Metsäliitto Group Interim Report 1 January - 31 March 2010
Metsäliitto Group's operating result excluding non-recurring items was EUR 96
million
Result for the first quarter of 2010
- Sales EUR 1,224 million (1-3/2009: EUR 1,278 million).
- Operating result excluding non-recurring items was EUR 96 million (-67), that
is
7.8% of sales (-5.2). Operating result including non-recurring items was EUR 105
million (‑137).
- Result before tax, excluding non-recurring items, was EUR 55 million (-93).
Result before tax, including non-recurring items, amounted to EUR 64 million
(-163).
Events in the first quarter
- On 25 January 2010, and due to the company's strong liquidity, M-real
exercised
its right to partial early redemption of its senior floating rate notes maturing
in December. The outstanding nominal amount before the redemption was
approximately EUR 340 million. The total par value of redemption was EUR 250
million.
- On 15 February 2010, Metsäliitto launched a capital programme with the aim of
using the funds accrued mainly for financing new business operations.
- The sale of the blockboard mill in Romania to the Austrian company
Holzindustrie
Schweighofer was completed.
- Completely new causticization and water stations were decided to be
constructed
in the Kemi pulp mill. The total value of the investment is approximately EUR 40
million and the new stations will be in use towards the end of 2011.
“The positive effects of successful restructuring and the streamlining measures
carried out in different parts of the Group are now starting to show in our
result. Development in the areas we selected as our core operations has been
promising, and the increased pulp prices and the growth in demand for board
indicate that the road we chose was the right one. Even though our result has
improved, it is still not sufficiently good. We will continue our determined
work to strengthen our performance.”
Kari Jordan, President & CEO, Metsäliitto Group
Metsäliitto Group
--------------------------------------------------------------------------------
| Income statement | 2010 | 2009 | 2009 |
| (Continuing operations) | 1-3 | 1-3 | 1-12 |
--------------------------------------------------------------------------------
| Sales | 1 224 | 1 278 | 4 837 |
--------------------------------------------------------------------------------
| Other operating income | 31 | 42 | 353 |
--------------------------------------------------------------------------------
| Operating expenses | -1 073 | -1 342 | -4 858 |
--------------------------------------------------------------------------------
| Depreciation and impairment losses | -78 | -116 | -501 |
--------------------------------------------------------------------------------
| Operating result | 105 | -137 | -169 |
--------------------------------------------------------------------------------
| Share of results in associates | -6 | -2 | -16 |
--------------------------------------------------------------------------------
| Exchange gains and losses | -2 | -2 | 2 |
--------------------------------------------------------------------------------
| Other net financial items | -34 | -20 | -147 |
--------------------------------------------------------------------------------
| Result before income tax | 64 | -163 | -329 |
--------------------------------------------------------------------------------
| Income tax | -24 | 19 | 10 |
--------------------------------------------------------------------------------
| Result from continuing operations | 40 | -144 | -318 |
--------------------------------------------------------------------------------
Metsäliitto Group
--------------------------------------------------------------------------------
| Profitability | 2010 | 2009 | 2009 |
| (Continuing operations) | 1-3 | 1-3 | 1-12 |
--------------------------------------------------------------------------------
| Operating result, EUR mill. | 105 | -137 | -169 |
--------------------------------------------------------------------------------
| - “ -, excluding non-recurring items | 96 | -67 | -75 |
--------------------------------------------------------------------------------
| - “ - % of sales | 7.8 | -5.2 | -1.6 |
--------------------------------------------------------------------------------
| Return on capital employed, % | 10.0 | -10.1 | -3.3 |
--------------------------------------------------------------------------------
| - ” -, excluding non-recurring items | 9.1 | -4.7 | -1.4 |
--------------------------------------------------------------------------------
| Return on equity, % | 11.0 | -34.0 | -20.0 |
--------------------------------------------------------------------------------
| - ” -, excluding non-recurring items | 8.6 | -17.5 | -13.4 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Financial position | 2010 | 2009 | 2009 |
| | 31.3. | 31.3. | 31.12. |
--------------------------------------------------------------------------------
| Equity ratio, % | 27.1 | 24.8 | 24.5 |
--------------------------------------------------------------------------------
| Net gearing ratio, % | 151 | 167 | 157 |
--------------------------------------------------------------------------------
| Interest-bearing net liabilities, EUR | 2 241 | 2 666 | 2 203 |
| mill. | | | |
--------------------------------------------------------------------------------
Business segments
--------------------------------------------------------------------------------
| Sales | Wood | Wood | Pulp | Board | Tissue |
| and | Supply | Products | Industry | and | and |
| Operating | | Industry | | Paper | Cooking |
| result | | | | Industry | Papers |
| January - | | | | | |
| March 2010 | | | | | |
| (EUR mill.) | | | | | |
--------------------------------------------------------------------------------
| Sales | 333 | 192 | 288 | 602 | 225 |
--------------------------------------------------------------------------------
| Other | 3 | 2 | 5 | 25 | 1 |
| operatin | | | | | |
| g | | | | | |
| income | | | | | |
--------------------------------------------------------------------------------
| Operating | -328 | -187 | -215 | -545 | -197 |
| expe | | | | | |
| nses | | | | | |
--------------------------------------------------------------------------------
| Depreciation | -1 | -9 | -21 | -33 | -10 |
| & impairment | | | | | |
| losses | | | | | |
--------------------------------------------------------------------------------
| Operating | 7 | -2 | 57 | 49 | 19 |
| resu | | | | | |
| lt | | | | | |
--------------------------------------------------------------------------------
| Non-recurring | - | 2 | - | -10 | - |
| items | | | | | |
--------------------------------------------------------------------------------
| Operating | 7 | 0 | 57 | 39 | 19 |
| result | | | | | |
| excl. | | | | | |
| non-recu | | | | | |
| rring | | | | | |
| items | | | | | |
--------------------------------------------------------------------------------
The figures are unaudited
METSÄLIITTO GROUP
INTERIM REPORT 1 JANUARY - 31 MARCH 2010
Sales and result
Metsäliitto Group's sales for the first quarter were EUR 1,224 million
(1-3/2009: EUR 1,278 million). The reference period figure includes, among other
things, Metsä-Botnia's Uruguay operations and the share from Vapo Oy. During the
reference period, the impact of these divested operations on the sales was
approximately EUR 145 million.
