Consumables

M-REAL CURTAILS COATED FINE PAPER PRODUCTION

Tuesday 01. July 2008 - M-real will curtail its production of coated fine papers between June and August to align production with expected market demand in Europe during the summer months, limit export volumes and control capital tied to inventories.

Weak US dollar does not allow big volume increases in overseas market to compensate seasonally decreasing demand in Europe.

The output will be reduced by between 10 and 20 per cent depending on product and market mix. Details will be discussed with key customers and the required service levels will be maintained throughout this period.

Announced curtailments are expected to have no personnel effect. M-real’s total coated fine paper capacity is about 1.5 million tons per annum.