Presentation material from Stora Enso's Q2 2017 interim report.

1. Financial results for
Q2 2017
CEO Karl-Henrik Sundström
CFO Seppo Parvi
26 July 2017

2. Disclaimer
It should be noted that Stora Enso and its business are exposed to various risks and uncertainties and certain
statements herein which are not historical facts, including, without limitation those regarding expectations for market
growth and developments; expectations for growth and profitability; and statements preceded by “believes”, “expects”,
“anticipates”, “foresees”, or similar expressions, are forward-looking statements. Since these statements are based on
current plans, estimates and projections, they involve risks and uncertainties which may cause actual results to
materially differ from those expressed in such forward-looking statements. Such factors include, but are not limited to: (1)
operating factors such as continued success of manufacturing activities and the achievement of efficiencies therein,
continued success of product development, acceptance of new products or services by the group’s targeted customers,
success of the existing and future collaboration arrangements, changes in business strategy or development plans or
targets, changes in the degree of protection created by the group’s patents and other intellectual property rights, the
availability of capital on acceptable terms; (2) industry conditions, such as strength of product demand, intensity of
competition, prevailing and future global market prices for the group’s products and the pricing pressures thereto, price
fluctuations in raw materials, financial condition of the customers and the competitors of the group, the potential
introduction of competing products and technologies by competitors; and (3) general economic conditions, such as rates
of economic growth in the group’s principal geographic markets or fluctuations in exchange and interest rates. All
statements are based on management’s best assumptions and beliefs in light of the information currently available to it
and Stora Enso assumes no obligation to publicly update or revise any forward-looking statement except to the extent
legally required.
26 July 20172
Stora Enso Q2 2017 results

3. • Sales 2 528 MEUR, increased marginally despite
divestment of paper mills
− Excl. Paper sales grew 7.1% due to strategic investments and
higher prices
• Operational EBIT 219 MEUR, EBIT margin 8.7% (8.9%)
• Solid cash flow from operations
• Operational ROCE 10.3% (10.3%), excluding Beihai
operations 12.4% (12.5%)
• Net debt to operational EBITDA strengthened further 2.0
(2.2), despite dividend payment
• 50 MEUR profit improvement programme proceeding
according to plan
26 July 2017
Stora Enso Q2 2017 results
3
Another quarter with progress
Positive contribution from transformation projects accelerates
Q2 2017 year-on-year

4. 4
Positive contribution from transformation
projects accelerates
Operational EBIT Q2 y-o-y
26 July 2017
Stora Enso Q2 2017 results

5. Transformation steps since 2016
26 July 2017
Stora Enso Q2 2017 results
5
Investments Divestment and closure
announcements
Beihai Mill start-up Arapoti Mill, Brazil
Varkaus LVL start-up IL Recycling AB, Sweden
Murów inauguration Hartola production unit, Finland
Varkaus kraftliner EBIT break-even Kabel Mill, Germany
Beihai PE coating line Ongoing Suzhou Mill, China
Skoghall Mill, chemical plant Ongoing Heinola corrugated planned closure
Skutskär Mill, environmental investment Ongoing
Packaging machine manufacturing
company Formeca, Finland
Imatra PE coating line and automated
roll warehouse
Ongoing
SC 100kt paper machine at
Kvarnsveden Mill closed
Skutskär pulp mill, fluff Ongoing
Plan to divest Re-board business,
Sweden
Lahti corrugated packaging investment Ongoing
Divestment of holding in Bulleh Shah
Packaging in Pakistan announced
Imatra, Ingerois and Fors MFC Ongoing
Heinola Fluting Mill capacity increase Ongoing
Hylte biocomposite granules Ongoing
Gruvön CLT production unit Ongoing
Tychy corrugated plant Ongoing

6. Beihai Board mill continues ramping up ahead
of plan
EBITDA break-even Q4 2017
26 July 2017
Stora Enso Q2 2017 results
6
kt
• Ramp-up ahead of plan
• The consumer board machine in
Beihai is expected to reach
operational EBITDA break even in
Q4/2017, one quarter earlier than
previously forecast
• Shipments of commercial liquid
packaging board to two additional
customers started, YTD three
customers
• Deliveries 90 000 (4 000) tonnes in
Q2 2017
• Full production expected in the first
half of 2018
EBITDA
break-even
in Q4/17

