FISKARS CORPORATION INTERIM REPORT JANUARY-JUNE 2007

FISKARS CORPORATION INTERIM REPORT JANUARY-JUNE 2007
(Unaudited)

Fiskars increased net sales and improved profitability in second
quarter

– Net sales were EUR 165.5 million (151.3)
– Operating profit for the wholly-owned businesses was EUR 22.7
million (16.7 excluding EUR 5.0 million in non-recurring costs)
– Income from Wärtsilä was EUR 8.6 million (25.1)
– French Leborgne S.A. was acquired in May
– An agreement was signed to purchase Iittala Group Plc at the end of June

FISKARS CORPORATION IN BRIEF

EUR, million Q2/2007 Q2/2006 1-6/2007 1-6/2006 2006
Net sales 165.5 151.3 317.5 290.4 534.9
Operating profit from 22.7 11.7 35.6 18.9 27.2
wholly-owned
businesses
Income from associate 8.6 25.1 15.5 33.9 58.6
Operating profit 31.3 36.9 51.1 52.8 85.8
Pre-tax profit 28.9 33.2 47.0 47.5 76.7
Net profit for the period 25.3 50.2 40.0 62.7 82.0
Earnings/share from 0.33 0.48 0.52 0.64 0.86
continuing operations,
EUR
Earnings/share, total, 0.33 0.65 0.52 0.81 1.06
EUR
Cash from operations 22.5 28.7 30.3 41.5 99.0

FISKARS CORPORATION

Second quarter, April-June 2007

Fiskars net sales increased by 9.4% in the second quarter compared to the
previous year, being EUR 165.5 million (151.3). Acquisitions represented
a total of EUR 11.4 million or 7.5% of the growth in the quarter.

The Corporation's operating profit was EUR 31.3 million (36.9),
including a EUR 8.6 million income from the associate Wärtsilä (25.1).
Thus, the operating profit from the Fiskars' wholly-owned businesses was
EUR 22.7 million (16.7 excluding non-recurring restructuring costs of
EUR 5.0 million) or 13.7% of net sales (11.1 %).

Net financial costs were EUR 2.3 million (3.6) and the pre-tax profit was
EUR 28.9 million (33.2).

Taxes for continuing operations were EUR 3.6 million, while the taxes for
the corresponding period last year were EUR 4.3 million positive due to
the tax treatment of discontinued operations in the USA. Power Sentry
division was divested in the USA in the second quarter of 2006 and the
EUR 12.7 million gain from the divestiture was reported as profit from
discontinued operations.

The net profit for the quarter was EUR 25.3 million (50.2) and earnings
per share were EUR 0.33 (0.65).

January-June 2007 review period

Fiskars net sales increased by 9.4% in the review period, totaling EUR
317.5 million (290.4). Silva Group, acquired in September 2006,
represented EUR 17.9 million or 6.2% of the growth. Leborgne S.A., the
French company manufacturing and marketing garden tools which was
acquired in May 2007, has been consolidated with Fiskars operations
from the beginning of May. Since then, Leborgne net sales have been
EUR 2.7 million. When comparing the net sales for the review period
with the previous year, the impact of about EUR 13 million of the
discontinuation of floor-mat and water-hose product lines in the United
States at the end of 2006 as well as the effects of the weakening of the US
dollar should be noted. With constant exchange rates, a calculated
increase in sales would have been 13.6%. During the review period,
55.7% of net sales were generated in Europe (48.4%) and 38.0% in the
USA (43.8%).

Operating profit was EUR 51.1 million (52.8). The operating profit for
the Corporation's wholly-owned operations was EUR 35.6 million or
11.2% of net sales. Profits were improved both in industrial operations
and as a consequence of higher prices of standing timber for EUR 5.1
million in the real estate segment. The operating profit for the
corresponding period last year before non-recurring restructuring costs of
EUR 5.6 million was EUR 24.5 million or 8.4%.

Net financial costs decreased from last year, totaling EUR 4.1 million
(5.3). The pre-tax profit was EUR 47.0 million (47.5) and the net profit
for the review period was EUR 40.0 million (62.7). The corresponding
period last year included EUR 13.0 million in non-recurring profit from
discontinued operations.

Personnel totaled 3,333, having been 3,003 at the beginning of the year.
Staff numbers increased by the 120 employees of Leborgne S.A., and also
due to seasonal fluctuations in the European operations as well as within
the Outdoor Recreation operations in the USA.

