Andritz AG

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Andritz to supply CTMP plant to Klabin, Brazil

-------------------------------------------------------------------------------- Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement. -------------------------------------------------------------------------------- 16.05.2006 Graz, 16 May 2006. International Technology Group Andritz and Klabin, one of the largest manufacturers of paper, boards, and paper products in Latin America, signed a Letter of Intent under which Andritz will supply on an EPC basis the complete CTMP (Chemi-Thermo Mechanical Pulping) plant for the new board production line to be installed at the Klabin Monte Alegre mill in Telêmaco Borba, Paraná, Brazil. The start-up of the plant is scheduled for September 2007; the value of the contract amounts to approximately 50 MEUR. The CTMP plant is designed for a capacity of 140,000 tons per year of unbleached eucalyptus pulp for the production of various board grades, especially for Liquid Packaging Board (LPB). Wolfgang Leitner, President and CEO of Andritz: "This order is a big success for Andritz and underlines Andritz’s dominating position in hardwood CTMP production technology. The new state-of-the-art CTMP plant will be among the first worldwide to use eucalyptus wood as raw material. It is expected that in the near future CTMP from eucalyptus will become an important fiber source for paper and board mills in South America due to its favorable pulp properties and high yield". Andritz’s scope of supply includes chip washing, impregnation, refining line, and a pulp washing system. The order also comprises a wetlap system for part of the production which is intended for use in other mills of Klabin and an innovative effluent evaporation plant with mechanical vapor recompression technology (MVR). - End - About the Andritz Group Publicly listed Andritz Group is a global market leader for advanced production systems for pulp and paper, steel and other specialized industries. Andritz has about 6,000 employees worldwide. It develops and makes its high-tech systems at 30 production sites (Austria, Germany, Finland, Denmark, France, Netherlands, USA, Canada, and China). About Klabin S/A Klabin is the largest paper and board manufacturer and exporter in Brazil. The company is the leader in production of packaging paper and board, corrugated boxes and industrial sacks. Klabin was the first company in the pulp and paper sector of the Americas to have its forests certified by the FSC (Forest Stewardship Council), proving that it operates its business at the highest levels of environmental conservation and socio-economic sustainability. end of announcement euro adhoc 16.05.2006 07:30:00 -------------------------------------------------------------------------------- ots Originaltext: Andritz AG Im Internet recherchierbar: http://www.presseportal.de Further inquiry note: Dr. Michael Buchbauer Head of Investor Relations Tel.: +43 316 6902 2979 Fax: +43 316 6902 465 mailto:michael.buchbauer@andritz.com Branche: Machine Manufacturing ISIN: AT0000730007 WKN: 632305 Index: WBI, ATX Prime, ATX Börsen: Wiener Börse AG / official dealing

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