Neo Industrial Oyj - Company Announcement

THE BANKRUPTCY ESTATE OF KUITU FINLAND OY HAS INITIATED ACTION AGAINST NEO INDUSTRIAL PLC

Neo Industrial Plc         STOCK EXCHANGE RELEASE          9 April 2013 at 5.40
pm 

The bankruptcy estate of Kuitu Finland Oy has initiated action against Neo
Industrial Oyj in the District Court of Pirkanmaa regarding purchase price of
the mill real estate owned by Avilon Fibres Oy, which has been declared
bankrupt. Neo Industrial Plc has given a personal guarantee on the repayment of
the purchase price. 

The bankruptcy estate of Kuitu Finland Oy demands that Neo Industrial Plc shall
pay EUR 5,000,000, which is the remaining principal of the purchase price at
the time of Avilon Fibres Oy's bankruptcy 6 March 2013. The bankruptcy estate
of Kuitu Finland Oy demands also EUR 309.381,24 as building cost index in
addition to penalty interests. Additionally, the bankruptcy estate of Kuitu
Finland Oy demands Neo Industrial Plc to pay its legal expenses. 

Neo Industrial Plc considers the action unjustified. The company is preparing a
response and shall seek to settle the matter with the bankruptcy estate of
Kuitu Finland Oy. 

Neo Industrial Oyj

Jari Salo
Managing Director



Further information:
Jari Salo, Managing Director, tel. +358 207 209 196

www.neoindustrial.fi

Neo Industrial's strategy is to invest mainly in industrial companies with
similar synergic benefits. The aim of investments is with active ownership to
develop the purchased companies and establish additional value. Returns are
sought through both dividend flow and an increase in value. Neo Industrial's
class B shares are listed on the NASDAQ OMX Helsinki Stock Exchange. Neo
Industrial's business segment is Cable industry.