Ahlstrom Oyj - Company Announcement

Ahlstrom to expand its specialty paper production to Brazil

Ahlstrom, a global leader in fiber-based materials, today
announced that it has signed a Memorandum of Understanding with
Brazilian Votorantim Celulose e Papel (VCP) to form a joint
venture for specialty paper production in Brazil. The assets in
the joint venture, currently owned by VCP, comprise a paper
machine, an offline coater and extensive finishing equipment at
the Jacarei mill, close to São Paulo. According to the Memorandum
of Understanding, Ahlstrom will hold a majority of the joint
venture.

Ahlstrom expects to close the deal on or before June 30, 2007,
subject to antitrust clearances and satisfactory conclusion of the
ongoing due diligence process.

The paper production capacity of the assets is approximately
110,000 tons per year. The joint venture will be part of
Ahlstrom's Specialty Papers segment and serve mainly the labeling
and flexible packaging markets. In addition, it will continue to
produce coated and uncoated paper grades for other end-uses.
Currently, most of the paper production is supplied on the local
markets but Ahlstrom aims to expand the customer base and serve
the markets by utilizing its global specialty materials sales
network.

The Jacarei facility is an integrated pulp and paper mill and one
of the most modern and competitive eucalyptus pulp producers in
the world with a pulp production capacity of one million tons per
year. VCP has been supplying eucalyptus pulp for Ahlstrom on a
global basis for more than seven years.

"The deal is in line with Ahlstrom's strategy to expand its
operations in the fast-growing markets outside Europe. Moreover,
the joint venture offers us an excellent opportunity to strengthen
our position as the global leader in the specialty papers markets.
The integrated mill also gives us an exceptional access to
competitively priced eucalyptus pulp and energy", comments Jukka
Moisio, President and CEO of Ahlstrom.

"We will develop this state of the art site into a highly
competitive manufacturing platform to serve our customers in the
labeling and packaging industry. This move is also a strong sign
of commitment and confidence in the Latin American markets showing
rapid economic growth", says Diego Borello, Senior Vice President,
Label & Packaging Papers of Ahlstrom.

The global market for Ahlstrom's label and packaging papers is
estimated to grow 3-4% annually with double-digit growth rates
seen in Latin America and Asia. Ahlstrom's current operations in
Brazil consist of a plant manufacturing filtration materials in
Louveira. In 2006, Ahlstrom announced an investment in a wiping
fabrics production line utilizing spunlace technology, also
located in Louveira. The new line is estimated to be operational
in early 2008.


Ahlstrom Corporation
Jukka Moisio, President & CEO



For further information, please contact:
Jukka Moisio, President & CEO, Ahlstrom Corporation, +358
(0)10 888 4700
Diego Borello, Senior Vice President, Label & Packaging Papers,
+39 011 92 60 193
Risto Anttonen, Senior Vice President, Commercial Operations, +358
50 597 8400


Distribution:
Helsinki Stock Exchange
Main media
www.ahlstrom.com



Votorantim Celulose e Papel in brief

Votorantim Celulose e Papel (VCP) is part of the Votorantim Group,
a major Brazilian conglomerate. VCP is one of the leading
integrated pulp and paper manufacturer in Latin America with four
manufacturing sites and a harbor. In 2006, VCP's net sales
amounted to USD 1.3 billion, EBITDA to USD 487 million and EBIT to
USD 285 million. VCP's shares are listed on the São Paulo Stock
Exchange and on the ADR list of the New York Stock Exchange.

Ahlstrom in brief

Ahlstrom is a global leader in the development, manufacture and
marketing of high performance fiber-based materials. Nonwovens and
specialty papers, made by Ahlstrom, are used in a large variety of
everyday products, e.g. in filters, wipes, flooring, labels, and
tapes. The company has a strong market position in several
business areas in which it operates, built upon the company's
unique fiber expertise and innovative approach. Ahlstrom's 5,700
employees serve customers via sales offices and production
facilities in more than 20 countries on six continents. In 2006,
Ahlstrom's net sales amounted to EUR 1.6 billion. Ahlstrom's share
is listed on the Helsinki Stock Exchange. The company website is
www.ahlstrom.com.