Decisions Taken by KONE Corporation's Annual General Meeting and Board of Directors

KONE Corporation, Stock Exchange Release, February 25, 2008

Matters Relating to the Annual General Meeting

KONE Corporation's Annual General Meeting was held in Helsinki on
February 25, 2008. The meeting approved the financial statements and
discharged the responsible parties from liability for the financial
period January1-December 31, 2007.

The Annual General Meeting approved dividends of EUR 0.29 for each of
the 19,052,178 class A shares and EUR 1.30 for the 106,955,663
outstanding class B shares. The date of record for dividend
distribution is February 28, 2008, and dividends will be payable on
March 6, 2008.

The number of Members of the Board of Directors was confirmed as
seven and it was decided to elect one deputy Member. Re-elected as
full Members of the Board were Matti Alahuhta, Reino Hanhinen, Antti
Herlin, Sirkka Hämäläinen-Lindfors, Masayuki Shimono, Iiro Viinanen
and Sirpa Pietikäinen and as deputy Member Jussi Herlin.

The Annual General Meeting confirmed an annual compensation of EUR
54,000 for the Chairman of the Board, EUR 42,000 for the Vice
Chairman, EUR 30,000 for Board Members and EUR 15,000 for the deputy
Member. In addition, a compensation of EUR 500 was approved for
attendance at Board and Committee meetings.

Authorized public accountants Heikki Lassila and
PricewaterhouseCoopers Oy were nominated as auditors.

Amendment of the Articles of Association

According to the Board of Directors' proposal, the Annual General
Meeting decided to amend the Articles of Association due to the new
Companies Act, which entered into force on September 1, 2006. The new
Articles of Association can be found at www.kone.com.

Share split, i.e. increasing the number of shares through a share
issue without payment

The Annual General Meeting approved the Board of Directors' proposal
to increase the number of shares in the company by issuing new shares
to the shareholders without payment in proportion to their holdings
so that one class A share will be given for each class A share and
one class B share will be given for each class B share. After the
share issue, there will be a total of 38,104,356 class A shares and a
total of 218,600,832 class B shares.

The share issue will be implemented in the book-entry system and does
not require measures by the shareholders. The shareholders who are
registered in the company's shareholder register on the record date,
February 28, 2008, are entitled to shares. New shares will produce
shareholder rights as of the registration of the share issue,
however, the new shares will not entitle their holders to the
dividends to be decided in the General Meeting held on February 25,
2008.

The new shares are to be admitted to public trading and entered into
the book-entry system on February 29, 2008.

Terms and Conditions for 2005A, 2005 B, 2005C and 2007 Option Rights

The General Meeting decided that the share subscription period for
the 2005C option rights will begin on April 1, 2008. In addition, it
was decided that EUR 0.25 of the subscription price to be paid for
the new shares issued based on the 2005A, 2005B, 2005C, and 2007
option rights will be credited to the share capital, and that the
remaining part will be credited to the paid-up unrestricted equity
reserve. Due to the increase in the number of shares, the Annual
General Meeting decided that the number of shares to be subscribed
for based on the 2005A, 2005B, 2005C and 2007 option rights will
increase, and the share subscription price will decrease in the same
proportion. The terms and conditions for all option rights can be
found at www.kone.com.

Authorization to Acquire and Distribute Own Shares

The Board of Directors' proposal that the Annual General Meeting
authorize the Board of Directors to repurchase KONE's own shares with
assets distributable as profit was approved. The shares may be
repurchased in order to develop the capital structure of the Company,
finance or carry out possible acquisitions, implement the Company's
share-based incentive plans, or to be transferred for other purposes
or to be cancelled.

Altogether no more than 25,570,000 shares may be repurchased, of
which no more than 3,810,000 may be class A shares and 21,760,000
class B shares.

In addition, the Board of Directors' proposal that the Annual General
Meeting authorize the Board of Directors to decide on the
distribution of any shares repurchased by the company was approved.
The authorization is limited to a maximum of 3,810,000 class A shares
and 21,760,000 class B shares. The Board shall have the right to
decide to whom to issue the shares, i.e. to issue shares in deviation
of the pre-emptive rights of shareholders.

The repurchased shares may be used as compensation in acquisitions
and in other arrangements as well as to implement the Company's
share-based incentive plans in the manner and to the extent decided
by the Board of Directors. The Board of Directors also has the right
to decide on the distribution of the shares in public trading in the
OMX Nordic Exhange Helsinki for the purpose of financing possible
acquisitions. The shares shall be distributed at least at the market
price at the moment of their transfer determined on the basis of the
trading price for class B shares determined in public trading in the
OMX Nordic Exchange Helsinki.

These authorizations shall remain in effect for a period of one year
from the date of decision of the Annual General Meeting.

Decisions by the Board of Directors

At its meeting held after the Annual General Meeting, the Board of
Directors elected from among its members Antti Herlin as its Chair
and Sirkka Hämäläinen-Lindfors as Vice Chair.

Antti Herlin was elected as Chairman of the Audit Committee. Sirkka
Hämäläinen-Lindfors and Iiro Viinanen were elected as independent
members of the Committee.

Antti Herlin was elected as Chairman of the Nomination and
Compensation Committee. Reino Hanhinen and Sirkka Hämäläinen-Lindfors
were elected as independent members of the Committee.

About KONE

KONE is one of the world's leading elevator and escalator companies.
It provides customers with industry-leading elevators, escalators and
innovative solutions for maintenance and modernization. KONE also
provides maintenance services for automatic building doors. In 2007,
KONE had annual net sales of EUR 4.1 billion and approximately 32,500
employees. KONE class B shares are listed on the OMX Nordic Exchange
Helsinki in Finland. www.kone.com

For further information, please contact:
Jukka Ala-Mello, Secretary to the Board, tel. +358 (0)204 75 4226

Sender:

Jukka Ala-Mello
Secretary to the Board of Directors

Minna Mars
Senior Vice President,
Corporate Communications & IR