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NORDIC ALUMINIUM PLC FINANCIAL STATEMENTS RELEASE 2010

03.03.2011
NORDIC ALUMINIUM PLC FINANCIAL STATEMENTS RELEASE 2010

Nordic Aluminium's net sales and operating profit increased compared
to the previous year. Nordic Aluminium's consolidated net sales in
2010 were EUR 68.26 million (EUR 62.24 million). Consolidated
operating profit in 2010 was EUR 15.86 million (EUR 4.14 million). Net
profit was EUR 11.92 million (EUR 3.05 million). Return on investment
was 32.3 per cent (9.1 per cent) and return on equity 23.7 per cent
(6.5 per cent). The Board proposes the payment of a dividend of 2010
2.10 EUR per share for a total payment of EUR 10.16 million (EUR 6.29
million).

Group structure

Nordic Aluminium Plc's parent company is Oy Lival Ab. The Nordic
Aluminium Group is made up of the parent company Nordic Aluminium Plc,
operating at Kirkkonummi and Nivala, and its subsidiaries Nordic
Aluminium Inc. in the United States and Nordic Aluprofiler AB in
Sweden.

Net sales and profits

Nordic Aluminium's consolidated net sales were EUR 68.26 million (EUR
62.24 million). The operating profit of Nordic Aluminium in 2010
amounted to EUR 15.86 million (EUR 4.14 million). Earnings per share
for the period were EUR 2.46 (EUR 0.63). The Company's profitability
increased. Consolidated operating profit was 23.2 per cent from net
sales (11.9 per cent).

The share of exports and international operations were 48.8 per cent
of net sales as compared with 45.2 per cent the year before. The major
export markets in 2010 were Southern Europe, Eastern Europe, Far East,
Western Europe, the Nordic countries, and North America.

Net sales per employee was EUR 0.44 million (EUR 0.30 million).

Last quarter in a nutshell

During the last quarter net sales of Nordic Aluminium, EUR 15.14
million, increased by 10 per cent from the equivalent period in the
previous year (EUR 13.76 million). The operating profit for the period
was EUR 3.57 million (EUR -0.93 million). Earnings per share were EUR
0.56 (EUR -0.15).

Order backlog

Nordic Aluminium's order book at the end of 2010 stood at EUR 7.22
million (EUR 4.02 million).

Purchase behaviour in the market did not change compared to the
previous year. Customers are not able to give reliable estimates and
order only for actual needs with short delivery times.

Research and development expenses

Nordic Aluminium's research and development expenses in 2010 were EUR
0.15 million (EUR 0.22 million), 0.2 per cent of net sales (0.4 per
cent).

Investments

Gross investments in 2010 were EUR 1.85 million (EUR 6.84 million).

Profitability

Return on investment (ROI) in Nordic Aluminium in 2010 was 32.3 per
cent (9.1 per cent) and return on equity (ROE) was 23.7 per cent (6.5
per cent). Diluted earnings per share were EUR 2.46 (EUR 0.63). Equity
per share was EUR 10.99 (EUR 9.80).

Balance sheet and financing

The consolidated balance sheet total at the end of the 2010 fiscal
year was EUR 61.56 million (EUR 56.17 million). Equity ratio was 86.4
per cent (84.4 per cent). Cash flow from operations before interests
and taxes was EUR 17.20 million (EUR 11.33 million).

Authorisations

The Board has no current authorisations for the increase of the
company's share capital or the procurement of own shares.

Share capital

The total number of Nordic Aluminium Plc´s shares at the end of the
fiscal year 2010 was EUR 4,836,882. The registered share capital is
EUR 6,191,208.96. All shares have the same voting and dividend rights.
Nordic Aluminium Plc's shares have been listed on NASDAQ OMX Helsinki
Ltd. since 1997.

Share trading

The shares of Nordic Aluminium Plc are traded at the Helsinki Stock
Exchange. The trading identifier is NOA1V and the ISIN code is
FI0009006415. A total of 390,524 (275,510) Nordic Aluminium Plc shares
were traded on the stock market in 2010 with total value of EUR 8.26
million. The share quotation ranged between EUR 14.94 and EUR 30.90
(EUR 9.84-17.50). The number of shares was 4,836,882 which remained
unchanged during the reporting period. The market value of the
company's shares stood at EUR 137.9 million (EUR 71.4 million) at the
end of December.

Paid dividends for the year 2009 were EUR 1.30 per share for a total
payment of EUR 6,287,946.60.

