INTERIM REPORT JANUARY 1 - MARCH 31, 2001

STOCKMANN plc STOCK EXCHANGE BULLETIN May 23, 2001, 12.30 p.m. INTERIM REPORT JANUARY 1 - MARCH 31, 2001 The Stockmann Group's sales grew by 5.3% to EUR 360.7 million (FIM 2 145 million). Profit before extraordinary items was EUR 1.0 million (FIM 6 million), or EUR 0.9 million (FIM 5 million) greater than in the comparison period. The earnings estimate for 2001 is unchanged. During the first three months of the year Stockmann's sales grew by 5.3 per cent, or EUR 18.1 million (FIM 107 million) to EUR 360.7 million (FIM 2 145 million). Net turnover was up EUR 15.6 million (FIM 93 million), or 5.5 per cent, and was EUR 300.6 million (FIM 1 787 million). The relatively biggest increase in sales in the first quarter of 2001 was reported by the Hobby Hall Division. Its sales were up 25 per cent on the same period a year earlier and were EUR 63.5 million (FIM 377 million). The Department Store Division's sales grew by 4 per cent to EUR 166.6 million (FIM 991 million). The share of International Operations within the Department Store Division's sales increased from 13 per cent to 14 per cent. The Seppälä Division's sales grew by one per cent from the corresponding period a year ago and totalled EUR 26.7 million (FIM 159 million). The Automotive Sales Division's sales declined by 2 per cent to EUR 103.8 million (FIM 617 million). Earnings improve Consolidated operating profit improved by EUR 2.0 million (FIM 12 million) and was EUR 0.2 million (FIM 1 million). The relative gross margin on Stockmann's operations improved from 27.3 per cent to 27.7 per cent. The gross margin increased by EUR 5.3 million (FIM 32 million) and was EUR 83.1 million (FIM 494 million). Fixed costs were up EUR 9.2 million (FIM 55 million) and depreciation increased by EUR 0.1 million (FIM 1 million). Other operating income of EUR 6.3 million (FIM 37 million) came from a capital gain on a sale of shares. During the comparison period other operating income was EUR 0.3 million (FIM 2 million). Net financial income diminished by EUR 1.1 million (FIM 6 million) from the same period a year earlier and was EUR 0.8 million (FIM 5 million). Profit before extraordinary items was EUR 1.0 million (FIM 6 million), or EUR 0.9 million (FIM 5 million) greater than a year ago. Direct taxes were EUR 0.3 million (FIM 2 million), as against EUR 0.03 million (FIM 0.2 million) a year ago. Net profit for the report period was EUR 0.7 million (FIM 4 million), compared with EUR 0.1 million (FIM 0.4 million) a year earlier. Earnings per share were 1.4 cent (8.4 Finnish pence), as against 0.14 cents (0.8 Finnish pence) a year earlier. Equity per share was EUR 9.78 (FIM 58.14), compared with EUR 9.83 (FIM 58.42) in the previous year. Earnings trend of the units The operating profit trend of the commercial divisions is shown in the accompanying table. The Department Store Division's operating result improved both in Finland and abroad. The Automotive Sales Division's operating profit fell short of the previous year's figure. The Hobby Hall Division's operating result weakened as a consequence of the increase in costs resulting from the expansion of operations as well as a lower relative gross margin. The Seppälä Division's result was burdened by exceptionally large price reductions during winter discount sales and by the expansion of operations in Sweden. To improve the earnings trend of the Seppälä and Hobby Hall divisions, action programmes have been launched, and their impact on earnings will show up during the last quarter of the year. In isolation, the first