Operating result excluding non-recurring items was EUR 96 million (-67), that is
7.8% of sales (-5.2). The net non-recurring items amounted to EUR 9 million
(-70), of which EUR 10 million was associated with a cancelled cost provision,
EUR 1 million with the sale of the blockboard mill in Romania and EUR -2 million
with the closedown of a sawmill in Kyröskoski. Non-recurring items in the
reference period were associated with Metsä-Botnia's Kaskinen mill closure
(-40), M-real's Hallein paper mill closure
(-28) and the streamlining programme
of M-real's sales network (-2).
Operating result without non-recurring items was significantly better than in
the corresponding period of the previous year and in the previous quarter
(Q4/09: 44). Positive profit development was due to the general recovery of the
market situation, the implemented cost savings and increased pulp prices.
Metsäliitto Group's operating result including non-recurring items was EUR
105
million (-137). Financial income amounted to EUR 2 million (10), the share from
associates was EUR -6 million (-2) and financial expenses totalled EUR 36
million (31). The financial items of the reference period include a profit of
about EUR
31 million from redemption of senior floating rate notes maturing in
December 2010. Net exchange gains/losses recognised in financial items were EUR
-2 million (-2).
The average year-over-year weakening of the US dollar was 6% in the first
quarter, while the British pound strengthened by 2% and the Swedish krona by 9%.
Compared to the end of 2009, the dollar has strengthened by about 6% and the
krona by about 5%. During the first quarter, the exchange rate of pound sterling
compared to the euro has been relatively stable.
The result before tax was EUR 64 million (-163) and taxes, including changes in
deferred tax liabilities, totalled EUR -24 million (19). The result for
continuing operations was EUR 40 million (-144), the result for discontinued
operations was EUR 0 million (-10) and the total result for the financial period
was EUR 40 million
(-153).
The Group's return on capital employed for continuing operations was 10.0%
(-10.1) and the return on equity was 11.0% (-34.0). Excluding non-recurring
items, the return on capital employed was 9.1% (-4.7) and the return on equity
was -8.6% (-17.5).
Balance sheet and financing
Metsäliitto Group's total liquidity was EUR 1.1 billion at the end of March
(31 December 2009: 1.4). Of this, EUR 0.2 billion (0.6) was in liquid assets and
investments, and EUR 0.9 billion (0.8) was in off-balance-sheet binding credit
facilities. During the review period, M-real and Metsä-Botnia paid off
approximately EUR 330 million of their loans. In addition, the Group can satisfy
short-term financial needs with non-binding commercial paper schemes in Finland
and abroad as well as with credit limits amounting to approximately EUR 0.5
billion. The parent company Metsäliitto Cooperative's loans of EUR 460 million,
due in March 2011, have been transferred in the Group's consolidated balance
sheet of March 31, 2010 from non-current to current liabilities.
The Group's equity ratio in March was 27.1% and net gearing was 151%
(31 December 2009: 24.5% and 157%, respectively). Interest-bearing net
liabilities stood at EUR 2,241 million (31 December 2009: EUR 2,203 million).
The equity ratio of the parent company, Metsäliitto Cooperative, was 57.2% at
the end of March and net gearing ratio was 51% (31 December 2009: 57.2% and 50%,
respectively).
Metsäliitto Cooperative's members' capital grew by EUR 20.9 million in January -
March. The actual members' capital grew by EUR 0.4 million, the additional
members' capital A by EUR 3.7 million and the additional members' capital B by
EUR 5.4 million. Between 15 February and 31 March, new additional members'
capital C was subscribed for EUR 11.3 million. At the end of March, Metsäliitto
Cooperative had 126,499 members (31 December 2009: 127,158).
Metsäliitto Cooperative's Supervisory Board will make a proposal to Metsäliitto
Cooperative's Representative Council, convening today on 5 May 2010, to the
effect that the Council should decide to pay 5.5% (5.5) of interest on the
subscribed members' capital, 5.0% (5.0) on the additional A series capital and
4.5% (4.5) on the additional B series capital for 2009. Thus, the interest on
members' capital for 2009 would total EUR 35.6 million (37.4).
Capital programme
In January, Metsäliitto announced that it will launch a capital programme with
the purpose of strengthening its equity to correspond to the company's current
and future business structure. The assets to be accrued will be mainly used for
financing new business operations.
In the context of the programme, Metsäliitto issued a new additional members'
capital C, on the basis of which the owners can, in addition to interest on
members' capital, gain additional profit as cash payments. The sum of the
payments depends on the future exchange rate of M-real Corporation's B share on
the Helsinki Stock Exchange. The maximum total amount of the members' capital C
is EUR 30 million. The subscription period began on 15 February 2010 and will
end on 14 May 2010.
The prospectus is available in Finnish and Swedish at www.paaomaohjelma.fi and,
by request, from Metsäliitto and from OP Pohjola Group's and Helsingin OP Pankki
Oyj's branches.
Personnel
The Group had an average of 12,978 employees (15,497) during the first quarter.
At the end of March, the number of personnel in the Group was 12,927
(31 December 2009: 13,592). The parent company, Metsäliitto Cooperative, had
2,286 employees at the end of March (31 December 2009: 2,248).
From the beginning of 2010, the Group has been reporting the number of personnel
as FTE (Full Time Equivalent). Previously, the NOE (Number of Employees)
indicated the number of people employed by the Group, but FTE measures presence
and indicates the number of personnel attending work. Reference figures have
been converted to correspond to the new practice.
Investments
Metsäliitto Group's gross capital expenditure totalled EUR 15 million (35).
