Raute - Company Announcement

RAUTE RECEIVES ORDERS WORTH APPROX. EUR 15 MILLION FROM RUSSIA

RAUTE RECEIVES ORDERS WORTH APPROX. EUR 15 MILLION FROM RUSSIA                  

Raute Corporation has received plywood technology orders worth approx. EUR 15   
million from the Russian company Sveza Group. The orders include several plywood
production lines to many Sveza Group's mills. The machine deliveries will take  
place during the latter part of 2008.                                           

Sveza Group is a leading Russian company within the wood products industry. The 
company operates five mills in Russia producing plywood, overlaid plywood and   
particleboard. Sveza Group's annual plywood production capacity is 660,000 m3   
and it is the largest birch plywood producer in Europe.                         

Through the new production lines Sveza Group will change its current 5x5 ft     
birch plywood production targeting the domestic market to produce 5x10 ft       
overlaid birch plywood for the global market. Raute's delivery to Novator mill  
includes among others a drying line, a scarf-jointing line, a layup and pressing
line and an overlaying line. The additional production lines ordered for Sveza  
Group's other mills aim at removing bottle necks from the production processes  
and thus improve production capacity.                                           

The order is proof of Raute's strong position in Russia, and its leading        
position as the technology supplier for the plywood industry. The orders have no
influence on Raute's earlier published net sales and operating profit outlook   
estimates for 2007. The orders strengthen the order book in early 2008.         


RAUTE CORPORATION                                                               

Tapani Kiiski                                                                   
President and CEO                                                               


FURTHER INFORMATION:                                                            
Mr. Tapani Kiiski, President and CEO,  Raute Corporation,                       
+358 3 829 3560, mobile phone +358 400 814 148                                  

RAUTE IN BRIEF:                                                                 
Raute is a technology company serving the wood products industry worldwide. Its 
most important customers are the plywood and LVL industries. The company is the 
world market leader as a supplier of mill-scale projects to these customer      
industries. The full-service concept also includes technology services, with    
which Raute supports its customers throughout the entire life cycle of their    
investment. Raute's head office and main production plant are in Nastola,       
Finland. Its other production plants are in the Vancouver area of Canada, in the
Shanghai area of China, and in Iyväskylä and Kajaani, Finland. Net sales in 2006
were EUR 106 million and the number of personnel 540. More information on the   
company can be found at www.raute.com.                                          

DISTRIBUTION:                                                                   
OMX Nordic Exchange in Helsinki, Main media, www.raute.com