Stora Enso North America’s Profit Enhancement Programme started to have a positive impact on the Group’s results in the second half of 2004. The programme consists of six machine rebuilds and modernisations, four of which have already been completed. The budgeted annual cost savings will be USD 145 million.

Paper price increases implemented during the second half of 2004, along with the profit enhancement measures, improved the financial results. Changes made to Stora Enso’s US healthcare plan during the third quarter had a one-time non-cash positive effect of USD 96.4 million and reduced annual costs by USD 6.4 million.

The number of personnel at the end of 2004 was 5 266 and by mid 2005 the workforce will be decreased to 5 000 people.