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Stora Enso announces 8% price increase for label and flexible packaging papers from its European operations

Thursday, October 26, 2006

Press release from the issuing company

UETERSEN, Germany, October 25, 2006 – Stora Enso Speciality Papers today announced price increases of 8% for label and flexible packaging papers shipped from the company’s mills in Uetersen, Germany, and Imatra, Finland, effective January 1, 2007. According to Eckhard Kallies, vice president of packaging papers, “These product segments have been under constant price pressure during the last few years. Significant and fast increase of raw material prices, especially with respect to energy and oil-based materials, makes these price increases unavoidable.” Stora Enso Speciality Papers has taken significant internal actions in the recent past in order to offset some of these effects. These actions include the company’s fixed cost reduction and efficiency improvement programs that have been implemented to reduce costs in the mills and throughout the whole organisation. However, these cost-reduction efforts have not been enough to offset costs that are not within the company’s control.

 

 

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