Atria Oyj

Interim / Quarterly Report • Jul 26, 2012

INTERIM REPORT OF ATRIA PLC 1 January–30 June 2012

Atria Group's EBIT improved substantially

• EBIT for H1 grew to EUR 5.8 million (EUR -5.2 million)
• Net sales amounted to EUR 641.8 million (EUR 637.6 million)
• Atria Finland's EBIT increased to EUR 13.0 million (EUR 3.2 million)
• Atria Scandinavia's EBIT fell to EUR 1.9 million (EUR 5.0 million)
• Atria Russia's EBIT improved to EUR -5.3 million (EUR -11.1 million)
• The Group's equity ratio was 39.1 per cent (31 December 2011: 39.5%).
• The new strategy focuses on strengthening core business and improving productivity

	Q2	Q2	H1	H1
EUR million	2012	2011	2012	2011	2011
Net sales	333.3	333.6	641.8	637.6	1301.9
EBIT	5.7	-0.9	5.8	-5.2	8.0
EBIT, %	1.7	-0.3	0.9	-0.8	0.6
Profit before taxes	2.8	-4.4	-0.2	-10.9	-4.7
Earnings per share, EUR	0.05	-0.15	-0.14	-0.34	-0.24
Extraordinary items*	0.0	0.6	0.0	0.1	-2.2

*Extraordinary items are included in the reported figures.

Review Q2/2012

Atria Group's net sales for Q2/2012 totalled EUR 333.3 million (EUR 333.6 million), down by EUR -0.3 million compared to the corresponding period last year. EBIT improved by EUR 6.6 million year-on-year, amounting to EUR 5.7 million (EUR -0.9 million). The results for the comparative period include net EUR 0.6 million of non-recurring profit.

Atria Finland's Q2/2012 net sales totalled EUR 204.6 million (EUR 203.0 million), showing growth of EUR 1.6 million year-on-year. The EUR 7.8 million EBIT (EUR 2.6 million) was EUR 5.2 million higher than the EBIT for the corresponding period last year. This increase was due to an improved sales structure, implemented efficiency improvement measures and higher sales prices.

Atria Scandinavia's Q2/2012 net sales totalled EUR 95.0 million (EUR 95.8 million), representing a fall of EUR 0.8 million year-on-year. In the local currency, net sales decreased by 1.7 per cent year-on-year. Increase in the raw material costs weighed down EBIT to EUR 1.8 million (EUR 2.7 million), which was EUR 0.9 million lower than in the comparative period.

Atria Russia's Q2/2012 net sales amounted to EUR 31.3 million (EUR 32.5 million). In the local currency, net sales decreased by 3.5 per cent year-on-year. EBIT was EUR -2.0 million (EUR -5.6 million), showing an improvement of EUR 3.6 million over the comparative period. This increase was due to implemented efficiency improvement measures and the raising of sales prices.

Atria Baltic's Q2/2012 net sales amounted to EUR 9.1 million (EUR 9.1 million). EBIT was EUR -0.4 million (EUR 0.2 million), which is EUR 0.6 million weaker than in the same period last year. The results for the comparative period contain EUR 0.6 million of non-recurring profit.

Atria revamped its strategy during the review period. The new strategy focuses on strengthening core business and improving its profitability in all business areas. The aim is to improve Atria's position especially in cold cuts and other meat products in all business areas. This requires the revising of category management, improvement of productivity and strengthening of customer focus throughout the Group.

Olle Horm was appointed Executive Vice President of Atria Baltic and a member of Atria Group's Management Team. He will assume his position by 15 August 2012 and report to Juha Gröhn, CEO, Atria Plc. Atria Baltic's current Executive Vice President, Rauno Väisänen, will return to Atria Finland.

Review H1/2012

Atria Group's net sales for H1/2012 totalled EUR 641.8 million (EUR 637.6 million), showing growth of EUR 4.2 million compared to the corresponding period last year. EBIT improved by EUR 11.0 million year-on-year, amounting to EUR 5.8 million (EUR -5.2 million). The results for the comparative period include net EUR 0.1 million of non-recurring profit.

Atria Finland's H1/2012 net sales totalled EUR 393.0 million (EUR 389.3 million), up by EUR 3.7 million year-on-year. The EUR 13.0 million EBIT (EUR 3.2 million) was EUR 9.8 million higher than the EBIT for the corresponding period last year. This increase was due to an improved sales structure, implemented efficiency improvement measures and higher sales prices.

