HELSINKI, Jan. 22, 2020 /PRNewswire/ -- The IFRS
fair valuations of Stora Enso's forest have increased significantly
since the publication of the Group's third quarter results in
October.
The forest fair value impact in the balance sheet was a positive
EUR 777 million pre-tax at end of
2019. Part of the fair valuation increase has not been recognised
in operating profit but as an adjustment to opening balances of
purchased Swedish forest assets and liabilities.
Fair valuations and non-operational items had a positive net
impact of EUR 600 million on Stora
Enso's IFRS operating profit in the fourth quarter of 2019. The
impact came mainly from the forest fair valuation increase in
forests owned by Stora Enso in Sweden (EUR 499
million). This was mainly driven by lower discount rates,
due to decreasing market interest rates, and updates to other
valuation parameters. This increase is excluded from the
Operational EBIT.
The fair value of productive forest land in Sweden, including the above-mentioned
increase, was 3 020 euros per hectare
on 31 December 2019. Using the price statistics from LRF
Konsult for smaller lots in mid-Sweden in 2019, the price per hectare was
5 700 euros.
Stora Enso uses discounted cash flow (DCF) method to assess the
fair value of its forest assets. Stora Enso will publish its fourth
quarter and full year 2019 results on 30
January 2020.
Part of the bioeconomy, Stora Enso is a leading global provider
of renewable solutions in packaging, biomaterials, wooden
constructions and paper. We believe that everything that is made
from fossil-based materials today can be made from a tree tomorrow.
Stora Enso has some 26 000 employees in over 30 countries. Our
sales in 2018 were EUR 10.5 billion.
Stora Enso shares are listed on Nasdaq Helsinki (STEAV, STERV) and
Nasdaq Stockholm (STE A, STE R). In addition, the shares are traded
in the USA as ADRs (SEOAY).
storaenso.com
CONTACT:
For further information, please
contact:
Ulrika Lilja
EVP, Communications
tel. +46-72-221-9228
Investor enquiries:
Ulla PaajanenSVP
Investor Relations
tel. +358-40-763-8767
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