FISKARS CORPORATION’S RESULTS 2005

FISKARS CORPORATION'S RESULTS 2005

RESULT FOR THE FOURTH QUARTER 2005

Corporate net sales for October – December remained unchanged from the 
corresponding period previous year and totaled EUR 127.0 million (126.6). In 
spite of lower volume in the United States the stronger dollar rate reduced the 
impact on euro denominated sales. Sales in other markets were slightly up 
from the corresponding quarter previous year. 
Non-recurring costs for the quarter amounted to EUR 5.4 million; about EUR 
1 million related to credit losses from the sale of a business activity in the US, 
and 4.4 million were write-downs on fixed assets connected with restructuring 
announced in October 2005. 
Operating profit was EUR -0.5 million (7.9); before non-recurring items, the 
operating result would be EUR 4.9 million (7.3). The income from associated 
company was EUR 11.7 million (12.9) and net financing costs were EUR 2.3 
million (0.9). Profit before taxes was EUR 8.9 million (19.9) and the net profit 
for the review period was EUR 9.4 million (18.0). 

Report by the Board of Directors 2005

Fiskars Corporation's net sales were EUR 551.1 million (565.6) and declined 
thus by 2.5% from the previous financial year. A decision was taken in fall 
2005 to restructure parts of the US operations of the largest  division, Fiskars 
Brands, Inc. The plans will be implemented during two financial years and 
will cause non-recurring costs of approximately EUR 50 million. Of these 
restructuring costs, EUR 39.7 million were booked in 2005 . Operating results 
after these items  were a loss of 2.0 million (52.1). The bookings, around half 
of which related to goodwill impairment, had a minor negative impact of EUR 
1.0 million on cash flows. Operating profit before non-recurring items was 
EUR 37.7 million (51.5).

Fiskars income from associated company Wärtsilä's profit was EUR 28.6 
million (26.7). Sales of Wärtsilä B-shares during the year yielded a gain of 
EUR 49.8 million. Wärtsilä A-shares were acquired for EUR 30.2 million 
during the financial year, after which Fiskars' share of the votes in Wärtsilä 
increased to over 30 percent. 

Net profit for the year was EUR 62.1 million (54.6) and earnings per share 
EUR 0.80 (0.71). Return on Equity was 16.8% (15.8) and Return on 
Investment 14.5% (14.9). 

The Board proposes a dividend of EUR 0.45 per share of series A and EUR 
0.43 per share of series K, i.e. a total dividend of EUR 34.4 million, for 2005.

The Corporate structure was streamlined during the financial year by merging 
and dissolving inactive administrative companies.

OPERATIONS

Fiskars Brands, Inc.

Production restructuring 
The change in the markets and the competitive structure in the United States 
continued, and a decision was taken to adapt Fiskars Brands' operations  to 
better respond to the challenges of the situation. Fiskars Brands, Inc. decided 
to carry out an extensive restructuring of its production in the North American 
markets where today a continuosly increasing part of products will be 
subcontracted. Own correctly sized manufacture, rapid introduction of new 
innovations to the markets, tight control of the supply-chain, and timely 
response to customers' quickly changing expectations are critical success 
factors. 
According to the restructuring plans, by the end of 2006 some of the present 
production capacity will be closed down or converted  into logistics centers, 
and production volumes at some plants will be adapted to better match 
demand of the markets.  These measures will impact the number of personnel 
towards the end of 2006. 
As a consequence of the plans, the 2005 financial statements include write-
offs on inventories and fixed assets, particularly goodwill impairment as well 
as amortizations due to shorter depreciation period of certain of fixed assets. 
The bookings total USD 49.3 million, equaling EUR 39.7 million. 
 The estimate of the total restructuring costs is approximately EUR 50 million 
prevails. The remainder of the restructuring costs will accrue in 2006. Cost 
savings as a result of the structural changes will, however start accruing 
towards the end of 2006 when new sourced products manufactured with a 
lower cost base will start to be delivered to the customers.

