March 8, 2006 Opportunities in the Russian residential construction market Timo Lehmus Senior Vice President March 8, 2006

Contents YIT Group YIT Construction Services, International Operations Russian market and residential construction Russia in YIT´s strategy Appendices –New residential law in Russia –References and plot areas –YIT strategic target levels

March 8, 2006 YIT Group

March 8, 2006 YIT corporate structure Industrial and Network Services Pekka Frantti Industrial projects Industrial maintenance Network services Revenue 2005 MEUR 399 Personnel 12/2005 4,126 Building Systems Juhani Pitkäkoski Building Systems Automation and security Facility Management YIT Corporation Group CEO Hannu Leinonen Construction Services Ilpo Jalasjoki Housing Business environments Infrastructure Revenue 2005 MEUR 1,398 Personnel 12/ ,731 Revenue 2005 MEUR 1,298 Personnel 12/2005 5,115 In 2005 YIT’s revenue and profit before taxes rose to record levels

March 8, 2006 Breakdown of revenue 2005 Total revenue MEUR 3,023.8, of which operations outside Finland MEUR 1,326.6 Finland 56.1% MEUR 1,697.2 Lithuania, Latvia, Estonia 6.6% MEUR Sweden, Norway, Denmark 32.3% MEUR Other countries 0.6% MEUR 18.7 Russia 4.4% MEUR 131.6

March 8, 2006 Major acquisitions and divestments YIT’s life-cycle service chain and geographical expansion Acquisitions Industrial maintenance YIT Service (1996) Property maintenance services YIT Rapido (1999) Building systems maintenance and upkeep services YIT Calor (2001) Telecom network maintenance YIT Primatel (2002) Divestments Steel construction PPTH Teräs Oy (1999) Testing business Huber Testing Oy (2000) Surface-treatment business (2001) Building systems maintenance and upkeep services YIT Building Systems (2003) Jointing insulation business Makroflex (2003) Construction in Lithuania AB YIT Kausta (1999) Construction in Estonia AS YIT Ehitus (2001) Construction in St. Petersburg and North-Western Russia ZAO YIT Lentek (1997) Residential construction in Moscow Oblast ZAO YIT Ramenje (2003) Investment contract in Moscow city ZAO YIT Ramenje (2004) Residential construction in Moscow City ZAO YIT Citystroi (2005) Building systems maintenance and upkeep services YIT Huber (1995)

March 8, 2006 Norway - revenue Me - personnel 12/ locations 63 Denmark - revenue Me - personnel 12/ locations 12 Finland - revenue Me - personnel 12/ locations 240 Lithuania, Latvia, Estonia - revenue Me - personnel 12/ locations 6 Sweden - revenue Me - personnel 12/ locations 159 Wide geographical coverage and a strong market position Russia - revenue Me - personnel 12/ locations 6

March 8, 2006 Growth drivers 2006 Increasing residential construction in Russia, Lithuania, Latvia and Estonia Rounding out Building Systems’ service portfolio in the Nordic and Baltic countries Outsourcings within the forest industry and Finnish network operators Expanding Industrial and Networks Service’s offerings in YIT’s business areas

March 8, 2006 Principal shareholders Feb 28, 2006 Total number of shareholders 9,649. Nominal value of the share EUR 1.00 (registered on March 26, 2004, whereby the number of shares was doubled). Share capital EUR 62,397,352. No % 1. Sampo Life Insurance Company Ltd 4,704, Suomi Mutual Life Assur. Company 4,285, Varma-Sampo 3,906, Ilmarinen Mutual Pension Ins.Co 1,667, Tapiola Insurance Group 1,344, Etera Mutual Pension Ins. Company 867, Odin Norden 727, Kaleva Mutual Insurance Company 660, Brotherus Ilkka 612, Mutual Ins. Company Eläke-Fennia 426, Nominee-registered 25,829, Other shareholders 17,365, Total 62,397,

March 8, 2006 Nominee-registered shareholders + other international ownership as percentage of equity Feb 28, ,52%

March 8, 2006 Market capitalization, 2001–2/2006 (EUR million at end of month) ,651 EURM

March 8, 2006 YIT Construction Services, International Operations

March 8, 2006 Russia 9 % MEUR 116 Total revenue MEUR 1,298 Construction Services Breakdown of revenue 2005 Finland 77 % MEUR 1,000 Lithuania, Latvia, Estonia 14 % MEUR 182

March 8, 2006 Construction Services International Operations Capital employed 2004 and 2005 Baltic Countries 44 % Water and environmental services 7 % Russia 45 % Other 3 % Capital employed 2004 MEUR Baltic Countries 43 % Water and environmental services 1 % Russia 56 % Capital employed 2005 MEUR 178.3

March 8, 2006 Construction Services International Operations Revenue 1998 – 2005 MEUR

March 8, 2006 Russian market and residential construction

March 8, 2006 Growth in the Russian market Growth in Russia’s GDP Growth in construction 2000 – 2003 annual average 7 %7.5 % FORECAST % 6.4 % 6 % 10.1 % 9.7 % 7 % Statistics Finland, Rosstat, Budget committee Russia, VTT

