M-real - Company Announcement

Impairment testing according to IAS 36

M-real Corporation Stock Exchange Release 14 January 2009

M-real's annual impairment testing has been finalised. Due to the
divestment of Graphic Papers business to Sappi at the end of 2008, a
new cash generating unit structure has been defined. The remaining
ex-Graphic Papers business area mills form the following new cash
generating units: Hallein, Husum PM8 & Äänekoski Paper and Speciality
Papers. Additionally, a new cash generating unit, Market Pulp, has
also been defined. The other cash generating units remain the same as
in the previous testing.

M-real includes impairment charges of EUR 86 million in its fourth
quarter 2008 results comprising:
- EUR 66 million impairment charge including EUR 9 million goodwill
in Hallein
- EUR 20 million impairment charge including EUR 11 million goodwill
in Husum PM8 & Äänekoski Paper

Of the impairment charge, EUR 66 million is allocated to Other
Papers, EUR 16 million to Office Papers and EUR 4 million to Consumer
Packaging business areas.

The impairment charges will reduce M-real's annual depreciations by
approximately 10 million.

M-REAL CORPORATION

Further information:
Seppo Parvi, CFO, tel. +358 10 465 4321
Juha Laine, Vice President, IR and Communications, tel. +358 10 465
4335