2007-04-27 07:33:30 CEST

2007-04-27 07:33:30 CEST


REGULATED INFORMATION

English Finnish
Larox Oyj - Quarterly report

INTERIM FINANCIAL REPORT OF THE LAROX GROUP FOR THE PERIOD 1 JANUARY 2007 TO 31 MARCH 2007


INTERIM FINANCIAL REPORT OF THE LAROX GROUP FOR THE PERIOD 1 JANUARY 2007 TO 31 
MARCH 2007                                                                      

GENERAL                                                                         

Larox Group's result before tax for the three months totalled EUR 2.3 million   
(EUR -0.6 million, 1 January 2006 to 31 March 2006). Net sales totalled EUR 32.7
million (EUR 25.1 million). Order backlog at the end of the review period       
totalled EUR 55.2 million (EUR 29.5 million). The amount of new orders received 
during the review period totalled EUR 43.1 million (EUR 24.9 million).          

BUSINESS OPERATIONS                                                             

Demand for the Larox products has remained good. During the review period the   
order accumulation improved positively and the order backlog was about 10       
million euros higher than at the turn of the fiscal year.                       

More than 95% of Group net sales were generated by exports and foreign          
operations. Net sales by geographical division were as follows:                 

	                		1-3/2007	1-3/2006   	                                        
                                                                                
North, Central and South America    	37.4%    	26.9%                         
Asia and Australasia                 22.1%   	27.0%                        
Europe, CIS, Middle East and Africa	40.5%    	46.1%	                          

CHANGES IN GROUP STRUCTURE                                                      

There was no change in Group structure during the review period.                
                                                                                
PROFITS AND PROFITABILITY                                                       

The Group profitability was clearly better than during the same period last     
year.                                                                           

The Group showed an operating profit of EUR 2.7 million (EUR 0.05 million), i.e.
8.4% (0.2%) of net sales. Result before tax was EUR 2.3 million (EUR -0.6       
million).                                                                       

FINANCING                                                                       

The Group's net financing costs totalled EUR 0.4 million (EUR 0.7 million). The 
equity ratio was 31.1 % (28.6 %) and at the end of the previous financial year  
(31 December 2006) it was 33.9 %.                                               

INVESTMENTS                                                                     

Larox Group's investments totalled EUR 0.5 million (EUR 0.2 million).           

PERSONNEL                                                                       
                                                                                
The average number of personnel employed by the Group during the review period  
was 435 (440). At the end of the review period it was 441 (439) of whom 205     
(206) worked for the parent company.                                            

SHARES AND SHAREHOLDERS                                                         

During 1 January 2007 to 31 March 2007 trading in shares totalled 678,591, which
is                                                                              
7.23 % of the total number of shares. The value of shares traded was EUR 6.2    
million. During the review period the lowest share price was EUR 8.04 and the   
highest was EUR 10.40. The closing price of the share was 8.98 and the total    
market value of the shares was EUR 84.6 million. At the end of March there were 
877 shareholders.                                                               

LAROX CORPORATION ANNUAL GENERAL MEETING OF SHAREHOLDERS                        

Larox Corporation annual general meeting of the shareholders of on 30 March 2007
confirmed the annual financial statements of the company and the Group. A       
dividend of 0.30 euro per share, in total EUR 2.8 million, was distributed in   
accordance with the proposal of the Board of Directors. Mr. Timo Vartiainen, Ms.
Katariina Aaltonen, Mr. Teppo Taberman, Mr. Thomas Franck and Mr. Matti Ruotsala
were re-elected to the Board. Mr. Timo Vartiainen was elected Chairman of the   
Board and                                                                       
Mr. Teppo Taberman was elected Deputy Chairman of the Board in the              
organizational meeting of the Board of Directors held immediately after the     
annual general meeting of shareholders.                                         

Larox Corporation annual general meeting of shareholders elected the following  
auditors: APA Kim Karhu and auditing society PricewaterhouseCoopers Oy with     
primary responsibility resting with APA Kaija Leppinen. APA Henrik Sormunen and 
APA Jarmo Alén were elected deputy auditors.                                    

