Published: 2009-08-11 12:00:00 CEST
Glaston Oyj Abp - Interim report
Glaston Interim Report 1 January - 30 June 2009
GLASTON CORPORATION        	Interim Report	         11 August 2009 13.00        


Glaston Interim Report 1 January - 30 June 2009                                 

-Orders received in January-June totalled EUR 67.3 (136.8) million. During      
 April-June orders received totalled EUR 40,5 million, a growth of 51% compared 
 to the first quarter of the year. 
-Glaston's order book on 30 June 2009 was EUR 37.1 (100.3) million.             
-Consolidated net sales in January-June totalled EUR 84.4 (135.7) million.      
-The operating result in January-June was a loss of EUR 19.5 (5.4 profit)       
 million, representing -23.1 (+4.0)% of net sales. 
-The operating result, excluding non-recurring items, was a loss of EUR 15.2    
(5.4 profit) million.                                                           
-Return on capital employed (ROCE) was -19.7 (+8.3)%.                           
-January-June earnings per share were EUR -0.23 (+0.05).                        
-Due to a weak order book in early 2009 and exceptionally low demand, Glaston   
 still expects 2009 net sales to fall short of the 2008 level. Due to the 
 reduced order book in the first quarter, third quarter net sales are expected
 to be low, and the July-September operating result is expected to be a loss. 


Chief Financial Officer Kimmo Lautanen:                                         
“The glass processing machine market in the first half of the year was low. At  
the end of the second quarter, orders received developed positively compared    
with the first quarter.                                                         

The weak result was due to the sharp fall in net sales, for which the cost      
savings and efficiency measures under way did not compensate. The adjustment of 
the company's cost structure will continue.                                     

Cost savings in January-June, excluding material costs, totalled EUR 10.6       
million. The company's net debt began to fall during the second quarter. Cost   
savings from enhanced restructuring programmes are expected to rise during 2009 
to EUR 20 million.”                                                             

New segment information                                                         
On 22 April 2009, Glaston announced that it was changing its organisation and   
that the  segments in future will be Machines, Services and Software Solutions. 

The Pre-processing and Heat Treatment segments have been combined to form the   
new Machines segment. At the same time, maintenance and service business was    
separated from machine operations into its own Services segment.                

The Machines segment comprises tempering, bending and laminating machines sold  
under the Tamglass and Uniglass brands, glass pre-processing machines sold under
the Bavelloni brand, and tool manufacturing.                                    

The Services segment consists of glass processing machine maintenance and       
service activity, sales of spare parts and tools, and the operation of the glass
processing factory in Akaa, Finland, on behalf of a partner.                    

The Software Solutions segment remains as before. The segment's product offering
covers enterprise resource planning systems for the glass industry and sold     
under the Albat+Wirsam brand, software for the needs of window and door glass   
manufacturers, and software for glass processors' integrated line solutions.    

A reorganisation of Tools business is under way, and the net sales and operating
result for Tools are still reported in this interim report as part of the       
Machines segment.                                                               

A change has also been made to the geographical segments reported quarterly. The
former EMEA has been divided into the segments Europe and MEAI (Middle East,    
Africa, India, Pakistan and Bangladesh). The other reporting areas are Asia and 
America.                                                                        

Markets                                                                         
Glaston's markets continued to be quiet compared with last year, with demand    
remaining on a low level. Some signs of a recovery, however, were perceived     
towards the end of the review period. Customers' continued to be cautious with  
investments in the review period and the emphasis of machine sales was on       
individual machines. There was no demand for extensive One-Stop-Partner sales.  

Machines                                                                        
Demand for glass processing machines was weak in the review period. The         
continued market uncertainty impacted on customers' willingness to invest. In   
the final weeks of the review period, however, tentative signs of a recovery in 
the market were perceptible. Particularly in the Asian market, demand picked up 
slightly due to local stimulus programmes. Demand in the South American market  
still continued to be good.                                                     

In the second quarter, Glaston received significant orders from Germany and     
China for architectural and solar energy glass production. The glass machines   
sold represent the latest glass processing technology. In the review period, the
first Tamglass ProE Magnum 9633, Europe's biggest flat tempering line, was also 
delivered.                                                                      

Transfer of technology to China continued in the review period. The first       
continuously operating Tamglass CHF flat tempering machine manufactured in the  
Tianjin factory was delivered to the customer in June.                          

The Machines business area's January-June net sales totalled EUR 53.4 (92.7)    
million.                                                                        

Services                                                                        
A decline in the utilisation rates of customers' machines influenced the service
market situation and demand for Tamglass and Bavelloni spare parts was weak     
during the entire first half of the year. It was possible to compensate partly  
for low demand through upgrade products. Demand for ceramic rollers, introduced 
into the service product offering in 2008, remained good in the review period.  
At the end of the review period, a small growth in demand was perceptible in the
North Asian market.                                                             

In the review period, maintenance of Uniglass machines became part of Glaston's 
global service network. During the early part of the year, Services has brought 
to the market a number of new upgrade products for Bavelloni, Tamglass and      
Uniglass machines and equipment. Most of the upgrade products are solutions that
improve production capacity, for example of Low-e machines. In addition, the    
service offering has been expanded with training packages directed at customers 
as well as with comprehensive consulting concepts for the customer's production.

Demand for tools was weak in the period under review. As part of the Group      
restructuring programme, manufacturing of tools in the USA was discontinued.    

Services business January-June net sales totalled EUR 20.4 (30.2) million.      

Software Solutions                                                              
The economic downturn continued to impact on the activity of the Software       
Solutions business area. Demand in the USA and China continued to be very weak. 
The relatively stable Central European market, however, partly compensated for  
weakened demand in other market areas.                                          

A higher degree of automation as well as systems integration have been the      
product development priorities for a couple of years now, and the present market
situation has even accelerated this trend. The Panorama line control system was 
developed further in the review period.                                         

The Software Solutions business area's January-June net sales totalled EUR 11.8 
(13.7) million.                                                                 

One-Stop-Partner                                                                
Demand for extensive One-Stop-Partner projects came to a halt during the final  
quarter of 2008 and demand continued to be weak during the second quarter of    
2009.                                                                           

The order intake for One-Stop-Partner deliveries was EUR 1.2 (14.3) million in  
January-June. The unit's earnings are included in Glaston's reporting segments. 

A market for factory solutions related to solar energy still exists, and        
Glaston's position in this customer segment is strong. As the economic downturn 
continues, customers are postponing their investment decisions. On the other    
hand, the recession has accelerated the trend towards integrated solutions and a
higher degree of automation.                                                    

Orders received                                                                 
Glaston's order intake in the first half of the year was EUR 67.3 (136.8)       
million. Of orders received, Machines accounted for 68%, Services 24% and       
Software Solutions 8%.                                                          

Order book                                                                      
Glaston's order book on 30 June 2009 was EUR 37.1 (100.3) million. Of the order 
book, the Machines business area accounted for EUR 30.8 million, Services for   
EUR 2.3 million and Software Solutions for EUR 4.0 million.                     

--------------------------------------------------------------------------------
| Order book, EUR million |               30.6.2009 |                30.6.2008 |
--------------------------------------------------------------------------------
| Machines                |                    30.8 |                     78.0 |
--------------------------------------------------------------------------------
| Services                |                     2.3 |                     16.2 |
--------------------------------------------------------------------------------
| Software Solutions      |                     4.0 |                      6.0 |
--------------------------------------------------------------------------------
| Total                   |                    37.1 |                    100.3 |
--------------------------------------------------------------------------------


Net sales and result                                                            
January-June net sales totalled EUR 84.4 (135.7) million. The Machines business 
area's net sales in January-June were EUR 53.4 (92.7) million, Services' net    
sales EUR 20.4 (30.2) million and Software Solutions EUR 11.8 (13.7) million.   
The decline in net sales resulted from continued exceptionally weak demand.     

Second-quarter net sales were EUR 45.2 (72.6) million and distributed across the
business areas as follows: Machines EUR 29.8 (49.9) million, Services EUR 9.7   
(16.9) million and Software Solutions EUR 5.9 (6.4) million.                    


--------------------------------------------------------------------------------
| Net sales, EUR   |            1-6/2009 |        1-6/2008 |         1-12/2008 |
| million          |                     |                 |                   |
--------------------------------------------------------------------------------
| Machines         |                53.4 |            92.7 |             181.1 |
--------------------------------------------------------------------------------
| Services         |                20.4 |            30.2 |              63.4 |
--------------------------------------------------------------------------------
| Software         |                11.8 |            13.7 |              28.2 |
| Solutions        |                     |                 |                   |
--------------------------------------------------------------------------------
| Other and        |                -1.2 |            -1.0 |              -2.2 |
| internal sales   |                     |                 |                   |
--------------------------------------------------------------------------------
| Total            |                84.4 |           135.7 |             270.4 |
--------------------------------------------------------------------------------

The operating result in January-June was a loss of EUR 19.5 (5.4 profit)        
million, representing -23.1 (+4.0)% of net sales. The result includes EUR 4.3   
million of non-recurring costs relating mainly to operational efficiency        
measures, which were recognised in the second quarter. Of the January-June      
operating loss, excluding non-recurring items, the Machines business area       
accounted for EUR  -9.9 (+5.4) million, the Services business area for EUR -1.9 
(+1.7) million and Software Solutions for EUR 0.1 (2.2) million.                

The sharp decline in sales impacted on the Machines business area's             
profitability, which, despite substantial cost-cutting measures, weakened       
compared with the corresponding period of the previous year. Adjustment of      
operations and efficiency-improvement measures will be forcefully continued     
during the latter part of the year.                                             

The second quarter operating loss, excluding non-recurring items, was EUR -6.2  
(+3.8) million, of which the Machines business area accounted for EUR -4.6      
(+3.3) million, the Services business area for EUR -0.2 (+1.3) million and      
Software Solutions for EUR 0.5 (1.2) million.                                   


--------------------------------------------------------------------------------
| Operating result, EUR     |         1-6/2009 |      1-6/2008 |     1-12/2008 |
| million                   |                  |               |               |
--------------------------------------------------------------------------------
| Machines                  |             -9.9 |           5.4 |           5.3 |
--------------------------------------------------------------------------------
| Services                  |             -1.9 |           1.7 |           4.7 |
--------------------------------------------------------------------------------
| Software Solutions        |              0.1 |           2.2 |           3.7 |
--------------------------------------------------------------------------------
| Other and eliminations    |             -3.6 |          -3.8 |          -7.6 |
--------------------------------------------------------------------------------
| Operating result,         |            -15.2 |           5.4 |           6.2 |
| excluding non-recurring   |                  |               |               |
| items                     |                  |               |               |
--------------------------------------------------------------------------------
| Non-recurring items       |             -4.3 |             - |         -12.3 |
--------------------------------------------------------------------------------
| Operating result          |            -19.5 |           5.4 |          -6.1 |
--------------------------------------------------------------------------------

The result for the review period was a loss of EUR 18.1 (3.7 profit) million.   
Return on capital employed was -19.7 (+8.3)% and earnings per share were        
EUR -0.23 (+0.05). Earnings per share in the second quarter were EUR -0.13      
(0.04).                                                                         

Efficiency programme                                                            
To improve profitability and adjust operations to the market situation,         
efficiency measures were initiated throughout the Group in September 2008, and  
these measures were continued in the review period.                             