In February, Metsä-Botnia's Board of Directors made a decision on major
renovation investments at the Kemi mill. Completely new causticization and water
stations will be constructed in the mill area. The total value of the investment
is approximately EUR 40 million. The negotiations for main equipment will be
started immediately, and
according to a preliminary project plan, the construction will begin in October
2010. The new stations will be in use towards the end of 2011.
Business areas
Wood Supply
Wood Supply sales in January-March were EUR 333 million (327) and the operating
result amounted to EUR 7 million (5). Non-recurring items are not included in
the operating result. Wood Supply Finland accounted for EUR 237 million (246) of
the sales and for EUR 4 million (4) of the operating result.
Metsäliitto's new Wood Supply organisation commenced work at the beginning of
the year. Wood Supply has been organised into four business lines: Wood Supply
Finland, International Wood Supply, Wood Energy, and Forestry Services.
As the supply decreased after the turn of the year, wood sales in Finland were
sluggish during the first quarter. The prices for both log timber and pulpwood
were on the increase, with the exception of spruce pulpwood. Metsäliitto Wood
Supply fell considerably short of its wood procurement target for the period. At
the beginning of the year, the demand was particularly strong for stands
dominated by softwood logs as well as for aspen and birch pulpwood. Towards the
end of the review period, there was also an increase in the demand for softwood
fibre. Wood energy deliveries were carried out as planned, and, thanks to a
number of new supply contracts, Metsäliitto strengthened its position as a
supplier of wood energy.
The development of Metsäliitto's member services continued. The new services
include a tax return application in the Metsäverkko online service and a
possibility to obtain a custom-made forestry plan. A branch in Oulu was opened
to serve forest owners living in the city and the neighbouring municipalities.
Due to the increased demand for forestry services, Metsämannut Oy hired new
resources.
In Russia and the Baltic countries, the demand for wood exceeded the supply. In
Russia, the favourable harvesting conditions increased wood supply to an extent,
but the harvested volume remained small due to wood export duties. In the Baltic
countries, the majority of wood available for sales was from state-owned
forests. Both areas saw an increase particularly in log timber prices towards
the end of the review period. The prices of log timber rose due to heavy demand
in Sweden and Central Europe as well.
The entire delivery volume of Metsäliitto Wood Supply to production plants in
the first three months of the year was 7.5 million cubic metres (6.9).
Wood Products
The sales of Metsäliitto Wood Products Industry amounted to EUR 192 million
(202), while operating result was EUR -2 million (-25). The operating result was
weakened particularly by the non-recurring costs caused by the closure of the
Kyröskoski sawmill and the sales postponed until the second quarter due to the
stevedore strike. Operating result for the review period excluding non-recurring
items was EUR 0 million (-25). The largest single factor behind the improved
result is the increase in the price of sawn timber.
As a whole, the market situation in Wood Products Industry was slightly improved
during the first quarter. However, the cold and snowy winter throughout Europe
had a negative impact on demand. Prices for sawn timber increased, but demand
remained low.
In the transport equipment industry, demand also remained low, but some signs of
recovery were observed at the end of the review period. Due to the earthquake in
Chile, the supply for softwood plywood went down, which improved the market
position of European producers. Curtailements in the production of birch plywood
had to be continued.
Customer orientation in the Wood Products Industry's business operations
increased as the sales of products and services were reorganised by customer
segments. Customers are now divided into six segments: construction industry,
transport industry, woodworking industry, planning industry, retail, and
relationship merchants.
The sale of the blockboard mill in Romania to the Romanian subsidiaries of
Holzindustrie Schweighofer was completed.
Pulp
During the first quarter of 2010, Metsä-Botnia's sales increased by 45% compared
to the corresponding period last year and amounted to EUR 288 million (199).
Operating result excluding non-recurring items was EUR 57 million (-52). The
considerable improvement of sales and the operating result were due to the
recovery of the market situation and a positive price trend for pulp. Foreign
currency-denominated market prices for both softwood and hardwood pulp were, on
average, 46% higher compared to the first quarter of the previous year.
The positive trend in the pulp price has continued during the first months of
2010. The price for softwood pulp in Europe was USD 830 at the beginning of the
review period, and USD 890 at the end of the same period. The respective prices
for birch pulp were USD 730 and USD 790.
Both customers and producers have very low stock levels. The production downtime
in pulp mills in Chile due to the earthquake further weakened the situation, and
the impact will continue to be reflected in the pulp market during the second
quarter. The heavy rains in the southern parts of the United States have caused
a wood shortage for the pulp mills in the area, contributing to the decreased
pulp supply.
On 3 February 2010, Metsä-Botnia's Board of Directors made a decision on major
renovation investments at the Kemi mill. Completely new causticization and water
stations will be constructed in the mill area. The new stations will improve the
reliability of the mill and decrease its environmental impact. The total value
of the investment is approximately EUR 40 million. According to a preliminary
project plan, the construction will begin in October 2010, and the new stations
will be in use towards the end of 2011.
Pulp Industry (Metsä-Botnia) has been consolidated in the financial statements
of Metsäliitto Group as a subsidiary from 8 December 2009 onwards. Before that,
53% of Metsä-Botnia had been consolidated using the proportional consolidation
method (M-real 30% and Metsäliitto 23%).
Metsä-Botnia has processed the business operations in Uruguay as discontinued
operations in accordance with the IFRS 5 standard. For this reason, the Uruguay
operations are not included in the sales and operating result figures presented
above for 2009.
Board and Paper
The sales of Board and Paper totalled EUR 602 million (623), and the operating
result excluding non-recurring items was EUR 39 million (-65). The most
important factors behind the improved result were the increased delivery volumes
due to recovered demand, the higher pulp price and the implemented cost savings
measures.
The January-March operating result includes a non-recurring item of EUR 10
million brought about by the cancellation of IT cost provisions registered at
the end of 2008. Non-recurring items for the reference period were EUR -53
million, mostly associated with the closures of the Hallein paper mill and
Metsä-Botnia's Kaskinen mill.
The operating result including non-recurring items was EUR 49 million (-118).
Net interest and other financial expenses totalled EUR -16 million (4), the
share from associates was EUR -2 million (-1) and net exchange gains/losses
recognised as financial items were EUR -6 million (0).
