Uponor continues to face challenging markets

Uponor Corporation	Interim report Q2/2009      12 August 2009
                                            

Uponor continues to face challenging markets                                    

- Continuing operations Jan-June net sales at EUR 364.3m (501.2m), down 27.3%   
- Continuing operations Jan-June operating profit at EUR 11.4m (48.3m), down    
76.3%                                                                           
- Earnings per share at EUR 0.04 (1.01)                                         
- Return on investment ROI at 4.1% (43.8%) during the period, while gearing rose
to 55.4 (42.7)                                                                  
- Guidance: Uponor repeats its guidance from 10 February 2009: As a result of   
the difficult market situation, Uponor expects its net sales to remain below the
2008 level, and the profit for the year 2009 is expected to be positive.        
(Figures for continuing operations unless otherwise stated.)                    


CEO Jyri Luomakoski comments on developments during the reporting period:       

- The exceptionally challenging market situation continued across the world and 
demand for new housing continued to decline in most of our main markets, as we  
moved from the first into the second quarter. The fall in our net sales by      
slightly more than 25% can be viewed as satisfying, considering that the overall
market contraction in the same period is estimated to be clearly higher.        

- Uponor's short-term strategy has been to ensure its operational preconditions 
through strong cash flows and secured financing, among other measures. We have  
determinedly progressed in reducing costs while at the same time continuing to  
make investments in sales and new markets. These will remain our emphasis in the
future.                                                                         

- Despite the challenging first half, we will maintain our full-year guidance   
even though Uponor's business environment does not yet provide any firm signs of
having passed through the trough of the economic cycle. Uponor's leadership     
position in the markets, our competitive products and the ability to operate    
successfully even during exceptional times reinforces our confidence in the     
future development of the company.                                              


Webcast and presentation material:                                              

Following the release of this report, the presentation material for the interim 
report will be available at www.uponor.com > Investors > News & downloads.      

Uponor will hold a results briefing webcast in English on Tuesday 12 August at  
9:00 am (EEST). Questions for the webcast can be sent to ir@uponor.com. The     
webcast can be viewed at www.uponor.com > Investors shortly after the briefing. 




New segments                                                                    

As of 1 January 2009, Uponor's segment structure has been based on three        
segments, determined by geographical region and business in line with the new   
organisational structure in effect from 1 October 2008. These reportable        
segments are Building Solutions - Europe; Building Solutions - North America;   
and Infrastructure Solutions -  Nordic. The risks and returns of these segments 
vary in terms of their market and business environment, product and service     
offering and customer structure.                                                


Markets                                                                         

Demand for the products manufactured and marketed by Uponor remained weak as in 
the first quarter of the year, and clearly weaker than in the second quarter of 
2008. The stand-still caused by the international financial crisis has led both 
industries and consumers to heavily constrain expenditure and investments. For  
many customer organisations, short term cash flow and inventory management has  
become a higher priority than growing sales. To uphold economic activity,       
several countries have taken measures to revitalise their economies. The impact 
of these measures will gradually begin to emerge in the markets, but volume-wise
they will not be sufficient to compensate for the exceptional contraction of the
overall market.                                                                 

The difficulties faced by the building markets have simultaneously affected all 
of Uponor's key geographies. The Central European markets, especially the       
Germanic countries, have remained strongest, in relative terms, but even there  
developments are weaker than in the second quarter of 2008, when demand was     
still growing. The relative strength of the region has been supported, for      
instance, by efforts to catch up with delays caused by the harsh winter, as well
as some customers replenishing their inventories ahead of the summer season.    

In the Nordic countries, the residential building markets remained difficult,   
and demand for infrastructure systems slackened from the equivalent period in   
2008, closely reflecting the reduction in new housing.                          

Contrasting the generally weak development in South and West Europe, the French 
market stood out in terms of a decline in demand which was clearly more moderate
than in the neighbouring southwest European markets. In Spain, new building     
continues to be curbed by the large numbers of unsold homes and apartments.     

In North America, the residential building market contracted rapidly both in the
USA and Canada, while public and commercial construction also saw a clear drop  
in permits in both countries.                                                   


Net sales                                                                       

Uponor's net sales for continuing operations in April-June came to EUR 193.3    
(267.4) million, down 27.7% from the comparison period. The decline was slightly
steeper than the 26.8% drop in the first quarter year-on-year.                  

The main reason for the decline in net sales is the drastic drop in new         
residential building in all countries in which Uponor is active. In Central     
Europe and in Germany in particular, the drop was offset by continued resiliency
in the public and commercial building market. Likewise, residential building in 
this region suffered less than in Europe in general. Uponor's German business   
also benefited positively from the regrouping of the sales organisation,        
enabling the more efficient utilisation of opportunities arising in the various 
market segments. There was a remarkable decline in deliveries to OEM clients in 
Central Europe, as markets contracted and clients increased their own           
manufacturing. In the Nordic countries, net sales for both building and         
infrastructure solutions fell heavily. Measured in local currency, the decline  
in Sweden was milder than in its neighbouring markets. The renovation and       
refurbishment markets picked up, both in Northern and Central Europe, somewhat  
offsetting the weaker new-build markets, and boosting sales of composite        
plumbing systems in particular, which are ideally suited to repair and          
remodelling. In addition, cooling systems sales grew from last year.            

The decline of North American net sales was mainly attributable to the further  
weakening of the US business environment. In Canada, the decline in net sales   
was clearly less severe than that of its neighbour in local currency terms.     


Net sales by segment, April-June:                                               

--------------------------------------------------------------------------------
| MEUR                            |     4-6/2009 |     4-6/2008 |       Change |
--------------------------------------------------------------------------------
| Building solutions - Europe     |        126.9 |        177.1 |       -28.3% |
--------------------------------------------------------------------------------
| Building solutions -            |         26.5 |         34.5 |       -23.1% |
| North-America                   |              |              |              |
--------------------------------------------------------------------------------
| (Building solutions -           |         36.5 |         53.8 |      -32.0%) |
| North-America, USD              |              |              |              |
--------------------------------------------------------------------------------
| Infrastructure solutions -      |         41.2 |         58.1 |       -29.2% |
| Nordic                          |              |              |              |
--------------------------------------------------------------------------------
| Eliminations                    |         -1.3 |         -2.3 |              |
--------------------------------------------------------------------------------
| Total                           |        193.3 |        267.4 |       -27.7% |
--------------------------------------------------------------------------------


January-June net sales reached EUR 364.3m (501.2m), representing a decline of   
27.3%. This development was mainly in line with the first quarter, except for   
North America, whose decline in net sales steepened somewhat.                   

