Restatement of Prior Year Results: Finnish TEL System Note 1 Accounting Principles Note 2 Financial Risk Management Note 3 Segment Information Note 4 Acquisitions and Disposals Note 5 Other Operating Income & Expense Note 6 Staff Costs Note 7 Net Financial Items Note 8 Income Taxes Note 9 Valuation Provisions Note 10 Depreciation, Amortisation and Fixed Asset Impa Note 11 Fixed Assets Note 12 Biological Assets Note 13 Associated Companies Note 14 Available-for-Sale Investments Note 15 Other Non-Current Assets Note 16 Inventories Note 17 Receivables Note 18 Shareholders' Equity Note 19 Minority Interests Note 20 Post-Employment Benefits Note 21 Borrowings Note 22 Other Provisions Note 23 Operative Liabilities Note 24 Financial Instruments Note 25 Cumulative Translation Adjustment Note 26 Commitments and Contingencies Note 27 Principal Subsidiaries as at 31 December 2004 Note 28 Employee Bonus and Equity Incentive Schemes Note 29 Related Party Transactions Note 30 Earnings per Share and Equity per Share Note 31 Post-Balance Sheet Events Note 1 Accounting Principles Note 2 Other Operating Income Note 3 Materials and Services Note 4 Personnel Expenses Note 5 Other Operating Expenses Note 6 Net Financial Items Note 7 Depreciation According to Plan Note 8 Extraordinary Items Note 9 Fixed Assets Note 10 Depreciation Reserve Note 11 Receivables from Management Note 12 Long-term Investments and Loan Receivables Note 13 Inventories Note 14 Short-term Receivables Note 15 Interest-bearing Receivables Note 16 Shareholders' Equity Note 17 Long-term Liabilities Note 18 Short-term Borrowings Note 19 Other Current Liabilities Note 20 Commitments and Contingent Liabilities Note 21 Fair Value of Open Financial Instruments

Notes to the Consolidated Financial Statements

In December 2004 Stora Enso closed its acquisition of 65.5% of the Polish packaging producer Intercell S.A. The fair value of the net assets acquired, including net cash and deferred tax liabilities, amounted to EUR 201.2 million, of which the accounting value of the minority interest acquired was EUR 69.4 million, with another EUR 0.5 million minority within the Intercell group.

In February 2003 Stora Enso Timber acquired a 66% ownership of AS Sylvester’s sawmilling operations in the Baltic States, the 34% direct minority amounting to EUR 26.2 million with a further 3.8% indirect minority within Imavere Sawmill valued at EUR 1.4 million. The original purchase agreement provided for the buy-out of the remaining AS Sylvester minority in 2005 for a consideration to be determined by performance targets; this is expected to be completed in the first quarter of 2005 upon which, subject to the small minority in the Imavere operation, Stora Enso Timber’s Baltic operations will become 100% owned.

In December 2002 the Group completed the disposal of the greater part of its Finnish forest holdings to a new company, Tornator Timberland Oy, thereby disposing of a minority of EUR 17.6 million.

Minority Interests

	Year Ended 31 December
EUR million	2002	2003	2004
At 1 January	50.2	30.4	60.3
Translation difference	-2.0	-1.6	-0.3
Acquisitions	-	27.6	69.9
Disposals	-17.4	-	-
Income Statement	-0.1	5.8	8.1
Dividends	-0.3	-1.9	-1.9
At 31 December	30.4	60.3	136.1

Principal Minority Interests

		As at 31 December
EUR million		2002	2003	2004
Intercell S. A. Group	Poland	-	-	69.9
Stora Enso Timber AS Group	Estonia	-	27.5	29.0
Corenso United Oy Group	Finland	17.3	16.9	18.3
Enocell Oy	Finland	4.3	4.2	4.2
FPB Holding 'GmbH & Co. KG (the former Feldmühle Group)	Germany	2.0	2.0	2.0
Fortek Oy	Finland	2.9	3.9	3.5
Others	-	3.9	5.8	9.2
		30.4	60.3	136.1