Result of AGM

27 May 2011

POWERFLUTE OYJ

(the "Company")

RESULT OF ANNUAL GENERAL MEETING OF POWERFLUTE OYJ

The Annual General Meeting of Powerflute Oyj held on 27 May 2011 resolved all matters in accordance with the proposals of the Board of Directors and its committees as presented in the invitation to the Annual General Meeting published on 5 May 2011. 

The Annual General Meeting of Powerflute Oyj today approved the Company's annual accounts for the financial year ended 31 December 2010 as presented by the Board of Directors.

The Annual General Meeting resolved that a dividend of 1.00 cent per share will be paid for the financial year ended 31 December 2010. The record date of the dividend is 1 June 2011, and payment is to be made on or about 14 June 2011.

The proposals made by the Board of Directors on the repurchase of shares and the issue of new shares were passed thereby authorising the Directors to resolve on the repurchase of up to 8.6% of the Company's own shares as well as the issuance of new shares and the issuance of options and other special rights or entitlements to shares representing up to 20.7% of the shares of the Company currently in issue. It was resolved that these authorities shall remain effective until 30 June 2012, unless revoked earlier by a General Meeting of shareholders.

The current Board members Dermot F. Smurfit, Marco Casiraghi, Christopher Knight, Juha Niemelä, Ulrich Scheufelen, William Anthony Smith, Dermot S. Smurfit and David Walton were re-elected. Dermot F. Smurfit was re-elected as Chairman of the Board of Directors. The term of office of the Board members lasts until the end of the Annual General Meeting in 2012.

The Annual General Meeting resolved that the remuneration of the Board Members for the term ending at the close of the Annual General Meeting in 2012 be as follows: a fee of EUR 100,000 for the Chairman, a fee of EUR 50,000 for each of the non-executive members of the Board of Directors and an additional compensation of EUR 10,000 for the Chairmen of each of the Board's principal committees..

Ernst & Young Oy, an auditing entity authorised by the Central Chamber of Commerce of Finland, was re-elected to act as the auditor of the Company until the end of the Annual General Meeting in 2012.

Ends

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About Powerflute

PowerfluteOyj ("the Company" or "Powerflute") is an international paper and packaging groupquoted on the AIM market of the London Stock Exchange (Ticker: POWR) and on the First North list, the alternative market of the OMX Nordic Exchange Stockholm AB (Ticker POW1V).Through its subsidiary SavonSellu Oy, the Group operates a paper mill in Kuopio, Finland which produces a specialised form of semi-chemical fluting made from locally sourced birch. Corrugated boxes manufactured using Nordic semi-chemical fluting demonstrate strength and moisture resistance and are used for transportation of fruit and vegetables, high-value industrial goods such as electrical appliances and automotive components. The Kuopio mill has the capacity to produce up to 300,000 tonnes per annum and is one of three suppliers of Nordic semi-chemical fluting in Europe.