The translation impact of currencies for January-June net sales was EUR -5.8m in
comparison to the previous year.                                                


Net sales by segment, January-June:                                             

--------------------------------------------------------------------------------
| MEUR                            |     1-6/2009 |     1-6/2008 |       Change |
--------------------------------------------------------------------------------
| Building solutions - Europe     |        242.9 |        340.5 |       -28.6% |
--------------------------------------------------------------------------------
| Building solutions -            |         51.5 |         61.4 |       -16.1% |
| North-America                   |              |              |              |
--------------------------------------------------------------------------------
| (Building solutions -           |         68.8 |         94.8 |      -27.4%) |
| North-America, USD              |              |              |              |
--------------------------------------------------------------------------------
| Infrastructure solutions -      |         72.2 |        103.7 |       -30.4% |
| Nordic                          |              |              |              |
--------------------------------------------------------------------------------
| Eliminations                    |         -2.3 |         -4.4 |              |
--------------------------------------------------------------------------------
| Total                           |        364.3 |        501.2 |       -27.3% |
--------------------------------------------------------------------------------



Results and profitability                                                       

Due to the low utilisation of manufacturing capacity, production costs per unit 
rose during the second quarter and gross profit margin for continuing business  
weakened by 0.6 percentage points. The operating profit for continuing          
operations in April-June amounted to EUR 12.4m (29.0m), down 57.3%. This fall   
reflects the decline in net sales caused by the exceptional weakening of        
building activity. Operating profit margin for continuing operations nearly     
halved to 6.4%, from the equivalent of 10.9% in 2008.                           

In spite of the extensive savings and efficiency measures carried out, the      
adjustment of fixed and variable operations costs did not fully compensate for  
the continued rapid fall of the markets. Thanks to the supply chain             
organisation, implemented in October 2008 for Building Solutions - Europe,      
considerable improvements were realised. Capital tied up in inventory was       
successfully reduced through various measures. Furthermore, efficiency          
improvements were recorded within the transportation and warehousing functions. 

The improvement achieved in operating profit for Infrastructure Solutions was   
largely a result of active expense management and rapid adjustments in response 
to the weakening market conditions.                                             

The Group's discontinued operations recorded EUR 1.9m in post-divestment        
expenses in Ireland in the second quarter, relating to larger than expected     
environmental cleaning costs in premises used by the municipal infrastructure   
business, divested in the summer of 2008. This may also have an impact on the   
execution of the real estate divestment.                                        


Operating profit by segment, April-June:                                        

--------------------------------------------------------------------------------
| MEUR                            |     4-6/2009 |     4-6/2008 |       Change |
--------------------------------------------------------------------------------
| Building solutions - Europe     |         10.8 |         26.0 |       -58.7% |
--------------------------------------------------------------------------------
| Building solutions -            |         -0.3 |          1.5 |      -117.6% |
| North-America                   |              |              |              |
--------------------------------------------------------------------------------
| (Building solutions -           |         -0.5 |          2.3 |     -121.6%) |
| North-America, USD              |              |              |              |
--------------------------------------------------------------------------------
| Infrastructure solutions -      |          5.8 |          4.9 |       +19.1% |
| Nordic                          |              |              |              |
--------------------------------------------------------------------------------
| Others                          |         -2.8 |         -3.0 |              |
--------------------------------------------------------------------------------
| Eliminations                    |         -1.1 |         -0.4 |              |
--------------------------------------------------------------------------------
| Total                           |         12.4 |         29.0 |       -57.3% |
--------------------------------------------------------------------------------


Operating profit for continuing operations for January-June reached EUR 11.4m   
(48.3m), a decline of 76.3%. Owing to higher volumes in the second quarter and  
ongoing initiatives to boost performance, the operating profit for the first    
half-year turned positive. Thanks to the cost reduction programme of August     
2008, and subsequent similar initiatives, Uponor has succeeded in reducing      
overhead expenses to the value of EUR 20.8m compared to the first half of 2008. 

Operating profit by segment, January-June:                                      

--------------------------------------------------------------------------------
| MEUR                            |     1-6/2009 |     1-6/2008 |       Change |
--------------------------------------------------------------------------------
| Building solutions - Europe     |         13.9 |         46.1 |       -69.9% |
--------------------------------------------------------------------------------
| Building solutions -            |         -3.5 |          0.8 |      -562.7% |
| North-America                   |              |              |              |
--------------------------------------------------------------------------------
| (Building solutions -           |         -4.6 |          1.2 |     -499.6%) |
| North-America, USD              |              |              |              |
--------------------------------------------------------------------------------
| Infrastructure solutions -      |          6.5 |          7.2 |        -9.6% |
| Nordic                          |              |              |              |
--------------------------------------------------------------------------------
| Others                          |         -5.2 |         -5.6 |              |
--------------------------------------------------------------------------------
| Eliminations                    |         -0.3 |         -0.2 |              |
--------------------------------------------------------------------------------
| Total                           |         11.4 |         48.3 |       -76.3% |
--------------------------------------------------------------------------------


Profit before taxes for continuing operations in January-June totalled EUR 6.2m 
(45.4m). Income taxes amounted to EUR 1.7m (13.9m), with a tax rate of 28.0%    
(31.0%).                                                                        

Profit for the period for continuing operations came to EUR 4.5m (31.5m), while 
the total comprehensive income for the group was EUR 3.6m (66.9m).              

Earnings per share for the Group were EUR 0.04 (1.01), of which continuing      
operations represented EUR 0.07 (0.43). Equity per share was EUR 3.38 (4.06),   
both diluted and undiluted.                                                     


Investment and financing                                                        

The amount of new investments during the second quarter stood at EUR 4.9 (7.4)  
million. These investments were mainly targeted at service and maintenance as   
well as the development of processes which will yield a quick return.           

Gross investment during the first half totalled EUR 8.9 (15.6) million, or 2.4  
(3.1) per cent of net sales. Remaining almost unchanged, depreciation stood at  
EUR 15.5 (15.8) million.                                                        

Despite the pronounced decline in cash flow financing, the Group's cash flow    
from business operations improved clearly from the first quarter, rising to EUR 
-2.8 (26.4) million. This is mostly attributable to the reduction in working    
capital and taxes. The period-end cash balance totalled EUR 3.0 (8.5) million.  

Net interest-bearing liabilities increased to EUR 136.8 (127.0) million,        
bringing gearing to 55.4 (42.7). The solvency ratio remained almost the same at 
44.6 (44.9) per cent.                                                           

During the report period, the Group's credit limit reserves were reorganised.   
The EUR 120 million revolving credit facility maturing in 2010 was cancelled and
replaced by bilateral credit agreements with the Group's house banks. At the    
time of publishing the interim report, the Group had committed funding          
programmes to the amount of EUR 222 million, of which the pension insurance
company's reborrowing loan, maturing in 2009-2013, represents EUR 72 million.
The remaining amount consists of revolving credit facilities maturing in
2011-2012 that were not utilised at the end of the second quarter. In addition,
the Group has a domestic commercial paper programme totalling EUR 150 million. 

The Group's return on investment (ROI) plummeted to 4.1 (43.8) per cent, its    
return on equity (ROE) falling to 1.9 (47.0) per cent.                          