The restructuring of machine operations proceeded during the second quarter, and
the Pre-processing and Heat Treatment business areas were integrated into the   
Machine business area. At the end of the review period, the Machines business   
area's new global organisation had been appointed and was active. In the next   
stage, the Machines business area will focus on completing the integration and  
on further improving profitability by, among other things, rationalising the    
product portfolio and developing the global production structure.               

Operational efficiency was enhanced by adjusting production, and the production 
unit located in Mexico was closed in March. The closure of the factory located  
in Cinnaminson, USA has proceeded according to plan and operations will cease at
the end of September. In the review period, the transfer to Finland and China of
tempering machine production in the USA was initiated.                          

In service operations, cost-cutting and operational adjustment measures         
continued and included the closure of a Japanese service location in April. In  
addition, tool production in USA was transferred to Italy. The number of        
employees engaged in service tasks declined in the review period by 30.         

The Group has substantial temporary lay-off programmes under way in Finland and 
Italy. Working time has been shortened in Germany and the USA.                  

As a result of the efficiency and adjustment measures, the number of Glaston    
employees had at the end of the review period fallen by 259 compared with the   
end of 2008. In addition, temporary subcontracted workers were reduced nearly by
60.                                                                             

The cost savings planned in the efficiency measures total nearly EUR 20 million 
and related non-recurring costs are EUR 4.3 million for 2009. The savings will  
be implemented mainly during 2009. The cost savings of the review period        
(excluding material expenses) totalled EUR 10.6 million compared with the       
corresponding period the previous year (in the second quarter 6.9 million).     

Financing                                                                       
The Group's financial position remained reasonable. Net debt declined in the    
second quarter compared with the end of the first quarter. In addition to       
dividends paid during the review period, the Group's financial position was     
affected mainly by changes in working capital and cash flow from operating      
activities as well as by a convertible bond issue (EUR 23.8 million). Working   
capital was reduced (EUR +15.2 million), but cash flow from operating           
activities, excluding the change in working capital, was negative (EUR -17.6    
million) in the period under review. Cash flow from investing activities was    
EUR -5.4 (-7.1) million. Cash flow from financing activities in January-June was
EUR 17.6 (15.1) million, including dividends paid in the review period of EUR   
3.9 (7.8) million.                                                              

The equity ratio on 30 June 2009 was 41.9 (51.2)%.                              

The Group's liquid funds at the end of the period totalled EUR 21.4 (11.0)      
million. Interest-bearing net debt totalled EUR 63.9 (31.9) million and net     
gearing was 60.6 (23.6)%. To ensure liquidity, the Group has a EUR 65 million   
committed revolving credit facility. At the end of June, EUR 20 million of the  
facility was in use.                                                            

Capital expenditure, depreciation and amortisation                              
Glaston's gross capital expenditure totalled EUR 6.2 (7.0) million. The most    
significant capital expenditure was related to a joint venture founded in       
connection with the sale of the glass processing operations as well as to the   
global ERP project. The ERP system was introduced in a pilot company in Finland 
in the second quarter.                                                          

During the review period, depreciation, amortisation and impairment charges of  
property, plant and equipment and intangible assets totalled EUR 5.2 (4.1)      
million.                                                                        

Group structural changes                                                        
As part of an efficiency programme initiated last year, operations of Uniglass  
Engineering Oy were transferred to Glaston's factory in Tampere, Finland.       
Operations at the Uniglass factory in Ylöjärvi, Finland, ended on 31 March 2009.

Glaston's subsidiary Tamglass Glass Processing Ltd. sold its insulation and     
architectural glass processing operations to INTERPANE Glass Oy in March.       
INTERPANE Glass Oy is a Glaston joint venture company. The net sales of the sold
operations totalled around EUR 14 million in 2008. As of 1 April 2009, glass    
processing operations consist only of solar reflector production at Akaa,       
Finland. Glass processing operations belong to the Services segment.            

Glaston's two companies in Mexico merged in the second quarter. Glaston UK Ltd. 
and Albat+Wirsam Software Ltd. in the UK merged at the beginning of the third   
quarter.                                                                        

The Pre-processing and Heat Treatment business areas were merged in April to    
form the Machines business area.                                                

Personnel                                                                       
Henrik Reims was appointed Senior Vice President, Sales and Marketing as of     
1 April 2009. The Senior Vice President, Sales and Marketing's area of          
responsibility includes One-Stop-Partner deliveries. Topi Saarenhovi was        
appointed Senior Vice President of the Machines business area as of 22 April    
2009 and Manne Tiensuu as Glaston's Senior Vice President, Human Resources as of
15 May 2009.                                                                    

On 30 June 2009, Glaston had a total of 1,282 (1,529) employees. Of the Group's 
employees, 24% worked in Finland and 51% elsewhere in Europe, 1% in the MEAI    
area, 10% in Asia and 14% in the Americas. The average number of employees was  
1,402 (1,492).                                                                  

Shares and share price                                                          
Glaston Corporation's paid and registered share capital                         
on 30 June 2009 was EUR 12.7 million and the number of issued shares totalled   
79,350,000. The company has one series of share. At the end of the review       
period, the company held 838,582 of the company's own shares (treasury shares), 
corresponding to 1% of the total number of issued shares and votes. The book    
counter value of treasury shares is EUR 134,173.  Every share that the company  
does not hold itself entitles its owner to one vote at the Annual General       
Meeting. The share has no nominal value. The counter book value of each share is
EUR 0.16.                                                                       
On 30 June 2009, the market capitalisation of the company's shares, treasury    
shares excluded, was EUR 83.2 (243.5) million.                                  
During the six months of the year, a total of around 3.9 million of the         
company's shares were traded, representing 5.0% of the average number of shares.
The lowest price paid for a share was EUR 0.92 and the highest price EUR 1.44.  
The volume-weighted average price of shares traded during the period under      
review was EUR 1.18. The closing price on 30 June 2009 was EUR 1.06.            
The equity per share attributable to the owners of the parent was EUR 1.34      
(1.72).                                                                         

Decisions of the Annual General Meeting                                         
The Annual General Meeting of Glaston  Corporation was held in Helsinki on 17
March 2009. The Annual General Meeting approved the financial statements and
consolidated financial statements for 2008 and released the President & CEO and
the Board of Directors from liability for the fiancial period 1 January-31
december 2008. 

The Annual General Meeting approved a dividend of EUR 0.05 per share,           
representing a maximum total sum of around EUR 4.0 million.                     

The Annual General Meeting confirmed that the following will continue on the    
Board of Directors for a year-long term of office: Claus von Bonsdorff, Klaus   
Cawén, Jan Lång, Carl-Johan Rosenbröijer, Christer Sumelius and Andreas         
Tallberg. The Annual General Meeting decided to maintain the Chairman of the    
Board's annual remuneration at EUR 40,000 and the Deputy Chairman's annual      
remuneration at EUR 30,000. It was also decided to maintain the remuneration of 
the other Members of the Board at EUR 20,000 euros per year. On 17 March 2009,  
the Board of Directors elected Andreas Tallberg to continue as the Chairman of  
the Board and Christer Sumelius to continue as the Deputy Chairman of the Board.

The Annual General Meeting re-elected as auditor the authorised public          
accounting firm KPMG Oy Ab, with the responsible auditor being Sixten Nyman APA.
Annual General Meeting approved amendments to the Articles 2, 11 and 12 of the  
Articles of Association.                                                        

Authorisations given by the Annual General Meeting                              
The Annual General Meeting of Glaston Corporation held on 17 March 2009         
authorised the Board of Directors to decide on the acquisition of the company's 
own shares up to a maximum of 7,000,000 shares. The shares may be acquired to   
improve the capital structure of the company and/or to be used as consideration 
in future acquisitions or other arrangements that are part of company's business
or as part of the company's share-based incentive scheme, or to finance         
investments. The shares acquired for the company may be held, cancelled or      
conveyed. The authorisation is valid for 18 months from the decision of the     
Annual General Meeting.                                                         

The Annual General Meeting also authorised the Board of Directors to decide on  
the issue of new shares and/or the conveyance of own shares held by the company.
The authorisation applies to maximum of 7,800,000 shares. The new shares may be 
issued and own shares held by the company conveyed either against payment or    
without payment. The shares may be issued and/or conveyed to the company's      
shareholders in proportion to their existing shareholdings in the company or in 
exemption to the pre-emptive subscription right of shareholders. Shares can be  
issued or conveyed without payment in exception to the pre-emptive subscription 
right of shareholders only if there is an especially weighty financial reason   
for the company to do so, taking the interests of all shareholders into account.

The Board of Directors may decide on the issue of shares without payment also to
the company itself. The number of shares to be issued to the company combined   
with the number of shares acquired for the company under the share acquisition  
authorisation may not exceed 1/10 of the total number of shares of the company. 

The subscription price of new shares issued and the consideration paid for the  
conveyance of the company's own shares shall be credited to the reserve for     
invested unrestricted equity. By virtue of the share issue authorisation, the   
Board of Directors shall decide on other matters relating to the issuing and    
conveyance of shares. The authorisation was valid until the end of the 2011     
Annual General Meeting.                                                         

Decisions of the Extraordinary Meeting of Shareholders                          
The Extraordinary Meeting                                              
of Shareholders of Glaston Corporation, held on 8 June 2009, authorised the     
Board of Directors to decide of the issuing of shares and the issuing of special
rights granting entitlement to shares, referred to in Chapter 10 Section 1 of   
the Companies Act.                                                              
The number of shares to be issued under the authorisation may not exceed a total
of 25,000,000 shares. If all shares that may be issued under the authorisation  
were issued, the number of shares issued would correspond to approximately 24%  
of all the shares in the company.                                               

The Board of Directors shall decide on the conditions of the issuing of shares  
and of special rights granting entitlement to shares. The authorisation concerns
both the issuing of new shares as well as the conveyance of treasury shares. The
issuing of shares and of special rights granting entitlement to shares may be   
carried out in exception to shareholders' pre-emptive rights.                   

The authorisation is effective until the next Annual General Meeting, however no
longer than 30 June 2010, and it cancelled the authorisation to decide on the   
issuing of shares given by the Annual General Meeting on 17 March 2009.         

Convertible bond                                                                
On 16 June 2009, the Board of Directors decided, based on the authorisation     
granted by the Extraordinary Meeting of Shareholders, to issue a convertible    
bond up to a maximum principal of EUR 30,000,000, divided into negotiable       
promissory notes of nominal value EUR 50,000. The bond was issued in exception  
to the shareholders' pre-emptive subscription rights to investors selected by   
the Board of Directors. The bond was subscribed to a total of EUR 23,750,000 and
the Board of Directors approved the subscriptions on 17 June 2009. The bond     
strengthens the company's financial position, optimises the capital structure   
and facilitates investments. The terms and conditions of the convertible bond   
were presented in a stock exchange release dated 16 June 2009.                  