Shares and ownership

There were no major changes in the ownership of Nordic Aluminium Plc
during the year. At the end of the fiscal year 2010 Nordic Aluminium
Plc's ownership was as follows:

The biggest shareholders Dec 31, 2010     Number of   Share of capital
Owner                                     shares      and votes
                                                                     %
Oy Lival Ab                               3,087,945              63.84
Varma Mutual Pension Employment
Insurance Company                           250,000               5.17
Aktia Capital Unit Trust                    225,000               4.65
Evli-Select Mutual Fund                     173,840               3.59
Veritas Mutual Pension Insurance Company    139,000               2.87
Lival-Lindström, Stig                       129,050               2.67
Fondita Micro Cap Mutual Trust               90,000               1.86
Rausanne                                     58,318               1.21
Mutual Fund Evli Nordic Dividend             35,111               0.73
Mandatum Life Insurance Company              25,318               0.52
Others                                      623,300              12.89

Total                                     4,836,882             100.00

The number of nominee-registered shares at the end of 2010 was
15,785 which equals 3.26 per cent of the company's shares and votes. The
total number of shareholders at the end of the year was 1,552.

Shareholders by sector Dec 31, 2010       Number of             Share
                                          shares
                                                                     %
Companies                                  3,233,177             66.84
Financial and insurance institutions         537,199             11.11
Associations                                 401,000              8.29
Non-profit associations                       25,634              0.53
Households                                   612,708             12.67
Owners outside Finland                        27,164              0.56

Total                                      4,836,882            100.00

Shareholders by size of holdings Dec 31, 2010

Number of shares              Number of       %       Number of      %
                               owners                   shares
        1 - 200               1005        64.76         92,097    1.91
      201 - 2,000              490        31.57        277,218    5.73
    2,001 - 20,000              45         2.90        208,921    4.32
   20,001 - 200,000              9         0.58        695,701   14.38
  200,001 - 2,000,000            2         0.13        475,000    9.82
2,000,001 - 9,999,999            1         0.06      3,087,945   63.84

Total                        1,552       100.00      4,836,882  100.00

Insider issues

Nordic Aluminium Plc adheres to the guidelines for insiders issued by
NASDAQ OMX Helsinki Ltd. Nordic Aluminium Plc's permanent insiders
are: Members of the Board of Directors, Managing Director & CEO,
Secretary of the Board and the Members of the Management Group as well
as named individuals within the Company's financial administration,
sales and marketing and production. The appointed insider issue
responsible is the Company's CFO. Up-to-date insider data is
maintained in the Central Securities Depository at Euroclear Finland
Ltd's premises.

The Company recommends that the permanent insiders' investments in the
Company's are to be long-term investments. According to NASDAQ OMX
Helsinki Ltd. guidelines for insiders and the Company's own Insider
Guidelines trading in the Company's securities should be done at the
times when the market has as exact information as possible of the
issues and matters influencing the value of the security.

Annual General Meeting

The Annual General Meeting of Nordic Aluminium Plc on March 31, 2010
adopted the financial statements and discharged the members of the
Board and the Managing Director from liability. The Meeting also
decided to approve the proposal of the Board for a dividend of 2009
EUR 1.30 per share (EUR 0.40) or a total of EUR 6.29 million.

The Annual General Meeting elected Stig Lival-Lindström, Viveka
Iisaho, Nina Ehrnrooth and Hans Jonasson regular members of the Board
of Directors. The board elected Stig Lival-Lindström Chairman on the
same date.

The Annual General Meeting elected Authorised Public Accountant Ernst
& Young Oy as Auditor of Nordic Aluminium Plc with Tomi Englund,
Authorized Public Accountant, as responsible Auditor.

Personnel

In 2010 the Nordic Aluminium Group had an average number of 156
employees. The corresponding number the year before was 207. At the
end of 2010 the Group had 151 employees.

Nordic Aluminium's Managing Director Peter Högel resigned on October
31, 2010. Joakim Berndtsson was appointed as the new Managing Director
on November 1, 2010.

Events after the reporting period

Nordic Aluminium Plc started employee negotiations in compliance with
the Act on Cooperation in December. The conclusion of the negotiations
was that 11 employment contracts were terminated in January 2011.

Outlook

The new model of activity has been adopted in Nordic Aluminium's
organisation. In order to improve productivity and profitability
Nordic Aluminium will continue to take actions and make fine
adjustments in every part of the organisation.

