YIT - Inside information

YIT raises its estimate regarding the adjusted operating profit for 2017 and books a cost related to revaluation of balance sheet items

YIT Corporation Stock Exchange Release January 12, 2018 at 11:45 a.m.
YIT provides preliminary financial information regarding the adjusted operating
profit and revenue for 2017 (segment reporting, POC). In 2017, YIT’s preliminary
adjusted operating profit was approximately EUR 122 million (2016: EUR 79.9
million) and preliminary revenue approximately EUR 1,908 million (2016: EUR
1,783.6 million). The revenue increased approximately by 7 per cent from the
previous year. The figures are based on unaudited preliminary financial results
for the reporting period.

The preliminary adjusted operating profit exceeds the given guidance and the
preliminary revenue is in accordance with the guidance. The more positive
development of the Group adjusted operating profit is due to stronger than
expected last quarter in all segments and especially the strong result in
December. The result estimate is raised by good residential sales in Finland and
in the CEE countries as well as the pick-up of residential sales in Russia
compared to the beginning of the year. The Business Premises and Infrastructure
segment succeeded in closing all the pending property transactions during
December.

Previous guidance for 2017 (segment reporting, POC, published on July 13, 2017)

The Group revenue is estimated to grow by 5–12%.

The adjusted operating profit is estimated to be in the range of EUR 105–115
million.

The adjusted operating profit does not include material reorganisation costs,
impairment charges or other items affecting comparability.

Adjusting items in the last quarter

YIT revaluates balance sheet values of several plots or balance sheet items in
Finland and Lithuania reported under Business Premises and Infrastructure and
Housing Finland and CEE segments. Only minor revaluations were made in Housing
Russia segment. The cost to be booked now will be EUR 14 million at the most.

In addition, in the fourth quarter the adjusting items related to the
preparation of the planned merger between YIT and Lemminkäinen were
approximately EUR 2 million. In 2017, the adjusting items related to the planned
merger were approximately EUR 6 million in total.

The adjusting items reduce the operating profit for the reporting period, but
they do not have an impact on the adjusted operating profit given to the
guidance. The revaluation of balance sheet items does not have an impact on the
cash flow in 2017.

YIT’s Financial Statements Bulletin for 2017 will be published on Thursday,
February 1, 2018. YIT is currently on silent period and will comment its results
and outlook next time after the publishing of the Financial Statements Bulletin.

For further information, please contact:

Hanna Jaakkola, Vice President, Investor Relations, YIT Corporation, tel. +358
40 5666 070, hanna.jaakkola@yit.fi

Esa Neuvonen, Chief Financial Officer, YIT Corporation, tel. +358 40 500 1003,
esa.neuvonen@yit.fi

YIT CORPORATION

Hanna Jaakkola

Vice President, Investor Relations

Distribution: Nasdaq Helsinki, major media, www.yitgroup.com

YIT creates better living environment by developing and constructing housing,
business premises, infrastructure and entire areas. Our vision is to bring more
life in sustainable cities. We want to focus on caring for customer, visionary
urban development, passionate execution and inspiring leadership. Our growth
engine is urban development involving partners. Our operating area covers
Finland, Russia, the Baltic countries, the Czech Republic, Slovakia and Poland.
In 2016, our revenue amounted to nearly EUR 1.8 billion, and we employ about
5,300 employees. Our share is listed on Nasdaq Helsinki. www.yitgroup.com

IMPORTANT NOTICE

The distribution of this release may be restricted by law and persons into whose
possession any document or other information referred to herein comes should
inform themselves about and observe any such restrictions. The information
contained herein is not for publication or distribution, directly or indirectly,
in or into Canada, Australia, Hong Kong, South Africa or Japan. Any failure to
comply with these restrictions may constitute a violation of the securities laws
of any such jurisdiction. This release is not directed to, and is not intended
for distribution to or use by, any person or entity that is a citizen or
resident or located in any locality, state, country or other jurisdiction where
such distribution, publication, availability or use would be contrary to law or
regulation or which would require any registration or licensing within such
jurisdiction.

No part of this release, nor the fact of its distribution, should form the basis
of, or be relied on in connection with, any contract or commitment or investment
decision whatsoever. The information contained in this release has not been
independently verified. No representation, warranty or undertaking, expressed or
implied, is made as to, and no reliance should be placed on, the fairness,
accuracy, completeness or correctness of the information or the opinions
contained herein. Neither YIT nor Lemminkäinen, nor any of their respective
affiliates, advisors or representatives or any other person, shall have any
liability whatsoever (in negligence or otherwise) for any loss however arising
from any use of this release or its contents or otherwise arising in connection
with this release. Each person must rely on their own examination and analysis
of YIT, Lemminkäinen, their respective subsidiaries, their respective securities
and the merger, including the merits and risks involved.

Notice to Lemminkäinen Shareholders in the United States

The YIT shares to be issued in connection with the merger have not been
registered under the U.S. Securities Act of 1933, as amended (the "Securities
Act") and are being issued in reliance on the exemption from registration set
forth in Rule 802 under the Securities Act.