Uncertainties and risks in the near future                                      
                                        
Due to the global financial crisis, Glaston's market has changed. The economic
recession has aversely affected customers' investment opportunities. The impact
has been particularly strong on One-Stop-Partner orders. 
                                                      
Owing to the recession, demand for glass processing machines will continue to be
weak. Customers' financing difficulties mean that orders will be postponed and  
those already confirmed may be cancelled. Customers' financial situation also   
impacts on the collection of receivables and on credit losses.                  
Risks relating to raw materials have decreased. Raw material prices have        
levelled off and subcontracting capacity problems have nearly disappeared.      
If the international financial crisis is extended and the recover of the sector 
delayed, it is possible that Glaston's recoverable amounts will, despite the    
savings arising from efficiency measures, be insufficient to cover the carrying 
amounts of assets, particularly goodwill. If this happens, it will be necessary 
to recognise an impairment loss, which when implemented will weaken the result  
and shareholders' equity.                                                       
A more detailed review of Glaston's risks has been presented in the 2008        
financial statements.                                                           

Events after the review period                                                  
On 5 August 2009, Glaston Corporation's Board of Directors appointed Arto
Metsänen, M.Sc. Mining Engineering and Mineral Processing, as the company's new
President & CEO. 
                      

Metsänen will assume his new  position on 1 September 2009. Mika Seitovirta
resigned from the post of President & CEO on 5 August 2009. Chief Financial
Officer Kimmo Lautanen will handle the duties of the company's President & CEO
tasks in the period  6 August-31 August 2009. 
       
                                                     

Outlook                                                                         
The quiet market will continue to impact strongly on Glaston's business,        
and adjustment of operations to the market situation will continue. The         
cornerstones of Glaston's business remain the architectural glass segment and   
the solar energy markets.                                                       
Market prospects for the early part of the year were poor. The first signs of a 
recovery of the market were perceptible at the end of the second quarter. Demand
for glass processing machines in the latter part of the year is, however, very  
difficult to forecast in the present uncertain economic climate. Any possible   
recovery is not expected to influence Glaston's financial performance in the    
current year.                                                                   
Due to a weak order book in early 2009 and exceptionally low demand, Glaston    
still expects 2009 net sales to fall short of the 2008 level. Due to the      
reduced order book in the first quarter, third quarter net sales are expected to
be low, and the July-September operating result is expected to be a loss.       

Helsinki, 11 August 2009                                                        
Glaston Corporation                                                             
Board of Directors                                                              




Sender:                                                                         
Glaston Corporation                                                             
Kimmo Lautanen                                                                  
Chief Financial Officer                                                         
Tel. +358 10 500 500                                                            


Agneta Selroos                                                                  
IR and Communications Manager                                                   
Tel. +358 10 500 520                                                            



Further information:                                                            
Chief Financial Officer Kimmo Lautanen, +358 10 500 500                         



Glaston Corporation                                                             

Glaston Corporation is a growing, international glass technology company.       
Glaston is the global market leader in glass processing machines, and a         
comprehensive One-Stop-Partner supplier to its customers. Its product range and 
service network are the widest in the industry. Glaston's well-known brands are 
Bavelloni in pre-processing machines and tools, Tamglass and Uniglass in safety 
glass machines, and Albat+Wirsam Software in glass industry software.           


Glaston's share (GLA1V) is quoted on the NASDAQ OMX Helsinki Mid Cap List.      
                                                                                
www.glaston.net                                                                 


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www.glaston.net                                                                 

                                                                                
GLASTON CORPORATION                                                             

CONDENSED INTERIM FINANCIAL STATEMENTS AND NOTES 1 JANUARY - 30 JUNE 2009       

These condensed interim financial statements are not audited.                   
As a result of rounding differences, the figures presented in the tables may not
add up to the total.                                                            

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION                          

--------------------------------------------------------------------------------
| EUR million                         |  30.6.2009 |  30.6.2008 |   31.12.2008 |
--------------------------------------------------------------------------------
| Assets                              |            |            |              |
--------------------------------------------------------------------------------
| Non-current assets                  |            |            |              |
--------------------------------------------------------------------------------
| Property, plant and equipment       |       28.5 |       34.4 |         35.0 |
--------------------------------------------------------------------------------
| Goodwill                            |       66.2 |       67.6 |         66.2 |
--------------------------------------------------------------------------------
| Other intangible assets             |       23.6 |       20.3 |         22.5 |
--------------------------------------------------------------------------------
| Joint ventures and associates and   |        1.4 |        0.8 |          0.9 |
| loan receivables from joint         |            |            |              |
| ventures                            |            |            |              |
--------------------------------------------------------------------------------
| Available-for-sale assets           |        0.3 |        0.1 |          0.3 |
--------------------------------------------------------------------------------
| Deferred tax assets                 |        9.8 |        3.6 |          7.9 |
--------------------------------------------------------------------------------
| Total non-current assets            |      129.8 |      126.8 |        132.9 |
--------------------------------------------------------------------------------
| Current assets                      |            |            |              |
--------------------------------------------------------------------------------
| Inventories                         |       41.3 |       57.0 |         53.9 |
--------------------------------------------------------------------------------
| Receivables                         |            |            |              |
--------------------------------------------------------------------------------
| Trade and other receivables         |       67.5 |       89.4 |         83.3 |
--------------------------------------------------------------------------------
| Assets for current tax              |        4.0 |        2.4 |          4.4 |
--------------------------------------------------------------------------------
| Total receivables                   |       71.5 |       91.8 |         87.6 |
--------------------------------------------------------------------------------
| Cash equivalents                    |       21.4 |       11.0 |         11.5 |
--------------------------------------------------------------------------------
| Assets held for sale                |          - |        0.2 |            - |
--------------------------------------------------------------------------------
| Total current assets                |      134.1 |      160.1 |        153.1 |
--------------------------------------------------------------------------------
| Total assets                        |      263.9 |      286.9 |        285.9 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Equity and liabilities              |            |            |              |
--------------------------------------------------------------------------------
| Equity                              |            |            |              |
--------------------------------------------------------------------------------
| Share capital                       |       12.7 |       12.7 |         12.7 |
--------------------------------------------------------------------------------
| Share premium account               |       25.3 |       25.3 |         25.3 |
--------------------------------------------------------------------------------
| Other reserves                      |        0.0 |          - |            - |
--------------------------------------------------------------------------------
| Reserve for invested unrestricted   |        0.2 |        0.2 |          0.2 |
| equity                              |            |            |              |
--------------------------------------------------------------------------------
| Treasury shares                     |       -3.5 |       -3.5 |         -3.5 |
--------------------------------------------------------------------------------
| Fair value reserve                  |        0.0 |        0.0 |          0.0 |
--------------------------------------------------------------------------------
| Hedging reserve                     |          - |       -0.1 |            - |
--------------------------------------------------------------------------------
| Retained earnings and exchange      |       88.4 |       96.9 |         98.2 |
| differences                         |            |            |              |
--------------------------------------------------------------------------------
| Net result attributable to owners   |      -18.1 |        3.7 |         -9.1 |
| of the parent                       |            |            |              |
--------------------------------------------------------------------------------
| Equity attributable to owners of    |      105.0 |      135.1 |        123.7 |
| the parent                          |            |            |              |
--------------------------------------------------------------------------------
| Non-controlling interest            |        0.4 |        0.1 |          0.0 |
--------------------------------------------------------------------------------
| Total equity                        |      105.4 |      135.2 |        123.8 |
--------------------------------------------------------------------------------
| Non-current liabilities             |            |            |              |
--------------------------------------------------------------------------------
| Non-current interest-bearing        |       33.0 |        4.5 |         16.4 |
| liabilities                         |            |            |              |
--------------------------------------------------------------------------------
| Non-current interest-free           |        7.4 |        8.8 |          8.0 |
| liabilities and provisions          |            |            |              |
--------------------------------------------------------------------------------
| Deferred tax liabilities            |        8.7 |        9.0 |          8.4 |
--------------------------------------------------------------------------------
| Total non-current liabilities       |       49.0 |       22.3 |         32.9 |
--------------------------------------------------------------------------------
| Current liabilities                 |            |            |              |
--------------------------------------------------------------------------------
| Current interest-bearing            |       52.3 |       38.4 |         53.0 |
| liabilities                         |            |            |              |
--------------------------------------------------------------------------------
| Current provisions                  |        6.2 |        2.0 |         10.6 |
--------------------------------------------------------------------------------
| Trade and other payables            |       49.9 |       85.6 |         63.8 |
--------------------------------------------------------------------------------
| Liabilities for current tax         |        1.1 |        3.3 |          1.9 |
--------------------------------------------------------------------------------
| Total current liabilities           |      109.5 |      129.4 |        129.3 |
--------------------------------------------------------------------------------
| Total liabilities                   |      158.5 |      151.7 |        162.2 |
--------------------------------------------------------------------------------
| Total equity and liabilities        |      263.9 |      286.9 |        285.9 |
--------------------------------------------------------------------------------