AUTHORIZATION TO THE BOARD OF DIRECTORS TO DECIDE ON REPURCHASE OF SHARES       
                                                                                
The annual general meeting of shareholders decided to authorize the Board of    
Directors to decide on repurchase of shares by using the company's unrestricted 
shareholders' equity. The maximum number of shares in the authorization is      
500.000 Larox Corporation B-series shares.                                      

The shares may be purchased in order to finance or carry out acquisitions       
or                                                                              
other business transactions, in order to develop the company's capital          
structure, to improve the liquidity of the Company's shares, to employee        
incentive plans, to be disposed for other purposes, or to be cancelled.         

The repurchases will be carried out through public trading, whereby the shares  
will be repurchased in another proportion than according to the holdings of the 
shareholders. The repurchase price must be based on the market price of the     
Larox Corporation B share in public trading. The repurchases of shares will be  
carried out at Helsinki Stock Exchange and according to their rules and         
instructions.                                                                   

The Board of Directors cannot realize the authorization of the repurchase of    
shares should the total number of the company's or its subsidiary's own or      
pledged shares exceed 10 per cent of all shares after the purchase.             

The authorization is valid for 18 months from the resolution by the annual      
general meeting of shareholders.                                                

AUTHORIZATION TO THE BOARD OF DIRECTORS TO DECIDE ON SHARE ISSUE, AND/OR STOCK  
OPTION RIGHTS OR OTHER SPECIAL RIGHTS THAT ENTITLE TO SHARES                    

The annual general meeting of shareholders decided to authorize the Board of    
Directors to decide on shares, stock option rights or special rights referred to
in the Finnish Companies Act chapter 10, paragraph 1 in one or more lots in such
a way that based on the authorization the total maximum number of Larox         
Corporation B-series shares is 500 000. The Board of Directors may decide to    
give either new shares or own shares the company possesses. The authorization   
can be used to finance and to carry out acquisitions or other business          
transactions and the company's investments, employee incentive plans or other   
purposes decided by the Board of Directors.                                     

The authorization includes the right to decide on share issue without a         
subscription price and the right to deviate from the shareholders' subscription 
right according to certain preconditions of the Finnish Companies Act.          

The authorization is valid for five years from the resolution by the annual     
general meeting of shareholders.                                                

OUTLOOK FOR THE REST OF THE YEAR                                                

The market situation is expected to continue favorable and the Group net sales  
and profitability are expected to improve from the previous year. The good order
backlog at the end of the review period, EUR 55.2 million and the already       
started procedures support this. Accumulation of net sales by quarters is more  
balanced than in the previous year.                                             

The orders of approximately EUR 43.1 million, received during the first quarter 
of 2007 are a proof of strong investment activity in filters. Positive demand   
for metals, which is expected to continue strong and the recovering demand in   
the chemical process industry influence specially investment decisions.         

Lappeenranta on 27 April 2007                                                   


Larox Corporation                                                               
Board of Directors                                                              


For further information please contact                                          
Mr Toivo Matti Karppanen                                                        
President & CEO                                                                 

Tel +358 (5) 668 8210                                                           
Fax   +358 (5) 668 8277                                                         
E-mail topi.karppanen@larox.com                                                 
Internet www.larox.com                                                          


                                                                                
Distribution Helsinki Stock Exchange, central media                             
www.larox.com                                                                   