quarter figures do not properly reflect the full- year earnings trend and level of the company's units. This is due, among other things, to the fact that in the garment and department store trade, for example, the bulk of the earnings for the full year is not generated until the second half. The strong sales trend in March - April affords a good basis for achieving the full-year targets. A good financial position Stockmann's liquidity was good. Capital expenditures and an increase in working capital reduced the amount of liquid funds from EUR 41.7 million (FIM 248 million) at the end of 2000 to EUR 25.7 million (FIM 153 million). Loan repayments during the first part of the year amounted to EUR 0.1 million (FIM 1 million). No new long-term loans were drawn down. The amount of long-term loans at the end of March was EUR 43.8 million (FIM 260 million). The equity ratio declined from 67.1 per cent in the comparison period to 64.7 per cent. The equity ratio at the end of 2000 was 67.2 per cent. Total contingent liabilities increased by EUR 3.0 million (FIM 17 million) from the end of 2000 and were EUR 55.7 million (FIM 331 million). Stockmann has no associated companies whose contingent liabilities must be disclosed. Capital expenditures Capital expenditures totalled EUR 7.5 million (FIM 44 million), compared with EUR 11.4 million (FIM 68 million) in the comparison period. The most important of the capital expenditures in 2001 was the Oulu Department Store that is to be opened at the beginning of September. The project is being carried out in cooperation with the landlord. Stockmann's capital expenditures on the Oulu Department Store will come to a total of about EUR 9.9 million (FIM 59 million). The expansion of the Turku Department Store is continuing with an enlargement of the Delicatessen Department which will be completed in September. The approximately 1 000 square metre enlargement of the Helsinki department store together with the building of a connecting tunnel underneath Keskuskatu will also be completed in September. The Delicatessen Department of the Tallinn Department Store was also expanded and renewed. The modification works will be completed in mid-April. These projects required a total outlay during the report period of EUR 1.3 million (FIM 7.6 million). In January 2001 a memorandum of intent was signed on the transfer of tenancy rights to a plot of land located in Riga, Latvia's capital city, to a company owned by Stockmann and Rautakirja Oyj. Plans call for erecting on the plot a new building with total floor space of about 38 000 square metres. The building will house Stockmann's full-scale department store having about 11 000 square metres of retail space and, among other things, a 15-cinema film centre that is to be operated by a Latvian company belonging to the Rautakirja Group. If the terms of the memorandum of intent are carried out according to plans, the building will be completed towards the end of autumn 2002 at the earliest. Stockmann's total investment will be of the order of EUR 23.5 million (FIM 140 million). Investments by the Department Store Division during the report period totalled EUR 2.8 million (FIM 17 million). The Automotive Sales Division's capital expenditures during the report period amounted to EUR 0.3 million (FIM 2 million). The division expanded its area of operations by opening a full service Mitsubishi- Skoda dealership in Tampere in March. The Hobby Hall Division's capital expenditures totalled EUR 1.1 million (FIM 7 million) in the first quarter. The Hobby Hall Online Internet store system was