Kemira's President and CEO Harri Kerminen:

"The fourth quarter marks the end of the fourth year implementing the water chemistry strategy for Kemira. Kemira's growth in water business continued throughout the year, especially in the Oil & Mining segment. The water business share of the total revenue has increased to 78% and water related revenues grew 6% in 2011. At the same time, Kemira earnings per share from continuing operations increased to a record high level. Most importantly, 2011 was the third consecutive year of strong positive cash flow generation. Therefore, Kemira has been able to continuously invest in future growth projects.

Raw material prices increased rapidly in the beginning of the year. The prices for some of our key raw materials have continued to increase during the second half of the year and are still at a very high level. This, together with slower demand in the Paper segment and Municipal as well as inconsequential de-icing business in the fourth quarter, impacted Kemira's profitability in 2011.

Kemira's first priority is to improve the profitability by being cost efficient and by growing the topline especially through localized presence in the emerging markets. The profitability will improve by implementing various productivity and efficiency measures and developing more stringent sales pricing management. In 2011, more than EUR 40 million in revenue was generated through new products and applications. One example are new water chemistry applications for the fast growing unconventional oil and gas business.

It has been evident that the importance of water, energy and raw material efficiency in our customer industries has increased. This trend is an opportunity for Kemira to further develop our offering and work closely with our customers to improve their process efficiency and productivity. Kemira's strategic priorities and business targets will remain intact.

In the near term, uncertainty in Europe and a slowdown in global economic growth may affect the demand for our products in the customer industries. In 2012, Kemira expects the revenue and operative EBIT to be slightly higher than in 2011."

Key figures and ratios
The figures for 2010 are for continuing operations, excluding Tikkurila, unless otherwise stated. Tikkurila Oyj was separated from Kemira on March 26, 2010.

* 12-month rolling average
**Includes Tikkurila until March 25, 2010
***Net profit January-December 2010 includes a non-recurring income of EUR 529.2 million from the separation of Tikkurila consisting of the difference between the market price of Tikkurila on March 26, 2010 and the shareholder's equity of Tikkurila on March 25, 2010 less the transfer tax related to Tikkurila's listing as well as the listing costs.

Definitions of key figures are available at www.kemira.com > Investors > Financial information. Comparative 2010 figures are provided in parentheses for some financial results, where appropriate. Operating profit, excluding non-recurring items, is referred to as Operative EBIT. Operating profit is referred to as EBIT.
Dividend
On December 31, 2011, Kemira Oyj's distributable funds totaled EUR 633,128,300 net profit of which accounted for EUR 245,598,837 for the period. No material changes have taken place in the company's financial position after the balance sheet date.

Kemira Oyj's Board of Directors proposes to the Annual General Meeting to be held on March 21, 2012 that a dividend of EUR 0.53 totaling EUR 81 million shall be paid on the basis of the adopted balance sheet for the financial year ended December 31, 2011.

Outlook
Kemira's vision is to be a leading water chemistry company. Kemira will continue to focus on improving profitability and reinforcing positive cash flow. The company will also do investments to secure the future growth in the water business.

Kemira's financial targets remain as communicated in connection with the Capital Markets Day in September 2010. The company's medium term financial targets are:

- revenue growth in mature markets > 3% per year, and in emerging markets > 7% per year
- EBIT, % of revenue > 10%
- positive cash flow after investments and dividends
- gearing level < 60%.

The basis for growth is the growing water chemicals markets and Kemira's strong know-how in water quality and quantity management. Increasing water shortage, tightening legislation and customers' needs to increase operational efficiency create opportunities for Kemira to develop new water applications for both new and current customers. Investment in research and development is a central part of Kemira's strategy. The focus of Kemira's research and development activities is on the development and commercialization of new innovative technologies for Kemira's customers globally and locally.

In the near term, uncertainty in Europe and a slowdown in global economic growth may affect the demand for our products in the customer industries. In 2012, Kemira expects the revenue and operative EBIT to be slightly higher than in 2011.

SCA’s binding offer to acquire Georgia-Pacific´s European tissue operations has been accepted – process continues towards closing

Georgia-Pacific´s acceptance of SCA’s binding offer follows consultations with appropriate works councils. As a result, a sales and purchase agreement has been signed by both parties.

The process will continue towards finalizing the acquisition, including the approvals by relevant competition authorities and further local consultation processes.

