Stora Enso proceeds with Papeteries de France acquisition
STORA ENSO OYJ Stock Exchange Release 24 February 2005 at 9.30
Stora Enso proceeds with Papeteries de France acquisition Stora Enso and International Paper have signed a definitive agreement concerning Stora Ensos previously announced acquisition of the French paper merchant Papeteries de France (PdF) from International Paper. The transaction is expected to be closed at the end of March 2005, subject to formal processes and approval by regulatory authorities. The debt free transaction value is estimated to EUR 18 million. PdF will become part of the Stora Enso Merchants division, Papyrus. The acquisition is a further step in strengthening the Papyrus presence in France and Western Europe. Following the acquisition, Papyrus will become the second- biggest paper merchant in France, with annual sales of about EUR 260 million and 345 employees. The annual sales volume in France is some 260 000 tonnes of fine paper. As a customer interface for the Group, our merchant business Papyrus is an important component of Stora Ensos value chain and takes us one step closer to the customer. Papyrus provides us vital insight into the customers business and helps us better understand the end-users needs, says Kai Korhonen, Senior Executive Vice President, Stora Enso Paper. Papyruss strategy is to be a leading player in the markets and segments where it operates. This acquisition will clearly help us achieve this objective in France and therefore Western Europe. We believe that by creating a stronger position we can serve our customers better and generate improved financial returns, says Mats Nordlander, President of Papyrus. For further information, please contact: Kai Korhonen, Senior Executive Vice President, Stora Enso Paper, tel. +44 20 7016 3162 Mats Nordlander, President of Papyrus, tel. +46 70 337 08 90 or +46 31 67 06 03 Kari Vainio, Executive Vice President, Corporate Communications, tel. +44 7799 348 197 Keith B Russell, Senior Vice President, Investor Relations, tel. +44 7775 788 659 Papyrus is a wholly-owned paper merchanting subsidiary of Stora Enso with annual sales in 2004 of EUR 640 million. Papyrus holds a leading position in the Nordic countries and a strong market position in Western Europe. Papyrus currently has a presence in thirteen European markets, including operations in France with net sales in 2004 of some EUR 100 million and about 135 employees. STORA ENSO OYJ p.p. Jukka Marttila Minna Taukojärvi