RAUTARUUKKI POSTS EXCELLENT RESULTS FOR 2006 AND EXPECTS STRONG GROWTH IN

| Source: Rautaruukki Rautaruukki 

Rautaruukki Oyj      Stock exchange release          7 Feb 2007 at 9.01am

RAUTARUUKKI POSTS EXCELLENT RESULTS FOR 2006 AND EXPECTS STRONG GROWTH IN
EASTERN EUROPE

Summary of results for 2006 (comparable figures for 2005)
- Earnings per share EUR 3.65* (3.31)
- Profit before tax EUR 635 million (612)
- Gearing ratio 1.2 per cent (22.8)
- Comparable net sales EUR 3,515 million (3,128), up 12 per cent
- Comparable operating profit EUR 515 million was on a par with previous year
(539)
- Operating profit for 2007 expected to markedly exceed the comparable figure
last year
- Board of Directors to propose a dividend of EUR 1.50 per share, with an
additional dividend of EUR 0.50 arising from the profit of Ovako divestment.


Key figures                        2006       2005         2006        2005
                                 Oct-Dec    Oct-Dec     Jan-Dec     Jan-Dec
Net sales, EUR m                    1013        889        3682        3654
- comparable                        1013        815        3515        3128
Operating profit, EUR m              167        123         529         618
- comparable                         167        117         515         539
Operating profit as % of net sales  16.5       13.8        14.4        16.9
- comparable                        16.5       14.3        14.7        17.2
Profit before taxes, EUR m           258        121         635         612
Earnings per share, diluted, EUR    1.55       0.68       3.65*        3.31
Comparable figures exclude Ovako and Nordic reinforcing steel business.
* share of profit of divestment of Ovako EUR 0.73

Fourth quarter highlights compared to fourth quarter 2005

- Marked growth in comparable net sales and operating profit, operating profit
was 16.5 per cent of net sales (14.3%)
- Divestment of Ovako was completed, tax-exempt capital gain of EUR 100 million
- Major growth in volume of construction deliveries
- Engineering customers report strong order books
- Good demand for standard and special steel products
- Record steel production
- Acquisition of AB Omeo Mekaniska Verkstad strengthens capability to deliver
boom products


President & CEO Sakari Tamminen:

“Demand held up well in our core market areas throughout 2006, with particularly
strong growth in Central Europe, Russia and Ukraine. Construction activity was
extremely brisk in commercial and industrial construction in Eastern Europe.
Engineering customers reported strong order books. Standard and special steel
products continued to be in good demand and prices firmed up towards the end of
the year.

The company posted excellent results and is almost debt-free. The solutions
businesses are accounting for an increasing share of our business and we have
divested non-core units. We are expanding our solutions business through
additional investments and acquisitions to fast-track organic growth. Growth and
specialisation is being supported by investment in the development and
production of high-strength steel grades.

We are now well placed for profitable growth and intend to strengthen our
position in construction on the dynamically growing markets of Central Eastern
Europe, Russia and Ukraine. In June 2006, we acquired Ventall, Russia’s leading
steel constructor, to fast-track our expansion on the rapidly growing steel
construction market in Russia. In the engineering industry, we are expanding our
range of products and services and as a result are growing our customer base
across Europe.

In November we announced Group’s new growth and profitability targets. These new
targets better reflect the evolving structure. In the same context, we also
redefined our dividend policy. I believe that the growth in the solutions
business will be reflected in more stable profitability development.

We are well placed for 2007. Comparable net sales in 2007 are expected to be on
line with growth targets set. Operating profit for 2007 is anticipated to
markedly exceed the comparative figure for last year.”


FURTHER INFORMATION IS AVAILABLE FROM

Sakari Tamminen, President & CEO, tel. +358 20 592 9075
Mikko Hietanen, CFO, tel. +358 20 592 9030


Press conference

Rautaruukki will hold a press conference on the financial statements on 7
February at 10.30am at corporate headquarters, Suolakivenkatu 1, 00810 Helsinki.


Webcast and conference call

The webcast and conference call in English for investors and analysts can be
viewed live on the company’s website at www.ruukki.com/investors, today 7
February 2007 starting at 2pm Finnish time.

To attend the conference call, please call the following number
+44 (0) 20 7162 0025, password: Rautaruukki, around 5-10 minutes before the
conference starts.

The encore replay can be heard until midnight 10 February 2007 on
+44 (0) 20 7031 4064, access code: 734263

The 2006 financial statements bulletin may be viewed on the company’s website at
www.ruukki.com/investors.

This release is unaudited.


Rautaruukki Oyj

Taina Kyllönen
VP, Corporate Communications


Rautaruukki supplies metal-based components, systems and integrated systems to
the construction and mechanical engineering industries. The company has a wide
selection of metal products and services. Rautaruukki has operations in 23
countries and employs 13,000 people. Net sales in 2006 totalled EUR 3.7 billion.
The company's share is quoted on the Helsinki Exchanges (Rautaruukki Oyj:
RTRKS). The Corporation has used the marketing name Ruukki since 2004.


www.ruukki.com

DISTRIBUTION
Helsinki Exchanges
Principal Media
www.ruukki.com