7. Transformation journey
Growth businesses 72% of sales and 95% of operational EBIT
Consumer Board
Packaging Solutions(1)
Wood Products
Biomaterials
Paper(2)
Other & eliminations
(1) In 2006 included in Consumer Board
(2) In 2006 includes merchants
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Stora Enso Q2 2017 results
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8. Balance sheet remains strong despite dividend
Summary financials Q2 2017
26 July 20178
EUR million Q2/17 Q2/16
Change% Change%
Q2/17 /
Q2/16 Q1/17
Q2/17 /
Q1/17
Sales 2 528 2 526 0.1% 2 497 1.2%
Operational EBITDA 341 355 -3.9% 352 -3.1%
Operational EBITDA margin 13.5% 14.1% 14.1%
Operational EBIT 219 226 -3.1% 215 1.9%
Operational EBIT margin 8.7% 8.9% 8.6%
Profit before tax excl. IAC 153 112 36.6% 191 -19.9%
EPS excl. IAC, EUR 0.19 0.12 0.17
EPS (basic), EUR 0.19 0.16 0.14
Operational ROCE 10.3% 10.3% 10.0%
Operational ROCE excl. Beihai
operations 12.4% 12.5% 12.9%
Cash Flow from Operations 365 493 178
Net debt/last 12 months’ operational
EBITDA 2.0 2.2 2.0
Stora Enso Q2 2017 results

9. Consumer Board – Sales increased driven by the
Beihai Mill ramp-up
Q2 y-o-y
26 July 20179
• Sales increased 5.2%
• Operational EBIT declined by 7 MEUR
− Higher logistic costs, provision related to cost improvement programme and
green certificate impairment
• Beihai development
− Board machine expected to reach operational EBITDA break even in Q4/2017,
one quarter earlier than previously forecast
− Operational EBIT -17 (-18) MEUR for Beihai operations*
− In Q3 operational EBIT expected to be approximately -17 (-42) MEUR for Beihai
operations
− Power turbine damage repair works ongoing and expected to be back in
operation in second half of 2017
− 4 MEUR reversal of provision based on the latest information on the repair
costs
• Operational ROOC 13.9% (14.8%)
− Excluding Beihai operations 34.3% (35.2%)
• Agreement signed to divest holding in Bulleh Shah Packaging Ltd. in Pakistan
− Transaction expected to be completed in Q3/2017
Stora Enso Q2 2017 results
*Beihai operations include Beihai Mill and forestry operations

10. Packaging Solutions – Varkaus Mill and
China Packaging driving profitable growth
Q2 y-o-y
26 July 201710
• Sales growth 21%
− Varkaus kraftliner mill, China Packaging and favourable price
development in Europe
• Operational EBIT all-time high at 40 MEUR
− Varkaus kraftliner mill, China Packaging and favourable price
development in Europe
• Varkaus kraftliner mill delivered first positive quarterly EBIT as
expected
• Operational ROOC 18.3% (7.7%)
• 10 MEUR investment to expand Tychy corrugated plant in
Poland
• Agreement signed to divest Re-board business in Sweden
Stora Enso Q2 2017 results

11. Biomaterials – Sales increased due to volumes
and higher prices
Q2 y-o-y
26 July 201711
• Sales increased 8.5%
− Higher prices, favourable FX and higher delivery volumes,
especially from the Latin American pulp mills
• Operational EBIT increased by 8.8%
− Positives: higher sales prices and delivery volumes
− Negatives: higher logistic costs, higher maintenance costs due
to altered sequencing of maintenance shutdowns, and higher
spending in R&D and innovation
• Start-up process at the bagasse-to-xylose demonstration
plant in Raceland, USA, proceeding as planned
− First batches of xylose expected to be delivered
towards end of 2017
Stora Enso Q2 2017 results

