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Management Side
Metsä Board Starts Installation of New Folding Boxboard Machine

Espoo, Finland 12 October 2015 -- Metsä Board is continuing a EUR 170 million investment programme at its Husum mill in Sweden. From mid-October till the beginning of January 2016 the company is installing a new folding boxboard machine, BM1, at the mill and closing down paper machines PM6 and PM7.

"Resource efficiency and product safety have become even more important in consumer, retail-ready and food service packaging. As a result, customer demand for our pure fresh forest fibre based paperboards is growing. We want to respond by offering our customers high-quality paperboards also developed for new kinds of end-uses," states CEO Mika Joukio.

Metsä Board is marketing the new board machine's 400 000 t/a capacity to the Americas, as well as to food service end-uses such as cups, plates and trays globally. The new board machine will also allow the company to optimise production at its mills in Finland and improve overall availability of high-quality paperboards.

This year many improvements supporting the company's growth have already been carried out at the Husum mill site, both at the pulp mill and at its own port. Paper machine PM8 has been switched, as BM2, to production of white fresh forest fibre linerboard, with a capacity of 300 000 t/a. Metsä Board is marketing this linerboard output mainly to the Americas and Europe both for food and general packaging. The company is also continuing uncoated fine paper business reels production on BM2, planned to cease by the end of 2017 at the latest. Based on the increasing linerboard production and the closure of paper machines PM6 and PM7, approximately 500 000 t/a paper production capacity will disappear from the market by the end of 2015.

In accordance with its strategy, Metsä Board is focusing on fresh forest fibre based folding boxboards and linerboards, developed as the perfect fit for consumer goods, retail-ready and food service packaging. Following the Husum investments, the company's paperboard capacity will exceed 2 million t/a, from the beginning of 2016.

Metsä Board is a leading European folding boxboard and white fresh forest fibre linerboard producer as well as a market pulp supplier. The company's sales network serves brand owners, carton printers, corrugated packaging manufacturers, printers and merchants.
Metsä Board supports its customers' businesses by providing high-performance paperboards for consumer and retail packaging and graphics. Together with its customers and partners, Metsä Board develops products and services for demanding end uses. The company's paperboard is mainly used for the packaging of beautycare and healthcare products, foods, cigarettes, and consumer durables as well as graphics. Metsä Board is headquartered in Finland. In 2014, the company's sales totaled EUR 2.0 billion, and it has approximately 2,600 employees. Metsä Board, part of Metsä Group, is listed on the NASDAQ OMX Helsinki.

Metsä Group is a responsible forest industry group whose products' main raw material is renewable and sustainably grown northern wood. Metsä Group focuses on tissue and cooking papers, fresh forest fibre paperboards, pulp, wood products, and wood supply and forest services. Its high-quality products combine renewable raw materials, customer-orientation, sustainable development and innovation. Metsä Group's sales totalled EUR 5 billion in 2014, and it employs approximately 9,800 people. The Group operates in some 30 countries. Metsäliitto Cooperative is the parent company of Metsä Group and is owned by approximately 122,000 Finnish forest owners.


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