Atria Scandinavia's H1/2012 net sales totalled EUR 184.5 million (EUR 183.6 million), representing an increase of EUR 0.9 million year-on-year. In the local currency, net sales were at the same level as last year. Increase in the raw material costs weighed down EBIT to EUR 1.9 million (EUR 5.0 million), which is EUR 3.1 million lower than in the comparative period.

Atria Russia's H1/2012 net sales amounted to EUR 59.6 million (EUR 60.8 million). In the local currency, net sales decreased by 3.0 per cent year-on-year. EBIT was EUR -5.3 million (EUR -11.1 million), showing an improvement of EUR 5.8 million over the comparative period. This increase was due to implemented efficiency improvement measures, price increases and the streamlining of the product range.

Atria Baltic's H1/2012 net sales totalled EUR 17.0 million (EUR 17.3 million), representing a fall of EUR 0.3 million year-on-year. EBIT was EUR -0.9 million (EUR 0.0 million), which is EUR 0.9 million weaker than in the same period last year. The results for the comparative period contain EUR 0.9 million of non-recurring profit. The slow development was caused by the increase in raw material prices, which could not be fully transferred to sales prices.

Due to an increase in investments, the Group's free cash flow during the review period (operating cash flow – cash flow from investments) was EUR -9.6 million (EUR -8.7 million). Interest-bearing net liabilities came to EUR 419.8 million, showing an increase of EUR 17.0 million since the turn of the year.

During the review period, a programme was launched to improve the profitability of Atria Scandinavia's production of meat products. Atria is investing approximately EUR 4.7 million in new production equipment for the Malmö plant. The manufacture of ham products and the slicing of cold cuts will be transferred from the Halmstad plant to the Malmö plant. The Halmstad plant will be closed down after the production transfer. The programme is expected to generate annual cost savings of approximately EUR 1.5 million. The savings will begin to materialise in 2012 and will be fully effective from the beginning of 2013.

During the review period, Atria Russia launched a programme aimed at improving production efficiency at the Sinyavino and Gorelovo plants in St Petersburg. These measures are expected to generate annual cost savings of around EUR 2.0 million, which will be fully realised from the beginning of 2013. Meat products are now produced at the centralised Sinyavino and Gorelovo plants.

Atria Plc's Board of Directors decided to terminate the share incentive plan for Atria Group's key personnel and replace it with a new long-term reward programme. The share incentive plan will no longer be applied in 2012.

30.6.12	30.6.11	31.12.11
14.59	15.02	14.81
425.1	432.7	409.4
39.1	40.0	39.5
102.3	101.3	97.1
101.0	99.3	95.5
25.7	24.4	47.0
4.0	3.8	3.6
5,038	5,642	5,467

Atria Finland 1 January–30 June 2012

	Q2	Q2	H1	H1
EUR million	2012	2011	2012	2011	2011
Net sales	204.6	203.0	393.0	389.3	793.7
EBIT	7.8	2.6	13.0	3.2	19.3
EBIT, %	3.8	1.3	3.3	0.8	2.4
Extraordinary items*	0.0	0.0	0.0	0.0	-1.8

*Extraordinary items are included in the reported figures.

Atria Finland's Q2/2012 net sales totalled EUR 204.6 million (EUR 203.0 million), showing growth of EUR 1.6 million year-on-year. The EUR 7.8 million EBIT (EUR 2.6 million) was EUR 5.2 million higher than the EBIT for the corresponding period last year.

H1/2012 net sales increased by EUR 3.7 million to EUR 393.0 million (EUR 389.3 million). The EUR 13.0 million EBIT (EUR 3.2 million) for the period was EUR 9.8 million higher than the EBIT for the corresponding period last year.

The growth of net sales was slowed down by a decrease in pork slaughter volumes. The substantial increase in EBIT in the first half of the year was due to an improved sales structure, implemented efficiency improvement measures and higher sales prices.

All meat used as raw material for Atria products is domestically sourced. Taking into account all types of meat, prices were approximately 7 per cent higher than in the same period last year.

According to Atria's own estimate, its market share in the retail trade was approximately 25 per cent in H1/2012. The sale of products under the new Family Farm Chicken concept was particularly successful. During the spring, the Atria brand became the market leader in Finland in the poultry product group (source: AC Nielsen Panel Track, value, weeks 1–20).