Key events during the period                                                    

With a view to improved customer service and the further development of Uponor's
brand image, the company launched its new international web service in June. The
new website will gradually replace existing country-specific sites. At the      
initial stage, the new site will mainly serve international sales customers and 
East European customers; during the second half, the service will be extended to
the greater part of the geographies that Uponor's operations cover. The renewed 
site will provide an extended range of services and tools targeted at various   
professional groups.                                                            

Uponor concluded partnership agreements in both Europe and North America among  
others, with prefabricated house manufacturers and manufacturers of products    
that are closely associated with Uponor's offering. These agreements are        
expected to further strengthen Uponor's market position.                        

During the report period, the company introduced a variety of applications      
providing new features to both installers and end users. One of the most        
interesting new products presented in Europe is the self-adjusting indoor       
climate control system for cooling and heating. Dynamic Energy Management™ will 
thus facilitate the introduction and control of radiant underfloor heating      
systems and also bring about energy savings. The system is the first of its kind
on the market.                                                                  

In addition, second generation cooling elements with advanced thermal and sound 
insulation properties were introduced, mainly in the commercial and             
institutional building sector. The competitiveness of both tap water and indoor 
climate systems over metal pipe-based systems was boosted through the new       
modular riser system, which is particularly suitable for large buildings.       

The North American market saw the introduction of several new products,         
including lead-free brass fittings, the nation's first US-manufactured flexible,
large-diameter insulated pipe for district heating and energy transport, as well
as the engineered plastic manifold for underfloor heating systems.              

Among the most significant new products in the field of infrastructure solutions
were the biological wastewater treatment units with wireless communication and  
the rainwater sewer system, available in a range of pipe diameters from 200 mm  
to 1 metre.                                                                     

Utilisation of the Oracle enterprise resource planning system, with a view to   
the improved efficiency of the European supply chain, proceeded according to    
plan. During the period, system introduction was extended to two new offices.   


Personnel and organisation                                                      

As full-time equivalents, the personnel employed by the Group's continuing      
operations stood at 3,515 (4,096) during the period, the corresponding number at
the period end being 3,449 (4,195) employees. Proportionally, the heaviest      
personnel cutbacks took place in North America where the average number of      
employees fell by 25.8 per cent, i.e. 150 people.
                               
On 1 June 2009, Riitta Palomäki M.Sc. (Econ.), 51, assumed her duties as Chief  
Financial Officer and member of the Executive Committee. In addition to         
financial administration, she is responsible for financing and risk management  
as well as information systems.                                                 


Share capital and shares                                                        

A total of approximately 10.8 (30.2) million Uponor shares were traded on the   
Helsinki Stock Exchange during the second quarter. The total value of shares    
traded stood at EUR 91.0 (382.9) million. At the end of the period, Uponor's    
market capitalisation totalled EUR 0.6 (0.7) billion, the number of shareholders
being 19,879 (16,321).                                                          

Uponor Corporation's share capital remained unchanged. The share capital        
amounted to EUR 146,446,888 and the number of shares was 73,206,944.            

At the end of the report period, the company held 160,000 own shares,           
representing 0.2 per cent of the share capital and votes.                       


Short-term outlook                                                              

As expected, the housing construction market has remained weak in all of        
Uponor's key markets. Despite occasional signs of demand picking up during the  
second quarter, for instance when the distribution channel was stocking up for  
the summer, some of the markets have continued to experience a downward trend,  
due to tighter requirements for the financing of investments, among other       
reasons. Furthermore, commercial and institutional construction, which has until
recently been fairly resilient against the slowdown, is also expected to        
diminish as fewer new projects are launched. Publicly funded economic recovery  
projects and the increased activity in renovation and modernisation should have 
a slightly positive impact on demand in Uponor's product segments during the    
second half of the year.                                                        

As a whole, the business environment is likely to remain exceptionally          
challenging during the second half. Predicting demand in construction and       
housing is especially difficult under these circumstances, because much depends 
on the development of economies at macro level.                                 

Uponor's financial performance may be affected by several strategic,            
operational, financial and hazard risks. A more detailed risk analysis is       
provided in the company's Annual Report. In addition, Uponor is involved in     
various judicial proceedings in several countries. Uponor's management does not 
anticipate that these events will have a significant impact on the company's    
business in the foreseeable future.                                             

In these circumstances, Uponor maintains its full-year guidance:                
As a result of the difficult market situation, Uponor expects its net sales to  
remain below the 2008 level, and the profit for the year 2009 is expected to be 
positive.                                                                       
The Group's capital expenditure will not exceed depreciation in 2009, and with  
tight net working capital management, Uponor expects its cash flow to remain at 
a reasonable level.                                                             


Uponor Corporation                                                              
Board of Directors                                                              
For further information, please contact:                                        
Jyri Luomakoski, President and CEO, tel. +358 40 515 4498                       


Tarmo Anttila                                                                   
Vice President, Communications                                                  
Tel. +358 20 129 2852                                                           
                                                                                


DISTRIBUTION:                                                                   
NASDAQ OMX - Helsinki                                                           
Media                                                                           
www.uponor.com                                                                  





Information on the interim report                                               

The figures in brackets in this interim report are the refer figures for the    
equivalent period in 2008. The change percentages reported in the interim report
have been calculated from exact figures not from rounded figures published in   
the interim report.                                                             

INTERIM REPORT 1-6/2009                                                         

The figures in this interim report are unaudited.                               

