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2006-10-27, 08:35
 - Regulatory

· The income after net financial items for the third quarter of 2006 was SEK 1 (-65) million. The result for the quarter was affected by costs of around SEK 30 million relating to planned maintenance shutdowns at Vallvik and Rottneros.

· The loss for the first nine months of 2006 after net financial items was SEK -44 ( 82) million. Provisions for restructuring according to the cost-cutting programme announced in February 2006 affected the result in the amount of SEK -27 million. The continuing cost-cutting programme reduced costs during the reporting period by around SEK 27 million and is expected to result in savings this year of around SEK 37 million.

· At the end of August Rottneros announced that, due to high electricity prices, it would begin negotiations on the closure of Utansjö Mill with a view to moving the plant abroad.

· The company is expecting a continued strong pulp market and a positive price trend.

· As announced previously, the company will not be providing a forecast for the full year 2006 due to the fact that both electricity price trends and dollar exchange rates are hard to predict.

(For complete report see attached file)

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