The modernisation of the Kauhajoki bovine slaughterhouse and cutting plant and the Seinäjoki chicken hatchery are progressing as planned. The new slaughterhouse will be opened in early 2013, and the hatchery will be completed in spring 2013. Part of the hatchery's additional capacity will be operational in summer 2012.

The projects in the Atria's Handprint programme are progressing according to plan. In the spring 2013, after the new bovine slaughterhouse in Kauhajoki has become fully operational, consumers and customers will be able to trace valuable parts of cattle all the way to the farm. In the first phase, traceability will cover beef and organic meat products. Packaging will contain information on the name and location of the farm. Showing the origin of meat will substantially increase the transparency of Atria's beef chain.

Atria Scandinavia 1 January–30 June 2012

	Q2	Q2	H1	H1
EUR million	2012	2011	2012	2011	2011
Net sales	95.0	95.8	184.5	183.6	374.9
EBIT	1.8	2.7	1.9	5.0	13.8
EBIT, %	1.9	2.8	1.1	2.7	3.7
Extraordinary items*	0.0	0.0	0.0	0.0	0.7

*Extraordinary items are included in the reported figures.

Atria Scandinavia's Q2/2012 net sales totalled EUR 95.0 million (EUR 95.8 million), representing a fall of EUR 0.8 million year-on-year. In the local currency, net sales decreased by 1.7 per cent compared to the previous year. The EUR 1.8 million EBIT (EUR 2.7 million) was EUR 0.9 million lower than in the comparison period.

H1/2012 net sales increased by EUR 0.9 million to EUR 184.5 million (EUR 183.6 million). In the local currency, net sales were at the same level as last year. The EUR 1.9 million EBIT (EUR 5.0 million) for the period was EUR 3.1 million lower than in the comparison period.

The reason for the decrease in EBIT was the higher price of meat raw material. Atria has not been able to pass on all of the increased raw material costs to sales prices.

A upward trend has been seen in the sale of Atria's own brands, but the sale of products sold under private labels has fallen. The market share of cold cut products strengthened in both Sweden and Denmark (source: AC Nielsen). The sale of Food Service products has increased markedly.

In February, a programme was launched to improve the profitability of Atria Scandinavia's production of meat products. The programme is aimed at streamlining and automating the production process for ham products and the slicing of cold cuts. Atria is investing approximately EUR 4.7 million in new production equipment for the Malmö plant. The manufacture of ham products and the slicing of cold cuts will be transferred from the Halmstad plant to the Malmö plant. The Halmstad plant will be closed down after the production transfer. The programme is expected to generate annual cost savings of approximately EUR 1.5 million. The savings will begin to materialise in 2012 and will be fully effective from the beginning of 2013.

	Q2	Q2	H1	H1
EUR million	2012	2011	2012	2011	2011
Net sales	31.3	32.5	59.6	60.8	123.0
EBIT	-2.0	-5.6	-5.3	-11.1	-18.9
EBIT, %	-6.4	-17.1	-9.0	-18.3	-15.4
Extraordinary items*	0.0	0.0	0.0	0.0	0.0

*Extraordinary items are included in the reported figures.

Atria Russia's Q2/2012 net sales amounted to EUR 31.3 million (EUR 32.5 million). In the local currency, net sales decreased by 3.5 per cent year-on-year. EBIT was EUR -2.0 million (EUR -5.6 million), showing an improvement of EUR 3.6 million over the comparative period.

H1/2012 net sales decreased by EUR 1.2 million to EUR 59.6 million (EUR 60.8 million). H1/2012 EBIT was EUR -5.3 million (EUR -11.1 million), showing an improvement of EUR 5.8 million year-on-year.

This substantial increase was due to implemented efficiency improvement measures, price increases and the streamlining of the product range. The development of net sales was slowed down by the reduction of the product range and the decrease in sales volumes in Moscow.

Atria estimates that market shares have remained stable in St Petersburg, where Atria is the market leader in the product groups it represents. During the review period, a marketing programme was initiated in order to boost the sales of the revamped Campomos product range and new Campomos products.

Atria Russia launched a programme aimed at improving productivity at the Sinyavino and Gorelovo plants in St Petersburg. These measures are expected to generate annual cost savings of around EUR 2.0 million, which will be fully realised from the beginning of 2013. Meat products are now produced at the centralised Gorelovo and Sinyavino plants.