12. Wood Products – Profitable growth continues
Q2 y-o-y
26 July 201712
• Sales increased 1.6%
− Strategic investments in Varkaus LVL line and Murów sawmill
− Excluding the Baltic wood sourcing operations, transferred to
segment Other, sales up 3.5%
• Operational EBIT increased 6.1%
− Positives: higher delivery volume and better sales prices in local
currencies
− Negatives: increased wood costs
• Operational ROOC 25.5% clearly exceeded the strategic
target
• The ramp-up of LVL production at Varkaus Mill continues
− Full production is expected in mid-2018
• 45 MEUR investment announced to CLT production unit at
Gruvön sawmill, Sweden
Stora Enso Q2 2017 results

13. *Ongoing operations
Paper – Cash flow well above targeted level
Q2 y-o-y
26 July 201713
• Sales of ongoing operations decreased by 3.6%
• Sales was 719 MEUR
− Lower sales prices in Euro terms and lower pulp sales
− Divestment of Kabel, Arapoti and Suzhou mills sales -90 MEUR
• Operational EBITDA decreased 37 MEUR
− Negatives: extensive maintenance shutdown at Oulu pulp mill, lower
sales prices, divestments and closures as well as variable costs
− Positive: lower fixed costs
• 100 000 tonnes SC machine at Kvarnsveden Mill in Sweden
was closed in June
• Internal review how to compete under increasing cost
pressures and declining market demand completed
− A clearer and more efficient structure supporting improved
competitiveness
Stora Enso Q2 2017 results
Cash flow

14. Divisional targets Q2 16 Q2 17
Consumer Board Operational ROOC > 20% 14.8% 13.9%
Consumer Board excl. Beihai op. 35.2% 34.3%
Packaging Solutions Operational ROOC > 20% 7.7% 18.3%
Biomaterials Operational ROOC > 15% 8.9% 9.8%
Wood Products Operational ROOC > 18% 25.6% 25.5%
Paper Cash flow after investing activities to sales > 7% 5.8% 10.6%
Strategic targets ambitious, but reachable
Wood Products and Paper reached their targets
Group targets Q2 16 Q2 17
Dividend To distribute 50% of net income over the cycle
Growth* To grow faster than the relevant market 3.6% (YoY) 7.1% (YoY)
Net debt to operational EBITDA <3.0x 2.2 2.0
Fixed costs to sales <20% 25.4% 25.6%
Debt to equity <80% 58% 49%
Operational ROCE >13% 10.3% 10.3%
Operational ROCE excl. Beihai op. 12.5% 12.4%
*Excluding Paper
26 July 2017
Stora Enso Q2 2017 results
14

15. • Sales are estimated to be similar to the
amount of 2 528 MEUR recorded in Q2 2017
• Operational EBIT is expected to be somewhat
or even clearly higher than the 219 MEUR
recorded in Q2 2017
• Operational EBIT estimate includes negative
17 MEUR impact of the ramp-up of Beihai
operations
• Impact of the annual maintenance shutdowns
is expected to be approximately 10 MEUR
lower than in Q2 2017, and is included in the
above guidance
• Beihai board machine expected to reach
operational EBITDA break even in Q4 2017,
one quarter earlier than previously forecast
26 July 2017
Stora Enso Q2 2017 results
15
Guidance for Q3 2017
Compared to Q2 2017
Annual maintenance in Q3
Consumer Board Imatra and Ingerois mills
Packaging Solutions Varkaus Mill
Paper Veitsiluoto Mill

16. • Sales growth of 7.1% excluding Paper
− Total sales growth, excluding divestments and
closures 3.7%
• Accelerated profitable growth by:
− Beihai
− Varkaus (Kraftliner & LVL)
− China Packaging
− Murów
• Moving from asset transformation to
innovation and sales transformation
• Strengthened balance sheet by solid cash
generation
26 July 2017
Stora Enso Q2 2017 results
16
Positive contribution from transformation projects
accelerates

