Wärtsilä sells 10.5 million a shares in Assa Abloy - a capital gain of EUR 108 million

Wärtsilä Corporation, Stock exchange release, 25 February 2004 at 09:45 UTC+2

Wärtsilä Corporation has today agreed to sell its entire holding of A shares in Assa Abloy AB (publ.) i.e. 10,546,425 shares. The sales price is SEK 116.50 SEK/share, in total 1,228.7 million SEK (approx. EUR 134 million). The buyers are Investment AB Latour (publ.) and Melker Schörling through a wholly owned company. Wärtsilä will record a capital gain of approx. EUR 108 million on this sale. The tax on the capital gain is approx. EUR 34 million. The sale will be compeleted as agreed on March 15, 2004.

After this transaction Wärtsilä holds 17,270,350 Series B shares which represents 4.7% (7.6) of the total number of the shares and 3.2% (22.8) of the voting rights.

For further information please contact:

Mr Raimo Lind, CFO, tel. +358 400 504 321 or
Mrs Eeva Kainulainen, VP, Corporate Communications, tel. +358 10 709 5235