Jun 08, 2005. /Lesprom Network/. The board of directors has filed an application for court protection and company reconstruction of KLIPPAN AB and Klippan Mölndal AB. The reason behind the decision is the financial and liquidity constraints at the present time within the Group. The reconstruction period is normally 3 months, and the purpose is to refinance the Group. The planned new share issue will be postponed until after the reconstruction period. Company reconstruction KLIPPAN’s board of directors has in its application for reconstructor proposed the lawyer Guy Lofalk from the law firm Hellström & Partners. If the district court in Helsingborg decides according to the application the decision involves the following: the board of directors, the managing director and all other functions within the Group remain unchanged. The marketing and sales departments in Sweden and abroad continue with business as usual. Customers are not affected by the reconstruction. All customers have been sent a letter containing information about the significance of the reconstruction. KLIPPAN is by law prohibited to pay for deliveries carried out before the June, 2 2005 or other debts that derives from before the June, 2. The reconstructor will decide on the process in how those debts will be regulated. KLIPPAN will pay for new supplies after the June, 2 immediately upon invoicing. KLIPPAN’s suppliers have been sent a letter containing information about the significance of the reconstruction. All questions from suppliers are first and foremost responded to by KLIPPAN’s purchasing department, but also by managing director and Group CEO Thomas Billing, CFO Anders Ljunge and the reconstructor Mr Guy Lofalk. KLIPPAN is a leading producer of speciality paper for the graphic industry with a total capacity of 200,000 tons per year. Production is carried out at the three mills at Klippan, Lessebo and Mölndal.