Rautaruukki - Company Announcement

RAUTARUUKKI CORPORATION'S BOARD OF DIRECTORS DECIDED ON INCENTIVE SCHEME FOR KEY PERSONS

Rautaruukki Oyj	Stock exchange release	13 December 2007 at 17.10


RAUTARUUKKI CORPORATION'S BOARD OF DIRECTORS DECIDED ON INCENTIVE SCHEME FOR
KEY PERSONS 

The Board of Directors of Rautaruukki Corporation has decided on a new
share-based incentive scheme for key personnel. The new scheme aims to align
the goals of the company's shareholders and key persons to enhance the value of
the company, to commit key persons to the company and to offer them a
competitive ownership-based reward scheme. 

The scheme is divided into three year-long performance periods, which are the
calendar years 2008, 2009 and 2010. Any bonuses will be paid out partly in the
form of company shares and partly in cash during the year following the
respective performance period. The cash payment is intended to cover the
taxation and similar charges arising from the bonus. Payment of a bonus is
dependent upon the achievement of the financial targets set, which during the
2008 bonus period are gauged by the criteria of earnings per share (EPS) and
return on capital employed (ROCE). 

Any shares received under the incentive scheme must be held for at least two
(2) years after the end of each performance period. If the employment of a key
person ends during this time, the person concerned must, without consideration,
return the shares received as bonus to the company. The President & CEO and
other members of the Management Board must, in addition to the two-year
commitment period, hold any shares received under the incentive scheme to at
least the value of their annual gross salary for as long as their service
contract continues. 

The scheme covers some 80 persons. Bonuses payable under the scheme correspond
to a maximum of around 1,200,000 Rautaruukki Oyj Shares (including the
proportion payable in cash). 


Rautaruukki Corporation

Anne Pirilä 
SVP, Corporate Communications and Investor Relations 

Rautaruukki supplies metal-based components, systems and integrated systems to
the construction and mechanical engineering industries. The company has a wide
selection of metal products and services. Rautaruukki has operations in 24
countries and employs 14,700 people. Net sales in 2006 totalled EUR 3.7
billion. The company's share is quoted on the OMX Nordic Exchange Helsinki
(Rautaruukki Oyj: RTRKS). The Corporation has used the marketing name Ruukki
since 2004. 
www.ruukki.com 

DISTRIBUTION 
OMX Nordic Exchange Helsinki 
Main media
www.ruukki.com