Announcement of an absorption merger to Tulikivi Corporation´s shareholders The Boards of Directors of Tulikivi Corporation and its subsidiary Kermansavi Oy have signed a merger plan on June 29, 2007. Under the plan, Kermansavi Oy will merge into Tulikivi Corporation by means of absorption. The merger plan was registered on July 27, 2007. According to the merger plan, Kermansavi Oy�s assets and liabilities will be transferred to Tulikivi Corporation at their book value at the time of merger. No consideration will be paid in the merger, as the receiving company, Tulikivi Corporation, owns all the shares in Kermansavi Oy. The merger will not affect Tulikivi Corporation�s Articles of Association. The merger aims to streamline the Group structure. It is planned that the implementation of the merger will be registered on December 31, 2007. The merger plan, with its annexes and the documents specified in Article 11, Chapter 16 of the Companies Act, will be available for inspection by shareholders from August 29, 2007, at Tulikivi Corporation�s head office at Kuhnustantie 10, 83900 Juuka, and at Kermansavi Oy�s head office at Rasiahontie 3,79700 Hein�vesi. Copies of the documents will be sent to shareholders on request. They can be ordered by phone from +358 207 636 251/Kaisa Toivanen or by email from kaisa.toivanen@tulikivi.fi. If Tulikivi Corporation shareholders that own at least five (5) per cent of the company�s shares demand in writing within one month of the publication of this announcement that the merger must be decided on at a general meeting of shareholders, an extraordinary general meeting will be convened in accordance with the Companies Act and the Articles of Association. The demand must be sent to Tulikivi Corporation at the address Tulikivi Corporation/Kaisa Toivanen, 83900 Juuka. Juuka, August 29, 2007 Tulikivi Corporation Board of Directors Distribution: Helsinki Stock Exchange Central media www.tulikivi.com For additional information: Tulikivi Corporation, 83900 Juuka, tel. +358 207 636 000, www.tulikivi.com - Chairman of the Board Matti Virtaala - Managing Director Heikki Vauhkonen