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Valmet hosts a Capital Markets Day for institutional investors and analysts today, Tuesday, September 18, 2018 in Helsinki. The aim of the event is to provide information and an update on Valmet's progress in strategy execution and business outlook. Valmet's strategy and financial targets remain unchanged.

"We have made consistent progress in our strategic focus areas and financial performance. Valmet's market position is strong and our offering, which combines process technology, services and automation, is unique. We are continuously developing and improving our technology, processes and personnel, while keeping customers at the core of Valmet's operations. Our systematic work for building the future continues", says Pasi Laine, President and CEO of Valmet.

Presentation material and webcast

Live webcast of the Capital Markets Day will begin at 12:00 noon EET at www.valmet.com/cmd2018. The presentation material will be available at the same address at approximately 11:00 am EET. A recording of the webcast will be available on Wednesday, September 19, 2018. The language of the event and material is English.

Further information, please contact:

Calle Loikkanen, Director, Investor Relations, Valmet, tel. +358 10 672 0020

Valmet is the leading global developer and supplier of process technologies, automation and services for the pulp, paper and energy industries. We aim to become the global champion in serving our customers.

Valmet's strong technology offering includes pulp mills, tissue, board and paper production lines, as well as power plants for bioenergy production. Our advanced services and automation solutions improve the reliability and performance of our customers' processes and enhance the effective utilization of raw materials and energy.

Valmet's net sales in 2017 were approximately EUR 3.1 billion. Our more than 12,000 professionals around the world work close to our customers and are committed to moving our customers' performance forward - every day. Valmet's head office is in Espoo, Finland and its shares are listed on the Nasdaq Helsinki.

Velvet CARE's Klucze mill in Poland has successfully started up a Valmet-supplied Advantage DCT 200HS tissue production line. As one of the largest and most modern tissue lines in Eastern Europe, it will help Velvet CARE to strengthen their position as a leader in tissue production in Poland, and Central and Eastern European markets.

"This is a most joyful milestone in Valmet's and Velvet CARE's 's joint effort to boost tissue quantity and quality of Velvet's production," says Hans Englund, Project Manager, Valmet.

"We want to ensure that our products meet the highest requirements in the homes of the Poles, every day. The reliable and efficient Advantage DCT technology from Valmet will help us accomplish that," says Artur Pielak, CEO, Velvet CARE.

"Just like Valmet, Velvet has its focal point set on future development," Marek Sciazko, Director of Klucze Mill, adds. "The Advantage DCT tissue making technology empowers that vision by setting the table for quality tissue grades fit for the future. We have already started to improve the cost efficiency of the production by changing the settings of the process and machine".

Valmet's Advantage solutions are designed to meet tissue producers' challenges of today as well as of tomorrow. Valmet has until today delivered 80 Advantage DCT production lines. The concept is well-known for its high efficiency and ability to manufacture most types of conventional tissue with the highest quality - making it a popular choice for tissue professionals worldwide.

Technical information of the delivery

Valmet's scope of delivery includes a complete Advantage DCT 200HS tissue production line with a design speed of 2,200 m/min. The machine is 5.6 m wide, making it one of the largest machines in the Central Eastern European market.

Stock preparation systems and auxiliary equipment were also included, and the machine is equipped with an OptiFlo headbox and a cast alloy Yankee cylinder. Furthermore, it features an Advantage ViscoNip, AirCap hood with Air system, WetDust system and a SoftReel. Valmet has also delivered basic and detailed mill engineering. An automation package including DCS (distributed control) and QCS (quality control) systems, was also a part of the delivery.

About the customer Velvet CARE

Velvet CARE is one of the largest manufacturers of hygiene products in Poland. The company was founded in 2013, but its roots go back to 1897. For the last over 20 years the Velvet brand has been a leader in the paper industry in Poland and is present in the homes of millions of Poles.

Valmet has been included in the Dow Jones Sustainability Index (DJSI) for the fifth consecutive year and thus maintains its position among the world's sustainability leaders. Valmet was listed both in the Dow Jones Sustainability World and Europe indices.

The annual evaluation conducted by a Swiss investment specialist RobecoSAM comprehensively reviews the companies' performance with regard to social, environmental and financial factors. This year in total 317 companies are included in the DJSI World for 2018-2019.

