ¾ of total Maintenance
Services) orders grew by 19 % (organic growth 11 %) while the orders for large
modernizations contracted somewhat. The development was particularly good in
North America, UK and Australia.

We now have 236,809 (217,662) cranes and hoists in the annual maintenance
contract base. This is 5.3 % more compared to the end of last year and 8.8 %
higher than the corresponding figure in Q1/2004. The contract base retention rate
also improved.

The number of employees at the end of first quarter was 2816 (2541).

Standard Lifting Equipment

Standard Lifting Equipment sales was EUR 64.0 million (47.0). The growth was 36.4
% (27.4 % organic). The operating income was EUR 4.9 million (3.2) and the
corresponding profit margin 7.7 % (6.8).

The positive profitability development was supported by strong volume growth and
the benefits of the re-engineering program. On April 19, 2005 (after the end of
Q1) the Group signed an agreement to outsource manufacturing of end carriages.
This will increase the manufacturing flexibility immediately and support cost
efficient production in the longer term. As a consequence of the agreement the
Group's headcount in Finland was reduced by 70 employees.

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The growth in orders continued and accelerated from last year. The total order
intake was EUR 75.9 million (60.8), up by 24.8 % compared to Q1/2004. The organic
growth in orders was 12 %. The order book continued to grow in spite of strong
growth in sales. The value of the order backlog now stands over 40 % higher
compared to one year ago.

The number of employees was 1224 (1030). Most of the growth relates to the
acquisition of MMH.

Special Cranes

Special Cranes sales was EUR 61.3 million (43.2), up by 42.1 % compared to
Q1/2004. The organic growth was 23 %. The operating income was EUR 1.3 million
(2.4). The ramp-up in production volumes coinciding with the re-engineering meant
an increased but temporary burden on profitability during the quarter.

Profound changes within the Business Area call for increased prudence in profits
reporting. Also the strong euro is now increasingly adding to the challenge in
this Business Area. However, a single quarter performance is not indicative for
the performance of Special Cranes. Delivery times for Special Cranes typically
range between 6 months and 2 years.

The acquisition of SMV Lifttrucks AB (now SMV Konecranes) contributed to the
operating income. Integration work continues as planned.

The order intake was EUR 79.3 million (53.3), up by 48.7 % compared to Q1/2004.
The organic growth was 25 %. The order book climbed to a new record level, 50 %
higher compared to the Q1/2004 level. The inquiry activity remained at a very
high level.

The Group is determined to continue its efforts to meet its growth challenges.
The program aiming at an increase in supply and delivery efficiency continues.
The start of the new special crane hoisting trolley and component factory in
Shanghai, China is progressing as planned. Production startup is scheduled to
early autumn. As the re-engineering plan progresses the degree of purchasing or
outsourcing of production of low added value parts, structures and assemblies
will increase. There are certain operational costs related to most of these
changes. Costs normally materialize ahead of benefits.

The number of employees was 830 (610). Most of the growth in number of employes
is mainly related to Special Cranes new operations in China and the acquisition
of SMV Konecranes.

Group costs and consolidation items

Group costs, which are not charged directly to the Business Areas, mainly consist
of development costs relating to products, systems, personnel, group structure
and best practices. Also costs for Group management, legal and treasury functions
are included into Group costs.

These costs were EUR 6.0 million (7.4). The corresponding number in Q1/2004
includes restructuring costs of EUR 2.0 million, which in accordance with FAS
were reported in 2003. Therefore, for better comparison: Group overheads
increased with EUR 0.6 million over Q1/2004.

The development costs are expected to grow roughly in line with sales growth.
Total Group overheads are estimated at a level 2.5 - 3.0 % of sales.
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The most significant consolidation item is the elimination of Group internal
profits and share of associated companies' result. These items were EUR 0.0 (0.0)
during the quarter. According to IFRS Group goodwill is not amortized, only
subject to impairment tests.

The total number of Group staff was 122 (117).