FISKARS BRANDS

Second quarter, April-June 2007

Fiskars Brands net sales increased by 5.4% and was EUR 145.8 million
(138.4). The operating profit improved and was EUR 18.7 million (10.0).
The operating profit for the corresponding period last year included EUR
5.0 million in non-recurring restructuring costs. The comparable
operating profit percentage was 12.8 (10.8 %).

Fiskars Brands strengthened its garden tools operations in Europe through
the acquisition of the French company Leborgne S.A. The company
markets its products mostly in France and other parts of southern Europe.
Leborgne's annual net sales are approximately EUR 16 million. The
consolidated net sales for the second quarter was EUR 2.7 million.

January-June 2007 review period

Fiskars Brands net sales increased by 6.1% and was EUR 282.7 million
(266.4). The operating profit was EUR 29.9 million (17.7). The
corresponding period last year included restructuring costs of EUR 5.6
million, comparable profitability being 10.6% (8.7).

The acquisition of Silva Group last year and Leborgne during the review
period resulted in a combined increase in net sales of EUR 20.4 million or
7.8%. The weakening dollar had a negative impact on sales, as did the
discontinuation of the floor-mat and water-hose production lines in the
USA in the Fall of last year.

Profitability for Fiskars Brands operations increased from last year.
Profitability was in particulary improved with the discontinuation of less
profitable production lines in accordance with the restructuring project
realized in the US. The move to increased outsourcing has progressed
according to plan.

In the European markets, where the bulk of the business is in garden
tools, sales developed positively during the entire first half of the year.
Sales of both garden tools and housewares increased through new product
launches as well as through the opening up of new market areas. For
some products, a rapid increase in demand has lead to occasional delays
in deliveries and measures are taken to rectify this.

US sales of garden tools has developed favorably compared to last year
and the marketing effort realized at the end of last year has proven
successful. Competition continues to be stiff, however.

Sales of outdoor recreation products also increased clearly compared to
last year. Gerber, which mainly operates in the USA markets, has gained
more shelf space in the stores of some large customers and has also
signed a significant agreement to deliver products to governmental use.
Last year's acquisition, Silva, also increased sales of outdoor recreation
products in the European markets and broadened its product range.

Large numbers of new craft products and consumables were released in
the US market during the review period and their share of sales increased.
The restructuring project initiated in 2005 was completed and the share of
outsourced articles among the offering has increased significantly.

In the markets outside Europe and the US, sales have developed favorably
in Australia and Canada, while sales in Mexico trailed last year's
numbers. In these markets, the products sold are mainly garden tools.

Investments during the review period totaled EUR 19.5 million (6.1). The
acquisition cost for Leborgne S.A., included in investments, was EUR
13.2 million.

Fiskars Brands personnel numbered 2,943 at the end of the review period,
an increase of 284 people since the beginning of the year. The increase
was due to the acquisition of Leborgne (120), the usual seasonal
fluctuations in Europe (134), and the increased capacity of Gerber's
outdoor recreation production line to meet the large delivery contract
(41).

INHA WORKS

In the review period, net sales for Inha Works increased by 23%
compared to last year, totaling EUR 27.8 million (22.5). Operating profit
was EUR 3.6 million (2.7). Profitability increased and the operating profit
percentage was 12.8 (12.1).

Buster boat sales increased once again this year in all their most important
markets. Investments in production have improved profitability, and
productivity is higher up. The factory worked to its full capacity and
production continues to be developed.

The new Buster X has found its user group and has become one of the
most popular boat models. A minor problem with the boat's fuel tank seal
has been appropriately dealt with and the measures taken will not cause
Inha Works significant costs.

The hinges and forged products operations developed according to plan.

The company has continued to invest in its product development and
market research in order to complement its boat range in a way that will
respond to market expectations.

Investments during the review period were EUR 1.7 million (0.6).

Personnel totaled 335 at the end of the review period (301 at the
beginning of the year).

REAL ESTATE

Net sales for the Real Estate Group was EUR 8.0 million (2.8). The
operating profit was EUR 6.0 million (1.9). The price of standing timber
has increased clearly in the first half of the year, resulting in an increase
of EUR 6.0 million (0.8) in net sales and operating profit. The total value
of the Fiskars Corporation standing timber at the end of the review period
was EUR 40.3 million (30.2).

