Raute - Company Announcement

RAUTE TO HAVE OVER EUR 6 MILLION IN ORDERS FROM ESTONIA

Nastola, Finland, 2011-11-16 12:15 CET (GLOBE NEWSWIRE) -- RAUTE CORPORATION
STOCK EXCHANGE RELEASE NOVEMBER 16, 2011 at 1:15 p.m. 


RAUTE TO HAVE OVER EUR 6 MILLION IN ORDERS FROM ESTONIA


Raute Corporation has received orders worth over EUR 6 million from Kohila
Vineer Ou in Estonia for the machinery and equipment of a veneer mill. The
orders include, among others, a state-of-the-art peeling line as well as log
and by-products handling lines to be delivered to Kohila, near Tallinn. 

Raute's strong expertise in veneer production can be seen in the scope of the
delivery. Through this investment, the Kohila mill will renew its entire veneer
production to align Raute's veneer production concept. The machinery and
equipment deliveries earlier made by Raute to Latvijas Finieris AS, being the
parent company of Kohila Vineer Ou, had an influence when selecting the
deliverer. 

Latvijas Finieris is one of the largest birch veneer producing companies in the
world with production in all Baltic countries. Kohila Vineer Ou was acquired by
Latvijas Finieris last summer. The earlier owner of Kohila Vineer Ou was placed
in liquidation some three years ago. 

The RauteSmart peeling line included in the delivery has among others a machine
vision application to increase wood recovery and productivity. The application
controls clipping pieces of veneer smaller than a full sheet and sorts veneer
in different quality grades. 

The machinery and equipment will be manufactured at Raute's main production
unit in Nastola, Finland, and by its partner network, except for the machine
vision system, which will be manufactured at the Kajaani unit in Finland. 

These orders will not have an impact on Raute's outlook for 2011. Net sales
will increase from the year 2010, and the operating result is estimated to
remain at the break-even level or be somewhat in the negative. The operating
result will depend on whether the new orders forecast for the end of the year
are realized and on the amount of revenue generated by them for 2011. 

Raute Corporation will publish its financial statements for 2011 on Tuesday,
February 14, 2012. 

RAUTE CORPORATION
Tapani Kiiski
President and CEO

FURTHER INFORMATION:
Mr. Tapani Kiiski, President and CEO, tel. +358 3 829 3560, mobile +358 400 814
148 

DISTRIBUTION:
NASDAQ OMX Helsinki Ltd, main media, www.raute.com

RAUTE IN BRIEF:
Raute is a technology and service company that operates worldwide. Raute's
customers are companies operating in the wood products industry that
manufacture veneer, plywood and LVL (Laminated Veneer Lumber). The technology
offering covers machinery and equipment for the entire production process. As a
supplier of mill-scale projects Raute is a global market leader both in the
plywood and LVL industries. Additionally, Raute's full-service concept includes
services ranging from repairs and spare parts deliveries to regular maintenance
and equipment modernizations. Raute's head office is located in Nastola,
Finland. Its other production plants are in the Vancouver area of Canada, in
the Shanghai area of China, and in Kajaani, Finland. Raute's net sales in 2010
were EUR 62.9 million. The Group's headcount at the end of 2010 was 495. 

More information on the company can be found at: www.raute.com