Huhtamäki Oyj - Company Announcement

Huhtamaki focuses Malvern, USA, operations on Films production and discontinues Flexibles production in the plant

HUHTAMÄKI OYJ STOCK EXCHANGE RELEASE 4.11.2008 AT 08.00

Huhtamaki will discontinue flexible packaging production in  Malvern,
USA, due to low volumes and unsatisfactory profitability. Huhtamaki's
Films  production  in  the  same  location  is  profitable  and  will
continue.

A restructuring  process  will  start at  the  Malvern  facility  and
approximately 80 employees will be impacted. The site employs a total
of 160 people. Huhtamaki  will take an  approximately EUR 18  million
one-time charge  in  the  fourth  quarter  2008  to  discontinue  the
loss-making  Malvern  Flexibles  operation.  The  charge  is   mostly
non-cash and  the  action will  improve  Flexibles and  Films  Global
segment's ongoing profitability and cash flow.

Due to changes in the retort market in North America the market share
of wet  pet  food  has  declined and  the  volume  and  profitability
expectations for Malvern Flexibles  have not been reached.  Huhtamaki
will continue to  serve the  North American  customers with  flexible
packaging from other  regions. The  Group has  10 flexible  packaging
production units located in Europe, Asia, South America and  Oceania.
The most  recent capacity  expansion investments  have been  made  in
India and Thailand."As part of Huhtamaki's strategic growth plan and the Films  business
success in serving  the North  American market, the  site in  Malvern
will be dedicated to Films. This move will support the growth of  our
Films business in North America and strengthens our position to enter
new markets  and applications  from a  local supply  base", says  CEO
Jukka Moisio.


For further information please contact:
Mr. Timo Salonen, CFO, Tel. +358(0)10 686 7880, available between 2 -
5 pm Finnish time on November 4, 2008
Ms. Kia Aejmelaeus, Head of Investor Relations, Tel. +358 (0)10 686
7819


HUHTAMÄKI OYJ
Group Communications

Huhtamaki Group is a leading manufacturer of consumer and specialty
packaging with 2007 net sales totaling EUR 2.3 billion. Consumer
goods and foodservice markets are served by some 15,000 people in 65
manufacturing units and several sales offices in 35 countries. The
parent company, Huhtamäki Oyj, has its head office in Espoo, Finland
and is listed on the NASDAQ OMX Helsinki Ltd. Additional information
is available at www.huhtamaki.com.