No major real estate deals were made during the review period and the
business developed according to plan.

Investments by the Real Estate operations totaled EUR 0.6 million (1.3).

The number of staff was 37 (27 at the beginning of the year).

ASSOCIATED COMPANY WÄRTSILÄ

Fiskars' income from associate Wärtsilä for the review period was EUR
15.5 million (33.9). Wärtsilä's net profit for the corresponding period last
year included a significant gain from the divestment of shares in Assa
Abloy and a share in the associate Ovako's net profits.

Fiskars' share of Wärtsilä equity and votes was 16.5% (16.8%) and
30.4% (30.6%) respectively. Fiskars did not sell or purchase any Wärtsilä
shares during the review period.

The book value of Fiskars' investment in the associate was EUR 227.8
million (239.1 at the beginning of the year). Dividends paid to Fiskars in
the review period totaled EUR 27.7 million (23.7). Some EUR 37.6
million of the book value of Fiskars' holding in Wärtsilä was goodwill.

The market value of Fiskars shares in Wärtsilä was EUR 764 million at
the end of the review period.

PROFITS AND TAXES

Net financial costs for the review period were EUR 4.1 million (5.3). The
financial income for the review period was slightly higher than during the
corresponding period last year.

Profit before taxes totaled EUR 47.0 million (47.5). Taxes for the review
period have been calculated on the basis of the local accumulated income
and the enacted tax rates while taking into consideration the potential use
of deferred tax assets and the estimated whole-year effective tax rate.
Taxes totaled EUR 7.1 million; the taxes for the corresponding period last
year were EUR 2.2 million positive due to the tax treatment of
discontinued operations.

The net profit for the period for continuing operations was EUR 40.0
million (49.7). Power Sentry division, divested in the summer of 2006,
was reclassified in 2006 as discontinued operations and its net profit for
last year's first quarter is reported accordingly.

The net profit for the review period was EUR 40.0 million (62.7). The
minority share was not significant. The earnings per share attributable to
equity holders of the company was EUR 0.52 (0.81).

BALANCE SHEET AND FINANCING

Total assets were EUR 728.9 million (707.2 at the beginning of the year).
Fiskars operations are seasonal and the second quarter is the most
important quarter for the operations. Growth in operations increased trade
receivables and inventories as well as trade payables. Net working capital
was EUR 138.1 million, or EUR 33.4 million more than at the end of the
year. The Corporation's interest-bearing net debt was EUR 137.4 million,
or EUR 35.5 million more than at year-end.

Net cash flow from operating activities was EUR 30.3 million (41.5). Net
cash used in investing activities totaled EUR 18.2 million. In the
corresponding period last year, the cash flow of investing activities was
EUR 22.3 million positive because of divestments.

The equity to assets ratio was 57% (60% at the beginning of the year).
Net gearing was 33% (24% at the beginning of the year).

The Corporation's financial situation and liquidity remain strong. In
addition to cash and cash equivalents, the Corporation has significant
credit facilities available.

MANAGEMENT OF RISKS AND UNCERTAINTIES

Fiskars most important operational risks relate to supply-chain control,
the potential structural changes in the retail environment in various
markets and also partly to the development of the prices of raw materials.
Efforts are made in particular to improve supply chain management and
build ties to subcontractors, as outsourcing is increased in accordance
with the Corporation's strategy. In order to mitigate possible problems
with subcontractors and logistics, the Corporation has also increased
inventories.

The potential structural changes in distribution channels are seen to
represent a risk mainly in the US, and operations are required increased
flexibility and ability to think ahead.

Most of the company's industrial operations are of such nature that have
no significant environmental risks. The company complies with
legislation and statutes for the protection of the environment and strives to
develop its production and mode of operation in ways that minimize the
burden on the environment.

The Fiskars Corporation Board of Directors regularly reviews the
principles for the management of financial risks and in accordance with
the Corporation's investment policy, liquid assets are only invested in
low-risk entities. Trade receivables are relatively widely spread
geographically and between customers, and major customers generally
have a high credit rating. No significant credit losses have materialized
during the review period.

The Corporation has protected a portion of its most significant foreign
currency net investments in its subsidiaries against exchange rate
fluctuations and as from January 1, 2007 it has applied hedge accounting
in accordance with IAS 39 standard to them.

