Stora Enso Oyj - Company Announcement

Stora Enso plans restructuring of packaging operations to better meet customer needs

Helsinki, Finland, 2011-11-04 10:00 CET (GLOBE NEWSWIRE) -- STORA ENSO OYJ
STOCK EXCHANGE RELEASE 4 November 2011 at 11.00 EET 

Stora Enso's Packaging Business Area plans to increase its cost competitiveness
and respond to market demand by restructuring its core and coreboard operations
in Finland, Germany, the United Kingdom and the USA, and streamlining
corrugated packaging production in Finland. 

“In core and coreboard markets the main customer is the board and paper
industry. Decreased demand for paper mill cores in mature markets has made the
market situation tighter, and in the current financial situation the outlook is
uncertain. Corrugated packaging markets are very local and closely related to
national economies. In Finland demand is still clearly below pre-crisis levels,
and there are no signs of sustained recovery. The planned restructuring and
streamlining measures, including some development investments, will enable us
to better meet customer and market expectations and ensure our competitiveness
by being more cost efficient and streamlining our operations,” says Mats
Nordlander, EVP, Stora Enso Packaging Business Area. 

The planned restructuring measures would reduce approximately 80 employees in
corrugated packaging operations in Finland, and approximately 70 employees in
core and coreboard operations mainly in Germany, Finland, the United Kingdom
and the USA. In addition, the plans include possible temporary lay-offs at
corrugated packaging operations in Finland. Stora Enso's Packaging Business
Area plans to reduce annual costs by approximately EUR 6 million, starting
during the first quarter of 2012, with all planned actions to be completed by
the end of the third quarter of 2012. Stora Enso will record a restructuring
provision and an inventory write-down of approximately EUR 4 million in the
Industrial Packaging segment in the fourth quarter of 2011 results. 

All decisions will be made after the local co-determination negotiations have
been concluded. Stora Enso would make every effort in co-operation with local
communities to help the affected personnel find new employment opportunities,
and all job openings in other Stora Enso units would be available to those
affected. 
For further information, please contact:
Mats Nordlander, EVP, Packaging Business Area, tel. +46 7033 70890
Ulla Paajanen-Sainio, Head of Investor Relations, tel. +358 2046 21242
Lauri Peltola, Head of Communications and Global Responsibility, tel. +358 2046
21380 



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


Stora Enso is the global rethinker of the packaging, paper and wood products
industry. We always rethink the old and expand to the new to offer our
customers innovative solutions based on renewable materials. Stora Enso employs
some 30 000 people worldwide, and our sales in 2010 amounted to EUR 10.3
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. 

STORA ENSO OYJ