Holmen Ab Class A · OMXSTO:HOLM_A
Holmen Ab Class A — Shareholder Meeting (March 2009)
27 slides from Holmen Ab Class A's shareholder meeting presentation, Mar 24, 2009
Slide 1: Welcome to the 2009 Annual General Meeting
Welcome to the 2009 Annual General Meeting 1 /24/3/2009 1
Slide 2: Chairman's introduction and 2008 objectives
Mr Chairman, dear shareholders, ladies and gentlemen. As all of you have hopefully noticed, our Annual General Meeting in part bears the stamp of the anniversary we are celebrating this year. 400 years is an age that is worthy of respect. If we look around us in Sweden, there are not very many compa
Slide 3: Holmen Operating result
Holmen Operating result MSEK 3 000 2 000 1 412 1 000 0 2003 2004 2005 2006 2007 2008 ___________________ Excl. items affecting comparability of MSEK -361 in 2008 and +557 MSEK in 2007 3 /24/3/2009 Net profit for the year ended up at MSEK 642 after tax, which was down considerably on the previous yea
Slide 4: Profitability and dividend
Profitability and dividend % kr % 20 80 8 Ordinary dividend as % of equity 15 60 6 Return on capital employed 10 40 4 Extra dividend Required return 5 20 2 Dividend 0 0 0 03 04 05 06 07 08 03 04 05 06 07 08 4 /24/3/2009 The results for 2008 mean that for the first time in many years Holmen has faile
Slide 5: Newsprint Europe
Newsprint Europe Market growth, % 2006 2007 2008 Demand +3 0 -3 Imports -34 +61 -16 Source: Cepiprint 5 /24/3/2009 As a result of the recession, the demand for newsprint in Europe fell by 3 per cent in 2008. Unfortunately, this is probably not the only reason behind the decrease, which is also due t
Slide 6: Competition from other media for newspapers
6 /24/3/2009 Speaking for myself, I enjoy being able to read a newspaper because of its texture and the overview of news that it offers, and I believe this holds true for most of us. Unfortunately, there are other media which compete for our time and attention and for the advertising market. The sam
Slide 7: Holmen Paper
Holmen Paper Operating result MSEK 2 000 1 500 1 000 500 623 0 2003 2004 2005 2006 2007 2008 ___________________ Excl. items affecting comparability of MSEK -1 603 in 2007 7 /24/3/2009 Holmen Paper’s operating profit, excluding items affecting comparability (relating to closures and adjustments), wa
Slide 8: Holmen Paper: Improved product range
Holmen Paper Improved product range 8 /24/3/2009 The closure of a paper machine at the same time enabled the production of MF Magazine products to be moved to a larger and more modern machine. This has been the case at Hallsta, and a similar adjustment has taken place at our mill in Madrid, where mo
Slide 9: Holmen Paper: New pulp line at Braviken
Holmen Paper New pulp line at Braviken 9 /24/3/2009 The ambition to effect further cost reductions remains firm. In September a completely new pulp line entered service at the Braviken Paper Mill, which is helping to cut oil consumption and reduce the use of energy by 25 per cent. As a part of the s
Slide 10: Virgin fibre board Europe
Virgin fibre board Europe Market growth, % 2006 2007 2008 Western Europe +1 +1 -3 Eastern Europe +18 +20 0 Total +5 +5 -2 10 /24/3/2009 Source: CEPI I shall now move on to describe developments at our business unit Iggesund Paperboard. The demand for virgin fibre consumer board fell gradually in 200
Slide 11: Iggesund Paperboard
Iggesund Paperboard Operating result MSEK 1 250 1 000 750 500 599 250 0 2003 2004 2005 2006 2007 2008 11 /24/3/2009 Iggesund Paperboard’s profit fell to MESK 320, compared with MSEK 599 in 2007. Part of the explanation for this is lower production and fewer deliveries, although sharply increased cos
Slide 12: Iggesund Paperboard: Strong brands
Iggesund Paperboard Strong brands 12 /24/3/2009 Our paperboard products have a fundamentally strong position in the market. Both our brands – the solid bleached board Invercote and the folding boxboard Incada – come out top in market surveys in Europe. The strategy of continuing to develop these bra
Slide 13: Customer requirements and compostable Invercote
13 /24/3/2009 The business unit meets customers who have very high product requirements, among which the environmental aspect is currently growing in importance. In order to meet the demands of its customers and as part of our environmental thinking, Invercote can now be supplied coated with a biode
Slide 14: Iggesund Paperboard: Increased energy efficiency