Atria Baltic 1 January–30 June 2012

	Q2	Q2	H1	H1
EUR million	2012	2011	2012	2011	2011
Net sales	9.1	9.1	17.0	17.3	35.2
EBIT	-0.4	0.2	-0.9	0.0	-2.2
EBIT, %	-4.3	2.5	-5.4	0.1	-6.1
Extraordinary items*	0.0	0.6	0.0	0.9	-0.3

*Extraordinary items are included in the reported figures.

Atria Baltic's Q2/2012 net sales amounted to EUR 9.1 million (EUR 9.1 million). EBIT was EUR -0.4 million (EUR 0.2 million), which is EUR 0.6 million weaker than in the same period last year. The results for the comparative period contain EUR 0.6 million of non-recurring profit.

H1/2012 net sales decreased by EUR 0.3 million to EUR 17.0 million (EUR 17.3 million). The H1/2012 EBIT was EUR -0.9 million (EUR 0.0 million). The results for the comparative period contain EUR 0.9 million of non-recurring profit.

The development of net sales was slowed down by lower sales of primary production. The sluggish development in EBIT was caused by the increase in raw material prices, which could not be fully transferred to sales prices.

Olle Horm was appointed Executive Vice President of Atria Baltic and a member of Atria Group's Management Team. He will assume his position by 15 August 2012 and report to Juha Gröhn, CEO, Atria Plc. Atria Baltic's current Executive Vice President, Rauno Väisänen, will return to Atria Finland.

Financing, cash flow, investments and equity ratio

On 30 June 2012, the amount of undrawn committed credit facilities stood at EUR 151.2 million (31 December 2011: EUR 152.5 million). The average maturity of loans and committed credit limits at the end of the review period was 2 years 10 months (31 December 2011: 3 years 1 month).

During the review period, the Group's free cash flow (operating cash flow – cash flow from investments) was EUR -9.6 million (EUR -8.7 million). Interest-bearing net liabilities came to EUR 419.8 million, showing an increase of EUR 17.0 million since the turn of the year. The Group's investments during the period totalled EUR 25.7 million (EUR 24.4 million). Equity ratio was 39.1 per cent (31 December 2011: 39.5%).

Personnel

The Group had an average of 5,038 employees (5,642) during the period under review. Personnel by business area

Atria Finland	2,047 (2,154)
Atria Scandinavia	1,151 (1,180)
Atria Russia	1,485 (1,896)
Atria Baltic	355 (412)

Short-term business risks

Uncertainty as to the predictability of raw material prices has increased. Otherwise, no significant changes have occurred in Atria Group's short-term business risks compared with the risks described in the financial statements for 2011.

Outlook for the future

The Group's EBIT was EUR 8.0 million in 2011. A considerably higher EBIT is anticipated for 2012. Some growth in net sales is expected for 2012.

Decisions of Atria Group Plc's Annual General Meeting on 3 May 2012

The AGM approved the financial statements and the consolidated financial statements for 2011 and discharged the members of the Supervisory Board and the Board of Directors as well as the CEO from liability for 2011.

The AGM approved a dividend of EUR 0.20 per share to be paid for 2011. Dividends were paid to shareholders who were entered on the record date for the payment of dividends in the company's shareholder register maintained by Euroclear Finland Oy. The record date was 8 May 2012 and the date of payment 15 May 2012.

PricewaterhouseCoopers Oy, a firm of Chartered Public Accountants, was elected as the company's auditor until the closing of the next AGM. According to the firm, the auditor with principal responsibility shall be Authorised Public Accountant Juha Wahlroos.

The AGM approved the Board of Directors' proposal on the donation of a maximum amount of EUR 100,000 to be made to the operation of universities or other educational institutions.

The AGM decided that the composition of the Supervisory Board shall be as follows:

Member	Term ends
Juho Anttikoski	2013
Mika Asunmaa	2013
Lassi-Antti Haarala	2015
Jussi Hantula	2015
Juhani Herrala	2013
Henrik Holm	2015
Veli Hyttinen	2014
Pasi Ingalsuo	2014
Juha Kiviniemi	2014
Teuvo Mutanen	2014
Mika Niku	2015
Heikki Panula	2013
Pekka Parikka	2014
Juha Partanen	2013
Ari Pirkola	2013
Jari Puutio	2015
Juho Tervonen	2015
Tomi Toivanen	2015
Timo Tuhkasaari	2014

A total of 19 members.

