Ponsse Plc has decided today to discontinue temporarily all export operations to Russia and Belarus for both PONSSE forest machines and their spare parts. Also the Ponsse Group’s Russian subsidiary OOO Ponsse is discontinues temporarily its local spare parts and service operations. Sales in Russia and Belarus account for about 20 percent of the company’s net sales calculated from the 2021 financial statements.

At the same time, Ponsse Plc withdraws its profit guidance for the current year. The new profit quidance is linked to the uncertainties caused by Russia’s invasion of Ukraine and EU sanctions. The company announces that it will not provide new guidance for the current year. In accordance with the previous profit quidance, Group´s euro-denominated operating result in 2022 is estimated to be on a par with 2021.

In this challenging situation, Ponsse also strives to take care of the OOO Ponsse’s personnel.

Vieremä, 2 March 2022

PONSSE PLC
Juho Nummela
President and CEO

FURTHER INFORMATION
Juho Nummela, President and CEO, tel. +358 400 495 690

See other companies temporarily discontinuing operations with Russia here.

Kopparfors Skogar has recruited Per Österberg as the new CEO after Lars-Erik Wigert, who will retire in the spring. Per most recently came from a position as a business developer within SCA Skog AB, where he has had many different roles over the years. He is a forester and has previously held positions such as district manager and forest manager. Per will take over as CEO of Kopparfors Skogar in the late spring of 2022.

In connection with Kopparfors Skogar’s formation in 2018, an agreement was reached with the then incoming CEO Lars-Erik Wigert that he will leave his employment in connection with his 70th birthday. Lars-Erik has led the company in a very meritorious way during its first three years.

– We are very happy that Per has chosen to come to us, says Johan Trolle-Löwen, chairman of Kopparfors Skogar. Per knows the value of combining careful and long-term forest management with business development and digital transformation.

– I am very expectant before the assignment. Kopparfors Skogar has a good reputation in the industry and is seen as both development-oriented and long-term, this is something I want to continue to manage and develop further, says Per Österberg, incoming CEO.

About Kopparfors Skogar

Kopparfors Skogar AB was formed in 2018 in connection with the restructuring of Bergvik Skog AB and is a wholly owned subsidiary of FAM AB, which is indirectly owned by the three largest Wallenberg foundations.

In Central Sweden, Kopparfors Skogar owns just over 283,000 hectares of forest. Forestry is conducted with a very long-term perspective in economically viable forms, while at the same time preserving biological diversity and safeguarding cultural, environmental and social values. The company produces renewable forest raw materials for, among other things, wood and paper production. In addition, the company’s operations contribute to increased conversion to renewable energy through the development of new wind farms and the production of biofuels. Today, there are 145 plants on the company’s land. Kopparfors Skogar has a total of 26 employees, of which just over half are stationed at the head office in Falun and the rest at the four local offices adjacent to the land holdings. Read more at www.kopparfors.se

On 2–4 June 2022 the world’s leading forestry fair, Elmia Wood, will again be held south of Jönköping. Exhibitors and visitors are coming from many parts of Europe to experience the event, which will focus on tomorrow’s innovative and sustainable forestry. This year’s fair will have a European theme with a focus on innovative and sustainable forestry practices for the future.

Avisita has many years of experience as a booking partner. The company offers customised booking services for accommodation, meetings and conferences with a focus on cost consciousness, resource relief and efficient administration for its clients. As the booking partner for Elmia Wood, Avisita will be the central booking provider for accommodation and associated events, which guarantees access to rooms and negotiated prices.

“Avisita is a reliable business partner for accommodation, transfers and conferences, and Elmia has worked with them for many years,” comments Ander Roman of Elmia. “They also know our target group well – both visitors and exhibitors. We’re looking forward to working together from now until the fair.”

“We’re proud that Elmia has once again selected Avisita as its booking partner for its international fairs,” comments Karolina Flink Berndtsson, CEO of Avisita. “Long-term collaboration helps us to get to know the various target groups better and thereby to improve our offering and services, which benefits all those involved. Everyone who wants to participate in Elmia Wood is welcome to contact our central booking service for their best possible accommodation options.”

Elmia Wood is a comprehensive international meeting place for forest owners, contractors and administrators. Visitors can see the latest products, discover innovations and new know-how, and create opportunities for new business deals. The fair will be held in the forest of Bratteborgs gård south of Jönköping.