17. Welcome to Stora Enso CMD
on 8 November 2017 in London
26 July 2017
Stora Enso Q2 2017 results
17

19. Operational EBIT by segments
EUR million Q217 Q216
Change%
Q217/Q216 Q117
Change%
Q217/Q117
Consumer Board 69 76 -9.2% 61 13.1%
% of sales 11.0% 12.7% 10.0%
Packaging Solutions 40 17 135.3% 24 66.7%
% of sales 12.8% 6.6% 8.3%
Biomaterials 62 57 8.8% 53 17.0%
% of sales 16.7% 16.7% 14.4%
Wood Products 35 33 6.1% 22 59.1%
% of sales 8.0% 7.6% 5.3%
Paper 11 43 -74.4% 42 -73.8%
% of sales 1.5% 5.1% 5.6%
Other 2 0 n/m 13 -84.6%
% of sales 0.3% 0.0% 2.0%
26 July 201719
Stora Enso Q2 2017 results

20. Year-on-year net debt/EBITDA further
strengthened
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Stora Enso Q2 2017 results
20
MEUR

21. Healthy cash flow generation continues
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Stora Enso Q2 2017 results
21

22. Cash flow by divisions in Q2
26 July 201722
Stora Enso Q2 2017 results

23. Capital allocation
Capex on its way to the level of depreciation
23 26 July 2017
Stora Enso Q2 2017 results

24. Capex allocation 2017
Both strategic and maintenance
24
MEUR
26 July 2017
Stora Enso Q2 2017 results

25. Net Financials
25
* Quarterly gross interest expense divided by average gross debt
** Not hedge accounted interest rate derivatives.
26 July 2017
Stora Enso Q2 2017 results
EUR million
Q2 Q2
Change
MEUR
Q1
Change
MEUR
2017 2016 Q217/ 2017 Q217/
Q216 Q117
Net interest expense -38 -34 -4 -38 0
Average interest rate* 4.2% 4.1% 4.4%
Foreign exchange gains and losses 8 -28 36 15 -7
Other financial items. of which -30 -37 7 -6 -24
Fair valuation of interest rate derivatives** - -1 1 - -
Fair valuation of long-term debt - - - - -
Pension costs (IAS 19R) -2 -1 -1 -1 -1
Other items -28 -35 7 -5 -23
Total net financial items -60 -99 39 -29 -31

26. MEUR
Other loans / liabilitiesBonds Commercial papers
Revolving Credit Facility 700 MEUR matures in January 2019 and is fully undrawn
Maturity profile Q2 2017
0
100
200
300
400
500
600
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2036
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Stora Enso Q2 2017 results
26

27. Transaction risk and hedges Q2 2017
26 July 201727
€ million USD SEK GBP
Estimated annual net operating cash flow exposure 1 210 -880 320
Transaction hedges -600 450 -170
Hedging percentage for the next 12 months 50% 51% 53%
Operating Profit: Currency effect +/- 10%*
Based on estimated 12 month net
operating cash flow exposure
€ million
USD 121
SEK -88
GBP 32
*Before currency hedges assuming no
other changes other than a single
currency rate movement occurs
Stora Enso Q2 2017 results

28. Sensitivity analysis
Impact on operational EBIT
10% decrease in Impact*
Energy prices Positive 14 MEUR
Wood Prices Positive 175 MEUR
Chemical and filler prices Positive 49 MEUR
26 July 201728
10% increase in Impact*
Market pulp price, total Positive 115 MEUR
10% strengthening against Euro in the
value of**
Impact*
US dollar Positive 121 MEUR
Swedish krona Negative 88 MEUR
British pound Positive 32 MEUR
Brazilian real Negative 12 MEUR
*Impact on operational EBIT for the next twelve months.
** Before FX hedges
An increase of energy, wood or chemical and filler prices or decrease of pulp prices, as well as weakening of
the currencies would have the opposite impact
Stora Enso Q2 2017 results

29. Pulp sensitivity analysis
10% change in prices, impact on operational EBIT
10% increase in Impact*
Hardwood pulp** prices Positive 45 MEUR
Softwood pulp prices Positive 45 MEUR
Fluff pulp prices Positive 15 MEUR
Dissolving pulp prices Positive 10 MEUR
Market pulp price, total Positive 115 MEUR
26 July 201729
* Impact on operational EBIT for the next twelve months. A decrease of pulp prices would have the opposite impact.
** Includes 675 000 tonnes from Montes del Plata
Stora Enso Q2 2017 results

