Ruukki Group enters into agreement on main production machinery of Russian sawmill

Ruukki Group has signed purchase agreement with Heinola Sawmill Machinery Inc on
the machinery and equipment of the sawmill to be established in Russia, in the  
city of Manturovo located in Kostroma Oblast. The agreement includes the saw    
line, green sorting, stacker for kiln loads, dry sorting and packing lines of   
the saw mill.                                                                   

According to the agreement, Heinola Sawmill Machinery Inc will assemble the     
machinery and equipment so that the sawmilling operations are to be started     
during the last quarter of 2008.                                                

Negotiations on the other machinery deliveries for the saw mill, such as kilns, 
bioenergy boiler plant and log sorting, are in their final stages.              

The annual capacity of the sawmill is set at 500,000 cubic meters of sawn wood  
per year. The planned annual production volume in the first stage of operation  
is about 300,000 m3 of sawn wood, to be produced in two shifts.                 

For additional information, please contact:                                     

Esa Hukkanen                                                                    
Development Director                                                            
Ruukki Group Plc                                                                
Telephone +358 10 440 7005                                                      
www.ruukkigroup.fi