Goodwill impairment
For goodwill impairment testing, Fiskars Brands has been divided into cash 
generating units to which the goodwill in the consolidated balance sheet has 
been allocated. The goodwill in the units is  tested annually for impairment by 
calculating the values in use of the cash generating units based on estimated 
future cash flows. On the basis of these calculations, the goodwill value of 
Garden & Outdoor Living was impaired  by EUR 19.7 million (1.5). After 
impairment,  the goodwill of the cash generating at the end of the financial 
year was EUR 4.8 million. The management estimates that the fair market 
value of this unit today equals or exceeds its book value EUR 43,0 million 
after the impairment. There was no need for impairments  in other cash-flow 
generating units.

Fiskars Brands' business operations
Fiskars Brands' net sales were EUR 513.3 million (528.0). US sales accounted 
for USD 372.0 million (396.9), corresponding to EUR 312.7 million (332.6), a 
decrease of  6.3% from the previous financial year. European sales remained 
on the previous year's level at EUR 185.6 million (186.0). Europe represented 
36% (34) and the United States 59% (61) of total net sales. 
Fiskars Brands' operating profit was EUR  -1.6 million (48.5). Non-recurring 
items mounted to EUR -39,7 million (+0.6). The earnings excluding non-
recurring items would have been EUR 38.1 million (47.9). 
Prices of resin and steel increased during the year but their impacts on costs 
could not entirely be transferred to sales prices due to the  competitive 
situation. This eroded profitability throughout the business, more so and 
particularly in the United States.
Major retailers in the US market sell a significant volume of the products, and 
prices are a more critical sales argument than quality. Especially imports of 
products of high labour content grew, and the ability of local, traditional 
production to compete on prices weakened, while the competitive position of 
technically demanding and innovative products was still maintained. Only the 
Consumer Electronics unit increased sales in the US market. Sales of  the 
School, Office and Craft and Garden and Outdoor Living declined and the low 
utilization rate of the manufacturing capacity in rubber mats and pottery 
businesses had adverse effect on profitability. Investments in marketing, 
product development and sourcing were increased and the measures are 
expected to have a positive impact on the profitability in the coming years. 
In the European markets quality is a critical factor in addition to price level. 
Development of a new generation of Housewares lines and launch of new 
School Office and Craft products was intensified. Sales of Garden and 
Outdoor Recreation products still represent the majority of European sales 
which grew over the previous year. Housewares also play an important role in 
sales which, however, decreased slightly due to supply difficulties in the 
initial phase of the introduction of new product lines. Profitability in Europe 
continued to be good in spite of the slight decline from the previous year. 
Sales in other markets, the most important ones of them Canada and Australia, 
increased by more than 20%, and profitability improved considerably. 
Fiskars Brands invested in expansion and product innovations. The company 
acquired the production and marketing assets of Gingher branded quality 
scissors in the spring, and the Heidi Grace and Cloud9 branded scrap-booking 
product lines in the fall to reinforce the growing craft products sales. Also 
Superknife products were acquired during the fall as an addition to the Gerber 
outdoor recreation operation. Investments in these acquisitions totaled EUR 
11.9 million. Other investments amounted to EUR 12.2 million and mainly 
related to product development, maintenance of production capacity and 
improved efficiency of operations. The total investments in 2005  were EUR 
24.1 million (15.8).

Inha Works
Inha Works' net sales increased by 11% to EUR 32.4 million (29.2). 
Operating profit decreased slightly, due to start-up costs of the delays caused 
by the  implemented investments and to higher aluminum prices, and was 
EUR 3.5 million (3.6). Demand for boats continued to grow strongly in the 
main market areas, and sales of Buster boats increased especially in Finland 
and Norway. The plant worked at capacity, and prodution capacity bottlenecks 
restricted sales at times. The new painted boat models were well received by 
customesr. Sales of other Inha products – hinges and forged products - also 
continued to be satisfactory. 
Investments were made in increasing  of boat production capacity and 
rationalization of production. The investments totaled EUR 3.4 million (1.3).

Real Estate Group
The real estate operation consists of leasing of real estate properties to 
corporate and external customers, as well as of management of the corporate 
forest assets. In accordance with IFRS, the change in value of biological assets 
is now reported instead of the realized timber sales. Price of standing timber 
decreased during the year and contributed to the decrease of EUR 0.8 million 
in reported revenues calculated with this method, which consequently 
weakened profitability compared with the previous year. Previous year, the 
increase of  prices of standing timber had increased the value of biological 
assets by EUR 1.6 million. Net sales from the real estate operations totaled 
EUR 8.9 million (11.0) and operating profit was EUR 2.0 million (5.2). 
Investments during the year related among other things to the new logistics 
facility leased to Fiskars Brands' Billnäs factory. The total investments were 
EUR 2.9 million (2.2).
A unit within the Real Estate Group, Hangon Sähkö Oy, which operates as 
supplier of electrical installation services was sold to the operative 
management in November. The transaction had no significant impact on the 
result.