The result before tax was EUR 25 million (-115), earnings per share were EUR
0.06 (-0.32) and return on capital employed was 9.1% (-13.4). Excluding
non-recurring items, the result before taxes was EUR 15 million (-62), earnings
per share were EUR 0.03 (-0.18) and the return on capital employed was 7.3%
(-7.0).
At the end of March, M-real's equity ratio was 32.7% and net gearing amounted to
86% (31.12.2009: 29.6% and 84%, respectively). In some of M-real's loan
agreements, a limit of 120% has been set for gearing and a limit of 30% for the
equity ratio. At the end of March, gearing calculated in the manner defined in
the loan agreements was approximately 65% and the equity ratio about 38%.
On 25 January 2010, M-real exercised its right to partial early redemption of
its senior floating rate notes maturing in December. The outstanding nominal
amount before the redemption was approximately EUR 340 million. The total par
value of redemption was EUR 250 million.
Tissue and Cooking Papers
The sales of Metsä Tissue, producer of tissue and cooking papers, were EUR
225
million (218). The increased sales were mostly due to larger sales volumes. The
sales of Metsä Tissue's own brands, for example, increased by 11% in comparison
with the previous year.
The operating result was EUR 19 million (19). It was positively affected by
volume trends, changes in exchange rates and the sales structure that set off
the negative impact of increased prices of raw materials, pulp and recycled
paper. Exceptionally severe winter conditions and strikes caused additional
costs. The operating result does not include non-recurring items.
Metsä Tissue continued to invest in its own brands. In January, the new design
patterns of the Lambi Limited Collection product concept were introduced in the
markets of the Nordic and Baltic Countries, Eastern Europe and Russia.
During the review period, the Board of Directors of Metsä Tissue made investment
decisions on a company-wide overhaul of the enterprise resource planning, the
maintenance system and the associated processes. During the last two years,
Metsä Tissue has redefined its key processes. The objective is to gradually
abandon the several different ERPs currently in use and to adopt a single
universal system and universal practices.
Pulp's price development and availability, the exceptional weather conditions,
the stevedore strike in Finland and the paper workers' strike in Sweden made the
first quarter of 2010 challenging for Metsä Tissue. Nevertheless, the
preparatory measures as well as the response to the situation were successful.
Risks and uncertainties
Since the estimates and statements in this interim report are based on current
plans and projections, they involve risks and uncertainties that may cause
prospects to materially differ from those expressed in such statements. The
risks related to the Group's business have been explained more extensively in
Metsäliitto Group's annual report for 2009.
Short-term outlook
The operating result of Wood Products Industry is expected to improve during the
second quarter. The demand trends in the construction market as well as in
retail and distribution look favourable. Furthermore, the market for industrial
customer segments shows some slight signs of recovery, but overall demand is
still low. Sawn timber production must be restricted if there is no sufficient
availability of wood raw material.
The market situation for pulp remains good, and the demand exceeds the supply.
Further positive price developments are expected. During the second quarter, the
utilisation rates of pulp mills are projected to remain at a very good level,
and the performance development remains positive.
The demand for board is expected to remain favourable during the second quarter.
Measures to raise the prices of folding boxboard and liners have already been
undertaken, and average prices are expected to increase slightly by the end of
the second quarter. The demand for uncoated fine paper seems to continue to be
strong during the second quarter. Prices were increased by about 8 per cent in
March, and the positive result of this on the result will begin to show by the
end of the second quarter.
M-real's operating result excluding non-recurring items in the second quarter of
2010 is estimated to be roughly at the same level as in the first quarter.
The demand for tissue and cooking papers is expected to remain steady. An
increase in the raw material costs has a significant impact on the prices of all
Metsä Tissue products.
It is expected that demand and price trends for all of Metsäliitto Group's main
products - pulp, board, wood products and tissue paper - will remain positive.
Metsäliitto's operating result excluding non-recurring items in the second
quarter is estimated to be somewhat better than in the first quarter.
Espoo, 5 May 2010
Metsäliitto Group
Board of Directors
Further information:
Hannu Anttila, acting Group CFO, Metsäliitto Group, tel. +358 10 465 5111
Anne-Mari Achrén, Group CCO, Metsäliitto Group, tel. +358 10 465 4541
Unaudited
METSÄLIITTO GROUP
--------------------------------------------------------------------------------
| Condensed consolidated statement | 2010 | 2009 | Change | 2009 |
| of comprehensive income, EUR mill. | 1-3 | 1-3 | | 1-12 |
--------------------------------------------------------------------------------
| Continuing operations | | | | |
--------------------------------------------------------------------------------
| Sales | 1 224 | 1 278 | -54 | 4 837 |
--------------------------------------------------------------------------------
| Other operating income | 31 | 42 | -10 | 353 |
--------------------------------------------------------------------------------
| Operating expenses | -1 073 | -1 342 | 268 | -4 858 |
--------------------------------------------------------------------------------
| Depreciation and impairment losses | -78 | -116 | 38 | -501 |
--------------------------------------------------------------------------------
| Operating result | 105 | -137 | 242 | -169 |
--------------------------------------------------------------------------------
| Share of results in associated | -6 | -2 | -3 | -16 |
| companies | | | | |
--------------------------------------------------------------------------------
| Exchange gains and losses | -2 | -2 | 0 | 2 |
--------------------------------------------------------------------------------
| Other net financial items | -34 | -20 | -14 | -147 |
--------------------------------------------------------------------------------
| Result before income tax | 64 | -163 | 226 | -329 |
--------------------------------------------------------------------------------
| Income tax | -24 | 19 | -42 | 10 |
--------------------------------------------------------------------------------
| Result for the period | 40 | -144 | 184 | -318 |
| from continuing operations | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Discontinued operations | | | | |
--------------------------------------------------------------------------------
| Result from discontinued | 0 | -10 | 10 | -23 |
| operations | | | | |
--------------------------------------------------------------------------------
| Result for the period | 40 | -153 | 194 | -342 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Other comprehensive income | | | | |