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME                                  

--------------------------------------------------------------------------------
| MEUR                     |     1-6 |     1-6 |      4-6 |     4-6 |     1-12 |
|                          |   /2009 |   /2008 |    /2009 |   /2008 |    /2008 |
--------------------------------------------------------------------------------
| Continuing operations                                                        |
--------------------------------------------------------------------------------
| Net sales                |   364.3 |   501.2 |    193.3 |   267.4 |    949.2 |
--------------------------------------------------------------------------------
| Cost of goods sold       |   232.7 |   312.3 |    121.6 |   166.5 |    607.4 |
--------------------------------------------------------------------------------
| Gross profit             |   131.6 |   188.9 |     71.7 |   100.9 |    341.8 |
--------------------------------------------------------------------------------
| Other operating income   |     0.3 |     0.6 |      0.3 |     0.3 |      1.4 |
--------------------------------------------------------------------------------
| Dispatching and          |    15.3 |    15.8 |      7.5 |     8.3 |     30.2 |
| warehousing expenses     |         |         |          |         |          |
--------------------------------------------------------------------------------
| Sales and marketing      |    72.6 |    90.1 |     34.8 |    46.1 |    175.0 |
| expenses                 |         |         |          |         |          |
--------------------------------------------------------------------------------
| Administration expenses  |    24.6 |    26.4 |     13.3 |    12.5 |     50.8 |
--------------------------------------------------------------------------------
| Other operating expenses |     8.0 |     8.9 |      4.0 |     5.3 |     36.0 |
--------------------------------------------------------------------------------
| Operating profit         |    11.4 |    48.3 |     12.4 |    29.0 |     51.2 |
--------------------------------------------------------------------------------
| Financial expenses, net  |     5.2 |     2.9 |      1.0 |     2.4 |     10.2 |
--------------------------------------------------------------------------------
| Profit before taxes      |     6.2 |    45.4 |     11.4 |    26.6 |     41.0 |
--------------------------------------------------------------------------------
| Income taxes             |     1.7 |    13.9 |      3.2 |     8.2 |     10.9 |
--------------------------------------------------------------------------------
| Profit for the period    |     4.5 |    31.5 |      8.2 |    18.4 |     30.1 |
| from continuing          |         |         |          |         |          |
| operations               |         |         |          |         |          |
--------------------------------------------------------------------------------
|                                                                              |
--------------------------------------------------------------------------------
| Discontinued operations                                                      |
--------------------------------------------------------------------------------
| Profit for the period    |    -1.9 |    42.5 |     -1.9 |    41.4 |     42.4 |
| from discontinued        |         |         |          |         |          |
| operations               |         |         |          |         |          |
--------------------------------------------------------------------------------
| Profit for the period    |     2.6 |    74.0 |      6.3 |    59.8 |     72.5 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Other comprehensive income                                                   |
--------------------------------------------------------------------------------
| Translation differences  |     0.9 |    -7.8 |     -1.7 |     1.3 |      5.2 |
--------------------------------------------------------------------------------
| Cash flow hedges         |     0.1 |     0.7 |      0.5 |     0.9 |     -1.4 |
--------------------------------------------------------------------------------
| Other comprehensive      |     1.0 |    -7.1 |     -1.2 |     2.2 |      3.8 |
| income for the period    |         |         |          |         |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Total comprehensive      |     3.6 |    66.9 |      5.1 |    62.0 |     76.3 |
| income for the period    |         |         |          |         |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Earnings per share, EUR  |    0.04 |    1.01 |     0.09 |    0.82 |     0.99 |
--------------------------------------------------------------------------------
| - Continuing operations  |    0.07 |    0.43 |     0.12 |    0.25 |     0.41 |
--------------------------------------------------------------------------------
| - Discontinued           |   -0.03 |    0.58 |    -0.03 |    0.57 |     0.58 |
| operations               |         |         |          |         |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Diluted earnings per     |    0.04 |    1.01 |     0.09 |    0.82 |     0.99 |
| share, EUR               |         |         |          |         |          |
--------------------------------------------------------------------------------
| - Continuing operations  |    0.07 |    0.43 |     0.12 |    0.25 |     0.41 |
--------------------------------------------------------------------------------
| - Discontinued           |   -0.03 |    0.58 |    -0.03 |    0.57 |     0.58 |
| operations               |         |         |          |         |          |
--------------------------------------------------------------------------------


CONSOLIDATED STATEMENT OF FINANCIAL POSITION                                    

--------------------------------------------------------------------------------
| MEUR                                       |    30.6. |    30.6. |    31.12. |
|                                            |     2009 |     2008 |      2008 |
--------------------------------------------------------------------------------
| Assets                                                                       |
--------------------------------------------------------------------------------
| Non-current assets                                                           |
--------------------------------------------------------------------------------
| Property, plant and equipment              |    177.0 |    179.3 |     184.5 |
--------------------------------------------------------------------------------
| Intangible assets                          |    100.1 |    101.9 |     101.3 |
--------------------------------------------------------------------------------
| Securities and long-term investments       |      7.8 |      8.0 |       6.3 |
--------------------------------------------------------------------------------
| Deferred tax assets                        |     16.3 |     15.2 |      17.0 |
--------------------------------------------------------------------------------
| Total non-current assets                   |    301.2 |    304.4 |     309.1 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Current assets                                                               |
--------------------------------------------------------------------------------
| Inventories                                |     86.7 |    135.2 |     104.5 |
--------------------------------------------------------------------------------
| Accounts receivable                        |    140.7 |    192.9 |      91.4 |
--------------------------------------------------------------------------------
| Other receivables                          |     22.7 |     22.2 |      36.7 |
--------------------------------------------------------------------------------
| Cash and cash equivalents                  |      3.0 |      8.5 |      53.2 |
--------------------------------------------------------------------------------
| Total current assets                       |    253.1 |    358.8 |     285.8 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Total assets                               |    554.3 |    663.2 |     594.9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Shareholders' equity and liabilities                                         |
--------------------------------------------------------------------------------
| Shareholders' equity                       |    247.1 |    297.4 |     305.6 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Non-current liabilities                                                      |
--------------------------------------------------------------------------------
| Interest-bearing liabilities               |     72.1 |     17.7 |      77.0 |
--------------------------------------------------------------------------------
| Deferred tax liability                     |      9.5 |     11.6 |       8.1 |
--------------------------------------------------------------------------------
| Provisions                                 |      6.9 |      7.6 |       7.7 |
--------------------------------------------------------------------------------
| Employee benefits and other liabilities    |     18.4 |     20.3 |      21.3 |
--------------------------------------------------------------------------------
| Total non-current liabilities              |    106.9 |     57.2 |     114.1 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Current liabilities                                                          |
--------------------------------------------------------------------------------
| Interest-bearing liabilities               |     67.7 |    117.8 |      36.8 |
--------------------------------------------------------------------------------
| Provisions                                 |     12.0 |      5.8 |      22.3 |
--------------------------------------------------------------------------------
| Accounts payable                           |     48.0 |     79.4 |      50.1 |
--------------------------------------------------------------------------------
| Other liabilities                          |     72.6 |    105.6 |      66.0 |
--------------------------------------------------------------------------------
| Total current liabilities                  |    200.3 |    308.6 |     175.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Total shareholders' equity and liabilities |    554.3 |    663.2 |     594.9 |
--------------------------------------------------------------------------------