November 10th, 2011, it was announced that SCA had delivered a binding offer to acquire Georgia-Pacific´s European tissue operations. Georgia-Pacific has a well-established presence in Europe in both Away-From-Home and consumer tissue products. The company’s products are in particular marketed with the well-known Lotus brand.

Georgia-Pacific’s European tissue operations have approximately 5,000 employees and 15 production sites in seven countries. Sales in 2010 amounted to EUR 1.25bn (SEK 11.9bn).

Stora Enso’s Printing and Reading Business Area plans to increase its cost competitiveness by restructuring coated magazine paper operations at Corbehem Mill in France, Veitsiluoto Mill in Finland and Kabel Mill in Germany.

“The operating environment in coated magazine paper has remained challenging. The plans announced today would respond to these challenges by improving cost efficiency and productivity. The planned streamlining of coated magazine paper operations, including investments in quality, productivity and energy saving, would enable us to better meet customer and market expectations, and improve profitability,” says Juha Vanhainen, EVP, Stora Enso Printing and Reading Business Area.

Stora Enso Printing and Reading plans to reduce annual costs by approximately EUR 48 million, with the full impact achieved from the third quarter of 2013 onwards. The plans also include investments in Corbehem, Veitsiluoto and Kabel mills totalling EUR 18 million. The proposed restructuring measures would reduce the number of employees in coated magazine paper operations by up to 110 in total. It is planned that all the actions would be completed by the end of 2012. Stora Enso will record a cash provision of approximately EUR 5 million and a fixed asset write-down of approximately EUR 1 million in the Printing and Reading segment as a non-recurring item in the first quarter of 2012 results.

The outcome of the plans will depend on the result of the local co-determination procedures. Stora Enso would work in co-operation with the local communities to help affected personnel to find new employment opportunities, and all job openings in other Stora Enso units would be available to those affected.

Domtar Corporation has collaborated with Hatch Show Print^® to create a limited edition poster that supports AIGA's "Design for Good" initiative - an effort to recognize and support pro bono social engagement design projects.

The "Good Design Still Matters" poster is part of Domtar's commitment to graphic communications and its award-winning "Paper Because" campaign, which showcases the importance of paper in our daily lives. "The 'Good Design Still Matters' limited edition poster is a special project for Domtar, because this single printed piece embodies so much of what the 'Paper Because' campaign is all about," said Lewis Fix, Vice-President of Sustainable Business and Brand Management at Domtar. "Domtar had the chance to work directly with Hatch Show Print, a legendary letterpress printer that traces its roots back to 1879, on a project that will help support the efforts of today's graphic design professionals to make the world a better place."

As part of the "Good Design Still Matters" project, Domtar is making a cash donation to the AIGA's "Design for Good" initiative. The company will also distribute copies of the limited edition poster - which is printed on Domtar's Cougar Natural 80lb. cover stock - to graphic designers attending the HOW Conference inBoston from June 21^st to 25^th.

Hatch Show Print is one of the oldest working letterpress shops in the United States. Throughout its history, the company created iconic posters for vaudeville and circus performers; auto races, boat races and rodeos; and a range of musical acts that include Johnny Cash, Garth Brooks, Elvis, B.B. Kingand the Rolling Stones. Hatch Show Print is part of the Country Music Hall of Fame^® and Museum. It has thousands of historic pieces of type and woodblock art that it still uses - often on Domtar's Cougar paper - to produce approximately 600 letterpress jobs annually on hand-powered roller presses.

"The Hatch Brothers are quoted as saying that 'Advertising without posters is like fishing without worms'," said Jim Sherraden, manager of Hatch Show Print. "We firmly believe good design is more powerful than ever, and a project like this that brings a printed poster together with a great cause is proof."

"'Design for Good' is more than just pro bono design projects. It is a broader movement to encourage and enable designers to bring their creative problem solving to the assistance of their communities as they approach community and social problems," according to Richard Grefé, executive director of AIGA. "'Design for Good' offers a means for creative professionals to play a central role among concerned citizens, demonstrating their commitment, talent and leadership to power change in ways that are important to others in their communities."

AIGA, the professional association for design, is the world's largest and most influential organization for communication design. For nearly 100 years, AIGA has responded to the changing contexts of design practice. AIGA oversees a network of more than 22,000 professional designers, hundreds of design educators, 66 chapters and 200 student groups. Through a range of programs, AIGA demonstrates the value of design and supports designers across the arc of their careers.

Stora Enso plans to increase further the efficiency and flexibility of its local maintenance operations in Sweden by restructuring and changing the processes.