"Maintaining our position in the Dow Jones Sustainability Index is an excellent achievement for Valmet. It proofs that our systematic work to integrate sustainability into our business processes has been successful and we have improved our performance year by year. We will now continue this work by implementing our updated sustainability action plans for the next three years emphasizing amongst other things sustainable supply chain and our R&D work," says Pasi Laine, President and CEO of Valmet.

Valmet defined its sustainability agenda named Sustainability360º in early 2014. The agenda focuses on five core areas: sustainable supply chain; health, safety and environment; people and performance; sustainable solutions, and corporate citizenship.

About the Dow Jones Sustainability Indices

The DJSI is a sustainability index family which includes the global sustainability leaders across industries. The company inclusion is based on a best-in-class approach, which means that the indices only include the top ranked companies within each industry. The index serves as a benchmark for investors who are committed to ethical investing and review companies' sustainability performance as part of their analyses.

Crecia-Kasuga Co., Ltd has successfully started up a new tissue line, jointly delivered by Valmet and Kawanoe Zoki Co., Ltd., at the company's new production facility in Fuji, Japan. The inauguration ceremony was held during summer and the line is now in full operation producing tissue products for the Japanese consumer market.

The project has been very successful and the cooperation between Valmet, Kawanoe Zoki and Crecia-Kasuga has been smooth and efficient.

"We at Valmet appreciate the fruitful cooperation between the three companies. This is the first tissue machine equipped with an Advantage ViscoNip press in Japan. Just like in all previous installations over the world, the result has been excellent in terms of product quality and energy efficiency," says Ingmar Andersson, VP Asia Pacific Sales, Tissue Mills business unit, Valmet.

Valmet Advantage ViscoNip press

"We are very impressed about the new tissue machine which combines the latest technology with joint know-how of three companies. It started successfully on schedule and the performance exceeds our expectations. We appreciate the support from Valmet and Kawanoe Zoki," says Mr. Hirofumi Narita, President, Crecia-Kasuga.

"It is a great pleasure to contribute to the introduction of the latest tissue machine technology in the Japanese market. The Advantage DCT equipped with an Advantage ViscoNip press provides a unique value-adding performance," Mr. Takahiro Shinohara, Executive Managing Director, Kawanoe Zoki, adds.

Valmet's delivery included an Advantage DCT 135HS machine with Valmet's key technologies OptiFlo Headbox, Advantage ViscoNip press, AirCap hood and steel Yankee dryer. Manufacturing of other equipment, site assembly and installation services were performed by Kawanoe Zoki. The new line has an annual production capacity of 36,000 tonnes.

Information about the customer

Crecia-Kasuga Co., Ltd. is a joint venture for household paper products established 2017 by Nippon Paper Crecia Co., Ltd and Kasuga Paper Industry Co., Ltd. By effectively utilizing the premises and facilities at Nippon Paper Industrie's Fuji mill they will produce tissue products sold by Nippon Paper Crecia and Kasuga Paper Industry respectively.

Valmet will supply an extensive paper machine grade conversion rebuild and a wide scope of automation for Burgo Group S.p.A. at its Verzuolo Mill in Italy. In the project, originally Valmet-supplied paper machine PM 9 and related stock preparation systems currently producing lightweight coated (LWC) paper grades, will be rebuilt to produce recycled containerboard grades.

The order is included in Valmet's third quarter of 2018 orders received. The value of the order will not be disclosed. The total value of an order of this type is typically around EUR 40-60 million.

The project is following Burgo Group's plan to keep the focus on containerboard grades and to continue its diversification strategy, ranging from publishing to packaging, from printing paper to paper for corrugators. The start-up of the rebuilt machine is scheduled for the end of 2019.

"Valmet and Burgo have had a long and successful cooperation over the years at the Verzuolo mill. By having all the process equipment, process automation and mill engineering from one supplier, binds it all into a one. This assures a very good flow of information, a reliable project schedule, short installation time and an energy-efficient operation. Valmet's long expertise on grade conversions is essential for this project. It is also a great asset for Burgo, that this paper machine was originally supplied by Valmet in 2001, so we know it well," says Jari Vähäpesola, President of Paper Business Line, Valmet.

Technical details about the delivery

Valmet's delivery includes a completely new Old Corrugated Containers (OCC) line and major modifications in the existing paper machine. The OCC line, which is called an OptiRefiber recycled fiber line, contains two bale handling and vertical pulper systems, extensive cleaning and screening systems with fractionation and disc filters for short and long fiber lines. The scope includes also new reject handling system for OCC rejects. Also, the existing broke system and approach flow system are modified. The delivery in the existing paper machine includes a headbox rebuild, modifications to forming section, press section and pre dryer section, a new after dryer section with a high humidity hood, modifications to the size press, a continuous cooking system for surface size starch, and relocation of the existing reel.

