Pihlajalinna Oyj — Share Issue/Capital Change 2021

Feb 19, 2021

Payment of share rewards based on the share-based incentive programme as a directed share issue of own shares of the company without consideration

Payment of share rewards based on the share-based incentive programme as a directed share issue of own shares of the company without consideration

Pihlajalinna Plc                   Stock Exchange Release     19 February 2021
at 9.30 a.m.

Payment of share rewards based on the share-based incentive programme as a
directed share issue of own shares of the company without consideration

On 19 February 2021, the Board of Directors of Pihlajalinna Plc has confirmed
the maximum number of performance-based additional shares, 56,583 shares, earned
based on the earning period 2020 of the share-based incentive programme which
commenced in 2019 for the company's key personnel and resolved on the payment of
the share rewards earned based on said earning period. This amount means a gross
reward from which the applicable taxes will be withheld and the remaining net
amount will be paid to the participants primarily in shares and additionally in
cash. The recipients of the above share rewards comprise 20 key persons.

Pihlajalinna Plc announced the establishment of this share-based incentive
programme with a Stock Exchange Release published on 15 February 2019.

The share rewards are paid by transferring own shares held by the company
without consideration to the participants (directed share issue without
consideration). The share rewards are aimed to be paid by 15 March 2021.

The final number of shares to be transferred will be determined based on the
terms and conditions of the incentive programme by 15 March 2021. The Board of
Directors has resolved on this transfer of own shares based on the authorization
granted by the Annual General Meeting of Shareholders held on 15 April 2020. The
shares to be transferred are of the same class as the company's other shares.

There is an especially weighty financial reason for the company, also taking
into account the interests of all the company's shareholders, to deviate from
the shareholders' pre-emptive subscription right in the directed share issue
without consideration. The shares issued constitute share rewards within the
long-term share-based incentive programme of the company's Management and these
share rewards are, in accordance with the objectives of the incentive programme,
intended to align the interests of the Management with the interests of the
shareholders and to encourage the Management to work on a long-term basis with
the aim to increase the shareholder value.

Board of Directors of Pihlajalinna Plc

Lisätietoja:
Joni Aaltonen, toimitusjohtaja

Soittopyynnöt Pihlajalinnan viestinnän kautta:
viestintäpäällikkö Taina Lehtomäki, p. +358 50 451 3678 tai
taina.lehtomaki@pihlajalinna.fi

Jakelu:
Nasdaq Helsinki
Keskeiset tiedotusvälineet
investors.pihlajalinna.fi

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