--------------------------------------------------------------------------------
| KEY RATIOS OF LAROX GROUP              |            |           |            |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR 1000                               |   1-3/2007 |  1-3/2006 |  1-12/2006 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| New orders                             |     43 059 |    24 923 |    137 971 |
--------------------------------------------------------------------------------
| Group order backlog at end of period   |     55 201 |    29 526 |     44 911 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net sales                              |     32 659 |    25 097 |    122 809 |
--------------------------------------------------------------------------------
| Operating profit                       |      2 743 |        52 |      8 931 |
--------------------------------------------------------------------------------
| % of net sales                         |        8.4 |       0.2 |        7.3 |
--------------------------------------------------------------------------------
| Net financing costs                    |        426 |       686 |      1 887 |
--------------------------------------------------------------------------------
| % of net sales                         |        1.3 |       2.7 |        1.5 |
--------------------------------------------------------------------------------
| Result before taxes                    |      2 318 |      -634 |      7 044 |
--------------------------------------------------------------------------------
| Result for the period                  |      1 550 |      -546 |      5 004 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Investments                            |        476 |       198 |      2 285 |
--------------------------------------------------------------------------------
| Shareholders' equity per share at end  |       2.68 |      2.35 |       2.84 |
| of period, EUR                         |            |           |            |
--------------------------------------------------------------------------------
| Equity Ratio %                         |       31.1 |      28.6 |       33.9 |
--------------------------------------------------------------------------------
| Contingent liabilities                 |       27.1 |      26.4 |       27.8 |
--------------------------------------------------------------------------------
| Trading price at end of period, EUR    |       8.98 |      8.34 |       9.00 |
--------------------------------------------------------------------------------
| Market capitalization at end of period,             |           |            |
--------------------------------------------------------------------------------
| EUR million **)                        |       84.6 |      77.0 |       84.4 |
--------------------------------------------------------------------------------

*) The price of the A share is based on the B share's last trading rate of the  
reporting period (weighted average).                                            

--------------------------------------------------------------------------------
| KEY FIGURES BY         |         |          |          |          |          |
| QUARTERS               |         |          |          |          |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                        |    2007 |     2006 |     2006 |     2006 |     2006 |
--------------------------------------------------------------------------------
| EUR 1000               |     1-3 |    10-12 |      7-9 |      4-6 |      1-3 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| New orders             |  43 059 |   43 482 |   31 525 |   38 041 |   24 923 |
--------------------------------------------------------------------------------
| Group order backlog    |  55 201 |   44 911 |   41 780 |   37 706 |   29 526 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net sales              |  32 659 |   40 431 |   28 281 |   29 001 |   25 097 |
--------------------------------------------------------------------------------
| Operating profit       |   2 743 |    4 568 |    2 457 |    1 853 |       52 |
--------------------------------------------------------------------------------
| % of net sales         |     8.4 |     11.3 |      8.7 |      6.4 |      0.2 |
--------------------------------------------------------------------------------
| Net financing costs    |     426 |      218 |      259 |      724 |      686 |
--------------------------------------------------------------------------------
| % of net sales         |     1.3 |      0.5 |      0.9 |      2.5 |      2.7 |
--------------------------------------------------------------------------------
| Result before taxes    |   2 318 |    4 350 |    2 198 |    1 129 |     -634 |
--------------------------------------------------------------------------------
| Result for the quarter |   1 550 | *) 3 358 |    1 293 |      899 |     -546 |
--------------------------------------------------------------------------------


*) includes one-time cost of EUR 0.9 million for terminating component          
manufacturing functions in The Netherlands.                                     

This interim financial report has been prepared in accordance with IFRS         
recognition and measurement principles. The review is not prepared in accordance
with all the requirements of IAS 34 Interim Financial Reporting -standard.      