The delivery also includes related air systems, a large Valmet paper machine clothing package, and changes and improvements in the automation including machine control, quality management, and process control and condition monitoring systems. The delivery includes mill engineering for both the OCC line and board machine. All the equipment will be delivered with installation and an additional production support package after start-up.

PM 9 will be producing recycled liner and fluting grades at a trim width of 9,800 mm and with a basis weight range of 70-160 g/m². The annual capacity will be 600,000 tonnes.

Information about the customer Burgo Group

Burgo Group is one of Europe's leading producers of graphic and specialty paper. The Group is developed around the world of paper: pulp and paper production, distribution, processing of forestry products, factoring and energy. The Group employs 3,663 people and has 11 plants in Italy and 1 in Belgium, and in total 16 continuous machines. In 2017, Burgo Group produced 2,057,000 tons of paper and had a consolidated turnover of EUR 2,008 million.

Valmet will supply yet another OptiConcept M containerboard making line for Shanying International Holdings Co., Ltd., in the city of Jingzhou in Hubei province, China. The new production line (PM 23) with a wide automation package is following the delivery of the previous OptiConcept M board machine (PM 21) announced in December 2017 and the three winders announced in February earlier this year. PM 23 is designed to produce high-quality fluting grades. By increasing its fluting and testliner production capacity, Shanying is aiming for bigger market shares. The start-up of PM 23 is scheduled for the end of year 2019.

The order was included in Valmet's second quarter of 2018 orders received. The value of the order will not be disclosed. The total value of an order of this type is typically around EUR 30-40 million.

OptiConcept M boardmaking machine

"This is already the seventh Valmet-supplied paper and board making line for Shanying International. The latest ones are the order of the testliner machine PM 21 and the two container board lines in Ma'anshan. This highly-efficient containerboard making line ordered by Shanying will be Valmet's 17th OptiConcept M production line to be supplied globally. Compared to conventional production lines, both of the new production lines will be able to significantly reduce carbon emissions as well as energy consumption," says Timo Saresvuo, Senior Sales Manager at Valmet.

Technical details about the delivery

Valmet's delivery for PM 23 will be quite similar to PM 21 including a high-speed OptiConcept M containerboard making line from broke collection to reel. PM 23 producing fluting grades will include OptiFormer Gap former with shoe blade technology equipped with OptiFlo Gap headbox enabling high capacity at high speed, which is the key feature of efficient lightweight containerboard manufacturing. Former with shoe and blade technology gives good strength properties, uniform CD profiles and excellent board formation.

The headbox and former are followed by OptiPress Center roll based press section, OptiRun Single dryer section, OptiSizer Film sizer, OptiCalender hard nip calender, OptiReel Pope reel and OptiCart Stream parent roll cart with transfer rails. The delivery will also include related ventilation equipment, runnability components, Valmet DNA machine control and process control systems, and Valmet IQ quality measurement system. The machine will be delivered with a Valmet fabrics package and an additional production support after take over.

The 8,600-mm-wide (wire) board machine will produce fluting grades. Design production values are the following: basis weight range 50-110 g/m², design speed 1,300 m/min and daily capacity approx. 1,200 tonnes.

About the customer Shanying International

Shanying International Holdings Co., Ltd., formerly Anhui Shanying Paper Industry Co., Ltd., is a China-based company, principally engaged in the manufacture and distribution of paper products. The company's main products consist of various packaging paper boards, newsprint paper, corrugated cardboard boxes, culture paper and other paper products, which are marketed under the brand name of Shanying. The company distributes its products within domestic markets, with eastern China as its main market.

Valmet has been chosen as a supplier by Ahlstrom-Munksjö for the upgrade of the recovery boiler and surrounding systems in the Billingsfors mill in Sweden. The main objective is to increase the capacity of the recovery boiler. The upgrade will also result in a better boiler availability and environmental performance.

The order was included in Valmet's second quarter 2018 orders received. The value of this kind of order is typically above EUR 10 million. The upgraded recovery boiler is planned to be started in the second half of 2019.

