Stora Enso Oyj Stock Exchange Release 27 June 2007 at 12.00 GMT Stora Enso's subsidiary paper merchant Papyrus is to build a new 27 000 m2 Scandinavian Central Warehouse in the Port of Göteborg in Sweden. Papyrus is purchasing 49 000 m2 of land from Scandinavian Distripoint AB, a company owned by the City of Göteborg, for the building site at a cost of EUR 3.2 million. The total capital expenditure in the project will be EUR 35 million. Construction work is scheduled to start in the first quarter of 2008 and the warehouse is expected to be fully operational at the beginning of 2010. The greenfield site and the new Scandinavian warehouse will be financed by the capital released through the sale of warehouses and office properties in Sweden and Denmark on 19 June 2007. The Scandinavian Central Warehouse is part of the Papyrus strategy to increase efficiency and improve service. The new central warehouse will give Scandinavian customers access to a wider product range with improved product availability. "Göteborg is logistically the optimal location for Papyrus with its well-developed infrastructure, immediate proximity to the big freight flows and closeness to our Scandinavian customers. The new warehouse will increase our flexibility and ensure we improve our already attractive service to our customers," says Mats Nordlander, President of Papyrus. For further information, please contact: Mats Nordlander, President of Papyrus, tel. +46 703 370890 Kari Vainio, Executive Vice President, Corporate Communications, tel. +44 7799 348 197 Keith B Russell, Senior Vice President, Investor Relations, tel. +44 7775 788 659 Ulla Paajanen-Sainio, Vice President, Investor Relations and Financial Communications, tel. +358 2046 21242 www.storaenso.com www.storaenso.com/investors Papyrus is a wholly-owned paper merchanting subsidiary of Stora Enso with net sales of EUR 1907 million in 2006. Papyrus holds a leading market position in continental Europe and is Europe's second-largest paper merchant. It supplies 1.8 million tonnes of paper annually. Papyrus currently has a presence in 20 European countries and employs 3150 people. Papyrus is represented locally both under its own brand name and as Schneidersöhne, Papeteries de France, Sihl+Eika, Scaldia, Classen-Papier and Giger Papier. Although Papyrus operates under different names, it has a coherent one-company commitment to offering quality products, high service levels and superior logistical solutions. STORA ENSO OYJ p.p. Jussi Siitonen Yrjö Rouhunkoski