Hirviset Oy, a subsidiary of Ruukki Group's furniture business segment, started co-determination negotiations for financial and production-related reasons at the end of October. All of the approximately 60 employees at the Lestijärvi factory have been subject to these negotiations. The Lestijärvi factory was to a major extent destroyed in the fire that took place at the end of June 2007. All employees of Lestijärvi factory have been offered new jobs at other factories of Ruukki Group's furniture business segment. A total of 17 employees will move to these other production facilities. Altogether 38 employees shall be given immediate notice due to financial and production-related reasons. The non-recurring costs related to these redundancies are estimated to total approximately EUR 0.2 million. The insurance compensation processes related to Lestijärvi fire are still partially open. It has previously been announced that the net expected insurance compensation, taking into account the asset write-downs, to be shown in the fiscal year 2007 income statement of Incap Furniture group amounts to somewhat more than EUR 2 million. In addition to this and based on agreements, non-recurring insurance compensations totaling approximately EUR 1.9 million will also be recognised in the fiscal year 2007 income statement. RUUKKI GROUP PLC MATTI VIKKULA CHIEF EXECUTIVE OFFICER Ruukki Group focuses on wood-based industrial business operations. Currently the group operations are located mainly in Finland, but in future the targeted emphasis is principally in Russia. Ruukki Group Plc's share is listed on Helsinki Stock Exchange. In the OMX Nordic Exchange the shares of the company are traded in the so-called mid cap sector, in the industrials segment. For further information, please contact: Antti Kivimaa Senior Executive Vice President Ruukki Group Plc Telephone +358 400 501 780 www.ruukkigroup.fi Veli Torvinen Managing Director Incap Furniture Oy Telephone +358 40 551 0665 www.incapfurniture.fi
RUUKKI GROUP'S FURNITURE BUSINESS SEGMENT STARTS CO-DETERMINATION NEGOATIONS IN ITS LESTIJÄRVI FACTORY
| Source: Afarak Group Plc