The AGM decided that the attendance fees of the members of the Supervisory Board will remain unchanged. The fees are EUR 250 per meeting, the compensation for loss of working time EUR 250 per meeting and proceeding day, the fee payable to the Chairman of the Supervisory Board EUR 3,000 per month and the fee payable to the Deputy Chairman EUR 1,500 per month.

At its constitutive meeting following the Annual General Meeting, Atria Plc's Supervisory Board re-elected Ari Pirkola as Chairman of the Supervisory Board and elected Juho Anttikoski as its new Vice Chairman.

Establishment of a Nomination Committee

The AGM approved the Board of Directors' proposal for the establishment of a Nomination Committee.

The Nomination Committee comprises the company's shareholders or shareholders' representatives. The committee prepares proposals concerning the election of Board members and the remuneration of Board members for the next Annual General Meeting.

Composition and remuneration of Atria Plc's Board of Directors

The Annual General Meeting agreed that the Board of Directors shall consist of seven members. Outgoing members Tuomo Heikkilä, Esa Kaarto and Harri Sivula were re-elected. Martti Selin, Chairman of the Board since 2005, announced that he is not available, Seppo Paavola was elected as a new member to replace him on the Board. Kjell-Göran Paxal was also elected as a new member to the Board. Timo Komulainen and Maisa Romanainen continue as existing members.

The AGM decided that the attendance fees of the members of the Board of Directors will remain unchanged. The fees are EUR 300 per meeting, the compensation for loss of working time EUR 300 per meeting and proceeding day, the fee payable to the Chairman of the Board of Directors EUR 4,400 per month, the fee payable to the Deputy Chairman EUR 2,200 per month and the fee of a member of the Board of Directors EUR 1,700 per month.

At its constitutive meeting following the Annual General Meeting, Atria Plc's Board of Directors elected Seppo Paavola as its new Chairman and Timo Komulainen as Deputy Chairman.

The Board of Directors elected Seppo Paavola as Chairman and Timo Komulainen and Maisa Romanainen as members of the Nomination Committee. The Board also elected Seppo Paavola as Chairman and Timo Komulainen and Harri Sivula as members of the Remuneration Committee.

Atria Plc's Board of Directors now has the following composition: Chairman of the Board: Seppo Paavola; Deputy Chairman: Timo Komulainen; members: Tuomo Heikkilä, Esa Kaarto, Kjell-Göran Paxal, Maisa Romanainen and Harri Sivula.

Amendment of the Articles of Association

The AGM approved the Board of Directors' proposals for amendments to the Articles of Association. Articles 7, 8 and 14 were amended to read as follows:

Article 7: Board of Directors

The company's administration and the due arrangement of its operations shall be attended to by the Board of Directors consisting of a minimum of five (5) and a maximum of seven (7) members, who are elected at the Annual General Meeting for a term of three years. Each year, one to three members of the Board retire

by rotation, so that the term of office of each member ends at the closing of the third Annual General Meeting following their election.

Members who are due to resign by rotation may be re-elected. However, no person aged sixty-five (65) or above can be elected to the Board of Directors.

Article 8: Supervisory Board

The company shall have a Supervisory Board consisting of a minimum of 18 and a maximum of 21 members, who are elected for terms of three years. In the first year, six members of the Supervisory Board, as decided on through the drawing of lots, shall resign; during the second year, six members shall resign; and in the third year, the remaining members shall resign; and after that, the same sequence shall be followed. Members who are due to resign may be re-elected.

A person aged sixty-five (65) or older cannot be elected to the Supervisory Board.

The Supervisory Board elects a chairman and vice chairman from amongst its members for terms of one year.

The Supervisory Board shall supervise the administration of the company by the Board of Directors and the CEO. In addition, it shall be the task of the Supervisory Board to

• submit its statement on the financial statements and auditors' report to the Annual General Meeting, and - issue instructions to the Board of Directors on matters that are of far-reaching consequence or important in principle.