March 8, 2006 Growth in GDP and the oil price Source: Rosstat and Bloomberg GDP growth, % (left) UK Brent price, US$ (right)

March 8, 2006 Budget of the Russian Federation Share of GDP, % budget balanceexpensesincome Source: Rosstat

March 8, 2006 Economic development in Russia in the next few years The economic development becomes more diversified; the direct effect of oil on growth is weakening Finance policy becomes less tight before the presidential elections in 2008 –private and public consumption will increase –investments will increase Fast growth in retail trade continues and household consumption growth stays strong (11% per annum) Loans of companies and households is increasing The oil price is not going to rise significantly anymore and the oil production growth will stay moderate Growth of exports will slow down to 6 % –due to the slowing down of the growth of oil exports and the strengthening of the exchange rate Imports is growing faster than exports –the balance of the current account surplus is shrinking Efforts are being made to dampen inflation and not to strengthen the rouble's nominal rate too much –REER continues to strenghten rapidly in 2006 but will slow down after that Source: BOFIT

March 8, 2006 Construction in the Russian national economy (%) Finland EU Source: EuroBuild Russia

March 8, 2006 Value of Russian construction output in 2005 Total: EUR 300/inhabitant (Finland: 4.000) Building construction 78% (80%) Civil engineering 22% (20%) Building renovation 23% (34%) Residential buildings 38% (22%) Other buildings 17% (24%) Source: VTT Tacis research evaluation (VTT) EuroBuild Russia Civil engineering 22% (20%)

March 8, 2006 Residential construction growing in Russia Source: Rosstat New housing built annually, mln. sq.m

March 8, 2006 Residential construction growing in Russia (mill. Sq.m) In the whole Russia residential construction 44 mill. sq.m in Growth forecast about 5-10% a year. Sources: Russian Statistics Committee, YIT’s own estimate

March 8, 2006 Average price for residences in the major cities of Russia USD/m2 Source: Gosskomstat

March 8, 2006 Average bid price for residences in St. Petersburg USD/m2 Sources: Nedvishimosty Bulletin Secondary market Preliminary market

March 8, 2006 Market features and growth factors in major cities Normal sellable product is shell and core excluding finishing Existing houses are in poor condition and do not meet today’s design criteria Renovation of existing houses is complicated and expensive Quality of new housing varies and a big part of it is still below good quality Housing space 19 m2/inhabitant is modest Migration potential is high Housing mortgage loans aren’t yet in common use Performance and quality guarantees do not exist Delays in construction completion are common Household income is increasing rapidly

March 8, 2006 Russia in YIT´s strategy

March 8, 2006 Business operations in Russia, Lithuania, Latvia and Estonia (M€) Construction Residential Construction

March 8, 2006 JEKATERINBURG (1.3) NIZHNI-NOVGOROD (1.3) KAZAN (1.1) SAMARA (1.2) MOSCOW OBLAST (6.5) RIGA KAUNAS VILNIUS PÄRNU TALLINN KLAIPEDA TARTTO KIEV (2.6) JURMALA ST.PETERS- BURG (4,7) MOSCOW (10.1) ROSTOV (1.1.) Construction Services Russia, Lithuania, Latvia, Estonia Current business locations Potential expansion BALASHIHA 04/2004 DOLGOPRUDNYJ 06/2004 RAMENSKOJE 06/2004 ZHUKOVSKI 02/2004 TOIMISTO PUSHKINO 12/2005 NOGINSK 06/2005 KOROLEV 09/2005 MOSCOW OBLAST MOSCOW 30 km 0 km

March 8, 2006 JEKATERINBURG (1.3) NIZHNI-NOVGOROD (1.3) KAZAN (1.1) SAMARA (1.2) MOSCOW OBLAST (6.5) RIGA KAUNAS VILNIUS PÄRNU TALLINN KLAIPEDA TARTTO KIEV (2.6) JURMALA ST.PETERS- BURG (4,7) MOSCOW (10.1) ROSTOV (1.1.) Construction Services Russia, Lithuania, Latvia, Estonia Current business locations Potential expansion km Market shares 2004 residential start-ups Lithuania, Latvia, Estonia 5% St. Petersburg5% Moscow Oblast2.5% Moscow0%

March 8, 2006 Range of production from «YIT DOM» Range of production from «YIT DOM» Distribution of the primary housing supply by prices (euro, %) 74% of the primary housing supply is within the “YIT DOM” price range in Moscow Oblast

March 8, 2006 YIT’s housing production 2005 Russia, Lithuania, Latvia, Estonia No , , ,173 2, , ,000 2,000 3,000 4,000 5,000 6,000 7, Lithuania, Latvia, EstoniaRussia ,873 3,374 4,154 6,880 CompletedStart-upsUnder construction Dec 31

March 8, 2006 Sold apartments 2005 Total 2005: (2 311) Growth + 34% Finland Q1/05 Q2/05Q3/05Q4/05 Baltics and Russia Total 2005: (1 136) Growth + 110% Q1/05 Q2/05Q3/05Q4/05

