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Stora Enso's SC Paper Machine Inaugurated Today

Tuesday, January 29, 2008

Press release from the issuing company

HELSINKI, Finland, January 28 - Stora Enso's Hannu Alalauri, EVP, Magazine Paper, and representatives of Huatai Paper and local government today inaugurated Stora Enso's 200 000 tonnes per year super-calendered (SC) paper machine at Dongying in Shandong province, China. The machine started production on 25 November 2007.

"The SC paper, which is based mainly on recovered paper, fills a gap in the market since there is currently no other manufacturer of SC paper in China. The SC paper machine is operated by Stora Enso Huatai Paper Company, in which Stora Enso has a 60% shareholding and its Chinese partner Shandong Huatai Paper 40%," says Markku Pentikainen, Stora Enso EVP, Asia Pacific and Russia. The customers for the new SC paper are printing houses with heatset web offset printing facilities, retail chains, publishers, advertising companies, brand owners and merchants, mainly in the more developed coastal markets such as Beijing, the Yangtze river delta area (including Shanghai), Guangzhou and Shenzhen. There is also good potential in several inland cities with high populations

"Customers have chosen Stora Enso's SC paper because it is an interesting new paper quality that combines optimum printing properties with runnability in printing presses. It is ideal for their end-uses and available from a manufacturer in China. Our professional know-how in SC production and extensive sales network were also decisive," adds Markku Pentikainen. The financial results of the joint venture are consolidated in Stora Enso's accounts and reported in the Magazine Paper business area.




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