The planned restructuring measures would reduce the workforce by approximately 130 employees in maintenance operations in Sweden. The planned restructuring concerns Hylte, Skoghall, Skutskär, Fors and Kvarnsveden mills. Altogether approximately 800 personnel are employed in maintenance at the units concerned.

The restructuring measures would reduce annual costs by approximately EUR 21 million starting gradually from late 2012 onwards. Stora Enso will record a cash provision of EUR 6 million in the Renewable Packaging segment and EUR 4 million in the Printing and Reading segment as a non-recurring item in the first quarter of 2012 results.

“To safeguard our competitiveness, we need to stay on the path of improvements in costs and productivity, and also flexibility. We are therefore planning to increase the efficiency of our local maintenance operations,” says Mats Nordlander, Executive Vice President Renewable Packaging and Country Manager Sweden.

All decisions will be taken only after the local co-determination negotiations have been concluded. Stora Enso would make every effort in co-operation with local communities to help the affected personnel find new employment opportunities, and all job openings in other Stora Enso units would be available to those affected.

Rottneros Mill is increasing its sales price for all CTMP grades by 30 Euro/tonne for all deliveries as of 1 March 2012.

The increased sales price for CTMP is a result of good demand, particularly in Asia, and this has encouraged Rottneros to increase its prices in Europe as well.

In addition to the good demand for CTMP, there has been a considerable reduction in global stock levels of Eucalyptus Kraft and prices have improved since December 2011, which also supports the decision to increase the price for CTMP grades.

Stora Enso has been rated as sector leader in the Forest Footprint Disclosure (FFD) Review for 2011 published in London. This recognition rewards the company for managing and transparently reporting its forest footprint.

A ‘forest footprint’ measures the total amount of deforestation caused directly or indirectly by an organisation or product. Many businesses unknowingly source products that contribute to deforestation in their supply chains, and their resulting forest footprint can create unexpected valuation risks and add to their climate change impacts. The Forest Footprint Disclosure Review analyses questionnaire responses submitted by international companies who disclose information to FFD in order to assess how their activities directly or indirectly contribute to deforestation.

“We are very proud of this recognition, as responsible forestry is one of the cornerstones for Stora Enso’s business” says Antti Marjokorpi, SVP Group Forest Operations. “We use third-party-verified traceability systems to ensure that we know the origin of all the wood we use. We also promote credible forest certification, certify the forests and tree plantations we manage, and continuously provide training for our employees and partners about responsible forestry. But we do not feel that this work is complete, and we are still working hard to improve our performance every year.”

Stora Enso has now been ranked in the FFD review as the leading performer in its sector for two years running. The Forest Footprint Disclosure project was launched by the Global Canopy Foundation in 2008. FFD invites companies to disclose their current understanding of their ‘forest footprint’, based on their direct or indirect utilisation of five key commodities linked to deforestation – soy, palm oil, timber, cattle products and biofuels. 

The information disclosed by the companies is assessed and scored against a matrix. FFD aims to go beyond disclosure and encourage investors to engage with the companies in their portfolios on issues related to deforestation. Read the whole 2011 Forest Footprint Disclosure review at http://www.forestdisclosure.com/

As a result of the cooperation between Vacon Plc and CEI (China National Electric Apparatus Institute Co), CEI has received the Golden Sun Certificate approved by the China National Quality Certification Center (CQC) for their 200 kW solar inverter on 15 December 2011. This major milestone in the cooperation between CEI and Vacon will allow CEI to participate in the bidding for the Golden Sun solar program run by the Chinese government.

The Chinese government aims to install 15 gigawatts of new solar capacity by 2015. To be included in the list of potential suppliers for the Golden Sun program, solar inverter manufacturers are required to have Golden Sun certification for their products.

The cooperation between Vacon and CEI combines Vacon's inverter technology know-how with CEI's system-level product packaging capabilities and power generation know-how. This results in a very high-quality solar photovoltaic (PV) inverter product that meets the requirements of the Chinese market.

"I am convinced that this cooperation will provide both companies with great opportunities in the fast-growing Chinese solar PV market. The Chinese government's commitment to increasing the production of energy from renewable sources is a good example in the fight against climate change," says Olli Tevä, Marketing Director, Renewable Energy at Vacon Plc.

China National Electric Apparatus Institute Co (CEI) was established in 1958, under the management of China National Machinery Industry Corporation (SINOMACH).