CONDENSED CONSOLIDATED INCOME STATEMENT                                         

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| EUR million           |     4-6/ |    4-6/ |     1-6/ |     1-6/ |     1-12/ |
|                       |     2009 |    2008 |     2009 |     2008 |      2008 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net sales             |     45.2 |    72.6 |     84.4 |    135.7 |     270.4 |
--------------------------------------------------------------------------------
| Other operating       |      0.1 |     0.3 |      0.5 |      0.4 |       0.4 |
| income                |          |         |          |          |           |
--------------------------------------------------------------------------------
| Expenses              |    -52.8 |   -67.0 |    -98.8 |   -126.6 |    -265.8 |
--------------------------------------------------------------------------------
| Share of associates   |     -0.4 |     0.0 |     -0.4 |      0.0 |       0.0 |
| and joint ventures'   |          |         |          |          |           |
| result                |          |         |          |          |           |
--------------------------------------------------------------------------------
| Depreciation,         |     -2.6 |    -2.1 |     -5.2 |     -4.1 |     -11.2 |
| amortization and      |          |         |          |          |           |
| impairment            |          |         |          |          |           |
--------------------------------------------------------------------------------
| Operating result      |    -10.5 |     3.8 |    -19.5 |      5.4 |      -6.1 |
--------------------------------------------------------------------------------
| Gains from assets     |        - |     0.1 |        - |      0.1 |       0.1 |
| held for sale         |          |         |          |          |           |
--------------------------------------------------------------------------------
| Other financial       |     -0.7 |     1.7 |     -0.8 |      1.2 |      -2.1 |
| items, net            |          |         |          |          |           |
--------------------------------------------------------------------------------
| Result before income  |    -11.3 |     5.6 |    -20.3 |      6.7 |      -8.1 |
| taxes                 |          |         |          |          |           |
--------------------------------------------------------------------------------
| Income taxes          |      1.2 |    -2.5 |      2.1 |     -3.0 |      -1.1 |
--------------------------------------------------------------------------------
| Profit / loss for the |    -10.0 |     3.1 |    -18.1 |      3.7 |      -9.2 |
| period                |          |         |          |          |           |
--------------------------------------------------------------------------------
| Attributable to:      |          |         |          |          |           |
--------------------------------------------------------------------------------
| Non-controlling       |      0.0 |     0.0 |      0.0 |      0.0 |       0.0 |
| interests             |          |         |          |          |           |
--------------------------------------------------------------------------------
| Owners of the parent  |    -10.0 |     3.1 |    -18.1 |      3.7 |      -9.1 |
--------------------------------------------------------------------------------
| Total                 |    -10.0 |     3.1 |    -18.1 |      3.7 |      -9.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Earnings per share,   |    -0.13 |    0.04 |    -0.23 |     0.05 |     -0.12 |
| EUR, basic            |          |         |          |          |           |
--------------------------------------------------------------------------------
| Earnings per share,   |    -0.13 |    0.04 |    -0.23 |     0.05 |     -0.12 |
| EUR, diluted          |          |         |          |          |           |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Operating result, as  |    -23.3 |     5.2 |    -23.1 |      4.0 |      -2.3 |
| % of net sales        |          |         |          |          |           |
--------------------------------------------------------------------------------
| Profit / loss for the |    -22.2 |     4.2 |    -21.4 |      2.7 |      -3.4 |
| period, as % of net   |          |         |          |          |           |
| sales                 |          |         |          |          |           |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Non-recurring items   |     -4.3 |       - |     -4.3 |        - |     -12.3 |
| included in operating |          |         |          |          |           |
| result                |          |         |          |          |           |
--------------------------------------------------------------------------------
| Operating result,     |     -6.2 |     3.8 |    -15.2 |      5.4 |       6.2 |
| non-recurring items   |          |         |          |          |           |
| excluded              |          |         |          |          |           |
--------------------------------------------------------------------------------
| Operating result,     |    -13.7 |     5.2 |    -18.0 |      4.0 |       2.3 |
| non-recurring items   |          |         |          |          |           |
| excluded, as % of net |          |         |          |          |           |
| sales                 |          |         |          |          |           |
--------------------------------------------------------------------------------

CONSOLIDATED STATEMENT OF COMPEREHENSIVE INCOME                                 

--------------------------------------------------------------------------------
|                       |     4-6/ |    4-6/ |     1-6/ |     1-6/ |     1-12/ |
|                       |     2009 |    2008 |     2009 |     2008 |      2008 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Profit / loss for the |    -10.0 |     3.1 |    -18.1 |      3.7 |      -9.2 |
| period                |          |         |          |          |           |
--------------------------------------------------------------------------------
| Other comprehensive   |          |         |          |          |           |
| income                |          |         |          |          |           |
--------------------------------------------------------------------------------
| Total exchange        |     -0.8 |     0.4 |     -0.1 |     -0.6 |       0.7 |
| differences on        |          |         |          |          |           |
| translating foreign   |          |         |          |          |           |
| operations            |          |         |          |          |           |
--------------------------------------------------------------------------------
| Effective portion of  |        - |    -0.2 |        - |     -0.2 |         - |
| fair value changes of |          |         |          |          |           |
| cash flow hedges      |          |         |          |          |           |
--------------------------------------------------------------------------------
| Fair value changes of |        - |       - |        - |        - |       0.0 |
| cash flow hedges      |          |         |          |          |           |
| reclassified in       |          |         |          |          |           |
| profit or loss        |          |         |          |          |           |
--------------------------------------------------------------------------------
| Fair value changes of |      0.0 |     0.0 |      0.0 |      0.0 |       0.0 |
| available-for-sale    |          |         |          |          |           |
| shares                |          |         |          |          |           |
--------------------------------------------------------------------------------
| Other                 |      0.0 |     0.0 |      0.0 |      0.0 |       0.0 |
| reclassifications     |          |         |          |          |           |
--------------------------------------------------------------------------------
| Income tax on other   |      0.0 |     0.1 |      0.0 |      0.0 |       0.0 |
| comprehensive income  |          |         |          |          |           |
--------------------------------------------------------------------------------
| Other comprehensive   |     -0.8 |     0.3 |     -0.1 |     -0.7 |       0.7 |
| income for the        |          |         |          |          |           |
| reporting period, net |          |         |          |          |           |
| of tax                |          |         |          |          |           |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Total comprehensive   |    -10.8 |     3.4 |    -18.2 |      3.0 |      -8.5 |
| income for the        |          |         |          |          |           |
| reporting period      |          |         |          |          |           |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Attributable to       |          |         |          |          |           |
--------------------------------------------------------------------------------
| Non-controlling       |      7.4 |     0.4 |      0.0 |      0.0 |      -8.5 |
| interest              |          |         |          |          |           |
--------------------------------------------------------------------------------
| Owners of the parent  |    -18.3 |     3.0 |    -18.2 |      3.0 |       0.0 |
--------------------------------------------------------------------------------
| Total comprehensive   |    -10.8 |     3.4 |    -18.2 |      3.0 |      -8.5 |
| income for the        |          |         |          |          |           |
| reporting period      |          |         |          |          |           |
--------------------------------------------------------------------------------


CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS                                  

--------------------------------------------------------------------------------
| EUR million                              |      1-6/ |     1-6/ |      1-12/ |
|                                          |      2009 |     2008 |       2008 |
--------------------------------------------------------------------------------
| Cash flows from operating activities     |           |          |            |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Cash flow before change in net working   |     -17.6 |      4.6 |        7.2 |
| capital                                  |           |          |            |
--------------------------------------------------------------------------------
| Change in net working capital            |      15.2 |    -12.5 |      -30.4 |
--------------------------------------------------------------------------------
| Net cash flow from operating activities  |      -2.4 |     -7.9 |      -23.3 |
--------------------------------------------------------------------------------
| Cash flow from investing activities      |           |          |            |
--------------------------------------------------------------------------------
| Business combinations                    |      -0.5 |     -0.5 |        0.7 |
--------------------------------------------------------------------------------
| Other purchases of non-current assets    |      -4.5 |     -7.0 |      -14.5 |
--------------------------------------------------------------------------------
| Investment in joint ventures             |      -1.8 |        - |          - |
--------------------------------------------------------------------------------
| Other                                    |       0.1 |        - |          - |
--------------------------------------------------------------------------------
| Proceeds from sale of non-current assets |       1.2 |      0.3 |        0.4 |
--------------------------------------------------------------------------------
| Net cash used in investing activities    |      -5.4 |     -7.1 |      -13.4 |
--------------------------------------------------------------------------------
| Cash flow before financing               |      -7.8 |    -15.0 |      -36.7 |
--------------------------------------------------------------------------------
| Cash flow from financing activities      |           |          |            |
--------------------------------------------------------------------------------
| Changes in non-current liabilities       |      21.0 |      1.9 |       17.5 |
| (increase + / decrease -)                |           |          |            |
--------------------------------------------------------------------------------
| Changes in non-current loan receivables  |       0.0 |      0.3 |        0.3 |
| (increase - / decrease +)                |           |          |            |
--------------------------------------------------------------------------------
| Short-term financing, net (increase + /  |      -0.8 |     20.2 |       27.9 |
| decrease -)                              |           |          |            |
--------------------------------------------------------------------------------
| Dividends paid                           |      -3.9 |     -7.8 |       -7.8 |
--------------------------------------------------------------------------------
| Other financing                          |       1.2 |      0.5 |        0.0 |
--------------------------------------------------------------------------------
| Net cash used in financing activities    |      17.6 |     15.1 |       37.8 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Effect of exchange rate changes          |       0.1 |     -0.5 |       -1.0 |
--------------------------------------------------------------------------------
| Net change in cash and cash equivalents  |       9.8 |     -0.4 |        0.1 |
--------------------------------------------------------------------------------
| Cash and cash equivalents at the         |      11.5 |     11.4 |       11.4 |
| beginning of period                      |           |          |            |
--------------------------------------------------------------------------------
| Cash and cash equivalents at the end of  |      21.4 |     11.0 |       11.5 |
| period                                   |           |          |            |
--------------------------------------------------------------------------------