30. Stora Enso energy balance* Q2 2017
Stora Enso Q2 2017 results
30
Impact on non-hedged
volume on operating profit
from 10% change in:
EUR million p.a.
Electricity market price ~7.4
Fossil fuel price ~8.2
*) Pulp, paper and board mills in Europe and overseas, incl. Beihai
TWh/a
26 July 2017

31. Stora Enso Q2 2017 results
31
Stora Enso electricity procurement* Q2 2017
*) Pulp, paper and board mills in Europe and overseas, incl. Beihai from year 2017
26 July 2017

32. Permanent pulp, paper and board capacity
reductions since 2006
32
Mill Date Grade Capacity reduction, t
Corbehem PM 3 and PM 4 Jun 2006 LWC 250 000
Varkaus PM 1 End 2006 WFC 95 000
Berghuizer Mill Oct 2007 WFU 235 000
Reisholz Mill End 2007 SC 215 000
Summa Mill Jan 2008 Newsprint, uncoated mag, book paper 415 000
Anjala Mill PM1 Feb 2008 Coated magazine paper 155 000
Baienfurt Mill End 2008 FBB 190 000
Kabel Mill PM 3 End 2008 Coated magazine 140 000
Kemijärvi Pulp Mill April 2008 Long-fibre (SW) pulp 250 000
Norrsundet Pulp Mill Dec 2008 Long-fibre (SW), pulp 300 000
Varkaus Mill coreboard machine Dec 2008 Coreboard 100 000
Imatra PM 8 Mar 2010 WFU 210 000
Varkaus PM 2 and PM 4 Sep 2010 Newsprint, directory paper 290 000
Maxau PM 7 Nov 2010 Newsprint 195 000
Hylte PM1 Dec 2012 Newsprint 180 000
Ostroleka PM2 Jan 2013 Containerboard 85 000
Hylte PM2 May 2013 Newsprint 205 000
Kvarnsveden PM11 May 2013 Newsprint 270 000
Veitsiluoto PM1 Apr 2014 Coated magazine 190 000
Corbehem Mill July 2014 LWC 330 000
Varkaus Aug 2015 WFU 280 000
Suzhou Jun 2016 WFU 240 000
Kvarnsveden PM8 Jun 2017 SC 100 000
Total 4 920 000
26 July 2017
Stora Enso Q2 2017 results

33. Permanent sawn wood capacity reductions
since 2006
Mill Date Capacity reduction, m3
Veitsiluoto Sawmill 2006 100 000
Honkalahti Sawmill 2006 90 000
Sauga Sawmill Jun 2007 130 000
Sollenau Sawmill 2007 110 000
Näpi Sawmill 2007-2008 100 000
Kotka Sawmill 2007-2008 70 000
Paikuse Sawmill End 2008 220 000
Zdirec Sawmill 2008 120 000
Ybbs Sawmill 2008 & Jun 2009 200 000
Kitee Sawmill 2008 & Jun 2009 130 000
Varkaus Sawmill Jun 2009 60 000
Tolkkinen Sawmill End 2009 260 000
Kopparfors Sawmill End 2011 310 000
Sollenau Sawmill Jul 2014 400 000
Total 2 300 000
26 July 2017
Stora Enso Q2 2017 results
33

34. Kraftliner and testliner prices
26 July 2017
Stora Enso Q2 2017 results
34
Source: FOEX
EUR

35. Pulp price development
26 July 2017
Stora Enso Q2 2017 results
35
Source: FOEX

36. Pulp wood and saw log prices
Wood prices in Finland
26 July 2017
Stora Enso Q2 2017 results
36
Source: Luonnonvarakeskus

37. Paper for recycling prices
26 July 2017
Stora Enso Q2 2017 results
37
German RCP price development. free delivered
Source: Verband Deutscher Papierfabriken/Stora Enso

38. 26 July 2017
Stora Enso Q2 2017 results
38