Deutsche Bank 16th Annual European Leveraged Finance Conference in London. Presentation by Group Treasurer Jyrki Tammivuori. 14 June 2012.

1. Stora Enso Investor Presentation
Jyrki Tammivuori SVP, Group Treasurer
London 14 June 2012

2. It should be noted that certain statements herein which are not historical facts. including. without
limitation those regarding expectations for market growth and developments; expectations for growth
and profitability; and statements preceded by “believes”. “expects”. “anticipates”. “foresees”. or similar
expressions. are forward-looking statements within the meaning of the United States Private Securities
Litigation Reform Act of 1995. Since these statements are based on current plans. estimates and
projections. they involve risks and uncertainties which may cause actual results to materially differ from
those expressed in such forward-looking statements. Such factors include. but are not limited to: (1)
operating factors such as continued success of manufacturing activities and the achievement of
efficiencies therein. continued success of product development. acceptance of new products or services
by the Group’s targeted customers. success of the existing and future collaboration arrangements.
changes in business strategy or development plans or targets. changes in the degree of protection
created by the Group’s patents and other intellectual property rights. the availability of capital on
acceptable terms; (2) industry conditions. such as strength of product demand. intensity of competition.
prevailing and future global market prices for the Group’s products and the pricing pressures thereto.
price fluctuations in raw materials. financial condition of the customers and the competitors of the
Group. the potential introduction of competing products and technologies by competitors; and (3)
general economic conditions. such as rates of economic growth in the Group’s principal geographic
markets or fluctuations in exchange and interest rates.
Stora Enso presentation 14 June 2012 2

3. Stora Enso’s business
What we do
Printing and Reading Biomaterials Building and Living Renewable Packaging
Group Sales*, EUR 2 673 million Operational EBIT, 147 EUR million
46%
46% 42%
29%
26%
14%
9%
5% 6%
1%
Printing and Biomaterials Building and Renewable Other Printing and Biomaterials Building and Renewable Other
Reading Living Packaging Reading Living Packaging
*Including inter-segment sales elimination
Stora Enso presentation 14 June 2012 3

4. Q1 2012 Earnings remained moderate as expected
Operational EBIT EUR 147 million
Strong cash flow EUR 224 million
Liquidity EUR 1 251 million
Stora Enso presentation 14 June 2012 4

5. Summary financials
Q1 2012
Change % Change %
EUR million I/2012 IV/2011 I/2011
Q1 12/Q1 11 Q1 12/Q4 11
Sales 2 673.3 2 681.6 2 726.9 -2.0 % -0.3 %
Operational EBITDA 262.1 242.9 368.3 -28.8 % 7.9 %
Operational EBIT 147.4 144.9 258.3 -42.9 % 1.7 %
Profit before tax. excl. NRI 101.0 141.4 206.7 -51.1 % -28.6 %
Profit before tax 89.9 110.3 179.5 -49.9 % -18.5 %
EPS excl. NRI (EUR) 0.10 0.10 0.22 -54.5 % 0.0 %
Operational ROCE. % 6.8 6.7 11.9 -42.9 % 1.5 %
Cash flow from operations 223.7 302.3 162.9 37.3 % -26.0 %
Cash flow after investing
activities 111.4 73.8 91.7 21.5 % 50.9 %
Debt/equity 0.46 0.47 0.38 21.1 % -2.1 %
Stora Enso presentation 14 June 2012 5

6. Operational EBIT in line with previous quarter
Stora Enso presentation 14 June 2012 6

7. Flexibility improvements continued
Fixed Cost/Sales
Stora Enso presentation 14 June 2012 7

8. Printing and Reading and Renewable Packaging
created the cash flow in Q1 2012
Stora Enso presentation 14 June 2012 8

9. Rethink strategy
 Growth markets
 Renewable
packaging
 Biomaterials
 Competitive paper
Stora Enso presentation 14 June 2012 9

10. Strongest growth in demand of virgin fibre-based
consumer board will be in Asia
CAGR
CAGR CAGR
0,2 %
1,4 % 4,6 %
CAGR
6,9 %
Eastern
Europe
Western CAGR
Europe 3,3 %
North
America
Middle East
& Africa
Fibre-based consumer Asia
board consumption CAGR
2010-2020 CAGR
3,5 %
Million tonnes
China 9%
Pakistan 9%
South India 6%
America
Middle East 4%
Stora Enso presentation 14 June 2012 Source: Pöyry and Stora Enso 10