REPURCHASE AND TRANSFER OF OWN SHARES

Until the Annual General Meeting held March 21, 2007, the Board of
Directors had an authorization to repurchase and decide on the
distribution of the Corporation's shares provided that the total nominal
value of such shares and the votes carried by them did not exceed ten
percent (10%) of the share capital and the total votes in the company. At
the Annual General meeting on March 21, 2007 the authorization was
renewed unchanged. The Board has not exercised its authorization during
the review period.

As at June 30, 2007, the company held in total 127,512 of its own A
shares and 420 K shares. The holding has not changed during the review
period, and the number of shares equals 0.2% of the entire share capital of
the company. The EUR 0.9 million repurchase cost of the Corporation's
own shares decreases the Corporation's equity.

SHARE PRICES

Fiskars shares are traded on the OMX Nordic Exchange. The shares were
moved to the Large Cap Helsinki segment in the beginning of July 2007.
At the end of June, the price of the Fiskars A share was EUR 12.79 (12.29
at the beginning of the year) and the price of the K share EUR 14.00
(12.11). The market value of the Corporation's share capital was EUR
1,017 million at the end of the review period.

ANNUAL GENERAL MEETING 2007

The Annual General Meeting of shareholders on March 21, 2007 decided
to pay a dividend of EUR 0.60 per share for A shares, totaling EUR
32,890,188, and EUR 0.58 per share for K shares, totaling EUR
13,087,867, the sum total for both series of shares being EUR 45,978,055.

It was decided that the number of Board members be nine. Mr. Kaj-
Gustaf Bergh, Mr. Alexander Ehrnrooth, Mr. Paul Ehrnrooth, Mr. Ralf
Böer, Mr. David Drury, Ms. Ilona Ervasti-Vaintola, Mr. Gustaf
Gripenberg, Mr. Karl Grotenfelt, and Mr. Clas Thelin were elected to the
Board. The term of the Board members will expire at the end of the
Annual General Meeting in 2008.

KPMG Oy Ab was elected auditor.

The Annual General Meeting decided to authorize the Board to
repurchase, of the company's own shares, no more than 5,366,937 of
series A and no more than 2,256,150 of series K shares in a proportion
other than that of the shareholders' proportional shareholdings. The share
price will be no higher than the highest price paid for Fiskars Corporation
shares in public trading at the time of repurchase. This authorization shall
remain in force until the end of the next Annual General Meeting.

The Annual General Meeting authorized the Board to decide on the
distribution of the company's repurchased shares up to a maximum of
5,494,449 series A shares and up to a maximum of 2,256,570 series K
shares. The Board may decide on the distribution of the shares otherwise
than in proportion to the shareholders'existing pre-emptive subscription
rights. This authorization shall remain in force until the end of the next
Annual General Meeting.

In its organization meeting the Board elected Kaj-Gustaf Bergh its
chairman and Alexander Ehrnrooth and Paul Ehrnrooth vice chairmen.
The Board decided to establish an Audit Committee, a Compensation
Committee, and a Nomination Committee.

The Board appointed Gustaf Gripenberg chairman of the Audit
Committee, and David Drury, Alexander Ehrnrooth, Paul Ehrnrooth and
Ilona Ervasti-Vaintola as its other members.
The Board appointed Kaj-Gustaf Bergh chairman of the Compensation
Committee and Ralf Böer, Karl Grotenfelt and Clas Thelin as its other
members.
The Board appointed Kaj-Gustaf Bergh chairman of the Nomination
Committee and Alexander Ehrnrooth and Paul Ehrnrooth its other
members.

SUBSEQUENT EVENTS SINCE THE END OF THE QUARTER

At the end of June, Fiskars signed an agreement to purchase Iittala Group
Plc with net sales of approximately EUR 200 million. The debt-free price
for Iittala, which will be finally determined at closing, will be
approximately EUR 230 million. The acquisition will be funded by using
existing credit facilities.

The closing of the transaction was subject to approval by the competition
authorities. The required approvals were received by August 1st 2007 and
the acquisition is expected to be closed as planned at the end of August.

OUTLOOK

The full-year net sales for the Fiskars wholly-owned operations will grow,
and the operating profit will exceed that of last year due to the level of
sales and profits of the first two quarters as well as the restructuring
measures gradually starting to take effect.

Iittala Group will be consolidated as from September 1st with Fiskars and
it's net sales and operating profit, which is mostly generated during the
last months of the year, will improve Fiskars' end-of-year figures.

