Rautaruukki Oyj Stock exchange release 12 March 2008 RAUTARUUKKI TO CLOSE SINTER PLANT AT RAAHE WORKS BY THE END OF 2011 Rautaruukki is to close down sinter plant operations at the Raahe Works in Finland by the end of 2011. The company will switch over to using only iron pellets as a raw material in the iron-making process and has a long-term pellet supply contract with LKAB of Sweden. Closing the sinter plant will significantly reduce emissions at the Raahe Works. The iron-making process currently uses a million tonnes of iron pellets and 2.3 million tonnes of iron ore concentrate each year. The switchover to using iron pellets will make the sinter plant redundant. In the sinter plant, limestone and coke breeze are mixed with the iron ore concentrate and sintered into lump form or sinter for use in the blast furnaces as a raw material for iron-making. The sinter plant has been in operation at the Raahe Works since 1964. -Switching over to iron pellets will enable us to significantly reduce emissions at the Raahe Works. Carbon dioxide emissions will decrease by 10 per cent or 500,000 tonnes a year, dust emissions will be cut by 37 per cent and sulphur emissions by 64 per cent. Energy consumption at the Raahe Works will fall by 8 per cent or 1.16 million megawatt hours a year. This is equivalent to the annual energy consumption of around 60,000 small family houses, says Sakari Kallo, Vice President, Hot-rolled Plate and Strip Products. The sinter plant employs around 120 people at the Raahe Works. -The people released as a result of closing the sinter plant are needed for other jobs in the company. Some 250 people, of which over 200 are workers, will be retiring from the Raahe Works between 2008 and 2011, says Kallo. The decision to close the sinter plant will mean additional depreciation of around EUR 1.9 million a year during the next four years. Further information is available from: Sakari Kallo, Vice President, Hot-Rolled Plate and Strip Products, Ruukki Production, tel. +358 20 592 2210 Rautaruukki Corporation Anne Pirilä SVP, Corporate Communications and Investor Relations 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 24 countries and employs 14,600 people. Net sales in 2007 totalled EUR 3.9 billion. The company's share is quoted on the OMX Nordic Exchange Helsinki (Rautaruukki Oyj: RTRKS). The Corporation has used the marketing name Ruukki since 2004. www.ruukki.com DISTRIBUTION OMX Nordic Exchange Helsinki Main media www.ruukki.com