2014-03-18 16:20:26 CET

2014-03-18 16:21:26 CET


REGULATED INFORMATION

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Neo Industrial Oyj - Company Announcement

DISTRICT COURT OF PIRKANMAA DISMISSED THE ACTION OF THE BANKRUPTCY ESTATE OF KUITU FINLAND AGAINST NEO INDUSTRIAL PLC


NEO INDUSTRIAL PLC          STOCK EXCHANGE RELEASE      18 March 2014 at 5.20 pm

DISTRICT COURT OF PIRKANMAA DISMISSED THE ACTION OF THE BANKRUPTCY ESTATE OF
KUITU FINLAND AGAINST NEO INDUSTRIAL PLC 

The bankruptcy estate of Kuitu Finland initiated in spring 2013 an action
against Neo Industrial regarding the purchase of the mill real estate of Neo
Industrial's subsequently bankrupted Avilon Fibres Ltd. Neo Industrial has
given a personal quarantee on the repayment of the puchase price. 

In accordance with the agreement the quaranteed debt was due for payment during
25 years. The action demanded Neo Industrial to pay the remaining EUR 5 million
as non-recurrent compensation, as well as EUR 309 thousand as building cost
index in addition to interests and legal expenses. 

The District Court of Pirkanmaa dismissed the action of the bankruptcy estate
of Kuitu Finland on 17 March  and ordered Kuitu Finland to repay Neo Industrial
Plc for the legal expences. The bankruptcy estate of Kuitu Finland has
expressed dissatisfaction with the decision. 

The provisions made in the financial statements for 2012 are in accordance with
the decision of the District Court of Pirkanmaa. 



Neo Industrial Plc

Jari Salo
Managing Director

For further information, please contact:
Jari Salo, Managing Director, tel. +358 207 209 196
Sari Tulander, CFO, tel. +358 207 209 192

www.neoindustrial.fi

Neo Industrial's strategy is to invest mainly in industrial companies with
similar synergic benefits. The aim of investments is with active ownership to
develop the purchased companies and establish additional value. Returns are
sought through both dividend flow and an increase in value. Neo Industrial's
class B shares are listed on the NASDAQ OMX Helsinki Stock Exchange. Neo
Industrial's business segment is Cable Industry.