developed further. Hobby Hall opened a store in Tampere in February. The Hobby Hall Division's most important outlay abroad was for the start-up of mail order sales in Latvia in March. The Seppälä Division's capital expenditures during the report period totalled EUR 1.1 million (FIM 7 million). Seppälä opened two new stores in Sweden in the report period. Annual General Meeting The Annual General Meeting held on April 3 confirmed the payment of a dividend of EUR 0.60 (FIM 3.57) for the 2000 financial year, or a total of EUR 30.6 million (FIM 181.8 million). The members of the Board of Directors due to step down were Ari Heiniö, LL M, and Kari Niemistö, M.Sc. (Econ.), Managing Director, Selective Investor Oy Ab. Kari Niemistö was re-elected to the Board of Directors for the next three-year term of office and Erik Anderson, LL M, Managing Director, Aktia Savings Bank plc, was elected as a new member of the Board. At its organization meeting held on April 3, 2001, the Board of Directors re-elected Lasse Koivu as its Chairman and Erkki Etola as its Vice Chairman. Re-elected as regular auditors were Wilhelm Holmberg, Authorized Public Accountant, and Krister Hamberg, Authorized Public Accountant. KPMG Wideri Oy Ab will continue as the deputy auditor. Share price development The company's market capitalization at the end of March was EUR 580 million, or FIM 3 449 million. At the end of 2000 the market capitalization was EUR 559 million, or FIM 3 324 million. Stockmann's shares outperformed the HEX General Index during the report period. The price of the Series A share at the end of March was EUR 11.60, or FIM 68.97, whereas at the end of 2000 it was EUR 11.39 (FIM 67.72), and the price of the Series B share was EUR 11.00, or FIM 65.40, as against EUR 10.40 (FIM 61.84) at the end of 2000. The number of the company's shares outstanding at March 31, 2000, was 51 382 977, which is divided into 24 868 893 Series A shares and 26 514 084 Series B shares. At the end of 2000 Stockmann held 163 000 of its own Series A shares and 250 000 of its own Series B shares. The nominal value of these shares is a total of EUR 826 000 (FIM 4 911 173), and they represent 0.8 per cent of all the shares outstanding as well as 0.7 per cent of all the votes. The purchase price of these shares was a total of EUR 6.2 million (FIM 37 million). The company's Board of Directors does not have valid authorizations to increase the share capital or to float issues of convertible bonds or bonds with warrants or to by back its own shares. Changes in the organization The company's managing director, Ari Heiniö, retired on March 1, 2001. Stockmann's deputy managing director, Hannu Penttilä (47), LL M, director of the Department Store Division, was appointed the company's new managing director effective from the same date. The company's deputy managing director since February 1, 2001, is Mr Henri Bucht (49), M.Sc. (Econ.). He is responsible for the Hobby Hall Division. Jukka Hienonen (39), M.Sc. (Econ.), was appointed director of the Department Store Group effective March 1, 2001. Mr Hienonen has most recently held the post of director of the department stores in Finland. Karl Stockmann (58), M.Sc. (Econ.), was appointed director of the department stores in Finland and director of the Helsinki department store effective March 22, 2001. Mr Stockmann has most recently held the post of director of purchasing in the Department Store Division. Following the resignation of Aarno Pohtola, director of Stockmann's Automotive Sales Division, Esa Mäkinen (41), M.Sc. (Econ.) was appointed director of