For more information, contact:
Anders Roman, Spokesperson Elmia Wood. Anders.roman@elmia.se Mobile: +46 (0)705–910057
Maria Perneros Geterud, Project Manager Avisita Maria.geterud@avisita.com Mobile: +46 (0)704–994566
Karolina Flink Berndtsson, CEO Avisita karolina.flink@avisita.com Mobile: +46 (0)709–664668

Ponsse Group will be independently responsible for its sales, spare parts and maintenance services in the Czech Republic. Today on 4 February 2022, Ponsse signed a deed of sale, in which it agrees to purchase all shares in KŘENEK FOREST SERVICE s.r.o (hereinafter “Krenek”), its PONSSE forest machine and service dealer in the Czech Republic. The aim is that PONSSE services in the Czech Republic will transfer to Ponsse Group by 1 April 2022. The company will operate as a subsidiary wholly owned by Ponsse.

Krenek’s employees will continue in the service of the purchased limited liability company under their current employment contracts and benefits. Ponsse has prepared a comprehensive integration plan that will ensure a positive continuation of the local business and sufficient induction for the employees.

The business arrangement has no impact on the previous guidance. The price of the transaction between Krenek and Ponsse will not be made public by mutual agreement, because the purchase price has no impact on the measurement of Ponsse’s value. The purchase price will be paid in cash on the condition that certain requirements set for the transaction are fulfilled. Ponsse will finance the acquisition from its cash assets.

PONSSE forest machines have a market share of about 20 per cent in cut-to-length (CTL) harvesting in the Czech Republic, and there are 290 PONSSE forest machines in the country.

Brought together by the values of traditional family-owned companies

“We’re proud to continue Krenek’s work in the Czech Republic. It’s been an honour for Krenek’s family-owned business to take care of customer relationships with relentless honesty and commitment, which also lays the foundation of our operations. We promise to provide our local customers with continuously developing high-quality PONSSE solutions and services, also in the future, and we see a lot of potential in this market. Our local employees will play a crucial part in this,” says Juho Nummela, President and CEO of Ponsse Plc.

This change will not interrupt the local PONSSE services, which include machine sales, maintenance, spare parts services, and training. Ponsse will continue to operate in Hostinné in the same facilities in which Krenek’s services are currently located.

Krenek has been Ponsse’s official dealer since 2013, having operated for ten years through Wahlers Forsttechnik GmbH, Ponsse’s dealer in Germany. In 2020, a total of 34.5 million m3 of wood was harvested in the Czech Republic, with nearly all harvesting operations centred in areas damaged by bark beetles. The normal annual harvesting volume in the Czech Republic is approximately 13–17 million m3. A sustainable level of harvesting is 22 million m3 per year in the country, allowing forests to regenerate more quickly than they are harvested.

Earlier in November 2021, Ponsse announced its intention to establish a subsidiary in Chile as well. Following the establishment of these new subsidiaries, Ponsse Group consists of 14 subsidiaries and 44 dealers.  In addition to its international subsidiaries, Ponsse Group includes the technology company Epec Oy in Finland. Exports account for 80 per cent of Ponsse’s production at its factory in Vieremä, Finland. In addition to the company to be acquired in the Czech Republic, Ponsse has European subsidiaries in Sweden, Norway, France, the UK, and Ireland.

Photo: Juho Nummela, President and CEO of Ponsse Plc

Caterpillar’s new smart creep feature for skid steers and compact track loaders is designed to take the guess work out of setting the right creep speed for operating attachments such as cold planers and wheel saws.

Smart creep, which senses the load on the attachments and automatically adjusts the drive command for the most productive speed, is expected to be commercially available later this year. At that time, Caterpillar’s full range of D3 loaders will come smart creep ready from the factory.

Smart creep works through a combination of attachment sensors and proprietary software which balances attachment load and machine speed to maximize productivity.

By continually sensing the load on the attachment, smart creep increases machine speed when encountering less resistance and automatically slows the machine when encountering higher load. Engine load remains constant, while the operator can monitor hydraulic pressure on the in-cab display panel.

Without the aid of this feature, setting creep speed too fast can lead to stalling the attachment, and too slow of speed results in productivity loss. Smart creep software smoothly and efficiently determines the optimal machine speed for cutting conditions, Caterpillar says. With smart creep, the operator needs only to activate the standard creep control system and set the maximum creep speed on the advanced display inside the cab.

Once the tool engages the cut, smart creep measures load on the attachment and adjusts the drive command automatically as cutting begins. In the event of the cutter jamming or stalling, an auto reverse feature within smart creep quickly changes machine direction to allow the tool to clear the jam.

Targeted availability for smart creep on Cat D3 SSL and CTL machines is the third quarter of 2022. A field installation kit consisting of sensors and machine software for operating the new feature will be made available for existing fleet loaders and attachments.

The restoration will increase biodiversity and improve the habitat for the species in the restored land by removing trees that have grown in the area after drainage. After harvesting, ditches will be blocked to raise the water level in peatland.

