Rottneros profit after net financial items amounted to 19 million Kronor (11) for

the first quarter of 2011. Operating profit amounted to 21 million (7) for the period.The pulp market is strong and prices in Dollar for chemical pulp increased

during the end of the first quarter, although at the same time the

Swedish Krona strengthened significantly in relation to the US Dollar. Further price increases were announced for the start of the

second quarter, Rottneros writes in its report."This winter has been particularly severe, which has had a negative

impact on the production outcome for all production lines, and energy

consumption has also increased considerably. Swedish energy prices have

also rocketed this winter and are now noticeably higher than prices in

continental Europe. Furthermore, there has been a sharp increase in the

price of oil, which has also had an impact on costs at our mills. The

cold weather ended in March and our production rate is once again at

the level planned," says Ole Terland, CEO of Rottneros.