Finnforest realigns its Central European organisation

Finnforest Baillou Deutschland will merge into the Finnforest Deutschland
business. In connection with the consolidation of Finnforest's functions in
Germany and the new structure, the Group has carried out the following
reorganisation measures, which will come into effect immediately. 

In order to ensure the carrying through and start-up of the investments for the
blockboard business, Florian Burkheiser will assume chief responsibility for
heading Finnforest's operations in Comanesti, Romania. In this capacity Mr
Burkheiser will also be in charge of the planned winding up of Schütte-Lanz's
blockboard production in Brühl and its transfer to Romania. 

The above-mentioned plan will be scheduled and revised in co-operation with the
Finnforest Deutschland organisation via a working group in which Finnforest
Baco's responsible executives are Florian Burkheiser and Lasse Mäkelä as well
as Heikki Pietiläinen from Finnforest Deutschland. 

Of the units of the present Finnforest Baillou, the unit in Poland will report
to Ole Salvén and the other units, including Finnforest Baco Romania and
Austria, to Veikko Hoikkala. Mika Peuranen has been appointed acting managing
director of Finnforest Baillou Austria. 

In accordance with the decision, Finnforest Deutschland's Brühl location will
be developed into a strong logistics and further processing centre in southern
Germany. The strategy and operational plan for the initiative is currently in
preparation and information on it will be made available promptly as soon as
the plan has been completed. 

As part of the plan for developing the Brühl location, Heikki Pietiläinen has
been named managing director of Finnforest Schütte-Lanz. Apart from this area
of responsibility, Mr Pietiläinen, as deputy managing director of Finnforest
Deutschland, will continue to exercise responsibility for the sale and
marketing of Finnforest Deutschland's products. In both capacities, Mr
Pietiläinen will report to Wolfgang Hattendorf. 

For additional information, contact

Finnforest Corporation, Plywood Division, Senior Vice President Veikko
Hoikkala, tel. +358 1046 50499 

Finnforest Deutschland GMBH, Managing Director Wolfgang Hattendorf, tel. +49
42169 11150 

Finnforest Corporation, Olli Hirvonen, Administration and Legal Affairs
Director, tel. +358 500 620 281