Finnair Oyj - Company Announcement

Finnair prepares for growth and plans an organisational renewal

Finnair Plc         Stock Exchange Release           16 February 2016 at 9:30 am
EET

Finnair is accelerating its growth and is therefore planning an organisational
renewal as of 1 March 2016 in line with its growth strategy.

After multi-year savings programmes, the company is now preparing for growth on
the back of its new A350 aircraft. The new era requires an organisation which
enables growth in the optimal manner. The company is heading for the right
direction, and it is now seeking the agility needed to take advantage of growth
opportunities.

– We have worked hard in recent years to improve our competitiveness, and the
year 2015 proved that we are clearly on the right track. We are heading for the
right direction, and now our aim is to gain speed and capability to grasp new
business opportunities. We want to ensure that we create an organisation which
enables, and accelerates, the generation of growth. Growth requires resources
and sharper focus in some areas, emphasises Pekka Vauramo, Finnair CEO.

- We now want to place the customer experience even more prominently in the core
in our operations. This is key in our growth strategy. Our business environment
is in a continuous state of transformation, and therefore we must be proactive
in order to respond swiftly to adaptation needs, Vauramo states. – Our objective
is to offer the customer a unique Nordic experience and a more extensive and
competitive network than before. While doing so, we need to ensure that we
further develop our operational reliability, which is already world-class.

Finnair’s new organisation is anticipated to take effect on 1 March 2016. The
announced organisational renewal plans will require consultation of employee
representatives in accordance with the Act on Co-operation within Undertakings.
The organisation would consist of the following units:

  · Customer Experience, which will be led by Piia Karhu, b. 1976. Ms Karhu has
a doctoral degree in business administration and she has held various leadership
positions      at Finnair since 2013, most recently in charge of network
planning and business development.
  · Strategy and Resource Management, which will be led by Ville Iho. Mr Iho was
previously in charge of the Operations unit. He is also Finnair’s Deputy CEO.
  · Operations, whose leader will be appointed later. For time being Ville Iho
will lead the Operations unit.
  · Commercial, which will continue to be led by Juha Järvinen.
  · Digitalisation, led by a Chief Digital Officer (CDO). Finnair has appointed
M.Sc. (Tech), eMBA, Katri Harra-Salonen as CDO, effective 21 March 2016. Ms
Harra-Salonen, b. 1969, has conducted a long career in digital transformation
positions. Since 2012, she has been a founder and the CEO of Umbrella Strategic
Advisory Ltd. Previously, she has been the CEO of Fjord Sweden in Stockholm and
held leadership positions at Satama Interactive in Finland and Sweden. Finnair’s
IT organisation, which continues to be led by Kari Saarikoski, will report to
the CDO.
  · Human Resources, Finance and Control, Legal Affairs as well as
Communications, Corporate Responsibility and Public Relations will primarily
remain intact, and their leaders and reporting lines will remain unaffected.
However, these units will be also developed to support growth and Finnair’s
business.

– Our plan is now to expand the Executive Board and lower the span of control,
states Pekka Vauramo. By doing so, we seek to ensure quick and coordinated
decision making, since growth requires timely exploitation of business
opportunities, and seamless cooperation.

As of 1 March 2016, Finnair’s Executive Board will consist of the following
persons:

Pekka Vauramo, President and Chief Executive Officer

Eija Hakakari, SVP Human Resources

Ville Iho, SVP Strategy and Resource Management, Deputy CEO

Juha Järvinen, Chief Commercial Officer

Piia Karhu, SVP Customer Experience

Sami Sarelius, SVP and General Counsel

Arja Suominen, SVP Corporate Communications and Corporate Responsibility

Pekka Vähähyyppä, Chief Financial Officer

The appointed CDO Katri Harra-Salonen will join Finnair Executive Board on 21
March 2016. In addition, the future head of Operations will also join the
Executive Board.

Finnair Plc
Communications
Further information:
Finnair communications, tel. +358 9 818 4020, comms(a)finnair.com

Distribution:
Nasdaq Helsinki
Principal media
Finnair is a network airline specialising in passenger and cargo traffic between
Asia and Europe. Helsinki’s geographical location gives Finnair a competitive
advantage, since the fastest connections between many European destinations and
Asian megacities fly over Finland. Finnair’s vision is to offer its passengers a
unique Nordic experience, and its mission is to offer the smoothest, fastest
connections in the northern hemisphere via Helsinki and the best network to the
world from its home markets. Finnair is the only Nordic carrier with a 4-star
Skytrax ranking and a member of the oneworld alliance. In 2015, Finnair’s
revenues amounted to EUR 2,324 million and it had a personnel of 4,800 at the
year-end. Finnair Plc’s shares are quoted on Nasdaq Helsinki.