Future Prospects

Continuing strong orders growth allows KCI Konecranes to increase the full year
sales growth guidance to 20 %. Approx. 50% of this growth is expected to be
organic, the rest coming from the acquisitions of SMV Lifttrucks AB and Morris
Material Handling Ltd at the end of last year. The profitability development of
the three Business Areas is expected to be uneven, as could be seen in the first
quarter. The full year 2005 EBIT margin for the Group is forecasted to exceed the
level achieved in 2004, both in IFRS and FAS terms.

Important events

The ordinary Annual General Meeting (AGM) on March 10, 2005 confirmed a dividend
of EUR 1.05 (1.00). The dividend was paid against each of the outstanding
14,099,380 shares (excl. the company's own shares). The dividend payment date was
March 22, 2005.

The AGM renewed the Board's authorisation to repurchase and transfer company's
own shares up to a maximum of 1,431,003.

The AGM re-elected Mr Björn Savén, Mr. Svante Adde, Mr Matti Kavetvuo, Mr Timo
Poranen, Mr Stig Stendahl and Mr Stig Gustavson. Ms. Malin Persson was elected
new member of the Board.

At the AGM the Board reconfirmed its intention to appoint on 17 June, 2005 Mr.
Stig Gustavson Chaiman of the Board of Directors and Mr. Pekka Lundmark,
currently Group Executive Vice President, his successor as President and CEO of
KCI Konecranes.

In its first meeting the Board of Directors re-elected Mr Björn Savén as its

The AGM reconfirmed Deloitte & Touche Oy as the company's external auditor.

On 29 March, 2005 the company informed in a stock exchange release of rotation in
Group management positions. Mr. Matti Ruotsala, previously Chief Operating
Officer, was appointed to a new position as Senior Vice President, Strategy and
Technology, to lead KCI Konecranes' long-term product and service technology
development. Mr. Mikko Uhari, President, Special Cranes, assumed the global
responsibility for all crane and component business units. Mr. Pekka Päkkilä,
President, Standard Lifting Equipment started to report to Uhari.

Mr Arto Juosila, currently Country Executive, Asia-Pacific, was appointed Group
Vice President, Administration and Business Development (incl. personnel
administration, corporate and social responsibility, risk management and business
development incl. M&A) as of September 2005. Mr. Harry Ollila, currently Group
Vice President, Business Development, and Mr. Edward Yakos, currently MD, KCI
Konecranes Australia were appointed Country Executives of Northeast Asia and
respectively Southeast Asia-Pacific as of September 2005.

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Important events after the end of the first quarter

As a continuation of KCI Konecranes internal re-engineering program that started
in 2003, KCI Konecranes entered into an agreement on 19 April, 2005 to outsource
its production of end carriages. The production will be outsourced to a new
company established by the existing management and personnel in the production
unit located in Urjala, Finland. The Group's personnel number decreased by
approximately 70 persons, who continue working for the new company. This
agreement will have no effect on KCI Konecranes financial results for the current
year. KCI Konecranes does not have an ownership stake in the new company.


In April 2005, all disputes between the Italian associated company Prim S.p.A.,
its former and present shareholders, and KCI Konecranes Group have been finally
settled. All shares held by KCI Konecranes Group in Prim S.p.A. have also been
sold. The Settlement has no material effect on the Groups results.

Share capital, share price performance and trading volume

Pursuant to KCI Konecranes Plc's stock options of the 1999 series A, 600 new
shares subscribed with the 1999A option rights were registered in the Finnish
Trade Register on 17 March, 2005.

As a result of the subscription KCI Konecranes' share capital, at the end of
March 2005, had increased to EUR 28,621,260 and the total number of shares
amounted to 14,310,630.

An additional 3,000 shares were subscribed for before the subscription period for
all 1999A options ended on 31 March 2005 (recorded in the Trade Register on 3
May, 2005). On the basis of the 1999A series option plan, an aggregate of 3,600
shares were subscribed and the share capital increased by a total of EUR 7,200.

