Stock exchange release February 8, 2010 04:18 PM EEST

Metso Corporation's Financial Statements Review, January 1 - December 31, 2009

Metso Corporation's Financial Statements Review, January 1 - December 31, 2009

Metso's Company Release on February 8, 2010 at 3.00 p.m. local time             
Strong cash flow and satisfactory profitability in a demanding market           
environment                                                                     

Highlights of 2009                                                              
New orders worth EUR 4,358 million were received in 2009, i.e. 32 percent less  
than in the previous year (EUR 6,384 million in 2008).                          
At the end of 2009, the order backlog was 16 percent lower than at the end of   
December 2008, amounting to EUR 3,415 million (EUR 4,088 million on December 31,
2008).                                                                          
Net sales decreased by 22 percent from the previous year, and were at EUR 5,016 
million (EUR 6,400 million in 2008).                                            
Earnings before interest, tax and amortization (EBITA) were EUR 334.3 million,  
i.e. 6.7 percent of net sales (EUR 680.9 million and 10.6% in 2008).            
Operating profit (EBIT) was EUR 293.6 million, i.e. 5.9 percent of net sales    
(EUR 637.2 million and 10.0% in 2008).                                          
EBITA and EBIT include approximately EUR 75 million in non-recurring expenses   
relating to capacity adjustment measures, before which the EBITA margin was 8.2 
percent.                                                                        
Earnings per share were EUR 1.06 (EUR 2.75 in 2008).                            
Free cash flow was EUR 717 million (EUR 29 million in 2008).                    
Return on capital employed (ROCE) before taxes was 10.0 percent (23.2% in 2008).
The Board proposes a dividend of EUR 0.70 per share (EUR 0.70 in 2008).         
Highlights of the last quarter of 2009                                          
New orders worth EUR 1,365 million were received in October-December, i.e. 54   
percent more than in the comparison period (EUR 889 million in Q4/2008).        
Net sales decreased by 26 percent on the comparison period, and were at EUR     
1,353 million (EUR 1,839 million in Q4/2008).                                   
Earnings before interest, tax and amortization (EBITA) were EUR 66.2 million,   
i.e. 4.9 percent of net sales (EUR 200.0 million and 10.9% in Q4/2008).         
Operating profit (EBIT) was EUR 55.0 million, i.e. 4.1 percent of net sales (EUR
190.1 million and 10.3% in Q4/2008).                                            
EBITA and EBIT for October-December include approximately EUR 31 million in     
non-recurring expenses relating to capacity adjustment measures. The EBITA      
margin before the non-recurring expenses was 7.2 percent.                       
Earnings per share were EUR 0.18 (EUR 0.79 in Q4/2008).                         
Metso's President and CEO Jorma Eloranta is satisfied with the financial        
performance and achievements in 2009. “Our most significant achievement was the 
strong cash flow. Also our profitability was at a satisfactory level despite the
demanding market situation. We strengthened our product and services portfolio  
through acquisitions, continued with our key investments and enhanced our       
operating model. We also estimate that we have maintained our market position in
all our core customer segments. Metso is now more competitive as the markets    
gradually begin to recover. I appreciate the efforts of our employees in        
achieving these good results in a difficult year.”                              
The Board of Directors' dividend proposal of EUR 0.70 per share reflects not    
only our confidence in the gradual recovery in our operating environment, but   
also our solid financial position.                                              
”In the last quarter of the year our profitability was hampered, as expected, by
high non-recurring expenses related to the capacity adjustment measures and to  
the development of our operating model. It was encouraging that we saw a nice   
increase in our order intake. This indicates that our customers are regaining   
their confidence in the recovery of their operating environment and in the      
availability of financing. For 2010 we estimate our net sales to remain at about
the same EUR 5 billion level as in 2009 and profitability to remain             
satisfactory,” Eloranta notes.                                                  
”Winning new orders continues to be a key priority. Price competition in the    
markets has escalated, so we will continue developing our operating model to    
maintain competitiveness and profitability. Key priorities are also continuing  
to further develop our services business and our solutions based on bioenergy   
and other renewable energy sources.”                                            

Metso's key figures                                                             

--------------------------------------------------------------------------------
| EUR million               | Q4/09 | Q4/08 | Change |  2009 |   2008 | Change |
|                           |       |       |      % |       |        |      % |
--------------------------------------------------------------------------------
| Net sales                 | 1,353 | 1,839 |    -26 | 5,016 |  6,400 |    -22 |
--------------------------------------------------------------------------------
| Net sales of services     |   524 |   651 |    -20 | 2,052 |  2,343 |    -12 |
| business                  |       |       |        |       |        |        |
--------------------------------------------------------------------------------
|    % of net sales         |    39 |    36 |        |    41 |     37 |        |
--------------------------------------------------------------------------------
| EBITA before              |  97.3 | 200.0 |    -51 | 409.0 |  680.9 |    -40 |
| non-recurring capacity    |       |       |        |       |        |        |
| adjustment expenses       |       |       |        |       |        |        |
--------------------------------------------------------------------------------
|    % of net sales         |   7.2 |  10.9 |        |   8.2 |   10.6 |        |
--------------------------------------------------------------------------------
| Earnings before interest, |  66.2 | 200.0 |    -67 | 334.3 |  680.9 |    -51 |
| tax and                   |       |       |        |       |        |        |
| amortization (EBITA)      |       |       |        |       |        |        |
--------------------------------------------------------------------------------
|    % of net sales         |   4.9 |  10.9 |        |   6.7 |   10.6 |        |
--------------------------------------------------------------------------------
| Operating profit          |  55.0 | 190.1 |    -71 | 293.6 |  637.2 |    -54 |
--------------------------------------------------------------------------------
|    % of net sales         |   4.1 |  10.3 |        |   5.9 |   10.0 |        |
--------------------------------------------------------------------------------
| Earnings per share, EUR   |  0.18 |  0.79 |    -77 |  1.06 |   2.75 |    -61 |
--------------------------------------------------------------------------------
| Orders received           | 1,365 |   889 |     54 | 4,358 |  6,384 |    -32 |
--------------------------------------------------------------------------------
| Order backlog at end of   |       |       |        | 3,415 |  4,088 |    -16 |
| period                    |       |       |        |       |        |        |
--------------------------------------------------------------------------------
| Free cash flow            |   268 |   -22 |    n/a |   717 |     29 |    n/a |
--------------------------------------------------------------------------------
| Return on capital         |       |       |        |  10.0 |   23.2 |        |
| employed (ROCE)           |       |       |        |       |        |        |
| before taxes, %           |       |       |        |       |        |        |
--------------------------------------------------------------------------------
| Equity to assets ratio at |       |       |        |  35.7 |   30.9 |        |
| end of period, %          |       |       |        |       |        |        |
--------------------------------------------------------------------------------
| Gearing at end of period, |       |       |        |  32.5 |   75.7 |        |
| %                         |       |       |        |       |        |        |
--------------------------------------------------------------------------------


Metso's last quarter 2009 review                                                

Operating environment and demand for products in October-December               
Our operating environment continued to be demanding in the last quarter of 2009.
Our customers remained cautious in their investment decisions although towards  
the end of the year there were the first signs of a recovery in the global      
economy. We saw gradual improvement in our customers' capacity utilization rates
while orders for our services business and requests for quotations increased    
slightly. Uncertainties in the order backlog also diminished as customers       
restarted projects earlier put on hold.                                         
Low demand and the reduction of suppliers' order backlogs led to harder price   
competition in the latter half of the year in all customer segments. We were    
able to partly offset this in our procurement costs as competition among raw    
materials and components suppliers and subcontractors also became harder.       
As a result of the strengthened demand for and price levels of minerals, in the 
latter part of the year several mining companies announced increases in their   
investment plans for 2010. Quotation activity clearly improved, although by the 
end of the year, only a few new equipment orders were finalized. Demand for     
construction industry equipment continued to be weak in the final quarter of    
2009. Many countries have introduced stimulus measures relating to              
infrastructure development which are expected to have a positive effect on the  
demand for construction industry products in the long-term, but which, for the  
present, have had little effect. Demand for services business in the mining and 
construction industry was satisfactory.                                         
Demand for power plants utilizing renewable energy sources remained satisfactory
in Europe and North America. The availability of financing improved towards the 
year-end leading to a strengthening of the operating environment and            
contributing to the closing of several new orders in the fourth quarter.        
Requests for quotations by oil and gas customers for our automation solutions   
increased, but demand continued to be lower than it was in the previous year.   
Demand for metals recycling equipment continued to be weak, owing to the low    
price of scrap metal and the low utilization rates of European and North        
American steelworks. Demand for our services business for power generation and  
automation solutions was satisfactory. Services demand for metal recycling      
remained weak.                                                                  
Demand for new fiber lines continued to be weak, but towards the end of the year
there was an upturn in the demand for rebuild projects. Demand for paper and    
board production lines remained satisfactory in the fourth quarter after        
improved market activity in China during the previous two quarters thanks to    
local stimulus packages. The low capacity utilization rates in the pulp and     
paper industry kept the demand for our services business weak, particularly in  
North America and Europe, although new orders were slightly up in the fourth    
quarter.                                                                        

Orders received in October-December                                             
Orders received in the final quarter of the year increased by more than 50      
percent on the comparison period and totaled EUR 1,365 million. In making the   
comparison it is important to note that new orders in the final quarter of 2008 
were exceptionally low, as our customers reacted strongly to the financial      
crisis that escalated since September 2008. More important was that compared to 
the first three quarters of 2009, orders were clearly at a higher level.        
Previously received smaller mining and recycling equipment orders amounting to  
some EUR 37 million were cancelled from the order backlog in the fourth quarter.
The amount of uncertain orders in the order backlog decreased and was below EUR 
500 million, as customers restarted projects which had earlier put on hold.     
Orders received in Mining and Construction Technology totaled EUR 457 million in
October-December, an increase of more than one third on the comparison period.  
Orders received from mining customers increased more than 70 percent on the     
comparison quarter, and new orders in the fourth quarter were 20 percent higher 
than during the previous three quarters. Orders received from construction      
customers were down about 10 percent on the comparison period and on par with   
the previous quarters of the year. Orders received in the fourth quarter were   
mostly for unit equipment and services business.                                
Orders received in Energy and Environmental Technology totaled EUR 504 million  
in the fourth quarter, which is 48 percent more than in the comparison period,  
and the final quarter was clearly the strongest quarter of the year in terms of 
new orders. The Power business line received several new orders for power       
boilers and the last quarter was clearly stronger in new orders than the        
previous quarters and the comparison period. The fourth quarter was also the    
strongest of the year for the Automation business line and new orders were at   
the same satisfactory level as during the comparison period. Demand for the     
recycling products remained weak and orders decreased even further from the low 
level of the comparison period. The segment's orders received in the fourth     
quarter include a biomass boiler and automation system for the Nacogdoches      
Generating Facility in the United States, a waste gasification plant and        
automation system for Lahti Energy Oy in Finland, biomass power plant for       
combined heat and power production including  the plant automation system for   
4HamCogen S.A. in Belgium and a power boiler for CMPC Celulosa S.A. in Chile.   
Paper and Fiber Technology's new orders increased 94 percent on the very weak   
comparison period and were EUR 401 million in October-December. New orders in   
the Paper business line increased clearly from the comparison period and were on
par with the previous two quarters. Orders received in the Tissue business line 
fell 34 percent from the strong levels of the comparison period. The Fiber      
business line received orders for several small and medium-sized rebuild        
projects in the fourth quarter, which turned out to be clearly stronger in new  
orders than the previous quarters in 2009 and the comparison quarter. Orders for
October-December include a coated fine paper production line to Shouguang MeiLun
Paper Co. Ltd. in China, a complete tissue line to Hayat Kimya A.S. in Turkey   
and the delivery of pulping technology to CMPC Celulosa S.A. in Chile. The      
segment's orders received in the services business increased towards the end of 
the year, but remained still lower than in the previous year, as customers      
continued strict control of their operating costs.                              

Financial performance in October-December                                       
In October-December, our net sales were EUR 1,353 million, which was 26 percent 
less than a year earlier (EUR 1,839 million in Q4/2008). Net sales of the       
services business decreased by 20 percent on the comparison period, and         
accounted for 39 percent (36% in Q4/2008) of fourth quarter net sales in 2009.  
Our fourth-quarter earnings before interest, tax and amortization (EBITA) were  
66.2 million, i.e. 4.9 percent of net sales (EUR 200.0 million and 10.9% in     
Q4/2008). EBITA includes approximately EUR 31 million in non-recurring expenses 
resulting from capacity adjustment measures. Most of these costs were related to
capacity adjustment measures in the Finnish and Swedish units of the Fiber      
business line. The EBITA-margin before these non-recurring expenses was 7.2     
percent. The financial result also includes over EUR 9 million in non-recurring 
capital gains from the sale of Talvivaara Mining Company Plc's shares. Metso's  
operating profit was EUR 55.0 million, i.e. 4.1 percent of net sales (EUR 190.1 
million and 10.3% in Q4/2008). The weakening of profitability on the comparison 
period resulted from the 26 percent decrease in net sales, low capacity         
utilization rates, tougher price competition and the high level of non-recurring
capacity adjustment expenses.                                                   
The profit attributable to shareholders was EUR 25 million in the fourth quarter
(EUR 112 million in Q4/2008), corresponding to earnings per share (EPS) of EUR  
0.18 (EUR 0.79 in Q4/2008).                                                     
Our free cash flow remained strong during the fourth quarter and was EUR 268    
million. The strong cash flow was supported by a EUR 224 million reduction in   
net working capital. Key elements in releasing net working capital in the fourth
quarter were EUR 189 million decrease of inventories across the businesses and  
EUR 90 million decrease in trade receivables in the Paper and Fiber Technology  
segment after successfully closing several delivery projects.                   

Metso's Financial Statements Review 2009                                        

Operating environment and demand for products in 2009                           
Our operating environment continued to be demanding throughout the year. As a   
result of the decline in the global economy and uncertainty in the financial    
markets, our custo-mers were cautious in their investment decisions. However,   
the first signs of a recovery in demand in some of our customer industries were 
visible during the fourth quarter. The demand situation was particularly tough  
for our new equipment and project business. As a consequence of our customers'  
low capacity utilization rates, demand for our services business also declined, 
but remained satisfactory thanks to our large installed equipment base. Economic
stimulus measures launched in many countries, mostly aimed at developing        
infrastructure, have so far, with the exception of China, had little effect on  
the demand for our products.                                                    
Low demand for new equipment and the decline in suppliers' order backlogs led to
increased price competition in the latter half of the year in all customer      
segments. This was partly offset by the reduction in procurement costs caused by
the intensified competition among raw materials and components suppliers and    
subcontractors.                                                                 
In the first half of 2009, most mining companies cut their investment plans     
significantly and curtailed their production. The positive development in demand
for and prices of minerals and metals during the year, however, improved the    
situation towards the end of the year and led to an increase in requests for    
quotations on mining equipment during the fourth quarter. In the construction   
industry, demand for equipment used in aggregates production was weak throughout
the year.                                                                       
The demand for power plants fuelled by biomass and waste has been boosted as    
several countries have announced plans to increase the use of renewable energy  
sources. However, the limited availability of financing has delayed the         
implementation of these projects. Towards the end of the year, however, the     
availability of financing improved, which led to several new orders during the  
fourth quarter. The oil and gas industry, which is important for Metso's        
automation solutions, made considerable cuts to their investment plans early in 
the year. Those cuts, coupled with the very low level of pulp and paper industry
investments, clearly decreased demand for our automation solutions from the     
previous year. Signs of gradual improvement in the demand in the oil and gas    
industry were visible by the end of the year. Demand for metals recycling       
equipment continued to be weak due to low scrap metal prices and the clear      
decrease in steel production, particularly in Europe and North America. Demand  
in our services business for power generation and automation solutions was      
satisfactory and for metal recycling weak.                                      
Economic stimulus measures in China and the subsequent new orders contributed to
a mini-boom in demand for paper and board production lines during the second and
third quarter. Elsewhere in the world, demand for paper and board lines remained
weak throughout the year. Demand for complete fiber lines remained low all year,
but by the end of the year demand for fiber line rebuild projects improved,     
leading to several small and mid-sized orders in the fourth quarter. Demand for 
tissue machines was satisfactory. Capacity utilization rates in the pulp and    
paper industry remained low for all of 2009. As a consequence, the demand for   
services business was low but showed some improvement towards the end of the    
year.                                                                           

Orders received and order backlog                                               
In 2009, we received new orders worth EUR 4,358 million, i.e. 32 percent less   
than in the comparison period. Orders increased towards the end of the year and 
the final quarter was clearly the strongest in terms of new orders. During the  
year, previously received orders worth some EUR 335 million were cancelled.     
These cancellations were booked off directly from our order backlog and         
therefore had no impact on reported new orders in 2009 or on the comparison     
period. Almost EUR 200 million of the cancellations related to the Zhanjiang    
Chenming pulp project, around EUR 65 million to our Construction business line, 
some EUR 48 million to our Mining business line and some EUR 28 million to our  
Recycling business line.                                                        
Regarding the value of new orders, the most important countries were China, the 
United States and Finland. When combined, these countries accounted for 39      
percent of all orders received. As a result of the global economic downturn, the
value of new orders was down on the comparison period in all reporting segments 
and in all geographical areas. The share of emerging markets in orders received 
was 48 percent (48% in 2008).                                                   
At the end of December, our order backlog was EUR 3,415 million, which is 16    
percent less than at the end of 2008. Uncertainties in the order backlog        
decreased by approximately EUR 100 million during the fourth quarter as         
customers restarted previously suspended projects. Around EUR 2.7 billion of the
deliveries in our end-of-December order backlog are expected to be completed in 
2010, and around EUR 700 million of these are services business orders. The     
order backlog includes some EUR 500 million in projects with somewhat uncertain 
delivery schedules and which will, according to present estimates, be delivered 
after 2010. The pulp mill project for Fibria, Brazil, is included in these      
projects.                                                                       