the Automotive Sales Division and a member of the Stockmann Group's Management Committee effective August 1, 2001. Seppälä Oy's managing director, Lars Eklundh (46), M.Sc. (Econ.), was appointed one of the two directors of purchasing of Stockmann's Department Store Division effective August 1, 2001. As from the same date, Heikki Väänänen (42), M.Sc. (Econ.) was appointed Seppälä Oy's new managing director and a member of the Stockmann Group's Management Committee. Personnel strength grows During the report period Stockmann had an average payroll of 7 648 employees, or 419 more than in the comparison period, when the average number of staff was 7 229. Converted to full-time staff, the average number of employees increased by 311 and was 6 298. The parent company employed an average of 4 870 people. In the comparison period the parent company had an average payroll 4 780 employees, or 90 people more than at the corresponding time a year ago. In the parent company, the average number of employees converted to full-time staff increased by 89 and was 3 937. At the end of March 2001 the number of staff working abroad was 1 237 people. At the end of March 2000, Stockmann had 1 142 people working abroad. Outlook for 2001 Sales in 2001 are estimated to be nearly EUR 1.6 billion, or about FIM 9.3 billion. The earnings estimate for 2001, which was stated in the Annual Report, is unchanged. The target is that the result for 2001 after financial items will improve on the corresponding result for 2000. Helsinki, May 23, 2001 STOCKMANN plc Profit and loss account, EUR mill. 1-3/01 1-3/00 Change Change 1-12/00 EUR EUR EUR % EUR mill. mill. mill. mill. Net turnover 300.6 285.0 15.6 5 1 220.5 Other operating 6.3 0.3 6.0 2.8 income Raw materials and 217.5 207.2 10.3 5 847.4 services Staff expenses 42.3 38.2 4.0 10 164.8 Depreciation 6.8 6.8 0.1 1 25.8 Other operating 40.1 35.0 5.2 15 149.5 expenses Operating profit 0.2 -1.8 2.0 35.7 Financial income 0.8 1.9 -1.1 -57 5.5 and expenses, total Result before 1.0 0.1 0.9 41.2 extraordinary items Extraordinary items 0.0 0.0 0.0 -0.6 Profit before taxes 1.0 0.1 0.9 40.6 Direct taxes 0.3 0.0 0.3 12.8 (corresponding to net profit) Minority interest 0.0 0.0 0.0 0.0 Profit for the 0.7 0.1 0.7 27.9 period Profit and loss account, EUR mill. 1-3/01 1-3/00 Change 4-6/00 EUR EUR EUR EUR mill. mill. mill. mill. Net turnover 300.6 285.0 15.6 300.3 Other operating income 6.3 0.3 6.0 0.5 Raw materials and 217.5 207.2 10.3 208.2 services Staff expenses 42.3 38.2 4.0 40.5 Depreciation 6.8 6.8 0.1 6.8 Other operating expenses 40.1 35.0 5.2 36.5 Operating profit 0.2 -1.8 2.0 8.8 Financial income and 0.8 1.9 -1.1 2.2 expenses, total Result before 1.0 0.1 0.9 11.0 extraordinary items Extraordinary items 0.0 0.0 0.0 0.0 Profit before taxes 1.0 0.1 0.9 11.0 Direct taxes 0.3 0.0 0.3 3.2 (corresponding to net profit) Minority interest 0.0 0.0 0.0 0.0 Profit for the period 0.7 0.1 0.7 7.8 Profit and loss account, EUR mill. 7-9/00 10-12/00 1-12/00 EUR EUR EUR mill. mill. mill. Net turnover 284.5 350.7 1 220.5 Other operating income 0.5 1.4 2.8 Raw materials and services 198.8 233.3 847.4 Staff expenses 37.4 48.7 164.8 Depreciation 7.1 5.1 25.8 Other operating expenses 34.9 43.1 149.5 Operating profit 6.8 21.9 35.7 Financial income and expenses, 1.2 0.2 5.5 total Result before extraordinary items 8.1 22.0 41.2 Extraordinary items 0.0 -0.6 -0.6 Profit before taxes 8.1 21.4 40.6 Direct taxes (corresponding to net 2.3 7.3 12.8 profit) Minority interest 0.0 0.0 0.0 Profit for the period 5.7 14.3 27.9 Profit and loss account, FIM mill. 1-3/01 1-3/00 