Article 14: Annual General Meeting

The Annual General Meeting is held each year within six months of the end of the financial year on a day designated by the Board of Directors. The meeting shall include

the presentation of the following:

• financial statements and annual report,

• the auditors' report, and

• the Supervisory Board's statement on the financial statements and auditors' report;

decisions regarding:

• approval of the income statement and balance sheet,

• actions to be taken as a result of the profit or loss shown on the approved balance sheet,

• granting of discharge from liability to the members of the Board of Directors and to the Supervisory Board and the CEO,

• the number of members of the Board of Directors and remuneration for said members,

• the number of members of the Supervisory Board and remuneration for said members, and
• the number of auditors and deputy auditors;

the election of:

• members of the Board of Directors to replace those due to resign,
• members of the Supervisory Board to replace those due to resign, and
• auditors and deputy auditors; as well as

discussion on:

• other matters stated in the notice of the meeting.

Valid authorisations and authorisation to grant special rights and purchase of treasury shares

The Annual General Meeting authorised the Board of Directors to decide, on one or several occasions, on the acquisition of a maximum of 2,800,000 of the company's own Series A shares with funds belonging to

the company's unrestricted equity, subject to the provisions of the Limited Liability Companies Act regarding the maximum number of treasury shares to be held by a company. The company's own Series A shares may be acquired for use as consideration in any acquisitions or other arrangements relating to the company's business, to finance investments, as part of the company's incentive scheme, to develop the company's capital structure, to be otherwise further transferred, to be retained by the company or to be cancelled.

The shares shall be acquired in a proportion other than that of the shareholders' current shareholdings in the company in public trading arranged by NASDAQ OMX Helsinki Ltd at the trading market price at the moment of acquisition. The shares shall be acquired and paid for in accordance with the rules of NASDAQ OMX Helsinki Ltd and Euroclear Finland Oy. The Board of Directors is authorised to decide on the acquisition of treasury shares in all other respects.

The authorisation shall supersede the authorisation granted by the Annual General Meeting on 29 April 2011 to the Board of Directors to decide on the acquisition of the company's own shares and be valid until the closing of the next Annual General Meeting or until 30 June 2013, whichever is first.

The Annual General Meeting authorised the Board of Directors to decide, on one or several occasions, on an issue of a maximum of 12,800,000 new A shares or on an issue of any A shares held by the company through a share issue and/or by granting option rights or other special rights entitling holders to shares as referred to in Chapter 10, section 1 of the Limited Liability Companies Act. The authorisation is intended to be used for the financing or execution of any acquisitions or other arrangements or investments relating to the company's business, for the implementation of the company's incentive programme or for other purposes subject to a decision by the Board.

The Board is also authorised to decide on all terms and conditions of the share issue and of the granting of special rights as referred to in Chapter 10, Section 1 of the Companies Act. The authorisation thus includes the right to also issue shares in deviation from the proportion of the shares held by the shareholders under the conditions provided by law, the right to issue shares against or without payment and the right to decide on a share issue to the company itself without payment – subject to the provisions of the Companies Act regarding the maximum number of treasury shares to be held by a company.

The authorisation shall supersede the share issue authorisation granted by the Annual General Meeting on 29 April 2011 to the Board of Directors, and be valid until the closing of the next Annual General Meeting or until 30 June 2013, whichever is first.

Accounting principles

This interim report has been prepared in accordance with the IAS 34 Interim Financial Reporting standard. Atria has applied the same principles in preparing this interim report as in preparing the 2011 annual financial statements. However, since 1 January 2012, the Group has adopted new or revised standards and IFRIC interpretations published by the IASB, included in the accounting principles of the annual financial statements of 2011. These new or revised standards or interpretations did not have any impact on the figures presented for the review period.

The principles and formulae for the calculation of key indicators have not changed, and they are presented in the 2011 annual financial statements. The figures given in the interim report are presented in units of 1,000,000 euros, so the combined total of individual figures may differ from the total sum presented. The figures given in the interim report are unaudited.