11. Focusing on high quality segments in China
Chinese platform
Unique position
for growth
 A world leading position  Robust sustainability
 Technologies and  Unique integrate
specifications
 Established footprint
 Committed customers
 Innovation
Well prepared project to accelerete growth
Stora Enso presentation 14 June 2012 11

12. Accelerate what works
Every third
beverage
carton in the
world is
produced from
Stora Enso
materials!
Stora Enso presentation 14 June 2012 12

13. Stora Enso’s engines
Cash engines Growth engines
Printing and Reading Renewable Packaging
Nordic market pulp Plantation based pulp
Low cost base saw milling Building and living
Stora Enso presentation 14 June 2012
14 June 2012 13

14. Growth
Operating Capital
2011 20XX
6%
24 % 35 %
54 %
65 %
16 %
Printing and Reading Cash Engine
Biomaterials Growth Engine
Renewable Packaging
Building and Living
Stora Enso presentation 14 June 2012 14

15. New investments will contribute well to cash generation
Capex restructuring
Inv for future Net cash from operations
EBITDA from new projects
2000
1500
1000
500
0 Investment for
-500 future and net cash
from operations
-1000 2011
-1500
2007 2008 2009 2010 2011 path 20XX
Stora Enso presentation 14 June 2012 15

16. Maturity profile
31 March 2012
€m Bonds Other loans / liabilities Commercial paper
SEK 500m 3.5% 2015 EUR 390m E+4.21% 2016
SEK 1.4 bn S+3.7% 2015 USD 507m 6.404% 2016
SEK 2.4 bn 5.75% 2015
EUR 413m 5.125% 2014
USD 300m 7.25% 2036
Revolving Credit Facility € 700 million matures in January 2015 and is fully undrawn
Stora Enso presentation 14 June 2012 16

17. Funding sources Q1 2012
Bonds • Cash position +1251
MEUR
CPs
• Revolving Credit Facility
(Jan 2015) +700 MEUR
Loans (fully undrawn)
• Other Credit Facilities
Loans from +600 MEUR
Multilaterals
and ECAs
Stora Enso presentation 14 June 2012 17

18. Credit rating situation
Rating agency Long/short-term rating Valid from
Standard & Poor's BB (stable)/B 22 November 2011
Moody's Ba2 (stable)/NP 3 November 2011
Fitch BB (stable)/B 22 Jun 2010 (unsolicited)
Stora Enso presentation 14 June 2012 18

19. Sales and operational EBIT forecast for Q2 2012
Compared with Q1 2012
• Group sales slightly higher and
operational EBIT approximately in the
range of Q1 2012
• Maintenance stoppages in several
European mills with main impact in
Biomaterials
• Benefits of improving variable costs
slowly apparent in the results
Stora Enso presentation 14 June 2012 19

20. Summary
• Quarterly performance as
expected
• Cost position and operational
performance improvement need
to continue
• Transformation accelerating:
Montes del Plata pulp mill, and
Chinese pulp and packaging
board mill
• Strong liquidity, good access to
funding and balanced maturity
profile
Stora Enso presentation 14 June 2012 20

21. Stora Enso presentation 14 June 2012 21

22. Debt increase due to large investments for the future
Net Debt/Equity Net Debt/Operational EBITDA
2009 – Q4 2011
Net Debt
Net Debt/Operational EBITDA
0,7 3 000 4,0
0,6 3,5
0,51 3,2 3,0
0,5 0,47
EUR million
2 500
0,39 2,5
0,4
2,0
0,3 2,0 2,1
1,5
2 000
0,2
1,0
0,1 0,5
0 1 500 0,0
2009 2010 2011 2009 2010 2011
Stora Enso presentation 14 June 2012 22

23. Cash in & out
Capex restructuring Inv for future Net cash from operations
12%
8%
4%
0%
-4%
-8%
Printing & Biomaterials Building & Renewable Group
Reading Living Packaging
2007-2011% of sales
Stora Enso presentation 14 June 2012 23

