Fortum sells its Norwegian electricity distribution and heat businesses


Fortum has agreed to sell its Norwegian electricity distribution to the
Hafslund Group, listed on the Oslo Stock Exchange, and its heat businesses in
Norway to iCON Infrastructure Partners II, L.P. fund. The decision to divest
the electricity distribution business in Norway is linked to the strategic
assessment of the company's electricity distribution business' future
alternatives in 2013. In heat business, Fortum focuses on larger urban centres
with potential for combined heat and power (CHP) development. In addition,
Fortum has agreed to sell its shareholding in Fredrikstad Energi AS (49%) and
Fredrikstad Energi Nett AS (35%) to the Hafslund Group.

The total consideration is EUR 340 million on a debt- and cash-free basis.
Fortum expects to complete the divestments during the second quarter of 2014
after the necessary regulatory approvals as well as customary closing
conditions have been met. Fortum expects to book a one-time sales gain
totalling approximately EUR 70 million and corresponding to approximately EUR
0.08 per share in the second quarter 2014 results. The sales gain will be
booked in Fortum's Distribution segment and Heat and Electricity Sales and
Solutions segment.

The combined sales of the Norwegian electricity distribution and heat
businesses amounted to EUR 105 million in 2013. The combined comparable
operating profit of the businesses was EUR 24 million and comparable EBITDA was
EUR 39 million. Combined net assets at the end of 2013 were EUR 247 million.

Fortum's Norwegian electricity distribution grids are located in the Østfold
area in southeastern Norway delivering approximately 2.6 terawatt-hours of
electricity to approximately 103 000 customers. The electricity distribution to
customers will continue without disruption and a total of 96 employees will
continue their work in the business following the transaction.

Fortum's heat business consists of heat production and sales as well as
district heat and cooling activities in Norway. Heat production capacity
consists mainly of heat pumps and business-to-business heat plants with a
combined capacity of 210 megawatts. In 2013, Fortum’s Norwegian heat business
delivered 215 gigawatt-hours (GWh) of district heat and 63 GWhs of district
cooling to its customers, who are mainly in the greater Oslo and Akershus
areas. The delivery of heat and cooling to customers will continue without
disruption following the transaction and all 14 current employees will continue
their work in the business

Fortum's approximately 34%-shareholding in Hafslund ASA is not included in the
arrangement. Furthermore, Fortum will continue to sell electricity and to
develop and offer related services to its electricity retail customers in
Norway as before.

Fortum Corporation
Helena Aatinen
Senior Vice President, Corporate Communications


Further information:
Timo Karttinen, CFO, tel. +358 10 453 6555
Corporate Communications: Helena Aatinen, Senior Vice President, +358 10 45
Fortum Media Desk +358 40 1982 843
Investor Relations: Sophie Jolly, Vice President, tel. +358 10 45 32552

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 9,500 people. Fortum’s shares are
traded on the NASDAQ OMX Helsinki.