“Restoring peatland to as natural state as possible starts with harvesting when the ground is frozen and able to support forestry machinery. After the restoration measures, the drained peatland will, in the long term, recover to its natural state. We will use the harvested wood for renewable and recyclable products that replace fossil-based raw materials,” says Niina Partanen, Environmental Manager at Stora Enso.

“The launch of the five-year cooperation between Stora Enso and Tornator is a concrete step towards improving biodiversity and the state of waterways. In its biodiversity program, Tornator mainly restores drained peatlands where it is not reasonable to continue active forestry. Our cooperation with Stora Enso promotes harvesting in these areas, thus enabling the projects to be implemented as planned,” says Heikki Myöhänen, Environmental Manager at Tornator.

In the long term, the restoration of low forest cover peatland will increase the amount of carbon sequestered in peat. Improving peatland habitat will contribute to the recovery of vegetation and other species, the condition of the waterways beneath peatlands and thus, for example, the recreational use of lakes. At the same time, berry picking and hunting opportunities in these areas will be improved.

The cooperation between Stora Enso and Tornator on peatland restoration is part of a broader partnership between the companies, which also includes forest management services, research and development work and a long-term timber trade agreement that was renewed in 2021.

Tornator & Stora Enso

Tornator owns a total of 637,000 hectares of forest in Finland, making it the largest private forest owner in Finland. Stora Enso owns 41% of Tornator.

Russian Luzales, one of the largest sawmill groups in the Komi Republic, invests in two more TC continuous kilns to its sawmill in Syvyktar. It is the group’s third investment in Valutec TC kilns in five years.

”Valutec is a reliable and time-tested partner. We get full-scale technical support, guaranteed value and immediate help with emerging issues”, says Luzales CEO Valentin Rozhok. “The Russian staff of Valutec are all professionals and easy to work with. I am sure that with Valutec we will be moving forward”.

Luzales became the first sawmill group in Russia to invest in TC continuous kilns with their order to Kyddzyavidz in 2017.  Pleased with the delivery and output of the kiln the company invested in another two TC kilns to Syktyvkar the following years.

At the Woodex exhibition in Moscow in December 2021 the company opted to invest in two more TC Continuous kilns to further increase drying capacity at the Syktyvkar sawmill.

“We look forward to continue with our contribution to Luzales’ development. We know each other well and look forward to a continued positive collaboration. Our TC kilns are the best of what today’s market in wood drying can offer. They will help Luzales reach their ambitious goals when it comes to capacity, quality and energy consumption”, says Artem Veretennikov, Director of Sales, Valutec LLC.

“Today, we’re selling TC continuous kilns in markets all over the world. It’s the result of thousands of development hours during which we studied, evaluated, tested and reinvented every part of a type of lumber kiln which, in its original design, was first used back in 1927,” says Veretennikov.

The great technological leap forward in this new generation of TC continuous kilns is the individual temperature and air circulation control in different zones. Integrated simulator technology gives the operator high flexibility when choosing the dimensions of lumber for drying, thus optimizing processes and providing high capacity.

The total annual capacity of the two TC kilns is 140 000 cubic meters (59 300 MBF). The kilns are made of stainless steel and equipped with pressure frames for minimal deformation of the upper lumber layers and heat recovery. The delivery also includes Valutes´s control system for drying Valmatics 4.0. It is packed with intelligence that senses and adapts the drying process accordingly. Integrated in the system is the Valusim simulator, which optimizes new drying programs with regard to capacity, quality and electrical energy consumption, in order to avoid costly running-in times.

Assembly of the kilns is scheduled to the final quarter of 2023.

For more information, contact:
Robert Larsson
Managing Director, Valutec
robert.larsson@valutec.se

Nason Davis Ltd and Roger Mitchell (UK) Ltd have announced that the two businesses have reached agreement for Nason Davis Ltd to acquire the goodwill and ongoing business of Roger Mitchell (UK) Ltd.  The full Roger Mitchell (UK) team have joined Nason Davis effective from the 19th January 2022.

The Directors of Nason Davis see this as a great opportunity for these two independent businesses. There is a terrific synergy between the two Companies. The expanded business combines strong agency and trading relationships in the core softwood sector for the UK trade. The Nason Davis team look forward to working alongside the Roger Mitchell team to continue the existing business of both companies and to explore new opportunities.

Nick Mitchell of Roger Mitchell (UK) said: “This is an exciting new venture for me and the Roger Mitchell team. The Mitchell name has been a feature of the timber trade for 94 years, but the business is bigger than the name. I am so pleased to have found a way to secure the future of our business into the long term for our suppliers, our customers, and all our staff.”

For more information, please contact David Balch or Chris James at timber@nasondavis.com or Nick Mitchell on 01428 715900 with any queries.