Orders received by reporting segments                                           

--------------------------------------------------------------------------------
|                        |          2009          |            2008            |
--------------------------------------------------------------------------------
|                        |    EUR |   % of orders |        EUR |   % of orders |
|                        | millio |      received |    million |      received |
|                        |      n |               |            |               |
--------------------------------------------------------------------------------
| Mining and             |  1,660 |            38 |      2,709 |            42 |
| Construction           |        |               |            |               |
| Technology             |        |               |            |               |
--------------------------------------------------------------------------------
| Energy and             |  1,297 |            30 |      1,658 |            26 |
| Environmental          |        |               |            |               |
| Technology             |        |               |            |               |
--------------------------------------------------------------------------------
| Paper and Fiber        |  1,384 |            31 |      2,021 |            31 |
| Technology             |        |               |            |               |
--------------------------------------------------------------------------------
| Valmet Automotive      |     56 |             1 |         65 |             1 |
--------------------------------------------------------------------------------
| Intra-Metso orders     |    -39 |               |        -69 |               |
| received               |        |               |            |               |
--------------------------------------------------------------------------------
| Total                  |  4,358 |           100 |      6,384 |           100 |
--------------------------------------------------------------------------------


Orders received by market area                                                  
--------------------------------------------------------------------------------
|                        |          2009          |            2008            |
--------------------------------------------------------------------------------
|                        |    EUR |   % of orders |        EUR |   % of orders |
|                        | millio |      received |    million |      received |
|                        |      n |               |            |               |
--------------------------------------------------------------------------------
| Europe                 |  1,580 |            36 |      2,375 |            38 |
--------------------------------------------------------------------------------
| North America          |    796 |            18 |      1,070 |            17 |
--------------------------------------------------------------------------------
| South and Central      |    510 |            12 |      1,056 |            16 |
| America                |        |               |            |               |
--------------------------------------------------------------------------------
| Asia-Pacific           |  1,220 |            28 |      1,476 |            23 |
--------------------------------------------------------------------------------
| Rest of the world      |    252 |             6 |        407 |             6 |
--------------------------------------------------------------------------------
| Total                  |  4,358 |           100 |      6,384 |           100 |
--------------------------------------------------------------------------------

Net sales                                                                       
Our net sales for 2009 declined by 22 percent on the comparison period and stood
at EUR 5,016 million (EUR 6,400 million in 2008). Net sales decreased in all    
reporting segments: in Mining and Construction Technology by 20 percent, in     
Energy and Environmental Technology by 14 percent and in Paper and Fiber        
Technology by 31 percent. The net sales of our services business declined by 12 
percent and its share of total net sales was 41 percent (37% in 2008).          
Measured by net sales, the largest countries were the United States, China and  
Germany, which together accounted for about 29 percent of our total net sales.  


Net sales by reporting segments                                                 
--------------------------------------------------------------------------------
|                         |          2009          |           2008            |
--------------------------------------------------------------------------------
|                         |    EUR |          % of |        EUR |         % of |
|                         | millio |     net sales |    million |    net sales |
|                         |      n |               |            |              |
--------------------------------------------------------------------------------
| Mining and Construction |  2,075 |            41 |      2,586 |           40 |
| Technology              |        |               |            |              |
--------------------------------------------------------------------------------
| Energy and              |  1,523 |            30 |      1,775 |           27 |
| Environmental           |        |               |            |              |
|  Technology             |        |               |            |              |
--------------------------------------------------------------------------------
| Paper and Fiber         |  1,408 |            28 |      2,044 |           32 |
| Technology              |        |               |            |              |
--------------------------------------------------------------------------------
| Valmet Automotive       |     56 |             1 |         65 |            1 |
--------------------------------------------------------------------------------
| Intra-Metso net sales   |    -46 |               |        -70 |              |
--------------------------------------------------------------------------------
| Total                   |  5,016 |           100 |      6,400 |          100 |
--------------------------------------------------------------------------------

Net sales by market area                                                        
--------------------------------------------------------------------------------
|                         |          2009          |           2008            |
--------------------------------------------------------------------------------
|                         |    EUR |          % of |        EUR |         % of |
|                         | millio |     net sales |    million |    net sales |
|                         |      n |               |            |              |
--------------------------------------------------------------------------------
| Europe                  |  2,167 |            44 |      2,680 |           41 |
--------------------------------------------------------------------------------
| North America           |    774 |            15 |      1,015 |           16 |
--------------------------------------------------------------------------------
| South and Central       |    609 |            12 |        770 |           12 |
| America                 |        |               |            |              |
--------------------------------------------------------------------------------
| Asia-Pacific            |  1,080 |            21 |      1,516 |           24 |
--------------------------------------------------------------------------------
| Rest of the world       |    386 |             8 |        419 |            7 |
--------------------------------------------------------------------------------
| Total                   |  5,016 |           100 |      6,400 |          100 |
--------------------------------------------------------------------------------


Financial result                                                                
Our earnings before interest, tax and amortization (EBITA) for 2009 weakened    
from the comparison period and were EUR 334.3 million, or 6.7 percent of net    
sales (EUR 680.9 million and 10.6% in 2008). Our financial result includes      
non-recurring expenses of some EUR 75 million resulting from capacity adjustment
measures, of which around EUR 42 million are related to Paper and Fiber         
Technology, some EUR 22 million to Mining and Construction Technology and some  
EUR 11 million to Energy and Environmental Technology. EBITA before these       
non-recurring capacity adjustment expenses was EUR 409.0 million, i.e. 8.2      
percent of net sales. Other significant non-recurring items included in our     
result were some EUR 23 million in capital gains from the sale of Talvivaara    
Mining Company Plc's shares, EUR 9 million in non-recurring expenses from       
dissolving hedging arrangements related to the cancellation of our Chinese      
customer Zhanjiang Chenming's pulp mill project and EUR 4 million credit loss   
reserve related to the initiation of the debt restructuring proceedings of two  
of our paper industry customers.                                                
The EBITA of Mining and Construction Technology before non-recurring capacity   
adjustment expenses was EUR 224.7 million in 2009, i.e. 10.8 percent of net     
sales, down 38 percent from the year before. The reduced profitability is mainly
attributed to the 20 percent decrease in delivery volumes, low capacity         
utilization rates of production units and tougher price competition towards the 
end of the year.                                                                
The EBITA of Energy and Environmental Technology before non-recurring capacity  
adjustment expenses was EUR 147.5 million, i.e. 9.7 percent of net sales,       
representing a decrease of 26 percent on the previous year. The weakened        
profitability was due to the decrease in delivery volumes and the low capacity  
utilization rate of some production units and tougher pricing environment       
towards the end of the year.                                                    
The EBITA of Paper and Fiber Technology before non-recurring capacity adjustment
expenses was EUR 58.2 million, i.e. 4.1 percent of net sales, representing a    
decrease of 60 percent on the previous year. The lower profitability was due to 
a 31 percent decline in net sales and low capacity utilization rates.           
Our operating profit in 2009 was EUR 293.6 million, or 5.9 percent of net sales 
(EUR 637.2 million and 10.0% in 2008). Operating profit before non-recurring    
expenses related to capacity adjustment measures was EUR 368.3 million or 7.3   
percent of net sales.                                                           
Our net financing expenses in 2009 were EUR 72 million (EUR 89 million in 2008).
Although our cash situation was strong throughout the year, our gross debt level
was higher than in 2008 and this increased our interest expenses to EUR 75      
million (EUR 71 million in 2008).                                               
Our profit before tax was EUR 222 million (EUR 548 million) and our tax rate for
2009 was 32 percent (29% in 2008). Our taxes include a EUR 6 million tax charge 
related to the taxation of our Brazilian operations in 1995-96, which increased 
our tax rate by approximately 3 percentage points.                              
The profit attributable to shareholders in 2009 was EUR 150 million (EUR 389    
million), corresponding to earnings per share (EPS) of EUR 1.06 (EUR 2.75 per   
share).                                                                         
The return on capital employed (ROCE) before taxes was 10.0 percent (23.2%) and 
the return on equity (ROE) was 9.8 percent (26.0%).                             

Cash flow and financing                                                         
Net cash provided by operating activities in 2009 was EUR 770 million (EUR 137  
million in 2008).                                                               
One of our main goals has been to release at least EUR 500 million from our net 
working capital during 2009-2010. Our efforts paid off and we managed to release
EUR 518 million already in 2009. EUR 530 million of this release came from      
inventories and EUR 272 million from trade receivables. Simultaneously, trade   
payables decreased by EUR 173 million and advances received by EUR 160 million. 
As a result of the special inventory control initiative in Mining and           
Construction Technology, its inventories had decreased by EUR 360 million during
2009 by the end of the year.                                                    
As a result of the strong decrease of net working capital and the low level of  
capital expenditure, our free cash flow in 2009 was a strong EUR 717 million    
(EUR 29 million in 2008).                                                       
Net interest-bearing liabilities decreased considerably and were EUR 583 million
at the end of the year (December 31, 2008: EUR 1,099 million). The decrease was 
mainly due to the strong release of net working capital.                        
The total amount of short-term debt maturing over the next 12 months was EUR 242
million at the end of December. EUR 17 million of the short-term debt consisted 
of commercial papers issued in the Finnish markets, EUR 173 million were current
portions of long-term debt and the remainder was local working capital financing
of subsidiaries, mainly in Brazil.                                              
We obtained EUR 365 million of new long-term debt with maturity of 4-5 years.   
The largest single transaction was a EUR 200 million five-year funding          
arrangement under the Euro Medium Term Note (EMTN) program. New loans were      
primarily meant for the refinancing of our existing debt and for the extension  
of the debt maturity structure. The amount of this new long-term debt exceeds   
the repayments of our earlier long-term loans from 2009 until mid 2011. At the  
end of the year, our total cash assets amounted to EUR 976 million. Out of this 
EUR 249 million has been invested in instruments with initial maturity exceeding
three months and the remaining EUR 727 million is being accounted for as cash   
and cash equivalents. The syndicated EUR 500 million revolving loan facility is 
available until late 2011, and it is currently undrawn. Metso's liquidity       
position is good.                                                               
In April, following the Annual General Meeting, we paid EUR 99 million in       
dividends for 2008.                                                             
As a result of strong operating cash flow and low level of capital expenditure, 
our gearing clearly improved in 2009 and was at the end of December 32.5 percent
(75.7%). The equity-to-assets ratio was at the year-end 35.7 percent (30.9%).   
The Tamfelt acquisition, which was carried out as a share exchange, strengthened
our equity to assets ratio by 2 percentage points and lowered our gearing by 3  
percentage points.                                                              

Capital expenditure                                                             
Our gross capital expenditure in 2009, excluding business acquisitions,         
decreased by 54 percent on the comparison period, to EUR 117 million (EUR 255   
million in 2008). The share of maintenance investments was 52 percent, i.e. EUR 
61 million. We maintained strict criteria for new capital expenditure and       
postponed spending in some projects approved in 2007-2008. We will continue     
strict criteria for new capital expenditure in 2010 and estimate them to be     
about on par with the 2009 level.                                               
We are constructing new plant and office premises for the Automation business   
line in Shanghai, China. The Metso Park industrial facility, designed especially
to serve the mining and construction industry, is under construction in         
Rajasthan, India. In Finland, we are upgrading a pilot machine at the Paper     
Technology Center in Jyväskylä. In Zibo we are establishing our third service   
center in China for the pulp and paper industry. We have extended the           
implementation schedules of our Metso Park and Zibo Service Center investments  
due to slowdown in global economic growth. Investment projects in global        
enterprise resource planning systems are underway in Mining and Construction    
Technology and in the Automation business line.                                 

Acquisitions, divestments and joint ventures                                    
In November, we purchased the American Pacific/Hoe Saw&Knife Company's coater   
and doctor blade business, consumables for pulp and paper industry. The annual  
net sales of the purchased business are about USD 5 million.                    
In October we purchased the Danish M&J Industries A/S, a manufacturing company  
of mobile and stationary products for solid-waste crushing. The debt-free       
acquisition price was approximately EUR 15 million. M&J Industries employs some 
100 people and the company's annual net sales are approximately EUR 30 million. 
In May, we sold Metso Paper Turku Works Oy, a manufacturer of air systems for   
the pulp and paper industry, to Stairon Oy. The air system technology and the   
related business will remain in Metso's ownership. Metso Paper Turku Works Oy   
employed 91 people.                                                             
In January, we sold our composites manufacturing business, part of our Paper    
business line, and related assets in Oulu, Finland, to xperion Oy. The annual   
net sales of the divested business were less than EUR 5 million and the number  
of personnel was 21.                                                            

The joint venture MW Power Oy, the result of a combination of Wärtsilä's        
Biopower business and Metso's Heat & Power business, began operations on January
1, 2009. We own 60 percent of the company, and as of January 1, 2009, it has    
been entirely consolidated into our Power business line. An order backlog of    
approximately EUR 116 million was transferred with Wärtsilä Biopower Oy to the  
joint venture. The net sales of the company in 2009 were approximately EUR 100  
million and the number of employees about 100.                                  

Tamfelt acquisition                                                             
In November, we concluded a combination agreement with Tamfelt, one of the      
world's leading suppliers of technical textiles, and subsequently made a public 
exchange offer for all of Tamfelt's shares. The acquisition strengthened our    
services business, particularly in the pulp and paper industry. The acquisition 
creates new growth opportunities for Tamfelt products, especially outside of    
Europe, where Metso has an extensive installed base and a wide sales and        
services network.                                                               
The exchange offer, in which Metso offered three new shares in Metso for every  
ten Tamfelt shares, was carried out in November-December of 2009 and            
successfully completed on December 23, 2009. The shares tendered in the share   
exchange offer represent 95.2 percent of all shares and votes in Tamfelt. Metso 
held 2.8 percent of Tamfelt's shares worth EUR 4 million already before the     
offer. The remainder of Tamfelt's shares, 2.0 percent, will be redeemed with    
cash in the spring of 2010 as per the Finnish Companies Act. A total of         
8,593,642 new Metso shares were subscribed for in the share issue relating to   
the share exchange offer and were registered with the Trade Register on December
28, 2009. The share issue totaling EUR 206 million, corresponding to EUR 23.98  
per share, was recorded into the invested non-restricted equity fund.           
The value of the Tamfelt transaction was EUR 215 million, and when assuming net 
interest bearing debt of EUR 17 million transferred in the transaction, the debt
free transaction value was EUR 232 million. The transaction value exceeded the  
net assets of Tamfelt by EUR 117 million, of which EUR 53 million was allocated 
to acquired customer base, order backlog and technology, and EUR 10 million to  
acquired buildings. We recorded deferred tax liability of EUR 16 million        
resulting from these allocations. The goodwill from the acquisition is EUR 70   
million. The allocated values to intangible assets and buildings are amortized  
during their economically useful lives. The amortization is about EUR 15 million
in 2010, EUR 7 million in 2011 and 2012, and EUR 4 million thereafter. Tamfelt's
balance sheet and personnel were consolidated into Metso as of December 31,     
2009, and as of January 1, 2010, Tamfelt is functionally and administratively a 
part of our Paper and Fiber Technology segment.                                 

Research and development                                                        
Our research and development activities focus on environmental technology, such 
as energy and raw material efficiency, utilization of recycled raw materials,   
process control technology and, increasingly, on new services business          
solutions, which also play a role in supporting sustainable development. As a   
result of the global economic downturn, we have concentrated our R&D work on    
projects that offer the best potential for capitalizing on our future growth    
opportunities.                                                                  
Our R&D expenses were EUR 115 million in 2009, i.e. 2.3 percent of Metso's net  
sales (EUR 134 million and 2.1% in 2008). In addition to this, expenses for     
intellectual property rights amounted to EUR 15 million (EUR 14 million). R&D   
employed 763 people (905) in 2009. Our R&D resources are spread throughout 40   
networked units in Europe, North America, South America and Asia. Our personnel 
made approximately 620 invention disclosures (900), which led to more than 200  
priority patent applications (230). At the end of the year, approximately 3,000 
Metso inventions were protected by patents (3,000).                             
During 2009, we launched about 80 new products. One example, DNAmachineAssessor,
a product that complements our automation solutions, helps to predict equipment 
maintenance needs and prevent disruptions in production. We have also developed 
new crushing and screening solutions that provide higher capacity utilization   
and eco-efficiency through improved process optimization. We strengthened our   
offering for the pulp and paper industry by introducing several new solutions   
and services that improve the energy and process efficiency of production lines.