Income from associated company Wärtsilä also forms a significant part of
Fiskars' annual profit.

Heikki Allonen
President and CEO

NOTES TO THE INTERIM REPORT

This interim report has been prepared in accordance with IAS 34 Interim
Financial Reporting. Using the same accounting principles and methods
of computation as for the annual financial statements for 2006 with the
exception of hedge accounting being applied on foreign currency net
investments in subsidiaries.

Use of estimates
Complying with the IFRS standards in preparing financial statements
requires the management to make estimates and assumptions. Such
estimates affect the reported amounts of assets and liabilities, the
disclosure of contingent assets and liabilities, and the amounts of
revenues and expenses. Although these estimates are based on the
management's best knowledge of current events and actions, actual results
may differ from these estimates.

IAS 39 Financial instruments – hedge accounting for foreign currency net
investments in subsidiaries
Significant equity investments in subsidiaries situated outside the Euro
zone have largely been hedged against foreign currency exchange rate
fluctuations through foreign currency loans and derivatives using the
hedge accounting to reduce the effect of exchange rate fluctuations on the
Corporation's equity. When a foreign subsidiary is sold, these translation
differences are included in the gain or loss on disposal reported in the
income statement.
The change in calculation principles resulted in an increase in the review
period's equity of EUR 0.6 million.

Discontinued operations
The Power Sentry division was divested in the summer of 2006 and is
reported under discontinued operations. The gain from the sale and the
division's net operating profit for the corresponding period last year is
reported as a separate item under discontinued operations.

Formulas for calculation of key ratios
The key ratios presented in the interim reports have been calculated using
the same formulas as the corresponding ratios in the latest financial
statements. The formulas for calculation of ratios are available on page 36
of the Annual Report.

As of January 1, 2007, Fiskars has applied the following new or amended
IFRS standards:

IFRS 7 Financial Instruments: Disclosures. IFRS 7 requires additional
disclosures about the influence of financial instruments on the entity's
financial situation and results. Implementation will mainly influence
future Notes to the Consolidated Financial Statements and does not have
any significant impact on the interim report.

Amendment to the IAS 1 standard: Presentation of Financial Statements –
Capital Disclosures. Implementation of the amendment will mainly
influence future Notes to the Consolidated Financial Statements and does
not have any significant impact on the interim report.

IFRIC 9 Reassessment of Embedded Derivatives. The Corporation
estimates that this interpretation will not influence its consolidated
financial statements or the interim report, as no company within the
Corporation has changed contract stipulations as indicated by the
interpretation.

IFRIC 10 Interim Financial Reporting and Impairment. IFRIC 10 states
that an entity shall not reverse an impairment loss recognized in a
previous interim period in respect of goodwill or an investment in either
an equity instrument or a financial asset carried at cost. The Corporation
estimates that this interpretation will not influence its consolidated
financial statements or its interim report.

CONSOLIDATED INCOME STATEMENT 4-6 4-6 chg 1-6 1-6 chg 1-12
2007 2006 % 2007 2006 % 2006
MEUR MEUR MEUR MEUR MEUR

NET SALES 165.5 151.3 9 317.5 290.4 9 534.9

Cost of goods sold -109.3 -105.7 3 -212.9 -203.2 5 -375.4
GROSS PROFIT 56.2 45.7 23 104.6 87.2 20 159.6

Other operating income -0.1 1.4 -108 0.8 1.5 -47 1.3
Sales and marketing expenses -19.5 -17.9 9 -40.8 -37.2 10 -73.3
Administration expenses -12.3 -11.2 10 -25.4 -24.1 5 -45.3
Research and development costs -1.5 -1.4 13 -3.0 -2.9 5 -6.1
Other operating expenses -0.1 -4.9 -98 -0.6 -5.6 -89 -9.0
Income from associate 8.6 25.1 -66 15.5 33.9 -54 58.6
OPERATING PROFIT 31.3 36.9 -15 51.1 52.8 -3 85.8

Financial income 1.1 -0.2 690 1.7 0.5 234 1.8
Financial expenses -3.5 -3.5 0 -5.8 -5.8 -1 -10.9
PROFIT BEFORE TAXES 28.9 33.2 -13 47.0 47.5 -1 76.7

Income taxes -3.6 4.3 -185 -7.1 2.2 -419 -9.8
PROFIT FROM CONTINUING OPERATIO 25.3 37.5 -33 40.0 49.7 -20 66.9