Valmet will bring major upgrades to the pulp mill's recovery boiler. The lower part will be replaced with a new pressure vessel based on the latest designs for Valmet's high-performing RECOX recovery boilers. New heating surfaces will be installed to increase the boiler's heat economy and enable a higher production of steam. Surrounding systems for combustion air, black liquor, smelt and green liquor will be upgraded.

Valmet has a very high focus on the management of health, safety and environment (HSE) and the delivery to Billingsfors also includes improvements that focus on worker safety and a better working environment in the boiler building.

"We are very happy and proud to have been chosen as supplier for this important upgrade and are really looking forward to working together with Billingsfors. We will bring the knowledge and technology of Valmet and will combine this with a solid partnership approach that brings the mill's performance forward," says Marcus Grundevik, Sales Manager at Valmet.

"We at Ahlstrom-Munksjö Billingsfors look forward to work with Valmet in the upgrade of our recovery boiler. This project is an important step for Billingsfors to meet the stricter environmental regulations through improved process combustion, reducing local air emissions. This investment is also key for improved efficiency in the mill including lower maintenance costs and higher pulp and insulation paper production," says Jonas Lindqvist, Plant Manager, Ahlstrom-Munksjö Paper AB Billingsfors.

Information about the customer Ahlstrom Munksjö

Ahlstrom-Munksjö is a global leader in fiber-based materials, supplying innovative and sustainable solutions to customers worldwide. Its offerings include decor paper, filter media, release liners, abrasive backings, nonwovens, electrotechnical paper, glass fiber materials, food packaging and labeling, tape, medical fiber materials and solutions for diagnostics. Ahlstrom-Munksjö's annual net sales are about EUR 2.2 billion and it employs 6,000 people. The Ahlstrom-Munksjö share is listed on the Nasdaq Helsinki and Stockholm. Read more at www.ahlstrom-munksjo.com

Valmet has received an order from Estonian Cell which will be delivered in two stages. In the first stage, Valmet will supply a conversion of the existing bleached chemi-thermomechanical pulp plant, which will increase production and reduce steam, fresh water and chemical consumption. In the second stage, Valmet will deliver a slab press and conveyor systems with connecting control system. The new machinery will boost production capacity and make the line more cost-efficient. The second stage will increase the annual production volume.

Valmet's delivery is part of Estonian Cell's EUR 20 million growth investment program that will enable the company to achieve an annual production capacity of 185,000 tons and improve the plant's efficiency. In 2017, the production capacity of Estonian Cell was 171,708 tons of aspen pulp and all production was exported.

The order was included in Valmet's second quarter of 2018 orders received. A project of this size and scope is typically valued at EUR 5-10 million. The start-up is planned for the second quarter of 2019.

"We are ready to start with the first stage of the investment program which focuses on liquidating the bottlenecks of the production and wastewater treatment and improving efficiency. In the second stage, we have chosen to invest in another slab press from Valmet to increase our production capacity. The good experience from the earlier installed slab press, which increased availability and stabilized production, makes us confident that this investment will make us reach our set production target," says Lauri Raid, Mill Manager at Estonian Cell.

"We appreciate the long cooperation we have had around the BCTMP plant and the repeat order of a slab press. To see the plans being realized is something we are really looking forward to, as well as to be working together again in this new project," says Mikael Ehrnholm, Senior Product Specialist, Mechanical Fiber at Valmet.

Details about Valmet's delivery

The BCTMP plant conversion includes a mechanical steam separator, a new washing stage by a screw press with medium consistency pump and a new final washing stage before the flash dryer with heavy duty TwinRoll presses. Reconfiguration and reprogramming of the existing bleaching system with detailed automation engineering is also included. The new slab press is replacing the original slab press, which was a prototype that did not meet stability expectations. Mechanical installation of the slab press is included. Commissioning and start-up supervision are included for both stages.

About the customer Estonian Cell

Estonian Cell's Kunda aspen pulp mill launched production in 2006. With EUR 185 million, the facility boasts one of the biggest foreign greenfield investments made in Estonia over the course of the last decade. The company produces a high quality chemi-thermomechanical aspen pulp that is fully exported to different countries in Europe and Asia. The company employs 89 people directly and generates work for around 500 employees within its value chain. The sole owner of Estonian Cell is Heinzel Holding GmbH, a leading producer of market pulp and packaging papers from Austria.

Valmet has been chosen as the supplier of a complete tissue production line by CMPC Tissue S.A. The tissue line will be installed at CMPC's Zarate mill in Argentina.

