KONE Oyj - Company Announcement

KONE completes the increase of its shareholding in GiantKONE from 40% to 80%

KONE Corporation, stock exchange release, December 1, 2011 at 11 a.m. EET
KONE announced in May 2011 that it had agreed to acquire a further 40% stake in
its Chinese joint venture GiantKONE Elevators Co., Ltd. ("GiantKONE") from
Zhejiang Giant Holdings Co., Ltd. ("Giant Holdings"), increasing KONE's
shareholding in GiantKONE from 40% to 80%. All conditions for the transaction
have been fulfilled and the transaction has been successfully completed on
December 1, 2011. KONE has paid the purchase price of RMB 950 million in full to
Giant Holdings.

As a result of this transaction, KONE becomes the majority shareholder of
GiantKONE. KONE will consolidate GiantKONE as of December 1, 2011. Giant
Holdings continues as a shareholder of GiantKONE with a 20% stake. The
transaction includes an option for KONE to buy and a respective option for Giant
Holdings to sell the remaining 20% stake in GiantKONE to KONE. Giant KONE will
continue doing business as a separate entity under the GiantKONE brand.

In accordance with IFRS 3, KONE will book a one-off gain of approximately EUR
65 million related to the revaluation of the 40% stake held by KONE prior to the
transaction. This revaluation will be recorded under the share of associated
companies' net income.

The consolidation of the transaction is not expected to have a material impact
on KONE's sales in 2011. As a result of IFRS 3 adjustments such as intangible
asset amortizations and transaction costs, the consolidation of the transaction
is expected to have a marginal negative impact on KONE's operating income in
2011 and a marginal positive impact on KONE's operating income in 2012.

About KONE

KONE is one of the global leaders in the elevator and escalator industry. The
company has been committed to understanding the needs of its customers for the
past century, providing industry-leading elevators, escalators and automatic
building doors as well as innovative solutions for modernization and
maintenance. The company's objective is to offer the best people flow experience
by developing and delivering solutions that enable people to move smoothly,
safely, comfortably and without waiting in buildings in an increasingly
urbanizing environment. In 2010, KONE had annual net sales of EUR 5 billion and
approximately 33,800 employees. KONE class B shares are listed on the NASDAQ OMX
Helsinki Ltd in Finland.

www.kone.com

For further information, please contact:

Investors and analysts:
Karla Lindahl, Director, Investor Relations, tel. +358 204 75 4441

Media:
Anne Korkiakoski, Executive Vice President, Marketing and Communications, tel.
+358 50 67 411

Sender:

KONE Corporation

Matti Alahuhta, President and CEO

Klaus Cawén, Executive Vice President, M&A and Strategic Alliances, Russia and
Legal Affairs


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