Profit from discontinued oper. 12.7 13.0 15.2
PROFIT (LOSS) FOR THE PERIOD 25.3 50.2 -50 40.0 62.7 -36 82.0

Minority share 0.0 0.0 0.0
PROFIT FOR ORDINARY SHAREHOLDER 25.3 50.2 -50 40.0 62.7 -36 82.0

Earnings for ordinary shareholders
per share, euro 0.33 0.65 0.52 0.81 1.06
continuing operations 0.33 0.48 0.52 0.64 0.86
discontinued operations 0.16 0.17 0.20

Earnings per share is undiluted. The company has no open option programs or
other earnings diluting financial instruments.

CURRENCY RATES 1-6 1-6 chg 1-12
2007 2006 % 2006
USD average rate (I/S) 1.33 1.23 8 1.26
USD end-of-period (B/S) 1.35 1.27 6 1.32

CONSOLIDATED BALANCE SHEET 6/07 6/06 chg 12/06
MEUR MEUR % MEUR
ASSETS

NON-CURRENT ASSETS
Intangible assets 20.6 11.8 75 19.2
Goodwill 28.3 11.3 151 22.4
Tangible assets 98.1 102.8 -5 98.7
Biological assets 40.3 30.2 33 35.0
Investment property 8.5 9.0 -6 8.7
Investment in associate 227.8 232.9 -2 239.1
Other shares 3.2 4.9 -35 5.0
Other investments 1.7 1.2 33 1.5
Other long-term tax receivables 3.8 8.2 -54 5.5
Deferred tax assets 23.2 32.9 -29 24.9
NON-CURRENT ASSETS TOTAL 455.3 445.2 2 460.0

CURRENT ASSETS TOTAL
Inventories 126.9 103.5 23 114.6
Trade receivables 125.2 108.9 15 82.7
Other receivables 4.5 2.3 96 5.0
Cash in hand and at bank 17.0 51.7 -67 44.9
CURRENT ASSETS TOTAL 273.6 266.4 3 247.2

ASSETS TOTAL 728.9 711.6 2 707.2

EQUITY AND LIABILITIES

EQUITY 415.2 420.3 -1 421.8

NON-CURRENT LIABILITIES
Interest bearing debt 132.3 135.9 -3 120.7
Non-interest bearing debt 2.0 2.6 -22 2.6
Deferred tax liabilities 22.5 17.4 29 20.8
Pension liability 12.1 14.1 -14 12.8
Provisions 4.3 6.6 -35 4.2
NON-CURRENT LIABILITIES TOTAL 173.2 176.5 -2 161.1

CURRENT LIABILITIES
Interest bearing debt 22.1 17.7 25 26.1
Trade payable and
other non-interest bearing debt 114.0 90.9 25 92.6
Income tax payable 4.5 6.1 -26 5.7
CURRENT LIABILITIES TOTAL 140.6 114.7 23 124.4

EQUITY AND LIABILITIES TOTAL 728.9 711.6 2 707.2

CONSOLIDATED STATEMENT 1-6 1-6 1-12
OF CASH FLOWS 2007 2006 2006
MEUR MEUR MEUR
CASH FLOWS FROM OPERATING ACTIVITIES
Net profit before taxes 47.0 47.5 76.7
Adjustments for
Depreciation 10.4 12.6 28.6
Income from associate -15.5 -33.9 -58.6
Investment income -1.3 -0.4 -0.8
Interest expense 5.3 5.7 9.9
Chg in value of biological assets -5.3 -0.3 -5.0
Cash generated before working capital 40.7 31.2 50.8

Change in working capital
Change in interest free assets -36.6 -32.3 -5.4
Change in inventories -10.0 12.4 7.6
Change in interest free liabilities 17.9 11.2 7.6
Cash generated before financing and ta 12.0 22.5 60.6

Dividends from associate 27.7 23.7 47.5
Dividends received, other 0.1 3.6 3.6
Financial costs paid (net) -5.2 -5.3 -7.4
Taxes paid -4.3 -3.0 -5.1
NET CASH FROM OPERATING ACTIVITIES A 30.3 41.5 99.0

