VAAHTO LTD HAS SOLD SPIRAL HEAT EXCHANGER PRODUCTION TO HES HEAT EXCHANGER SYSTEMS GMBH

VAAHTO GROUP PLC OYJ STOCK EXCHANGE RELEASE 29.10.2007

VAAHTO LTD HAS SOLD SPIRAL HEAT EXCHANGER PRODUCTION TO HES HEAT EXCHANGER
SYSTEMS GMBH 

Vaahto Ltd, a subsidiary of Vaahto Group, has on October 29th, 2007 made an
agreement of selling the spiral heat exchanger assets to German HES Heat
Exchanger Systems GmbH. The purchase includes the production line of spiral
heat exchangers with its machines and equipments as well as the intangible
rights related to it. 

According to agreement, Vaahto Ltd will be responsible for manufacturing and
delivering the projects included in the current order backlog. The machinery
and equipment as well as the possession rights to them will be transferred to
the buyer in stages during the spring 2008. 

The production line of the spiral heat exchangers has been operated in Vaahto
Ltd's plant in Hollola. The meaning of this operation is to transfer production
capacity and add resources in Hollola plant to the Pulp & Paper Machinery
-business, which has grown remarkably in the Group during the recent years. 

The turnover of the spiral heat exchangers has been in the range between 2-4
million euros during the last few years. Vaahto Ltd will book a profit from the
sale of the assets, but the final result of the sale will be affected by the
cost that may occur from the closing of production as well as the results of
the sale of the inventories. The sale conditions of the inventories of the
materials and components related to the spiral heat exchanger production will
be specified later. 

Lahti, October 29, 2007

VAAHTO GROUP PLC OYJ

The Board

Information: 
Antti Vaahto
CEO, Vaahto Group Plc Oyj
tel. +358 40 8232835