Ahlstrom - Corporate Action

Ahlstrom's Label and Processing business area to be combined with Munksjö Group to create a world leader in specialty papers

Ahlstrom Corporation STOCK EXCHANGE RELEASE August 28, 2012 at 9.40

Not to be distributed in or into Australia, Canada, the Hong Kong special
administrative region of the People's Republic of China, Japan, New Zealand,
South Africa or the United States.


·         Ahlstrom continues to focus its business operations and will demerge
the Label and Processing business area, which will be combined with Munksjö AB
to form a new global leader in specialty papers

·         The new company, to be named Munksjö Corporation (in Finnish Munksjö
Oyj), is expected to be publicly listed on NASDAQ OMX Helsinki during Q1/2013

·         The transaction will allow Ahlstrom to focus on high performance
materials that purify, protect and provide surface and structure to customers'
products

·         Ahlstrom and Munksjö AB estimate the new company to reach annual
synergies of about EUR 25-30 million once fully implemented

·         After the completion of the transaction, Ahlstrom's shareholders will
own shares in two focused listed companies, which is expected to increase
shareholder value over time

·         Ahlstrom will become a shareholder in the new company with a
shareholding of approximately 15 percent

Ahlstrom Corporation has today signed an agreement with EQT, the principal owner
of Munksjö AB, to combine its Label and Processing business area with Munksjö AB
to form a global leader in specialty papers through two partial demergers: one
consisting of the Label and Processing operations in Europe (LP Europe) and one
in Brazil (Coated Specialties). The new company will be called Munksjö
Corporation (in Finnish Munksjö Oyj) and its shares will be listed on NASDAQ OMX
Helsinki. The transaction enables Ahlstrom to focus exclusively on its value-
added business areas: Building and Energy, Filtration and Food and Medical.
Meanwhile, the Label and Processing business area can be further developed
together with Munksjö."During the past three years, Ahlstrom has systematically executed its strategy
towards becoming a focused high performance materials company. This transaction
of combining the Label and Processing business area with Munksjö is the most
significant step in our strategy execution. It allows us to concentrate our
resources to the areas where we see the most attractive value-add and growth
opportunities," says Jan Lång, President and CEO of Ahlstrom."The essence of our strategy is that our high performance materials protect
people, purify air and liquids and provide surface and structure to our
customers' products. In addition to reinforcing our global leadership in
Filtration, we seek growth opportunities in high performance materials for
building, food packaging and medical applications," Lång continues."We expect this transaction to enhance value for Ahlstrom's shareholders through
ownership in two focused publicly listed companies that are global leaders in
their respective fields," concludes Lång.

The other major step in the process of Ahlstrom focusing its business operations
was the divestment of the Home and Personal business area to Suominen
Corporation in 2011. Ahlstrom expects the future growth to be realized through
organic growth as well as acquisitions and partnerships in the three business
areas.

Execution of the transaction

The planned transaction will be executed through two partial demergers. In the
first phase, Ahlstrom and EQT, the principal owner of Munksjö AB, will establish
a new company to be named Munksjö Corporation (in Finnish Munksjö Oyj) to
acquire the operations of Munksjö AB in exchange for new shares in Munksjö
Corporation. The European operations of Ahlstrom's Label and Processing business
area are then separated through a partial demerger and transferred into Munksjö
Corporation in exchange for shares in Munksjö Corporation to be distributed to
Ahlstrom's shareholders.

Prior to the public listing of the new company, new shares in Munksjö
Corporation worth approximately EUR 100 million will be offered in a directed
share issue to selected institutional investors, including Ahlstrom, Varma,
Ilmarinen and EQT, to strengthen the capital structure of the new company. The
investors are fully committed to subscribe for the shares in the directed issue.
The first phase is expected to be completed during the first quarter of 2013.

In the second phase, following the public listing of the new company, Coated
Specialties, the Brazilian part of Ahlstrom's Label and Processing business
area, will be separated through another partial demerger into Munksjö
Corporation. This is to allow enough time for receiving all the necessary
regulatory approvals in Brazil. These approvals are not a prerequisite for
completing the first phase and the public listing of Munksjö Corporation. The
second phase is expected to be completed by the end of the second quarter of
2013.

Transaction rationale

Ahlstrom estimates that the combination of the Label and Processing business
area and Munksjö AB will create more value for Ahlstrom's current shareholders
over the long term than what Label and Processing could create as part of
Ahlstrom. Moreover, the transaction allows Ahlstrom to focus solely on the
selected value-added businesses within the Building and Energy, Filtration and
Food and Medical business areas.

There is a clear strategic fit between the Label and Processing business area
and Munksjö AB with specialty papers as the core business, serving as a platform
for continued growth. The transaction is also expected to create synergies in
the range of EUR 25-30 million once the transaction is fully implemented, mainly
relating to purchasing, production, pulp, logistics and sales. As part of the
synergy plan, the parties will establish joint sourcing activities. Of the
identified synergies, 60 percent are expected to be reached within one year
following the closing of the two partial demergers and the rest during the next
2-3 years.