Environment and environmental technology                                        
The environmental impact of our own production is minor and relates mainly to   
the consumption of raw materials and energy, emissions to air, water consumption
and waste. We are continuously improving our environmental management practices 
and the eco-efficiency of our production facilities, as well as developing our  
co-operation, aiming at environmental efficiency with our subcontractors and the
entire supply chain.                                                            
In 2009, we set global energy savings and carbon dioxide emissions targets for  
our production operations in an effort to reduce our energy consumption and     
emissions by 15 percent by 2015 and 20 percent by 2020, in line with the EU     
goals.                                                                          
Many of Metso's environmental technology solutions have been developed in close 
co-operation with our customers. The solutions are related to renewable energy  
solutions, energy efficiency of our customers' production processes, waste      
management, recycling, efficient utilization of raw materials and water,        
reducing dust, noise, carbon dioxide and particle emissions, and process        
optimization, to name a few. About 60 percent of Metso's net sales can be       
classified as environmental business, according to the OECD definition.         
During the year, we launched several co-operation projects with our partners    
like UPM, Fortum and VTT (Technical Research Center of Finland). These projects 
cover, for example, the manufacture of bio-oil from biomass and the utilization 
of bio-oil as an alternative to fossil fuels and exploring oxyfuel combustion   
technology. Oxyfuel combustion enables carbon capture in power and heat         
generation.                                                                     
We also provide training, maintenance and other services related to our         
technology. We take care of the entire life-cycle of production processes and   
promote the optimal and environmentally sustainable way to use our solutions.   

Risks and business uncertainties                                                
Our operations are affected by various strategic, financial, operational and    
hazard risks. We take measures to manage and limit the potential adverse effects
of these risks. If such risks materialized, they could have material adverse    
effects on our business, financial situation, and operating result or on the    
value of Metso shares and other securities.                                     
Our risk assessments take into consideration the probability of the risks and   
the estimated impact of them on our net sales and financial results. The        
management estimates that the overall risk level of the company is currently    
manageable in proportion to the scope of our operations and the practical       
measures available to manage these risks.                                       
Due to the uncertainty in the financial markets and the slow-down of global     
economic growth, our operating environment was demanding in 2009, and in        
particular the risks related to cyclical fluctuations and financing were in     
focus. We estimate that the operating environment will continue to be demanding,
even though financial markets have stabilized and there are first signs of      
gradual recovery in the global economy and in demand.                           
Uncertainty surrounding projects in our order backlog has decreased, and about  
14 percent of our order backlog had uncertain delivery schedules at the end of  
the year. We apply the percentage-of-completion method to long-term delivery    
agreements, meaning that we recognize revenue on long-term delivery agreements  
according to the progress of the delivery. The customer advance payment is      
typically 10-30 percent of the value of the project, in addition to which the   
customer makes progress payments based on the milestones during the project     
execution, which significantly decreases risk related to projects as well as our
need for financing. We continually assess our customers' creditworthiness and   
ability to meet their obligations. If a customer faces liquidity problems, we   
will discuss the possibility of changing project delivery schedules and terms of
payment and any other measures needed. As a rule, we do not finance customer    
projects.                                                                       
We have adjusted our capacity and cost structure to correspond with the current 
demand, in order to maintain our competitiveness. The slowdown in global        
economic growth has led to tougher price competition, which we are partly able  
to compensate in lower procurement costs. Although there have been no major     
changes in our competitive field in 2009, the situation might change due to     
bankruptcies, acquisitions and the arrival of new players.                      
The levels of net working capital and capital expenditure have a fundamental    
effect on the adequacy of financing. We have successfully released cash from net
working capital in 2009. Although we have developed our net working capital     
management practices, there is a risk that working capital will start to grow   
again when economic activity picks up. We do not have any large-scale investment
projects underway, and we estimate that we are well positioned to keep our      
capital expenditure at a moderate level in the coming years.                    
Securing the continuity of our operations requires that sufficient funding is   
available under all circumstances. The financial crisis, which is still         
affecting the financial markets, could make the availability of debt financing  
more difficult and/or raise the cost thereof. We estimate that our cash assets, 
totaling EUR 976 million in December 31, 2009, and available credit facilities  
are sufficient to secure short-term liquidity. Our committed credit facilities  
available for withdrawal amounted at the year-end to EUR 500 million. The       
average repayment period for our long-term loan capital is 3.4 years and more   
than half of our long-term debt will mature after 2011. There are no prepayment 
covenants in our debt facilities that would be triggered by changes in credit   
ratings. Some of our debt facilities include financial covenants related to     
capital structure. Currently we fully meet the covenants and other terms related
to our financing agreements and we consider our flexibility in relation to these
to be adequate.                                                                 
Changes in the prices of raw materials and components could affect our          
profitability. However, the risk of increased direct procurement costs typically
diminishes during an economic downturn. On the other hand, some of our customers
are raw material producers, whose ability to operate and invest may be hampered 
by declining raw material prices.                                               
We had EUR 863 million of goodwill on our balance sheet at the end of 2009,     
which was related to business acquisitions made over the last 10 years.         
Following the significant changes in our business environment, we have conducted
impairment testing reviews at the end of every quarter since September 2008, and
have not found any impairment necessary. The quarterly testing reviews have been
conducted with the same principles as the annual tests and the discount rates   
have been adjusted when appropriate. The principles of the impairment testing   
are presented in our annual report.                                             
Around EUR 350 million of the goodwill on our balance sheet arises from the     
acquisition of Svedala in 2001, and is thereby related to the Mining and        
Construction Technology segment and the Recycling business line. EUR 260 million
of our goodwill stems from the Aker Kvaerner Pulping and Power business         
operations, which were acquired at the end of 2006. This is allocated to our    
Power and Fiber business lines. EUR 50 million of our goodwill arises from the  
Beloit paper machine maintenance operations acquired in 2000, which is allocated
to our Paper and Fiber Technology segment. EUR 70 million of the goodwill is the
result of our acquisition of Tamfelt's technical textile business at the end of 
2009. The remainder of our goodwill stems from several smaller acquisitions. In 
proportion to net sales and profitability, the largest share of goodwill is held
by our Power business line. Its outlook is good due to the favorable growth     
outlook for power generation based on renewable energy sources. Goodwill related
to the Tamfelt business is relatively high, as a consequence of the increase in 
Metso's share price between the launch of the share exchange offer in November  
2009 and the completion of it towards the end of December 2009.                 
Currency exchange rate risks are among the most substantial financial risks.    
Exchange rate changes can affect our business, although the wide geographical   
scope of our operations decreases the impact of any individual currency. The    
general uncertainty in the economy is likely to increase exchange rate          
fluctuations. We hedge the currency exposures that arise from firm delivery and 
purchase agreements. In addition, our units can hedge anticipated foreign       
currency denominated cash flows by taking into account the significance of such 
cash flows, the competitive situation and other opportunities to adapt.         

Subpoena from the United States Department of Justice requiring Metso to produce
documents                                                                       
In November 2006, Metso Minerals Industries, Inc., our U.S. subsidiary, received
a subpoena from the Antitrust Division of the United States Department of       
Justice calling for Metso Minerals Industries, Inc. to produce certain          
documents. The subpoena relates to an investigation of potential antitrust      
violations in the rock crushing and screening equipment industry. We are        
co-operating fully with the Department of Justice. We recognized about EUR 1.5  
million in expenses resulting from the inquiry in 2009. No separate provision   
relating to the investigation has been recognized in the 2009 financial         
statements.                                                                     

Adjusting capacity to demand                                                    
We began adjusting our capacity and cost structure to the lower demand already  
in early 2008 and continued the measures during 2009. Our aim has been to secure
the competitiveness, flexibility and profitability of our operations. This has  
meant reducing the use of external work force, reducing permanent personnel,    
temporary lay-offs, and shorter work time, closing down smaller units and tight 
cost discipline throughout the organization.                                    
We estimated originally that if our net sales would come down 25-30 percent     
during this down cycle from the 2008 level and we would target satisfactory     
profitability we would need to reduce our annual capacity cost (all fixed costs 
related to our operations, including personnel costs) by about EUR 500-600      
million. As the actual decline in our net sales has been about 20 percent, and  
we do not foresee currently further deterioration of net sales, the capacity    
cost adjustment need is reduced to EUR 400-450 million. We estimate that the    
measures we have initiated by the end of 2009 almost entirely cover the EUR     
400-450 million adjustment need, and that more than half of the savings impacts 
of these measures materialized already in 2009. Over half of the savings stem   
from personnel reductions and the rest from other measures. The cost savings    
yielded by personnel reductions are more permanent by nature, while the majority
of other costs are expected to come back gradually, as market activity recovers.
From the end of June 2008 to the end of 2009 we have reduced the number of our  
permanent personnel by 3,848. Additionally, decisions have already been made or 
negotiations are ongoing to further reduce the number of personnel by 760 during
the first half of 2010. Altogether, we estimate that our personnel will be      
reduced by approximately 4,600 people between June 2008 to mid-2010. About 3,000
of them are from Finland and Sweden.                                            
During 2009, we recorded about EUR 75 million in non-recurring expenses         
resulting from these personnel reductions and unit closures.                    
In 2009, selling, general and administrative expenses decreased by about EUR 140
million on a comparable basis from 2008 and our personnel related costs         
recognized in cost of goods sold decreased by about EUR 100 million. In addition
to personnel-related costs there has also been a reduction in other fixed costs 
of goods sold items.                                                            
The number of personnel decreased in Mining and Construction Technology by 15   
percent, the most in Finland, Brazil and the United States. The number of       
personnel in Energy and Environmental Technology declined primarily in Finland  
and the United States. The number of personnel in Paper and Fiber Technology    
decreased especially in Finland and Sweden.                                     
The table below details the personnel reductions related to the capacity        
adjustment measures.                                                            
--------------------------------------------------------------------------------
|                            |   Mining and | Energy and | Paper and |   Metso |
|                            | Construction |   Environ- |     Fiber |         |
|                            |   Technology |     mental |     Tech- |         |
|                            |              | Technology |    nology |         |
--------------------------------------------------------------------------------
| Personnel as of June 30,   |       10,503 |      6,311 |    10,089 |  28,069 |
| 2008                       |              |            |           |         |
--------------------------------------------------------------------------------
| Acquisitions, July 2008 -  |          590 |        223 |     2,421 |   3,234 |
| December 2009              |              |            |           |         |
--------------------------------------------------------------------------------
| Divestitures, July 2008 -  |            - |          - |      -289 |    -289 |
| December 2009              |              |            |           |         |
--------------------------------------------------------------------------------
| Comparable personnel       |       11,093 |      6,534 |    12,221 |  31,014 |
| amount                     |              |            |           |         |
--------------------------------------------------------------------------------
| Personnel as of December   |        9,541 |      6,060 |    10,459 |  27,166 |
| 31, 2009                   |              |            |           |         |
--------------------------------------------------------------------------------
| Actual reduction July      |        1,552 |        474 |     1,762 |   3,848 |
| 2008-                      |              |            |           |         |
| December 2009              |              |            |           |         |
--------------------------------------------------------------------------------
| Estimated additional       |          200 |        170 |       390 |     760 |
| reductions decided         |              |            |           |         |
| and underway               |              |            |           |         |
--------------------------------------------------------------------------------
| Total personnel reductions |       1 ,752 |        644 |     2,152 |   4,608 |
| decided                    |              |            |           |         |
--------------------------------------------------------------------------------
| Temporary lay-offs in man  |              |            |           |     600 |
| years                      |              |            |           |         |
--------------------------------------------------------------------------------

Personnel                                                                       
At the end of the year, Metso had 27,166 employees, which was 2,156 less than at
the end of 2008 (29,322 employees on December 31, 2008). The number of employees
declined in all reporting segments and especially in Finland and Sweden, as a   
result of capacity adjustment measures. The acquisitions concluded during the   
year brought about 1,600 new employees to Metso and when excluding this,        
personnel reduction was about 3,750. The share of our personnel working in the  
emerging markets stayed on par with the previous year and was 31 percent. During
January-December, we had an average of 27,813 employees.                        
Mining and Construction Technology employed 35 percent of our personnel, the    
Energy and Environmental Technology 22 percent, and the Paper and Fiber         
Technology 39 percent, while Valmet Automotive, service centers and Group Head  
Office employed 4 percent of the personnel. The countries with the largest      
numbers of personnel were Finland, the United States, Sweden, China and Brazil. 
These countries employed 69 percent of Metso's total personnel.                 
Despite the demanding environment, we continued renewing our global HR          
management practices and the supporting processes, systems and organization. We 
also carried out our key training programs and continued developing work safety.
During 2009, we decided to set new Metso-wide targets for occupational health   
and safety. We set a common, global target to decline the amount of lost time   
incidents in our units. Our goal for every Metso unit is less than 10 lost time 
incidents per million working hours from 2012 onwards.                          
The salaries and wages of Metso employees are determined on the basis of local  
collective and individual agreements, employee performance and job evaluations. 
Basic salaries and wages are complemented by performance-based compensation     
systems. In 2009, altogether EUR 991 million were paid in salaries and wages    
(EUR 1,066 million in 2008).                                                    


Personnel by area                                                               
--------------------------------------------------------------------------------
|                    | Dec 31, |  % of total | Dec 31, | % of total |   Change |
|                    |    2009 |   personnel |    2008 |  personnel |        % |
--------------------------------------------------------------------------------
| Finland            |   8,746 |          32 |   9,252 |         32 |       -5 |
--------------------------------------------------------------------------------
| Other Nordic       |   2,995 |          11 |   3,332 |         11 |      -10 |
| countries          |         |             |         |            |          |
--------------------------------------------------------------------------------
| Rest of Europe     |   3,678 |          13 |   3,842 |         13 |       -4 |
--------------------------------------------------------------------------------
| North America      |   3,428 |          13 |   3,964 |         14 |      -14 |
--------------------------------------------------------------------------------
| South and Central  |   2,618 |          10 |   2,991 |         10 |      -12 |
| America            |         |             |         |            |          |
--------------------------------------------------------------------------------
| Asia-Pacific       |   4,316 |          16 |   4,469 |         15 |       -3 |
--------------------------------------------------------------------------------
| Rest of the world  |   1,385 |           5 |   1,472 |          5 |       -6 |
--------------------------------------------------------------------------------
| Total              |  27,166 |         100 |  29,322 |        100 |       -7 |
--------------------------------------------------------------------------------


Corporate Governance Statement                                                  
We have prepared a separate Corporate Governance Statement which follows the    
recommendations of the Finnish Corporate Governance Code for listed companies.  
It also covers other central areas of corporate governance. The statement is    
included in our Annual Report, and it is published separately from the Board of 
Directors' Report. The statement is also available on our website at            
www.metso.com.                                                                  

Changes in top management                                                       
Perttu Louhiluoto was appointed Senior Vice President, EMEA market area, Mining 
and Construction Technology in July. In his new position he renounced his       
membership of the Metso Executive Team and Metso Executive Forum.               
In July, the Group's Senior Vice President, HR Merja Kamppari was appointed as a
member of the Metso Executive Forum. Heinz Gerdes, former President of our      
Recycling business line, retired at the end of 2009 and renounced his membership
in the Metso Executive Forum.                                                   
Mr. Celso Tacla, the President of Paper and Fiber Technology in South America,  
was appointed as a new member to our Metso Excecutive Forum from January 22,    
2010 onwards.                                                                   

Financial targets and dividend policy                                           
In connection with our annual strategy round in August, our long-term financial 
targets were evaluated and kept unchanged. For further information on financial 
targets, please see our website: www.metso.com/investors.                       