YIT and Lemminkäinen are Finnish companies and the issuance of YIT shares will
be subject to procedural and disclosure requirements in Finland that may be
different from those of the United States. Any financial statements or other
financial information included in this release may have been prepared in
accordance with non-U.S. accounting standards that may not be comparable to the
financial statements of U.S. companies or companies whose financial statements
are prepared in accordance with generally accepted accounting principles in the
United States.

It may be difficult for U.S. shareholders of Lemminkäinen to enforce their
rights and any claims they may have arising under U.S. federal securities laws
in connection with the merger, since YIT and Lemminkäinen are located in non
-U.S. jurisdictions, and some or all of YIT's and Lemminkäinen's officers and
directors may be residents of countries other than the United States. As a
result, U.S. shareholders of Lemminkäinen may not be able to sue YIT or
Lemminkäinen or their respective officers and directors in a court in Finland
for violations of U.S. federal securities laws. Further, it may be difficult to
compel YIT or Lemminkäinen to subject themselves to the jurisdiction or judgment
of a U.S. court.

Lemminkäinen’s shareholders should be aware that YIT may purchase Lemminkäinen’s
shares otherwise than under the merger, such as in open market or privately
negotiated purchases, at any time during the pendency of the proposed merger.

Notice to Shareholders in the United Kingdom

This release, the merger prospectus and the English language offering circular
are for distribution only to persons who (i) have professional experience in
matters relating to investments falling within Article 19(5) of the Financial
Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended, the
"Financial Promotion Order"), (ii) are persons falling within Article 43 of the
Financial Promotion Order (for example as shareholders in Lemminkäinen entitled
to receive the merger consideration shares pursuant to the Finnish Companies Act
(21.7.2006/624, as amended)), (iii) are persons falling within Article 49(2)(a)
to (d) ("high net worth companies, unincorporated associations etc.") of the
Financial Promotion Order, (iv) are outside the United Kingdom, or (v) are
persons to whom an invitation or inducement to engage in investment activity
(within the meaning of section 21 of the Financial Services and Markets Act
2000) in connection with the issue or sale of the merger consideration shares
may otherwise lawfully be communicated or caused to be communicated (all such
persons together being referred to as "relevant persons"). The release, the
merger prospectus and the English language offering circular are directed only
at relevant persons and must not be acted on or relied on by persons who are not
relevant persons. Any investment or investment activity to which these documents
relate, are available only to relevant persons and will be engaged in only with
relevant persons.

Notice to Shareholders in the European Economic Area

The English language offering circular has been prepared on the basis that any
offer of the merger consideration shares in any Member State of the European
Economic Area ("EEA") other than offers (the "Permitted Public Offers") which
are made prior to the Effective Date (as defined in the English language
offering circular), and which are contemplated in the English language offering
circular in Finland once the Finnish language merger prospectus has been
approved by the competent authority in Finland and published in accordance with
the Prospectus Directive, and in respect of which YIT has consented in writing
to the use of the English language offering circular, will be made pursuant to
an exemption under the Prospectus Directive from the requirement to publish a
prospectus for offers of the merger consideration shares. Accordingly any person
making or intending to make an offer in that Member State of the merger
consideration shares which are the subject of the offer contemplated in the
English language offering circular, other than the Permitted Public Offers, may
only do so in circumstances in which no obligation arises for YIT to publish a
prospectus pursuant to Article 3 of the Prospectus Directive or supplement a
prospectus pursuant to Article 16 of the Prospectus Directive, in each case, in
relation to such offer. YIT has not authorised, nor does it authorise, the
making of any offer (other than Permitted Public Offers) of the merger
consideration shares in circumstances in which an obligation arises for YIT to
publish or supplement a prospectus for such offer.

In relation to each Member State of the EEA, with effect from and including the
date on which the Prospectus Directive was implemented in that Member State (the
"Relevant Implementation Date") no offer has been made and will not be made
(other than a Permitted Public Offer) of the merger consideration shares which
are the subject of the offering contemplated by the English language offering
circular to the public in that Member State, except that, with effect from and
including the Relevant Implementation Date, an offer of such merger
consideration shares is made to the public in that Member State:

a)       to any legal entity which is a qualified investor as defined in the
Prospectus Directive;

b)      to fewer than 150 natural or legal persons (other than qualified
investors as defined in the Prospectus Directive), as permitted under the
Prospectus Directive, subject to obtaining the prior consent of YIT for any such
offer; or

c)       in any other circumstances falling within Article 3(2) of the
Prospectus Directive,

provided that no offer of the merger consideration shares is made which would
require YIT to publish a prospectus pursuant to Article 3 of the Prospectus
Directive or supplement a prospectus pursuant to Article 16 of the Prospectus
Directive.

The expression an offer of the merger consideration shares to the public in
relation to any merger consideration shares in any Member State means the
communication in any form and by any means of sufficient information on the
terms of the offer and the merger consideration shares to be offered so as to
enable an investor to decide to purchase or subscribe to the merger
consideration shares, as the same may be varied in that Member State by any
measure implementing the Prospectus Directive in that Member State.

The expression "Prospectus Directive" means Directive 2003/71/EC (as amended),
and includes any relevant implementing measure in the EEA Member State
concerned.