The new production line is planned to be started up in the fourth quarter of 2019, and it will add over 50,000 tons of high quality toilet and towel grades to the company's annual production. Valmet has previously delivered a Valmet Advantage DCT200 tissue line to the Talagante mill in Chile, a tissue machine to Altamira in Mexico and an Advantage ViscoNip rebuild to CMPC's Caieiras mill in Brazil.

The value of the order will not be disclosed. The order was included in Valmet's second quarter 2018 orders received.

"Our experience of running the Advantage DCT concept has been very good in terms of energy efficiency, production capacity and tissue quality. We are convinced that the new tissue line will support our market leading position in Argentina," says Pedro Muzzio Castelletto, Corporate Development Manager, Industrial & Supply Chain, CMPC Tissue.

"The Latin American tissue market is growing both in respect of capacity and quality. Valmet has the tissue making technologies to meet current and future demands of the market," says Johan Björn, Sales Director, Valmet. "We are very pleased that CMPC chose us as their supplier and selected Valmet's Advantage tissue technology to increase their current production in means of quality and capacity."

Technical information about the delivery

Valmet's delivery will comprise of a complete Advantage DCT200 tissue production line with stock preparation equipment and tissue machine including the most advanced technology options focused on a superior consistent quality, an energy and water efficient operation and cost competitive manufacturing setup. The scope will also include control systems, electrification, mill engineering as well as installation. The production line will be optimized to enhance final product quality and reduce energy consumption. The raw material for the new line will be virgin and DIP pulp.

About CMPC Tissue

CMPC is one of the leading pulp and paper companies in Latin America with operations in the fields of forestry products, wood pulp, paper and tissue. CMPC runs 23 tissue machines in seven countries with an annual production capacity of 700,000 tonnes of tissue products for the Latin American consumer and away from home market.

Valmet will supply an Advantage DCT100HS tissue production line, including an extensive automation package, to Papelera San Andrés de Giles in Argentina. The new tissue line will fulfill Papelera San Andrés de Giles' demand of new capacity of high quality tissue products for the Argentinian market. Start-up is planned for the second half of 2018.

The order was included in Valmet's second quarter of 2018 orders received. The value of the order will not be disclosed.

"Our first contact with Valmet was at their Tissue Making Conference in Karlstad, Sweden in 2012. Since that moment, we have been convinced that Valmet's technology is what we need to differentiate and keep our position as a frontrunner in the Argentinian tissue market," says Mr. Sebastian Schiaffino, Plant Manager, Papelera San Andrés de Giles.

"Even more important is to work with skilled people within Valmet. This is a long-term partnership for us. Valmet has met, and exceeded, all expectations as an advisor during our cooperation," Mr. Schiaffino continues.

"This newfound relationship means a lot for Valmet. This will be the first running Advantage DCT tissue machine in Argentina," says Kent Nika, Sales Manager at Valmet. "Not only does this mean breaking ground in Argentina, but we are also excited to welcome Papelera San Andrés de Giles to our ever-growing tissue community. And of course, we are very proud that our capability to supply tissue mill equipment with superior technology, e.g. Advantage ViscoNip press, were considered as important success factors in their expansion plans."

Both companies are now looking forward to step in to the future with a shared aim of realizing Papelera San Andres de Gilés' expansion plans and ambitions of providing high quality products to their customers.

Technical information about the delivery

The new tissue machine will have a width of 2.8 meters and a design speed of 2,000 meters/minute. It will add 35,000 tons of tissue paper per year to Papelera San Andrés de Giles' current production of high-quality facial, toilet tissue and kitchen towels.

Valmet's scope of delivery will comprise of a tissue production line featuring stock preparation systems and an Advantage DCT100HS tissue machine. The machine is equipped with OptiFlo headbox and Valmet steel Yankee cylinder as well as the Advantage technology including ViscoNip press, AirCap hood, WetDust dust system and SoftReel reel. The delivery also includes an extensive automation package with Valmet DNA, process controls, tissue line training simulator and Valmet IQ quality controls. Engineering, supervision, training, start-up and commissioning is also included in the delivery.

Information about the customer

Papelera San Andrés de Giles today has an annual production capacity of 20,000 tons of tissue for facial, toilet, kitchen, towel and napkin for the Argentinian market and surrounding region. The highly modern tissue mill, with its converting lines, is situated in the Buenos Aires province and has 150 employees.