Determining the acquisition cost of Metso and Valmet shares under the Finnish income tax system
Determining the acquisition cost of Metso and Valmet shares under the Finnish
income tax system
Metso Corporation's stock exchange release on February 7, 2014 at 2:15 p.m.
local time
Metso Corporation's Pulp, Paper and Power businesses were transferred to Valmet
Corporation through a partial demerger as of December 31, 2013 and Metso
shareholders received one (1) Valmet share for each of their Metso shares as a
demerger consideration. As a result of the demerger, the original acquisition
cost of Metso shares will be split between Metso and Valmet shares under the
Finnish income tax system. Acquisition costs vary, depending on the time when
the shares were originally acquired. Determining this cost is necessary for tax
purposes to calculate the capital gain or loss from the sale of the shares in
question.
According to the Finnish Tax Administration the weighted average share prices of
the first trading day on January 2, 2014 are to be used in determining the
acquisition cost of Metso Corporation's and Valmet Corporation's shares for
Finnish income tax purposes. As a result, the acquisition costs are to be
allocated between the two companies' shares as follows: 78.80% (Metso
Corporation) and 21.20% (Valmet Corporation).
Example: If a shareholder acquired a Metso share prior to the partial demerger
at a cost of EUR 25.00, the acquisition cost of the Metso share following the
partial demerger will be considered as EUR 19.70 (78.80%) and that of the Valmet
share as EUR 5.30 (21.20%).
The method for splitting the acquisition cost of shares described above does not
apply to shareholders resident outside Finland. We recommend that shareholders
liable for tax living outside Finland consult their tax advisers on how the
acquisition cost of their shares will be treated locally.
Metso is a leading process performance provider, with customers in the mining,
construction, and oil & gas industries. Metso is also known for its advanced
automation solutions for pulp, paper and power generation. Our focus is on the
continuous development of intelligent solutions that improve sustainability and
profitability.
Metso's shares are listed on the NASDAQ OMX Helsinki Ltd. Metso employs 16,000
professionals in 50 countries. Expect results.
www.metso.com, Â www.twitter.com/metsogroup
Further information, please contact:
Visa Randell, Tax Director, Metso Corporation, tel +358 20Â 484 3209
Metso Corporation
Harri Nikunen
CFO
Juha Rouhiainen
VP, Investor Relations
Distribution:
NASDAQ OMX Helsinki Ltd
Media
www.metso.com
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Source: Metso Corporation via GlobeNewswire
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