Demand for Nordic Aluminium Plc´s electrotechnical products will
gradually improve in 2011, preceded by some difficult cyclical years.
Nordic Aluminium Plc operates in late cyclical line of business and
that is why the company is dependent on new business premises and
trade centres being established as well as on activity in public and
industrial investments.

The Board of Directors expect that net sales will grow during this
year. The growth expectations of the net sales are supported by rising
demand for Nordic Aluminium Plc´s products in its major market, i.e.
Europe, and also in Russia and the United States of America. In
addition, exports to China will grow through our big customers.

The Board of Directors regard it as challenging to maintain the
operating profit margin as high as in the previous year.

Nordic Aluminium Plc´s competitiveness and market share will remain
stable despite acceleration of inflation and increasing raw material
(aluminium and copper) prices.

Risk management

The objective of Nordic Aluminium Plc's risk management is to secure
business continuity in all possible situations. The CEO and the Board
of Directors are responsible for the risk management.

As part of the risk management the Company's insurance policies are
re-evaluated annually. The factories and commercial activities are
full value insured.

Main business risks are related to the uncertainty in the development
of the world economy and its influence on market demand and on raw
material prices.

The Board's proposal on the allocation of profits

Net profit of the parent company for the year is EUR 10,703,397.73 and
its distributable earnings EUR 31,484,481.53.

The Board proposes that a dividend of EUR 2.10 per share, or a total
of EUR 10,157,452.20, be declared and that the remaining balance of
EUR 21,327,029.33 be retained in profit and loss account.

Disclaimer

This release contains certain forward-looking statements that reflect
the current views of the Company's Board of Directors. Due to the
nature of these statements, they contain risks and uncertainties and
are subject to changes in the general economic situation and in the
company's business sector.

Corporate Governance

Nordic Aluminium complies with The Finnish Corporate Governance Code
approved by Securities Market Association. Possible deviations have
been stated with reasons at appropriate recommendations. The Corporate
Governance statement of Nordic Aluminium is in full view at the
Internet site of Nordic Aluminium (www.nordicaluminium.fi/Financial
info).

Nordic Aluminium's Corporate Governance Statement from fiscal year
2010 will be published March 3, 2011 as a separate statement,
simultaneously with the Financial Statements Release 2010, at the
Company's home pages.

Accounting policies

These presented annual financial statements have been prepared in
accordance with IAS34 Interim Financial Reporting. Nordic Aluminium
applies the same accounting policies as are applied in 2010 annual
financial statements.

The financial information is prepared in accordance with international
financial reporting standards IFRS.

While the group has only one primary business segment, "Aluminium
products", which is equal to the official consolidated income
statement and profit and loss account, the annual financial statements
do not include separate information over the group's primary business
segment.

The key figures in these annual financial statements are calculated
with same accounting principles than in year 2010 annual financial
statements. The calculation rules of key figures are presented in the
financial statements.

The figures presented in the tables below have been rounded to two
decimals, which should be taken into account when reading the sum
figures.

The financial statements bulletin has been subject to audit.

CONSOLIDATED INCOME STATEMENT
EUR million
                         10-12/10 %  10-12/09 %  1-12/10 %  1-12/09 %

Net sales                   15.14       13.76      68.26      62.24
Other operating income       0.01        0.01       0.08       0.04
Increase(+) or decrease(-)
finished goods and
work in progress             0.80       -0.52       0.33      -1.38
Raw materials and
consumables                 -7.95       -7.26     -31.62     -30.21
Personnel expenses          -0.89       -3.32      -6.02     -12.56
Depreciation and
reduction of value          -0.95       -1.16      -4.54      -4.62
Other operating expenses    -2.59       -2.43     -10.63      -9.37
Operating profit             3.57 23.6  -0.93 -6.8 15.86 23.2  4.14  6.7
Financial items              0.07        0.05       0.24       0.06
Profit before taxes          3.64 24.0  -0.88 -6.4 16.10 23.6  4.20  6.7
Income taxes                -0.89        0.18      -4.18      -1.15
Net profit for the period    2.75 18.2  -0.70 -5.1 11.92 17.5  3.05  4.9

Profit attributable to:
Owners of the parent         2.75 18.2  -0.70 -5.1 11.92 17.5  3.05  4.9
Minority interest            0.00        0.00       0.00       0.00

Other comprehensive income:
Conversion difference        0.03        0.01       0.13       0.01

Total comprehensive income
attributable to:
Owners of the parent         2.78 18.4  -0.69 -5.0 12.05 17.6  3.06  4.9
Minority interest            0.00        0.00       0.00       0.00