24. Business improved q-on-q, other lower
Operational EBIT by segments
Change % Change %
EUR million I/2012 IV/2011 I/2011
Q112/Q111 Q112/Q411
Printing and Reading 67.3 55.6 85.2 -21.0 % 21.0%
% of sales 5.5 4.3 7.0 -21.4 % 27.9 %
Biomaterials 7.2 27.2 53.5 -86.5 % -73.5 %
% of sales 3.0 10.6 18.3 -83.6 % -71.7 %
Building and Living 9.8 6.0 11.8 -16.9 % 63.3 %
% of sales 2.6 1.6 2.9 -10.3 % 62.5 %
Renewable Packaging 61.7 32.8 101.0 -38.9 % 88.1 %
% of sales 7.9 4.3 12.5 -36.8 % 83.7 %
Other 1.4 23.3 6.8 -79.4 % -94.0 %
% of sales 0.2 3.6 0.9 -77.8 % -94.4 %
Stora Enso presentation 14 June 2012 24

25. Business improved q-on-q, other lower
Operational EBIT by segment
Change
EUR million I/2012 IV/2011
Q1 12/Q4 11
Printing and Reading 67.3 55.6 11.7
Biomaterials 7.2 27.2 -20.0
Building and Living 9.8 6.0 3.8
Renewable Packaging 61.7 32.8 28.9
Other 1.4 23.3 -21.9
Group 147.4 144.9 2.5
Stora Enso presentation 14 June 2012 25

26. Working capital decreased year-on-year
Q1 2010 – Q1 2012
*Operative working capital = trade receivables + inventories – trade payables
Stora Enso presentation 14 June 2012 26

27. Transaction risk and hedges
as at 31 March 2012
EUR million USD GBP SEK
Estimated annual net operating cash flow exposure 1 160 620 -900
Transaction hedges as at 31 March 2012 -580 -280 390
Hedging percentage as at 31 March 2012 for the next 12 months 50% 45% 43%
USD and GBP have additional hedges for 13-14 months which will increase the hedging
percentage by 2% and 4% respectively.
Operational EBIT: Currency strengthening of + 10% EUR million
USD 116
SEK -90
GBP 62
The sensitivity is based on estimated next 12 months net operating cash flow. The
calculation does not take into account currency hedges, and assumes no changes
occurs other than a single currency exchange rate movement. Weakening would have
the opposite impact.
Stora Enso presentation 14 June 2012 27

28. Net Financial Items
Change % Change %
EUR million I/2012 IV/2011 I/2011
Q112/Q111 Q112/Q411
Net interest expense -37.7 -35.1 -23.0 -63.9 -7.4
Foreign exchange gains and losses 8.0 -3.0 -11.9 n/m n/m
Other financial items. of which -4.3 -21.1 -16.3 73.6 79.6
PIK notes 2.0 2.0 1.5
Fair valuation of interest rate derivates* -3.3 -4.4 13.9
Fair valuation of long-term debt -0.5 -0.4 -0.5
NewPage lease provision 13.6 - -
Arktos writeoff - -10.2 -
Other items -16.1 -8.1 -31.2
Total net financial items -34.0 -59.2 -51.2 33.6 42.6
*Not hedge accounted interest rate derivatives.
Stora Enso presentation 14 June 2012 28

29. Softwood pulp prices
Stora Enso’s market pulp is softwood
Source: FOEX
Stora Enso presentation 14 June 2012 29

30. Pulp wood and saw log prices
Wood prices in Finland
Source: METLA
Stora Enso presentation 14 June 2012 30

31. Wood prices in Sweden
Pulpwood includes pine. spruce and birch.
Sawlogs include pine and spruce.
Source: SDC. Skogsstyrelsen
Stora Enso presentation 14 June 2012 31

32. RCP prices
German RCP price development. free delivered
Source: Verband Deutscher Papierfabriken/Stora Enso
Stora Enso presentation 14 June 2012 32

33. Energy balance* Q1 2012
Total energy self
sufficiency 59%
Self sufficiency 47% Self sufficiency 63%
Impact** on operating profit from
EUR million p.a.
10% change in:
Electricity market price ~9
Fossil fuel price ~17
*) Pulp. paper and board mills. Europe and overseas **) Remaining impact on non-hedged volume
Stora Enso presentation 14 June 2012 33

34. Full year 2011 operational EBIT improved by 9%
• Operational EBIT EUR 867 million
• Operational ROCE 10.0%
• Strong cash flow EUR 1 034 million,
• Good cash liquidity EUR 1 134 million
• Net debt EUR 2 746 million
• Purpose of Bond Issue is maturity extension
• Excellent access to funding
– MdP, EIB
Stora Enso presentation 14 June 2012 34