--------------------------------------------------------------------------------
| INCOME STATEMENTS, IFRS            |             |             |             |
--------------------------------------------------------------------------------
| 1000 EUR                           |    1-3/2007 |    1-3/2006 |   1-12/2006 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Sales                              |      32 659 |      25 097 |     122 809 |
--------------------------------------------------------------------------------
| Other operating income             |         227 |         288 |       1 680 |
--------------------------------------------------------------------------------
| Change in inventories of finished  |             |             |             |
--------------------------------------------------------------------------------
| goods and work in progress         |         724 |      -1 873 |      -1 287 |
--------------------------------------------------------------------------------
| Materials and services             |     -17 038 |     -10 309 |     -59 743 |
--------------------------------------------------------------------------------
| Employee benefits expense          |      -6 804 |      -6 529 |     -28 092 |
--------------------------------------------------------------------------------
| Depreciation, amortisation &       |        -859 |        -885 |      -3 412 |
| impairment losses                  |             |             |             |
--------------------------------------------------------------------------------
| Other operating expenses           |      -6 165 |      -5 735 |     -23 023 |
--------------------------------------------------------------------------------
| OPERATING PROFIT                   |       2 744 |          52 |       8 931 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Financial income                   |         136 |         217 |         890 |
--------------------------------------------------------------------------------
| Financial expenses                 |        -543 |        -903 |      -3 032 |
--------------------------------------------------------------------------------
| Share of profit/loss in associates |         -19 |           0 |         255 |
--------------------------------------------------------------------------------
| PROFIT/LOSS BEFORE TAX             |       2 318 |        -634 |       7 044 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Income tax expense                 |        -767 |          88 |      -2 040 |
--------------------------------------------------------------------------------
| PROFIT/LOSS FOR THE PERIOD         |       1 550 |        -546 |       5 004 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EPS basic (EUR)                    |        0.17 |       -0,06 |        0.53 |
--------------------------------------------------------------------------------
| EPS diluted (EUR)                  |        0.17 |       -0.06 |        0.53 |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| BALANCE SHEET, IFRS                 |            |             |             |
--------------------------------------------------------------------------------
| 1000 EUR                            |  31.3.2007 |   31.3.2006 |  31.12.2006 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| ASSETS                              |            |             |             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| NON-CURRENT ASSETS                  |            |             |             |
--------------------------------------------------------------------------------
| Intangible assets                   |     18 776 |      18 903 |      18 871 |
--------------------------------------------------------------------------------
| Goodwill                            |      2 919 |       3 089 |       2 948 |
--------------------------------------------------------------------------------
| Property, plant and equipment       |      9 322 |      10 288 |       9 566 |
--------------------------------------------------------------------------------
| Investments in associates           |      1 020 |       1 004 |       1 153 |
--------------------------------------------------------------------------------
| Available-for-sale investments      |        208 |         273 |         208 |
--------------------------------------------------------------------------------
| Deferred tax asset                  |      3 557 |       2 499 |       3 561 |
--------------------------------------------------------------------------------
| NON-CURRENT ASSETS                  |     35 802 |      36 056 |      36 307 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CURRENT ASSETS                      |            |             |             |
--------------------------------------------------------------------------------
| Inventories                         |     22 018 |      16 789 |      19 842 |
--------------------------------------------------------------------------------
| Trade receivables and other         |     26 511 |      24 305 |      24 984 |
| receivables                         |            |             |             |
--------------------------------------------------------------------------------
| Income tax receivable               |        329 |         672 |         210 |
--------------------------------------------------------------------------------
| Cash and bank                       |      1 547 |       2 455 |       1 952 |
--------------------------------------------------------------------------------
| CURRENT ASSETS                      |     50 404 |      44 222 |      46 988 |
--------------------------------------------------------------------------------
| TOTAL ASSETS                        |     86 207 |      80 278 |      83 295 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EQUITY AND LIABILITIES              |            |             |             |
--------------------------------------------------------------------------------
| Share capital                       |      5 629 |       5 629 |       5 629 |
--------------------------------------------------------------------------------
| Share premium account               |      5 777 |       5 777 |       5 777 |
--------------------------------------------------------------------------------
| Other reserves                      |         91 |         176 |          61 |
--------------------------------------------------------------------------------
| Translation differences             |       -145 |         -35 |         -69 |
--------------------------------------------------------------------------------
| Retained earnings                   |     13 802 |      10 492 |      15 271 |
--------------------------------------------------------------------------------
| SHAREHOLDERS' EQUITY                |     25 153 |      22 039 |      26 668 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| NON-CURRENT LIABILITIES             |            |             |             |
--------------------------------------------------------------------------------
| Deferred tax liability              |      1 927 |       1 592 |       2 511 |
--------------------------------------------------------------------------------
| Long-term liabilities,              |     14 726 |      22 744 |      19 405 |
| interest-bearing                    |            |             |             |
--------------------------------------------------------------------------------
| Employee benefit obligations        |        407 |         374 |         398 |
--------------------------------------------------------------------------------
| Non-current provisions              |      1 137 |       1 362 |       1 422 |
--------------------------------------------------------------------------------
| NON-CURRENT LIABILITIES             |     18 197 |      26 072 |      23 735 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CURRENT LIABILITIES                 |            |             |             |
--------------------------------------------------------------------------------
| Short-term liabilities,             |     12 949 |      13 683 |       9 619 |
| interest-bearing                    |            |             |             |
--------------------------------------------------------------------------------
| Trade payables and other payables   |     29 908 |      18 483 |      23 273 |
--------------------------------------------------------------------------------
| CURRENT LIABILITIES                 |     42 857 |      32 166 |      32 892 |
--------------------------------------------------------------------------------
| TOTAL EQUITY AND LIABILITIES        |     86 207 |      80 278 |      83 295 |
--------------------------------------------------------------------------------