Munksjö Corporation will be one of the world's largest focused specialty paper
companies with a leading market position in attractive market segments. The
transaction will also enable the Label and Processing business area to gain a
position that could not be achieved within Ahlstrom. Long customer
relationships, deep know-how of customers' needs and high technical expertise
within production and product development contribute to the sustainability of
these leading market positions.

Ownership of the new company

Following the transaction through two partial demergers, Ahlstrom's shareholders
will own shares in two publicly traded companies that are focused and global
leaders in their respective fields. After the first phase, Ahlstrom's
shareholders will hold approximately 33 percent of the shares in the new company
and Munksjö AB's shareholders 39 percent. The remainder of the shares will be
owned by new shareholders, including Ahlstrom Corporation, Varma and Ilmarinen.

Trading of the shares of the new company is expected to start during the first
quarter of 2013 on NASDAQ OMX Helsinki. This is prior to the demerger of the
Brazilian operations of the Label and Processing business area.

After the second phase, Ahlstrom's shareholders will hold approximately 50
percent of the shares in the new company and Munksjö AB's shareholders 29
percent. Other investors, including Ahlstrom Corporation, will hold the
remaining 21 percent of the shares.

Ahlstrom will receive approximately EUR 150 million in cash related to a net
debt transfer as part of the agreement. Ahlstrom is committed to use a total of
EUR 62.5 million to subscribe for shares in Munksjö Corporation and consequently
Ahlstrom's net debt will be reduced by approximately EUR 87 million. Ahlstrom's
shareholding in the new company will be approximately 15 percent following the
second phase of the transaction.

Munksjö Corporation, the new company to operate the combined Label and
Processing business and Munksjö AB

In 2011, the Label and Processing business (the combined LP Europe and Coated
Specialties) had net sales of EUR 681 million[1] and an EBITDA (excluding non-
recurring items) margin of 5.11] percent. The business area employs
approximately 1,500 people and has six plants in Europe and South America. Its
main products include release liners, self-adhesive labels, base paper for
metalized labels, flexible packaging papers, poster papers, decor papers, and
abrasive backings. The plants that will be part of the transaction include
Osnabrück in Germany; La Gere, Rottersac and Stenay in France, the Label and
Processing operations in Turin, Italy, as well as the Coated Specialties plant
in Jacarei, Brazil.

Munksjö AB is a Swedish specialty papers company currently with the private
equity firm EQT as its main owner. The net sales of Munksjö on a pro forma basis
totaled approximately EUR 645 million[2] in 2011, and its EBITDA on a pro forma
basis (excluding non-recurring items) margin was 7.6[2] percent. The company
employs about 1,800 people and has ten plants in Europe and Asia. Its main
products include decor papers, abrasive backings, electrotechnical papers, and
long-fiber specialty pulp.

The net sales of the new company (Label and Processing and Munksjö AB combined)
would have totaled about EUR 1.3 billion in 2011. It will employ approximately
3,300 people at 16 production sites, including 14 in Europe, one in Brazil and
one in China. The research and development resources will be located in France.

Jan Åström, President & CEO of Munksjö AB, will become the President & CEO of
the new company. The parties have agreed that the Chairman of the intermediate
Board of Directors of Munksjö Corporation will be appointed by Ahlstrom. Peter
Seligson has been appointed as an intermediate Chairman of Munksjö Corporation.
The head office of Munksjö Corporation will be located in Stockholm, and its
shares will be listed on the NASDAQ OMX Helsinki.

Following the completion of the transaction, the current Ahlstrom's site in
Turin will be jointly operated by Ahlstrom and Munksjö Corporation. The
Osnabruck plant, which will be part of the transaction, will continue to produce
wallcovering materials for Ahlstrom.

Transaction conditions and timeline

The two partial demergers in the transaction require the approval of the
Extraordinary Shareholders' Meeting of Ahlstrom. Ahlstrom will publish a
separate invitation to the Extraordinary Shareholders' Meeting to be held in
November 2012. The first phase of the transaction is anticipated to be completed
during the first quarter of 2013 and is subject to customary completion terms,
such as merger clearances from relevant competition authorities. The trading of
shares of Munksjö Corporation is also estimated to start during the first
quarter of 2013. The completion of the second phase is not a condition for the
completion of the first phase of the transaction.

Further information about the transaction and the new company will be available
in a prospectus to be published by Munksjö Corporation approximately one week
prior to the Extraordinary Shareholders' Meeting.

Following the approval by the Extraordinary Shareholders' Meeting, the Label and
Processing business area will be classified as assets held for distribution to
owners and reported separately as discontinued operations. Ahlstrom will then
update its outlook on net sales and operating profit excluding non-recurring
items for 2012.

