RAUTE SIGNS A CONTRACT WITH CHINESE INVESTORS TO DELIVER VENEER MILL MACHINERY TO RUSSIA
RAUTE CORPORATION STOCK EXCHANGE RELEASE 20 May 2009 at 3 p.m.
RAUTE SIGNS A CONTRACT WITH CHINESE INVESTORS TO DELIVER VENEER MILL MACHINERY
TO RUSSIA
Raute Corporation has signed a contract worth about EUR 8 million with the
Chinese-Russian investment company Henda-Siberia Co LTD to deliver the machinery
of a new veneer mill to be built in the Tomsk region in Russia. The contract
comprises a log handling line, a peeling line, and a veneer drying and grading
line. The contract is estimated to become effective in June 2009. The machinery
deliveries will take place in late 2009 and early 2010.
Henda-Siberia Co LTD is a Russian company owned by Yantai Northwest Forestry
Co., Ltd. and the Chinese Investment Promotion Agency of Yantai Economic and
Technological Development Area. The new veneer mill will be part of a large wood
processing project, Tomsk Industry Garden, realized in cooperation by the
Chinese central government and Henda-Siberia Co LTD.
This signed contract, once becoming effective, does not have any impact on the
previously announced estimate on Raute's 2009 net sales to decline clearly from
the previous year and operating profit to be negative.
RAUTE CORPORATION
Tapani Kiiski
President and CEO
FURTHER INFORMATION:
Mr. Tapani Kiiski, President and CEO, Raute Corporation, mobile +358 400 814 148
RAUTE IN BRIEF:
Raute is a technology company serving the wood products industry worldwide. Its
most important customers are the plywood and LVL industries. The company is one
of the world's leading suppliers of mill-scale projects to these customer
industries. The total service concept also includes technology services, with
which Raute supports its customers throughout the entire life cycle of their
investments. Raute's head office and main production plant are in Nastola,
Finland. Its other production plants are in the Vancouver area of Canada, in the
Shanghai area of China, and in Jyväskylä and Kajaani, Finland. Net sales in 2008
were EUR 98.5 million and the number of personnel 573. More information on the
company can be found at www.raute.com.
DISTRIBUTION:
NASDAQ OMX Helsinki Ltd, main media, www.raute.com