Stock Exchange release October 24, 2001 09:02:47 AM CET


Valmet Automotive Inc., a daughter company of Metso Corporation, and the German sports cars manufacturer Dr. Ing. h.c. F. Porsche AG have agreed on a long term co-operation. Porsche AG and Valmet Automotive have also now signed an agreement covering continued production in Uusikaupunki until year 2008, with an option until year 2011. Valmet Automotive has assembled Porsche Boxster cars since 1997. The current agreement is valid until 2004 with an option of one additional year.

The first agreement between Porsche AG and Valmet Automotive was made in 1997 as Porsche needed additional capacity to meet the strong demand for Porsche Boxster cars launched in 1996. Valmet Automotive was the only factory able to start the production within a few months and to fulfil the high quality standards set by Porsche.

From the total of 111 256 Porsche Boxster cars assembled so far, more than one half, that is 61 504 vehicles, have been assembled in Uusikaupunki, Finland. During the Porsche financial year ending July 31, 2001, 23 294 vehicles out of a total of 28 457 Boxster and Boxster S models were manufactured in Finland.

Dr. Wendelin Wiedeking, President and CEO of Porsche AG, states that the partnership with Valmet Automotive has turned out to be the right decision for Porsche and will allow further growth for Porsche.

- Therefore we did not hesitate to strengthen and continue the co-operation with a new agreement reaching far to the future, says Dr. Wiedeking.

Mr Tapio Kuisma, President and CEO of Valmet Automotive, considers the new agreement as most significant for the company and the employment also in the years to come.
- With this agreement, also we believe in continued success and growth in the future, he says. Today, the production of Porsche Boxster cars employs more than half of Valmet Automotive's 1600 employees.

Metso Corporation is a global supplier of process industry machinery and systems. Metso's core businesses are divided between Metso Paper (fiber and paper technology), Metso Minerals (rock and mineral processing) and Metso Automation (automation and control technology). In 2000, the net sales of Metso Corporation were EUR 3.9 billion, and the personnel totaled approximately 22,000. Metso Corporation is listed on the Helsinki and New York Stock Exchanges.

Metso completed its offer for Svedala Industri AB on September 14, 2001. Svedala is a global supplier of products and services for rock and mineral processes. Metso's and Svedala's combined net sales are approximately EUR 5,400 million (in 2000) and the amount of personnel is approximately 32,000.

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