Decisions of our Annual General Meeting                                         
Our Annual General Meeting on March 31, 2009 approved the accounts for 2008 and 
decided to discharge the members of the Board of Directors and the President and
CEO from liability for the financial year 2008. In addition, the Annual General 
Meeting approved the proposals of the Board of Directors to authorize the Board 
of Directors to resolve of a repurchase of Metso's own shares, to issue new     
shares and to grant special rights.                                             
The Annual General Meeting decided that a dividend of EUR 0.70 per share will be
paid for the financial year which ended on December 31, 2008. The dividend was  
paid on April 15, 2009. In addition, the Annual General Meeting authorized the  
Board of Directors to decide, at its discretion and when the economic situation 
of Metso favors it, on the payment of a dividend of no more than EUR 0.68 per   
share in addition to the above-mentioned dividend. In July 2009, the Board of   
Directors decided not to pay any additional dividends. At the time, Metso's     
financial result and position were stable and had developed according to the    
expectations of Metso's management, but the market outlook for 2010 continued to
be uncertain.                                                                   
The Annual General Meeting elected Jukka Viinanen Chairman of the Board and     
Jaakko Rauramo Vice Chairman of the Board. Pia Rudengren was elected as a new   
member of the Board. The Board members re-elected were Maija-Liisa Friman,      
Christer Gardell, Arto Honkaniemi and Yrjö Neuvo. Our long-term Chairman of the 
Board, Matti Kavetvuo, had announced that he is not available for re-election.  
The term of office of Board members lasts until the end of the next Annual      
General Meeting.                                                                
The Annual General Meeting decided that the annual remunerations for Board      
members would be EUR 92,000 for the Chairman, EUR 56,000 for the Vice Chairman  
and EUR 45,000 for the members and that the meeting fee including committee     
meetings be EUR 600 for each meeting they attend.                               
The auditing company, Authorized Public Accountants PricewaterhouseCoopers Oy,  
was re-elected as our Auditor until the end of the next Annual General Meeting. 
The Annual General Meeting decided to establish a Nomination Committee of the   
Annual General Meeting to prepare proposals for the following Annual General    
Meeting regarding the composition of the Board of Directors and director        
remuneration.                                                                   

Members of Metso Board Committees and personnel representatives                 
Our Board of Directors elected members from among the Board for the Audit       
Committee and Remuneration and HR Committee at its assembly meeting on March 31,
2009. The Board's Audit Committee consists of Maija-Liisa Friman (Chairman),    
Arto Honkaniemi and Pia Rudengren. The Board's Remuneration and HR Committee    
consists of Jukka Viinanen (Chairman), Christer Gardell, Yrjö Neuvo and Jaakko  
Rauramo.                                                                        
Metso's personnel groups in Finland have elected Jukka Leppänen as the personnel
representative. He participates in the meetings of our Board of Directors as an 
invited external expert, and his term of office is the same as the Board        
members' term.                                                                  

Shares and share capital                                                        
At the end of 2009, our share capital was EUR 240,982,843.80 and the number of  
shares was 150,348,256. The number of shares includes 409,617 Metso shares held 
by the parent company, which represent 0.27 percent of all the shares and votes.
The average number of shares outstanding in 2009, excluding Metso shares held by
the Parent Company, was 141,477,476.                                            
In December 2009, 8,593,642 new Metso shares were issued and entered in the     
Trade Register. The new shares were related to the execution of Metso's share   
exchange offer for Tamfelt Corporation. The new shares carry the right to       
dividend and other distribution of assets as well as other shareholder rights in
Metso as of the registration date.                                              
In December 2009, MEO1V Incentive Ky, a limited partnership established to      
manage Metso's share ownership plans, was dissolved and the remaining 48,776    
Metso shares it had were transferred to Metso Corporation's direct ownership.   
In February 2009, we executed a repurchase of 300,000 of our own shares relating
to our share-based management incentive program decided on in October 2008      
(Metso Share Ownership Plan 2009-2011). The average purchase price of the shares
was EUR 8.28 and the total amount EUR 2,483,495.48.                             
Our market capitalization, excluding Metso shares held by the Parent Company,   
was EUR 3,693 million on December 31, 2009.                                     
Metso Board members and their interest parties held altogether 15,600 shares on 
December 31, 2009, which is 0.01 percent of the paid up share capital and votes 
in Metso. The Metso Executive Team and their interest parties held altogether   
75,251 Metso Corporation shares at the end of December, which is 0.05 percent of
the paid up share capital and votes. The holdings of the Board of Directors and 
Metso Executive Team equaled 0.06 percent of the paid up share capital and votes
in Metso. Up-to-date information concerning the holdings of Metso's statutory   
insiders is available on our website: www.metso.com/investors.                  
Metso is not aware of any valid shareholders' agreements regarding the ownership
of Metso shares or voting rights.                                               

Share-based incentive plans                                                     
Metso's share ownership plans are part of the remuneration and commitment       
program for the management of the Group and the businesses. For further         
information, please see our website: www.metso.com/investors.                   
Share ownership plan 2006-2008                                                  
In March 2009, we distributed the rewards from the 2008 share ownership plan    
according to the earnings criteria determined by the Board of Directors. Shares 
amounting to 34,265 were distributed as rewards, corresponding to approximately 
0.02 percent of all Metso shares. Members of the Executive Team received 6,996  
shares, i.e. 25 percent of the maximum amount.                                  
Share ownership plan for 2009-2011                                              
In October 2008, the Board of Directors approved a new share ownership plan for 
the years 2009-2011. The plan includes one three-year earnings period and       
requires participants' personal investment in Metso shares at the beginning of  
the program. Any possible reward from the plan requires continued employment    
with Metso and reaching the financial targets set for the plan. Around 89 key   
persons are participating in the program and the rewards paid may correspond    
with a maximum of 373,175 Metso shares. The shares for the plan are acquired in 
public trading and therefore the plan will not have diluting effect on the share
value. Members of the Executive Team may receive a maximum of 77,400 shares as  
share rewards in the 2009-2011 plan.                                            
Share ownership plan for 2010-2012                                              
In October 2009, the Board of Directors approved a similar share ownership plan 
for the years 2010-2012. The plan includes one three-year earnings period and   
requires participants' personal investment in Metso shares. Any possible reward 
from the plan requires continued employment with Metso and reaching the         
financial targets set for the plan. Around 92 key persons are participating in  
the program and the rewards paid may correspond with a maximum of around 343,000
Metso shares. The shares for the plan are acquired in public trading and        
therefore the plan will not have diluting effect on the share value. Members of 
the Executive Team may receive a maximum of 77,400 shares as share rewards in   
the 2010-2012 plan.                                                             

REPORTING SEGMENTS                                                              

Mining and Construction Technology                                              

--------------------------------------------------------------------------------
| EUR million           | Q4/0 | Q4/08 |  Change |    2009 |    2008 |  Change |
|                       |    9 |       |       % |         |         |       % |
--------------------------------------------------------------------------------
| Net sales             |  524 |   717 |     -27 |   2,075 |   2,586 |     -20 |
--------------------------------------------------------------------------------
| Net sales of services |  228 |   296 |     -23 |     967 |   1,078 |     -10 |
| business              |      |       |         |         |         |         |
--------------------------------------------------------------------------------
|    % of net sales     |   44 |    42 |         |      47 |      42 |         |
--------------------------------------------------------------------------------
| Earnings before       | 45.6 |  91.9 |     -50 |   202.8 |  361.2  |     -44 |
| interest, tax and     |      |       |         |         |         |         |
| amortization (EBITA)  |      |       |         |         |         |         |
--------------------------------------------------------------------------------
|    % of net sales     |  8.7 |  12.8 |         |     9.8 |   14.0  |         |
--------------------------------------------------------------------------------
| Operating profit      | 44.2 |  91.3 |     -52 |   198.8 |  358.4  |     -45 |
--------------------------------------------------------------------------------
|    % of net sales     |  8.4 |  12.7 |         |     9.6 |   13.9  |         |
--------------------------------------------------------------------------------
| Orders received       |  457 |   339 |      35 |   1,660 |   2,709 |     -39 |
--------------------------------------------------------------------------------
| Order backlog at end  |      |       |         |   1,041 |   1,492 |     -30 |
| of period             |      |       |         |         |         |         |
--------------------------------------------------------------------------------
| Personnel at end of   |      |       |         |   9,541 |  11,259 |     -15 |
| period                |      |       |         |         |         |         |
--------------------------------------------------------------------------------


Net sales of Mining and Construction Technology decreased by 20 percent on the  
comparison period and were EUR 2,075 million in 2009. The Mining business line's
net sales declined by about 12 percent, while the net sales of the Construction 
business line were down by about 31 percent. While the services business net    
sales decreased by 10 percent on the comparison period, they accounted for 47   
percent of the segment's net sales (42% in 2008).                               
Mining and Construction Technology's operating profit for 2009 was EUR 198.8    
million, i.e. 9.6 percent of net sales (EUR 358.4 million and 13.9%). Operating 
profit was burdened by about EUR 22 million in non-recurring expenses relating  
to capacity adjustment measures that were carried out in several units. The     
operating profit included also about EUR 23 million in capital gains relating to
the sale of shares in Talvivaara Mining Company Plc. The profitability of the   
Mining business line weakened, but remained good. The profitability of the      
Construction business line, on the other hand, weakened clearly from 2008 due to
the low delivery volumes and capacity utilization rates in the manufacturing    
units and non-recurring expenses relating to the capacity adjustment measures.  
Towards the end of the year, the profitability was also negatively affected by  
tougher price competition and the use of promotional pricing to de-stock        
equipment and parts from inventories.                                           
The value of orders received decreased by 39 percent on the comparison period   
and was at the end of the year at EUR 1,660 million (EUR 2,709 million in 2008).
The value of new orders received declined in both business lines, and in all    
geographical areas. The relative share of orders received from emerging markets 
remained on par with the previous year, amounting to 51 percent (50% in 2008).  
About EUR 112 million worth of previously received orders were cancelled during 
the year. Among the biggest new orders of the year was a fine crushing and      
screening system for Norsk Stein in Norway. We also signed a multi-year service 
agreement with AngloGold Ashanti Iduapriem Mine in Ghana including the          
maintenance management services and technical support as well as hands-on       
training.                                                                       
At the end of December, the order backlog was 30 percent lower than at the end  
of December 2008, amounting to EUR 1,041 million (EUR 1,492 million at December 
31, 2008). When eliminating the impact of cancelled orders, the order backlog   
was 23 percent lower than the year before. Around EUR 150 million of the mining 
equipment orders in the order backlog have open delivery schedules.             


Energy and Environmental Technology                                             

--------------------------------------------------------------------------------
| EUR million           | Q4/0 | Q4/08 |  Change |    2009 |    2008 |  Change |
|                       |    9 |       |       % |         |         |       % |
--------------------------------------------------------------------------------
| Net sales             |  419 |   503 |     -17 |   1,523 |   1,775 |     -14 |
--------------------------------------------------------------------------------
| Net sales of services |  137 |   151 |      -9 |     516 |     548 |      -6 |
| business              |      |       |         |         |         |         |
--------------------------------------------------------------------------------
|    % of net sales     |   33 |    30 |         |      35 |      32 |         |
--------------------------------------------------------------------------------
| Earnings before       | 32.8 |  60.5 |     -46 |   136.3 |   198.3 |     -31 |
| interest, tax and     |      |       |         |         |         |         |
| amortization (EBITA)  |      |       |         |         |         |         |
--------------------------------------------------------------------------------
|    % of net sales     |  7.8 |  12.0 |         |     8.9 |    11.2 |         |
--------------------------------------------------------------------------------
| Operating profit      | 27.8 |  56.0 |     -50 |   118.1 |   176.0 |     -33 |
--------------------------------------------------------------------------------
|    % of net sales     |  6.6 |  11.1 |         |     7.8 |     9.9 |         |
--------------------------------------------------------------------------------
| Orders received       |  504 |   341 |      48 |   1,297 |   1,658 |     -22 |
--------------------------------------------------------------------------------
| Order backlog at end  |      |       |         |   1,032 |   1,204 |     -14 |
| of period             |      |       |         |         |         |         |
--------------------------------------------------------------------------------
| Personnel at end of   |      |       |         |   6,060 |   6,357 |      -5 |
| period                |      |       |         |         |         |         |
--------------------------------------------------------------------------------

The net sales of Energy and Environmental Technology declined by 14 percent on  
the comparison period and were EUR 1,523 million. Net sales decreased the most  
in the Recycling business line, by 34 percent. Net sales of the Power business  
line fell by 6 percent and the Automation business line 14 percent. The net     
sales of services business decreased by 6 percent on the comparison period and  
accounted for 35 percent of the segment's net sales (32% in 2008).              
Energy and Environmental Technology's earnings before interest, tax and         
amortization (EBITA) weakened from the comparison year and were EUR 136.3       
million, or 8.9 percent of net sales (EUR 198.3 million and 11.2% in 2008).     
EBITA includes about EUR 11 million in non-recurring expenses relating to       
capacity adjustment measures before which the EBITA margin was 9.7 percent.     
The Power business line's EBITA-margin improved slightly over the previous year 
and in the Automation business line it weakened but remained good. The          
profitability of the Recycling business line fell to a weak level, due to low   
delivery volumes, tight price competition and low capacity utilization rates.   
The value of orders received fell by 22 percent from the comparison period and  
totaled EUR 1,297 million. Orders received by the Power business line stayed at 
about the same level as the year before. In the Automation business line, new   
orders declined by about one fourth from 2008. In the Recycling business line   
new orders dropped to a clearly lower level than in the previous year. EUR 96   
million worth of orders previously received by the Energy and Environmental     
Technology segment were cancelled. The biggest single cancelled order was       
Zhanjiang Chenming recovery boiler, worth about EUR 60 million. The remaining   
cancellations were related to the Recycling business line. Energy customers in  
particular accounted for the largest new orders such as a new waste-to-energy   
power boiler for Industrias Celulosa Aragonesa (SAICA) in Spain, a power boiler 
and automation system for PGE Zespól Elektrowni Dolna Odra S.A. in Poland, a    
biomass boiler with automation system to Nacogdoches in the United States and a 
waste gasification plant and automation system for Lahti Energy Oy in Finland.  
We also received a large automation package order for Shandong Huatai Paper's   
new paper machine line in China.                                                
The order backlog at the end of the year, EUR 1,032 million, was 14 percent     
lower (or 6 percent lower when eliminating the impact of cancelled orders) than 
at the end of 2008. The order backlog includes projects worth approximately EUR 
100 million with uncertain delivery schedules. These include, among others, the 
deliveries of power boiler and automation technology for Fibria's pulp mill     
project in Brazil.                                                              


Paper and Fiber Technology                                                      

--------------------------------------------------------------------------------
| EUR million           | Q4/0 | Q4/08 |  Change |    2009 |    2008 |  Change |
|                       |    9 |       |       % |         |         |       % |
--------------------------------------------------------------------------------
| Net sales             |  406 |   627 |     -35 |   1,408 |   2,044 |     -31 |
--------------------------------------------------------------------------------
| Net sales of services |  159 |   204 |     -22 |     569 |     718 |     -21 |
| business              |      |       |         |         |         |         |
--------------------------------------------------------------------------------
|    % of net sales     |   39 |    33 |         |      41 |      35 |         |
--------------------------------------------------------------------------------
| Earnings before       | -3.3 |  51.2 |     n/a |    16.5 |  146.1  |     -89 |
| interest, tax and     |      |       |         |         |         |         |
| amortization (EBITA)  |      |       |         |         |         |         |
--------------------------------------------------------------------------------
|    % of net sales     | -0.8 |   8.2 |         |     1.2 |    7.1  |         |
--------------------------------------------------------------------------------
| Operating profit      | -7.0 |  46.9 |     n/a |     0.8 |  130.1  |     -99 |
--------------------------------------------------------------------------------
|    % of net sales     | -1.7 |   7.5 |         |     0.1 |    6.4  |         |
--------------------------------------------------------------------------------
| Orders received       |  401 |   207 |      94 |   1,384 |   2,021 |     -32 |
--------------------------------------------------------------------------------
| Order backlog at end  |      |       |         |   1,380 |   1,434 |      -4 |
| of period             |      |       |         |         |         |         |
--------------------------------------------------------------------------------
| Personnel at end of   |      |       |         |  10,459 |  10,544 |      -1 |
| period                |      |       |         |         |         |         |
--------------------------------------------------------------------------------

The net sales of Paper and Fiber Technology decreased by 31 percent in 2009 and 
were EUR 1,408 million. Net sales of the services business declined by 21       
percent in 2009 due to the overall slowdown in the markets and low capacity     
utilization rates in our customer industries. However, services business        
accounted for 41 percent of net sales (35% in 2008), and the increase was mainly
due to low equipment sales.                                                     
Paper and Fiber Technology's EBITA was EUR 16.5 million, i.e. 1.2 percent of net
sales (EUR 146.1 million and 7.1% in 2008). EBITA includes about EUR 42 million 
in non-recurring expenses resulting from capacity adjustment measures. EBITA    
before the above-mentioned capacity adjustment expenses was EUR 58.2 million,   
i.e. 4.1 percent of net sales. Other non-recurring items affecting the financial
result were EUR 9 million in hedging arrangement dissolution costs related to   
the cancellation of the Zhanjiang Chenming pulp mill project, and a credit loss 
provision of around EUR 4 million due to the initiation of the debt             
restructuring proceedings of two of our U.S. customers. The Paper business      
line's EBITA before capacity adjustment expenses remained satisfactory, while   
the Fiber business line's EBITA before capacity adjustment expenses was         
negative, mainly due to the dramatic decrease in volumes. The segment's         
profitability was also weakened by the lower capacity utilization rates of our  
production and engineering units.                                               
Demand for new production lines and machinery for the paper and board and the   
tissue industries remained satisfactory. Demand for machinery and equipment for 
the pulp industry was weak, although it improved in the fourth quarter. Overall,
the value of orders received by Paper and Fiber Technology decreased by 32      
percent on the comparison period and was EUR 1,384 million. Among the largest   
orders received were a fine paper production line for Zhanjiang Chenming, a     
coated fine paper line for Shandong Huatai Paper and a coated fine paper        
production line for Shouguang MeiLun Paper Co. Ltd. The order backlog at the end
of December was EUR 1,380 million and around EUR 240 million of this relates to 
the pulp mill project for Fibria, where the delivery schedule is open. When     
eliminating the impact of cancelled orders, the order backlog was 5 percent     
higher than year before.                                                        

Valmet Automotive                                                               
Valmet Automotive's net sales in 2009 totaled EUR 56 million (EUR 65 million in 
2008). The operating loss was EUR 8.2 million (EUR 3.5 million loss in 2008).   
During the year, Valmet Automotive's production volumes decreased dramatically  
and it produced an average of 63 vehicles a day (87 vehicles a day in 2008). At 
the end of December, Valmet Automotive employed 679 people (783 employees on    
December 31, 2008).                                                             
In August, Valmet Automotive signed an agreement with the Norwegian company     
Think Global AS for manufacturing and engineering the Think City electric car.  
Planned production volumes amount to several thousand cars annually. The series 
production began at the end of 2009.                                            
In January, Valmet Automotive signed an agreement with the Danish company Garia 
A/S for the engineering and manufacturing of an electric golf car. The agreement
spans several years and involves the production of a few thousand Garia golf    
cars annually. The series production started at the end of 2009.                
At the end of 2008, Valmet Automotive and the U.S. company Fisker Automotive    
Inc. signed a long-term co-operation agreement on the engineering and           
manufacturing of Fisker Karma plug-in hybrid cars in Finland. The first Fisker  
Karma hybrid vehicles will be delivered in 2010. The annual production is       
projected to reach 15,000 cars in full production.                              
Valmet Automotive's current assembly contract with Porsche will continue until  
2012.                                                                           