Change Change 1-12/00 FIM FIM FIM % FIM mill. mill. mill. mill. Net turnover 1 787 1 695 93 5 7 257 Other operating 37 2 35 16 income Raw materials and 1 293 1 232 61 5 5 039 services Staff expenses 251 227 24 10 980 Depreciation 41 40 1 1 153 Other operating 239 208 31 15 889 expenses Operating profit 1 -11 12 212 Financial income 5 11 -6 -57 33 and expenses, total Result before 6 1 5 245 extraordinary items Extraordinary items 0 0 0 -3 Profit before taxes 6 1 5 241 Direct taxes 2 0 2 76 (corresponding to net profit) Minority interest 0 0 0 0 Profit for the 4 0 4 166 period Profit and loss account, FIM mill. 1-3/01 1-3/00 Change 4-6/00 FIM FIM FIM FIM mill. mill. mill. mill. Net turnover 1 787 1 695 93 1 786 Other operating income 37 2 35 3 Raw materials and services 1 293 1 232 61 1 238 Staff expenses 251 227 24 241 Depreciation 41 40 1 41 Other operating expenses 239 208 31 217 Operating profit 1 -11 12 53 Financial income and 5 11 -6 13 expenses, total Result before 6 1 5 66 extraordinary items Extraordinary items 0 0 0 0 Profit before taxes 6 1 5 66 Direct taxes 2 0 2 19 (corresponding to net profit) Minority interest 0 0 0 0 Profit for the period 4 0 4 46 Profit and loss account, FIM mill. 7-9/00 10-12/00 1-12/00 FIM FIM FIM mill. mill. mill. Net turnover 1 692 2 085 7 257 Other operating income 3 8 16 Raw materials and services 1 182 1 387 5 039 Staff expenses 222 290 980 Depreciation 42 30 153 Other operating expenses 208 256 889 Operating profit 41 130 212 Financial income and expenses, total 7 1 33 Result before extraordinary items 48 131 245 Extraordinary items 0 -3 -3 Profit before taxes 48 127 241 Direct taxes (corresponding to net 14 43 76 profit) Minority interest 0 0 0 Profit for the period 34 85 166 Balance sheet, EUR mill. 31.3.01 % 31.3.00 % 31.12.00 EUR EUR EUR mill. mill. mill. Non-current assets 345 44 334 44 347 Current assets Stocks 228 29 194 26 175 Debtors 178 23 157 21 183 Liquid funds 26 3 67 9 42 Total assets 777 100 753 100 747 Capital and 502 65 505 67 502 reserves Minority interest 0 0 0 0 0 Deferred tax 26 3 25 3 26 liability Non-current 44 6 18 2 44 creditors Current creditors 205 26 205 27 175 Total assets 777 100 753 100 747 Balance sheet, FIM mill. 31.3.01 % 31.3.00 % 31.12.00 FIM FIM FIM mill. mill. mill. Non-current assets 2 054 44 1 989 44 2 062 Current assets Stocks 1 357 29 1 156 26 1 039 Debtors 1 057 23 936 21 1 091 Liquid funds 153 3 397 9 248 Total assets 4 620 100 4 478 100 4 440 Capital and 2 988 65 3 002 67 2 983 reserves Minority interest 1 0 1 0 1 Deferred tax 153 3 147 3 153 liability Non-current 260 6 107 2 261 creditors Current creditors 1 218 26 1 220 27 1 042 Total assets 4 620 100 4 478 100 4 440 Average number of employees, converted to full-time staff 1-3/01 1-3/00 Change 1-12/00 Department Store 3 993 3 931 62 4 092 Division Automotive Sales 795 735 60 768 Division Hobby Hall 658 536 122 592 Seppälä 761 685 76 748 Management and 91 100 -9 95 administration Total 6 298 5 987 311 6 295 Major shareholders at March 31, 2001 Number of Number of votes shares % % 1 Föreningen Konstsamfundet 14.9 11.6 2 Svenska litteratursällskapet i Finland 13.9 8.6 3 Niemistö grouping 10.1 7.8 4 Etola companies 7.1 5.5 5 Stiftelsen för Åbo Akademi 6.7 5.0 6 Sampo-Varma Group 5.1 4.7 7 Samfundet Folkhälsan i svenska Finland 3.2 2.9 8 Wilhelm och Else Stockmanns Stiftelse 2.6 1.6 9 Jenny ja Antti Wihurin rahasto 2.4 2.4 10 Helene och Walter Grönqvists Stiftelse 1.6 1.1 Total 67.5 51.2 Sales, EUR mill. 1-3/01 1-3/00 Change Change 1-12/00 EUR EUR EUR % EUR mill. mill. mill. mill. Department Store 166.6 159.5 7.1 