SanomaWSOY - Company Announcement

Sanoma's Net Sales 2008 over EUR 3 Billion, EBIT Excluding Non-Recurring Items Almost at the Previous Year's Level. Impairment Loss in Magazine Operations in CEE and Russia due to Changes in Market Conditions.

Stock Exchange Release 21/1/2009  13:30

Sanoma recognises an impairment loss of some EUR 78 million on the
goodwill and immaterial rights of Sanoma Magazines International on
the fourth quarter of 2008, due to weakened growth expectations. The
recognition of the loss will not affect the Group's dividend policy
or ability to pay dividends.

Sanoma Magazines International is responsible for the Group's
magazine and online operations in Central Eastern Europe and Russia.
The short-term outlook of these businesses has weakened due to
changes in market conditions. The general economic uncertainty will
affect especially the advertising income generated in these
countries. In addition, the exchange rates used in consolidating the
operations in CEE countries and Russia with the Group's financial
statements have weakened against euro.

Sanoma Magazines International's balance sheet includes, after the
impairment, in total some EUR 215 million in goodwill and immaterial
rights booked in connection with acquisitions. Sanoma's assets are
tested for impairment annually in accordance with IAS 36 and in
addition to this recognition of impairment loss, no other impairment
needs have been identified.

The non-recurring impairment loss will weaken the Group's result for
2008 by some EUR 78 million. Sanoma's net sales in 2008 is expected
to be over EUR 3 billion. Previously the Group expected operating
profit excluding non-recurring items to be at the previous year's
level. Due to economic environment, operating profit excluding these
items is now estimated to be almost at the previous year's level. The
impairment loss recognised will slightly decrease the Group's equity
ratio but Sanoma still clearly exceeds the demands of solidity in its
loan agreements. Sanoma will publish its Full-Year Result for 2008 on
10 February 2009 at around 11 am Finnish time.

Sanoma Corporation

Kim Ignatius
Chief Financial Officer

www.sanoma.com

Sanoma  inspires,  informs  and   connects.  We  bring   information,
experiences, education and entertainment to millions of people  every
day. We make sure that  quality content and interesting products  and
services are easily available  and meet the  demands of our  readers,
viewers  and  listeners.   We  offer   challenging  and   interesting
employment for over 20,000 people in 20 countries throughout  Europe.
In 2007, the Group's net sales totalled EUR 2.9 billion.