UPM INVESTS IN VAAHTO LTD MACHINERY AT JÄMSÄNKOSKI MILL IN FINLAND

Vaahto Ltd, a member of Vaahto Group, will supply stock preparation equipment to two paper machines at UPM-Kymmene Oyj Jämsänkoski mill in Finland.

Vaahto Ltd’s delivery will include new pulpers and conveyors with auxiliary equipment, as well as new undermachine pulpers for paper machine no. 4. Installation, training and start-up services are essential parts of the supply. The value of the delivery is about 2 million euros.

Vaahto Ltd will manufacture main part of the goods in Hollola workshop in Finland, but significant portions will be sourced from sub-contractors, too. The delivery will take place during the first and second quarter of year 2007.

Lahti, 8 June 2006

VAAHTO GROUP PLC OYJ

Antti Vaahto

CEO

Further information:

Jyrki Strengell

Vice President, Sales

Vaahto Ltd

Distribution:

Helsinki Stock Exchange

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