4 712.7 Division Automotive Sales 103.8 105.4 -1.6 -2 402.2 Division Hobby Hall 63.5 50.8 12.7 25 214.9 Seppälä 26.7 26.5 0.2 1 137.4 Real Estate 0.1 0.5 -0.4 -74 0.7 Total 360.7 342.7 18.1 5 1 467.9 Sales, FIM mill. 1-3/01 1-3/00 Change Change 1-12/00 FIM FIM FIM % FIM mill. mill. mill. mill. Department Store 991 948 42 4 4 238 Division Automotive Sales 617 627 -10 -2 2 391 Division Hobby Hall 377 302 75 25 1 278 Seppälä 159 157 1 1 817 Real Estate 1 3 -2 -74 4 Total 2 145 2 037 107 5 8 728 Net turnover, EUR mill. 1-3/01 1-3/00 Change Change 1-12/00 EUR EUR EUR % EUr mill. mill. mill. mill. Department Store 141.5 134.6 6.9 5 599.1 Division Automotive Sales 85.3 86.6 -1.3 -1 331.0 Division Hobby Hall 52.2 41.8 10.4 25 176.9 Seppälä 22.0 21.8 0.2 1 112.9 Real Estate 6.0 5.8 0.1 3 23.2 Eliminations -6.4 -5.7 -0.7 12 -22.5 Total 300.6 285.0 15.6 5 1 220.5 Net turnover, FIM mill. 1-3/01 1-3/00 Change Change 1-12/00 FIM FIM FIM % FIM mill. mill. mill. mill. Department Store 841 801 41 5 3 562 Division Automotive Sales 507 515 -8 -1 1 968 Division Hobby Hall 310 249 62 25 1 052 Seppälä 131 130 1 1 671 Real Estate 36 35 1 3 138 Eliminations -38 -34 -4 12 -134 Total 1 787 1 695 93 5 7 257 Operating profit, EUR mill. 1-3/01 1-3/00 Change 1-12/00 EUR EUR EUR EUR mill. mill. mill. mill. Department Store -0.5 -2.3 1.9 28.2 Division Automotive Sales 0.9 1.1 -0.3 3.9 Division Hobby Hall -1.2 0.0 -1.2 0.6 Seppälä -5.0 -2.9 -2.2 1.4 Real Estate 4.3 4.1 0.3 15.9 Other operating income 6.3 0.3 6.0 2.8 Eliminations -4.6 -2.2 -2.5 -17.0 Total 0.2 -1.8 2.0 35.7 Operating profit, FIM mill. 1-3/01 1-3/00 Change 1-12/00 FIM FIM FIM FIM mill. mill. mill. mill. Department Store -3 -14 11 168 Division Automotive Sales 5 7 -2 23 Division Hobby Hall -7 0 -7 4 Seppälä -30 -17 -13 8 Real Estate 26 24 2 94 Other operating income 37 2 35 16 Eliminations -27 -13 -15 -101 Total 1 -11 12 212 Capital expenditures, gross, EUR mill. 1-3/01 1-3/00 Change Change 1-12/00 EUR EUR EUR % EUR mill. mill. mill. mill. Department Store 2.8 4.9 -2.1 -42 14.7 Division Automotive Sales 0.3 0.8 -0.5 -59 2.5 Division Hobby Hall 1.1 0.7 0.4 55 3.9 Seppälä 1.1 1.0 0.1 6 5.2 Real Estate 0.5 3.2 -2.7 -84 9.9 Others 1.6 0.7 0.9 121 8.8 Total 7.5 11.4 -3.9 -34 45.1 Capital expenditures, gross, FIM mill. 1-3/01 1-3/00 Change Change 1-12/00 FIM FIM FIM % FIM mill. mill. mill. mill. Department Store 17 29 -12 -42 88 Division Automotive Sales 2 5 -3 -59 15 Division Hobby Hall 7 4 2 55 23 Seppälä 7 6 0 6 31 Real Estate 3 19 -16 -84 59 Others 9 4 5 121 52 Total 44 68 -23 -34 268 Key figures 1-3/01 1-3/00 Change 1-12/00 Share issue-adjusted earnings per 0.01 0.00 0.01 0.55 share, EUR Share issue-adjusted earnings per 0.01 0.00 0.01 0.55 share, diluted, EUR Share issue-adjusted earnings per 0.08 0.01 0.07 3.28 share, FIM Share issue-adjusted earnings per 0.08 0.01 0.07 3.28 share, diluted, FIM Share issue-adjusted equity per 9.78 9.83 -0.05 9.76 share, EUR Share issue-adjusted equity per 58.14 58.42 -0.28 58.06 share, FIM Interest-bearing net debt, -36.1 -66.1 30.0 -77.1 EUR mill. Interest-bearing net debt, -214.7 -393.0 178.3 -458.5 FIM mill. Return on equity, %, 5.7 11.8 -6.1 5.6 moving 12 months Return on investment, %, 8.6 15.4 -6.8 8.4 moving 12 months Equity ratio % 64.7 67.1 -2.4 67.2 Gearing % 15.2 7.0 8.2 9.2 Cash flow per share EUR -0.79 -0.16 -0.63 0.49 Cash flow per share FIM -4.70 -0.98 -3.72 2.93 Number of shares at 51 383 51 383 0 51 383 March 31, 2001, thousands Weighted average number 50 970 51 383 -413 51 237 of shares, thousands Share turnover Series A EUR mill. 1.4 12.1 -10.6 27.5 FIM mill. 