Stora Enso expects its operating result excluding non-recurring items for the first quarter of 2009 to be clearly down on the fourth.
In a stock exchange statement, the company said its downbeat prediction was due to customer destocking and underlying weakness in demand, especially for wood products and fine paper.
Stora Enso‘s operating profit was €28.4 in the fourth quarter of 2008.
The company said it remained committed to preserving cash flow through large production curtailments, stringent working capital management and other means, even though curtailments have a negative impact on earnings.
The Group has also decided to reduce the target capital expenditure for the full year 2009 from €500m to €400m.