KCI Konecranes Plc's share price decreased by 2.00 % during January-March and
closed at EUR 31.86. The period high was EUR 36.47 and period year low EUR 31.86.
The volume weighted average share price during the period was 34.65. During the
same period the HEX All-Share Index increased by 5.88 %, the HEX Portfolio Index
by 7.03 % and the HEX Metal & Engineering index by 12.36 %.

The total market capitalization at the end of March 2005 was EUR 455.9 million,
including 210, 650 own shares held by the company, the 38th largest market value
of companies listed on Helsinki Exchanges.

The trading volume totalled 5,786,801 shares of KCI Konecranes Plc, which
represents 40.4 % of the total amount of outstanding shares. In monetary terms
the trading was EUR 200.5 million, which was the 23rd largest trading volume of
all companies listed on Helsinki Stock Exchange. The daily average trading volume
was 94,866 shares representing a daily average turnover of EUR 3.3 million.

      9 (16)

The company's own shares

At the end of March 2005, KCI Konecranes Plc held 210,650 of the company's own
shares with a nominal value of 421,300 euros. This corresponds to 1.47 % of the
company's total outstanding shares and votes. The shares were bought back between
February 20 and March 5, 2003 at an average price of EUR 20.75 per share.

Important Orders

APM Terminals ordered seven new Konecranes Rubber Tyred Gantry Cranes (RTGs) for
its terminal in Los Angeles, USA. This was the first order for Konecranes RTGs
from a port terminal on the US West Coast.

Siemens A/G ordered 18 Industrial Cranes and a 200 Ton lifting beam for the Al
Ezzel power plant in Bahrain and 14 Industrial Cranes for the Ras Laffan power
plant in Qatar.

Siemens ordered a 180T Turbine Hall Crane for its greenfield coal fired power
plant project in Kogan Creek, near Brisbane in Australia.

Lurgi Lentjes AG in Düsseldorf, Germany placed an order for a 130T Powerhouse
crane to be used for erection and maintenance of the gas turbine at the RWE power
plant project VGT Weissweiler.

Rocksavage Power Company ordered for it's power plant near Liverpool, UK, an 80t
Goliath crane to run on an outdoor elevated runway alongside a previously
delivered 125t Konecranes Goliath crane.

Huizhou Hydro PSP ordered six Process Cranes for its pump storage power plant
located in Huizhou City in southern China.

Bechtel Corporation ordered a Coke Handling Bucket Crane for the Conoco Phillips
Refinery in Borger, Texas, USA.

Stomana Steel of Bulgaria ordered three Process Cranes to be used for Steel
Billet Handling.

Corus of UK ordered a Semi automated, semi-goliath crane for Hartlepool steel
works to handle plate steel on a vacuum beam into an automated plate cutting

Krupp Stainless placed a repeat order for the delivery of three Process Cranes to
be used for steel coil handling at their plant in Shanghai.

Pec Tech Indonesia (part of APRIL Group) has ordered two units of 100T production
cranes for its paper mill operation in Kerinci, Sumatra, Indonesia.

Aker Kvaerner of Santiago, Chile ordered 8 Process Cranes for their San Cristobal
Silver Mine in southern Bolivia.

Toyota of Argentina ordered a heavy duty Process crane for their stamping plant
near Buenos Aires.

Takenaka ordered five stamping plant cranes for Toyota Toyotomi and Toyota
Boschoku in Valencienne, France.

      10 (16)

Wallbridge Aldinger/Barlett Cocke ordered four Heavy Duty process cranes to be
used in manufacturing and for automotive die handling and five special wall
traveling jib cranes for tool maintenance at the new Toyota automotive
manufacturing plant in San Antonio Texas, USA.

Inova ordered two waste for energy cranes and one slag handling crane for a
refuse handling plant in Dunkerque, France.

Helsinki, 3 May 2005
Board of Directors


Certain statements in this report are forward looking and are based on
management's expectation at the time they are made. Therefore they involve risks
and uncertainties and are subject to change due to changes in general economic or
industry conditions.

