Honkarakenne Oyj

Legal Proceedings Report • Aug 22, 2017

Disclosure 354503

Honkarakenne Oyj - Inside information

HONKARAKENNE TO START COOPERATION WITH DAY CARE CENTRE OPERATOR IPANALA

HONKARAKENNE OYJ Stock Exchange Release 22 August 2017 at 7:00 a.m.

HONKARAKENNE TO START COOPERATION WITH DAY CARE CENTRE OPERATOR IPANALA

Honkarakenne Oyj will start cooperation with day care centre operator Ipanala Oy with the design-and-build contract for a log-built day care centre in Lahti. The contract is worth approximately EUR 2.6 million, including VAT, and funding and construction contracting is provided by Suomen Hoivatilat Oyj. The contract will be recorded in the net sales of Honkarakenne in 2017 and 2018.

Honkarakenne and Ipanala aim to launch the construction of five log-built day care centres by autumn 2018.

The gross floor area of the log-built day care centre to be constructed in Laune, Lahti is approximately 900 square metres. The construction will begin by the end of summer 2017, and operations are scheduled to begin in Ipanala’s premises in autumn 2018. The new day care centre to be built in Lahti will be Ipanala’s first log-built day care centre. The company responsible for the architectural design of the building is HIMLA architects. Ipanala chose log as the construction material, because the company aims to meet its high quality standards better in the future.

The President and CEO of Honkarakenne, Mr. Marko Saarelainen, comments the contract as follows: “With customer satisfaction and clean indoor air as our goals, we have taken firm steps to improve the quality of our operations. We at Honkarakenne believe that good indoor air quality affects well-being and, particularly with children, the effects of indoor air quality can be very far-reaching.”

The Managing Director of Ipanala Oy, Mr. Ville Tommola, comments the contract as follows: “Honkarakenne will support our operations with their expertise, enabling us to ensure that our day care premises are of the highest possible quality. The content of our operations has been certified, and therefore it is only natural for us to acquire our future premises from a reliable and certified operator. By using log, our goal is to ensure the best possible indoor air quality in all our new day care centres. In addition to its other expertise, Honkarakenne is a pioneer in indoor air quality issues.”

HONKARAKENNE OYJ

Marko Saarelainen

President and CEO

MORE INFORMATION

Honkarakenne Oyj:

Marko Saarelainen, President and CEO, tel. +358 (0)40 542 0254, marko.saarelainen@honka.com

Tanja Rytkönen, Vice President, Design, tel. +358 (0)40 573 7006, tanja.rytkonen@honka.com

Ipanala Oy:

Ville Tommola, Managing Director, tel. +358 (0)44 564 6787, ville.tommola@ipanala.fi

DISTRIBUTION

NASDAQ OMX Helsinki Oy

Key media

Financial Supervisory Authority

www.honka.com

Under its Honka® brand, Honkarakenne manufactures high-quality, healthy and ecological detached houses, holiday homes and public buildings using Finnish solid wood. The company has delivered close to 85,000 buildings to more than 50 countries. House packages are made at the company’s own factory in Karstula, Finland. In 2016, the Honkarakenne Group had net sales of MEUR 36.1, of which exports accounted for 49%. www.honka.com