Fortum signs an agreement with Rolls-Royce regarding modernisation of its Loviisa Nuclear Power Plant automation

Fortum Corporation Press release 21 May 2014 at 12.30 EET

Fortum has signed an agreement with Rolls-Royce about the modernisation of
automation at its Loviisa nuclear power plant in Finland. The parties have
agreed not to disclose the value of the agreement. The modernisation will be
carried out over several years and it is included in Fortum's normal capital
expenditure.

The project mainly covers the automation modernisation of safety related
systems in both production units at Loviisa. The project is agreed to be
implemented by the end of 2018. Rolls-Royce will deliver all the required
automation systems including planning, testing and installations. Metso is
Rolls-Royce’s sub-supplier providing non-safety operational instrumentation and
control (I&C), field design and implementation on site. The project will be
implemented in close co-operation with Fortum.

The aim of the automation modernisation project is to secure the safe and
reliable operation of the Loviisa nuclear power plant until the end of the
plant's operational licenses. Unit 1 at Loviisa power plant has an operational
license to 2027 and unit 2 to 2030.

Fortum Corporation
Corporate Communications

For additional information, please contact:
Tiina Tuomela, Executive Vice President, Nuclear and Thermal Power division,
Fortum Corporation, tel. +358 50 453 4120

Background information for the journalists:
In 2013, the load factor at Fortum's fully-owned Loviisa nuclear power plant
was 92.5%. On an international scale this was excellent compared to the
worldwide load factor for pressurised water power plants of approximately 83%
last year. The plant produced a total of 8.04 terawatt-hours, which is
approximately 9% of the total electricity production in Finland. With the
electricity produced, 6 million tonnes of CO2 emissions are avoided annually.

Fortum has a historically large investment program in progress at Loviisa. In
addition to the modernisation of automation, Fortum is modernising the turbines
and enhancing the safety of the nuclear power plant with new air-cooling
towers. In 2013, Fortum invested EUR 60 million into the Loviisa nuclear power
plant.

Fortum
Fortum’s purpose is to create energy that improves life for present and future
generations. Catering to the versatile needs of our customers, we generate,
distribute and sell electricity and heat, and offer related expert services.
Our operations focus on the Nordic and Baltic countries, Russia and Poland. In
2013, Fortum’s sales totalled EUR 6.1 billion and comparable operating profit
was EUR 1.6 billion. We employ approximately 8,800 people. Fortum’s shares are
traded on the NASDAQ OMX Helsinki. www.fortum.com


Rolls-Royce
Rolls-Royce is a global business providing integrated power systems for use on
land, at sea and in the air. Within the global nuclear industry, its focus is
on providing nuclear power utility vendors and operators with integrated,
long-term support solutions and services spanning the reactor lifecycle, from
concept design to in-service support through to obsolescence management and
plant life extension. Rolls-Royce has significant experience in designing,
manufacturing and re-engineering safety I&C solutions for customers of both
digital and analogue systems of all types of nuclear reactors. Through its I&C
headquarters in Grenoble, Rolls-Royce has supplied safety instrument and
control technology to all 58 reactors in France and is working on the I&C
modernisation programme for EDF’s fleet of 900MW reactors and 1300 MW fleet of
reactors. Worldwide, Rolls-Royce I&C technology is installed in more than 200
nuclear reactors across 20 countries.