Statement of Income (MEUR)

                                  1-3/2005   1-3/2004   1-12/2004   
 Sales                            192.7      152.2      728.0       
 Share of result of participating                                   
 interest undertakings            0.0        0.0        0.0         
 Depreciation                     -3.6       -3.1       -12.4       
 Impairment                       0.0        0.0        -1.2        
 Other operating expenses         -184.1     -148.4     -683.1      
 Operating income                 4.9        0.7        31.3        
 Interests, net                   -1.5       -0.7       -3.5        
 Other financial income and                                         
 expenses                         -5.3       0.1        -0.1        
 Income before taxes              -1.8       0.1        27.7        
 Taxes                            0.5 (1     0.1 (1     -9.2        
 Net Income for the period        -1.3       0.2        18.4        
 Earnings per share,  EUR                                           
 -basic                           -0.10      0.01       1.31        
 -diluted                         -0.10      0.01       1.29        

1) According to estimated tax rate

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Consolidated Balance Sheet (MEUR)

                             3/2005        3/2004     12/2004     
 Fixed Assets                111.9         89.4       112.1       
 Inventories                 135.1         83.2       114.1       
 Receivables and other                                            
 current assets              253.0         202.3      267.0       
 Cash in hand and at banks   21.6          18.2       20.7        
 Total assets                521.6         393.1      513.9       
 Equity                      123.1         137.2      137.7       
 Provisions                  16.6          16.5       17.5        
 Long-term debt              26.2          49.3       24.8        
 Current liabilities         355.7         190.2      334.1       
 Total shareholders' equity                                       
 and liabilities             521.6         393.1      513.9       
 Gearing %                   102.5         30.6       80.2        
 Solidity  %                 26.4          38.1       29.1        
 Return on capital employed                                       
 %,  Last Twelve Months      15.6          *          15.9        
 Equity/share, EUR           8.73          9.77       9.76        

* The year 2003 figures were reported only according to FAS

Net Interest bearing liabilities (MEUR)

                                3/2005      3/2004     12/2004     
 Long- and short-term                                              
 interest-bearing liabilities   -148.2      -60.3      -131.4      
 Cash and cash equivalents and                                     
 other interest bearing assets  22.1        18.3       21.0        
 Total                          -126.1      -42.0      -110.4      

Consolidated cash flow (MEUR)

                             1-3/2005    1-3/2004    1-12/2004    
 Free Cash flow              5.0         3.7         30.9         
 Change in working capital   -2.2        13.1        -23.1        
 Cash flow from operations   2.8         16.8        7.8          
 Net Investments             -3.3        -1.3        -38.2        
 Cash flow before financing  -0.5        15.5        -30.4        
 Change in debt, increase                                         
 (+), decrease (-)           15.8        3.4         66.5         
 Dividend paid               -14.8       -14.0       -28.1        
 Correction items (1         0.4         0.2         -0.4         
 Net financing               0.9         5.1         7.5          
 Cash in hand and at banks                                        
 at beginning of period      20.7        13.2        13.2         
 Cash in hand and at banks                                        
 at end of period            21.6        18.2        20.7         
 Change in Cash              0.9         5.1         7.5          

1) Translation difference in cash in hand and at banks

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Statement of changes in Shareholders' Equity ( MEUR)

                 Share   Other      Minority Translation Retained Total   
                 Capital Restricted Interest Difference  Earnings Equity  
 Equity 12/2003  28.6    21.8       0.1      -5.7        105.5    150.3   
 distribution                                            -14.0    -14.0   
 Change in                                                                
 reserves                                                0.1      0.1     
 difference                                  -0.6                 -0.6    
 Share based                                                              
 against equity                                          0.2      0.2     
 Other changes                               0.6         0.3      0.9     
 Net profit for                                                           
 the period                                              0.2      0.2     
 Equity 3/2004   28.6    21.8       0.1      -5.7        92.3     137.2   
 Equity 12/ 2004 28.6    22.3       0.1      -6.1        92.7     137.7   
 distribution                                            -14.8    -14.8   
 Change in                                                                
 reserves                                                0.4      0.4     
 difference                                  1.0                  1.0     
 Share based                                                              
 against equity                                          0.2      0.2     
 Net profit for                                                           
 the period                                              -1.3     -1.3    
 Equity 3/ 2005  28.6    22.3       0.1      -5.1        77.2     123.1   

