Warning issued to Nokia Corporation due to negligence in correcting changed information

The Disciplinary Committee of The Helsinki Stock Exchange has issued Nokia Corporation with a warning for breaching the disclosure requirements applicable to listed companies. The Disciplinary Committee considered that the company had neglected to disclose without an undue delay the change concerning its previously published earnings per share forecast of which the company was aware.

On January 27, 2005 Nokia Corporation published a financial statement release concerning the accounting period from January 1 to December 31, 2004. According to the release, the earnings per share (diluted) amounted to EUR 0.23 in the last quarter of 2004. However, in its interim report, published on October 14, 2004, Nokia had estimated that the earnings per share (diluted) for the last quarter of 2004 would range from EUR 0.16 to EUR 0.18. As a result, the actual earnings per share differed from the forecast by 27–44 per cent. It its proceedings, the Disciplinary Committee of the Helsinki Stock Exchange assessed the obligation of Nokia Corporation to correct the published yet subsequently altered information, the materiality of this information, and the time within which the correction is to be made. The Disciplinary Committee considered that the change concerning the company's previously published earnings per share forecast could not be regarded as being of minor significance. Thus the information about the change should have been disclosed without undue delay after the change had been discovered and the company had become aware of the matter. The company was considered to have been aware of the change by January 14, 2005 at the latest. However, Nokia only disclosed the change in connection with its financial statement release on January 27, 2005. The Disciplinary Committee stated that Nokia Corporation failed to act in accordance with the Rules of the Helsinki Stock Exchange when the company did not publicly disclose without an undue delay the change it had become aware of. The opportunity for investors to assess the company and its security is based on the information disclosed by the company. For this reason, the rules require that whenever previously published information is subject to change, and the change is not of minor importance, the company must disclose the information about the change. This requirement is particularly pronounced when the information has been published in a precise, numerical form. According to the company's view, it would have been misleading to publish the correction separately and the financial statement that was to be published within a short time gave an opportunity to present the company's operational result and development prospects comprehensively. The Disciplinary Committee considered the company's aim of publishing as comprehensive information as possible to be acceptable in itself and took it into account when considering the possible sanctions. Correcting substantially changed precise information must however be done without undue delay. Information about matters that affected the result should have been disclosed as comprehensively as it was possible in light of the information that was available at the time. For more information, please contact: Timo Rintanen, Secretary of the Disciplinary Committee +358 9 6166 7640 Janne Seppänen, Vice President, Surveillance Finland +358 9 6166 7382 Market surveillance of the Helsinki Stock Exchange The surveillance unit of the Helsinki Stock Exchange investigates all suspected breaches of regulations. Minor breaches will result in written criticism of the company, whereas more serious cases are referred to the Disciplinary Committee. The members of the Disciplinary Committee are legal and financial experts independent of the Helsinki Stock Exchange. The Chairman of the Committee is Mr. Mikko Tulokas, Supreme Court Justice and the members are professor Risto Nuolimaa, professor Kalervo Virtanen and LL.M. Simo-Pekka Helander.. The possible sanctions of a breach include reprimand, warning, disciplinary fine, or in an extreme situation a de-listing proposal. Further information about the Disciplinary Committee and its members, as well as the rules of the Disciplinary Committee, are available on the website of the Helsinki Stock Exchange at www.omxgroup.com/helsinkistockexchange.