--------------------------------------------------------------------------------
| Cash flow hedges | 1 | -4 | 5 | 35 |
--------------------------------------------------------------------------------
| Available for sale financial | 18 | -66 | 84 | -103 |
| assets | | | | |
--------------------------------------------------------------------------------
| Currency translation differences | 13 | 9 | 4 | -15 |
--------------------------------------------------------------------------------
| Other items | 2 | 2 | 0 | 0 |
--------------------------------------------------------------------------------
| Income tax relating to components | -3 | 21 | -24 | 23 |
| of other comprehensive income | | | | |
--------------------------------------------------------------------------------
| Other comprehensive income, | 32 | -37 | 70 | -60 |
| net of tax | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Total comprehensive income | 73 | -191 | 263 | -402 |
| for the period | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Result attributable to: | | | | |
--------------------------------------------------------------------------------
| Members of parent company | 21 | -84 | 106 | -116 |
--------------------------------------------------------------------------------
| Non-controlling interests | 19 | -69 | 88 | -226 |
--------------------------------------------------------------------------------
| | 40 | -153 | 194 | -342 |
--------------------------------------------------------------------------------
| Total comprehensive income | | | | |
| attributable to: | | | | |
--------------------------------------------------------------------------------
| Members of parent company | 42 | -98 | 140 | -150 |
--------------------------------------------------------------------------------
| Non-controlling interests | 31 | -93 | 123 | -252 |
--------------------------------------------------------------------------------
| | 73 | -191 | 263 | -402 |
--------------------------------------------------------------------------------
Unaudited
--------------------------------------------------------------------------------
| Condensed consolidated balance sheet | 2010 | 2009 | 2009 |
| | 31.3. | 31.3. | 31.12. |
--------------------------------------------------------------------------------
| ASSETS | | | |
--------------------------------------------------------------------------------
| Non-current | | | |
--------------------------------------------------------------------------------
| Goodwill | 499 | 181 | 493 |
--------------------------------------------------------------------------------
| Other intangible assets | 262 | 100 | 245 |
--------------------------------------------------------------------------------
| Tangible assets | 2 385 | 2 888 | 2 428 |
--------------------------------------------------------------------------------
| Biological assets | 7 | 108 | 7 |
--------------------------------------------------------------------------------
| Investments in associated companies | 92 | 133 | 98 |
--------------------------------------------------------------------------------
| Available for sale investments | 372 | 430 | 356 |
--------------------------------------------------------------------------------
| Non-current financial assets | 12 | 234 | 12 |
--------------------------------------------------------------------------------
| Deferred tax receivables | 63 | 70 | 58 |
--------------------------------------------------------------------------------
| | 3 692 | 4 145 | 3 697 |
--------------------------------------------------------------------------------
| Current | | | |
--------------------------------------------------------------------------------
| Inventories | 747 | 905 | 669 |
--------------------------------------------------------------------------------
| Accounts receivables and other | 876 | 1 023 | 797 |
| receivables | | | |
--------------------------------------------------------------------------------
| Cash and cash equivalents | 193 | 389 | 558 |
--------------------------------------------------------------------------------
| | 1 816 | 2 317 | 2 024 |
--------------------------------------------------------------------------------
| Assets classified as held for sale | - | - | 9 |
--------------------------------------------------------------------------------
| Total assets | 5 508 | 6 462 | 5 730 |
--------------------------------------------------------------------------------
| MEMBERS' FUNDS AND | | | |
| LIABILITIES | | | |
--------------------------------------------------------------------------------
| Members' funds | | | |
--------------------------------------------------------------------------------
| Members' funds | 989 | 1 007 | 927 |
--------------------------------------------------------------------------------
| Non-controlling interests | 499 | 587 | 471 |
--------------------------------------------------------------------------------
| | 1 488 | 1 594 | 1 399 |
--------------------------------------------------------------------------------
| Non-current liabilities | | | |
--------------------------------------------------------------------------------
| Deferred tax liabilities | 393 | 292 | 382 |
--------------------------------------------------------------------------------
| Post-employment benefit obligations | 120 | 125 | 122 |
--------------------------------------------------------------------------------
| Provisions | 64 | 61 | 76 |
--------------------------------------------------------------------------------
| Borrowings | 1 436 | 2 704 | 1 976 |
--------------------------------------------------------------------------------
| Other liabilities | 139 | 59 | 134 |
--------------------------------------------------------------------------------
| | 2 152 | 3 240 | 2 689 |
--------------------------------------------------------------------------------
| Current liabilities | | | |
--------------------------------------------------------------------------------
| Provisions | 38 | 52 | 52 |
--------------------------------------------------------------------------------
| Current borrowings | 1 014 | 605 | 798 |
--------------------------------------------------------------------------------
| Accounts payable and other liabilities | 817 | 971 | 787 |
--------------------------------------------------------------------------------
| | 1 868 | 1 628 | 1 637 |
--------------------------------------------------------------------------------
| Liabilities classified as held for sale | - | - | 6 |
--------------------------------------------------------------------------------
| Total liabilities | 4 021 | 4 868 | 4 331 |
--------------------------------------------------------------------------------
| Total members' funds and liabilities | 5 508 | 6 462 | 5 730 |
--------------------------------------------------------------------------------
Non-current portion of derivative financial instruments have been transferred to
non-current financial assets from accounts receivables and other receivables
(QI/09: EUR 0 mill. and QIV/09: EUR 2 mill.). Non-current portion of derivative
financial instruments have been transferred to other liabilities from accounts
payable and other liabilities (QI/09: EUR 36 mill. and QIV/09: EUR 19 mill.).