CASH FLOWS FROM INVESTING ACTIVITIES
Acquisitions -13.1 -0.4 -26.0
Capital expenditure -8.1 -8.6 -19.3
Proceeds from sale of fixed assets 0.1 1.9 5.4
Sale of other l/t investments 3.2 1.8 2.2
Purchase of other l/t investments -0.3 -5.1 -5.3
Cash flow from discontinued operations 32.7 33.0
NET CASH USED IN INVESTING ACTIVITIES -18.2 22.3 -10.1

CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from l/t borrowings 0.0 15.0 15.0
Repayment of l/t borrowings -0.2 -3.1 -4.6
Proceeds from (payment) of) s/t borrow 9.1 -14.4 -21.4
Payment of financial leases liabilitie -1.5 -1.5 -2.8
Cash flows from other financing items -0.7 0.1 0.1
Dividends paid -46.0 -34.4 -57.1
NET CASH USED IN FINANCING ACTIVITIES -39.2 -38.2 -70.8

CHANGE IN CASH (A+B+C) -27.1 25.6 18.2

Cash at beginning of period 44.9 21.7 21.7
Translation difference -0.8 4.4 5.0
Cash at end of period 17.0 51.7 44.9

STATEMENT OF CHANGES IN Equity holders of the parent companMinorit Total
SHAREHOLDERS' EQUITY Other interest
Share Own reser-Transl.Retain.
capital shares vesadjustm earn.
MEUR MEUR MEUR MEUR MEUR MEUR MEUR
Dec 31, 2005 77.5 -0.9 24.7 1.2 300.3 0.0 402.7
Translation differences -1.6 -1.6
Change in fair value reserve, associate -9.0 -9.0
Other changes in associate -0.2 0.0 -0.2
NET INCOME RECOGNISED DIRECTLY IN EQUITY -9.0 -1.8 0.0 0.0 -10.8
Net profit for the period 62.7 62.7
TOTAL RECOGNISED INCOME AND
EXPENSE FOR THE PERIOD -9.0 -1.8 62.7 0.0 52.0
Dividend distribution -34.4 -34.4
Jun 30, 2006 77.5 -0.9 15.7 -0.6 328.6 0.0 420.3
Translation differences -0.4 -0.4
Change in fair value reserve, associate 5.8 5.8
Other changes in associate -0.4 -0.1 -0.5
Other changes 0.0 0.0
NET INCOME RECOGNISED DIRECTLY IN EQUITY 5.8 -0.9 -0.1 0.0 4.9
Net profit for the period 19.3 0.0 19.3
TOTAL RECOGNISED INCOME AND
EXPENSE FOR THE PERIOD 5.8 -0.9 19.2 0.0 24.2
Dividend distribution -22.8 -22.8
Dec 31, 2006 77.5 -0.9 21.6 -1.5 325.0 0.0 421.8
Translation differences -2.0 -2.0
Change in fair value reserve, associate 0.3 0.3
Other changes in associate 0.5 0.5
Cash flow hedges after taxes 0.6 0.6
NET INCOME RECOGNISED DIRECTLY IN EQUITY 0.9 -1.5 0.0 0.0 -0.6
Net profit for the period 40.0 0.0 40.0
TOTAL RECOGNISED INCOME AND
EXPENSE FOR THE PERIOD 0.9 -1.5 40.0 0.0 39.4
Dividend distribution -46.0 -46.0
Jun 30, 2007 77.5 -0.9 22.5 -3.0 319.1 0.0 415.2

Fiskars shares of associated company Wärtsilä's fair value reserve and its
changes are specified in the other reserves above.

KEY FIGURES 6/07 6/06 chg 12/06
%
Equity/share, euro 5.36 5.43 -1 5.45
Equity ratio 57% 59% 60%
Net gearing 33% 24% 24%
Equity, meur 415.2 420.3 -1 421.8
Net interest bear.debt, meur 137.4 101.9 35 101.9
Average number of employees 3112 3245 -4 3167
Number of employees eop 3333 3227 3 3003

SEGMENT INFORMATION 4-6 4-6 chg 1-6 1-6 chg 1-12
NET SALES 2007 2006 % 2007 2006 % 2006
MEUR MEUR MEUR MEUR MEUR
Fiskars Brands 145.8 138.4 5 282.7 266.4 6 489.9
Inha Works 15.1 12.2 24 27.8 22.5 23 37.2
Real Estate 5.0 1.6 203 8.0 2.8 189 10.3
Unallocated and eliminations -0.4 -0.9 -56 -1.0 -1.3 -28 -2.4
CORPORATE TOTAL 165.5 151.3 9 317.5 290.4 9 534.9