Events after the review period                                                  
Metso's Nomination Committee proposes seven members to the Board                
The Nomination Committee established by Metso's Annual General Meeting proposes 
to the next Annual General Meeting, which is planned to be held on March 30,    
2010, that the number of Board members is seven.                                
The Nomination Committee proposes that from the current Board members           
Maija-Liisa Friman, Christer Gardell, Yrjö Neuvo, Pia Rudengren and Jukka       
Viinanen be re-elected. Jukka Viinanen is proposed to be elected as Chairman of 
the Board and Maija-Liisa Friman as Vice Chairman. The Nomination Committee also
proposes that Mr. Erkki Pehu-Lehtonen and Mr. Mikael von Frenckell shall be     
elected as the new members of Metso Board.                                      
The Nomination Committee proposes that the annual remuneration payable to the   
members of the Board to be elected at the Annual General Meeting for the term   
until the close of the Annual General Meeting in 2011 be equal to the           
remuneration payable to for the term until the close of the Annual General      
Meeting in 2010: EUR 92,000 for the Chairman, EUR 56,000 for the Vice Chairman, 
and EUR 45,000 for each member. Additional compensation of EUR 600 shall be paid
for the meetings attended including the meetings of the committees of the Board 
of Directors. The Nomination Committee proposes that 40% of the fixed annual    
remuneration be paid in Metso shares purchased from the market. The shares will 
be purchased directly on behalf of the members of the Board within two weeks    
from the release of the Interim Review January 1 March 31, 2010 of Metso        
Corporation.                                                                    
The Nomination Committee notes that a personnel representative will participate 
as an external expert in the Metso Board meetings also in the next Board term   
within the limitations imposed by the Finnish law. The new Board will invite the
personnel representative as its external expert in its organizing meeting after 
the Annual General Meeting.                                                     
The members of the Nomination Committee were Kari Järvinen (Chairman), Lars     
Förberg, Matti Vuoria and Harri Sailas. Jukka Viinanen and Jaakko Rauramo were  
the Committee's expert members.                                                 

Short-term outlook                                                              
In the fourth quarter of 2009 we began to see the first signs of gradual        
recovery in the global economy and in the demand of some of our customer        
industries. Nevertheless, we estimate that our operating environment will       
continue to be demanding at least in the first half of 2010.                    
Our customers are still cautious in their investment decisions, which will      
affect our equipment and project businesses in particular. We estimate that our 
customers' capacity utilization rates will slowly improve, assuming that the    
general positive development of the global economy continues. We expect this to 
have a gradual positive effect on our services business.                        
There have been signs of improvement in mining companies' demand for equipment  
and projects. We expect that this will gradually have a positive impact on      
orders in 2010. Due to our strong product and services offering, as well as our 
large installed equipment base, we expect the demand for our mining equipment   
spare and wear parts as well as related services to gradually improve from the  
current level.                                                                  
We anticipate that demand for equipment used in aggregates production by the    
construction industry will continue to be weak, with the exception of the       
Asia-Pacific and Brazilian markets, where infrastructure construction projects  
are maintaining demand. Many countries have introduced stimulus measures        
relating to infrastructure development. Though these measures have not yet had  
any significant effect, we expect them to positively affect the demand in the   
long-term. We estimate that demand for our services business for the            
construction industry will remain satisfactory.                                 
Demand for power plants that utilize renewable energy sources is expected to    
strengthen in Europe and North America and to be good as the availability of    
financing improves. Several countries have published targets to increase the use
of renewable energy. This is expected to support demand for our power plant     
solutions fuelled by biomass and waste. Demand for services business is expected
to be satisfactory.                                                             
We estimate that demand for our automation products will gradually increase in  
2010, as the oil, gas and petrochemical industries increase their investments   
due to the improvement in energy prices and demand. Demand for our services     
business for automation solutions is expected to be satisfactory.               
We expect the demand for metal recycling equipment to be weak due to the low    
production volumes of steel, and demand for solid-waste recycling equipment to  
be satisfactory. Demand for services in metal recycling is expected to remain   
weak in 2010.                                                                   
We estimate that demand for new fiber lines will continue to be weak, but demand
for rebuilds and services will strengthen during the year. Demand for paper,    
board and tissue lines is expected to be satisfactory. We expect the capacity   
utilization rates of the paper and board industry to improve during the year,   
which should gradually increase the demand for our services business.           
We estimate our net sales in 2010 to remain at about the same EUR 5 billion     
level as in 2009, and profitability to remain satisfactory. Our estimate is     
based on our order backlog, which contains about EUR 2.7 billion worth of       
deliveries for 2010, and on the expectation of continued gradual recovery of    
global economy.                                                                 
The net sales and profitability estimates are based on Metso's current market   
outlook and business scope.                                                     

Board of Director's proposal for the distribution of profit                     
The Parent Company's distributable funds totaled EUR 1,373,256,006.77 on        
December 31, 2009, of which the net profit for the year was EUR 252,714,943.24. 
The Board proposes to the Annual General Meeting that the dividend of EUR 0.70  
per share be distributed for the year ended on December 31, 2009 and that the   
rest be retained and carried further. It is proposed that the record date for   
the payment of the dividend will be April 6, 2010 and that the dividend will be 
paid on April 13, 2010.                                                         
All the shares outstanding on the dividend record date will be entitled to a    
dividend, except for the own shares held by the Parent Company.                 

Annual General Meeting 2010                                                     
The Annual General Meeting of Metso Corporation will be held at 3:00 p.m. on    
Tuesday, March 30, 2010 at the Helsinki Fair Centre (Messuaukio 1, FI-00520     
Helsinki).                                                                      
Helsinki, February 8, 2010                                                      
Metso Corporation's Board of Directors                                          

It should be noted that certain statements herein which are not historical      
facts, including, without limitation, those regarding expectations for general  
economic development and the market situation, expectations for customer        
industry profitability and investment willingness, expectations for company     
growth, development and profitability and the realization of synergy benefits   
and cost savings, and statements preceded by ”expects”, ”estimates”, ”forecasts”
or similar expressions, are forward-looking statements. These statements are    
based on current decisions and plans and currently known factors. They involve  
risks and uncertainties which may cause the actual results to materially differ 
from the results currently expected by the company.                             

Such factors include, but are not limited to:                                   
(1) general economic conditions, including fluctuations in exchange rates and   
interest levels which influence the operating environment and profitability of  
customers and thereby the orders received by the company and their margins      
(2) the competitive situation, especially significant technological solutions   
developed by competitors                                                        
(3) the company's own operating conditions, such as the success of production,  
product development and project management and their continuous development and 
improvement                                                                     
(4) the success of pending and future acquisitions and restructuring.           

