Non-recurring items to affect Stora Enso's Q4 operating profit negatively by €392M, with Printing and Reading having negative allocation of €538M, partially offset by positive allocation of €144M in Renewable Packaging
February 5, 2014
– Fixed asset impairments decrease depreciation by EUR 19 million quarterly and EUR 76 million annually
lStora Enso will record non-recurring items (NRI) with a negative net impact of approximately EUR 392 million on operating profit and a positive impact of approximately EUR 114 million on income tax in its fourth quarter 2013 results. The NRI will lower earnings per share by EUR 0.33.
The NRI are:
The positive impact of approximately EUR 114 million on the income tax comprises a positive tax impact of approximately EUR 106 million due to the operative NRIs, a positive tax impact of approximately EUR 40 million due to valuation of deferred tax assets and a negative tax impact of approximately EUR 32 million due to application of the new tax rate in Finland.
The impairment charges taken in the fourth quarter of 2013 reduce quarterly depreciation by EUR 19 million starting in the fourth quarter of 2013. Annual depreciation will decrease by EUR 76 million from 2014 onwards due to the reduced fixed asset base after the impairments.
Allocation of NRI* between segments
Printing and Reading
Building and Living
Stora Enso is the global rethinker of the paper, biomaterials, wood products and packaging industry. We always rethink the old and expand to the new to offer our customers innovative solutions based on renewable materials. Stora Enso employs some 28 000 people worldwide, and our sales in 2012 amounted to EUR 10.8 billion. Stora Enso shares are listed on NASDAQ OMX Helsinki (STEAV, STERV) and Stockholm (STE A, STE R). In addition, the shares are traded in the USA as ADRs (SEOAY) in the International OTCQX over-the-counter market.
STORA ENSO OYJ