Finnair Oyj - Company Announcement

Finnair and SLSY reach stabilisation agreement

FINNAIR PLC   STOCK EXCHANGE RELEASE   SEPTEMBER 16, 2009 AT 17:25

Finnair and the Finnish Flight Attendants' Association SLSY today reached a
fixed-term stabilisation agreement. The agreement covers the EUR 12.3 million
cost-cutting target specified in 2009. The cost-cutting target is part of a
previously announced cost-cutting programme. 
“The agreed solutions are not easy, but they are necessary. Through fruitful
co-operation we reached an outcome by which redundancies will be avoided,”
explains Vice President Cabin Service Department Kati Lehesmaa. 
The stabilisation agreement includes collective employment agreement
flexibilities and other cost-cutting elements for the period 1 October 2009 -
31 December 2010. Basic salaries, for example, will be cut by five per cent in
the agreement period, collective incentive bonuses set for 2009 will not be
paid, and an agreed general increase in pay will be postponed for
implementation after the agreement expires. 
Through the agreement, redundancies of cabin staff for production and financial
reasons have been avoided for the duration of the agreement. The agreement
contains a pay-back model based on the Group results for 2010 and 2011. 

Finnair Plc
Communications
September 16, 2009

Additional information: VP Cabin Operations Kati Lehesmaa, tel. +358 50 598 4650