Associated company Wärtsilä
Fiskars' income from associate in 2005 was EUR 28.6 million (26.7). 
During the year, Fiskars sold Wärtsilä B-shares for EUR 105.0 million and 
acquired 
A-shares for EUR 30.2 million. The Corporation's interest in the associated 
company was thus 16.81% (20.54) of the share capital and 30.58% of the 
votes (28.07) at December 31, 2005. The share transactions yielded a gain of 
EUR 49.8 million. Dividends paid to Fiskars by Wärtsilä during the financial 
year amounted to EUR 17.1 million (21,3). The book value of the holding at 
the end of the financial year was EUR 231.9 million (219.1) and included 
EUR 38.1 million (35.7) goodwill. The market capitalization of the shares at 
the year-end was EUR 394 (295).

CORPORATE RESULT AND TAXES
Operating profit was EUR  -2.0 million (52.1). Net financing costs amounted 
to EUR 7.1 million (3.8) and included EUR 2.5 million (6.3) of investment 
income. Financing costs remained largely unchanged from the previous year. 
Profit after financial items, inclusive income from the associated company 
Wärtsilä and the gain from the sale of shares, was EUR 69.4 million (75.0).
Taxes for the year totaled EUR 7.3 million (15.2). 
The gain  from the sale of the Wärtsilä shares is tax exempt. 
The profit for the year was EUR 62.1 million (54.6) and earnings per share 
EUR 0.80 (0.71).

BALANCE SHEET AND FINANCIAL POSITION
Cash flow from operations was EUR 62.7 million (88.1). Working capital was 
on the same level as in the previous financial year. Inventories increased to 
some extent. Investments, exclusive of the acquisition of Wärtsilä shares, 
were below the annual depreciation made on fixed assets. Only a very minor 
part of the restructuring costs (EUR 1.0 million) had an impact on the cash 
flow. Purchases and sales of Wärtsilä shares generated a net cash flow of 
about EUR 74 million. 
The Corporation's net interest-bearing debt decreased by EUR 66 million to 
EUR 140.0 million (206.1). The capital loan of EUR 45.1 million issued to 
shareholders at the end of 2004 is included in interest-bearing long-term 
liabilities. 
The Corporation's liquidity remained good. Cash at the end of the year totaled 
EUR 21.7 million (15.6), in addition to which there are considerable unused 
credit limits at hand. 
Consolidated shareholders' equity was EUR 402.7 million (335.8). Dividends 
paid during the year totaled EUR 22.8 million. The net gearing ratio was good 
at 57% (49).
Total assets were on the previous year's level at EUR 702.7 million (691.7). 
Non-current assets amounted to EUR 458.5 million (469.7). Consolidated 
goodwill in the balance sheet  totaled EUR 12.8 million (28.9), all of which 
related to Fiskars Brands' operations. All the biological assets of EUR 29.9 
million (30.4) were situated in Finland. Investment properties included real 
estate leased to external parties by the Real Estate Group as well as those 
leased by Fiskars Brands in the United States that were no longer used by the 
Corporation. The investment in associated company Wärtsilä in the balance 
sheet total was EUR 231.9 million (219.1).

PERSONNEL
At the end of the year, the total number of personnel was 3,284 (3,448). The 
number in the United States decreased by 111 and in Finland by 72. The 
attrition in the United States was mainly attributable to increased sourcing; in 
Finland, the divestment of Hangon Sähkö Oy led to a personnel decrease of 
52. As a result of the codetermination negotiations with personnel at the 
Billnäs factory in the fall, the number of personnel will decrease by 75 by 
summer 2006. At Inha Works, the number of personnel increased by 23 
during the year.
 
MANAGEMENT
There were no changes in the corporate management during the period. Heikki 
Allonen continued as CEO and President.