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY                                     

--------------------------------------------------------------------------------
| EUR million  |  Share  |  Share   |  Other   | Reserve  | Treasury |  Fair   |
|              | capital | premium  | reserves |   for    |  shares  |  value  |
|              |         | account  |          | invested |          | reserve |
|              |         |          |          | unrest.  |          |         |
|              |         |          |          |  equity  |          |         |
--------------------------------------------------------------------------------
| Equity at 1  |    12.7 |     25.3 |        - |      0.3 |     -3.9 |       - |
| January,     |         |          |          |          |          |         |
| 2008         |         |          |          |          |          |         |
--------------------------------------------------------------------------------
| Total        |       - |        - |        - |        - |        - |     0.0 |
| comprehensiv |         |          |          |          |          |         |
| e income for |         |          |          |          |          |         |
| the period   |         |          |          |          |          |         |
--------------------------------------------------------------------------------
| Disposal of  |       - |        - |        - |     -0.1 |      0.4 |       - |
| treasury     |         |          |          |          |          |         |
| shares       |         |          |          |          |          |         |
--------------------------------------------------------------------------------
| Tax effect   |       - |        - |        - |      0.0 |        - |       - |
| of net       |         |          |          |          |          |         |
| income       |         |          |          |          |          |         |
| recognized   |         |          |          |          |          |         |
| directly in  |         |          |          |          |          |         |
| equity       |         |          |          |          |          |         |
--------------------------------------------------------------------------------
| Equity at 30 |    12.7 |     25.3 |        - |      0.2 |     -3.5 |     0.0 |
| June, 2008   |         |          |          |          |          |         |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| EUR million  |  Share  |  Share  |  Other   |  Reserve  | Treasury |  Fair   |
|              | capital | premium | reserves |    for    |  shares  |  value  |
|              |         | account |          | invested  |          | reserve |
|              |         |         |          |  unrest.  |          |         |
|              |         |         |          |  equity   |          |         |
--------------------------------------------------------------------------------
| Equity at 1  |    12.7 |    25.3 |        - |       0.2 |     -3.5 |     0.0 |
| January,     |         |         |          |           |          |         |
| 2009         |         |         |          |           |          |         |
--------------------------------------------------------------------------------
| Total        |       - |       - |      0.0 |         - |        - |     0.0 |
| comprehensiv |         |         |          |           |          |         |
| e income for |         |         |          |           |          |         |
| the period   |         |         |          |           |          |         |
--------------------------------------------------------------------------------
| Other        |       - |       - |        - |       0.0 |      0.0 |       - |
| changes in   |         |         |          |           |          |         |
| treasury     |         |         |          |           |          |         |
| shares       |         |         |          |           |          |         |
--------------------------------------------------------------------------------
| Equity at 30 |    12.7 |    25.3 |      0.0 |       0.2 |     -3.5 |     0.0 |
| June, 2009   |         |         |          |           |          |         |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| EUR million   | Hedging | Retaine |  Exch.   |  Equity  | Non-cont |  Total  |
|               | reserve |    d    |  diff.   | attrib.  | rolling  | equity  |
|               |         | earning |          |    to    | interest |         |
|               |         |    s    |          |  owners  |          |         |
|               |         |         |          |  of the  |          |         |
|               |         |         |          |  parent  |          |         |
--------------------------------------------------------------------------------
| Equity at 1   |     0.0 |   106.8 |     -1.2 |    139.9 |      0.0 |   139.9 |
| January, 2008 |         |         |          |          |          |         |
--------------------------------------------------------------------------------
| Total         |    -0.1 |     3.6 |     -0.6 |      2.9 |      0.0 |     3.0 |
| comprehensive |         |         |          |          |          |         |
| income for    |         |         |          |          |          |         |
| the period    |         |         |          |          |          |         |
--------------------------------------------------------------------------------
| Disposal of   |       - |       - |        - |      0.3 |        - |     0.3 |
| treasury      |         |         |          |          |          |         |
| shares        |         |         |          |          |          |         |
--------------------------------------------------------------------------------
| Tax effect of |       - |       - |        - |      0.0 |        - |     0.0 |
| net income    |         |         |          |          |          |         |
| recognized    |         |         |          |          |          |         |
| directly in   |         |         |          |          |          |         |
| equity        |         |         |          |          |          |         |
--------------------------------------------------------------------------------
| Share-based   |       - |    -0.2 |        - |     -0.2 |        - |    -0.2 |
| incentive     |         |         |          |          |          |         |
| plan          |         |         |          |          |          |         |
--------------------------------------------------------------------------------
| Share-based   |       - |     0.0 |        - |      0.0 |        - |     0.0 |
| incentive     |         |         |          |          |          |         |
| plan, tax     |         |         |          |          |          |         |
| effect        |         |         |          |          |          |         |
--------------------------------------------------------------------------------
| Dividends     |       - |    -7.8 |        - |     -7.8 |        - |    -7.8 |
| paid          |         |         |          |          |          |         |
--------------------------------------------------------------------------------
| Equity at 30  |    -0.1 |   102.4 |     -1.8 |    135.1 |      0.1 |   135.2 |
| June, 2008    |         |         |          |          |          |         |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| EUR million  | Hedging| Retained|  Exch.  |   Equity   | Non-contro | Total  |
|              |        |         |  diff.  | attrib. to |   lling    | equity |
|              | reserv | earning |         | owners of  |  interest  |        |
|              |   e    |    s    |         | the parent |            |        |
--------------------------------------------------------------------------------
| Equity at 1  |      - |    89.6 |    -0.5 |      123.7 |        0.0 |  123.8 |
| January,     |        |         |         |            |            |        |
| 2009         |        |         |         |            |            |        |
--------------------------------------------------------------------------------
| Total        |      - |   -18.1 |    -0.1 |      -18.2 |        0.0 |  -18.2 |
| comprehensiv |        |         |         |            |            |        |
| e income for |        |         |         |            |            |        |
| the period   |        |         |         |            |            |        |
--------------------------------------------------------------------------------
| Other        |      - |       - |       - |          - |        0.4 |    0.4 |
| changes in   |        |         |         |            |            |        |
| non-controll |        |         |         |            |            |        |
| ing interest |        |         |         |            |            |        |
--------------------------------------------------------------------------------
| Other        |      - |       - |       - |          - |          - |      - |
| changes in   |        |         |         |            |            |        |
| treasury     |        |         |         |            |            |        |
| shares       |        |         |         |            |            |        |
--------------------------------------------------------------------------------
| Share-based  |      - |     0.0 |       - |        0.0 |          - |    0.0 |
| incentive    |        |         |         |            |            |        |
| plan         |        |         |         |            |            |        |
--------------------------------------------------------------------------------
| Share-based  |      - |     0.0 |       - |        0.0 |          - |    0.0 |
| incentive    |        |         |         |            |            |        |
| plan, tax    |        |         |         |            |            |        |
| effect       |        |         |         |            |            |        |
--------------------------------------------------------------------------------
| Equity part  |      - |     3.4 |       - |        3.4 |          - |    3.4 |
| of           |        |         |         |            |            |        |
| convertible  |        |         |         |            |            |        |
| bond         |        |         |         |            |            |        |
--------------------------------------------------------------------------------
| Dividends    |      - |    -3.9 |       - |       -3.9 |          - |   -3.9 |
| paid         |        |         |         |            |            |        |
--------------------------------------------------------------------------------
| Equity at 30 |      - |    71.0 |    -0.7 |      105.0 |        0.4 |  105.4 |
| June, 2009   |        |         |         |            |            |        |
--------------------------------------------------------------------------------


KEY RATIOS                                                                      

--------------------------------------------------------------------------------
|                                      |  30.6.2009 |  30.6.2008 |  31.12.2008 |
--------------------------------------------------------------------------------
| EBITDA, as % of net sales (1         |      -16.9 |        7.0 |         1.9 |
--------------------------------------------------------------------------------
| Operating profit / loss (EBIT), as % |      -23.1 |        4.0 |        -2.3 |
| of net sales                         |            |            |             |
--------------------------------------------------------------------------------
| Net result, as % of net sales        |      -21.4 |        2.7 |        -3.4 |
--------------------------------------------------------------------------------
| Gross capital expenditure, EUR       |        6.2 |        7.0 |        18.4 |
| million                              |            |            |             |
--------------------------------------------------------------------------------
| Gross capital expenditure, as % of   |        7.3 |        5.2 |         6.8 |
| net sales                            |            |            |             |
--------------------------------------------------------------------------------
| Equity ratio, %                      |       41.9 |       51.2 |        45.8 |
--------------------------------------------------------------------------------
| Gearing, %                           |       80.9 |       31.7 |        56.1 |
--------------------------------------------------------------------------------
| Net gearing, %                       |       60.6 |       23.6 |        46.8 |
--------------------------------------------------------------------------------
| Net interest-bearing debt, EUR       |       63.9 |       31.9 |        57.9 |
| million                              |            |            |             |
--------------------------------------------------------------------------------
| Capital employed, end of period, EUR |      190.7 |      178.1 |       193.2 |
| million                              |            |            |             |
--------------------------------------------------------------------------------
| Return on equity, %, annualized      |      -31.6 |        5.3 |        -7.0 |
--------------------------------------------------------------------------------
| Return on capital employed, %,       |      -19.7 |        8.3 |        -2.3 |
| annualized                           |            |            |             |
--------------------------------------------------------------------------------
| Number of personnel, average         |      1,402 |      1,492 |       1,519 |
--------------------------------------------------------------------------------
| Number of personnel, end of period   |      1,282 |      1,529 |       1,541 |
--------------------------------------------------------------------------------


(1 EBITDA = Operating profit / loss + depreciation, amortization and impairment.

--------------------------------------------------------------------------------
| PER SHARE DATA                      |            |             |             |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
|                                      |  30.6.2009 |  30.6.2008 |  31.12.2008 |
--------------------------------------------------------------------------------
| Number of shares, end of period,     |     78,511 |     78,540 |      78,540 |
| treasury shares excluded (1,000)     |            |            |             |
--------------------------------------------------------------------------------
| Number of shares, average, treasury  |     78,533 |     78,474 |      78,507 |
| shares excluded (1,000)              |            |            |             |
--------------------------------------------------------------------------------
| Number of shares, diluted, average,  |     81,379 |     78,474 |      78,507 |
| (1,000)                              |            |            |             |
--------------------------------------------------------------------------------
| EPS, basic, EUR                      |      -0.23 |       0.05 |       -0.12 |
--------------------------------------------------------------------------------
| EPS, diluted, EUR                    |      -0.23 |       0.05 |       -0.12 |
--------------------------------------------------------------------------------
| Equity attributable to owners of the |       1.34 |       1.72 |        1.58 |
| parent per share, EUR                |            |            |             |
--------------------------------------------------------------------------------
| Price per earnings per share (P/E)   |       -4.6 |       66.1 |        -7.8 |
| ratio                                |            |            |             |
--------------------------------------------------------------------------------
| Price per equity attributable to     |       0.79 |       1.80 |        0.58 |
| owners of the parent per share       |            |            |             |
--------------------------------------------------------------------------------
| Market capitalization, EUR million   |       83.2 |      243.5 |        71.5 |
--------------------------------------------------------------------------------
| Share turnover, % (number of shares  |        5.0 |        1.9 |         5.1 |
| traded, % of the average number of   |            |            |             |
| shares)                              |            |            |             |
--------------------------------------------------------------------------------
| Number of shares traded, (1,000)     |      3,921 |      1,512 |       3,965 |
--------------------------------------------------------------------------------
| Closing price of the share, EUR      |       1.06 |       3.10 |        0.91 |
--------------------------------------------------------------------------------
| Highest quoted price, EUR            |       1.44 |       3.33 |        3.33 |
--------------------------------------------------------------------------------
| Lowest quoted price, EUR             |       0.92 |       2.70 |        0.87 |
--------------------------------------------------------------------------------
| Volume-weighted average quoted       |       1.18 |       3.09 |        2.07 |
| price, EUR                           |            |            |             |
--------------------------------------------------------------------------------


DEFINITIONS OF KEY RATIOS                                                       

Financial ratios                                                                

EBITDA = Profit / loss before depreciation, amortization and impairment, share  
of joint ventures' and associates' results included                             

Operating profit (EBIT) = Profit / loss after depreciation, amortization and    
impairment, share of joint ventures' and associates' results included           

Cash and cash equivalents = Cash + other financial assets                       

Net interest-bearing debt = Interest-bearing liabilities - cash and cash        
equivalents                                                                     

Financial expenses = Interest expenses of financial liabilities + fees of       
financing arrangements + foreign currency differences of financial liabilities  

Equity ratio, % = Equity (Equity attributable to owners of the parent +         
non-controlling interest) x 100 / Total assets - advance payments received      

Gearing, % = Interest-bearing liabilities x 100 / Equity (Equity attributable to
owners of the parent + non-controlling interest)                                

Net gearing, % = Net interest-bearing debt x 100 / Equity (Equity attributable  
to owners of the parent + non-controlling interest)                             

Return on investments, % (ROCE) = Profit / loss before taxes + financial        
expenses x 100 / Equity + interest-bearing liabilities  (average of 1 January   
and end of the reporting period)                                                

Return on equity, % (ROE)=  Profit / loss for the reporting period x 100 /      
Equity (Equity attributable to owners of the parent + non-controlling interest) 
(average of 1 January and end of the reporting period)                          

Per share data                                                                  

Earnings per share (EPS) = Net result attributable to owners of the parent /    
Adjusted average number of shares                                               