Unaudited Equity attributable to members of parent company
--------------------------------------------------------------------------------
| Change in | Mem- | Shar | Trans- | Fair | Reta | Total | Non-c | Total |
| members'funds | bers | e | lation | value | i-ne | | ont- | |
| EUR million | ' | pre- | differ | and | d | | rol- | |
| | capi | mium | - | other | ear- | | ling | |
| | - | ac- | renc | reser | ning | | inte- | |
| | tal | count| es | - | s | | rests | |
| | | | | ves | | | | |
--------------------------------------------------------------------------------
| Members' | 585 | 30 | -5 | 165 | 329 | 1104 | 682 | 1786 |
| funds | | | | | | | | |
| 1.1.2009 | | | | | | | | |
--------------------------------------------------------------------------------
| Result for the | | | | | -84 | -84 | -69 | -153 |
| period | | | | | | | | |
--------------------------------------------------------------------------------
| Other | | | | | | | | |
| comprehensive | | | | | | | | |
| income | | | | | | | | |
--------------------------------------------------------------------------------
| Cash flow | | | | -3 | | -3 | -1 | -4 |
| hedges | | | | | | | | |
--------------------------------------------------------------------------------
| Available | | | | -28 | | -28 | -38 | -66 |
| for | | | | | | | | |
| sale | | | | | | | | |
| financial | | | | | | | | |
| assets | | | | | | | | |
--------------------------------------------------------------------------------
| Currency | | | 5 | | | 5 | 5 | 9 |
| translation | | | | | | | | |
| di | | | | | | | | |
| fferences | | | | | | | | |
--------------------------------------------------------------------------------
| Other items | | | | | 2 | 2 | 0 | 2 |
--------------------------------------------------------------------------------
| Income tax | | | 2 | 8 | | 10 | 11 | 21 |
| relating to | | | | | | | | |
| components | | | | | | | | |
| of other | | | | | | | | |
| comprehensive | | | | | | | | |
| income | | | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Transactions | | | | | | | | |
| with owners | | | | | | | | |
--------------------------------------------------------------------------------
| Dividends | | | | | | 0 | -1 | -1 |
| paid | | | | | | | | |
--------------------------------------------------------------------------------
| Change in | 1 | | | | | 1 | | 1 |
| members' | | | | | | | | |
| capital | | | | | | | | |
--------------------------------------------------------------------------------
| Business | | | | | | 0 | -1 | -1 |
| arrangements | | | | | | | | |
--------------------------------------------------------------------------------
| Members' | 585 | 30 | 2 | 143 | 246 | 1007 | 587 | 1594 |
| funds | | | | | | | | |
| 31.3.2009 | | | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Members' | 484 | 30 | 9 | 221 | 184 | 927 | 471 | 1399 |
| funds | | | | | | | | |
| 1.1.2010 | | | | | | | | |
--------------------------------------------------------------------------------
| Result for the | | | | | 21 | 21 | 19 | 40 |
| period | | | | | | | | |
--------------------------------------------------------------------------------
| Other | | | | | | | | |
| comprehensive | | | | | | | | |
| income | | | | | | | | |
--------------------------------------------------------------------------------
| Cash flow | | | | 3 | | 3 | -2 | 1 |
| hedges | | | | | | | | |
--------------------------------------------------------------------------------
| Available for | | | | 8 | | 8 | 11 | 18 |
| sale financial | | | | | | | | |
| assets | | | | | | | | |
--------------------------------------------------------------------------------
| Currency | | | 9 | | | 9 | 4 | 13 |
| translation | | | | | | | | |
| differences | | | | | | | | |
--------------------------------------------------------------------------------
| Other items | | | | | 2 | 2 | 0 | 2 |
--------------------------------------------------------------------------------
| Income tax | | | 1 | -3 | | -2 | 0 | -3 |
| relating to | | | | | | | | |
| components of | | | | | | | | |
| other | | | | | | | | |
| comprehensive | | | | | | | | |
| income | | | | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Transactions | | | | | | | | |
| with owners | | | | | | | | |
--------------------------------------------------------------------------------
| Dividends | | | | | -1 | -1 | -4 | -5 |
| paid | | | | | | | | |
--------------------------------------------------------------------------------
| Change in | 21 | | | | | 21 | | 21 |
| members' | | | | | | | | |
| capital | | | | | | | | |
--------------------------------------------------------------------------------
| Business | | | | | | 0 | 0 | 0 |
| arrangements | | | | | | | | |
--------------------------------------------------------------------------------
| Members' | 505 | 30 | 19 | 229 | 207 | 989 | 499 | 1488 |
| funds | | | | | | | | |
| 31.3.2010 | | | | | | | | |
--------------------------------------------------------------------------------
Unaudited
--------------------------------------------------------------------------------
| Condensed consolidated cash flow statement | 2010 | 2009 | 2009 |
| | 1-3 | 1-3 | 1-12 |
--------------------------------------------------------------------------------
| Result for the period | 40 | -153 | -342 |
--------------------------------------------------------------------------------
| Total adjustments | 91 | 117 | 469 |
--------------------------------------------------------------------------------
| Change in working capital | -164 | 1 | 231 |
--------------------------------------------------------------------------------
| Cash flow arising from operations | -33 | -35 | 359 |
--------------------------------------------------------------------------------
| Net financial items | -26 | 44 | -84 |
--------------------------------------------------------------------------------
| Income taxes paid | -8 | -7 | 0 |
--------------------------------------------------------------------------------
| Net cash flow arising from operating activities | -67 | 2 | 275 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Acquisitions | 0 | -4 | -496 |
--------------------------------------------------------------------------------
| Investments in tangible and | -15 | -31 | -152 |
| intangible assets | | | |
--------------------------------------------------------------------------------
| Divestments of assets and other | 12 | 5 | 940 |
--------------------------------------------------------------------------------
| Net cash flow arising from investing activities | -4 | -30 | 291 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Change in members' funds | 21 | 1 | -57 |
--------------------------------------------------------------------------------
| Change in long-term loans | -316 | -204 | -530 |
| and other financial items | | | |
--------------------------------------------------------------------------------
| Dividends paid | 0 | 0 | -40 |
--------------------------------------------------------------------------------
| Net cash flow arising from financing activities | -295 | -203 | -626 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Changes in cash and cash equivalents | -365 | -231 | -60 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash and cash equivalents at beginning of period | 558 | 619 | 619 |
--------------------------------------------------------------------------------
| Translation difference | 1 | 1 | -1 |
--------------------------------------------------------------------------------
| Changes in cash and cash equivalents | -365 | -231 | -60 |
--------------------------------------------------------------------------------
| Cash and cash equivalents | - | - | -1 |
| in assets classified as held for sale | | | |
--------------------------------------------------------------------------------
| Cash and cash equivalents at end of period | 193 | 389 | 558 |
--------------------------------------------------------------------------------
Unaudited
BUSINESS SEGMENTS
--------------------------------------------------------------------------------