Basic and diluted
earnings per share, EUR      0.56       -0.15       2.46       0.63

CONSOLIDATED BALANCE SHEET
EUR million                                 Dec 31,        Dec 31,
                                               2010          2009
Non-current assets
Tangible assets                               25.31          27.54
Goodwill                                       2.25           2.25
Intangible assets                              0.99           1.48
Tradable financial assets                      0.02           0.02
Deferred tax liabilities                       0.07           0.09
Total                                         28.64          31.38
Current assets
Inventories                                    6.77           6.42
Accounts receivable and other
current assets                                 9.60           8.81
Advance payments                               0.04           0.06
Financial assets                              16.51           9.51
Total                                         32.92          24.79

Cash in hand and at banks                     61.56          56.17

EUR million                                 Dec 31,        Dec 31,
                                               2010           2009
Shareholders' equity and liabilities
Equity
Shareholders' equity                           6.19           6.19
Share premium account                          3.45           3.45
Conversion difference                         -0.14          -0.27
Retained earnings                             43.66          38.03
Shareholders' equity:
Owners of the parent                          53.17          47.41
Minority interest                              0.00           0.00
Total                                         53.17          47.41

Long-term liabilities
Deferred tax liabilities                       3.20           2.86
Provisions                                     0.20           0.27
Interest bearing liabilities                   0.01           0.07
Total                                          3.41           3.20

Short-term liabilities
Accounts payable                               4.96           5.53
Provisions                                     0.00           0.00
Short-term interest
bearing liabilities                            0.02           0.03
Total                                          4.98           5.56

Total liabilities                              8.39           8.76
Total shareholders' equity and
liabilities                                   61.56          56.17

CONSOLIDATED CASH FLOW STATEMENTS
EUR million                10-12/10   10-12/09   1-12/10   1-12/09

Cash flow from operations
Net profit (loss)              2.75      -0.70     11.92      3.05
Corrections
  Depreciation
  according to plan            0.95       1.16      4.54      4.62
  Financial items             -0.07      -0.07     -0.24     -0.06
  Taxes                        0.88      -0.19      4.18      1.15
Cash flow before change
in net working capital         4.51       0.21     20.40      8.77

Change in net working capital:
  Short-term receivables,
  increase(-)/decrease(+)      3.84       2.53     -1.94      3.03
  Inventories
  increase(-)/decrease(+)     -0.81       0.85     -0.36      1.73
  Short-term interest
  bearing liabilities
  increase(+)/decrease(-)     -3.75      -1.30     -0.77     -2.20
Total                         -0.72       2.07     -3.07      2.56
Cash flow from operations
before interests and taxes     3.66       2.28     17.20     11.33

Paid interests and payments for
other financial expenses      -0.04      -0.03     -0.15     -0.16
Received interests and payments
from other financial income    0.11       0.07      0.39      0.22
Paid income taxes              0.75       0.90     -2.53     -0.43
Cash flow from operations(A)   4.49       3.22     14.92     10.95

Cash flow from investing activities
Investments in tangible and
intangible assets             -0.90      -0.84     -1.85     -6.84
Income from sales of tangible
and intangible assets          0.00       0.00      0.03      0.00
Repayment of loan receivables  0.00       0.00      0.00      0.00
Cash flow from investments(B) -0.90      -0.84     -1.82     -6.84

Cash flow from financial items
Rights issue                   0.00       0.00      0.00      0.00
Withdrawals of
short-term loans              -0.07       0.00      0.00      0.00
Amortization of short-
term loans                    -0.01      -0.02     -0.01     -0.05
Withdrawals of
long-term loans                0.00       0.00      0.00      0.00
Amortization of long-
term loans                     0.03       0.00     -0.06      0.01
Dividends paid                 0.00       0.00     -6.29     -1.94
Cash flow from financial
items(C)                      -0.06      -0.02     -6.36     -1.97

Change in cash flow (A+B+C)    3.67       2.37      6.87      2.14
Conversion difference          0.03       0.01      0.13      0.01
Total                          3.70       2.38      7.00      2.15

Cash in hand and at banks
in the beginning of period    12.81       7.12      9.51      7.35
Cash in hand and at banks
in the end of period          16.51       9.50     16.51      9.50
Change                         3.70       2.38      7.00      2.15