Diluted earnings per share = Net result attributable to owners of the parent    
adjusted with the result effect of convertible bond / Adjusted average number of
shares, dilution effect of the convertible bond taken into account              

Equity attributable to owners of the parent per share = Equity attributable to  
owners of the parent at end of the period / Adjusted number of shares at end of 
the period                                                                      

Average trading price = Shares traded (EUR) / Shares traded (volume)            

Price per earnings per share (P/E) = Share price at end of the period /         
Earnings per share (EPS)                                                        

Price per equity per share = Share price at period end / Equity attributable to 
owners of the parent per share                                                  

Share turnover = The proportion of number of shares traded during the period to 
average number of shares                                                        

Market capitalization = Number of shares at end of the period x share price at  
end of the period                                                               

Number of shares at period end = Number of issued shares - treasury shares      


ACCOUNTING POLICIES                                                             

These condensed consolidated interim financial statements have been             
prepared in accordance with International Financial Reporting                   
Standard IAS 34 Interim Financial Reporting as approved by the                  
European Union. They do not include all of the information required             
for full annual financial statements.                                           

The accounting principles applied in these condensed interim                    
consolidated financial statements are the same as in the previous financial     
statements, with the exception of the following                                 
new or revised or amended standards and interpretations, which have             
been applied from 1 January, 2009:                                              

- IAS 23 (revised) Borrowing Costs                                              
- IFRS 8 Operating Segments                                                     
- IFRIC 13 Customer Loyalty Programs                                            
- Amendments to IFRS 2 Share-based Payments: Vesting Conditions and             
Cancellations                                                                   
- Amendments to IAS 32 Financial Instruments: Presentation and IAS 1            
Presentation of Financial Statements - Puttable Financial Instruments and       
Obligations Arising on Liquidation                                              
- IFRIC 15 Agreements for the Construction of Real Estate                       
- Amendment to IAS 39 Financial Instruments: Recognition and Measurement -      
Eligible Hedged Items                                                           
-  Amendments to IFRS 1 First-time Adoption of International Financial Reporting
Standards and IAS 27 Consolidated and Separate Financial Statements  - Cost of  
an Investment in a Subsidiary, Jointly Controlled Entity or Associate.          
- Amendments to IFRS 7 Financial Instruments: Disclosures - Improving           
Disclosures about Financial Instruments                                         
- Amendments to IFRIC 9 and IAS 39: Embedded Derivatives                        

In addition, Glaston applies the annual Improvements to IFRSs issued in May     
2008.                                                                           

Applying revised IAS 23 Borrowing Costs changed Glaston's accounting principles 
from 1 January 2009. From that date on the borrowing costs that are directly    
attributable to the acquisition, construction or production of a qualifying     
asset are capitalized to the acquisition cost of the asset. The capitalization  
will apply mainly to property, plant and equipment and intangible assets.       

Applying IFRS 8 Operating Segments did not have any material effect on the      
financial information of Glaston.                                               

Other new or amended standards or interpretations are not material for Glaston  
Group.                                                                          

DIVESTMENTS                                                                     

Glaston's subsidiary Tamglass Glass Processing Ltd. sold in March its           
insulated and architectural glass processing operations to INTERPANE Glass Oy.  
INTERPANE Glass Oy began its operations on 1 April, 2009. The divested          
operations had net sales of approximately EUR 14 million in 2008 and 93         
employees at the end of March. The personnel were transferred to INTERPANE Glass
Oy.                                                                             

The transaction was an asset deal, consisting of, among others, tangible assets 
and inventory. The deal was financed mainly through vendor financing given by   
Glaston. Glaston also invested EUR 1.8 million in the equity of INTERPANE Glass 
Oy. In addition, Glaston is committed to invest additional EUR 1.0 million in   
INTERPANE's equity. Also the other party of the transaction is committed to make
additional investments in INTERPANE's equity.                                   

INTERPANE Glass Oy is a company owned jointly by Georg F. Hesselbach through his
company A A A Glass & Design Finland Oy, and a subsidiary of Glaston            
Corporation. The shareholders of INTERPANE Glass Oy have entered into a         
shareholders' agreement which incorporates put and call options enabling the    
shareholders to rearrange their ownership shares in the company in the future.  
                                                                                
The transaction has no material effect on Glaston's result.                     

INTERPANE Glass Oy is a joint venture of Glaston, and it is consolidated in     
Glaston's consolidated financial statements using the equity method.            
                                                                                

Glaston continues its production of solar reflectors in Akaa, Finland, employing
approximately 30 persons.                                                       
                                                                                
CHANGES IN JOINT VENTURES                                                       

The Chinese company Sanhe AAA Tools Co. was consolidated in 2008 as a joint     
venture using the equity method and not as a subsidiary despite of the 70 per   
cent ownership of Glaston, because Glaston was not considered to have control of
the company. From 1 January, 2009, Sanhe AAA Tools Co. has been consolidated as 
a subsidiary as Glaston has gained control of the company.  				                

INTERPANE Glass Oy became a joint venture of Glaston on 31 March, 2009.         

SEGMENT INFORMATION                                                             

Machines segment includes glass tempering, bending and laminating machines sold 
under Tamglass and Uniglass brands and glass pre-processing machines sold under 
the Bavelloni brand as well as tools manufacturing.                             

Services segment includes maintenance and service of glass processing machines, 
sale of spare parts and tools as well as operating of glass processing factory  
in Akaa, Finland, on behalf of a customer.                                      

The formation of the organization in accordance of the new segment structure is 
still partly under process relating to tools business. For that reason the net  
sales and operating result of the tools business are still included in the      
Machines segment and not in the Services segment. Net sales of tools business   
was in January - June 2009 EUR 5.1 (6.4) million, and in 2008 EUR 12.6 million. 
Operating result excluding non-recurring items was in January - June EUR -0.2   
(0.5) million (in 2008 EUR 0.4 million). Net sales and part of the operating    
result will be included in the Services segment during the third quarter.       

Software Solutions segment's product offering, sold under the Albat+Wirsam      
brand, covers enterprise resource planning systems for the glass industry,      
software for window and door glass manufacturers, and software for glass        
processor's integrated line solutions.                                          

EUR million                                                                     

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Machines                      |   4-6/ |   4-6/ |   1-6/ |    1-6/ |   1-12/ |
|                               |   2009 |   2008 |   2009 |    2008 |    2008 |
--------------------------------------------------------------------------------
| External sales                |   30.1 |   49.6 |   53.0 |    92.3 |   180.2 |
--------------------------------------------------------------------------------
| Intersegment sales            |   -0.3 |    0.3 |    0.4 |     0.4 |     0.9 |
--------------------------------------------------------------------------------
| Net sales                     |   29.8 |   49.9 |   53.4 |    92.7 |   181.1 |
--------------------------------------------------------------------------------
| Share of associates' and      |    0.0 |    0.0 |    0.0 |     0.0 |     0.0 |
| joint ventures' results       |        |        |        |         |         |
--------------------------------------------------------------------------------
| EBITDA excluding              |   -3.7 |    4.1 |   -8.1 |     7.1 |    10.2 |
| non-recurring items           |        |        |        |         |         |
--------------------------------------------------------------------------------
| EBIT excluding non-recurring  |   -4.6 |    3.3 |   -9.9 |     5.4 |     5.3 |
| items                         |        |        |        |         |         |
--------------------------------------------------------------------------------
| EBIT-%, excl. non-recurring   |  -15.4 |    6.6 |  -18.5 |     5.8 |     2.9 |
| items                         |        |        |        |         |         |
--------------------------------------------------------------------------------
| Non-recurring items           |   -3.8 |      - |   -3.8 |       - |    -9.5 |
--------------------------------------------------------------------------------
| EBIT                          |   -8.4 |    3.3 |  -13.6 |     5.4 |    -4.2 |
--------------------------------------------------------------------------------
| EBIT-%                        |  -28.1 |    6.6 |  -25.6 |     5.8 |    -2.3 |
--------------------------------------------------------------------------------
| Net working capital           |        |        |   50.4 |    58.4 |    69.6 |
--------------------------------------------------------------------------------
| Number of personnel, average  |        |        |    781 |     799 |     825 |
--------------------------------------------------------------------------------
| Number of personnel, end of   |        |        |    718 |     842 |     861 |
| period                        |        |        |        |         |         |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Services                      |   4-6/ |   4-6/ |   1-6/ |    1-6/ |   1-12/ |
|                               |   2009 |   2008 |   2009 |    2008 |    2008 |
--------------------------------------------------------------------------------
| External sales                |    9.2 |   16.6 |   19.6 |    29.7 |    62.2 |
--------------------------------------------------------------------------------
| Intersegment sales            |    0.6 |    0.3 |    0.8 |     0.5 |     1.2 |
--------------------------------------------------------------------------------
| Net sales                     |    9.7 |   16.9 |   20.4 |    30.2 |    63.4 |
--------------------------------------------------------------------------------
| EBITDA excluding              |    0.1 |    1.9 |   -0.9 |     2.7 |     8.5 |
| non-recurring items           |        |        |        |         |         |
--------------------------------------------------------------------------------
| EBIT excluding non-recurring  |   -0.2 |    1.3 |   -1.9 |     1.7 |     4.7 |
| items                         |        |        |        |         |         |
--------------------------------------------------------------------------------
| EBIT-%, excl. non-recurring   |   -1.7 |    7.5 |   -9.2 |     5.6 |     7.4 |
| items                         |        |        |        |         |         |
--------------------------------------------------------------------------------
| Non-recurring items           |   -0.3 |      - |   -0.3 |       - |    -2.2 |
--------------------------------------------------------------------------------
| EBIT                          |   -0.4 |    1.3 |   -2.1 |     1.7 |     2.5 |
--------------------------------------------------------------------------------
| EBIT-%                        |   -4.5 |    7.5 |  -10.5 |     5.6 |     3.9 |
--------------------------------------------------------------------------------
| Net working capital           |        |        |   13.3 |    16.7 |    17.1 |
--------------------------------------------------------------------------------
| Number of personnel, average  |        |        |    323 |     419 |     413 |
--------------------------------------------------------------------------------
| Number of personnel, end of   |        |        |    258 |     405 |     393 |
| period                        |        |        |        |         |         |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Software Solutions            |   4-6/ |   4-6/ |   1-6/ |    1-6/ |   1-12/ |
|                               |   2009 |   2008 |   2009 |    2008 |    2008 |
--------------------------------------------------------------------------------
| External sales                |    5.9 |    6.4 |   11.8 |    13.7 |    28.1 |
--------------------------------------------------------------------------------
| Intersegment sales            |    0.0 |    0.0 |    0.0 |     0.0 |     0.0 |
--------------------------------------------------------------------------------
| Net sales                     |    5.9 |    6.4 |   11.8 |    13.7 |    28.2 |
--------------------------------------------------------------------------------
| Share of associates' and      |      - |      - |      - |       - |     0.0 |
| joint ventures' results       |        |        |        |         |         |
--------------------------------------------------------------------------------
| EBITDA excluding              |    1.0 |    1.7 |    1.4 |     3.1 |     5.5 |
| non-recurring items           |        |        |        |         |         |
--------------------------------------------------------------------------------
| EBIT excluding non-recurring  |    0.5 |    1.2 |    0.1 |     2.2 |     3.7 |
| items                         |        |        |        |         |         |
--------------------------------------------------------------------------------
| EBIT-%, excl. non-recurring   |    8.7 |   19.3 |    1.3 |    16.0 |    13.3 |
| items                         |        |        |        |         |         |
--------------------------------------------------------------------------------
| Non-recurring items           |   -0.3 |      - |   -0.3 |       - |    -0.6 |
--------------------------------------------------------------------------------
| EBIT                          |    0.2 |    1.2 |   -0.1 |     2.2 |     3.2 |
--------------------------------------------------------------------------------
| EBIT-%                        |    4.1 |   19.3 |   -1.0 |    16.0 |    11.3 |
--------------------------------------------------------------------------------
| Net working capital           |        |        |    6.3 |     5.0 |     5.8 |
--------------------------------------------------------------------------------
| Number of personnel, average  |        |        |    269 |     249 |     255 |
--------------------------------------------------------------------------------
| Number of personnel, end of   |        |        |    277 |     252 |     262 |
| period                        |        |        |        |         |         |
--------------------------------------------------------------------------------

In segment reporting net working capital consists of inventory, external trade  
receivables and trade payables and advances received.                           