Contingent Liabilities and Pledged Assets (MEUR)

                                  3/2005   3/2004     12/2004  
 Mortgages and pledged assets                                  
   For own debts                  5.9      5.9        5.9      
   For commercial guarantees      0.3      0.7        0.3      
 Own commercial guarantees        111.3    144.5      101.5    
 For associated company's debt    0.8      0.8        0.8      
 For others                       0.1      0.1        0.1      
 Leasing liabilities              24.6     16.7       22.5     
 Other liabilities                1.2      1.3        1.2      
 Total                            144.2    170.0      132.3    

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Notional Amounts of Derivative Financial Instruments (MEUR)

                     3/2005      3/2005     3/2004      12/2004    
                     Nominal     Market     Nominal     Nominal    
                     value       value      value       value      
 Foreign exchange                                                  
 forward contracts   465.0       10.2       481.6       538.5      
 Interest rate swap  25.0        0.6        25.0        25.0       
 Currency options    0.0         0.0        157.1       0.0        
 Total               490.0       10.8       663.7       563.5      

Derivatives are used for currency and interest rate hedging only. The notional
amounts do not represent amounts exchanged by the parties and are thus not a
measure of the exposure. The hedged orderbook represents approximately one half
of the total notional amounts.

Investments  ( MEUR)

                                   1-3/2005   1-3/2004   1-12/2004  
 Investment total                                                   
 (excl.acquisitions of             1.8        1.3        11.8       

Reconciliation of net income  ( MEUR)

                             1-3/2004       1-12/2004     
 Net income according to FAS 1.3            23.0          
 Reversal of amortization of                              
 goodwill, IFRS 3 and IAS 36 0.6            2.6           
 Impairment, IAS 36          0.0            - 1.2         
 Employee benefits, IAS 19   - 0.2          - 1.1         
 Stock options, IFRS 2       - 0.2          - 0.8         
 Income taxes, IAS 12        0.7            1.5           
 Provisions, IAS 37          - 2.0          - 5.4         
 Other IFRS adjustments      0.0            - 0.2         
 Total IFRS adjustments      - 1.1          - 4.6         
 Net income according to     0.2            18.4          

Reconciliation of shareholders' equity  (MEUR)

                               12/2003     3/2004     12/2004     
 Equity according to FAS       163.4       151.6      157.9       
 IFRS adjustments:                                                
 Reversal of amortization of                                      
 goodwill, IFRS 3 and IAS 36   0.0         0.6        2.6         
 Impairment, IAS 36            - 0.1       - 0.1      - 1.3       
 Employee benefits, IAS 19     - 15.0      - 15.2     - 16.1      
 Reserve for own shares, IAS   - 5.5       - 5.5      - 4.4       
 Income taxes, IAS 12          3.8         4.5        5.3         
 Provisions, IAS 37            5.4         3.4        0.0         
 Minority interest. IAS 1      0.1         0.1        0.1         
 Changes in accounting policy,                                    
 IAS 8                         0.0         0.0        - 4.9       
 Other IFRS adjustments        - 1.8       - 2.2      - 1.5       
 Total IFRS adjustments        - 13.1      - 14.4     - 20.2      
 Equity according to IFRS      150.3       137.2      137.7       

      14 (16)

Segment reporting:

Sales by Business Area (MEUR)
                           1-3/2005  1-3/2004  LTM*     1-12/2004 
 Maintenance Services      86.2      74.5      356.3    344.6     
 Standard Lifting          64.0      47.0      248.3    231.2     
 Special Cranes            61.3      43.2      232.3    214.1     
 ./. Internal              -18.9     -12.4     -68.5    -62.0     
 Total                     192.7     152.2     768.4    728.0     