STATEMENT OF CHANGES OF CONSOLIDATED EQUITY
EUR million

        Shareholders  Share prem.    Conversion    Retained      Total
             Equity   account        difference    earnings     equity
Equity
1.1.2009       6.19         3.45          -0.28       36.92      46.28
Comprehensive income                       0.01        3.05       3.06

Earnings and costs total                                          3.06
Dividends                                             -1.94      -1.94

Equity
31.12.2009     6.19         3.45          -0.27       38.03      47.41


Equity
1.1.2010       6.19         3.45          -0.27       38.03      47.41

Comprehensive income                       0.13       11.92      12.05

Earnings and costs total                                         12.05
Dividends                                             -6.29      -6.29

Equity
31.12.2010     6.19         3.45          -0.14       43.66      53.17

KEY FIGURES:
                         10-12/10  10-12/09  1-12/10  1-12/09  1-12/08
Diluted earnings per
share, EUR                   0.56     -0.15     2.46     0.63     1.71

                                1-12/10     1-12/09     1-12/08
Equity ratio, %                    86.4        84.4        82.4
Gearing, %                        -30.9       -19.8       -15.9
Balance sheet total, EUR million  61.56       56.17       56.18

NOTES:
                                1-12/10     1-12/09     1-12/08
Equity/share, EUR                 10.99        9.80        9.56
Number of personnel at              151         125         294
the end of the season

                         10-12/10  10-12/09  1-12/10  1-12/09  1-12/08
Investments, EUR million     0.88      0.84     1.85     6.84     9.64
Average number of personnel   154       149      156      207      315

Geographical segments:
Net sales
EUR million              10-12/10  10-12/09  1-12/10  1-12/09  1-12/08
Finland                      7.75      7.00    34.95    34.13    59.42
Other countries              7.39     11.96    33.31    28.11    40.73
Total                       15.14     18.96    68.26    62.24   100.15

Taxes:
EUR million               10-12/10 10-12/09  1-12/10  1-12/09  1-12/08
Current income tax           -0.55    -1.29    -3.83     0.04     2.79
Change in deferred income tax-0.34    -0.04    -0.35     1.11     0.16
Total                        -0.89     1.33    -4.18     1.15     2.95

Inventories:
EUR million                     Dec 31,     Dec 31,     Dec 31,
                                   2010        2009        2008
Raw materials and consumables      1.01        0.97        1.26
Work in progress                   2.87        2.96        2.58
Finished goods                     2.89        2.49        4.30
Total                              6.77        6.42        8.15

Interest bearing loans and borrowings:
EUR million                     Dec 31,     Dec 31,     Dec 31,
                                   2010        2009        2008
Bank loan                          0.00        0.00        0.00
Obligations under finance leases   0.03        0.05        0.14
Total                              0.03        0.05        0.14

Contingent liabilities:
EUR million                     Dec 31,     Dec 31,     Dec 31,
                                   2010        2009        2008
Consignation liability             0.26        0.33        0.19
Rental and leasing liabilities     4.89        7.44        9.67
Corporate mortgages given          0.00        0.00        0.00

Related party disclosures:
EUR million              10-12/10  10-12/09  1-12/10  1-12/09  1-12/08
Sales                        1.56      2.11     9.49     7.50     9.09
Purchases                    0.01      0.00     0.03     0.05     0.02

EUR million                     Dec 31,     Dec 31,     Dec 31,
                                   2010        2009        2008
Receivables                        0.07        0.02        0.01
Accounts payable                   0.04        0.00        0.00

Order backlog:
EUR million                     Dec 31,     Dec 31,     Dec 31,
                                   2010        2009        2008
                                   7.22        4.02        5.05

The financial statements for the fiscal year 2010 have been audited.
The key data have been calculated as instructed by the FSA Standard
5.1.

Nordic Aluminium Plc's Annual General Meeting will be held on March
31, 2011.

Nordic Aluminium Plc's next Interim Report for January-March 2011 will
be published on April 20, 2011. All releases can be viewed at Nordic
Aluminium's homepages www.nordicaluminium.fi.


Kirkkonummi March 3, 2011

NORDIC ALUMINIUM PLC
Board of Directors

Joakim Berndtsson
Managing Director

For further information please contact:
Joakim Berndtsson, Managing Director, Nordic Aluminium,
phone +358 20 7660 206

Distribution:
NASDAQ OMX Helsinki Ltd.
The Main Media
www.nordicaluminium.fi

NOAE0211


© 2004 Nordic Aluminium Oyj | Updated 19.01.2006 | Legal Notice