Non-recurring items of 2009 consist mainly of expenses arising from Machines    
segment restructuring. In addition, non-recurring items include expenses arising
from rationalization measures.                                                  

Non-recurring items of 2008 consist of expenses arising from rationalization    
measures as well as non-recurring costs for agreements and doubtful receivables 
from previous years.                                                            

--------------------------------------------------------------------------------
| Glaston Group              |        |        |          |         |          |
--------------------------------------------------------------------------------
| EUR million                |        |        |          |         |          |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Net sales                  |   4-6/ |   4-6/ |     1-6/ |    1-6/ |    1-12/ |
|                            |   2009 |   2008 |     2009 |    2008 |     2008 |
--------------------------------------------------------------------------------
| Machines                   |   29.8 |   49.9 |     53.4 |    92.7 |    181.1 |
--------------------------------------------------------------------------------
| Services                   |    9.7 |   16.9 |     20.4 |    30.2 |     63.4 |
--------------------------------------------------------------------------------
| Software Solutions         |    5.9 |    6.4 |     11.8 |    13.7 |     28.2 |
--------------------------------------------------------------------------------
| Other and intersegment     |   -0.2 |   -0.6 |     -1.2 |    -1.0 |     -2.2 |
| sales                      |        |        |          |         |          |
--------------------------------------------------------------------------------
| Glaston Group total        |   45.2 |   72.6 |     84.4 |   135.7 |    270.4 |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| EBIT                        |   4-6/ |   4-6/ |     1-6/ |    1-6/ |   1-12/ |
|                             |   2009 |   2008 |     2009 |    2008 |    2008 |
--------------------------------------------------------------------------------
| Machines                    |   -4.6 |    3.3 |     -9.9 |     5.4 |     5.3 |
--------------------------------------------------------------------------------
| Services                    |   -0.2 |    1.3 |     -1.9 |     1.7 |     4.7 |
--------------------------------------------------------------------------------
| Software Solutions          |    0.5 |    1.2 |      0.1 |     2.2 |     3.7 |
--------------------------------------------------------------------------------
| Other and eliminations      |   -1.9 |   -2.0 |     -3.6 |    -3.8 |    -7.6 |
--------------------------------------------------------------------------------
| EBIT excluding              |   -6.2 |    3.8 |    -15.2 |     5.4 |     6.2 |
| non-recurring items         |        |        |          |         |         |
--------------------------------------------------------------------------------
| Non-recurring items         |   -4.3 |      - |     -4.3 |       - |   -12.3 |
--------------------------------------------------------------------------------
| EBIT                        |  -10.5 |    3.8 |    -19.5 |     5.4 |    -6.1 |
--------------------------------------------------------------------------------
| Net financial items         |   -0.7 |    1.8 |     -0.8 |     1.3 |    -2.0 |
--------------------------------------------------------------------------------
| Result before income taxes  |  -11.3 |    5.6 |    -20.3 |     6.7 |    -8.1 |
| and non-controlling         |        |        |          |         |         |
| interest                    |        |        |          |         |         |
--------------------------------------------------------------------------------
| Income taxes                |    1.2 |   -2.5 |      2.1 |    -3.0 |    -1.1 |
--------------------------------------------------------------------------------
| Net result                  |  -10.0 |    3.1 |    -18.1 |     3.7 |    -9.2 |
--------------------------------------------------------------------------------
| Number of personnel,        |        |        |    1,402 |   1,492 |   1,519 |
| average                     |        |        |          |         |         |
--------------------------------------------------------------------------------
| Number of personnel, end of |        |        |    1,282 |   1,529 |   1,541 |
| period                      |        |        |          |         |         |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| Net working capital             |   30.6.2009 |    30.6.2008 |    31.12.2008 |
--------------------------------------------------------------------------------
| Machines                        |        50.4 |         58.4 |          69.6 |
--------------------------------------------------------------------------------
| Services                        |        13.3 |         16.7 |          17.1 |
--------------------------------------------------------------------------------
| Software Solutions              |         6.3 |          5.0 |           5.8 |
--------------------------------------------------------------------------------
| Other                           |        -0.7 |         -1.3 |          -0.4 |
--------------------------------------------------------------------------------
| Total Glaston Group             |        69.2 |         78.7 |          92.1 |
--------------------------------------------------------------------------------


Order intake has been restated to include also order intake of the tools        
business.                                                                       
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Order intake                  |     1-6/ |        1-6/ |         1-12/ |     |
|                               |     2009 |        2008 |          2008 |     |
--------------------------------------------------------------------------------
| Machines                      |     45.7 |        95.7 |         156.9 |     |
--------------------------------------------------------------------------------
| Services                      |     16.3 |        35.5 |          59.7 |     |
--------------------------------------------------------------------------------
| Software Solutions            |      5.3 |         5.5 |          13.9 |     |
--------------------------------------------------------------------------------
| Total Glaston Group           |     67.3 |       136.8 |         230.5 |     |
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
| Net sales by           |  1-6/ |  1-6/ |   1-12/ |                           |
| geographical areas     |  2009 |  2008 |    2008 |                           |
--------------------------------------------------------------------------------
| Europe                 |  42.4 |  64.6 |   130.0 |                           |
--------------------------------------------------------------------------------
| MEAI                   |  11.3 |  26.7 |    48.0 |                           |
--------------------------------------------------------------------------------
| Asia                   |  11.0 |  18.5 |    36.5 |                           |
--------------------------------------------------------------------------------
| America                |  19.7 |  25.9 |    56.0 |                           |
--------------------------------------------------------------------------------
| Total                  |  84.4 | 135.7 |   270.4 |                           |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| MEAI = Middle East, Africa, India, Pakistan, Bangladesh  |        |          |
--------------------------------------------------------------------------------

NET SALES, OPERATING RESULT AND ORDER BOOK BY QUARTER                           
--------------------------------------------------------------------------------
| EUR million             |       |       |         |        |        |        |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Machines                |  4-6/ |  1-3/ |  10-12/ |   7-9/ |   4-6/ |   1-3/ |
|                         |  2009 |  2009 |    2008 |   2008 |   2008 |   2008 |
--------------------------------------------------------------------------------
| External sales          |  30.1 |  22.8 |    46.5 |   41.4 |   49.6 |   42.7 |
--------------------------------------------------------------------------------
| Intersegment sales      |  -0.3 |   0.7 |     0.3 |    0.2 |    0.3 |    0.2 |
--------------------------------------------------------------------------------
| Net sales               |  29.8 |  23.6 |    46.8 |   41.6 |   49.9 |   42.9 |
--------------------------------------------------------------------------------
| Share of associates'    |   0.0 |     - |     0.0 |    0.0 |    0.0 |    0.0 |
| and joint ventures'     |       |       |         |        |        |        |
| results                 |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| EBITDA                  |  -3.7 |  -4.3 |     2.5 |    0.6 |    4.1 |    2.9 |
--------------------------------------------------------------------------------
| EBIT excluding          |  -4.6 |  -5.3 |     0.3 |   -0.4 |    3.3 |    2.0 |
| non-recurring items     |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| EBIT-%, excl.           | -15.4 | -22.3 |     0.7 |   -0.9 |    6.6 |    4.8 |
| non-recurring items     |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| Non-recurring items     |  -3.8 |     - |    -9.5 |      - |      - |      - |
--------------------------------------------------------------------------------
| EBIT                    |  -8.4 |  -5.3 |    -9.1 |   -0.4 |    3.3 |    2.0 |
--------------------------------------------------------------------------------
| EBIT-%                  | -28.1 | -22.3 |   -19.5 |   -0.9 |    6.6 |    4.8 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Services                |  4-6/ |  1-3/ |  10-12/ |   7-9/ |   4-6/ |   1-3/ |
|                         |  2009 |  2009 |    2008 |   2008 |   2008 |   2008 |
--------------------------------------------------------------------------------
| External sales          |   9.2 |  10.4 |    15.8 |   16.6 |   16.6 |   13.1 |
--------------------------------------------------------------------------------
| Intersegment sales      |   0.6 |   0.3 |     0.5 |    0.2 |    0.3 |    0.1 |
--------------------------------------------------------------------------------
| Net sales               |   9.7 |  10.7 |    16.4 |   16.8 |   16.9 |   13.3 |
--------------------------------------------------------------------------------
| EBITDA                  |   0.1 |  -1.0 |     2.9 |    2.8 |    1.9 |    0.9 |
--------------------------------------------------------------------------------
| EBIT excluding          |  -0.2 |  -1.7 |     1.0 |    2.0 |    1.3 |    0.4 |
| non-recurring items     |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| EBIT-%, excl.           |  -1.7 | -16.0 |     6.2 |   12.0 |    7.5 |    3.2 |
| non-recurring items     |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| Non-recurring items     |  -0.3 |     - |    -2.2 |      - |      - |      - |
--------------------------------------------------------------------------------
| EBIT                    |  -0.4 |  -1.7 |    -1.2 |    2.0 |    1.3 |    0.4 |
--------------------------------------------------------------------------------
| EBIT-%                  |  -4.5 | -16.0 |    -7.5 |   12.0 |    7.5 |    3.2 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Software Solutions      |  4-6/ |  1-3/ |  10-12/ |   7-9/ |   4-6/ |   1-3/ |
|                         |  2009 |  2009 |    2008 |   2008 |   2008 |   2008 |
--------------------------------------------------------------------------------
| External sales          |   5.9 |   6.0 |     6.6 |    7.8 |    6.4 |    7.3 |
--------------------------------------------------------------------------------
| Intersegment sales      |   0.0 |   0.0 |     0.0 |    0.0 |    0.0 |    0.0 |
--------------------------------------------------------------------------------
| Net sales               |   5.9 |   6.0 |     6.6 |    7.8 |    6.4 |    7.3 |
--------------------------------------------------------------------------------
| Share of associates'    |     - |     - |     0.0 |      - |      - |      - |
| and joint ventures'     |       |       |         |        |        |        |
| results                 |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| EBITDA                  |   1.0 |   0.4 |     0.5 |    1.9 |    1.7 |    1.4 |
--------------------------------------------------------------------------------
| EBIT excluding          |   0.5 |  -0.4 |     0.1 |    1.4 |    1.2 |    1.0 |
| non-recurring items     |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| EBIT-%, excl.           |   8.7 |  -6.0 |     1.8 |   18.1 |   19.3 |   13.2 |
| non-recurring items     |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| Non-recurring items     |  -0.3 |     - |    -0.6 |      - |      - |      - |
--------------------------------------------------------------------------------
| EBIT                    |   0.2 |  -0.4 |    -0.4 |    1.4 |    1.2 |    1.0 |
--------------------------------------------------------------------------------
| EBIT-%                  |   4.1 |  -6.0 |    -6.5 |   18.1 |   19.3 |   13.2 |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| Net sales               |  4-6/ |  1-3/ |  10-12/ |   7-9/ |   4-6/ |   1-3/ |
|                         |  2009 |  2009 |    2008 |   2008 |   2008 |   2008 |
--------------------------------------------------------------------------------
| Machines                |  29.8 |  23.6 |    46.8 |   41.6 |   49.9 |   42.9 |
--------------------------------------------------------------------------------
| Services                |   9.7 |  10.7 |    16.4 |   16.8 |   16.9 |   13.3 |
--------------------------------------------------------------------------------
| Software Solutions      |   5.9 |   6.0 |     6.6 |    7.8 |    6.4 |    7.3 |
--------------------------------------------------------------------------------
| Other and intersegment  |  -0.2 |  -1.0 |    -0.8 |   -0.4 |   -0.6 |   -0.4 |
| sales                   |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| Glaston Group total     |  45.2 |  39.2 |    68.9 |   65.8 |   72.6 |   63.1 |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| EBIT                    |  4-6/ |  1-3/ |  10-12/ |   7-9/ |   4-6/ |   1-3/ |
|                         |  2009 |  2009 |    2008 |   2008 |   2008 |   2008 |
--------------------------------------------------------------------------------
| Machines                |  -4.6 |  -5.3 |     0.3 |   -0.4 |    3.3 |    2.0 |
--------------------------------------------------------------------------------
| Services                |  -0.2 |  -1.7 |     1.0 |    2.0 |    1.3 |    0.4 |
--------------------------------------------------------------------------------
| Software Solutions      |   0.5 |  -0.4 |     0.1 |    1.4 |    1.2 |    1.0 |
--------------------------------------------------------------------------------
| Other and eliminations  |  -1.9 |  -1.6 |    -1.8 |   -2.0 |   -2.0 |   -1.8 |
--------------------------------------------------------------------------------
| EBIT excluding          |  -6.2 |  -9.0 |    -0.3 |    1.1 |    3.8 |    1.6 |
| non-recurring items     |       |       |         |        |        |        |
--------------------------------------------------------------------------------
| Non-recurring items     |  -4.3 |     - |   -12.3 |      - |      - |      - |
--------------------------------------------------------------------------------
| EBIT                    | -10.5 |  -9.0 |    -0.3 |    1.1 |    3.8 |    1.6 |
--------------------------------------------------------------------------------


