Stock Exchange release April 25, 2007 07:03:02 AM CET

Metso to establish a new service center in Guangzhou, China

Metso Paper will establish its second Service Center in China. The center, which will be located in Guangzhou, Guangdong province, will provide advanced machinery maintenance and process development services to the pulp and paper making industry in southern China. The value of the investment is close to EUR 10 million.
 
The new greenfield Service Center will be operational in 2008. In the beginning, the center will employ 40 service professionals - recruiting of personnel is already ongoing.
 
The Guangzhou Center will feature a fully equipped roll service workshop providing rolls, roll covers as well as mechanical roll maintenance for all makes and sizes of pulp and paper machines. In addition, the center will offer a full scope of spare part and mill site services.
 
Establishment of the new Guangzhou Service Center is a natural continuation to Metso's commitment to serve the Chinese pulp and paper industry locally. In line with this, Metso Paper is also strengthening its existing service operations in China. The Wuxi Service Center that was opened in Jiangsu province in 2001 will double its roll service capacity by opening an extension in October 2007.
 
In 2003, Metso Paper established a logistics center in Wai Gao Qiao, Shanghai, to support fast deliveries of spare parts and consumables.
 
To serve the growing paper, board and pulping equipment market, Metso Paper also has a production plant in Shanghai with 500 employees, and a 1,200-strong manufacturing joint venture in Xi'an.
 
During the last ten years the Chinese pulp and paper industry has made substantial investments in new machinery and technology. Metso Paper has been involved in many of these projects, and is currently the leading technology supplier to this industry.
 
Metso is a global engineering and technology corporation with 2006 net sales of approximately EUR 5 billion. Its 25,500 employees in more than 50 countries serve customers in the pulp and paper industry, rock and minerals processing, the energy industry and selected other industries.
www.metso.com
 
For further information, please contact:
Pekka Pöyhönen, Vice President, Roll Services, Asia-Pacific, Service Business Line, Metso Paper, tel. + 66 38 401 100, mobile +66 81 826 7088