SUOMINEN CORPORATION FINANCIAL STATEMENTS JANUARY 1 - DECEMBER 31, - PowerPoint PPT Presentation

SUOMINEN CORPORATION FINANCIAL STATEMENTS JANUARY 1 - DECEMBER 31, 2002 PRESENTATION FEBRUARY 5, 2003

Breakdown of Net Sales 1 - 12/2002 Webbing Products Flexible Packaging EUR 13.2 million EUR 72.1 million 7.5 % 41.3 % EUR 174.8 million Nonwovens EUR 89.4 million 51.2 %

P & L in Brief January 1 - December 31 EUR million 2002 2001 Change % Pro forma Net sales 174.8 174.1 +0.4 Operating Profit 17.4 12.2 +43.1 Profit before extraordinary items 15.1 9.3 +62.4 Taxes -4.2 -2.8 Profit for the period 10.8 6.5 +67.2 Earnings per share, EUR 0.68 0.41 +65.9 Dividend per share, EUR, proposal 0.70 0.40 +75.0

Key Figures 12/2002 12/2001 Pro forma Earnings/share, EUR 0.68 0.41 Equity/share, EUR 4.07 3.86 Cash flow from operations/share, EUR 1.38 1.66 Return on equity, % (ROE) 17.9 10.9 Return on invested capital, % (ROI) 15.6 10.3 Equity ratio, % 47.0 43.5 Gearing, % 66.5 81.5 Gross investments, EUR million 8.0 10.7 Depreciation, EUR million 15.6 15.2

Suominen Corporation Net Sales I/2001 -IV/2002 EUR 1 000 60 000 50 000 45 836 45 001 43 872 43 660 43 086 42 944 43 084 41 442 40 000 30 000 20 000 10 000 0 I/2001 II III IV I/2002 II III IV I - III/2001 pro forma

Suominen Corporation Operating Profit I/2001 -IV/2002 EUR 1 000 % 6 000 14 5 000 12 4 000 10 8 3 000 5 129 6 4 352 4 291 2 000 3 920 3 624 3 320 4 2 510 2 408 1 000 2 0 0 I/2001 II III IV I/2002 II III IV - w/o extra costs I - III/2001 pro forma

Net Sales by Business Area January 1 - December 31 EUR 1 000 2002 2001 Change % Pro forma Nonwovens 89 416 85 264 +4.9 Flexible Packaging 72 118 72 370 -0.3 Webbing Products 13 158 16 328 -19.4 Group & Internal 118 153 Total 174 810 174 115 +0.4

Earnings by Business Area January 1 - December 31 EUR 1 000 2002 2001 Change Pro forma % Nonwovens 13 022 7 811 +66.7 Flexible Packaging 5 616 5 682 -1.2 Webbing Products -683 -986 Group & Internal -559 -349 Operating profit 17 396 12 158 +43.1 Financial income and expenses -2 335 -2 886 -19.1 Profit before extraordinary items 15 061 9 272 +62.4

Nonwovens January 1 - December 31 EUR million 2002 2001 Change % Pro forma Net sales 89.4 85.3 +4.9 Operating Profit 13.0 7.8 +66.7 • Higher sales volumes and improved cost effectiveness improved the profitability in Nonwovens. • Growth continued strong in wiping product materials. • Sales of hygiene product materials stable after cuts in product range in 2001. • Health care product materials fell on 2001. • The rise in raw material prices levelled off in Q3 and softened towards the year end. • Renewal of hydroentanglement lines improved product quality and increased capacity.

Nonwovens Net Sales I/2001 -IV/2002 EUR 1 000 30 000 23 609 25 000 23 356 21 991 21 972 21 930 21 101 20 460 20 261 20 000 15 000 10 000 5 000 0 I/2001 II III IV I/2002 II III IV

Nonwovens Operating Profit I/2001 -IV/2002 % EUR1 000 4 000 20 18 3 500 16 3 000 14 2 500 12 2 000 10 3 676 3 476 3 204 8 1 500 2 817 2 666 6 1 000 1 848 1 623 4 1 523 500 2 0 0 I/2001 II III IV I/2002 II III IV - w/o extra costs

Flexible Packaging January 1 - December 31 EUR million 2002 2001 Change % Pro forma Net sales 72.1 72.4 -0.3 Operating Profit 5.6 5.7 -1.2 • Net sales and operating profit on previous year’s level. • Sales of packaging for hygiene products and food products increased. • Strong increase of sales in Russia and Poland. • Sales in retail service packaging fell on 2001. • Measures to improve structural efficiency started in the latter part of the year.

Flexible Packaging Net Sales I/2001 -IV/2002 EUR 1 000 25 000 18 867 20 000 18 468 18 243 18 285 18 214 17 614 17 445 17 352 15 000 10 000 5 000 0 I/2001 II III IV I/2002 II III IV

Flexible Packaging Operating Profit I/2001 -IV/2002 EUR 1 000 % 3 000 12 2 500 10 2 000 8 1 500 6 1 000 4 1 836 1 735 1 710 1 505 1 370 1 310 1 157 500 2 675 0 0 I/2001 II III IV I/2002 II III IV

Webbing Products January 1 - December 31 EUR million 2002 2001 Change % Pro forma Net sales 13.2 16.3 -19.4 Operating Profit -0.7 -1.0 • Sales of materials handling products fell because of soft demand for these products and streamlining of product range. • Sales of narrow fabrics were stable. • Costs adjusted during the year, operating profit, however, still on red.

Webbing Products Net Sales I/2001 -IV/2002 EUR 1 000 10 000 9 000 8 000 7 000 6 000 4 774 4 546 5 000 3 570 3 541 4 000 3 467 3 338 3 327 2 923 3 000 2 000 1 000 0 I/2001 II III IV I/2002 II III IV

Webbing Products Operating Profit I/2001 -IV/2002 EUR 1 000 % 600 25 20 350 15 10 100 5 0 -33 II III IV I/2002 II III IV -83 -150 -5 -117 -126 I/2001 -175 -205 -10 -299 -400 -15 -20 -650 -25 -631 - w/o extra costs

Outlook • Risk of consumer consumption to suffer from the Irak situation and of slow economic growth. • Sales agreements in Nonwovens with core customers indicate sales and profitability to be on 2002 level. Due to the timing of deliveries, sales and result in Q1 are expected to be lower than year earlier. • Demand for Flexible Packaging expected to rise in Russia and East Central Europe. • Efforts focused on to regain lost market shares in Webbing Products. • Special attention to cost effectiveness. • Financial result in 2003 expected to remain on the level of 2002.