CORPORATE GOVERNANCE
Fiskars complies with the administrative and corporate governance rules for 
stock exchange listed entities published by Helsinki Exchanges, the Central 
Chamber of Commerce and the Confederation of Finnish Industries, effective 
in 2004. Fiskars also complies with the new insider rules of Financial 
Supervision and Helsinki Exchanges adopted on July 1, 2005. The 
Corporation further also applies its internal insider guidelines.

RISKS AND RISK MANAGEMENT
Fiskars hedges its financial risks in accordance with the practice approved by 
the Corporation's Board of Directors. Investments are made only in solid 
financial institutions and other low-risk companies or funds. Other receivables 
mainly consist of trade receivables and are relatively widely spread 
geographically and between customers.The credit ratings of major customers 
are high. Insurance policies are used to cover property risks and significant 
operational risks. Other risks associated with balance sheet values are 
estimated to be minor. The Corporation has not used raw-material derivative 
instruments.
Risks connected with information technology and systems were analyzed 
during the financial year, and the level of risk management was increased. The 
most important operational risks relate to raw-material prices and changes in 
the markets and demand.  

PURCHASES AND SALES OF OWN SHARES
The Board of Directors has an authorization to purchase and sell the 
Corporation's shares provided that the total nominal value of such shares  and 
the votes carried by them do not exceed five (5) percent of the share capital 
and the total votes in the company. The Board did not exercise its 
authorization during the year. At December 31, 2005, 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. 

ANNUAL GENERAL MEETING 2005
Fiskars Corporation's annual general meeting held on March 23, 2005 
declared a dividend of EUR 0.30 per A-share and EUR 0.28 per K-share, i.e. a 
total dividend of approximately EUR 22.8 million. 
The number of Board members was set at seven. Göran J. Ehrnrooth, Mikael 
von Frenckell, Gustaf Gripenberg, Olli Riikkala, Paul Ehrnrooth, Ilona 
Ervasti-Vaintola and Alexander Ehrnrooth were re-elected. The mandate of 
the Board members ends at the 2006 annual general meeting. 
At their meeting held after the annual general meeting, the Board elected 
Göran J. Ehrnrooth as Chairman and Mikael von Frenckell as Vice Chairman. 
KPMG Oy Ab was reappointed as auditor. 
The annual general meeting authorized the Board of Directors to decide on the 
acquisition of a maximum of 2,619,712 A-shares and 1,127,865 K-shares and 
on the disposal of a maximum of 2,747,224 A-shares and 1,128,285 K-shares 
as from March 23, 2005.

EXTRAORDINARY GENERAL MEETING 2005
The extraordinary general meeting held on September 27, 2005 set the number 
of Board members at nine. Kaj-Gustaf Bergh and Karl Grotenfelt were elected 
as new Board members. The mandate of the new members also ends at the 
2006 annual general meeting. 

SHARE PRICES
At the end of December 2005, the price of Fiskars A-share at the Helsinki 
Exchanges was EUR 9.60 (7.90) and the price of K-share EUR 9.90 (7.90). 
The market value of the share capital increased by 23% during the year to 
EUR 751 million (612) at the end of the year).
In the new industry classification of  Helsinki Exchanges, Fiskars shares were 
transferred to the Consumer Goods and Services category as from July 1, 
2005.

ADAPTION OF IFRS REPORTING
Since January 1, 2005 Fiskars applies the International Financial Reporting 
Standards (IFRS), approved by EU, to the preparation of its consolidated 
financial statements. Also the comparison data for 2004 have been adjusted in 
accordance with the new accounting standard. The financial statements of the 
parent company Fiskars Corporation  will also henceforth be prepared in 
accordance with the relevant Finnish regulations.

OUTLOOK
Fiskars will implement an extensive restructuring program in its US 
operations in 2006, in this connection some products will be manufactured by 
sub-suppliers and the production capacity will be adjusted to meet the 
demand.
The market situation remains tight, and more resources than previous year will 
be dedicated to sales and marketing in all core areas. The sale of sourced 
products will increase above all in the US market.
For the first part of the current year the profitability of the Corporation's 
wholly owned industrial operations is expected to follow the level of the 
previous corresponding period.
The impact of the structural measures is expected to take effect gradually in 
the latter part of the year, however, mainly during 2007. 
As in previous years, the consolidated result from associated company 
Wärtsilä constitutes an important part of Fiskars Corporation's result.

