Kotkamills Group Oyj - Company Announcement

Kotkamills Group Oyj: KOTKAMILLS TO START THE NEW BOARD MACHINE IN JULY

STOCK EXCHANGE RELEASE

18 May 2016, at 4 pm (CET + 1)

Kotkamills Group Oyj is pleased to inform that the construction work of the new
BM 2 has progressed to the very advanced stage. The co-operation with potential
new clients has proved that there is strong interest in consumer board products
of Kotkamills Oy, subsidiary of Kotkamills Group Oyj.

As an outcome of the Flying Eagle project a printing paper machine is converted
to board machine producing recyclable, repulpable and renewable consumer board
products. After shutdown and fast demolition of PM2, the construction work of
the new BM 2 started in February at Kotkamills in Kotka, Finland. The intensive
project has demanded extensive work from both Kotkamills personnel as well as
from external suppliers.

The start-up of the new board machine will take place during July 2016. The
earlier target set already in 2015 was last week of June 2016.

Kotkamills Group Oyj
Board of Directors

For additional information, please contact:

CEO Markku Hämäläinen, tel.+358 40 721 0548, markku.hamalainen@kotkamills.com.

DISTRIBUTION:
Nasdaq Helsinki Ltd
Key media
www.kotkamills.com

Kotkamills Group in brief

Kotkamills is a responsible partner that delivers renewable products and high
quality performance to its customers' processes via product innovations created
from wood, a renewable raw material. Kotkamills' key brands include Absorbex®
and Imprex®, both innovative laminating paper products for the laminate and
plywood industries. Moreover, Kotkamills also offers ecological, technically
sound and visually attractive wood products for demanding joinery and
construction. The start-up of the new board machine producing totally recyclable
Consumer Board products is due in 2016. www.kotkamills.com

Disclaimer
The information contained in this release shall not constitute an offer to sell
or the solicitation of an offer to buy securities of Kotkamills Group Oyj in any
jurisdiction.

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