March 8, 2006 Plot Reserve Plot Reserve ( ) Building rights and zoning potential 1000 m2 of floor area FinlandRussiaEstonia, Latvia and Lithuania Residential plots (1 367) 587 (286) 215 (254) Business premise plots 676 (852) 26 (-) 33 (-) Total (2 219) 613 (286) 248 (254) Capital tied into plot reserves (M€) 268,9 (278,1) 32,5 (11,6) 24,7 (11,4)

March 8, 2006 Success factors in business operations Strong corporate culture Sufficient operational volume Strong local presence - good leadership - true partnership Knowledge of market, professional expertise Committed, service-minded, learning personnel Strong financial position General

March 8, 2006 Success factors in business operations Residential business Management of strategic plot/land acquisition Strong product/service expertise Design and production control Creating and marketing a strong brand (service/product) Financial products/services Own sales personnel

March 8, 2006 More information on our site at Timo Lehmus Senior Vice President International Operations YIT Construction Ltd tel Veikko Myllyperkiö Vice President, Corporate Communications tel Esko Mäkelä Senior Vice President tel Petra Thorén Vice President, Investor Relations tel mobile

March 8, 2006 Appendices New residential law in Russia

March 8, 2006 New law on apartment purchase in Russia on April 1, 2005 Old legislation: Wild east No specific regulation in law Supremacy of construction companies No customer protection apartments were sold many times many times the money disappeared and the object was not completed construction time was stretched out quality errors There was an obvious need to fix the situation New legislation benefits for the customer: More rights and protection towards the customer Plot of land and the uncompleted construction object as security for the payments The contractor can only cancel the deal by means of legal proceedings The use of the customer´s money limited to realizing the construction object The deal has to be registered The conditions of the deal decisive

March 8, 2006 New law on apartment purchase in Russia on April 1, 2005 Conclusions: The new law is an opportunity for YIT to grow its market share The total supply is estimated to decrease while the demand stays the same Some competitors will leave the market YIT has benefits in relation to challengeable competitors YIT can adopt the requirements of the new law rapidly

March 8, 2006 Appendices References and plot areas

March 8, 2006 References YIT Lentek Some key project examples: Philip Morris Tobacco factory, St. Petersburg Ford Motor company, car factory, St. Petersburg UPM-Kymmene saw mill, Pestovo JTI-Petro, Tobacco factory, St. Petersburg Heineken brewery, St. Petersburg McDonalds restaurants, St Petersburg Sestrotresk WWTP, Sestrotresk Kirishi-Gres modernization of WTP, Kirishi Neste traffic stations, St. Petersburg Metro Cash&Carry Supermarkets, St. Petersburg Pjaterozhka Supermarkets, St. Petersburg BAMAG Sludge Incineration plant, St. Petersburg Nokian Tyres, Tyre factory, Vzevolovsk

March 8, 2006 RUSSIA / St. Petersburg SHUVALOVO I (326) VASILI ISLAND I (350) KAZANSKAJA 58 (40) VVJD (1495) URITSK (225) SHUVALOVO II (320) PRIMORSK I (440) UNDER CONSTRUCTION PLOT RESERVE VASILI ISLAND II (485) OZERKI 9 (4,5,8) (800) KOLOMAKI 12 (1050) SHUVALOVO III OZERO DOLGOJE 56 (1000) READY TARGET AREAS kARPOVKA (450) REAL ESTATE DEVELOPMENT PLOTS MARISA TOREZA 44 (425) PRIMORSK I m MUURMANSKY SHOSSEE m

March 8, 2006 Zhukovsky The MD. 5, h.31The MD. 5, h.32 and h.34The MD. 5, h.36 and h.33 The MD. 5А (complex development) the first stage of development

March 8, 2006 Ramenskoje Ul.Chugunova, the MD. 5, h.15 Ul. Krasnoarmejskaja, h.46 The MD. 10, townhouses

March 8, 2006 Balashikha Ul. Lesnaja, the MD. 28, h.12 Ul. Lesnaja, the MD. 28, h.8 Ul. Lesnaja, the MD. 28, h.11А

March 8, 2006 Dolgoprudny The MD. Centralny, h.5 Moscow Ul. Kuntsevskaja, Est. 6

March 8, 2006 Appendices YIT strategic target levels

March 8, 2006 YIT’s strategic target levels Average annual growth in revenue 10% Return on investment 22% Equity ratio 35% Dividend payout 40–60% of net profit for the year after taxes and minority interests

March 8, 2006 Revenue 1994–2005 MEUR Strategic target level: growth 10% per year Keskimääräinen vuosittainen kasvu (FAS): 18,7% IFRS 2004 Average annual growth : 18.4% FAS IFRS 2005

March 8, 2006 Return on investment % IFRS 2004 FAS IFRS 2005 Strategic target level: 22%

March 8, 2006 Equity ratio % IFRS 2004 FAS IFRS 2005 Strategic target level: 35%

March 8, 2006 Dividend payout * Board of Director´s proposal. * * 2004 and 2005 IFRS numbers. Dividend/share, EUR Dividend/earnings, % YIT´s dividend policy: 40–60% of the annual profit after taxes and minority interests