ENVIRONMENTAL COURT HAS REVIEWED THE CONDITIONS AT VALLVIK MILL

The Östersund Environmental Court has reviewed the conditions for Vallvik Mill, which produces pulp and is part of the Rottneros Group. According to the Court’s decision, a biopurification plant must be put into operation no later than 2010. The decision was not unanimous with two of the four judges expressing dissenting opinions, which means that the Chairman’s vote determined the outcome.

“The dissension shows the complexity of this matter. We intend to examine the possibility of appealing the ruling and will announce our decision within 10 days,” says Rottneros President and CEO Lars Blecko.

The fact that the biopurification plant, which involves an investment of around SEK 100 million, must, according to the Court’s decision, be in place in the beginning of 2010 means that most of the construction will take place in 2009.

Upplands Väsby, 7 March 2007

Additional information:

President and CEO Lars Blecko, +46 (0)706414910

Managing Director Vallvik Mill, Hannu Thomasfolk, +46 (0)706042938

Rottneros is one of the world’s leading independent producers of market pulp. The Group comprises the parent company Rottneros AB, listed on the Stockholm Stock Exchange, and its subsidiaries Rottneros Bruk AB, Rockhammars Bruk AB, Utansjö Bruk AB and Vallviks Bruk AB in Sweden and Rottneros Miranda, S.A. in Spain, all with operations involving the production and sale of market pulp. The Group also includes the wood procurement companies Rottneros Baltic SIA in Latvia and Rottneros Madeiras in Portugal as well as a sales company in Belgium. The Group now has a new division, Rottneros Packaging, which produces food packaging made from paper pulp. The Group has around 750 employees and net sales of approximately SEK 2.7 billion.