Kesko Oyj - Company Announcement

Kesko's sales increased by 7.7% in May

KESKO CORPORATION STOCK EXCHANGE RELEASE 11.06.2007

Kesko's sales increased by 7.7% in May

The Kesko Group's sales, excluding VAT, in May 2007 totalled
€859.4 million, an increase of 7.7% over the corresponding period
last year. In January-May, the sales, excluding VAT, were €3,878.9
million, up 10.5% on the previous year. The sales of foreign
operations were €803.2 million in January-May, accounting for 21%
of the Group's sales.

Kesko Food's sales continued to progress well and increased by
6.7% in May.

Rautakesko's sales grew by 15.8% in May and were €243.5 million.
Sales in Finland were up by 11.2%. Abroad, sales increased by
19.2%. Sales growth in the Baltic countries was 29.6% and in
Russia 53.0%.

VV-Auto's sales in May were €82.5 million, which is down by 0.2%
on last year. In Finland, the number of first registrations of
passenger cars decreased by 13.3% in May. The market share of
passenger cars represented by VV-Auto was 14.8% (15.7%).

Anttila's sales in May were €39.5 million, an increase of 5.0%.
The sales of Kodin Ykkönen department stores showed the best
increase (7.4%), which can be partly attributed to the opening of
the renovated Kodin Ykkönen in Varisto, Vantaa. The sales of
Anttila department stores increased by 4.7%, while distance sales
were up by 1.7%.

Kesko Agro's sales in May were €78.6 million, down by 3.5%. Sales
in Finland decreased by 5.2% due to the grain trade. Sales in the
Baltic countries decreased by 0.7%.

Kesko Group sales, excluding VAT, in May 2007

                                  May  2007        1.1. - 31.05.20
                                                          07
                            € million   Change,         €   Change,
                                              %   million         %
Kesko Food, Finland             326.6       6.7   1,533.0       8.3
Kesko Food, other                 1.4      -5.1       6.7      -2.6
countries
Kesko Food, total               328.0       6.7   1,539.7       8.2
Rautakesko, Finland              98.3      11.2     409.8      15.6
Rautakesko, other               145.2      19.2     590.2      28.6
countries
Rautakesko, total               243.5      15.8   1,000.0      23.0
VV-Auto, Finland                 80.5      -1.1     397.2       4.0
VV-Auto, other countries          2.0      57.5      10.6      60.6
VV-Auto, total                   82.5      -0.2     407.8       5.0
Anttila, Finland                 38.3       5.3     183.0      -0.4
Anttila, other countries          1.2      -5.3       9.2      -3.1
Anttila, total                   39.5       5.0     192.2      -0.5
Kesko Agro, Finland              47.9      -5.2     214.7       3.2
Kesko Agro, other                30.7      -0.7     108.8       0.8
countries
Kesko Agro, total                78.6      -3.5     323.5       2.4
Other operating                  73.0       7.0     346.1       5.3
activities, Finland
Other operating                  18.1      20.6      83.7      24.7
activities,
other countries
Other operating                  91.1       9.5     429.8       8.6
activities, total
Common operations and            -3.8               -14.1          
eliminations
                                                                   
Finland, total                  663.7       5.9   3,075.7       7.7
Other countries, total          195.7      14.4     803.2      22.4
Grand total                     859.4       7.7   3,878.9      10.5
                                                                   

Other operating activities consist of Konekesko, Intersport
Finland, Indoor Group, Musta Pörssi, WellStep, Tähti Optikko
Group, and Kauko-Telko.

Starting from 1 March 2006, VV-Auto's sales figures include the
sales of the new Volkswagen and Audi retail outlets acquired.

Kesko Food is looking into opportunities to dispose of its HoReCa
wholesaling subsidiary, Kespro Ltd. Kespro will be classified as
discontinuing operations in compliance with the IFRS 5 when it
meets the criteria of the standard.

Kesko is looking into opportunities to dispose of Kauko-Telko.
Kauko-Telko will be classified as discontinuing operations in
compliance with the IFRS 5 when it meets the criteria of the
standard.

Change, % indicates the percentage change over the corresponding
period of the previous year.

In May 2007, the number of trading days in Kesko's wholesale was
21, which was the same as in May 2006. The total number of trading
days in January-May was one more than in the previous year.

Kesko publishes advance information about the K-Group's retail
sales quarterly, in connection with the interim financial reports.

Further information is available from Arja Talma, Senior Vice
President, CFO, tel. +358 1053 22113.


Kesko Corporation



Harri Utoslahti
Communications Manager


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