Helsinki, Finland, 2015-01-19 08:00 CET (GLOBE NEWSWIRE) --
STORA ENSO OYJ STOCK EXCHANGE RELEASE 19 January 2015 at 9.00 EET
Stora Enso will record non-recurring items (NRI) with a negative net impact of approximately EUR 225 million on operating profit and a positive impact of approximately EUR 53 million on income tax in its fourth quarter 2014 results. The NRI will decrease earnings per share by EUR 0.22.
The NRIs are:
- a negative NRI of approximately EUR 204 million due to fixed asset impairments mainly in Printing and Reading. The impairments are due to further weakened long-term earnings expectations resulting from decline in the European paper markets.
- a negative NRI in Printing and Reading of approximately EUR 30 million due to fixed asset impairments and inventory write-downs related to the earlier announced, ongoing disposal of Uetersen Mill in Germany. The transaction is subject to regulatory approval process and estimated to be completed during the first quarter of 2015.
- a positive NRI in Renewable Packaging of approximately EUR 9 million due to the earlier announced disposal of the Corenso business operations. The disposal was completed on 1 December 2014.
The positive impact of approximately EUR 53 million on the income tax comprises a positive tax impact of approximately EUR 40 million due to the operative NRIs and a positive tax impact of approximately EUR 12 million due to valuation of deferred tax assets.
The impairment charges taken in the fourth quarter 2014 reduce quarterly depreciations by EUR 7 million starting from fourth quarter 2014.
Allocation of NRI between segments
| Segment | EUR million |
| Renewable Packaging | 8 |
| Biomaterials | - |
| Building and Living | 2 |
| Printing and Reading | -235 |
| Other | - |
| Operating Profit | -225 |
| Income tax | 53 |
| Net Profit | -172 |
Stora Enso’s fourth quarter and full year 2014 results will be published on 4 February 2015.
For further information, please contact:
Seppo Parvi, CFO, tel. +358 2046 21205
Ulla Paajanen-Sainio, Head of Investor Relations, tel. +358 2046 21242
www.storaenso.com
www.storaenso.com/investors
Stora Enso is the global rethinker of the paper, biomaterials, wood products and packaging industry. We always rethink the old and expand to the new to offer our customers innovative solutions based on renewable materials. Stora Enso employs some 29 000 people worldwide, and our sales in 2013 amounted to EUR 10.6 billion. Stora Enso shares are listed on NASDAQ OMX Helsinki (STEAV, STERV) and Stockholm (STE A, STE R). In addition, the shares are traded in the USA as ADRs (SEOAY) in the International OTCQX over-the-counter market.
STORA ENSO OYJ