17 Jun 2005

Norske Skog, NorskeCanada dissolving U.S. marketing joint venture

Norske Skog and NorskeCanada, in which Norske Skog owns 29.4 per cent, have agreed to dissolve a joint venture arrangement that was formed in 2001 to market their specialty paper products in North America.

-The joint venture in North America was important in promoting Norske Skog's and NorskeCanada's complementary product lines during the integration period that followed our acquisition of Fletcher Challenge Paper in 2000, said Jan Oksum, chief excecutive officer of Norske Skog.

The companies reached a mutual decision that sales of their individual products can now best be managed by their own organizations and that the joint venture, Norske Skog North America (NSNA), will no longer be responsible for these sales effective 1 October 2005.
-Norske Skog will continue to have a significant presence in the publication paper market in North America through Norske Skog (USA) Inc. Norske Skog remains firmly committed to the strong and longstanding relationships with our customers in the region, said Jan Oksum.
Both companies will use the transition period between now and 1 October to realign their independent organisational structures to serve customers.

Jan Oksum said that Norske Skog will continue to provide support from its global operations in acting as an agent for NorskeCanada in South America. In Asia, NorskeCanada's paper products are sold through Panasia Paper Co. in which Norske Skog owns 50 per cent.

Norske Skog is one of the worlds leading suppliers of newsprint and magazine paper. The company is a true global supplier with operations and leading market positions on five continents.
Norske Skog
Corporate Communications
For further information:
Senior Vice President Corporate Communications
Hanne Aaberg
Phone: +47 67 59 90 29
Mob: +47 913 51 681
Vice President Investor Relations
Jarle Langfjæran
Phone: +47 67 59 93 38
Mob: +47 901 78 434