--------------------------------------------------------------------------------
|                        |      |       |      |      The Financial Statements |
|                        |      |       |      |           Review is unaudited |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| CONSOLIDATED STATEMENT OF INCOME  |          |          |         |          |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                       |   10-12/ |   10-12/ |   1-12/ |    1-12/ |
|                                   |     2009 |     2008 |    2009 |     2008 |
--------------------------------------------------------------------------------
| Net sales                         |    1,353 |    1,839 |   5,016 |    6,400 |
--------------------------------------------------------------------------------
| Cost of goods sold                |   -1,056 |   -1,371 |  -3,808 |   -4,733 |
--------------------------------------------------------------------------------
| Gross profit                      |      297 |      468 |   1,208 |    1,667 |
--------------------------------------------------------------------------------
| Selling, general and              |     -250 |     -282 |    -938 |   -1,043 |
| administrative expenses           |          |          |         |          |
--------------------------------------------------------------------------------
| Other operating income and        |        9 |        3 |      24 |       11 |
| expenses, net                     |          |          |         |          |
--------------------------------------------------------------------------------
| Share in profits of associated    |       -1 |        1 |       0 |        2 |
| companies                         |          |          |         |          |
--------------------------------------------------------------------------------
| Operating profit                  |       55 |      190 |     294 |      637 |
--------------------------------------------------------------------------------
| % of net sales                    |     4.1% |    10.3% |    5.9% |    10.0% |
--------------------------------------------------------------------------------
| Financial income and expenses,    |      -13 |      -35 |     -72 |      -89 |
| net                               |          |          |         |          |
--------------------------------------------------------------------------------
| Profit before taxes               |       42 |      155 |     222 |      548 |
--------------------------------------------------------------------------------
| Income taxes                      |      -17 |      -43 |     -71 |     -158 |
--------------------------------------------------------------------------------
| Profit                            |       25 |      112 |     151 |      390 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Attributable to:                  |          |          |         |          |
--------------------------------------------------------------------------------
| Shareholders of the company       |       25 |      112 |     150 |      389 |
--------------------------------------------------------------------------------
| Minority interests                |        0 |        0 |       1 |        1 |
--------------------------------------------------------------------------------
| Profit                            |       25 |      112 |     151 |      390 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Earnings per share, EUR           |     0.18 |     0.79 |    1.06 |     2.75 |
--------------------------------------------------------------------------------
| Diluted earnings per share, EUR   |     0.18 |     0.79 |    1.06 |     2.75 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| CONSOLIDATED STATEMENT OF COMPREHENSIVE     |          |          |          |
| INCOME                                      |          |          |          |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                       |   10-12/ |   10-12/ |   1-12/ |    1-12/ |
|                                   |     2009 |     2008 |    2009 |     2008 |
--------------------------------------------------------------------------------
| Profit                            |       25 |      112 |     151 |      390 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash flow hedges, net of tax      |       -3 |      -24 |      14 |      -33 |
--------------------------------------------------------------------------------
| Available-for-sale equity         |       -6 |       -9 |      -1 |      -19 |
| investments, net of tax           |          |          |         |          |
--------------------------------------------------------------------------------
| Currency translation on           |       13 |      -37 |      74 |      -49 |
| subsidiary net                    |          |          |         |          |
| investments                       |          |          |         |          |
--------------------------------------------------------------------------------
| Net investment hedge gains        |        0 |       -8 |       0 |      -11 |
| (losses), net of tax              |          |          |         |          |
--------------------------------------------------------------------------------
| Defined benefit plan actuarial    |       -2 |      -22 |      -2 |      -22 |
| gains (losses),                   |          |          |         |          |
| net of tax                        |          |          |         |          |
--------------------------------------------------------------------------------
| Other comprehensive income        |        2 |     -100 |      85 |     -134 |
| (expense)                         |          |          |         |          |
--------------------------------------------------------------------------------
|                                   |          |          |         |          |
--------------------------------------------------------------------------------
| Total comprehensive income        |       27 |       12 |     236 |      256 |
| (expense)                         |          |          |         |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Attributable to:                  |          |          |         |          |
--------------------------------------------------------------------------------
| Shareholders of the company       |       27 |       12 |     235 |      255 |
--------------------------------------------------------------------------------
| Minority interests                |        0 |        0 |       1 |        1 |
--------------------------------------------------------------------------------
| Total comprehensive income        |       27 |       12 |     236 |      256 |
| (expense)                         |          |          |         |          |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| CONSOLIDATED BALANCE SHEET                  |               |                |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| ASSETS                                      |               |                |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                                 |  Dec 31, 2009 |   Dec 31, 2008 |
--------------------------------------------------------------------------------
| Non-current assets                          |               |                |
--------------------------------------------------------------------------------
| Intangible assets                           |               |                |
--------------------------------------------------------------------------------
| Goodwill                                    |           863 |            778 |
--------------------------------------------------------------------------------
| Other intangible assets                     |           312 |            254 |
--------------------------------------------------------------------------------
|                                             |         1,175 |          1,032 |
--------------------------------------------------------------------------------
| Property, plant and equipment               |               |                |
--------------------------------------------------------------------------------
| Land and water areas                        |            62 |             58 |
--------------------------------------------------------------------------------
| Buildings and structures                    |           261 |            239 |
--------------------------------------------------------------------------------
| Machinery and equipment                     |           449 |            366 |
--------------------------------------------------------------------------------
| Assets under construction                   |            47 |             63 |
--------------------------------------------------------------------------------
|                                             |           819 |            726 |
--------------------------------------------------------------------------------
| Financial and other assets                  |               |                |
--------------------------------------------------------------------------------
| Investments in associated companies         |            13 |             14 |
--------------------------------------------------------------------------------
| Available-for-sale equity investments       |            15 |             18 |
--------------------------------------------------------------------------------
| Loan and other interest bearing receivables |             9 |              8 |
--------------------------------------------------------------------------------
| Available-for-sale financial investments    |           130 |              5 |
--------------------------------------------------------------------------------
| Financial instruments held for trading      |            40 |              0 |
--------------------------------------------------------------------------------
| Derivative financial instruments            |             0 |              0 |
--------------------------------------------------------------------------------
| Deferred tax asset                          |           171 |            174 |
--------------------------------------------------------------------------------
| Other non-current assets                    |            44 |             26 |
--------------------------------------------------------------------------------
|                                             |           422 |            245 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Total non-current assets                    |         2,416 |          2,003 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Current assets                              |               |                |
--------------------------------------------------------------------------------
| Inventories                                 |         1,172 |          1,606 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Receivables                                 |               |                |
--------------------------------------------------------------------------------
| Trade and other receivables                 |           938 |          1,146 |
--------------------------------------------------------------------------------
| Cost and earnings of projects under         |           312 |            362 |
| construction in excess of advance billings  |               |                |
--------------------------------------------------------------------------------
| Loan and other interest bearing receivables |             8 |              9 |
--------------------------------------------------------------------------------
| Available-for-sale financial assets         |            79 |              - |
--------------------------------------------------------------------------------
| Derivative financial instruments            |            21 |             48 |
--------------------------------------------------------------------------------
| Income tax receivables                      |            42 |             23 |
--------------------------------------------------------------------------------
|                                             |         1,400 |          1,588 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash and cash equivalents                   |           727 |            314 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Total current assets                        |         3,299 |          3,508 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| TOTAL ASSETS                                |         5,715 |          5,511 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| SHAREHOLDERS' EQUITY AND LIABILITIES          |              |               |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                                   | Dec 31, 2009 |  Dec 31, 2008 |
--------------------------------------------------------------------------------
| Equity                                        |              |               |
--------------------------------------------------------------------------------
| Share capital                                 |          241 |           241 |
--------------------------------------------------------------------------------
| Share premium reserve                         |            - |             - |
--------------------------------------------------------------------------------
| Cumulative translation adjustments            |          -62 |          -136 |
--------------------------------------------------------------------------------
| Fair value and other reserves                 |          710 |           490 |
--------------------------------------------------------------------------------
| Retained earnings                             |          894 |           849 |
--------------------------------------------------------------------------------
| Equity attributable to shareholders           |        1,783 |         1,444 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Minority interests                            |            9 |             9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Total equity                                  |        1,792 |         1,453 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Liabilities                                   |              |               |
--------------------------------------------------------------------------------
| Non-current liabilities                       |              |               |
--------------------------------------------------------------------------------
| Long-term debt                                |        1,334 |         1,089 |
--------------------------------------------------------------------------------
| Post employment benefit obligations           |          190 |           191 |
--------------------------------------------------------------------------------
| Provisions                                    |           52 |            36 |
--------------------------------------------------------------------------------
| Derivative financial instruments              |            5 |             8 |
--------------------------------------------------------------------------------
| Deferred tax liability                        |           56 |            45 |
--------------------------------------------------------------------------------
| Other long-term liabilities                   |            4 |             4 |
--------------------------------------------------------------------------------
| Total non-current liabilities                 |        1,641 |         1,373 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Current liabilities                           |              |               |
--------------------------------------------------------------------------------
| Current portion of long-term debt             |          173 |           101 |
--------------------------------------------------------------------------------
| Short-term debt                               |           69 |           245 |
--------------------------------------------------------------------------------
| Trade and other payables                      |        1,065 |         1,189 |
--------------------------------------------------------------------------------
| Provisions                                    |          235 |           218 |
--------------------------------------------------------------------------------
| Advances received                             |          363 |           479 |
--------------------------------------------------------------------------------
| Billings in excess of cost and earnings of    |          330 |           323 |
| projects                                      |              |               |
|  under construction                           |              |               |
--------------------------------------------------------------------------------
| Derivative financial instruments              |           21 |            82 |
--------------------------------------------------------------------------------
| Income tax liabilities                        |           26 |            48 |
--------------------------------------------------------------------------------
| Total current liabilities                     |        2,282 |         2,685 |
--------------------------------------------------------------------------------
|                                               |              |               |
--------------------------------------------------------------------------------
| Total liabilities                             |        3,923 |         4,058 |
--------------------------------------------------------------------------------
|                                               |              |               |
--------------------------------------------------------------------------------
| TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES    |        5,715 |         5,511 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| NET INTEREST BEARING LIABILITIES              |              |               |
--------------------------------------------------------------------------------
| EUR million                                   | Dec 31, 2009 |  Dec 31, 2008 |
--------------------------------------------------------------------------------
| Long-term interest bearing debt               |        1,334 |         1,089 |
--------------------------------------------------------------------------------
| Short-term interest bearing debt              |          242 |           346 |
--------------------------------------------------------------------------------
| Cash and cash equivalents                     |         -727 |          -314 |
--------------------------------------------------------------------------------
| Other interest bearing assets                 |         -266 |           -22 |
--------------------------------------------------------------------------------
| Total                                         |          583 |         1,099 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| CONDENSED CONSOLIDATED CASH FLOW       |        |        |         |         |
| STATEMENT                              |        |        |         |         |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                   |   10-12/ |      10-12/ |      1-12/ |  1-12/ |
|                               |     2009 |        2008 |       2009 |   2008 |
--------------------------------------------------------------------------------
| Cash flows from operating     |          |             |            |        |
| activities:                   |          |             |            |        |
--------------------------------------------------------------------------------
| Profit                        |       25 |         112 |        151 |    390 |
--------------------------------------------------------------------------------
| Adjustments to reconcile      |          |             |            |        |
| profit to net cash provided   |          |             |            |        |
| by operating activities       |          |             |            |        |
--------------------------------------------------------------------------------
| Depreciation and amortization |       38 |          36 |        143 |    138 |
--------------------------------------------------------------------------------
| Interests and dividend income |       12 |          15 |         58 |     57 |
--------------------------------------------------------------------------------
| Income taxes                  |       17 |          43 |         71 |    158 |
--------------------------------------------------------------------------------
| Other                         |       14 |          16 |         18 |     34 |
--------------------------------------------------------------------------------
| Change in net working capital |      224 |        -140 |        518 |   -437 |
--------------------------------------------------------------------------------
| Cash flows from operations    |      330 |          82 |        959 |    340 |
--------------------------------------------------------------------------------
| Interest paid and dividends   |      -16 |         -25 |        -51 |    -49 |
| received                      |          |             |            |        |
--------------------------------------------------------------------------------
| Income taxes paid             |      -31 |         -49 |       -138 |   -154 |
--------------------------------------------------------------------------------
| Net cash provided by (used    |      283 |           8 |        770 |    137 |
| in) operating activities      |          |             |            |        |
--------------------------------------------------------------------------------
| Cash flows from investing     |          |             |            |        |
| activities:                   |          |             |            |        |
--------------------------------------------------------------------------------
| Capital expenditures on fixed |      -38 |         -55 |       -116 |   -255 |
| assets                        |          |             |            |        |
--------------------------------------------------------------------------------
| Proceeds from sale of fixed   |        5 |           2 |          8 |     10 |
| assets                        |          |             |            |        |
--------------------------------------------------------------------------------
| Business acquisitions, net of |        2 |         -13 |         -1 |    -44 |
| cash acquired                 |          |             |            |        |
--------------------------------------------------------------------------------
| Proceeds from sale of         |        - |           - |          2 |     12 |
| businesses,                   |          |             |            |        |
| net of cash sold              |          |             |            |        |
--------------------------------------------------------------------------------
| (Investments in) proceeds     |      -78 |           1 |       -221 |      7 |
| from sale of                  |          |             |            |        |
| financial assets              |          |             |            |        |
--------------------------------------------------------------------------------
| Other                         |        - |           - |          1 |     -7 |
--------------------------------------------------------------------------------
| Net cash provided by (used    |     -109 |         -65 |       -327 |   -277 |
| in) investing activities      |          |             |            |        |
--------------------------------------------------------------------------------
| Cash flows from financing     |          |             |            |        |
| activities:                   |          |             |            |        |
--------------------------------------------------------------------------------
| Redemption of own shares      |        - |           - |         -2 |      - |
--------------------------------------------------------------------------------
| Dividends paid                |        - |           - |        -99 |   -425 |
--------------------------------------------------------------------------------
| Net funding                   |      -61 |         132 |         59 |    621 |
--------------------------------------------------------------------------------
| Other                         |       -2 |           - |         -6 |     15 |
--------------------------------------------------------------------------------
| Net cash provided by (used    |      -63 |         132 |        -48 |    211 |
| in) financing                 |          |             |            |        |
| activities                    |          |             |            |        |
--------------------------------------------------------------------------------
| Net increase (decrease) in    |      111 |          75 |        395 |     71 |
| cash                          |          |             |            |        |
| and cash equivalents          |          |             |            |        |
--------------------------------------------------------------------------------
| Effect from changes in        |        4 |         -17 |         18 |    -24 |
| exchange rates                |          |             |            |        |
--------------------------------------------------------------------------------
| Cash and cash equivalents at  |      612 |         256 |        314 |    267 |
| beginning of period           |          |             |            |        |
--------------------------------------------------------------------------------
| Cash and cash equivalents at  |      727 |         314 |        727 |    314 |
| end of period                 |          |             |            |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| FREE CASH FLOW             |          |            |            |            |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                      |   10-12/ |   10-12/ |    1-12/ |    1-12/ |
|                                  |     2009 |     2008 |     2009 |     2008 |
--------------------------------------------------------------------------------
| Net cash provided by operating   |      283 |        8 |      770 |      137 |
| activities                       |          |          |          |          |
--------------------------------------------------------------------------------
| Capital expenditures on          |      -20 |      -32 |      -61 |     -118 |
| maintenance investments          |          |          |          |          |
--------------------------------------------------------------------------------
| Proceeds from sale of fixed      |        5 |        2 |        8 |       10 |
| assets                           |          |          |          |          |
--------------------------------------------------------------------------------
| Free cash flow                   |      268 |      -22 |      717 |       29 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| CONSOLIDATED STATEMENT OF CHANGES IN         |    |   |     |      |    |    |
| SHAREHOLDERS' EQUITY                         |    |   |     |      |    |    |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million        | Sha | Sha- |   Cu- | Fair |  Re- |    Eq- |  Mi- |  To- |
|                    |   - |   re |   mu- |  va- | tain |   uity | nor- |  tal |
|                    |  re | pre- |   la- |  lue |    - |      a |  ity |  eq- |
|                    | cap |  mi- |  tive |  and |   ed |     t- |  in- | uity |
|                    |  i- |   um | trans | othe |    e |   tri- | ter- |      |
|                    | tal |    r |     - |    r | arn- |   but- | ests |      |
|                    |     |   e- |   la- |   re | ings |   able |      |      |
|                    |     | serv |  tion |    - |      |     to |      |      |
|                    |     |    e |   ad- | ser- |      | share- |      |      |
|                    |     |      | just- |  ves |      |  hold- |      |      |
|                    |     |      | ments |      |      |    ers |      |      |
--------------------------------------------------------------------------------
| Balance at Jan 1,  | 241 |   77 |   -76 |  456 |  910 |  1,608 |    7 | 1,61 |
| 2008               |     |      |       |      |      |        |      |    5 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Other              |   - |    - |   -60 |  -52 |  -22 |   -134 |    - | -134 |
| comprehensive      |     |      |       |      |      |        |      |      |
| income (expense)   |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
| Profit             |   - |    - |     - |    - |  389 |    389 |    1 |  390 |
--------------------------------------------------------------------------------
| Total              |   - |    - |   -60 |  -52 |  367 |    255 |    1 |  256 |
| comprehensive      |     |      |       |      |      |        |      |      |
| income (expense)   |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Dividends          |   - |    - |     - |    - | -425 |   -425 |   -2 | -427 |
--------------------------------------------------------------------------------
| Share issue        |   - |    - |     - |    - |    - |      - |    - |    - |
--------------------------------------------------------------------------------
| Redemption of own  |   - |    - |     - |    - |    - |      - |    - |    - |
| shares             |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
| Share-based        |   - |    - |     - |    4 |    - |      4 |    - |    4 |
| payments, net of   |     |      |       |      |      |        |      |      |
| tax                |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
| Decrease and       |   - |  -77 |     - |   77 |    - |      - |    - |    - |
| transfer of share  |     |      |       |      |      |        |      |      |
| premium and legal  |     |      |       |      |      |        |      |      |
| reserve            |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
| Other              |   - |    - |     - |    5 |   -3 |      2 |    3 |    5 |
--------------------------------------------------------------------------------
| Balance at Dec 31, | 241 |    - |  -136 |  490 |  849 |  1,444 |    9 | 1,45 |
| 2008               |     |      |       |      |      |        |      |    3 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Balance at Jan 1,  | 241 |    - |  -136 |  490 |  849 |  1,444 |    9 | 1,45 |
| 2009               |     |      |       |      |      |        |      |    3 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Other              |   - |    - |    74 |   13 |   -2 |     85 |    - |   85 |
| comprehensive      |     |      |       |      |      |        |      |      |
| income             |     |      |       |      |      |        |      |      |
|  (expense)         |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
| Profit             |   - |    - |     - |    - |  150 |    150 |    1 |  151 |
--------------------------------------------------------------------------------
| Total              |   - |    - |    74 |   13 |  148 |    235 |    1 |  236 |
| comprehensive      |     |      |       |      |      |        |      |      |
| income (expense)   |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Dividends          |   - |    - |     - |    - |  -99 |    -99 |   -1 | -100 |
--------------------------------------------------------------------------------
| Share issue        |   - |    - |     - |  206 |   -2 |    204 |    - |  204 |
--------------------------------------------------------------------------------
| Redemption of own  |   - |    - |     - |   -2 |    - |     -2 |    - |   -2 |
| shares             |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
| Share-based        |   - |    - |     - |    1 |    - |      1 |    - |    1 |
| payments, net of   |     |      |       |      |      |        |      |      |
| tax                |     |      |       |      |      |        |      |      |
--------------------------------------------------------------------------------
| Other              |   - |    - |     - |    2 |   -2 |      0 |    - |    0 |
--------------------------------------------------------------------------------
| Balance at Dec 31, | 241 |    - |   -62 |  710 |  894 |  1,783 |    9 | 1,79 |
| 2009               |     |      |       |      |      |        |      |    2 |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| ACQUISITIONS                    |               |              |             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Acquisition of Tamfelt in 2009  |               |              |             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Metso acquired Tamfelt Oyj Abp, a Finnish corporation listed in the NASDAQ   |
| OMX Helsinki exchange, through a public share exchange offer that was        |
| completed at the end of December, 2009. The total transaction value was EUR  |
| 215 million whereof EUR 206 million was compensated by offering 8,593,642    |
| new Metso shares representing 95.2% of Tamfelt's shares and votes. The       |
| remaining 2.0% of Tamfelt's shares, estimated to amount to about EUR 4       |
| million, will be redeemed with cash in 2010 as per the Finnish Companies     |
| Act. Prior to the transaction, Metso held Tamfelt shares worth EUR 4 million |
| i.e. 2.8% of Tamfelt's shares and votes. The transaction value includes EUR  |
| 5 million in expenses and transfer taxes related to the acquisition.         |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| The transaction value, together with the shares already held, exceeded the   |
| net assets of Tamfelt by EUR 117 million, whereof EUR 53 million was         |
| allocated to intangible assets, representing the fair values of acquired     |
| customer base, order backlog and technology. Furthermore, EUR 10 million was |
| allocated to the property, plant and equipment, to reflect their appraisal   |
| to fair values. The deferred tax liability resulting from these allocations  |
| was EUR 16 million. The remaining EUR 70 million represents goodwill, which  |
| reflects the value of assembled workforce, significant synergy benefits and  |
| widened business portfolio offering Metso potential to expand its operations |
| into new markets and customer segments.                                      |
--------------------------------------------------------------------------------