--------------------------------------------------------------------------------
| CASH FLOW STATEMENTS, IFRS               |          |            |           |
--------------------------------------------------------------------------------
| 1000 EUR                                 | 1-3/2007 |   1-3/2006 | 1-12/2006 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net profit/loss                          |    1 550 |       -546 |     5 004 |
--------------------------------------------------------------------------------
| Adjustments to the net profit/loss of    |    2 035 |      1 488 |     7 132 |
| the period                               |          |            |           |
--------------------------------------------------------------------------------
| Change in working capital                |     -507 |      4 802 |     6 020 |
--------------------------------------------------------------------------------
| Interest paid                            |     -417 |       -584 |    -1 814 |
--------------------------------------------------------------------------------
| Interest income received                 |       15 |         41 |        79 |
--------------------------------------------------------------------------------
| Other financing items                    |      -93 |       -518 |      -310 |
--------------------------------------------------------------------------------
| Income taxes paid                        |   -1 157 |       -309 |    -1 229 |
--------------------------------------------------------------------------------
| Net cash from operating activities       |    1 425 |      4 375 |    14 881 |
--------------------------------------------------------------------------------
| Net cash used in investment activities   |     -459 |       -192 |    -1 672 |
--------------------------------------------------------------------------------
| Share issue                              |        0 |          0 |         0 |
--------------------------------------------------------------------------------
| Increase in loans                        |    3 053 |      4 495 |     5 896 |
--------------------------------------------------------------------------------
| Decrease in loans                        |   -4 403 |     -7 928 |   -16 494 |
--------------------------------------------------------------------------------
| Repayment of finance lease liabilities   |      -22 |        -26 |       -56 |
--------------------------------------------------------------------------------
| Dividends paid                           |        0 |          0 |    -2 226 |
--------------------------------------------------------------------------------
| Net cash used in financing activities    |   -1 372 |     -3 459 |   -12 879 |
--------------------------------------------------------------------------------
| Change in cash and cash equivalents      |     -405 |        724 |       330 |
--------------------------------------------------------------------------------
| Operating balance of cash and cash       |    1 952 |      1 737 |     1 737 |
| equivalents                              |          |            |           |
--------------------------------------------------------------------------------
| Effect of the foreign exchange rates     |        0 |         -6 |      -114 |
--------------------------------------------------------------------------------
| Closing balance of cash and cash         |    1 547 |      2 455 |     1 952 |
| equivalents                              |          |            |           |
--------------------------------------------------------------------------------



