Consumables

Stora Enso will record an additional non-recurring item in its fourth quarter 2010 operating profit with EUR 21 million negative impact

Wednesday 26. January 2011 - Stora Enso will record on its operating profit, in addition to the EUR 223 million positive non-recurring items (NRI) announced on 20 December 2010, a EUR 21 million negative NRI in its fourth quarter 2010 results related to performance-based rewards that were not paid due to illegal strikes in Finland in 2005-2009. This new NRI is a provision with cash impact. The NRIs in the fourth quarter of 2010 total a positive EUR 202 million.

On 22 December 2010 the Finnish Supreme Court gave a precedent ruling obliging Stora Enso to pay performance-based rewards also to those employees who had taken part in illegal industrial action in May 2006. Stora Enso will follow the ruling and voluntarily pay all unpaid performance-based rewards from 2005-2009,including interest, on the same basis as that covered by the precedent.
Allocation of NRI between segments, EUR million
Segment
Announced 25 Jan 2011
Announced 20 Dec 2010
Q4 2010 NRIs – Group total
Newsprint and Book Paper
-1.1
—
-1.1
Magazine Paper
-1.1
—
-1.1
Fine Paper
-4.4
64.8
60.4
Consumer Board
-5.6
173.2
167.6
Industrial Packaging
-2.3
-2.7
-5.0
Wood Products
-1.0
2.9
1.9
Other
-5.2
-15.3
-20.5
Total
-20.7
222.9
202.2
The negative tax impact of EUR 38 million from NRIs announced on 20 December 2010 will remain unchanged.