Had the acquisition occurred on January 1, 2009, Metso´s net sales would have   
increased by EUR 130 million. The calculation of pro forma net income of the    
acquired business would be impracticable considering the effects of the         
acquisition cost.                                                               
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Preliminary details of the acquired net assets and goodwill are as follows:  |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                     |      Carrying |  Fair value  |        Fair |
|                                 |        amount |  allocations |       value |
--------------------------------------------------------------------------------
| Intangible assets               |             4 |           53 |          57 |
--------------------------------------------------------------------------------
| Property, plant and equipment   |            87 |           10 |          97 |
--------------------------------------------------------------------------------
| Inventories                     |            30 |            - |          30 |
--------------------------------------------------------------------------------
| Trade and other receivables     |            30 |            - |          30 |
--------------------------------------------------------------------------------
| Deferred tax liabilities, net   |            -9 |          -16 |         -25 |
--------------------------------------------------------------------------------
| Other liabilities assumed       |           -22 |            - |         -22 |
--------------------------------------------------------------------------------
| Non-interest bearing net assets |           120 |           47 |         167 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash and cash equivalents       |               |              |          19 |
| acquired                        |               |              |             |
--------------------------------------------------------------------------------
| Debt assumed                    |               |              |         -36 |
--------------------------------------------------------------------------------
| Transaction value               |               |              |        -215 |
--------------------------------------------------------------------------------
| Pre-acquisition holding of      |               |              |          -4 |
| Tamfelt shares                  |               |              |             |
--------------------------------------------------------------------------------
| Costs related to acquisition    |               |              |          -1 |
--------------------------------------------------------------------------------
| Goodwill                        |               |              |          70 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Transaction value settled in    |               |              |          -4 |
| cash                            |               |              |             |
--------------------------------------------------------------------------------
| Costs related to acquisition    |               |              |          -1 |
--------------------------------------------------------------------------------
| Cash and cash equivalents       |               |              |          19 |
| acquired                        |               |              |             |
--------------------------------------------------------------------------------
| Total cash inflow on            |               |              |          14 |
| acquisition                     |               |              |             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| Other acquisitions in 2009      |               |              |             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| In November Metso acquired Kromatek (Shanghai) Co. Ltd., a Chinese company   |
| in the chromium plating business. The purchase price was less than EUR 1     |
| million and the company was combined into Metso's Paper and Fiber Technology |
| segment.                                                                     |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| In November Metso also acquired the coater, creping and doctor blade         |
| business of Pacific International, a division of Pacific/Hoe Saw&Knife       |
| Company, located in Portland, Oregon, USA. The acquisition amounted to EUR 1 |
| million. The unit was combined into the Paper and Fiber Technology segment.  |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| In October Metso acquired M&J Industries A/S, a Danish manufacturer of       |
| mobile and stationary products for solid-waste crushing. The company was     |
| integrated into the Recycling business line of Metso's Energy and            |
| Environmental Technology segment. The net debt free acquisition price was    |
| EUR 15 million, of which EUR 6 million was allocated to intangible assets,   |
| representing the fair values of the acquired customer base, technology, and  |
| order backlog. EUR 3 million was allocated to property, plant and equipment  |
| representing their appraisal to fair values. The excess purchase price of    |
| EUR 4 million represents goodwill associated to Metso's improved market      |
| position in new and rapidly growing industrial markets.                      |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| In January Metso and Wärtsilä finalized the combination of Metso's Heat &    |
| Power business with Wärtsilä's Biopower business into a new company MW Power |
| Oy, of which Metso owns 60% and Wärtsilä 40%. In this non-cash transaction   |
| Wärtsilä contributed its business into MW Power Oy in exchange of the shares |
| in the company. The company is fully consolidated into the Energy and        |
| Environmental Technology segment's Power business line. Goodwill of EUR 7    |
| million arose from this transaction, representing Metso's increased          |
| potential to offer competitive solutions for the markets utilizing renewable |
| energy sources through complementing technologies of the two businesses.     |
| In                                                                           |
| January Metso also acquired Oktokon Oy, a Finnish engineering company, into  |
| its Power business line.                                                     |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| The acquired businesses contributed net sales of EUR 115 million and net     |
| profit of EUR 6 million for the period from their acquisition to December    |
| 31, 2009. Had these acquisitions taken place on January 1, 2009, Metso's net |
| sales for 2009 would have increased by EUR 20 million and net profit would   |
| have decreased by EUR 1 million.                                             |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Summary information on acquisitions made in January-December 2009 is as      |
| follows:                                                                     |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                     |      Carrying |   Fair value |        Fair |
|                                 |        amount |  allocations |       value |
--------------------------------------------------------------------------------
| Intangible assets               |             1 |            8 |           9 |
--------------------------------------------------------------------------------
| Property, plant and equipment   |             5 |            3 |           8 |
--------------------------------------------------------------------------------
| Inventories                     |            28 |            - |          28 |
--------------------------------------------------------------------------------
| Trade and other receivables     |            21 |            - |          21 |
--------------------------------------------------------------------------------
| Deferred tax liabilities        |            -1 |           -3 |          -4 |
--------------------------------------------------------------------------------
| Other liabilities assumed       |           -44 |            - |         -44 |
--------------------------------------------------------------------------------
| Non-interest bearing net assets |            10 |            8 |          18 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash and cash equivalents       |               |              |           9 |
| acquired                        |               |              |             |
--------------------------------------------------------------------------------
| Debt assumed                    |               |              |         -20 |
--------------------------------------------------------------------------------
| Purchase price                  |               |              |         -19 |
--------------------------------------------------------------------------------
| Goodwill                        |               |              |          12 |
--------------------------------------------------------------------------------
|                                 |               |              |             |
--------------------------------------------------------------------------------
| Purchase price settled in cash  |               |              |         -19 |
--------------------------------------------------------------------------------
| Deferred payments on prior year |               |              |          -5 |
| acquisitions                    |               |              |             |
--------------------------------------------------------------------------------
| Cash and cash equivalents       |               |              |           9 |
| acquired                        |               |              |             |
--------------------------------------------------------------------------------
| Net cash outflow on             |               |              |         -15 |
| acquisitions                    |               |              |             |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| ASSETS PLEDGED AND CONTINGENT         |            |            |            |
| LIABILITIES                           |            |            |            |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                           |          | Dec 31, 2009 |    Dec 31, |
|                                       |          |              |       2008 |
--------------------------------------------------------------------------------
| Mortgages on corporate debt           |          |           20 |          4 |
--------------------------------------------------------------------------------
| Other pledges and contingencies       |          |              |            |
--------------------------------------------------------------------------------
| Mortgages                             |          |            1 |          1 |
--------------------------------------------------------------------------------
| Pledged assets                        |          |            - |          - |
--------------------------------------------------------------------------------
| Guarantees on behalf of associated    |          |            - |          - |
| company obligations                   |          |              |            |
--------------------------------------------------------------------------------
| Other guarantees                      |          |            7 |          9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Repurchase and other commitments      |          |            6 |          6 |
--------------------------------------------------------------------------------
| Lease commitments                     |          |          226 |        152 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| NOTIONAL AMOUNTS OF DERIVATIVE FINANCIAL         |              |            |
| INSTRUMENTS                                      |              |            |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                      |            |  Dec 31, 2009 | Dec 31, 2008 |
--------------------------------------------------------------------------------
| Forward exchange rate contracts  |            |         1,390 |        1,460 |
--------------------------------------------------------------------------------
| Interest rate swaps              |            |           128 |          168 |
--------------------------------------------------------------------------------
| Option agreements                |            |               |              |
--------------------------------------------------------------------------------
| Bought                           |            |            13 |           12 |
--------------------------------------------------------------------------------
| Sold                             |            |             6 |           12 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| The notional amount of electricity forwards was 640 GWh as of Dec 31, 2009   |
| and 635 GWh as of Dec 31, 2008.                                              |
--------------------------------------------------------------------------------
| The notional amount of nickel forwards to hedge stainless steel prices was   |
| 252 tons as of Dec 31, 2009 and 258  tons as of Dec 31, 2008.                |
--------------------------------------------------------------------------------
| The notional amounts indicate the volumes in the use of derivatives, but do  |
| not indicate the exposure to risk.                                           |
--------------------------------------------------------------------------------
| KEY RATIOS                           |             |              |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million                          |             |    1-12/2009 | 1-12/200 |
|                                      |             |              |        8 |
--------------------------------------------------------------------------------
| Earnings per share, EUR              |             |         1.06 |     2.75 |
--------------------------------------------------------------------------------
| Diluted earnings per share, EUR      |             |         1.06 |     2.75 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Equity/share at end of period, EUR   |             |        11.89 |    10.19 |
--------------------------------------------------------------------------------
| Return on equity (ROE), %            |             |          9.8 |     26.0 |
--------------------------------------------------------------------------------
| Return on capital employed (ROCE)    |             |         10.0 |     23.2 |
| before tax, %                        |             |              |          |
--------------------------------------------------------------------------------
| Return on capital employed (ROCE)    |             |          7.7 |     17.3 |
| after tax, %                         |             |              |          |
--------------------------------------------------------------------------------
| Equity to assets ratio at end of     |             |         35.7 |     30.9 |
| period, %                            |             |              |          |
--------------------------------------------------------------------------------
| Gearing at end of period, %          |             |         32.5 |     75.7 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Free cash flow                       |             |          717 |       29 |
--------------------------------------------------------------------------------
| Free cash flow/share, EUR            |             |         5.07 |     0.20 |
--------------------------------------------------------------------------------
| Cash conversion, %                   |             |          475 |        7 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Gross capital expenditure (excl.     |             |          117 |      255 |
| business acquisitions)               |             |              |          |
--------------------------------------------------------------------------------
| Business acquisitions, net of cash   |             |            1 |       44 |
| acquired                             |             |              |          |
--------------------------------------------------------------------------------
| Depreciation and amortization        |             |          143 |      138 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Number of outstanding shares at end  |             |      149,939 |  141,624 |
| of period (thousands)                |             |              |          |
--------------------------------------------------------------------------------
| Average number of shares (thousands) |             |      141,477 |  141,595 |
--------------------------------------------------------------------------------
| Average number of diluted shares     |             |      141,526 |  141,595 |
| (thousands)                          |             |              |          |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| Formulas for calculation of indicators  |        |         |         |       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Earnings/share:  |        |         |        |         |         |       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Profit           |        |         |        |         |         |       |
--------------------------------------------------------------------------------
|   | Average number of shares during     |        |         |         |       |
|   | period                              |        |         |         |       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Equity/share:    |        |         |        |         |         |       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Equity attributable to    |         |        |         |         |       |
|   | shareholders              |         |        |         |         |       |
--------------------------------------------------------------------------------
|   | Number of shares at end   |         |        |         |         |       |
|   | of period                 |         |        |         |         |       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
|   | Return on equity (ROE),   |         |        |         |         |       |
|   | %:                        |         |        |         |         |       |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|      | Profit                                           |                    |
--------------------------------------------------------------------------------
|      | Total equity (average for period)                                     |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                               |  x 100  |                                    |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
|   | Return on capital employed (ROCE) before tax, %:      |         |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|    | Profit before tax + interest and other financial expenses  |            |
--------------------------------------------------------------------------------
|    | Balance sheet total - non-interest bearing liabilities (average for     |
|    | period)                                                                 |
--------------------------------------------------------------------------------
|                                                                     |  x 100 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Return on capital employed (ROCE) after tax, %:       |         |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|    | Profit + interest and other financial expenses |           |            |
--------------------------------------------------------------------------------
|    | Balance sheet total - non-interest bearing liabilities (average for     |
|    | period)                                                                 |
--------------------------------------------------------------------------------
|                                                                     |  x 100 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Gearing, %:      |        |        |        |         |         |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|      | Net interest bearing liabilities                                      |
--------------------------------------------------------------------------------
|      | Total equity                                     |                    |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                               |  x 100 |                                     |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Equity to assets ratio,   |        |        |         |         |        |
|   | %:                        |        |        |         |         |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|     | Total equity                         |                |                |
--------------------------------------------------------------------------------
|     | Balance sheet total - advances received                                |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                                        |  x 100 |                            |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Free cash flow:  |        |        |        |         |         |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Net cash provided by (used in) operating    |         |         |        |
|   | activities                                  |         |         |        |
--------------------------------------------------------------------------------
|   | - capital expenditures on maintenance       |         |         |        |
|   | investments                                 |         |         |        |
--------------------------------------------------------------------------------
|   | + proceeds from sale of fixed      |        |         |         |        |
|   | assets                             |        |         |         |        |
--------------------------------------------------------------------------------
|   | = Free cash flow |        |        |        |         |         |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|   | Cash conversion, %:       |        |        |         |         |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|        | Free cash flow                                                      |
--------------------------------------------------------------------------------
|        | Profit                                                              |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|                      |  x 100 |                                              |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EXCHANGE RATES USED      |            |          |             |             |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
|       |                    |      1-12/ |    1-12/ |    Dec 31, |    Dec 31, |
|       |                    |       2009 |     2008 |       2009 |       2008 |
--------------------------------------------------------------------------------
| USD   | (US dollar)        |     1.3960 |   1.4726 |     1.4406 |     1.3917 |
--------------------------------------------------------------------------------
| SEK   | (Swedish krona)    |    10.6092 |   9.6833 |    10.2520 |    10.8700 |
--------------------------------------------------------------------------------
| GBP   | (Pound sterling)   |     0.8948 |   0.8026 |     0.8881 |     0.9525 |
--------------------------------------------------------------------------------
| CAD   | (Canadian dollar)  |     1.5910 |   1.5656 |     1.5128 |     1.6998 |
--------------------------------------------------------------------------------
| BRL   | (Brazilian real)   |     2.7994 |   2.6711 |     2.5113 |     3.2441 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| SEGMENT INFORMATION        |         |         |         |         |         |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| NET SALES                    |         |         |        |        |         |
--------------------------------------------------------------------------------
| EUR million                  |  10-12/ |  10-12/ |  1-12/ |  1-12/ | Change, |
|                              |    2009 |    2008 |   2009 |   2008 |       % |
--------------------------------------------------------------------------------
| Mining and Construction      |     524 |     717 |  2,075 |  2,586 |     -20 |
| Technology                   |         |         |        |        |         |
--------------------------------------------------------------------------------
| Energy and Environmental     |     419 |     503 |  1,523 |  1,775 |     -14 |
| Technology                   |         |         |        |        |         |
--------------------------------------------------------------------------------
| Paper and Fiber Technology   |     406 |     627 |  1,408 |  2,044 |     -31 |
--------------------------------------------------------------------------------
| Valmet Automotive            |      14 |      13 |     56 |     65 |     -14 |
--------------------------------------------------------------------------------
| Group Head Office and other  |       - |       - |      - |      - |       - |
--------------------------------------------------------------------------------
| Group Head Office and others |      14 |      13 |     56 |     65 |     -14 |
| total                        |         |         |        |        |         |
--------------------------------------------------------------------------------
| Intra Metso net sales        |     -10 |     -21 |    -46 |    -70 |         |
--------------------------------------------------------------------------------
| Metso total                  |   1,353 |   1,839 |  5,016 |  6,400 |     -22 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| OTHER OPERATING INCOME (+) AND         |         |        |        |         |
| EXPENSES (-), NET                      |         |        |        |         |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EUR million                |  10-12/ |  10-12/ |   1-12/ |   1-12/ |         |
|                            |    2009 |    2008 |    2009 |    2008 |         |
--------------------------------------------------------------------------------
| Mining and Construction    |     9.3 |    -0.6 |    17.8 |     3.9 |         |
| Technology                 |         |         |         |         |         |
--------------------------------------------------------------------------------
| Energy and Environmental   |    -0.8 |    -0.6 |     0.5 |    -1.2 |         |
| Technology                 |         |         |         |         |         |
--------------------------------------------------------------------------------
| Paper and Fiber Technology |    -3.4 |    -0.6 |    -9.6 |     2.7 |         |
--------------------------------------------------------------------------------
| Valmet Automotive          |     2.8 |     0.0 |     2.8 |     0.0 |         |
--------------------------------------------------------------------------------
| Group Head Office and      |     1.0 |     4.8 |    11.9 |     5.2 |         |
| other                      |         |         |         |         |         |
--------------------------------------------------------------------------------
| Group Head Office and      |     3.8 |     4.8 |    14.7 |     5.2 |         |
| others total               |         |         |         |         |         |
--------------------------------------------------------------------------------
| Metso total                |     8.9 |     3.0 |    23.4 |    10.6 |         |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| SHARE IN PROFITS OF ASSOCIATED      |         |         |         |          |
| COMPANIES                           |         |         |         |          |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EUR million                |  10-12/ |  10-12/ |   1-12/ |   1-12/ |         |
|                            |    2009 |    2008 |    2009 |    2008 |         |
--------------------------------------------------------------------------------
| Mining and Construction    |     0.3 |     0.0 |     0.3 |     0.1 |         |
| Technology                 |         |         |         |         |         |
--------------------------------------------------------------------------------
| Energy and Environmental   |     0.4 |     0.3 |     1.4 |     1.2 |         |
| Technology                 |         |         |         |         |         |
--------------------------------------------------------------------------------
| Paper and Fiber Technology |    -1.8 |     0.5 |    -1.2 |     1.2 |         |
--------------------------------------------------------------------------------
| Valmet Automotive          |       - |       - |       - |       - |         |
--------------------------------------------------------------------------------
| Group Head Office and      |       - |       - |       - |       - |         |
| other                      |         |         |         |         |         |
--------------------------------------------------------------------------------
| Group Head Office and      |       - |       - |       - |       - |         |
| others total               |         |         |         |         |         |
--------------------------------------------------------------------------------
| Metso total                |    -1.1 |     0.8 |     0.5 |     2.5 |         |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| OPERATING PROFIT (LOSS)    |         |         |         |         |         |
--------------------------------------------------------------------------------
| EUR million                |  10-12/ |  10-12/ |   1-12/ |   1-12/ | Change, |
|                            |    2009 |    2008 |    2009 |    2008 |       % |
--------------------------------------------------------------------------------
| Mining and Construction    |    44.2 |    91.3 |   198.8 |   358.4 |     -45 |
| Technology                 |         |         |         |         |         |
--------------------------------------------------------------------------------
| Energy and Environmental   |    27.8 |    56.0 |   118.1 |   176.0 |     -33 |
| Technology                 |         |         |         |         |         |
--------------------------------------------------------------------------------
| Paper and Fiber Technology |    -7.0 |    46.9 |     0.8 |   130.1 |     -99 |
--------------------------------------------------------------------------------
| Valmet Automotive          |     0.2 |    -2.5 |    -8.2 |    -3.5 |    -134 |
--------------------------------------------------------------------------------
| Group Head Office and      |   -10.2 |    -1.6 |   -15.9 |   -23.8 |      33 |
| other                      |         |         |         |         |         |
--------------------------------------------------------------------------------
| Group Head Office and      |   -10.0 |    -4.1 |   -24.1 |   -27.3 |      12 |
| others total               |         |         |         |         |         |
--------------------------------------------------------------------------------
| Metso total                |    55.0 |   190.1 |   293.6 |   637.2 |     -54 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| OPERATING PROFIT (LOSS), % OF  |        |        |        |        |         |
| NET SALES                      |        |        |        |        |         |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| %                       |  10-12/ |  10-12/ |    1-12/ |    1-12/ |          |
|                         |    2009 |    2008 |     2009 |     2008 |          |
--------------------------------------------------------------------------------
| Mining and Construction |     8.4 |    12.7 |      9.6 |     13.9 |          |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Energy and              |     6.6 |    11.1 |      7.8 |      9.9 |          |
| Environmental           |         |         |          |          |          |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Paper and Fiber         |    -1.7 |     7.5 |      0.1 |      6.4 |          |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Valmet Automotive       |     1.4 |   -19.2 |    -14.6 |     -5.4 |          |
--------------------------------------------------------------------------------
| Group Head Office and   |     n/a |     n/a |      n/a |      n/a |          |
| other                   |         |         |          |          |          |
--------------------------------------------------------------------------------
| Group Head Office and   |     n/a |     n/a |      n/a |      n/a |          |
| others total            |         |         |          |          |          |
--------------------------------------------------------------------------------
| Metso total             |    4.1  |   10.3  |     5.9  |    10.0  |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EBITA                   |         |         |          |          |          |
--------------------------------------------------------------------------------
| EUR million             |  10-12/ |  10-12/ |    1-12/ |    1-12/ |  Change, |
|                         |    2009 |    2008 |     2009 |     2008 |        % |
--------------------------------------------------------------------------------
| Mining and Construction |    45.6 |    91.9 |    202.8 |    361.2 |      -44 |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Energy and              |    32.8 |    60.5 |    136.3 |    198.3 |      -31 |
| Environmental           |         |         |          |          |          |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Paper and Fiber         |    -3.3 |    51.2 |     16.5 |    146.1 |      -89 |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Valmet Automotive       |     0.3 |    -2.6 |     -8.1 |     -3.5 |     -131 |
--------------------------------------------------------------------------------
| Group Head Office and   |    -9.2 |    -1.0 |    -13.2 |    -21.2 |       38 |
| other                   |         |         |          |          |          |
--------------------------------------------------------------------------------
| Group Head Office and   |    -8.9 |    -3.6 |    -21.3 |    -24.7 |       14 |
| others total            |         |         |          |          |          |
--------------------------------------------------------------------------------
| Metso total             |    66.2 |   200.0 |    334.3 |    680.9 |      -51 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EBITA, % OF NET SALES   |         |         |          |          |          |
--------------------------------------------------------------------------------
| %                       |  10-12/ |  10-12/ |    1-12/ |    1-12/ |          |
|                         |    2009 |    2008 |     2009 |     2008 |          |
--------------------------------------------------------------------------------
| Mining and Construction |     8.7 |    12.8 |      9.8 |     14.0 |          |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Energy and              |     7.8 |    12.0 |      8.9 |     11.2 |          |
| Environmental           |         |         |          |          |          |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Paper and Fiber         |    -0.8 |     8.2 |      1.2 |      7.1 |          |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Valmet Automotive       |     2.1 |   -20.0 |    -14.5 |     -5.4 |          |
--------------------------------------------------------------------------------
| Group Head Office and   |     n/a |     n/a |      n/a |      n/a |          |
| other                   |         |         |          |          |          |
--------------------------------------------------------------------------------
| Group Head Office and   |     n/a |     n/a |      n/a |      n/a |          |
| others total            |         |         |          |          |          |
--------------------------------------------------------------------------------
| Metso total             |     4.9 |    10.9 |      6.7 |     10.6 |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| ORDERS RECEIVED         |         |         |          |          |          |
--------------------------------------------------------------------------------
| EUR million             |  10-12/ |  10-12/ |    1-12/ |    1-12/ |  Change, |
|                         |    2009 |    2008 |     2009 |     2008 |        % |
--------------------------------------------------------------------------------
| Mining and Construction |     457 |     339 |    1,660 |    2,709 |      -39 |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Energy and              |     504 |     341 |    1,297 |    1,658 |      -22 |
| Environmental           |         |         |          |          |          |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Paper and Fiber         |     401 |     207 |    1,384 |    2,021 |      -32 |
| Technology              |         |         |          |          |          |
--------------------------------------------------------------------------------
| Valmet Automotive       |      14 |      13 |       56 |       65 |      -14 |
--------------------------------------------------------------------------------
| Group Head Office and   |       - |       - |        - |        - |        - |
| other                   |         |         |          |          |          |
--------------------------------------------------------------------------------
| Group Head Office and   |      14 |      13 |       56 |       65 |      -14 |
| others total            |         |         |          |          |          |
--------------------------------------------------------------------------------
| Intra Metso orders      |     -11 |     -11 |      -39 |      -69 |          |
| received                |         |         |          |          |          |
--------------------------------------------------------------------------------
| Metso total             |   1,365 |     889 |    4,358 |    6,384 |      -32 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| QUARTERLY INFORMATION      |        |         |          |         |         |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| NET SALES                  |        |         |          |         |         |
--------------------------------------------------------------------------------
| EUR million                | 10-12/ |    1-3/ |     4-6/ |    7-9/ |  10-12/ |
|                            |   2008 |    2009 |     2009 |    2009 |    2009 |
--------------------------------------------------------------------------------
| Mining and Construction    |    717 |     528 |      531 |     492 |     524 |
| Technology                 |        |         |          |         |         |
--------------------------------------------------------------------------------
| Energy and Environmental   |    503 |     397 |      357 |     350 |     419 |
| Technology                 |        |         |          |         |         |
--------------------------------------------------------------------------------
| Paper and Fiber Technology |    627 |     287 |      359 |     356 |     406 |
--------------------------------------------------------------------------------
|   Valmet Automotive        |     13 |      21 |       14 |       7 |      14 |
--------------------------------------------------------------------------------
| Group Head Office and      |      - |       - |        - |       - |       - |
| other                      |        |         |          |         |         |
--------------------------------------------------------------------------------
| Group Head Office and      |     13 |      21 |       14 |       7 |      14 |
| others total               |        |         |          |         |         |
--------------------------------------------------------------------------------
| Intra Metso net sales      |    -21 |     -13 |      -14 |      -9 |     -10 |
--------------------------------------------------------------------------------
| Metso total                |  1,839 |   1,220 |    1,247 |   1,196 |   1,353 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| OTHER OPERATING INCOME (+) AND       |      |       |        |       |       |
| EXPENSES (-), NET                    |      |       |        |       |       |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EUR million                      | 10-12 |  1-3/ |    4-6/ |   7-9/ | 10-12/ |
|                                  |     / |  2009 |    2009 |   2009 |   2009 |
|                                  |  2008 |       |         |        |        |
--------------------------------------------------------------------------------
| Mining and Construction          |  -0.6 |   2.1 |     1.1 |    5.3 |    9.3 |
| Technology                       |       |       |         |        |        |
--------------------------------------------------------------------------------
| Energy and Environmental         |  -0.6 |  -0.4 |     1.6 |    0.1 |   -0.8 |
| Technology                       |       |       |         |        |        |
--------------------------------------------------------------------------------
| Paper and Fiber Technology       |  -0.6 |   0.9 |    -6.2 |   -0.9 |   -3.4 |
--------------------------------------------------------------------------------
|   Valmet Automotive              |   0.0 |   0.0 |     0.1 |   -0.1 |    2.8 |
--------------------------------------------------------------------------------
|   Group Head Office and other    |   4.8 |   0.1 |     2.4 |    8.4 |    1.0 |
--------------------------------------------------------------------------------
| Group Head Office and others     |   4.8 |   0.1 |     2.5 |    8.3 |    3.8 |
| total                            |       |       |         |        |        |
--------------------------------------------------------------------------------
| Metso total                      |   3.0 |   2.7 |    -1.0 |   12.8 |    8.9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| SHARE IN PROFITS OF ASSOCIATED   |       |       |         |        |        |
| COMPANIES                        |       |       |         |        |        |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EUR million              |  10-12/ |  1-3/ |     4-6/ |     7-9/ |    10-12/ |
|                          |    2008 |  2009 |     2009 |     2009 |      2009 |
--------------------------------------------------------------------------------
| Mining and Construction  |     0.0 |   0.0 |      0.0 |      0.0 |       0.3 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
| Energy and Environmental |     0.3 |   0.3 |      0.3 |      0.4 |       0.4 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
| Paper and Fiber          |     0.5 |   0.0 |      0.5 |      0.1 |      -1.8 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
|   Valmet Automotive      |       - |     - |        - |        - |         - |
--------------------------------------------------------------------------------
| Group Head Office and    |       - |     - |        - |        - |         - |
| other                    |         |       |          |          |           |
--------------------------------------------------------------------------------
| Group Head Office and    |       - |     - |        - |        - |         - |
| others total             |         |       |          |          |           |
--------------------------------------------------------------------------------
| Metso total              |     0.8 |   0.3 |      0.8 |      0.5 |      -1.1 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| OPERATING PROFIT (LOSS)  |         |       |          |          |           |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EUR million              |  10-12/ |  1-3/ |     4-6/ |     7-9/ |    10-12/ |
|                          |    2008 |  2009 |     2009 |     2009 |      2009 |
--------------------------------------------------------------------------------
| Mining and Construction  |    91.3 |  54.9 |     46.0 |     53.7 |      44.2 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
| Energy and Environmental |    56.0 |  27.7 |     29.7 |     32.9 |      27.8 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
| Paper and Fiber          |    46.9 | -18.2 |     -1.6 |     27.6 |      -7.0 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
|   Valmet Automotive      |    -2.5 |  -0.3 |     -2.6 |     -5.5 |       0.2 |
--------------------------------------------------------------------------------
| Group Head Office and    |    -1.6 |  -5.5 |     -5.6 |      5.4 |     -10.2 |
| other                    |         |       |          |          |           |
--------------------------------------------------------------------------------
| Group Head Office and    |    -4.1 |  -5.8 |     -8.2 |     -0.1 |     -10.0 |
| others total             |         |       |          |          |           |
--------------------------------------------------------------------------------
| Metso total              |   190.1 |  58.6 |     65.9 |    114.1 |      55.0 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EBITA                    |         |       |          |          |           |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EUR million              |  10-12/ |  1-3/ |     4-6/ |     7-9/ |    10-12/ |
|                          |    2008 |  2009 |     2009 |     2009 |      2009 |
--------------------------------------------------------------------------------
| Mining and Construction  |    91.9 |  55.6 |     46.9 |     54.7 |      45.6 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
| Energy and Environmental |    60.5 |  32.3 |     34.1 |     37.1 |      32.8 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
| Paper and Fiber          |    51.2 | -14.0 |      1.4 |     32.4 |      -3.3 |
| Technology               |         |       |          |          |           |
--------------------------------------------------------------------------------
|   Valmet Automotive      |    -2.6 |  -0.3 |     -2.6 |     -5.5 |       0.3 |
--------------------------------------------------------------------------------
| Group Head Office and    |    -1.0 |  -4.8 |     -5.1 |      5.9 |      -9.2 |
| other                    |         |       |          |          |           |
--------------------------------------------------------------------------------
| Group Head Office and    |    -3.6 |  -5.1 |     -7.7 |      0.4 |      -8.9 |
| others total             |         |       |          |          |           |
--------------------------------------------------------------------------------
| Metso total              |   200.0 |  68.8 |     74.7 |    124.6 |      66.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| CAPITAL EMPLOYED         |         |       |          |          |           |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EUR million              | Dec 31, |    Mar |    June |  Sep 30, |   Dec 31, |
|                          |    2008 |    31, |     30, |     2009 |      2009 |
|                          |         |   2009 |    2009 |          |           |
--------------------------------------------------------------------------------
| Mining and Construction  |   1,230 |  1,221 |   1,191 |    1,111 |     1,072 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
| Energy and Environmental |     647 |    686 |     659 |      626 |       524 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
| Paper and Fiber          |     532 |    468 |     475 |      427 |       636 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
|   Valmet Automotive      |      21 |     19 |      20 |       27 |        28 |
--------------------------------------------------------------------------------
| Group Head Office and    |     458 |    493 |     816 |      956 |     1,108 |
| other                    |         |        |         |          |           |
--------------------------------------------------------------------------------
| Group Head Office and    |     479 |    512 |     836 |      983 |     1,136 |
| others total             |         |        |         |          |           |
--------------------------------------------------------------------------------
| Metso total              |   2,888 |  2,887 |   3,161 |    3,147 |     3,368 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| ORDERS RECEIVED          |         |        |         |          |           |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| EUR million              |  10-12/ |   1-3/ |    4-6/ |     7-9/ |    10-12/ |
|                          |    2008 |   2009 |    2009 |     2009 |      2009 |
--------------------------------------------------------------------------------
| Mining and Construction  |     339 |    385 |     398 |      420 |       457 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
| Energy and Environmental |     341 |    265 |     278 |      250 |       504 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
| Paper and Fiber          |     207 |    279 |     335 |      369 |       401 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
|   Valmet Automotive      |      13 |     21 |      14 |        7 |        14 |
--------------------------------------------------------------------------------
| Group Head Office and    |       - |      - |       - |        - |         - |
| other                    |         |        |         |          |           |
--------------------------------------------------------------------------------
| Group Head Office and    |      13 |     21 |      14 |        7 |        14 |
| others total             |         |        |         |          |           |
--------------------------------------------------------------------------------
| Intra Metso orders       |     -11 |     -8 |      -5 |      -15 |       -11 |
| received                 |         |        |         |          |           |
--------------------------------------------------------------------------------
| Metso total              |     889 |    942 |   1,020 |    1,031 |     1,365 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| ORDER BACKLOG            |         |        |         |          |           |
--------------------------------------------------------------------------------
| EUR million              | Dec 31, |    Mar |    June |  Sep 30, |   Dec 31, |
|                          |    2008 |    31, |     30, |     2009 |      2009 |
|                          |         |   2009 |    2009 |          |           |
--------------------------------------------------------------------------------
| Mining and Construction  |   1,492 |  1,347 |   1,196 |    1,103 |     1,041 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
| Energy and Environmental |   1,204 |  1,182 |   1,035 |      939 |     1,032 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
| Paper and Fiber          |   1,434 |  1,438 |   1,304 |    1,330 |     1,380 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
|   Valmet Automotive      |       - |      - |       - |        - |         - |
--------------------------------------------------------------------------------
| Group Head Office and    |       - |      - |       - |        - |         - |
| other                    |         |        |         |          |           |
--------------------------------------------------------------------------------
| Group Head Office and    |       - |      - |       - |        - |         - |
| others total             |         |        |         |          |           |
--------------------------------------------------------------------------------
| Intra Metso order        |     -42 |    -33 |     -23 |      -32 |       -38 |
| backlog                  |         |        |         |          |           |
--------------------------------------------------------------------------------
| Metso total              |   4,088 |  3,934 |   3,512 |    3,340 |     3,415 |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| PERSONNEL                | Dec 31, |    Mar |    June |  Sep 30, |   Dec 31, |
|                          |    2008 |    31, |     30, |     2009 |      2009 |
|                          |         |   2009 |    2009 |          |           |
--------------------------------------------------------------------------------
| Mining and Construction  |  11,259 | 10,826 |  10,344 |   10,014 |     9,541 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
| Energy and Environmental |   6,357 |  6,387 |   6,349 |    6,119 |     6,060 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
| Paper and Fiber          |  10,544 | 10,090 |   9,858 |    9,475 |    10,459 |
| Technology               |         |        |         |          |           |
--------------------------------------------------------------------------------
|   Valmet Automotive      |     783 |    618 |     636 |      636 |       679 |
--------------------------------------------------------------------------------
| Group Head Office and    |     379 |    391 |     421 |      419 |       427 |
| other                    |         |        |         |          |           |
--------------------------------------------------------------------------------
| Group Head Office and    |   1,162 |  1,009 |   1,057 |    1,055 |     1,106 |
| others total             |         |        |         |          |           |
--------------------------------------------------------------------------------
| Metso total              |  29,322 | 28,312 |  27,608 |   26,663 |    27,166 |
--------------------------------------------------------------------------------