Heikki Allonen
President and CEO




CONSOLIDATED                       10-12  10-12    chg   1-12   1-12    chg
INCOME STATEMENT                    2005   2004      %   2005   2004      %
                                    MEUR   MEUR          MEUR   MEUR

NET SALES                          127.0  126.6      0  551.1  565.6     -3

Cost of goods sold                 -91.6  -88.6      3 -397.0 -388.1      2
GROSS PROFIT                        35.3   38.0     -7  154.1  177.5    -13

Other income                         0.3    1.9    -86    2.3    3.6    -35
Sales and marketing expenses       -16.7  -15.7      7  -68.9  -63.5      9
Administration expenses            -11.0  -13.4    -18  -46.5  -58.0    -20
Research and development costs      -1.5   -1.1     41   -5.6   -4.8     16
Other expenses                      -6.8   -1.8         -37.4   -2.7
OPERATING PROFIT                    -0.5    7.9          -2.0   52.1

Income from Associates              11.7   12.9     -9   28.6   26.7      7
Gain on sale of Wärtsilä shares                          49.8
Financial income and expenses       -2.3   -0.9          -7.1   -3.8
PROFIT BEFORE TAXES                  8.9   19.9    -55   69.4   75.0     -8

Taxes                                0.5   -1.5          -7.3  -15.2
PROFIT FROM CONTINUING OPERATIONS    9.4   18.4    -49   62.1   59.8      4

Profit from discontinued operations        -0.5                 -5.3
PROFIT (LOSS) FOR THE PERIOD         9.4   18.0    -48   62.1   54.6     14

Earnings per share, euro            0.12   0.23          0.80   0.71
   continuing operations            0.12   0.24          0.80   0.77
   discontinued operations                -0.01                -0.07

Earnings per share is undiluted. The company has no open otion programs.


CURRENCY RATES                                           1-12   1-12    chg
                                                         2005   2004      %

USD average rate (I/S)                                   1.24   1.24      0
USD end-of-period (B/S)                                  1.18   1.36    -13


CONSOLIDATED BALANCE SHEET         12/05  12/04    chg
                                    MEUR   MEUR      %
ASSETS

Tangible assets                    120.3  133.1    -10
Intangible assets                   26.3   34.7    -24
Biological assets                   29.9   30.4     -2
Investments in associates          231.9  219.1      6
Other investments                    6.0    5.0     21
Avoir fiscal tax receivable          9.0   10.8    -16
Deferred tax assets                 35.0   36.6     -4
LONG-TERM TOTAL                    458.5  469.7     -2

Inventories                        129.3  109.7     18
Financial assets                   115.0  112.3      2
CURRENT TOTAL                      244.2  222.0     10

ASSETS TOTAL                       702.7  691.7      2

EQUITY AND LIABILITIES

Equity                             402.7  335.8     20

L/t interest bear.debt             124.5  144.3    -14
L/t non-interest bear.debt          21.0   19.7      7
Deferred tax liabilities            17.6   20.4    -14
LONG-TERM LIABILITY TOTAL          163.1  184.4    -12

S/t interest bear.debt              37.2   77.4    -52
S/t non-interest bear.debt          99.7   94.1      6
CURRENT LIABILITY TOTAL            136.9  171.5    -20

EQUITY AND LIABILITIES TOTAL       702.7  691.7      2


KEYFIGURES                         12/05  12/04    chg
                                                     %
Equity/share, euro                  5.20   4.34     20
Equity ratio                         57%    49%
Net gearing                          35%    61%
Equity, meur                       402.7  335.8     20
Net interest bear.debt, meur       140.0  206.1    -32
Average number of employees         3476   3567     -3


CONSOLIDATED STATEMENT                     1-12   1-12
OF CASH FLOW                               2005   2004
                                           MEUR   MEUR
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before taxes                        69.4   75.0
Adjustments for
  Depreciation                             58.7   25.1
  Income from associate                   -28.6  -26.7
  Investment income (net)                 -52.3   -6.3
  Interest expense (net)                    9.5   10.0
  Chg in value of biological assets         0.5   -2.0
Dividends from assoc.comp.                 17.1   21.3
Dividends received, other                   0.1    0.9
Financial costs paid (net)                 -8.3   -9.7
Taxes paid                                 -6.7   -2.3
Change in interest free assets              8.1   -2.6
Change in inventories                      -7.8   -3.5
Change in interest free liability           3.0    8.8
NET CASH FROM OPERATING ACTIVITIES(A)      62.7   88.1