CONDENCED CONSOLIDATED STATEMENT OF CASH FLOW                                   

--------------------------------------------------------------------------------
| MEUR                                       |      1-6 |      1-6 |      1-12 |
|                                            |    /2009 |    /2008 |     /2008 |
--------------------------------------------------------------------------------
| Cash flow from operations                                                    |
--------------------------------------------------------------------------------
| Net cash from operations                   |     22.9 |     64.4 |      85.0 |
--------------------------------------------------------------------------------
| Change in net working capital              |     -9.3 |    -16.4 |      55.7 |
--------------------------------------------------------------------------------
| Income taxes paid                          |    -14.3 |    -18.0 |     -39.8 |
--------------------------------------------------------------------------------
| Interest paid                              |     -2.8 |     -4.6 |      -6.8 |
--------------------------------------------------------------------------------
| Interest received                          |      0.7 |      1.0 |       1.3 |
--------------------------------------------------------------------------------
| Cash flow from operations                  |     -2.8 |     26.4 |      95.4 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash flow from investments                                                   |
--------------------------------------------------------------------------------
| Proceeds from disposal of subsidiaries and |        - |     76.4 |      76.4 |
| businesses                                 |          |          |           |
--------------------------------------------------------------------------------
| Purchase of fixed assets                   |     -8.9 |    -15.6 |     -39.0 |
--------------------------------------------------------------------------------
| Proceeds from sales of fixed assets        |      1.5 |      0.1 |       0.4 |
--------------------------------------------------------------------------------
| Received dividends                         |      0.0 |      0.0 |       0.2 |
--------------------------------------------------------------------------------
| Loan repayments                            |      0.0 |      0.1 |       0.2 |
--------------------------------------------------------------------------------
| Cash flow from investments                 |     -7.4 |     61.0 |      38.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash flow from financing                                                     |
--------------------------------------------------------------------------------
| Borrowings of debt                         |     23.0 |     18.3 |      19.1 |
--------------------------------------------------------------------------------
| Dividends paid                             |    -62.1 |   -102.5 |    -102.5 |
--------------------------------------------------------------------------------
| Purchase of own shares                     |        - |        - |      -1.2 |
--------------------------------------------------------------------------------
| Payment of finance lease liabilities       |     -1.0 |     -1.0 |      -2.0 |
--------------------------------------------------------------------------------
| Cash flow from financing                   |    -40.1 |    -85.2 |     -86.6 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Conversion differences for cash and cash   |      0.1 |      0.0 |      -0.1 |
| equivalents                                |          |          |           |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Change in cash and cash equivalents        |    -50.2 |      2.2 |      46.9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash and cash equivalents at 1 January     |     53.2 |      6.3 |       6.3 |
--------------------------------------------------------------------------------
| Cash and cash equivalents at end of period |      3.0 |      8.5 |      53.2 |
--------------------------------------------------------------------------------
| Changes according to balance sheet         |    -50.2 |      2.2 |      46.9 |
--------------------------------------------------------------------------------

STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY                                    

--------------------------------------------------------------------------------
| MEUR       |  Share |  Share |   Other | Treasury|  Trans- | Retained| Total |
|            | capital| premium| reserves|  shares |  lation |earnings |       |
|            |        |        |         |         | reserve |         |       |
--------------------------------------------------------------------------------
| Balance at |  146.4 |   50.2 |     0.8 |    -1.2 |   -16.4 |   125.8 | 305.6 |
| 31 Dec 2008|        |        |         |         |         |         |       |
--------------------------------------------------------------------------------
| Total comprehensive income   |     0.1 |         |     0.9 |     2.6 |   3.6 |
| for the period               |         |         |         |         |       |
--------------------------------------------------------------------------------
| Dividend paid (EUR 0.85 per  |         |         |         |   -62.1 | -62.1 |
| share)                       |         |         |         |         |       |
--------------------------------------------------------------------------------
| Other adjustments            |     0.0 |         |         |     0.0 |     - |
--------------------------------------------------------------------------------
| Balance at |  146.4 |   50.2 |     0.9 |    -1.2 |   -15.5 |    66.3 | 247.1 |
|30 June 2009|        |        |         |         |         |         |       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Balance at |  146.4 |   50.2 |     2.2 |       - |   -24.1 |   158.3 | 333.0 |
| 31 Dec 2007|        |        |         |         |         |         |       |
--------------------------------------------------------------------------------
| Total comprehensive income   |     0.7 |         |    -7.8 |    74.0 |  66.9 |
| for the period               |         |         |         |         |       |
--------------------------------------------------------------------------------
| Dividend paid (EUR 1.40 per  |         |         |         |  -102.5 | -102. |
| share)                       |         |         |         |         |     5 |
--------------------------------------------------------------------------------
| Other adjustments            |     0.0 |         |         |    -0.0 |     - |
--------------------------------------------------------------------------------
| Balance at |  146.4 |   50.2 |     2.9 |       - |   -31.9 |   129.8 | 297.4 |
|30 June 2008|        |        |         |         |         |         |       |
--------------------------------------------------------------------------------


NOTES TO THE CONSOLIDATED INTERIM FINANCIAL STATEMENTS                          

ACCOUNTING PRINCIPLES                                                           

The interim report has been prepared in compliance with International Financial 
Reporting Standards (IFRS) as adopted by EU and IAS 34 Interim Financial        
Reporting. In interim reports Uponor Group follows the same principles as in the
annual financial statement 2008 with the exception of changes listed below.     
Other adopted new and amended IFRS-standards and interpretations have not had   
material impact on reported figures.                                            

IAS 1                                                                           

The Group applies the IAS 1 (revised) presentation of financial statement       
standard as of 1 January 2009. IAS 1 standard has mainly changed the            
presentation of the income statement and the statement of changes in equity.    

IFRS 8 Operating segments                                                       

IFRS 8 requires that reportable segment information, alongside the accounting   
principles observed therein, be based on internal reporting submitted to the    
corporate management.                                                           

As of 1 January 2009, Uponor's segment structure is based on three segments,    
determined on the basis of geographical regions and businesses in line with the 
new organisational structure announced on 1 September 2008. These reportable    
segments are Building Solutions - Europe, Building Solutions - North America and
Infrastructure Solutions - Nordic. The risks and returns of these segments vary 
in terms of their market and business environment, product and service offering 
and customer structure.                                                         

Building Solutions - Europe is in charge of Uponor's building solutions         
businesses within Europe as well as exports to those non-European countries in  
which Uponor has neither production nor established sales offices. At Uponor,   
building solutions comprises mainly heating, cooling and plumbing systems for   
residential, commercial and public buildings. The related customer portfolio    
consists mainly of heating and plumbing contractors and construction companies. 

Building Solutions - North America is responsible for Uponor's building         
solutions business in this region.                                              

Infrastructure Solutions - Nordic is in charge of Uponor's infrastructure       
businesses in this region. Its products and services, such as municipal         
pressure-water pipe systems, sewer and wastewater systems, are sold to          
commercial and utility customers engaged in the new-building, renovation and    
modernisation of municipal infrastructure systems.                              

The ”Others” segment comprises Uponor's corporate functions as well as those    
group companies which have no business operations.                              

The setting and monitoring of financial targets is mainly focused on the various
business units' net sales and operating profit, the monitoring of cost factors  
affecting operating profit, and the amount of net working capital. Group        
resources are managed, among other things, by allocating investments on the     
basis of business needs and by dimensioning personnel resources and competencies
in line with business process needs.                                            

Segment consolidation is based on Uponor's consolidated accounting principles.  
Inter-segment business operations are market-based, and all inter-segment sales 
and internal profits are eliminated in consolidated financial statements.       

