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M-real Completes Simpele Rebuild, Boosting Capacity at Other Mills

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M-real, Finland, reports that it has completed the rebuild of its Simpele mill in Finland, bringing on-stream an additional 80,000 metric tpy of folding boxboard, primarily aimed at meeting increased demand from the food industry. The rebuild was finished on schedule June 1.

In addition to Simpele, M-real is increasing capacity at its Äänekoski and Kyro mills, planned for completion in late 2011 and spring 2012 respectively. As a result of the rebuilds, M-real will increase its total folding boxboard capacity to around 935,000 metric tpy and further strengthen its position in the market.

M-real is also investing at its Kemiart Liners mill and in the construction of a bio power plant at Kyro. In total, investment in the Consumer Packaging business area will exceed EUR 100 million during 2010-2012, Simpele being the first phase of the investment program.

M-real Simpele is already considered the most efficient cartonboard mill in Europe and Simcote the most efficient board grade as defined by its consistency and yield. The EUR 26 million invested at Simpele will increase production capacity by 80,000 metric tpy to 300,000 metric tpy and sheeting capacity by 40,000metric tpy to 230,000metric tpy.


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