Stora Enso Oyj - Company Announcement

Stora Enso’s non-recurring items in fourth quarter 2013 have EUR 392 million negative impact on operating profit

Fixed asset impairments decrease depreciation by EUR 19 million quarterly and
EUR 76 million annually 

Helsinki, Finland, 2014-02-05 11:57 CET (GLOBE NEWSWIRE) -- STORA ENSO OYJ
STOCK EXCHANGE RELEASE 5 February 2014 at 12.57 EET 

Stora Enso will record non-recurring items (NRI) with a negative net impact of
approximately EUR 392 million on operating profit and a positive impact of
approximately EUR 114 million on income tax in its fourth quarter 2013 results.
The NRI will lower earnings per share by EUR 0.33. 

The NRI are:

  -- a negative NRI of approximately EUR 556 million due to fixed asset
     impairments mainly in Printing and Reading because of weakened long-term
     earnings expectations resulting from decline in European paper markets;
  -- a negative NRI of approximately EUR 32 million 
due 
to costs related to joint-venture establishment in China, a production
     disruption in Renewable Packaging and settlement of a legal case with a
     supplier at the Group's equity accounted investment Veracel;
  -- a positive NRI of approximately EUR 179 million 
due 
to a fair valuation gain and a related provision release of EUR 7 million
     on the Group's plantation assets in China;
  -- a positive NRI of approximately EUR 10 million 
due 
to the Group's share of the effect of the new tax rate on the equity
     accounted investment Tornator.


The positive impact of approximately EUR 114 million on the income tax
comprises a positive tax impact of approximately EUR 106 million due to the
operative NRIs, a positive tax impact of approximately EUR 40 million due to
valuation of deferred tax assets and a negative tax impact of approximately EUR
32 million due to application of the new tax rate in Finland. 


The impairment charges taken in the fourth quarter of 2013 reduce quarterly
depreciation by EUR 19 million starting in the fourth quarter of 2013. Annual
depreciation will decrease by EUR 76 million from 2014 onwards due to the
reduced fixed asset base after the impairments. 

Allocation of NRI* between segments

Segment               EUR million
---------------------------------
Printing and Reading         -538
---------------------------------
Biomaterials                   -8
---------------------------------
Building and Living             -
---------------------------------
Renewable Packaging           144
---------------------------------
Other                          10
---------------------------------
Operating Profit             -392
---------------------------------
Income tax                    114
---------------------------------
Net Profit                   -278
---------------------------------

*NRI = Non-recurring items. These are exceptional transactions that are not
related to normal business operations. The most common non-recurring items are
capital gains, additional write-downs, or reversals of write-downs, provisions
for planned restructuring and penalties. Non-recurring items are normally
disclosed individually if they exceed one cent per share. 

For further information, please contact:
Seppo Parvi, CFO, tel. +358 2046 21205
Ulla Paajanen-Sainio, Head of Investor Relations, tel. +358 2046 21242

www.storaenso.com
www.storaenso.com/investors

Stora Enso is the global rethinker of the paper, biomaterials, wood products
and packaging industry. We always rethink the old and expand to the new to
offer our customers innovative solutions based on renewable materials. Stora
Enso employs some 28 000 people worldwide, and our sales in 2012 amounted to
EUR 10.8 billion. Stora Enso shares are listed on NASDAQ OMX Helsinki (STEAV,
STERV) and Stockholm (STE A, STE R). In addition, the shares are traded in the
USA as ADRs (SEOAY) in the International OTCQX over-the-counter market. 

STORA ENSO OYJ