Comparative data for 2008 has been changed to comply with the new segment       
structure. Income statement items include each segment's continuing operations  
while balance sheet items are formed in line with the Group structure on each   
balance sheet date. In 2008, continuing operations did not include Uponor's     
infrastructure solutions business in Germany, which was divested in April, nor  
the infrastructure solutions business in the British Isles, whose divestment was
finalised in June.                                                              

”Segment assets” include those balance sheet items which can be allocated to the
various business segments, either directly or on justifiable grounds. These     
assets mainly consist of non-interest bearing assets, such as property, plant   
and equipment, intangible assets, inventories, accruals related to operations,  
accounts receivable and other receivables. The Group's external non-current     
receivables, cash and cash equivalents and interest-bearing liabilities are     
mainly included in the ”Others” segment.                                        


--------------------------------------------------------------------------------
| PROPERTY, PLANT AND EQUIPMENT AND INTANGIBLE ASSETS                          |
--------------------------------------------------------------------------------
| MEUR                                       |      1-6 |      1-6 |      1-12 |
|                                            |    /2009 |    /2008 |     /2008 |
--------------------------------------------------------------------------------
| Gross investment                           |      8.9 |     15.6 |      39.0 |
--------------------------------------------------------------------------------
|  - % of net sales                          |      2.4 |      3.1 |       4.1 |
--------------------------------------------------------------------------------
| Depreciation                               |     15.5 |     15.8 |      31.8 |
--------------------------------------------------------------------------------
| Book value of disposed fixed assets        |      1.6 |      2.7 |       5.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| PERSONNEL                                                                    |
--------------------------------------------------------------------------------
| Converted to full time employees           |      1-6 |      1-6 |      1-12 |
|                                            |    /2009 |    /2008 |     /2008 |
--------------------------------------------------------------------------------
| Average                                    |    3,515 |    4,505 |     4,211 |
--------------------------------------------------------------------------------
| At the end of the period                   |    3,449 |    4,195 |     3,678 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| OWN SHARES                                                                   |
--------------------------------------------------------------------------------
|                                            |    30.6. |    30.6. |    31.12. |
|                                            |     2009 |     2008 |      2008 |
--------------------------------------------------------------------------------
| Own shares held by the company, pcs        |  160,000 |        - |   160,000 |
--------------------------------------------------------------------------------
| - of share capital, %                      |     0.2% |        - |      0.2% |
--------------------------------------------------------------------------------
| - of voting rights, %                      |     0.2% |        - |      0.2% |
--------------------------------------------------------------------------------

SEGMENT INFORMATION                                                             

--------------------------------------------------------------------------------
|                | 1-6/2009                   | 1-6/2008                       |
--------------------------------------------------------------------------------
| MEUR           |External|Internal|    Total |  External | Inter |      Total |
--------------------------------------------------------------------------------
| Segment revenue, continuing operations                                       |
--------------------------------------------------------------------------------
| Building       |  242.2 |    0.7 |    242.9 |     339.5 |   1.0 |      340.5 |
| Solutions -    |        |        |          |           |       |            |
| Europe         |        |        |          |           |       |            |
--------------------------------------------------------------------------------
| Building       |   51.5 |      - |     51.5 |      61.4 |     - |       61.4 |
| Solutions -    |        |        |          |           |       |            |
| North America  |        |        |          |           |       |            |
--------------------------------------------------------------------------------
| Infrastructure |   70.6 |    1.6 |     72.2 |     100.3 |   3.4 |      103.7 |
| Solutions -    |        |        |          |           |       |            |
| Nordic         |        |        |          |           |       |            |
--------------------------------------------------------------------------------
| Eliminations   |      - |   -2.3 |     -2.3 |         - |  -4.4 |       -4.4 |
--------------------------------------------------------------------------------
| Total          |  364.3 |      - |    364.3 |     501.2 |     - |      501.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                | 4-6/2009                   | 4-6/2008                       |
--------------------------------------------------------------------------------
| MEUR           |External|Internal|    Total |  External | Inter-|      Total |
|                |        |        |          |           |   nal |            |
--------------------------------------------------------------------------------
| Segment revenue, continuing operations                                       |
--------------------------------------------------------------------------------
| Building       |  126.6 |    0.3 |    126.9 |     176.8 |   0.3 |      177.1 |
| Solutions -    |        |        |          |           |       |            |
| Europe         |        |        |          |           |       |            |
--------------------------------------------------------------------------------
| Building       |   26.5 |      - |     26.5 |      34.5 |     - |       34.5 |
| Solutions -    |        |        |          |           |       |            |
| North America  |        |        |          |           |       |            |
--------------------------------------------------------------------------------
| Infrastructure |   40.2 |    1.0 |     41.2 |      56.1 |   2.0 |       58.1 |
| Solutions -    |        |        |          |           |       |            |
| Nordic         |        |        |          |           |       |            |
--------------------------------------------------------------------------------
| Eliminations   |      - |   -1.3 |     -1.3 |         - |  -2.3 |       -2.3 |
--------------------------------------------------------------------------------
| Total          |  193.3 |      - |    193.3 |     267.4 |     - |      267.4 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                                             | 1-12/2008                      |
--------------------------------------------------------------------------------
| MEUR                                        |  External | Inter-|      Total |
|                                             |           |   nal |            |
--------------------------------------------------------------------------------
| Segment revenue, continuing operations                                       |
--------------------------------------------------------------------------------
| Building Solutions - Europe                 |     632.7 |   2.6 |      635.3 |
--------------------------------------------------------------------------------
| Building Solutions - North America          |     130.8 |     - |      130.8 |
--------------------------------------------------------------------------------
| Infrastructure Solutions - Nordic           |     185.7 |   6.4 |      192.1 |
--------------------------------------------------------------------------------
| Eliminations                                |         - |  -9.0 |       -9.0 |
--------------------------------------------------------------------------------
| Total                                       |     949.2 |     - |      949.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| MEUR              | 1-6     | 1-6       | 4-6       | 4-6           |  1-12  |
|                   | /2009   | /2008     | /2009     | /2008         | /2008  |
--------------------------------------------------------------------------------
| Segment result, continuing operations                                        |
--------------------------------------------------------------------------------
| Building          |    13.9 |      46.1 |      10.8 |          26.0 |   65.6 |
| Solutions -       |         |           |           |               |        |
| Europe            |         |           |           |               |        |
--------------------------------------------------------------------------------
| Building          |    -3.5 |       0.8 |      -0.3 |           1.5 |  -16.0 |
| Solutions - North |         |           |           |               |        |
| America           |         |           |           |               |        |
--------------------------------------------------------------------------------
| Infrastructure    |     6.5 |       7.2 |       5.8 |           4.9 |   10.0 |
| Solutions -       |         |           |           |               |        |
| Nordic            |         |           |           |               |        |
--------------------------------------------------------------------------------
| Others            |    -5.2 |      -5.6 |      -2.8 |          -3.0 |   -9.5 |
--------------------------------------------------------------------------------
| Eliminations      |    -0.3 |      -0.2 |      -1.1 |          -0.4 |    1.1 |
--------------------------------------------------------------------------------
| Total             |    11.4 |      48.3 |      12.4 |          29.0 |   51.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| MEUR                                        |       1-6 |   1-6 |       1-12 |
|                                             |     /2009 | /2008 |      /2008 |
--------------------------------------------------------------------------------
| Segment depreciation and impairments, continuing operations                  |
--------------------------------------------------------------------------------
| Building Solutions - Europe                 |       7.5 |   7.5 |       15.3 |
--------------------------------------------------------------------------------
| Building Solutions - North America          |       3.1 |   2.7 |        5.6 |
--------------------------------------------------------------------------------
| Infrastructure Solutions - Nordic           |       2.7 |   2.9 |        5.9 |
--------------------------------------------------------------------------------
| Others                                      |       2.0 |   2.0 |        4.1 |
--------------------------------------------------------------------------------
| Eliminations                                |       0.2 |   0.4 |        0.5 |
--------------------------------------------------------------------------------
| Total                                       |      15.5 |  15.5 |       31.4 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| MEUR                                        |       1-6 |   1-6 |       1-12 |
|                                             |     /2009 | /2008 |      /2008 |
--------------------------------------------------------------------------------
| Segment investments, continuing operations                                   |
--------------------------------------------------------------------------------
| Building Solutions - Europe                 |       3.4 |   7.3 |       16.0 |
--------------------------------------------------------------------------------
| Building Solutions - North America          |       2.7 |   5.0 |       14.4 |
--------------------------------------------------------------------------------
| Infrastructure Solutions - Nordic           |       1.7 |   1.1 |        4.7 |
--------------------------------------------------------------------------------
| Others                                      |       1.1 |   2.2 |        3.9 |
--------------------------------------------------------------------------------
| Total                                       |       8.9 |  15.6 |       39.0 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| MEUR                                        |     30.6. | 30.6. |     31.12. |
|                                             |      2009 |  2008 |       2008 |
--------------------------------------------------------------------------------
| Segment assets                                                               |
--------------------------------------------------------------------------------
| Building Solutions - Europe                 |     410.4 | 468.7 |      417.0 |
--------------------------------------------------------------------------------
| Building Solutions - North America          |     113.3 | 109.3 |      121.8 |
--------------------------------------------------------------------------------
| Infrastructure Solutions - Nordic           |      82.0 | 103.8 |       67.5 |
--------------------------------------------------------------------------------
| Others                                      |     493.3 | 521.0 |      611.9 |
--------------------------------------------------------------------------------
| Eliminations                                |    -544.7 | -539. |     -623.3 |
|                                             |           |     6 |            |
--------------------------------------------------------------------------------
| Total                                       |     554.3 | 663.2 |      594.9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Segment liabilities                                                          |
--------------------------------------------------------------------------------
| Building Solutions - Europe                 |     272.0 | 332.7 |      290.3 |
--------------------------------------------------------------------------------
| Building Solutions - North America          |      69.0 |  44.1 |       90.3 |
--------------------------------------------------------------------------------
| Infrastructure Solutions - Nordic           |      71.1 |  90.9 |       59.1 |
--------------------------------------------------------------------------------
| Others                                      |     461.7 | 454.5 |      490.9 |
--------------------------------------------------------------------------------
| Eliminations                                |    -566.6 | -556. |     -641.4 |
|                                             |           |     4 |            |
--------------------------------------------------------------------------------
| Total                                       |     307.2 | 365.8 |      289.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                                             |       1-6 |   1-6 |       1-12 |
|                                             |     /2009 | /2008 |      /2008 |
--------------------------------------------------------------------------------
| Segment personnel, continuing operations, average                            |
--------------------------------------------------------------------------------
| Building Solutions - Europe                 |     2,506 | 2,826 |      2,803 |
--------------------------------------------------------------------------------
| Building Solutions - North America          |       431 |   581 |        532 |
--------------------------------------------------------------------------------
| Infrastructure Solutions - Nordic           |       516 |   623 |        605 |
--------------------------------------------------------------------------------
| Others                                      |        62 |    66 |         66 |
--------------------------------------------------------------------------------
| Total                                       |     3,515 | 4,096 |      4,006 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Reconciliation                                                               |
--------------------------------------------------------------------------------
| MEUR                                    |       1-6 |           1-6 |   1-12 |
|                                         |     /2009 |         /2008 |  /2008 |
--------------------------------------------------------------------------------
| Segment result, continuing operations                                        |
--------------------------------------------------------------------------------
| Segment results total                   |      11.4 |          48.3 |   51.2 |
--------------------------------------------------------------------------------
| Financial expenses, net                 |       5.2 |           2.9 |   10.2 |
--------------------------------------------------------------------------------
| Group's profit before taxes             |       6.2 |          45.4 |   41.0 |
--------------------------------------------------------------------------------



