Finnforest Corporation BULLETIN

Free for publication at 12.00 on 28 April 2003.

INTERIM REPORT FOR THE FINNFOREST CORPORATION 1-3/2003
(unaudited)

· Turnover E446.1 million (426.4)
· Operating profit E8.4 million (9.8)
· Profit before extraordinary items E0.2 million (1.1)
· Return on capital employed 3.8 % (4.3)
· Equity ratio 38.8 % (38.7) and gearing ratio 108 % (106)

Capital loans included in interest-bearing debt
· Equity ratio 29.2 % (29.5) and gearing ratio 177 % (170)
·
First-quarter result slightly positive

Finnforest's profit before extraordinary items was E0.2 million in
January-March, 0.9 less than in the corresponding period of 2002; the
result was an improvement on the previous quarter. Seasonal fluctuations
had a subduing affect on performance in January and February, but March
was a good month. The building industry, a key Finnforest customer, was
in severe difficulties, especially in Germany. The DIY segment
experienced modest growth, but only in France and the UK. A weakening
dollar is tightening competition. The first quarter result was also
affected by an E0.9- million reservation to restructure the Moelven
Building Group.

The Solid Wood Division improved its result compared with the
corresponding period of 2002. This was mainly due to a small increase in
sawn timber prices and increased delivery volumes. Also Moelven, which
handles operations in Scandinavia, improved its performance. Kerto LVL
was the best-performing product.

Turnover, result and financing position

Finnforest Corporation's turnover grew on the corresponding period of
2002 and was E446.1 million (426.4). Other operating income was E2.4
million (5.4) in January-March. The operating profit fell slightly to
E8.4 million (9.8). The profit before extraordinary items likewise fell
and was E0.2 million (1.1).

The Solid Wood Division's operating profit in January-March was E3.0
million (-0.1), Engineered Wood's E1.6 million (2.2), the Market Areas
Division's E2.3 million (5.6) and Moelven's E3.1 million (2.2).

The return on capital employed weakened on the corresponding period of
the previous year and was 3.8 per cent (4.3). The Corporation's liquid
assets and investment totalled E15.8 million (28.7) at the end of the
period under review.

The equity ratio at the end of the period under review was 38.8% (38.7)
and the gearing ratio 108 (106), capital loans included in shareholders'
equity. If capital loans are included in liabilities, the equity ratio