Selected key financial Information in 2011 (unaudited)

                            Combined LP Europe and Coated
 EUR million                Specialties(1)                        Munksjö AB(2)
-------------------------------------------------------------------------------
 Net sales                  681                                   645

 EBITDA                     31                                    35

       % of net sales       4.5%                                  5.4%

 EBITDA excl. NRI           35                                    49

       % of net sales       5.1%                                  7.6%

 Operating profit           3                                     11

       % of net sales       0.4%                                  1.7%

 Operating profit excl. NRI 7                                     25

       % of net sales       1.0%                                  3.9%

 Total assets               499                                   668
-------------------------------------------------------------------------------
1) Combined amounts based on the historical carve-out financial information
derived from the Ahlstrom Group
2) Pro forma information adjusted for Munksjö's acquisition of operations from
ArjoWiggins, which was completed in March 2011. Exchange rate of 9.0 EUR/SEK has
been applied on income statement items; 8.9 EUR/SEK on total assets


The financial information presented above has not been adjusted for any
anticipated changes in the cost structure or for any synergy benefits.

Press conference

Ahlstrom will hold a joint press and analyst conference together with Munksjö AB
in Helsinki on August 28, 2012 at 12.00 Finnish time (CET+1). The event will be
hosted by Ahlstrom's President & CEO Jan Lång and Munksjö's President & CEO Jan
Åström, and it will be held in English. The press conference will take place at
Hotel Scandic Simonkenttä, Simonkatu 9. The name of the meeting room will be
displayed on the board in the lobby.

The event can also be viewed as a live webcast at
http://www.goodmood.fi/ahlstrom/register.php. You are able to ask questions
online after the presentation. Registration is required.

Alternatively, you can participate via teleconference, please dial
+358 9 2319 5437 in Finland, +46 (0) 8 50520424 in Sweden or +44 (0)
20 3003 2666 outside Finland a few minutes before the conference begins. The
meeting is called 'Ahlstrom press conference'.

An on-demand webcast of the press conference will be available on Ahlstrom's
website for twelve months after the call. The presentation material will be
available at www.ahlstrom.com.


For more information, please contact:


Jan Lång, President & CEO
Tel. +358 (0)10 888 4700

Seppo Parvi, CFO,
Tel. +358 (0)10 888 4768

Liisa Nyyssönen, Vice President, Communications
Tel. +358 (0) 10 888 4757

Ahlstrom in brief
Ahlstrom is a high performance materials company, partnering with leading
businesses around the world to help them stay ahead. Our products are used in a
large variety of everyday applications, such as filters, medical gowns and
drapes, wallcoverings, flooring, labels and food packaging. We have a leading
market position in the businesses in which we operate. Our 5,200 employees serve
customers in 28 countries on six continents. In 2011, Ahlstrom's net sales
amounted to EUR 1.6 billion. The company's share is quoted on the NASDAQ OMX
Helsinki. More information is available at www.ahlstrom.com.

Munksjö in brief

Munksjö is one of Europe's leading players in specialty paper and specialty
pulp. The Group develops, manufactures, markets and sells high-quality and
value-creating specialty papers such as Decor papers used in the manufacture of
for example furniture, kitchen interiors and laminate flooring. Products used in
industrial applications include Abrasive backings and Electrotechnical papers
for the insulation of high-voltage cables and transformers. Customer
relationships, high technical competence, production know-how and the capacity
for product development have contributed to Munksjö's strong market positions.
Munksjö has production facilities in France, China, Germany, Spain and Sweden
and employs approximately 1,800. More information is available at
www.munksjo.com

Disclaimer
This document may not be distributed in or into Australia, Canada, the Hong Kong
special administrative region of the People's Republic of China, Japan, New
Zealand, South Africa or the United States.

The information contained herein shall not constitute an offer to sell or the
solicitation of an offer to buy the securities referred to herein in any
jurisdiction in which such offer, solicitation or sale would be unlawful prior
to registration, exemption from registration or qualification under the
securities laws of any such jurisdiction.

This document is not an offer for sale of securities in the United States.
Securities may not be offered or sold in the United States absent registration
or an exemption from registration under the U.S. Securities Act of 1933, as
amended. Ahlstrom Corporation, Munksjö AB and Munksjö Corporation have not
registered, and do not intend to register, any offering of the Munksjö shares in
the United States. There will be no public offering of the Munksjö shares in the
United States.

This document is only being distributed to and is only directed at (i) persons
who are outside the United Kingdom or (ii) to investment professionals falling
within Article 19(5) of the Financial Services and Markets Act 2000 (Financial
Promotion) Order 2005 (the "Order") or (iii) high net worth companies, and other
persons to whom it may lawfully be communicated, falling within Article
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Order (all such persons in (i), (ii) (iii) and (iv) above together being
referred to as "relevant persons"). Any investment activity to which this
document relates will be only available to and will be engaged in only with,
relevant persons. Any person who is not a relevant person should not act or rely
on this document or any of its contents.

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[1] Combined amounts based on the historical carve-out financial information
derived from the Ahlstrom Group.
[2] Pro forma information adjusted for Munksjö's acquisition of operations from
ArjoWiggins, which was completed in March 2011.

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