Notes to the Financial Statements Review                                        

We have prepared this Financial Statements Review in accordance with IAS 34     
‘Interim Financial Reporting'.  The same accounting policies have been applied  
as in the annual financial statements. This Financial Statements review is      
unaudited.                                                                      

New accounting standards                                                        
IFRS 3 (Revised)                                                                
IASB has published IFRS 3 (Revised), ‘Business combinations', which maintains   
the requirement to apply the acquisition method to business combinations, but   
with some significant changes such as expensing of transaction costs. In        
addition, all payments to purchase a business are to be recorded at fair value  
on the acquisition date, with some contingent payments subsequently remeasured  
at fair value through income. Goodwill may be calculated based on the parent's  
share of net assets or it may include goodwill related to the minority interest.
The revised standard will affect our future business combinations.              
IFRS 3 (Revised) was endorsed by the European Union in June 2009 and it becomes 
effective for annual financial statements for periods beginning on or after July
1, 2009. We will apply the standard for the financial year beginning on January 
1, 2010.                                                                        

IAS 27 (Revised)                                                                
IASB has published IAS 27 (Revised), ‘Consolidated and separate financial       
statements'. The revised standard requires the effects of all transactions with 
non-controlling interests to be recorded in equity if there is no change in     
control. They will no longer result in goodwill or gains and losses. The        
standard also specifies the accounting when control is lost. Any remaining      
interest in the entity is remeasured to fair value and a gain or loss is        
expensed. We do not expect the standard to affect our financial statements.     
IAS 27 (Revised) was endorsed by the European Union in June 2009 and it is      
effective for annual financial statements for periods beginning on or after July
1, 2009. We will apply the revision for the financial year beginning on January 
1, 2010.                                                                        

IFRS 2 (Amendment)                                                              
IASB has published an amendment to IFRS 2 ‘Share-based payments'. The amendment 
confirms that in addition to business combinations as defined by IFRS 3         
(revised) ‘Business combinations', contributions of a business on formation of a
joint venture and common control transactions are excluded from the scope of    
IFRS 2, ‘Share-based payments'. The revised standard may have an effect on our  
future business combinations.                                                   
Provided that the amendment receives endorsement by the European Union, we will 
apply the standard for the financial year beginning on January 1, 2010.         

IAS 38 (Amendment)                                                              
IASB has published an amendment to IAS 38 ‘Intangible assets'. The amendment    
clarifies the requirements under IFRS 3 ‘Business combinations' regarding the   
accounting for intangible assets acquired in a business combination and allows  
for the combination of intangible assets with equal economic useful life to one 
asset group. The revised standard may have an effect on our future business     
combinations.                                                                   
Provided that the amendment receives endorsement by the European Union, we will 
apply the standard for the financial year beginning on January 1, 2010.         

IFRS 9                                                                          
IASB has published a new standard IFRS 9 ‘Financial instruments: Recognition and
measurement'. The standard represents the first milestone in the IASB's planned 
replacement of IAS 39. It addresses classification and measurement of financial 
assets. The next steps involve reconsideration and re-exposure of the           
classification and measurement requirements for financial liabilities,          
impairment testing methods for financial assets, and development of enhanced    
guidance on hedge accounting. We are currently evaluating the effects on our    
financial statements, and expect the standard to have major impacts on the      
accounting of financial instruments.                                            
IFRS 9 becomes effective for the financial statements or periods beginning after
January 1, 2013. It is still subject to endorsement by the European Union, and  
the endorsement process has been postponed.                                     
Provided that the standard received endorsement by the European Union, we will  
apply the standard for the financial year beginning on January 1, 2013.         

Trading of Metso shares                                                         
The number of Metso Corporation shares traded on the NASDAQ OMX Helsinki        
Exchange during 2009 was 321,093,368 shares, equivalent to a turnover of EUR    
4,258 million. The share price on December 31, 2009 was EUR 24.63 and the       
average trading price for the period was EUR 13.26. The highest quotation during
the review period was EUR 24.78 and the lowest EUR 7.03.                        
Metso's ADSs (American Depositary Shares) are traded in the United States on the
OTC market. On December 31, 2009, the closing price of an ADS was USD 35.14.    
Each ADS represents one share.                                                  

Disclosures of changes in holdings                                              
On March 24, 2009, UBS AG's group holding in Metso's shares exceeded the 5      
percent threshold. The holding amounted to 7,541,753 shares, which corresponds  
to 5.32 percent of the paid up share capital and votes in Metso.                
On March 27, 2009, UBS AG's group holding in Metso's shares fell below the 5    
percent threshold. The holding amounted to 561,306 shares, which corresponds to 
0.40 percent of the paid up share capital and votes in Metso Corporation.       

Credit ratings                                                                  
In November, Moody's Investor's Service confirmed Metso's Baa2 long-term credit 
rating, concluding its review for a possible downgrade of the rating begun on   
August 21, 2009. The outlook remained negative.                                 
In February 2009, Standard and Poor's confirmed our BBB long-term credit rating 
and changed the outlook from stable to negative. At the same time our short-term
credit rating was lowered from A-2 to A-3.                                      

Metso's financial reporting in 2010                                             
Metso's Annual Report will be published in the week beginning on March 8, 2010  
(week 10). The Interim Review for January-March 2010 will be published on April 
29, 2010, the Interim Review for January-June 2010 on July 29, 2010 and the     
Interim Review for January-September 2010 on October 28, 2010 respectively.     


Metso is a global supplier of sustainable technology and services for mining,   
construction, power generation, automation, recycling and the pulp and paper    
industries. We have about 27,000 employees in more than 50 countries.           
www.metso.com                                                                   

Further information, please contact:                                            
Jorma Eloranta, President and CEO, Metso Corporation, tel. +358 (0)204 84 3000  
Olli Vaartimo, Executive Vice President and CFO, Metso Corporation, tel. +358   
(0)204 84 3010                                                                  
Johanna Henttonen, Vice President, Investor Relations, Metso Corporation, tel.  
+358 (0)204 84 3253                                                             


Metso Corporation                                                               

Olli Vaartimo                                                                   
Executive Vice President and CFO                                                

Kati Renvall                                                                    
Vice President, Group Communications                                            

Distribution:                                                                   
NASDAQ OMX Helsinki Ltd                                                         
Media                                                                           
www.metso.com