* LTM = last 12 months (full year 2004 ./. three months 2004 + three months 2005)

Operating Income by Business Area (MEUR)

                     1-3/2005     1-3/2004    1-12/2004     LTM*    
                     MEUR    %    MEUR   %    MEUR   %     MEUR    
 Maintenance         4.6     5.3  2.6    3.5  22.1   6.4   24.1    
 Standard Lifting                                                  
 Equipment           4.9     7.7  3.2    6.8  20.7   9.0   22.4    
 Special Cranes      1.3     2.2  2.4    5.5  15.9   7.4   14.9    
 Group costs         -6.0         -7.4        -27.3        -25.9   
 Consolidation items 0.0          0.0         -0.1         -0.1    
 Total               4.9          0.7         31.3         35.5    

* LTM = last 12 months (full year 2004 ./. three months 2004 + three months 2005)

Personnel by Business Area (at the End of the Period)

                               3/2005     3/2004   12/2004 
 Maintenance Services          2.816      2.541    2.685   
 Standard Lifting Equipment    1.224      1.030    1.028   
 Special Cranes                830        610      675     
 Group staff                   122        117      123     
 Total                         4.992      4.298    4.511   
 Average number of personnel                               
 during period                 4.752      4.324    4.369   

Order Intake by Business Area (Excl. Service Contract Base) (MEUR)

                            1-3/2005 1-3/2004 LTM*     1-12/2004  
 Maintenance Services       78.5     70.7     316.2    308.4      
 Standard Lifting Equipment 75.9     60.8     261.7    246.6      
 Special Cranes             79.3     53.3     269.7    243.7      
 ./. Internal               -16.2    -13.8    -64.3    -61.9      
 Total                      217.4    171.0    783.3    736.9      

* LTM = last 12 months (full year 2004 ./. three months 2004 + three months 2005)

Order Book (Excl. Service Contract Base)  (MEUR)

                      3/2005     3/2004     12/2004     
 Order Book total     351.1      234.9      298.8       

      15 (16)

Sales by Market (MEUR)

                           1-3/2005 1-3/2004 LTM*    1-12/2004  
 Nordic and Eastern Europe 37.9     29.7     149.0   140.9      
 EU (excl. Nordic)         66.0     43.6     245.0   222.5      
 Americas                  55.3     45.3     225.1   215.1      
 Asia Pacific              33.5     33.6     149.3   149.4      
 Total                     192.7    152.2    768.4   728.0      

* LTM = last 12 months (full year 2004 ./. three months 2004 + three months 2005)

Events on May 3, 2005

Analyst and press briefing

A luncheon presentation for media and analysts will be held at Helsinki World
Trade Center, Marski Hall at 12.00 noon Finnish Time (address Aleksanterinkatu

Live webcast

A live webcast of the presentation will begin at 12.00 noon Finnish Time and can
be followed at www.konecranes.com/investor.

Telephone conference

A telephone conference for analysts and investors, in English, will begin at 4.00
p.m. Finnish Time (2.00 p.m. UK Time). Please call in at 3.50 p.m. The dial-in
number is +44-20 7162 0181 (replay available for 48 hours at +44-20 7031 4064,
code 631239).


This report and graphic material is available on the Internet at
www.konecranes.com/investor immediately after publication. A recording from the
webcast presentation and teleconference will be available on the Internet later
on May 3.

Next report

Interim report, 2nd quarter, will be published on 4 August, 2005 at 10.00 a.m.
Finnish time (8.00 a.m. London time).


A graphical presentation of this report is available on the Internet at

      16 (16)


Franciska Janzon
IR Manager

Mr Stig Gustavson, President & CEO, tel. +358-20 427 2000,
Mr. Pekka Lundmark, Group Executive Vice President, tel. +358-20 427 2005
Mr Teuvo Rintamäki, Chief Financial Officer, tel. +358-20 427 2040,
Ms Franciska Janzon, IR Manager, tel. +358-20 27 2043

Helsinki Stock Exchange