Nokian Tyres to start statutory negotiations to adjust operations in Nokia, Finland

Nokian Tyres plc Stock Exchange Release 7 August 2015, 8:00 a.m.

Nokian Tyres to start statutory negotiations to adjust operations in Nokia, Finland

Nokian Tyres will start statutory negotiations on 14 August 2015 with all personnel in Nokian Tyres plc at Nokia, Finland, concerning a total of 900 people.

Nokian Tyres has downgraded its outlook for 2015 due to the weakened economic situation in Russia and CIS countries. Car tyre sales have continued to decline in these areas. The weakened economic situation and the planned production cuts in Nokia plant have created the need to rationalize operations and to execute structural changes.

The agenda of the negotiations includes a plan to decrease the annual output of the passenger car tyre production at the Nokia factory. The company aims to create savings of approximately 8 MEUR per year. The adjustments are planned to be carried out by the reduction of maximum 150 positions.

• Despite the unfortunate cuts the role of our Nokian factory remains important not only for the volumes it produces but also in developing new products and production processes. Our production volumes are lower this year than last year. The volumes will likely return back to growth next year, but the coming few years’ growth can be managed with the existing unused capacity, says Ari Lehtoranta, CEO of Nokian Tyres.

  Nokian Tyres plc

  Antti-Jussi Tähtinen
  Vice President, Marketing and Communications

  Further information: Mr. Ville Nurmi, VP Human Resources, tel: +358 10 401 7268

  Distribution: NASDAQ Helsinki, media and www.nokiantyres.com

Nokian Tyres is the only tyre manufacturer in the world that focuses on customer needs in northern conditions. The company supplies innovative tyres for cars, trucks and special heavy machinery mainly in areas with special challenges on tyre performance: snow, forests and harsh driving conditions in different seasons. Nokian Tyres’ product development is consistently aiming for sustainable solutions for safety and the environment, taking into account the whole life cycle of the tyre. A part of the Nokian Tyres group, the tyre chain Vianor has over 1,300 outlets in 27 countries. In 2014 Nokian Tyres had over 4,200 employees and net sales of approximately 1,4 billion euros. Nokian Tyres’ share is listed on the NASDAQ Helsinki. Further information: www.nokiantyres.com