Stock exchange release
September 2, 2004
FISKARS SELLS OUTDOOR RESIN FURNITURE OP
FISKARS SELLS OUTDOOR RESIN FURNITURE OPERATION Fiskars Corporations subsidiary Fiskars Brands, Inc. will focus on its branded core consumer products and divest its non-core garden furniture manufacturer in the United States. Syroco, the unit now divested, is a US based manufacturer and distributor of resin garden furniture and has been a part of Fiskars Brands since 1999. The company has a total workforce of about 300 in several locations across the United States and net sales of roughly EUR 33 million. The buyer is Vassallo Industries, a Puerto Rican manufacturer of similar products. Fiskars Corporation will book a slight loss in the third quarter as a result of the transaction. This will however be compensated by the fact that Syrocos performance for the last quarter would have been unprofitable due to the highly cyclical nature of the garden furniture business. The net impact of the transaction will therefore be neutral in terms of corporate profits for 2004 and will have a positive impact on performance expectations for 2005. The sale of Syroco will reduce the net sales of the corporation by some EUR 5 million for this year. The sale is consistent with Fiskars Brands strategy of focusing on value adding branded consumer products. Fiskars Brands net sales in 2003 totalled EUR 589 million, and its personnel totals 3,500, most of them working in the United States and Europe. Fiskars will publish its interim report for January September on November 10, 2004. Heikki Allonen President and CEO