Norske Skog Economic Environment
Norskeplus Skog 3/02 January-June 2002 Publication paper market still weak, but satisfactory margins in Australasia and Asia Currency gains give strong net financial items Improvement programme 2002 running as planned Walsum-Parenco integration on schedule Satisfactory trends in health and safety QUARTERLY REPORT JANUARY - JUNE 2002 At the end of the half-year there was still no improvement worth mentioning in the market for publication paper, which – since the second half of 2001 - has seen reduced demand and lower prices. Globally the picture is somewhat mixed. In Australasia the market is reason- ably stable with satisfactory activity. This is also the case in some markets in Asia. However, the other regions continue to operate in a weak market environment. Publication paper still weak on most markets A strong Norwegian krone, in relation to substantial minorities, was consolidated OPERATING EARNINGS the euro and US dollar, has had a significantly in its entirety in the Group’s accounts for PER QUARTER 1998-2002 negative impact in the development of the the first half-year 2001. In the first half- NOK mill. operating earnings, thus reinforcing the year 2002, NorskeCanada is included as 2,000 effect of operating in a weak international an affiliated company, with Norske Skog economic environment. To counter this as holding an ownership stake of 30.6% as 1,500 much as possible, the company will maintain of 30 June. Furthermore, the Tasman 1,000 its efficiency drive. Pulp Mill was divested 30 April 2001. However, on the other hand, the publica- 500 Group result tion paper mills Walsum and Parenco Norske Skog’s operating revenue in first were not included in the accounts for the 0 half 2002 was NOK 11,574 million, com- first half of 2001.
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