Stora Enso Oyj - Company Announcement

Stora Enso continues to grow in Building Solutions by investing EUR 23 million in constructing a CLT unit at Ybbs Sawmill in Austria

Helsinki, Finland, 2011-01-27 08:00 CET (GLOBE NEWSWIRE) -- STORA ENSO OYJ
STOCK EXCHANGE RELEASE 27 January 2011 at 09.00 EET 



Stora Enso Wood Products is continuing to implement its Building Solutions
strategy by constructing a cross-laminated timber (CLT) production unit at Ybbs
Sawmill in Austria. The EUR 23 million project will commence in the first
quarter of 2011 and is expected to be completed during the third quarter of
2012. 

“This investment, together with the existing CLT production unit at Bad St.
Leonhard in Austria and the recently acquired building element producer
Eridomic Oy in Finland, will provide a strong basis for further growth in
Building Solutions. As our third investment in the past few months, it is an
important milestone in increasing the share of higher value-added businesses in
Wood Products' portfolio,” says Hannu Kasurinen, EVP Wood Products. 

“The European CLT market has been growing by almost 20% per year over the past
decade, and we expect the demand of CLT-based solutions to continue increasing
rapidly. We want to grow with our customers in our established markets,
single-family housingin Central and Western Europe. We also see good prospects
for CLT-based multi-storey buildings, where wood has traditionally had marginal
market share. A good example of this is the on-going eight-storey building
project in London,” comments Kasurinen. 

Stora Enso is currently developing a CLT-based building system primarily for
urban multi-storey construction. The acquisition of Finnish market leader
Eridomic, which has a strong position in special roof elements and large wall
elements, gives Stora Enso exceptional engineering competencies and a valuable
customer base. 

“We plan to develop Eridomic's existing core business and bring in our
CLT-based building system as a new business,” says Hannu Kasurinen. 

The Ybbs Sawmill is ideally located for the new CLT unit as it offers efficient
and optimised raw material flow and excellent logistic connections to markets.
The new production unit, with annual capacity of 63 500 m3 of cross-laminated
timber, will employ 59 people when fully operational. 


For further information, please contact:

Hannu Kasurinen, EVP, Stora Enso Wood Products, tel. +358 2046 21222
Ulla Paajanen-Sainio, Head of Investor Relations, tel. +358 2046 21242
Päivi Kauhanen, Communication Director, tel. +358 2046 21292



www.storaenso.com
www.storaenso.com/investors



Stora Enso is a global paper, packaging and wood products company producing
newsprint and book paper, magazine paper, fine paper, consumer board,
industrial packaging and wood products. The Group is the world leader in forest
industry sustainability. We offer our customers solutions based on renewable
raw materials. Our products provide a climate-friendly alternative to many
non-renewable materials, and have a smaller carbon footprint. Stora Enso is
listed in the Dow Jones Sustainability Index and the FTSE4Good Index. Stora
Enso employs some 27 000 people worldwide, and our sales in 2009 amounted to
EUR 8.9 billion. Stora Enso shares are listed on NASDAQ OMX Helsinki (STEAV,
STERV) and Stockholm (STE A, STE R). In addition, the shares are traded in the
USA as ADRs (SEOAY) in the International OTCQX over-the-counter market. 

Cross-laminated timber (CLT) elements comprise multiple cross-laminated layers
of timber. CLT is climate-friendly and easier and quicker to assemble than
competing materials. With high structural strength, individually prefabricated
CLT elements are also suitable for office, industrial and commercial buildings,
and other more demanding types of construction. CLT can be combined with any
other building material, enabling great flexibility in design, style and
architecture. 



STORA ENSO OYJ