| Wood Supply | QI/10 | QI/09 | QI-IV/09 |
--------------------------------------------------------------------------------
| Sales | 333 | 327 | 1101 |
--------------------------------------------------------------------------------
| EBITDA | 8 | 6 | -5 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 8 | 6 | 16 |
--------------------------------------------------------------------------------
| Depreciation and impairment | -1 | -1 | -4 |
--------------------------------------------------------------------------------
| Operating result | 7 | 5 | -9 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 7 | 5 | 12 |
--------------------------------------------------------------------------------
| Capital expenditure | 0 | 0 | 2 |
--------------------------------------------------------------------------------
| Personnel at end of period | 1 024 | 1 093 | 945 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Wood Products Industry | QI/10 | QI/09 | QI-IV/09 |
--------------------------------------------------------------------------------
| Sales | 192 | 202 | 806 |
--------------------------------------------------------------------------------
| EBITDA | 8 | -15 | -2 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 9 | -15 | -2 |
--------------------------------------------------------------------------------
| Depreciation and impairment | -9 | -10 | -45 |
--------------------------------------------------------------------------------
| Operating result | -2 | -25 | -47 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 0 | -25 | -41 |
--------------------------------------------------------------------------------
| Capital expenditure | 3 | 1 | 10 |
--------------------------------------------------------------------------------
| Personnel at end of period | 2673 | 3296 | 3110 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Pulp Industry | QI/10 | QI/09 | QI-IV/09 |
--------------------------------------------------------------------------------
| Sales | 288 | 303 | 1195 |
--------------------------------------------------------------------------------
| EBITDA | 78 | -29 | 366 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 78 | -12 | 71 |
--------------------------------------------------------------------------------
| Depreciation and impairment | -21 | -93 | -173 |
--------------------------------------------------------------------------------
| Operating result | 57 | -122 | 193 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 57 | -47 | -43 |
--------------------------------------------------------------------------------
| Capital expenditure | 1 | 10 | 53 |
--------------------------------------------------------------------------------
| Personnel at end of period | 903 | 1 767 | 1 106 |
--------------------------------------------------------------------------------
Pulp Industry (Metsä-Botnia) has been consolidated as a subsidiary from 8
December
2009 onwards. Before that, 53% of Metsä-Botnia has been consolidated using the
proportional consolidation method (M-real 30% and Metsäliitto 23%).
--------------------------------------------------------------------------------
| Board and Paper Industry | QI/10 | QI/09 | QI-IV/09 |
--------------------------------------------------------------------------------
| Sales | 602 | 623 | 2 432 |
--------------------------------------------------------------------------------
| EBITDA | 82 | -48 | 88 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 72 | -13 | 44 |
--------------------------------------------------------------------------------
| Depreciation and impairment | -33 | -70 | -356 |
--------------------------------------------------------------------------------
| Operating result | 49 | -118 | -267 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 39 | -65 | -150 |
--------------------------------------------------------------------------------
| Capital expenditure | 7 | 16 | 73 |
--------------------------------------------------------------------------------
| Personnel at end of period | 4 796 | 6 314 | 4 903 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Tissue and Cooking Papers | QI/10 | QI/09 | QI-IV/09 |
--------------------------------------------------------------------------------
| Sales | 225 | 218 | 890 |
--------------------------------------------------------------------------------
| EBITDA | 29 | 29 | 135 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 29 | 29 | 135 |
--------------------------------------------------------------------------------
| Depreciation and impairment | -10 | -10 | -42 |
--------------------------------------------------------------------------------
| Operating result | 19 | 19 | 93 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 19 | 19 | 93 |
--------------------------------------------------------------------------------
| Capital expenditure | 4 | 4 | 35 |
--------------------------------------------------------------------------------
| Personnel at end of period | 3 162 | 3 199 | 3 150 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Other operations | QI/10 | QI/09 | QI-IV/09 |
--------------------------------------------------------------------------------
| Sales | 0 | 90 | 170 |
--------------------------------------------------------------------------------
| EBITDA | -2 | 14 | 69 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | -2 | 14 | 21 |
--------------------------------------------------------------------------------
| Depreciation and impairment | 0 | -5 | -11 |
--------------------------------------------------------------------------------
| Operating result | -2 | 10 | 59 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | -2 | 10 | 11 |
--------------------------------------------------------------------------------
| Capital expenditure | 0 | 12 | 516 |
--------------------------------------------------------------------------------
| Personnel at end of period | 369 | 1 150 | 378 |
--------------------------------------------------------------------------------
Other operations include Vapo Group (49.9%) until June 24, 2009 and
Metsäliitto's
service and holding functions.
--------------------------------------------------------------------------------
| Internal sales | QI/10 | QI/09 | QI-IV/09 |
| and eliminations | | | |
--------------------------------------------------------------------------------
| Sales | -415 | -485 | -1 758 |
--------------------------------------------------------------------------------
| EBITDA | -19 | 22 | -319 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | -19 | 9 | -40 |
--------------------------------------------------------------------------------
| Depreciation and impairment | -3 | 73 | 129 |
--------------------------------------------------------------------------------
| Operating result | -22 | 94 | -190 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | -22 | 36 | 45 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Metsäliitto Group | QI/10 | QI/09 | QI-IV/09 |
--------------------------------------------------------------------------------
| Sales | 1 224 | 1 278 | 4 837 |
--------------------------------------------------------------------------------
| EBITDA | 183 | -22 | 332 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 174 | 15 | 246 |
--------------------------------------------------------------------------------
| Depreciation and impairment | -78 | -116 | -501 |
--------------------------------------------------------------------------------
| Operating result | 105 | -137 | -169 |
--------------------------------------------------------------------------------
| - ” -, excl. non-recurring items | 96 | -67 | -75 |
--------------------------------------------------------------------------------
| Capital expenditure | 15 | 35 | 648 |
--------------------------------------------------------------------------------
| Personnel at end of period | 12 927 | 15 458 | 13 592 |
--------------------------------------------------------------------------------
EBITDA = Operating result before depreciation and impairment losses.