Export from Finland 17.8 15.4 16 38.6 33.2 16 58.9

SEGMENT INFORMATION 4-6 4-6 1-6 1-6 1-12
RESULT 2007 2006 2007 2006 2006
MEUR MEUR MEUR MEUR MEUR
Fiskars Brands 18.7 10.0 29.9 17.7 21.1
Inha Works 2.0 1.6 3.6 2.7 3.7
Real Estate 3.9 1.8 6.0 1.9 7.6
Associate Wärtsilä 8.6 25.1 15.5 33.9 58.6
Unallocated and eliminations -1.9 -1.8 -3.9 -3.5 -5.2
OPERATING PROFIT 31.3 36.9 51.1 52.8 85.8

SEGMENT INFORMATION 4-6 4-6 1-6 1-6 1-12
DEPRECIATIONS 2007 2006 2007 2006 2006
MEUR MEUR MEUR MEUR MEUR
Fiskars Brands 4.5 5.5 9.0 11.2 25.8
Inha Works 0.3 0.3 0.7 0.6 1.2
Real Estate 0.4 0.3 0.7 0.6 1.4
Unallocated and eliminations 0.1 0.0 0.1 0.1 0.1
CORPORATE TOTAL 5.2 6.1 10.4 12.6 28.6

SEGMENT INFORMATION 4-6 4-6 1-6 1-6 1-12
CAPITAL EXPENDITURE 2007 2006 2007 2006 2006
MEUR MEUR MEUR MEUR MEUR
Fiskars Brands 16.9 3.8 19.5 6.1 37.5
Inha Works 1.1 0.4 1.7 0.6 1.2
Real Estate 0.3 0.6 0.6 1.3 1.9
Unallocated and eliminations 0.2 0.3 0.0 0.3
CORPORATE TOTAL 18.5 4.8 22.1 7.9 40.8

GEOGRAPHICAL SEGMENT 4-6 4-6 chg 1-6 1-6 chg 1-12
NET SALES BASED ON CUSTOMER 2007 2006 % 2007 2006 % 2006
LOCATION MEUR MEUR MEUR MEUR MEUR
Europe 91.8 71.5 28 177.1 140.5 26 257.1
USA 64.2 66.4 -3 120.9 127.2 -5 235.2
Rest of the world 9.5 13.3 -29 19.5 22.6 -14 42.6
CORPORATE TOTAL 165.5 151.3 9 317.5 290.4 9 534.9

Short delivery times are a prerequisite in Fiskars' fields of operations.
Therefore, the backlog of orders and changes in it are not of
significant importance.

IMPACT OF ACQUISITIONS ON THE CONSOLIDATED BALANCE SHEET
MEUR

Fiskars acquired the French company Leborgne S.A. in May.
The company produces garden tools in France and in addition to the French
market sells them in Spain, Belgium and Italy.
The net sales for Leborgne in 2006 was EUR 16 million.

LEBORGNE ACQUISITION COST, PRELIMINARY SPECIFICATION
Purchase price paid in cash 12.8
Acquisition related costs 0.4
Fair value of acquired assets 6.9
GOODWILL 6.3

sellers
book fair
ACQUIRED ASSETS AND LIABILITIES values values
Non-current assets 0.9 3.7
Inventories 3.2 3.3
Receivables 6.1 6.1
Cash and bank 0.1 0.1
Deferred tax liability 0.0 -1.0
Non-current liabilities -0.9 -0.9
Current liabilities -4.5 -4.5
TOTAL 4.9 6.9

CONTINGENCIES AND PLEDGED ASSETS 6/07 6/06 12/06
MEUR MEUR MEUR
AS SECURITY FOR OWN COMMITMENTS
Discounted bills of exchange 0 0
Lease commitments 17 20 19
Other contingencies 8 8 9
TOTAL 25 29 28

GUARANTEES AS SECURITY FOR
THIRD-PARTY COMMITMENTS
Real estate mortgages 2 2 2

TOTAL PLEDGED ASSETS AND CONTINGENCIES 26 30 30

NOMINAL AMOUNTS OF DERIVATIVES

Forward exchange contracts 74 94 94

MARKET VALUE VS. NOMINAL AMOUNTS
OF DERIVATIVES

Forward exchange contracts -1 0 0

Forward exchange contracts have been valued at market in the
financial statements.