--------------------------------------------------------------------------------
| Order book       |   30.6. |   31.3. | 31.12. |   30.9. |    30.6. |   31.3. |
|                  |    2009 |    2009 |   2008 |    2008 |     2008 |    2008 |
--------------------------------------------------------------------------------
| Machines         |    30.8 |    38.2 |   47.3 |    64.8 |     78.0 |    79.8 |
--------------------------------------------------------------------------------
| Services         |     2.3 |     4.0 |   11.6 |    15.0 |     16.2 |     7.5 |
--------------------------------------------------------------------------------
| Software         |     4.0 |     3.7 |    3.5 |     4.5 |      6.0 |     9.5 |
| Solutions        |         |         |        |         |          |         |
--------------------------------------------------------------------------------
| Total Glaston    |    37.1 |    45.9 |   62.5 |    84.4 |    100.3 |    96.9 |
| Group            |         |         |        |         |          |         |
--------------------------------------------------------------------------------



CONTINGENT LIABILITIES                                                          


--------------------------------------------------------------------------------
| EUR million                          |  30.6.2009 |  30.6.2008 |  31.12.2008 |
--------------------------------------------------------------------------------
| Mortgages                            |            |            |             |
--------------------------------------------------------------------------------
| On own behalf                        |        0.2 |        0.2 |         0.2 |
--------------------------------------------------------------------------------
| Guarantees                           |            |            |             |
--------------------------------------------------------------------------------
| On own behalf                        |        0.7 |        4.6 |         0.8 |
--------------------------------------------------------------------------------
| On behalf of others                  |        0.1 |          - |         0.1 |
--------------------------------------------------------------------------------
| Lease obligations                    |       16.4 |       12.5 |        19.3 |
--------------------------------------------------------------------------------
| Repurchase obligations               |        0.4 |        1.5 |         0.5 |
--------------------------------------------------------------------------------
| Other obligation on own behalf       |        0.1 |          - |         0.3 |
--------------------------------------------------------------------------------
| Capital commitments in relation to   |        1.0 |          - |           - |
| interests in joint ventures          |            |            |             |
--------------------------------------------------------------------------------


A customer of the US subsidiary Glaston USA, Inc. had made a claim of           
approximately USD 22 million due to a sale of a machine in 2004. The arbitration
proceeding initiated by the customer against the US subsidiary Glaston USA, Inc.
was concluded in April. Majority of the customer's claim were denied. The matter
has no material effect on Glaston's 2009 result, because it was included in 2008
result, but the compensation paid by Glaston has affected Glaston's cash flow.  

The Group recognized a tax refund of approximately EUR 2 million in 2006 after  
having received an affirmative decision according to which the expenses arising 
from the management incentive scheme of the Group are deductible in taxation.   
The tax authorities of the Tax Office for Major Corporations appealed against   
the decision to the Administrative Court of Helsinki. Administrative Court of   
Helsinki decided the case on Glaston's favour in January 2009. The decision is  
final, since no appeal was made.                                                

Glaston Group has international operations and can be a defendant or plaintiff  
in a number of legal proceedings incidental to those operations. The Group does 
not expect the outcome of any unmentioned legal proceedings currently pending,  
either individually or in the aggregate, to have material adverse effect upon   
the Group's consolidated financial position or results of operations.           

DERIVATIVE INSTRUMENTS                                                          

--------------------------------------------------------------------------------
| EUR million     | 30.6.200 |       | 30.6.200 |        | 31.12.2008 |        |
|                 |        9 |       |        8 |        |            |        |
--------------------------------------------------------------------------------
|                 |  Nominal |  Fair |  Nominal |   Fair |    Nominal |   Fair |
|                 |    value | value |    value |  value |      value |  value |
--------------------------------------------------------------------------------
| Currency        |          |       |          |        |            |        |
| derivatives     |          |       |          |        |            |        |
--------------------------------------------------------------------------------
| Currency        |      2.1 |   0.1 |     12.9 |    0.3 |        6.2 |   -0.1 |
| forwards        |          |       |          |        |            |        |
--------------------------------------------------------------------------------


Derivative instruments are used only for hedging purposes. Nominal              
values of derivative instruments do not necessarily correspond with             
the actual cash flows between the counterparties and do not therefore give a    
fair view of the risk position of the Group. The fair values are based on market
valuation on the date of reporting.                                             

PROPERTY, PLANT AND EQUIPMENT                                                   

--------------------------------------------------------------------------------
| EUR million                                       |             |            |
--------------------------------------------------------------------------------
| Changes in property, plant and equipment          |        1-6/ |       1-6/ |
|                                                   |        2009 |       2008 |
--------------------------------------------------------------------------------
| Carrying amount at beginning of the period        |        35.0 |       32.5 |
--------------------------------------------------------------------------------
| Additions                                         |         1.0 |        4.2 |
--------------------------------------------------------------------------------
| Disposals                                         |        -5.4 |        0.0 |
--------------------------------------------------------------------------------
| Depreciation and amortization                     |        -2.2 |       -2.3 |
--------------------------------------------------------------------------------
| Impairment losses and reversals of impairment     |        -0.2 |          - |
| losses                                            |             |            |
--------------------------------------------------------------------------------
| Reclassification and other changes                |         0.3 |        0.0 |
--------------------------------------------------------------------------------
| Exchange differences                              |         0.0 |        0.0 |
--------------------------------------------------------------------------------
| Carrying amount at end of the period              |        28.5 |       34.4 |
--------------------------------------------------------------------------------


At the end of the review period, Glaston Group did not have contractual         
commitments to acquire property, plant and equipment.                           


RELATED PARTY TRANSACTIONS                                                      

Glaston Group's related parties include the parent, subsidiaries, associates and
joint ventures. Related parties also include the members of the Board of        
Directors and the Group's Executive Management Group, the CEO and their family  
members.                                                                        

Glaston follows the same commercial terms in transactions with associates and   
joint ventures and other related parties as with third parties.                 

During the review period Glaston's related party transactions included sales to 
joint ventures. In addition, the Group has leased premises from companies owned 
by individuals belonging to the management. The lease payments were in January -
June EUR 0.3 (0.3) million.                                                     

During the review period there were no related party transactions whose terms   
would differ from the terms in transactions with third parties.                 

Transactions with joint ventures and associates                                 

In January - June 2009 or 2008 Glaston had no material transactions with the    
joint venture. Glaston did not have transactions with the associate.            

EUR million                                                                     
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Transactions with joint ventures       |       1-6/ |      1-6/ |      1-12/ |
|                                        |       2009 |      2008 |       2008 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Sales to joint ventures                |          - |       0.0 |        0.0 |
--------------------------------------------------------------------------------
| Other operating income from joint      |        0.1 |         - |          - |
| ventures                               |            |           |            |
--------------------------------------------------------------------------------
| Interest income from joint ventures    |        0.1 |         - |          - |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Receivables/payables from/to joint     |       1-6/ |      1-6/ |      1-12/ |
| ventures                               |       2009 |      2008 |       2008 |
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
| Current receivables                    |        0.4 |         - |        0.0 |
--------------------------------------------------------------------------------
| Non-current loan receivables           |        5.4 |         - |          - |
--------------------------------------------------------------------------------
| Trade payables                         |        0.0 |         - |          - |
--------------------------------------------------------------------------------


interim report 1-6_2009.pdf