Metso's Board sets earnings criteria for the distribution of year 2003 B stock options


Metso Corporation's Board of Directors has decided on the maximum number of options and on the earnings criteria by which year 2003 B stock options can be distributed to key persons of Metso Corporation in the spring of 2005.
The Board has decided that the maximum number of year 2003 B stock options that can be distributed will be 2,500,000 options.
The main criteria for distributing stock options will be Metso Corporation's operating profit percentage, the return on capital employed (ROCE) and earnings per share.
Stock options can be distributed to the maximum amount, if the operating profit percentage for 2004 reaches at least 9 percent, the return on capital employed reaches at least 20 percent and earnings per share exceed EUR 1.45.
The minimum criteria for a partial distribution of stock options are an operating profit percentage for 2004 of at least 4 percent, a return on capital employed of at least 8 percent and earnings per share of at least EUR 0.40.
An additional criterion for the distribution of stock options is that the trade-weighted average price of the Metso share on the Helsinki Exchanges during the period January 1 - March 31, 2005 does not fall below EUR 10.11.
Metso's Board of Directors has reserved 100,000 year 2003 A stock options and 100,000 year 2003 C stock options for future needs. The Board has decided that it will not distribute the 2,400,000 year 2003 A and the 2,500,000 year 2003 C stock options transferred to Metso Capital Oy. In addition, the Board has decided to propose to the 2005 Annual General Meeting that the Meeting cancels the 2,400,000 year 2003 A and the 2,500,000 year 2003 C stock options transferred to Metso Capital Oy.
Metso Corporation is a global supplier of process industry machinery and systems, as well as know-how and aftermarket services. The Corporation's core businesses are fiber and paper technology (Metso Paper), rock and mineral processing (Metso Minerals) and automation and control technology (Metso Automation). In 2003, the net sales of Metso Corporation were EUR 4.3 billion. Metso has approximately 26,000 employees in 50 countries. Metso Corporation is listed on the Helsinki and New York Stock Exchanges.
 
It should be noted that certain statements herein which are not historical facts, including, without limitation, those regarding expectations for general economic development and the market situation, expectations for customer industry profitability and investment willingness, expectations for company growth, development and profitability and the realization of synergy benefits and cost savings, and statements preceded by "expects", "estimates", "forecasts" or similar expressions, are forward-looking statements. These statements are based on current decisions and plans and currently known factors. They involve risks and uncertainties which may cause the actual results to materially differ from the results currently expected by the company.
Such factors include, but are not limited to:
(1) general economic conditions, including fluctuations in exchange rates and interest levels which influence the operating environment and profitability of customers and thereby the orders received by the company and their margins
(2) the competitive situation, especially significant technological solutions developed by competitors
(3) the company's own operating conditions, such as the success of production, product development and project management and their continuous development and improvement
(4) the success of pending and future acquisitions and restructuring.