Segment reporting changes will increase transparency and comparability

　　Stora Enso’s operating profit in the first quarter of 2008 excluding non-recurring items is expected to be close to the level achieved in the fourth quarter of 2007 and therefore considerably lower than in the first quarter of 2007. This is due to the high costs of already purchased sawlogs, particularly relative to the weakening market in Europe as a consequence of excessive sawlog supplies due to recent storms in Central Europe. Improvements in some business areas are expected to be more than offset by poor results in Wood Products, which will report an operating loss including a negative revaluation of sawlog inventories in the first quarter. There will also be a provision in Wood Supply for weather damage to the Group’s plantation in China, which will be reported segmentally under Other.

　　As already announced, Stora Enso is curtailing Wood Products’ production of sawnwood and glue-laminated posts and beams in Austria, the Baltic States and Finland. In view of the weaker market outlook, Stora Enso is planning further curtailments of sawnwood production during the rest of 2008. Owing to the likely effects of the storms, the segment Wood Products will struggle to produce an operating profit for the full year 2008.

　　The newsprint and book paper price negotiations have nearly concluded. The result is an average price decline, for all newsprint and book paper grades together, of between 3 and 4% in local currencies.

　　Segment reporting changes

　　Stora Enso will modify its segment reporting format for operating profit from the first quarter of 2008 onwards: the share of results of associated companies, and accounting items and fair valuations will no longer be included in business segments’ operating profits; they will be reported as separate items to increase the transparency of segmental reporting and facilitate comparisons between different periods.

　　The segment Merchants will be reported as a discontinued operation in the interim report for the first quarter of 2008.

　　Historical figures for previous periods have been adjusted for these changes in the following tables:

　　Sales by Segment

EUR million	Q1/07	Q2/07	Q3/07	Q4/07	2007
Newsprint and Book Paper	438.7	429.9	430.0	436.3	1 734.9
Magazine Paper	566.6	552.9	587.3	589.5	2 296.3
Fine Paper	577.0	522.8	529.7	526.7	2 156.2
Consumer Board	589.6	570.1	562.1	579.1	2 300.9
Industrial Packaging	266.1	274.2	267.8	275.4	1 083.5
Wood Products	472.3	525.7	461.4	393.7	1 853.1
Other and elimination	90.9	114.3	38.4	180.0	423.6
Continuing Operations	3 001.2	2 989.9	2 876.7	2 980.7	11 848.5
Discontinued operations	1 020.8	963.7	959.7	969.1	3 913.3
Elimination	-166.6	-148.4	-151.5	-151.8	-618.3
Total	3 855.4	3 805.2	3 684.9	3 798.0	15 143.5

Operating Profit by Segment excluding non-recurring items (NRI)

EUR million	Q1/07	Q2/07	Q3/07	Q4/07	2007
Newsprint and Book Paper	61.1	50.2	52.2	48.4	211.9
Magazine Paper	9.4	8.4	17.5	15.6	50.9
Fine Paper	55.1	38.5	34.4	35.7	163.7
Consumer Board	72.4	29.0	27.0	29.6	158.0
Industrial Packaging	29.2	29.6	24.7	28.4	111.9
Wood Products	54.8	59.3	37.1	-0.5	150.7
Other (Group functions etc.)	-11.2	-12.1	-11.1	-25.9	-60.3
Operating Profit excl. NRI by Segment	270.8	202.9	181.8	131.3	786.8
Share of results of associated companies excl. fair valuations	24.1	20.0	17.4	12.8	74.3
Operating Profit excl. NRI and accounting adjustments	294.9	222.9	199.2	144.1	861.1
Non-recurring items	-12.0	-	-549.4	-388.5	-949.9
Accounting items and fair valuations	15.7	21.3	44.9	183.8	265.7
Operating Profit  (IFRS)	298.6	244.2	- 305.3	- 60.6	176.9
Net financial items	-36.1	-53.0	-23.4	-43.5	-156.0
Profit before Tax and Minority Interests	262.5	191.2	-328.7	-104.1	20.9
Income tax expense	-65.4	-42.2	54.7	47.7	-5.2
Net Profit  from Continuing Operations	197.1	149.0	-274.0	-56.4	15.7
Discontinued Operations          Net profit after tax for the period from discontinued operations	25.4	-5.1	-167.1	-81.3	-228.1
Net Profit	222.5	143.9	-441.1	-137.7	-212.4

NRI by Segment

EUR million	Q1/07	Q2/07	Q3/07	Q4/07	2007
Newsprint and Book Paper	-	-	-	-110.0	-110.0
Magazine Paper	-	-	-218.0	-231.0	-449.0
Fine Paper	-	-	- 32.6	21.0	-11.6
Consumer Board	-	-	-186.8	-12.5	-199.3
Industrial Packaging	-	-	-5.9	-1.0	-6.9
Wood Products	-12.0	-	-106.1	-	-118.1
Other	-	-	-	-55.0	-55.0
Continuing Operations	-12.0	-	-549.4	-388.5	-949.9
Discontinued operations	44.0	12.8	-	-28.3	28.5
Total	32.0	12.8	-549.4	-416.8	-921.4

Operating Profit by Segment

EUR million	Q1/07	Q2/07	Q3/07	Q4/07	2007
Newsprint and Book Paper	61.1	50.2	52.2	-61.6	101.9
Magazine Paper	9.4	8.4	-200.5	-215.4	-398.1
Fine Paper	55.1	38.5	1.8	56.7	152.1
Consumer Board	72.4	29.0	-159.8	17.1	-41.3
Industrial Packaging	29.2	29.6	18.8	27.4	105.0
Wood Products	42.8	59.3	-69.0	- 0.5	32.6
Other	4.5	9.2	-14.2	-116.1	-116.6
Share of result of associated companies	24.1	20.0	65.4	231.8	341.3
Operating Profit (IFRS)	298.6	244.2	-305.3	-60.6	176.9
Net financial items	-36.1	-53.0	-23.4	-43.5	-156.0
Profit before Tax and Minority Interests	262.5	191.2	-328.7	-104.1	20.9
Income tax expense	-65.4	-42.2	54.7	47.7	-5.2
Net Profit from Continuing Operations	197.1	149.0	-274.0	-56.4	15.7
Discontinued Operations          Net profit for the period from discontinued operations	25.4	-5.1	-167.1	-81.3	-228.1
Net Profit	222.5	143.9	-441.1	-137.7	-212.4

　　For further information, please contact:
　　Hannu Ryöppönen, Deputy CEO and CFO, tel. +358 2046 21450
　　Keith B. Russell. SVP, Investor Relations, tel. +44 7775 788659
　　Ulla Paajanen-Sainio, Vice President, Investor Relations and Financial Communications,
　　tel. +358 2046 21242
　　http://www.storaenso.com/

[时间：2008-03-24  作者：佚名  来源：斯道拉恩索]