CASH FLOWS FROM INVESTING ACTIVITIES
Acquisitions                              -11.9
Transact. in assoc. comp. shares           74.4  -22.2
Capital expenditure                       -19.0  -19.8
Proceeds from sale of fixed asset           2.9    2.7
Sale of other l/t investments               1.7   25.4
Purchase of other l/t investments          -0.2   -1.2
Cash flow from discontinued operations             8.4
NET CASH USED IN INVESTING ACTIVITIES(B)   47.9   -6.7

CASH FLOWS FROM FINANCING ACTIVITIES
Purchase of own shares                            -0.3
New long term loans                               45.3
Amortization of l/t loans                 -32.8  -51.6
Changes in short term loans               -39.8    3.2
Financial leases, payments                 -3.7   -2.8
Other financing items                      -3.1   -1.2
Dividends paid                            -22.8  -71.8
NET CASH FLOW FROM FINANC. ACTIVITIES(C) -102.3  -79.2

Translation difference (D)                 -2.3   -3.4
CHANGE IN CASH (A+B+C+D)                    6.1   -1.2

Cash at beginning of period                15.6   16.8
Cash at end of period                      21.7   15.6


STATEMENT OF CHANGES IN                   Share         Other
CONSOLIDATED EQUITY ATTRIBUTABLE   Sharepremium    Own reser-Transl.Retain.
TO EQUITY HOLDERS OF THE PARENT  capitalaccount shares    vesadjustm  earn.  Total
                                    MEUR   MEUR   MEUR   MEUR   MEUR   MEUR   MEUR
Jan.01,2004 IFRS                    55.4   21.3   -0.6    0.0    0.0  278.6  354.6
Translation differences                                         -1.4          -1.4
NET INCOME RECOGNISED DIRECTLY
IN EQUITY                                                       -1.4          -1.4
Net profit for the period                                              54.6   54.6
TOTAL RECOGNISED INCOME AND
EXPENSE FOR THE PERIOD                                          -1.4   54.6   53.2
Bonus issue                         22.1  -21.3                        -0.9    0.0
Acquisition and sale of own shares                -0.3                        -0.3
Dividend distribution                                                 -71.8  -71.8
Dec.31,2004 IFRS                    77.5    0.0   -0.9    0.0   -1.4  260.5  335.8
Adoption of IAS 39
   Fiskars Corporation                                   -0.4           0.4    0.1
   Associated company Wärtsilä                           37.8                 37.8
Jan.01,2005                         77.5    0.0   -0.9   37.5   -1.4  261.0  373.7
Translation differences                                          1.4           1.4
Change in fair value reserve                              0.4                  0.4
Chg in investment in associates*                         -6.9                 -6.9
Other changes in assoc. company                          -6.3    1.2   -0.1   -5.2
NET INCOME RECOGNISED DIRECTLY
IN EQUITY                                               -12.8    2.5   -0.1  -10.3
Net profit for the period                                              62.1   62.1
TOTAL RECOGNISED INCOME AND
EXPENSE FOR THE PERIOD                                  -12.8    2.5   62.1   51.8
Dividend distribution                                                 -22.8  -22.8
Dec.31,2005 IFRS                    77.5    0.0   -0.9   24.7    1.2  300.3  402.7

Fiskars share of associated company Wärtsiläs fair value reserve and its changes
are specified in the other reserves above.
* Fair value reserve effect from the sale of shares in associate booked
in the income statement. The fair value reserve that was booked
in the Fiskars Group opening balance in 2005 has been
dissolved during the year as Fiskars does not apply hedge accounting.



