Outokumpu Oyj - Company Announcement

Outokumpu plans a reverse split of shares

OUTOKUMPU OYJ
STOCK EXCHANGE RELEASE
May 23, 2014 at 9.00 am EET


Outokumpu plans to reduce the number of shares in the company by merging each
twenty five (25) shares to one (1) share. The reverse split will not require
any action on part of the shareholders. The matter will be proposed to the
Extraordinary General Meeting (EGM) to be held on June 16, 2014. 

CEO Mika Seitovirta: “In the beginning of the year we completed the sale of
Terni and VDM, finalized our extensive financing arrangements and completed a
rights issue. Now our balance sheet and financial position are significantly
stronger and we can focus on improving the profitability of the company.
Following the rights issue, however, the number of shares increased to over 10
billion. The planned reverse split will rationalize the number of shares. At
the same time the value of a single share will increase, which we believe will
enhance Outokumpu's attractiveness as an investment.” 

The technical implementation of the reverse split should not have a direct
immediate effect on the value of shareholders' investment. Shareholders will
not receive any compensation for the redemption of their shares, except for the
sale of fractional shares as described below. 

Planned schedule

Extraordinary General Meeting                                     June 16, 2014
Reverse split                                                     June 19, 2014
Reduced number of shares in the Trade Register                    June 20, 2014
Trading with the merged shares commences                          June 23, 2014
Proceeds from the sale of fractional shares paid to shareholders  July 2, 2014 


Additional information concerning the reverse split is available by calling
+358 10 54 63 151 (May 23, 2014-July 3, 2014 weekdays 8.00 am to 6.00 pm EET or
by sending email to sijoituslinja@danskebank.fi. 

The reverse split would technically be carried out by redeeming from every
shareholder a number of shares equal to multiplying the number of shares on
each book-entry account on the date of the reverse split, June 19, 2014, by a
coefficient of 24/25. In order to avoid share fractions, the number of shares
redeemed from each shareholder will be rounded up to the nearest whole share.
The extra share fractions redeemed due to rounding are merged and sold on the
Helsinki Stock Exchange on behalf of the shareholders. The proceeds from the
sale will be paid to the shareholders, together with interest. If one
book-entry account contains less than 25 shares, the reverse split will lead to
the loss of all shares in exchange for the compensation to be received from the
above mentioned sale of share fractions. 

In addition it will be proposed to the EGM that it revokes all earlier share
issue authorizations and authorizations to issue special rights entitling to
shares, as well as authorizations to repurchase the company's own shares, and
replaces these with new authorizations, which take into account the number of
shares after the reverse split. 

In the event the EGM decides on a reverse split as described above, the Board
will decide on corresponding changes in the current share-based incentive
programs. Outokumpu will cancel the shares redeemed from the shareholders
(except for the shares redeemed in order to avoid share fractions to be sold on
behalf of the shareholders) immediately in connection with the redemption. The
total number of new shares will be available in the Trade Register
approximately on Friday June 20, 2014. 

The reverse split does not affect the number of Outokumpu's treasury shares,
except for the part of the sale of the treasury shares prior to the reverse
split in order to adjust the number of shares owned by other parties than
Outokumpu to be divisible by the reverse split ratio. Based on Outokumpu's
ownership as on the date of this announcement, the number of treasury shares to
be sold would be five. 

The notice to the Extraordinary General Meeting will be published in a separate
release. 

For more information:

Investors: Johanna Henttonen, tel. +358 9 421 3804, mobile +358 40 530 0778

Media: Saara Tahvanainen, tel. +358 40 589 0223

Call center: tel. +358 10 54 63 151, e-mail sijoituslinja@danskebank.fi

Outokumpu Group



Outokumpu is a global leader in stainless steel. We create advanced materials
that are efficient, long lasting and recyclable - thus building a world that
lasts forever. Stainless steel, invented a century ago, is an ideal material to
create lasting solutions in demanding applications from cutlery to bridges,
energy and medical equipment: it is 100% recyclable, corrosion-resistant,
maintenance-free, durable and hygienic. Outokumpu employs more than 12 000
professionals in more than 30 countries, with headquarters in Espoo, Finland
and shares listed in the NASDAQ OMX Helsinki. www.outokumpu.com

Attachments:

Reverse split 23052014 ENG.pdf