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· The Group's net turnover for January-March amounted to MSEK 4 579 (January-March 2005: 3 801).

· Profit after tax was MSEK 406 (217).

· Earnings per share amounted to SEK 4.8 (2.6). Return on equity was 10.0 % (5.5).

· The operating profit amounted to MSEK 619 (364). The improvement is due to higher volumes and higher prices for newsprint and magazine paper.

  • The result improved by MSEK 49 in relation to the fourth quarter of 2005. The fourth quarter result included income from the sale of power grid assets and forest properties amounting in total to MSEK 97.

· Market conditions for newsprint remained strong in Europe during the first quarter. Holmen Paper's deliveries were 20 % higher than in the first quarter of 2005, mainly as a result of the new paper machine in Madrid. On average, prices for Holmen Paper's products were some 5 % higher.

  • The market situation for virgin fibre board in Europe remained good in the first quarter. Iggesund Paperboard's deliveries were 15 % higher than in the first quarter of 2005. Prices were stable.

The Holmen Group

Holmen is a forest industry group that manufactures printing paper, paperboard and sawn timber and runs forestry and energy production operations. The company’s extensive forest holdings and its high proportion of energy production are strategically important resources for its future growth.

Holmen AB

Tel: 08-666 21 00

E-post: info@holmen.com

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