CONTINGENT LIABILITIES                                                          

--------------------------------------------------------------------------------
| MEUR                                       |    30.6. |    30.6. |    31.12. |
|                                            |     2009 |     2008 |      2008 |
--------------------------------------------------------------------------------
| Group:                                                                       |
--------------------------------------------------------------------------------
| Mortgages                                  |        - |        - |       0.0 |
| - on own behalf                            |          |          |           |
--------------------------------------------------------------------------------
| Guarantees                                 |          |          |           |
--------------------------------------------------------------------------------
| - on behalf of others                      |      0.6 |      1.6 |       7.8 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Parent company:                                                              |
--------------------------------------------------------------------------------
| Guarantees                                                                   |
--------------------------------------------------------------------------------
| - on behalf of a subsidiary                |      9.0 |      7.5 |       9.0 |
--------------------------------------------------------------------------------
| - on behalf of others                      |      6.9 |      7.2 |       7.0 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| OPERATING LEASE COMMITMENTS                |     31.0 |     23.4 |      31.9 |
--------------------------------------------------------------------------------

DERIVATIVE CONTRACTS                                                            

--------------------------------------------------------------------------------
| MEUR          | Nominal |    Fair | Nominal |     Fair |  Nominal |     Fair |
|               |   value |   value |   value |    value |    value |    value |
|               |   30.6. |   30.6. |   30.6. |    30.6. |   31.12. |   31.12. |
|               |    2009 |    2009 |    2008 |     2008 |     2008 |     2008 |
--------------------------------------------------------------------------------
| Currency      |    90.0 |     0.5 |   111.6 |      1.0 |    128.9 |      7.7 |
| derivatives   |         |         |         |          |          |          |
| - Forward     |         |         |         |          |          |          |
| agreements    |         |         |         |          |          |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Commodity     |     7.2 |    -1.2 |     3.8 |      2.0 |      7.4 |     -1.5 |
| derivatives   |         |         |         |          |          |          |
| - Forward     |         |         |         |          |          |          |
| agreements    |         |         |         |          |          |          |
--------------------------------------------------------------------------------

DISCONTINUED OPERATIONS                                                         
In 2008, the Group divested infrastructure businesses in the UK, Ireland and    
Germany. These have been classified as discontinued operations according to IFRS
5 -standard.                                                                    

In 2009, the Group's discontinued operations recorded EUR 1.9m in               
post-divestment expenses in Ireland in the second quarter, relating to larger   
than expected environmental cleaning costs in premises used by the municipal    
infrastructure business, divested in the summer of 2008.                        