8.5 71.7 -63.2 163.3 Thousands 117 723 -606 1 756 % 0.5 2.9 -2.4 7.1 Series B EUR mill. 5.0 22.8 -17.8 64.0 FIM mill. 29.7 135.4 -105.7 380.8 Thousands 428 1 502 -1 074 4 464 % 1.6 5.7 -4.1 16.8 Investments in fixed assets, 7.5 11.4 -3.9 45.1 EUR mill. Investments in fixed assets, 44.4 67.8 -23.4 268.0 FIM mill. Average number of employees, 6 298 5 987 311 6 295 converted to full-time staff Funds statement, EUR mill. 1-3/01 1-3/00 1-12/00 EUR EUR EUR mill. mill. mill. Cash flow from operations -40.7 -8.4 25.2 Cash flow into and from investments 1.3 -8.2 -36.6 Financial cash flow Dividend paid 0.0 0.0 -30.9 Change in long-term loans -0.1 -0.2 -19.0 Change in short-term loans 23.5 -1.9 17.6 Financial cash flow, total 23.4 -2.1 -32.3 Change in cash funds -16.0 -18.6 -43.7 Cash funds at start of the financial year 41.7 85.3 85.3 Cash funds at end of the financial year 25.7 66.7 41.7 Funds statement, FIM mill. 1-3/01 1-3/00 1-12/00 FIM FIM FIM mill. mill. mill. Cash flow from operations -242 -50 150 Cash flow into and from investments 8 -49 -218 Financial cash flow Dividend paid 0 0 -184 Change in long-term loans -1 -1 -113 Change in short-term loans 140 -11 105 Financial cash flow, total 139 -12 -192 Change in cash funds -95 -111 -260 Cash funds at start of the financial year 248 507 507 Cash funds at end of the financial year 153 397 248 Contingent liabilities, EUR mill. 31.3.01 31.3.00 31.12.00 EUR EUR EUR mill. mill. mill. Mortgages on land and buildings 3.5 3.6 3.5 Pledges 0.1 0.1 0.1 Other commitments 52.1 41.1 49.1 Total 55.7 44.8 52.7 Contingent liabilities, FIM mill. 31.3.01 31.3.00 31.12.00 FIM FIM FIM mill. mill. mill. Mortgages on land and buildings 21 22 21 Pledges 0 1 0 Other commitments 310 244 292 Total 331 266 314 Derivative instruments Underlying amount remaining open March 31, 2001 EUR FIM EUR FIM mill. mill. mill. mill. Interest rate derivatives Forward agreements 9.0 54 Foreign exchange derivatives Forward agreements 39.7 236 37.6 224 Equity derivatives Options Bought 4.9 29 1.2 7 Sold 5.0 30 3.7 22 If all the derivative instruments had been closed on March 31, 2001, their net impact on earnings would have been a decrease of EUR 0.8 million (FIM 4.8 million). Part of the open contracts relate to the hedging of future cash flows from operations. Increases in share capital Subscribed 1997 With warrants of the 1994 bond issue Subscription period Jan. 2, 1997 -Oct. 31, 1997 Subscription price, EUR 37.95 Subscription price, FIM 225.67 Number of new shares, thousands 15 B Additional share capital, EUR mill. 0.1 Additional share capital, FIM mill. 0.3 New total share capital, EUR mill. 48.6 New total share capital, FIM mill. 288.9 1998 With warrants of the 1994 bond issue Subscription period Jan. 2, 1998 -Apr. 12, 1998 Subscription price, EUR 40.37 Subscription price, FIM 240.00 Number of new shares, thousands 240 B Additional share capital, EUR mill. 0.8 Additional share capital, FIM mill. 4.8 New total share capital, EUR mill. 49.4 New total share capital, FIM mill. 293.7 1998 Halving of par value Subscription period May 12, 1998 Number of new shares, thousands 8 290 A Number of new shares, thousands 6 395 B New total share capital, EUR mill. 49.4 New total share capital, FIM mill. 293.7 1998 Bonus issue 2 A/B : 1 A/B Subscription period May 12, 1998 Number of new shares, thousands 8 290 A Additional share capital, EUR mill. 13.9 Additional share capital, FIM mill. 82.9 Number of new shares, thousands 6 395 B Additional share capital, EUR mill. 10.7 Additional share capital, FIM mill. 63.9 New total share capital, EUR mill. 74.1 