SEGMENTINFORMATION                 10-12  10-12    chg   1-12   1-12    chg
NET SALES                           2005   2004      %   2005   2004      %
                                    MEUR   MEUR          MEUR   MEUR
Fiskars Brands                     119.4  118.1      1  513.3  528.0     -3
Inha Works                           7.3    6.4     14   32.4   29.2     11
Real Estate                          1.5    2.8    -48    8.9   11.0    -19
Eliminations                        -1.2   -0.7     60   -3.5   -2.6     33
CORPORATE TOTAL                    127.0  126.6      0  551.1  565.6     -3

Export from Finland                 12.4   14.6    -15   55.5   56.2     -1


SEGMENTINFORMATION                 10-12  10-12          1-12   1-12
RESULT                              2005   2004          2005   2004
                                    MEUR   MEUR          MEUR   MEUR
Fiskars Brands                       1.4    6.6          -1.6   48.5
Inha Works                           0.3    0.9           3.5    3.6
Real Estate                          0.0    1.8           2.0    5.2
Eliminations and other oper.        -2.3   -1.4          -5.8   -5.2
OPERATING PROFIT                    -0.5    7.9          -2.0   52.1
Associated company Wärtsilä         11.7   12.9          28.6   26.7
Gain on sale of Wärtsilä shares                          49.8
Financial cost net                  -2.3   -0.9          -7.1   -3.8
RESULT AFTER FINANCIAL ITEMS         8.9   19.9          69.4   75.0


SEGMENTINFORMATION                 10-12  10-12          1-12   1-12
DEPRECIATION AND AMORTIZATION       2005   2004          2005   2004
ACCORDING TO PLAN                   MEUR   MEUR          MEUR   MEUR

Fiskars Brands                       7.5    6.4          55.9   22.7
Inha Works                           0.3    0.2           1.0    0.8
Real Estate                          0.4    0.4           1.3    1.3
Eliminations and other oper.         0.3    0.2           0.5    0.4
CORPORATE TOTAL                      8.5    7.2          58.7   25.1


SEGMENTINFORMATION                 10-12  10-12          1-12   1-12
INVESTMENTS                         2005   2004          2005   2004
                                    MEUR   MEUR          MEUR   MEUR
Fiskars Brands                       4.9    4.3          24.1   15.8
Inha Works                           0.5    0.3           3.4    1.3
Real Estate                          1.2    0.6           2.9    2.2
Assoc.comp.Wärtsilä                 21.0                 30.2   22.2
Other                                0.0    0.1           0.4    0.6
CORPORATE TOTAL                     27.6    5.3          60.9   42.2

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.


CONTINGENCIES                      12/05  12/04
                                    MEUR   MEUR
FOR THE COMPANY'S OWN
COMMITMENTS
Real estate mortgages                         0
Pledged assets                                1
Bills of exchange                      0      0
Lease contingencies                   23     31
Other contingencies                    1      4
TOTAL CONTINGENCIES                   24     36

NOMINAL VALUES OF DERIVATIVE
INSTRUMENTS

Forward exch. contracts              145    114
Interest rate swaps                          22
FRA's                                 59     29
Currency options                       4

Nominal values also include closed contracts.


RECONCILIATION OF NET PROFIT                      1-12
                                                  2004
                                                  MEUR
NET PROFIT ACCORDING TO FAS                       44.9
Change in biological assets                        2.0
Revenue recognition                               -0.2
Inventory valuation                               -0.1
Employee benefits                                  3.1
Development costs                                  0.1
Goodwill amortization and impairment               2.5
Finance leases                                    -0.5
Deferred tax effect                               -2.8
Assoc. comp. Wärtsilä                              5.8
Other adjustments                                 -0.2
NET PROFIT ACCORDING TO IFRS                      54.6


RECONCILIATION OF EQUITY                   1.1. 31.12.
                                           2004   2004
                                           MEUR   MEUR
EQUITY ACCORDING TO FAS                   348.3  318.8
Biological assets                          28.7   30.4
Cancellation of revaluations               -9.8   -9.8
Re-valuation of real estate                 1.1    0.9
Revenue recognition                        -0.8   -0.8
Inventory valuation                        -2.6   -2.4
Employee benefits                          -9.7   -6.6
Development costs                           2.5    2.5
Goodwill amortization and impairment        0.0    3.5
Financial leasing                           0.0   -0.4
Deferred tax                               -2.9   -6.0
Assoc. company Wärtsilä                     0.0    5.3
Other adjustments                           0.0    0.3
TOTAL IFRS RESTATEMENT                      6.3   16.9
EQUITY ACCORDING TO IFRS                  354.6  335.8