Unaudited
--------------------------------------------------------------------------------
| Quarterly data | 2010 | 2009 | 2009 | 2009 | 2009 |
| | QI | QIV | QIII | QII | QI |
--------------------------------------------------------------------------------
| Sales | | | | | |
--------------------------------------------------------------------------------
| Wood Supply | 333 | 292 | 232 | 251 | 327 |
--------------------------------------------------------------------------------
| Wood Products Industry | 192 | 193 | 188 | 224 | 202 |
--------------------------------------------------------------------------------
| Pulp Industry | 288 | 297 | 313 | 282 | 303 |
--------------------------------------------------------------------------------
| Board and Paper Industry | 602 | 606 | 618 | 585 | 623 |
--------------------------------------------------------------------------------
| Tissue and Cooking Papers | 225 | 229 | 226 | 217 | 218 |
--------------------------------------------------------------------------------
| Other operations | 0 | 4 | 3 | 72 | 92 |
--------------------------------------------------------------------------------
| Internal sales and | -415 | -431 | -425 | -418 | -487 |
| eliminations | | | | | |
--------------------------------------------------------------------------------
| Sales total | 1 224 | 1 190 | 1 155 | 1 213 | 1 278 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Operating result | | | | | |
--------------------------------------------------------------------------------
| Wood Supply | 7 | -17 | -1 | 4 | 5 |
--------------------------------------------------------------------------------
| Wood Products Industry | -2 | -9 | -3 | -10 | -25 |
--------------------------------------------------------------------------------
| Pulp Industry | 57 | 355 | 2 | -42 | -122 |
--------------------------------------------------------------------------------
| Board and Paper Industry | 49 | -52 | -24 | -73 | -117 |
--------------------------------------------------------------------------------
| Tissue and Cooking Papers | 19 | 21 | 31 | 22 | 19 |
--------------------------------------------------------------------------------
| Other operations | -2 | 20 | 2 | 27 | 10 |
--------------------------------------------------------------------------------
| Eliminations | -22 | -300 | 0 | 16 | 94 |
--------------------------------------------------------------------------------
| Operating result total | 105 | 18 | 7 | -56 | -137 |
--------------------------------------------------------------------------------
| - % of sales | 8.6 | 1.5 | 0.6 | -4.6 | -10.7 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Share of results in | -6 | -4 | -1 | -8 | -2 |
| associated companies | | | | | |
--------------------------------------------------------------------------------
| Exchange gains and losses | -2 | 2 | 4 | -1 | -2 |
--------------------------------------------------------------------------------
| Other net financial items | -34 | -34 | -63 | -30 | -20 |
--------------------------------------------------------------------------------
| Result before income tax | 64 | -18 | -53 | -95 | -163 |
--------------------------------------------------------------------------------
| Income tax | -24 | -9 | -6 | 7 | 19 |
--------------------------------------------------------------------------------
| Result for the period from | 40 | -27 | -59 | -88 | -144 |
| continuing operations | | | | | |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Result from | | | | | |
--------------------------------------------------------------------------------
| discontinued operations | 0 | -9 | -2 | -3 | -10 |
--------------------------------------------------------------------------------
| Result for the period | 40 | -36 | -61 | -91 | -153 |
--------------------------------------------------------------------------------
Unaudited
--------------------------------------------------------------------------------
| Change in tangible assets | QI/10 | QI/09 | I-IV/09 |
--------------------------------------------------------------------------------
| Book value at beginning of period | 2 428 | 2 958 | 2 958 |
--------------------------------------------------------------------------------
| Business acquisitions | - | 1 | 472 |
--------------------------------------------------------------------------------
| Investments | 14 | 31 | 143 |
--------------------------------------------------------------------------------
| Decrease | -12 | -6 | -772 |
--------------------------------------------------------------------------------
| Assets classified as held for sale | - | - | -3 |
--------------------------------------------------------------------------------
| Depreciation and impairment charges | -74 | -109 | -449 |
--------------------------------------------------------------------------------
| Translation differences and other changes | 29 | 13 | 78 |
--------------------------------------------------------------------------------
| Book value at end of period | 2 385 | 2 888 | 2 428 |
--------------------------------------------------------------------------------
”Assets classified as held for sale” include in 2009 the tangible assets of the
Wood Products
Industry's blockboard mill in Romania.
--------------------------------------------------------------------------------
| Commitments | QI/10 | QI/09 | QIV/09 |
--------------------------------------------------------------------------------
| On own behalf (incl. leasing liabilities) | 443 | 310 | 456 |
--------------------------------------------------------------------------------
| On behalf of associated companies | 6 | 4 | 6 |
--------------------------------------------------------------------------------
| On behalf of others | 3 | 6 | 4 |
--------------------------------------------------------------------------------
| Total | 453 | 320 | 466 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Commitments related to fixed assets | QI/10 | QI/09 | QIV/09 |
--------------------------------------------------------------------------------
| Payments due under 1 year | 0 | 0 | 0 |
--------------------------------------------------------------------------------
| Payments due in subsequent years | 1 | 1 | 1 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Open derivative contracts | QI/10 | QI/09 | QIV/09 |
--------------------------------------------------------------------------------
| Interest rate derivatives | 829 | 1 027 | 831 |
--------------------------------------------------------------------------------
| Currency derivatives | 1 775 | 2 055 | 1 766 |
--------------------------------------------------------------------------------
| Other derivatives | 234 | 337 | 254 |
--------------------------------------------------------------------------------
| Total | 2 838 | 3 419 | 2 850 |
--------------------------------------------------------------------------------
The market value of open derivative contracts at the end of the review period
was EUR -42 million (QIV/09: EUR -28 million). Open derivative contracts also
include closed contracts to a total amount of EUR 465 million (QIV/09: EUR 537
million).
Accounting policies
This Interim Report was prepared in accordance with the IAS 34 standard Interim
Financial Reporting and the accounting policies presented in Metsäliitto Group's
Annual Report 2009.
