Lemminkäinen - Inside information

Damages related to asphalt cartel: the Supreme Court granted partial leave to appeal to Lemminkäinen and the city of Vantaa

LEMMINKÄINEN CORPORATION  STOCK EXCHANGE RELEASE  6 SEPTEMBER 2017 AT 9:00 A.M.

DAMAGES RELATED TO ASPHALT CARTEL: THE SUPREME COURT GRANTED PARTIAL LEAVE TO
APPEAL TO LEMMINKÄINEN AND THE CITY OF VANTAA

The Supreme Court has announced today, that it has granted leave to appeal to
Lemminkäinen and the city of Vantaa regarding the legal proceedings concerning
the damages related to the asphalt cartel. Concerning Lemminkäinen, there were
13 pending requests for leave to appeal submitted by Lemminkäinen as well as 19
requests for leave to appeal submitted by municipalities in the Supreme Court
concerning the Helsinki Court of Appeal’s decisions on 20 October 2016 regarding
damages related to the asphalt cartel.

Lemminkäinen was granted leave to appeal in the cases concerning the cities of
Mikkeli and Rovaniemi. The leave to appeal concerns the question whether the
liability for compensation of Lemminkäinen has decreased due to the fact that
the other parties’ liability was time barred. The other applications for leave
to appeal by Lemminkäinen will await the decisions to be rendered in the cases
where leave to appeal was granted.

The leave to appeal granted to the city of Vantaa concerns the question whether
Skanska Asfaltti Oy, NCC Industry Oy and Asfaltmix Oy were liable for damages
caused by the cartel to the city based on the fact that the companies had
acquired businesses from companies involved in the cartel. The question whether
leave to appeal will be granted to Lemminkäinen and to the city of Vantaa,
concerning other than the above mentioned issues, will be resolved in connection
with the appeal.

According to the Supreme Court’s decisions of today, the applications for leave
to appeal of 15 cities or municipalities concerning Lemminkäinen were dismissed
entirely. The application for leave to appeal by the city of Espoo will await
the decisions to be rendered in the cases where leave to appeal was granted.

Background information

On 20 October 2016, the Court of Appeal of Helsinki gave its decisions in the
legal proceedings concerning the damages related to the asphalt cartel.
Regarding the 37 claims against Lemminkäinen, Lemminkäinen and other asphalt
industry companies are entitled to receive reimbursements in total approximately
EUR 20 million (consisting of capital amount of approximately EUR 14 million
less as well as interest and legal expenses of approximately EUR 6 million less
than according to the decisions of the District Court).

Of these reimbursements, Lemminkäinen is entitled to receive refunds (based on
Lemminkäinen’s own share and those shares of other defendants that Lemminkäinen
has paid) in total approximately EUR 19 million consisting of capital as well as
interest and legal expenses. Lemminkäinen recorded the reimbursement as income
in its fourth-quarter result in 2016.

Lemminkäinen has as such deemed the claims for damages unfounded. After Helsinki
Court of Appeal's decisions, Lemminkäinen has settled with 17 municipalities and
the State of Finland. The parties agreed not to request leave to appeal from the
Supreme Court or to withdraw their leave to appeal concerning the Helsinki Court
of Appeal's decisions.

In addition, Lemminkäinen has been served summons regarding 21 claims against
Lemminkäinen and other asphalt companies for damages. The capital amount of
these claims is approximately EUR 26 million. For these claims, Lemminkäinen has
made a provision worth EUR 5.2 million based on the Helsinki Court of Appeal's
decisions.

More information can be found on the company’s website
http://www.lemminkainen.com/Lemminkainen/Investors/Lemminkainen-as-an
-investment/Asphalt-cartel-issue/

LEMMINKÄINEN CORPORATION
Corporate Communications

ADDITIONAL INFORMATION:
Johan Nybergh, General Counsel
Tel. +358 2071 53304
johan.nybergh@lemminkainen.com

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Lemminkäinen is an expert in complex infrastructure construction and building
construction in Northern Europe and one of the largest paving companies in its
market. Together with our customers and 4,700 professionals we employ, we build
a sustainable society. In 2016, our net sales were EUR 1.7 billion. Lemminkäinen
Corporation’s share is quoted on Nasdaq Helsinki Ltd. www.lemminkainen.com