Fortum Oyj

Share Issue/Capital Change • May 8, 2007

Disclosure 221074

Fortum - Company Announcement

SHARE ISSUE IN RUSSIAN TGC-1 - FORTUM PREPARED FOR PARTICIPATION

At its extraordinary shareholders meeting on April 28, 2007, Russian Territorial Generating Company 1 (TGC-1) decided on a share issue. TGC-1's Board of Directors has today confirmed the decision. The total maximum amount of new shares is 1,875,228,129,448. The share offering aims at increasing the share capital of TGC-1 by approximately 32.4 billion rubles (about 930 million euro). Fortum´s target is to maintain its current, slightly over 25% stake in the company. Fortum is thus preparing for acquisition of the corresponding amount of new shares. The planned use of the new capital is financing the company´s investment program to increase production capacity. TGC-1 in North-West Russia was founded in 2006 as part of the Russian power sector reform. The company operates in a large area, from St. Petersburg to the Kola Peninsula. The production capacity of TGC-1 is about 6,000 MW power and about 17,000 MW heat. With its slightly over 25% stake, Fortum is the second largest shareholder of the company. Fortum still owns about one third of the electricity distribution company Lenenergo in St. Petersburg. Fortum Corporation Carola Teir-Lehtinen SVP, Corporate Communications Further information: Kari Kautinen, Vice President, Fortum Corporation, tel . +358 50 453 2174 Distribution: Helsinki Stock Exchange Key media www.fortum.com