Interim report January-June 2011

                          Quarter       Jan-June Full year
 SEKm                2-11   1-11  2-10   2011 2010    2010
 Net turnover       4 787  4 721 4 227 9 508 8 628  17 581
 EBITDA*              808    864   586 1 672 1 214   2 583
 Operating profit*    492    558   268 1 050   588   1 332
 Profit after tax     302    370   133   672   312     704
 Earnings/share, SEK  3.6    4.4   1.6   8.0   3.7     8.4
 Return on equity, %  7.3    8.8   3.2   8.1   3.8     4.2

*)Excluding SEK 264 million of items affecting comparability for the fourth quarter 2010

• Profit after tax for January-June 2011 was SEK 672 million (January-June 2010: SEK 312 million).
• Earnings per share amounted to SEK 8.0 (3.7). Return on equity totalled 8.1 per cent (3.8).
• Operating profit amounted to SEK 1 050 million (588). The improvement is explained by higher prices for newsprint and paperboard, while higher costs for wood and recovered paper had an adverse impact on the result.

Operating profit decreased by SEK 66 million to SEK 492 million compared to the first quarter as a consequence of lower operating profit in Holmen Skog and seasonally lower operating profit for Holmen Energi.

* Demand for newsprint in Europe rose somewhat in the first six months, but was slightly lower for paperboard compared to the same period last year. The market for sawn timber remained weak.

For further information please contact:

Magnus Hall, President and CEO, tel. +46 8 666 21 05

Anders Jernhall, CFO, tel. +46 8 666 21 22

Ingela Carlsson, Public Relations Director, tel. +46 70 212 97 12

• Interim Report