Press release 26.5.2009 – 9/2009  

FIN-FSA has issued a public reprimand to Ahti Vilppula for failure to disclose holdings 

The Financial Supervisory Authority (FIN-FSA) has issued a public reprimand to Ahti Vilppula for failure to disclose shares lent to companies controlled by him. The disclosure threshold was exceeded due to the shares acquired through the share lending. The shares were borrowed on the day when the voting rights at the target company’s Annual General Meeting were determined. Due to the failure to disclose, the market was not properly informed about Vilppula’s voting rights at the target company’s Annual General Meeting.

Ahti Vilppula did not disclose the Alma Media Corporation shares borrowed by companies controlled by him, ie by Helsingin Mekaanikontalo Oy and Procomex S.A. These shares represented more than 5% of the voting rights and number of shares in Alma Media. On 29 February 2008, Vilppula disclosed his own holdings and holdings of the companies controlled by him as well as forward contracts, informing that upon completion of those contracts in March 2008, the holdings of himself and the companies controlled by him would be 12.84% of the voting rights and number of shares in Alma Media, thus exceeding the 10% disclosure threshold. However, Vilppula did not disclose the borrowed shares received on the same day, although they entitled him to voting rights at the Annual General Meeting.

The Securities Markets Act contains an obligation to disclose changes both in existing and future voting rights and number of shares. The disclosure obligation is a significant provision regulating the securities market. The purpose of the obligation is to provide information on changes in voting rights and holdings in the target company. As regards shares acquired through share lending, the borrower may use the voting rights attached to the shares at the Annual General Meeting, whereas holders of forward contracts are not entitled to voting rights based on the underlying shares.

As Ahti Vilppula is an experienced investor, he can be expected to have thorough knowledge of the relevant requirements.

FIN-FSA discovered the failure to disclose in November 2008, in connection with other supervisory work.

The decision on the public reprimand has not yet become legally binding. Ahti Vilppula has the right to appeal against the decision of 11 May 2009 to the Helsinki Administrative Court within 30 days from the time when he was made aware of the decision.

For further information,

please contact Jarmo Parkkonen, Head of Department, tel. +358 10 831 5255.

Appendix

FIN-FSA decision (in Finnish)

The Financial Supervisory Authority (FIN-FSA is Finland's financial and insurance supervisory authority from 1 January 2009. The objective of the Financial Supervisory Authority's activities is to enable balanced operations of credit institutions, insurance and pension companies and other supervised entities in stable financial markets, to protect the rights of the insured and foster public confidence in financial market operations. The Financial Supervisory Authority operates in connection with the Bank of Finland but is independent in its decision making. The FIN-FSA has 210 employees.