New total share capital, FIM mill. 440.5 1998 Share issue 4 A/B : 1 B Subscription period May 14, 1998 -June 12, 1998 Subscription price, EUR 12.61 Subscription price, FIM 75.00 Number of new shares, thousands 7 329 B Additional share capital, EUR mill. 12.3 Additional share capital, FIM mill. 73.3 New total share capital, EUR mill. 86.4 New total share capital, FIM mill. 513.8 2000 Bonus issue, increasing of the par value Subscription period September 1, 2000 Additional share capital, EUR mill. 16.3 Additional share capital, FIM mill. 97.2 New total share capital, EUR mill. 102.8 New total share capital, FIM mill. 611.0 Coming issues with warrants* 2000-2004 With warrants of the 1997 bond issue Subscription period Apr. 1, 2000 -Jan. 31, 2004 Subscription price, EUR 16.75 less dividends after May 1, 1998 (1) Subscription price, FIM 99.57 less dividends after May 1, 1998 (1) Number of new shares, thousands 1 260 B Additional share capital, EUR mill. 2.5 Additional share capital, FIM mill. 15.0 New total share capital, EUR mill. 105.3 New total share capital, FIM mill. 626.0 Holding, % 2.4 Proportion of votes, % 0.5 2001-2005 Subscr. with 1999 Loyal Customer Subscription period May 1, 2001 -May 31, 2005 Subscription price, EUR 15.70 less dividends after April 1, 1999 (2) Subscription price, FIM 93.35 less dividends after April 1, 1999 (2) Number of new shares, thousands 1 383 B Additional share capital, EUR mill. 2.8 Additional share capital, FIM mill. 16.4 New total share capital, EUR mill. 108.0 New total share capital, FIM mill. 642.4 Holding, % 2.7 Proportion of votes, % 0.5 2003-2007 Subscr. with key employee options granted in 2000 Subscription period Apr. 1, 2003 -Apr. 1, 2007 Subscription price, EUR 20.00 A less dividends after April 11, 2000 (3) Subscription price, FIM 118.91 A less dividends after April 11, 2000 (3) Number of new shares, thousands 625 B Subscription price, EUR 21.00 B less dividends after April 11, 2000 (4) Subscription price, FIM 124.86 B less dividends after April 11, 2000 (4) Number of new shares, thousands 625 B Subscription price, EUR 22.00 C less dividends after April 11, 2000 (5) Subscription price, FIM 130.81 C less dividends after April 11, 2000 (5) Number of new shares, thousands 1 250 B Additional share capital, EUR mill. 5.0 Additional share capital, FIM mill. 29.7 New total share capital, EUR mill. 113.0 New total share capital, FIM mill. 672.1 Holding, % 4.6 Proportion of votes, % 0.9 *If all options are exercised (1) Subscription price after 2001 dividend payout: EUR 14.71 (2) Subscription price after 2001 dividend payout: EUR 13.66 (3) Subscription price after 2001 dividend payout: EUR 18.80 (4) Subscription price after 2001 dividend payout: EUR 19.80 (5) Subscription price after 2001 dividend payout: EUR 20.80 The figures in this Interim Report are unaudited. The figures in this report are based on accounts stated in Finnish markkaa, from which the figures in euros have been calculated by applying the conversion rate 5.94573. Helsinki, May 23, 2001 STOCKMANN plc Hannu Penttilä Managing Director DISTRIBUTION Helsinki Exchanges Principal media A press and analyst conference will be held today, May 23, 2001, at 2 p.m. at the World Trade Center, Aleksanterinkatu 17, Helsinki. ------------------------------------------------------------ This information was brought to you by BIT http://www.bit.se The following files are available for download: http://www.bit.se/bitonline/2001/05/23/20010523BIT00440/bit0003.doc The full report http://www.bit.se/bitonline/2001/05/23/20010523BIT00440/bit0003.fcm The full report