Stora Enso Invests in its Mills in Sweden and Finland

Helsinki, Finland, 19 June 2007 -- Stora Enso will upgrade and modernize the two board machines (BM 2 and BM 3) and chemithermomechanical pulping (CTMP) plant 2 at its Fors mill in Sweden to improve quality and pulp production.

This project, costing a total of EUR 29 million, is scheduled to start in 2007 and be completed in January 2008 for BM 3 and the CTMP investment, and in January 2009 for BM 2.

This investment will improve the quality of the board manufactured at the mill to meet customers' changing quality needs. It will moderately increase the mill's production capacity.

Stora Enso is also investing EUR 16.8 million to reduce energy costs by increasing packaging-derived fuel (PDF) and biofuel combustion capacity at its Anjalankoski mill. The project, which is scheduled for completion in autumn 2008, will reduce dependence on fossil fuels and increase the utilization of recovered materials and biofuels. PDF combustion capacity will be increased from 50,000 to 135,000 metric tons per year.

The main investments will be in additional equipment for the existing power plant. Packaging for use as fuel at Anjalankoski mill includes paperboard and wood and plastic packaging collected separately from small-scale businesses and wholesalers. Anjalankoski mill has been utilizing PDF since 1996.