--------------------------------------------------------------------------------
| MEUR                                       |      1-6 |      1-6 |      1-12 |
|                                            |    /2009 |    /2008 |     /2008 |
--------------------------------------------------------------------------------
| Net sales                                  |        - |      8.9 |       8.9 |
--------------------------------------------------------------------------------
| Expenses                                   |      1.9 |      9.9 |      10.0 |
--------------------------------------------------------------------------------
| Profit before taxes                        |     -1.9 |     -1.0 |      -1.1 |
--------------------------------------------------------------------------------
| Income taxes                               |      0.0 |      0.0 |       0.0 |
--------------------------------------------------------------------------------
| Profit after taxes                         |     -1.9 |     -1.0 |      -1.1 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net profit from divestment of discontinued |        - |     43.5 |      43.5 |
| operations                                 |          |          |           |
--------------------------------------------------------------------------------
| Income taxes                               |        - |        - |         - |
--------------------------------------------------------------------------------
| Profit from divestment of discontinued     |        - |     43.5 |      43.5 |
| operations                                 |          |          |           |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Profit for the period from discontinued    |     -1.9 |     42.5 |      42.4 |
| operations                                 |          |          |           |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash flow from discontinued operations     |          |          |           |
--------------------------------------------------------------------------------
| Cash flow from operations                  |     -2.4 |     -3.6 |      -3.4 |
--------------------------------------------------------------------------------
| Cash flow from investments                 |        - |     76.4 |      76.4 |
--------------------------------------------------------------------------------


Book value of assets disposed                                                   
--------------------------------------------------------------------------------
| MEUR                                       |      1-6 |      1-6 |      1-12 |
|                                            |    /2009 |    /2008 |     /2008 |
--------------------------------------------------------------------------------
| Property, plant and equipment              |        - |     33.7 |      33.7 |
--------------------------------------------------------------------------------
| Deferred tax asset                         |        - |      1.9 |       1.9 |
--------------------------------------------------------------------------------
| Inventories                                |        - |     17.8 |      17.8 |
--------------------------------------------------------------------------------
| Accounts receivable and other receivables  |          |     25.1 |      25.1 |
--------------------------------------------------------------------------------
| Cash and cash equivalent                   |        - |      1.1 |       1.1 |
--------------------------------------------------------------------------------
| Total assets                               |        - |     79.6 |      79.6 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Deferred tax liability                     |        - |      3.1 |       3.1 |
--------------------------------------------------------------------------------
| Employee benefits and other liabilities    |        - |      4.3 |       4.3 |
--------------------------------------------------------------------------------
| Accounts payable and other current         |        - |     33.2 |      33.2 |
| liabilities                                |          |          |           |
--------------------------------------------------------------------------------
| Total liabilities                          |        - |     40.6 |      40.6 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net assets                                 |        - |     39.0 |      39.0 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash received from sales                   |        - |     77.5 |      77.5 |
--------------------------------------------------------------------------------
| Cash and cash equivalent disposed of       |        - |      1.1 |       1.1 |
--------------------------------------------------------------------------------
| Cash flow effect                           |        - |     76.4 |      76.4 |
--------------------------------------------------------------------------------

In addition to the cash received from sales, a 5.0 MEUR vendor loan note was    
issued at closing of the deal. Total sales price of the transaction was 82.5    
MEUR.                                                                           

RELATED-PARTY TRANSACTIONS                                                      

--------------------------------------------------------------------------------
| MEUR                                       |      1-6 |      1-6 |      1-12 |
|                                            |    /2009 |    /2008 |     /2008 |
--------------------------------------------------------------------------------
| Continuing operations                                                        |
--------------------------------------------------------------------------------
| Purchases from associated companies        |      0.8 |      1.1 |       2.0 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Balances at the end of the period                                            |
--------------------------------------------------------------------------------
| Accounts payables and other liabilities    |      0.1 |      0.1 |         - |
--------------------------------------------------------------------------------


KEY FIGURES                                                                     

--------------------------------------------------------------------------------
|                                            |      1-6 |      1-6 |      1-12 |
|                                            |    /2009 |    /2008 |     /2008 |
--------------------------------------------------------------------------------
| Earnings per share, EUR                    |     0.04 |     1.01 |      0.99 |
--------------------------------------------------------------------------------
| - continuing operations                    |     0.07 |     0.43 |      0.41 |
--------------------------------------------------------------------------------
| - discontinued operations                  |    -0.03 |     0.58 |      0.58 |
--------------------------------------------------------------------------------
| Operating profit (continuing operations),  |      3.1 |      9.6 |       5.4 |
| %                                          |          |          |           |
--------------------------------------------------------------------------------
| Return on equity, %, cumulative            |      1.9 |     47.0 |      22.7 |
--------------------------------------------------------------------------------
| Return on investment, %, cumulative        |      4.1 |     43.8 |      22.2 |
--------------------------------------------------------------------------------
| Solvency ratio, %                          |     44.6 |     44.9 |      51.4 |
--------------------------------------------------------------------------------
| Gearing, %                                 |     55.4 |     42.7 |      19.8 |
--------------------------------------------------------------------------------
| Net interest-bearing liabilities           |    136.8 |    127.0 |      60.6 |
--------------------------------------------------------------------------------
| Equity per share, EUR                      |     3.38 |     4.06 |      4.18 |
--------------------------------------------------------------------------------
| - diluted                                  |     3.38 |     4.06 |      4.18 |
--------------------------------------------------------------------------------
| Trading price of shares                                                      |
--------------------------------------------------------------------------------
| - low, EUR                                 |     6.80 |     9.15 |      6.10 |
--------------------------------------------------------------------------------
| - high, EUR                                |    10.34 |    18.91 |     18.91 |
--------------------------------------------------------------------------------
| - average, EUR                             |     8.13 |    14.51 |     12.04 |
--------------------------------------------------------------------------------
| Shares traded                                                                |
--------------------------------------------------------------------------------
| - 1,000 pcs                                |   23.743 |   56,260 |    99,227 |
--------------------------------------------------------------------------------
| - MEUR                                     |      193 |      816 |     1,195 |
--------------------------------------------------------------------------------




DEFINITIONS OF KEY RATIOS                                                       

Return on Equity (ROE), %	                                                      
			                                                                             
Profit before taxes - taxes                                                     
=	---------------------------------------	x 100                                
	Shareholders' equity + minority interest, average                              



Return on Investment (ROI), %                                                   

	Profit before taxes + interest and other financing costs                       
=	-----------------------------------------------	x 100                       
	Balance sheet total - non-interest-bearing liabilities, average                



Solvency, %                                                                     

	Shareholders' equity + minority interest                                       
=	---------------------------------------	x 100                               
	Balance sheet total - advance payments received                                


Gearing, %                                                                      

	Net interest-bearing liabilities                                               
=	---------------------------------------	x 100                              
	Shareholders' equity + minority interest                                       



Net interest-bearing liabilities                                                

=	Interest-bearing liabilities - cash, bank receivables and financial assets    



Earnings per share (EPS)                                                        

	Profit for the period                                                          
=	-------------------------------------------------                             
        Number of shares adjusted for share issue in financial period 
excluding treasury shares                                                       


Equity per share ratio                                                          

	Shareholders' equity                                                           
=	-------------------------------------------------------                       
	Average number of shares adjusted for share issue at end of year               


Average share price                                                             

	Total value of shares traded (EUR)                                             
=	---------------------------                                                  
	Total number of shares traded