Iggesund Paperboard Increased energy efficiency 14 /24/3/2009 At Iggesund Paperboard, too, an efficiency programme is under way. During the year a number of projects have focused on energy efficiency. Investments were made at Iggesunds Bruk during the year with the aim of further reducing dependence
Slide 15: Climate campaign with the forest industries
15 /24/3/2009 The signs are part of the climate campaign that Holmen is waging together with the industry through the Swedish Forest Industries Federation. It goes without saying that the person who put up the signs made his way on skis – it would hardly have been acceptable to do otherwise! The mes
Slide 16: Holmen Timber: A future in structural timber
Holmen Timber A future in structural timber 16 /24/3/2009 I personally have strong confidence in wood as a product of the future. Wood never goes out of date. It is a cost-effective building material and a natural, renewable product which is sustainable in the long term and also has a positive effec
Slide 17: Holmen Timber: Operating result
Holmen Timber Operating result MSEK 200 150 146 100 50 0 -50 2003 2004 2005 2006 2007 2008 17 /24/3/2009 Unfortunately, 2008 was not a good year for the wood industry or for Holmen. Less building activity and substantial price reductions brought a significant deterioration in profit for Holmen Timbe
Slide 18: Wood costs and raw material resources
18 /24/3/2009 Together with electricity, wood costs are our industry's largest expense item, and costs here continued to increase in 2008. Although the final increase in the Russian export duties never materialised, it had a considerable impact on the market and helped to move prices upwards to dist
Slide 19: Holmen Skog
Holmen Skog Operating result MSEK 800 600 702 400 200 0 2003 2004 2005 2006 2007 2008 19 /24/3/2009 Holmen Skog’s volume of harvesting in 2008 was at the same level as in the previous year, namely about 2.6 million cubic metres. The degree of self-sufficiency in wood is around 55 per cent. The opera
Slide 20: Energy supplies and the government energy agreement
20 /24/3/2009 Energy supplies turned out to be one of the hot topics of the autumn. From Holmen’s point of view, we welcome the Government’s energy agreement that emerged in the beginning of this year. It opens up the possibility of additional nuclear power, while including investments in renewable
Slide 21: Holmen Energi: Wind power and peat harvesting
Holmen Energi Wind power and peat harvesting 21 /24/3/2009 Our investment in wind power is envisaged to take place both at our own business unit, Holmen Energi, and in association with other companies in the VindIn consortium. This work lies a long way ahead. We currently have a number of masts set
Slide 22: Holmen Energi: Operating result
Holmen Energi Operating result MSEK 350 300 250 272 200 150 100 50 0 -50 2003 2004 2005 2006 2007 2008 22 /24/3/2009 At the present time Holmen Energi produces hydro power, with output during the year one per cent up on 2007. The operating profit improved from MSEK 272 in the previous year to MSEK 3
Slide 23: Employee survey
Employee survey 23 /24/3/2009 The creation of an atmosphere marked by commitment is, in our view, important if all the employees are to perform as well as possible. We have just finished carrying out an employee survey covering the whole of Holmen, the aim of which was to measure the degree to which
Slide 24: Forecast 2009
Forecast 2009 24 /24/3/2009 The start of 2009 has brought a substantial decline in deliveries in both the paperboard and the newsprint market. For the moment it is difficult to see what the actual change in consumption amounts to for the full year, since inventory cutbacks are almost certainly still
Slide 25: Activities in 2009
Activities in 2009 • A strong readiness to act in order to keep stocks down • Cost-saving measures for input goods and operations • New saw mill at Braviken 25 /24/3/2009 We are prepared to act in order to regulate production in line with the flow of orders so that stocks are kept down. Exerting con
Slide 26: Holmen's advantages
Holmens advantages • Strong position on the printing paper market • European top quality paperboard brands • Efficient producer of sawn timber, strengthend by an integrated bio combinate • Major operator on the Swedish wood market • Own assets in the form of energy and wood, the climate-neutral and
Slide 27: HOLMEN
27 1241312009 HOLMEN 27