ATRIA GROUP

CONSOLIDATED INCOME STATEMENT
EUR million	4-6/12	4-6/11	1-6/12	1-6/11	1-12/11
Net sales	333.3	333.6	641.8	637.6	1,301.9
Cost of goods sold	-290.4	-298.0	-565.7	-573.8	-1,162.7
Gross profit	42.9	35.6	76.1	63.8	139.2
Sales and marketing costs	-25.4	-25.0	-47.7	-46.4	-90.5
Administration costs	-11.5	-12.2	-22.4	-24.1	-42.4
Other operating income	0.6	2.2	1.2	3.6	8.4
Other operating expenses	-1.0	-1.5	-1.4	-2.1	-6.8
EBIT	5.7	-0.9	5.8	-5.2	8.0
Finance income and costs	-3.8	-3.6	-7.3	-6.5	-14.1
Income from joint-ventures and associates	0.9	0.1	1.3	0.7	1.4
Profit before tax	2.8	-4.4	-0.2	-10.9	-4.7
Income taxes	-1.5	0.1	-3.8	1.2	-1.9
Profit for the period	1.3	-4.3	-4.0	-9.8	-6.6
Profit attributable to:
Owners of the parent	1.3	-4.1	-4.0	-9.7	-6.7
Non-controlling interests	0.0	-0.2	0.0	-0.1	0.0
Total	1.3	-4.3	-4.0	-9.8	-6.6
Basic earnings/share, EUR	0.05	-0.15	-0.14	-0.34	-0.24
Diluted earnings/share, EUR	0.05	-0.15	-0.14	-0.34	-0.24

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

EUR million	4-6/12	4-6/11	1-6/12	1-6/11	1-12/11
Profit for the period	1.3	-4.3	-4.0	-9.8	-6.6
Other comprehensive income after tax:
Available-for-sale financial assets	0.0	0.0	0.0	0.0	0.0
Cash flow hedging	-0.7	-1.5	-0.2	-1.3	-6.2
Actuarial loss on post employment
benefit obligations	0.0	0.0	0.0	0.0	-1.6
Translation differences	-4.7	-2.0	3.6	-0.6	-2.9
Total comprehensive income for the period	-4.2	-7.8	-0.6	-11.7	-17.3
Total comprehensive income attributable to:
Owners of the parent	-4.2	-7.7	-0.6	-11.6	-17.3
Non-controlling interests	0.0	-0.1	0.0	-0.1	0.1
Total	-4.2	-7.8	-0.6	-11.7	-17.3

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

Assets
EUR million	30.6.12	30.6.11	31.12.11
Non-current assets
Property, plant and equipment	466.5	468.3	464.4
Biological assets	1.4	1.3	1.4
Goodwill	164.9	159.7	163.1
Other intangible assets	74.3	73.3	74.4
Investments in joint ventures and associates	14.6	12.2	13.9
Other financial assets	1.6	1.6	1.6
Loans and other receivables	17.0	17.7	19.9
Deferred tax assets	15.3	13.8	15.9
Total	755.6	747.9	754.6
Current assets
Inventories	100.6	104.8	108.2
Biological assets	5.8	5.9	5.3
Trade and other receivables	190.7	193.6	188.4
Cash and cash equivalents	5.2	8.3	6.6
Total	302.5	312.7	308.5
Non-current assets held for sale	4.4	9.2	4.4
Total assets	1,062.4	1,069.8	1,067.5
Equity and liabilities
EUR million	30.6.12	30.6.11	31.12.11
Equity belonging to the shareholders
of the parent company	412.5	424.6	418.8
Non-controlling interest	3.0	2.7	2.9
Total equity	415.5	427.3	421.7
Non-current liabilities
Interest-bearing financial liabilities	317.6	312.0	297.1
Deferred tax liabilities	47.2	48.3	48.0
Pension liabilities	7.5	0.0	7.3
Other non-interest-bearing liabilities	5.6	0.5	4.2
Provisions	0.0	0.7	0.0
Total	377.9	361.4	356.5
Current liabilities
Interest-bearing financial liabilities	107.5	120.7	112.2
Trade and other payables	161.7	160.4	177.0
Total	269.1	281.1	289.3
Total liabilities	647.0	642.5	645.8
Total equity and liabilities	1,062.4	1,069.8	1,067.5

