RAUTE TO HAVE AN EUR 4 MILLION PROFIT FROM THE SALE OF ITS FACTORY FACILITY IN CANADA - OPERATING RESULT FOR 2010 TO BE POSITIVE
RAUTE CORPORATION STOCK EXCHANGE RELEASE 1 OCTOBER 2010 at 9:00 a.m.
RAUTE TO HAVE AN EUR 4 MILLION PROFIT FROM THE SALE OF ITS FACTORY FACILITY IN
CANADA - OPERATING RESULT FOR 2010 TO BE POSITIVE
Raute Canada Ltd., a Raute Group company, has sold its factory facility in the
Vancouver area in Canada. Raute Group realized a profit before tax of
approximately EUR 4 million from the sale.
The Raute's business unit in Canada serves the veneer and LVL industry in North
America. The operations of the unit were relocated to newly leased facilities in
the summer. The facilities are better configured to serve the needs of the
current operational model and market needs. In conjunction with the relocation,
production investments were carried out to improve productivity and shorten
delivery times. The Raute's business unit in Canada employs approximately 50
persons.
Raute has previously estimated net sales for 2010 to increase and the operating
result to improve from the year 2009. The company has also announced that
achieving a positive operating result and its amount depend on the order intake.
The finalized real estate sale improves the Group's profit prospects. In 2010,
net sales will increase and the operating result will be positive.
RAUTE CORPORATION
Tapani Kiiski
President and CEO
FURTHER INFORMATION:
Mr. Tapani Kiiski, President and CEO, Raute Corporation, tel. +358 3 829 3560,
mobile +358 400 814 148
DISTRIBUTION:
NASDAQ OMX Helsinki Ltd, main media, www.raute.com
RAUTE IN BRIEF:
Raute is a technology company serving the wood products industry worldwide. Its
most important customers are the plywood and LVL industries. Raute 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 is located in Nastola, Finland. Its other production plants
are in the Vancouver area of Canada, in the Shanghai area of China, and in
Kajaani, Finland. Raute's net sales declined significantly due to the difficult
market situation in 2009 and equaled EUR 36.6 million. The number of personnel
at the end of 2009 was 524. More information on the company can be found at:
www.raute.com.