--------------------------------------------------------------------------------
| CHANGE IN SHAREHOLDERS' EQUITY 1-3/2006    |      |        |        |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                    |       | Share | Fair  | Hed- | Trans-          |        |
|                    |       |       |       |      |                 |        |
--------------------------------------------------------------------------------
| 1000 EUR           | Share | issue | value | ging | lation | Retained        |
|                    |       |       |       |      |        |                 |
--------------------------------------------------------------------------------
|                    | capit | premi | res.  | res. | diff.  | earnin | Total  |
|                    | al    | um    |       |      |        | gs     |        |
--------------------------------------------------------------------------------
| SHAREHOLDERS'      | 5 629 | 5 777 |   138 |  -15 |   -145 | 13 516 | 24 901 |
| EQUITY 1 JANUARY   |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Cash flow hedging  |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Increase in        |       |       |       |   52 |        |        |     52 |
| hedging reserve    |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Change in          |       |       |       |      |    110 |   -266 |   -156 |
| translation        |       |       |       |      |        |        |        |
| difference         |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Profit for the     |       |       |       |      |        |   -546 |   -546 |
| period             |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Dividend           |       |       |       |      |        | -2 226 | -2 226 |
| distribution       |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Share-based        |       |       |       |      |        |     14 |     14 |
| payments           |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| SHAREHOLDERS'      | 5 629 | 5 777 |   138 |   37 |    -35 | 10 492 | 22 039 |
| EQUITY 31 MARCH    |       |       |       |      |        |        |        |
| 2006               |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| CHANGE IN SHAREHOLDERS' EQUITY 1-3/2007    |      |        |        |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                    |       | Share | Fair  | Hed- | Trans-          |        |
|                    |       |       |       |      |                 |        |
--------------------------------------------------------------------------------
| 1000 EUR           | Share | issue | value | ging | Lation | Retained        |
|                    |       |       |       |      |        |                 |
--------------------------------------------------------------------------------
|                    | capit | premi | res.  | res. | diff.  | earnin | Total  |
|                    | al    | um    |       |      |        | gs     |        |
--------------------------------------------------------------------------------
| SHAREHOLDERS'      | 5 629 | 5 777 |   105 |  -44 |    -69 | 15 271 | 26 668 |
| EQUITY 1 JANUARY   |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Cash flow hedging  |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Increase in        |       |       |       |   30 |        |        |     30 |
| hedging reserve    |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Change in          |       |       |       |      |    -76 |   -214 |   -290 |
| translation        |       |       |       |      |        |        |        |
| difference         |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Profit for the     |       |       |       |      |        |  1 550 |  1 550 |
| period             |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Dividend           |       |       |       |      |        | -2 814 | -2 814 |
| distribution       |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| Share-based        |       |       |       |      |        |      9 |      9 |
| payments           |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------
| SHAREHOLDERS'      | 5 629 | 5 777 |   105 |  -14 |   -145 | 13 802 | 25 153 |
| EQUITY 31 MARCH    |       |       |       |      |        |        |        |
| 2007               |       |       |       |      |        |        |        |
--------------------------------------------------------------------------------


Larox has applied the same accounting principles in this Interim Report as in   
Annual Report 2006. The contents of the changes in standards and interpretations
are presented more detailed in Annual Report 2006. In 2007 the Group will start 
to apply a new standard IFRS 7 Financial instruments: Disclosures, published by 
IASB in 2005. The adoption will not cause such changes to accounting principles,
that the published comparative information should be changed regressively.      

All below figures in the financial statements have been adjusted and therefore  
the added sum of individual figures may differ from the presented added figure. 

The information in Interim Report is unaudited.                                 

Publication dates of financial information in 2007                              
The interim report for January-June will be published on Friday 10 August.      
The interim report for January-September will be published on Friday 27 October.
The financial year-end of the Larox Group is on 31 December 2007.               


CALCULATION OF KEY FIGURES                                                      
Equity ratio, %                                                                 

Shareholders' equity                                                            
---------------------------------	x 100                                         
Total assets - advances received                                                


Earnings per share                                                              

Profit before taxes                                                             
---------------------------------                                               
Adjusted average number of shares                                               
during the period                                                               


Market capitalization at the end of the period                                  

Number of shares at the end of period x trading                                 
Price at the end of period weighted by the number of                            
the shares traded                                                               


Larox develops, designs and manufactures industrial filters and is a leading    
technology company in its field. Larox is a full service solution provider in   
filtration for separating solids from liquids. It supplies comprehensive        
aftermarket services throughout the lifespan of the Larox solution. Companies   
world-wide in mining and metallurgy, chemical processing and related industries 
benefit from the Larox technologies. Larox operates in over 40 countries and has
over 440 employees. Larox Group is headquartered in Lappeenranta, Finland.      
Product factories are located in Lappeenranta and Utrecht, The Netherlands. Net 
sales in 2006 totalled 122.8 million euros, of which more than 95 % were        
generated by exports and the company's foreign operations.