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

EUR million		Equity belonging to the shareholders of parent company						Non- cont	Total equity
	Share ca pit al	Share pre mium	Own sha res	Other reser ves	Inv. non- rest. equity fund	Trans lation diff.	Retain ed earn ings	Total	roll ing inte rests
Equity 1.1.11	48.1	138.5	-1.3	1.8	110.6	-14.4	159.9	443.2	2.9	446.1
Comprehensive income for the period Profit for the period Other comprehensive income							-9.7	-9.7	-0.1	-9.8
Available-for-sale financial assets Cash flow hedging Translation differences Transactions				0.0 -1.3		-0.6		0.0 -1.3 -0.6		0.0 -1.3 -0.6
with owners Distribution of dividends							-7.0	-7.0		-7.0
Equity 30.6.11	48.1	138.5	-1.3	0.6	110.6	-15.0	143.2	424.6	2.7	427.3
Equity 1.1.12	48.1	138.5	-1.3	-4.4	110.6	-17.2	144.5	418.8	2.9	421.7
Comprehensive income for the period Profit for the period Other comprehensive income Available-for-sale							-4.0	-4.0	0.0	-4.0
financial assets Cash flow hedging Actuarial loss Translation differences Transactions with owners				0.0 -0.2		3.6		0.0 -0.2 0.0 3.6	0.0	0.0 -0.2 0.0 3.6
Distribution of dividends							-5.6	-5.6		-5.6
Equity 30.6.12	48.1	138.5	-1.3	-4.6	110.6	-13.6	134.8	412.5	3.0	415.5

EUR million	1-6/12	1-6/11	1-12/11
Cash flow from operating activities
Operating activities	17.3	14.7	61.0
Financial items and taxes	-4.6	-5.9	-10.7
Net cash flow from operating activities	12.7	8.8	50.3
Cash flow from investing activities
Tangible and intangible assets	-24.6	-13.7	-34.2
Disposal of subsidiary	0.0	2.0	2.0
Acquisition of subsidiary	0.0	-6.1	-6.1
Investments	2.3	0.3	-2.5
Net cash used in investing activities	-22.3	-17.5	-40.8
Cash flow from financing activities
Proceeds from non-current borrowings	30.0	50.0	50.0
Repayments of non-current loans and
changes in current loans	-16.3	-44.3	-64.2
Dividends paid	-5.6	-7.0	-7.0
Net cash used in financing activities	8.1	-1.4	-21.2
Change in liquid funds	-1.5	-10.1	-11.7

16 (17)

OPERATING SEGMENTS

EUR million	4-6/12	4-6/11	1-6/12	1-6/11	1-12/11
Net sales
Finland	204.6	203.0	393.0	389.3	793.7
Scandinavia	95.0	95.8	184.5	183.6	374.9
Russia	31.3	32.5	59.6	60.8	123.0
Baltic	9.1	9.1	17.0	17.3	35.2
Eliminations	-6.7	-6.8	-12.3	-13.3	-24.9
Total	333.3	333.6	641.8	637.6	1,301.9
EBIT
Finland	7.8	2.6	13.0	3.2	19.3
Scandinavia	1.8	2.7	1.9	5.0	13.8
Russia	-2.0	-5.6	-5.3	-11.1	-18.9
Baltic	-0.4	0.2	-0.9	0.0	-2.2
Unallocated	-1.5	-0.9	-2.9	-2.2	-4.1
Total	5.7	-0.9	5.8	-5.2	8.0
Investments
Finland	11.3	14.3	19.3	17.1	28.7
Scandinavia	1.8	2.5	3.1	4.0	10.5
Russia	1.6	1.6	3.0	2.9	6.9
Baltic	0.0	0.3	0.2	0.4	1.0
Total	14.7	18.7	25.7	24.4	47.0
Depreciations
Finland	6.6	6.5	13.2	13.0	25.6
Scandinavia	3.0	2.9	5.9	5.8	11.4
Russia	2.5	2.6	5.1	5.1	10.1
Baltic	0.7	0.7	1.4	1.4	2.8
Total	12.8	12.7	25.6	25.3	50.0

CONTINGENT LIABILITIES

EUR million	30.6.12	30.6.11	31.12.11
Debts with mortgages or other collateral given as security
Loans from financial institutions	2.8	4.9	3.3
Pension fund loans	5.5	4.9	7.3
Total	8.3	9.8	10.6
Mortgages and other securities given as
comprehensive security
Real estate mortgages	4.0	4.7	4.5
Corporate mortgages	1.4	4.0	1.3
Total	5.4	8.7	5.8
Guarantee engagements not included
in the balance sheet
Guarantees	0.5	0.8	0.5

ATRIA PLC Board of Directors

For more information, please contact Juha Gröhn, CEO. Atria Plc, tel. +358 400 684 224.

DISTRIBUTION

Nasdaq OMX Helsinki Ltd Major media www.atriagroup.com

The Interim Report Release is available on our Web site www.atriagroup.com or will be mailed to you upon request.