35. Solid year and satisfactory quarter
Operational EBIT* Operational EBIT*
Operational EBIT margin % Operational EBIT margin %, 4 Q avg
900 9,0 % 300 10,0 %
800 8,0 % 9,0 %
250
700 7,0 % 8,0 %
EUR million
EUR million
600 6,0 % 200
7,0 %
500 5,0 %
150 6,0 %
400 4,0 %
5,0 %
300 3,0 % 100
4,0 %
200 2,0 %
50
100 1,0 % 3,0 %
0 0,0 % 0 2,0 %
10Q1 10Q2 10Q3 10Q4 11Q1 11Q2 11Q3 11Q4
2010 2011
*Operational EBIT comprises the operating profit excluding NRI and fair valuations of the segments and Stora Enso’s share of the operating
profit excluding NRI and fair valuations of its equity accounted investments (EAI). Fair valuations include equity incentive schemes, synthetic
options net of realised and open hedges, CO2 emission rights and valuations of biological assets related to forest assets in EAI.
Stora Enso presentation 14 June 2012 35

36. Breakdown by segment 2011
Sales, EUR 10 965 million Operational EBIT, EUR 867 million*
(Share of Group’s operational EBIT)
23% 31%
19% 20%
22%
15%
12%
15%
13%
9%
8% 7%
Newsprint and Book Paper Magazine Paper Fine Paper
Consumer Board Industrial Packaging Wood Products
*excluding non-recurring items
Stora Enso presentation 14 June 2012 36

37. Ownership distribution – by voting power
31 Dec 2011
13 %
1% 22 % TOP 10 Shareholders
3% 1 Foundation Asset Management
2 Solidium Oy
3 Social Insurance Institution of Finland
4 Varma Mutual Pension Insurance Company
5 Ilmarinen Mutual Pension Insurance Company
27 % 6 MP-Bolagen i Vetlanda AB (Werner von Seydlitz)
7 Erik Johan Ljungberg’s Education Foundation
8 Nordea Investment Funds
25 %
9 Bergslaget’s Healthcare Foundation
10 The State Pension Fund, Finland
6%
3%
Finnish Institutions Solidium Oy *)
Finnish private shareholders Swedish institutions
Foundation Asset Management Swedish private shareholders
ADRs Under nominee names
(non-Finnish/ non-Swedish shareholders)
*) Entirely owned by the Finnish State
Stora Enso presentation 14 June 2012 37

38. Curtailments increased to reduce inventories
% of capacity
Paper and Board Wood Products
30
25
20
% of capacity
15
10
5
0
Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Q311 Q411
Stora Enso presentation 14 June 2012 38

39. Flexibility improvements continue
Fixed cost/sales
0,30
Fixed Cost/Sales
0,28
0,26
0,24
FY2007 FY2008 FY2009 FY2010 FY2011
Stora Enso presentation 14 June 2012 39

40. Productivity continued to increase
55% per person since 2005
400 000
350 000
Sales/employee
300 000
250 000
200 000
2005 2006 2007 2008 2009 2010 2011
Continuing operations
Stora Enso presentation 14 June 2012 40

41. Over 80% of investments to high-return growth
EUR million
1000 Dividend
197
800
92
EUR million
Investments to other
600
951 447
400
Investments to high-return
growth
200
254
0 Net financial items and net
Cash flow generated Cash outflow income tax paid
by operations
Stora Enso presentation 14 June 2012 41

42. Feb/Mar 2012 New Issue and Liability Management
• On 29 February 2012 Stora Enso issued successfully a new 7yr €500m fixed-rated
EUR bond, coupon being 5.50% and yield 5.531%
• Simultaneously, Stora Enso announced a tender offer on its €750m 5.125% June 2014
bond at E+130bp. The total amount tended was €340.2m at the price of 105.97.
Rationale
“We have a strong liquidity position and good access to various financing markets.
We issued the bond and announced the tender offer for the Eurobond maturing in
2014 to take advantage of the good credit market conditions and extend our maturity
profile”
1 200
1 000
800
600
400
200
0
2012 2013 2014 2015 2016 2017 2018 2019-2035 2036
Bonds Other loans / liabilities Commercial paper
Stora Enso presentation 14 June 2012 42