Russian forest industry enterprises total 2006 and impart plans on 2007

Dec 27, 2006. /Lesprom Network/. Administrator of development department of wood production UPM in Russia Timo Vynikka told Lesprom.ru, that 2006 year was successful enough. Joiner blade line, which developments to 60 thousand cubic meters sort out unit in the year has been opened in saw-mill in Pestovo, because of appeared 30 working places on the factory. Capacity of a plant in Pestovo amounts 300 thousand cubic meters in the year. In December 2006 UPM started new line of production birchen plywood on mill in Chudovo. The third rotary line for reducing and bake rule box, which fixed on the mill of development plywood in Chudovo, increased productive capacity of mill on 20 thousand cubic meters of birchen plywood in the year. After conclusion this invest project, which total cost amounting up 5 million EURO, plywood factory in Chudovo will be able produce 100 thousand cubic meters in the year. First of all, new line will consolidate UPM capabilities of providing transprort machinery and parquet sector production with individual characteristics. 30 workers will work on the new line. UPM turns out plywood, rule and sawn wood in Russia. 800 workers work on the factories in Chudovo and Pestovo. We wait 2007 year with optimism and face up execute all commission of our customer – said Timo Vynikka “Ilim Pulp” executive general manager Sergey Kostylev told Lesprom.ru, that capacity level “Ilim Pulp” of pulp-and-paper production increased on 2,9%, to 2 million 365 thousand tones. However, main mark up fall at production of cardboard – 6,8% and paper – 6%.Capacity level these kinds of production amount 687,2 and 264,7 thousand tones severally. Production of goods pulp amount 1,36 million tones. About financial results., according our anticipation company turnover following the results 2006 year will amount 1,59 milliard USD, EBITDA amount near 280-290 million USD said Kostylev Executive general manager “Timber company Continental Menegment” Andrey Voloshin reported that all enterprises, include in Continental Menegment improved their operating statements during last 11 month. Increase in production (on 1 December 2006) at an average of all forest industry enterprises of Continental Menegment amount more than 18% “Baykal pulp-and-paper factory – 24,8%”, “Enisey pulp-and-paper factory” – 29,2%, “Selenginskiy pulp-and-cardboard factory” – 11,6%, “Troizk paper factory” – 8,25%,“Condrovskaya paper company”-27,7%, “AVA+2” – 3,6% , “Kuzbass-tara” – 23%, “Timber factory-2” – 6,6% Plan on 2007 includes continuation of modernization program Baykal pulp-and-paper factory will start system of secluded water cycle and increased emission of brown pulp. Backup baling line. Enisey pulp-and-paper factory will effect reconstruction of cardboard-made machine. Started new line of pulp crushing. Selenginskiy pulp-and-cardboard factory will effect reconstruction of sleeper cardboard-made machine and bringing it into service Timber factory – 2 will bring into service new drying powers Troizk paper factory will bring into service new paper-made machine for production water-fast papers Condrovskaya paper company will effect modernization line of pretreatment stock and reconstruction of paper machine №6, to the effect expansion in 2 times, will bring into service new line of converting, will reconstruct existent corrugator with installation new machines of notching by Chinese producer “Tsinchan’ mach”,«YKMB». Installation of new corrugator let increase issue of production in 2 times. AVA+2 plans enter on project power after start new equipment in 2006 In a whole, Continental Menegment forest industry plans increase output; on 30% “Gofra” marketing specialist VIctoriya Shuvavlova told Lesprom.ru that in 2007 “Gofra” plans enter in project power on new factory in Dmitrov, it amount 12 million square meters in month different products of corroboard .According production program on 2007, confirmed by executive general manager Vladimir Beloglazov, “Arkhangelskiy pulp-and-paper factory” plans found 849 thousand tones of pulp. Nadezhda Dicunez, chief of production-analyses department of “Arkhangelskiy pulp-and-paper factory”, this duty more on 23 tones, comparison with last year Production program of “Arkhangelskiy pulp-and-paper factory” of main kinds of products on next year includes: plans turn out 253 610 tones of market pulp, 491 300 tones of cardboard, 80 100 tones of paper, 128 million square meters of coreproduction, 321 million copybooks with 12 sheets for pupils, 8,3 million square meters of fiberboard As for performance of production objective on 2006, on the 27 of December 2006 Arkhangelskiy pulp-and-paper factory annual budget negotiated production of paper, copybooks and corrugated packaging segment. .