Holmen: Fire at Hallsta Paper Mill

Regulatory News:

Holmen (STO:HOLMB) (STO:HOLMA)

A fire broke out on Friday evening at Hallsta Paper Mill in Hallstavik, outside Norrtälje, Sweden. No-one was injured, but production has been stopped.

The fire took place in the pulp factory in the north of the factory site. It was put out by the emergency services, and clean-up efforts began immediately at Friday night. The two paper machines at the mill were not affected or damaged by the fire.

Paper production has been halted until activities in the fire-damaged pulp factory can be resumed. The current assessment is that it will be possible to start up the pulp factory again, in any case partially, within two to three weeks.

"We’re initiating immediate dialogue with those customers next in line for deliveries from the mill, and we’ll be doing our utmost to ensure that our customers are affected to as minor an extent as possible,” says Nils Ringborg, CEO at Holmen Paper.

An investigation into the cause of the fire and the extent of the damage is in progress. The incident is expected to have a negative impact on results for the fourth quarter amounting to SEK 30 million.

This is information that Holmen AB is obliged to disclose under the Swedish Securities Market Act and the Swedish Financial Instruments Trading Act. The information was submitted for publication on 22 November 2015 at 17:15 CET.

Holmen is a forest industry group that manufactures paperboard, printing paper and sawn timber and runs forestry and energy production operations. In 2014 Holmen’s net sales were SEK 16 billion and the group has approx. 3,400 employees. Holmen’s shares are listed on Nasdaq Stockholm, Large Cap. For more information, visit www.holmen.com

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