Financially strong player even in volatile operating environment CONFIDENTIAL 17 November 2017 Financially strong player even in volatile operating environment YIT Capital Markets Day | September 22, 2011 St. Petersburg, Russia Timo Lehtinen, CFO YIT | 1 | CMD 2011 YIT CORPORATION

Contents YIT’s financial synergies CONFIDENTIAL Contents 17 November 2017 YIT’s financial synergies YIT’s track record through business cycles YIT’s finance strategy, financial position and risk management in volatile economic environment Cost management and profitability drivers YIT | 2 | CMD 2011 YIT CORPORATION

YIT’s financial synergies CONFIDENTIAL 17 November 2017 YIT’s financial synergies YIT CORPORATION

Business portfolio Performance of YIT business segments in 2010 CONFIDENTIAL Business portfolio Performance of YIT business segments in 2010 17 November 2017 Building Services Northern Europe Building Services Central Europe Construction Services Finland International Construction Services 2010 2010 2010 2010 2009 2009 Revenue 46% 14% 28% 12% 29% 10% 2010 2010 2010 2010 2009 2009 EBIT 36% 6% 44% 14% 41% Neg. 2010 2010 2010 2010 2009 2009 Capital invested 29% 3% 22% 46% 22% 48% ROI 21.7% 44.7% 34.3% 20.5% 5.2% -2.7% * All figures based on segment reporting (POC=Percentage of completion) YIT | 4 | CMD 2011 YIT CORPORATION

Financial synergies at YIT CONFIDENTIAL 17 November 2017 Positive cash flow invested in land bank, its development and construction Building and Industrial Services Contracting Low capital requirement High return on investment Debt financing Gearing 79.9% (06/11) Higher margin possibilities Higher capital requirement Lower return on investment Residential development Real estate development Dividend to shareholders, payout ratio 40-60% Equity ratio 29.7% (06/11) YIT | 5 | CMD 2011 5 YIT CORPORATION

YIT’s track record through business cycles CONFIDENTIAL 17 November 2017 YIT’s track record through business cycles YIT CORPORATION

Revenue growth despite of economic cycles CONFIDENTIAL Revenue growth despite of economic cycles 17 November 2017 Group revenue 2000-2010 EUR million 6% -12% 11% 13% 9% 9% 16% 36% 9% 31% 2000-2004: according to FAS, 2005-2010: according to IFRS YIT | 7 | CMD 2011 YIT CORPORATION

CONFIDENTIAL Group profitability has been on relatively good level also in downturns 17 November 2017 Operating profit 2000-2010 EUR million Operating profit (POC) Operating profit (IFRIC 15) % of revenue 2000-2004: according to FAS, 2005-2010: according to IFRS YIT | 8 | CMD 2011 YIT CORPORATION

Counter-cyclical cash flow CONFIDENTIAL Counter-cyclical cash flow 17 November 2017 Cash flow after investments 2000-2010 Cash flow driven especially by plot acquisitions, utilization of existing land bank and housing production volume In 2006, cash flow affected by the growth in the Russian housing Major acquisitions have also affected cash flow 2003: ABB Cumulative cash flow in 2000-2010 EUR 193 million EUR million 2000 2005 2006 2007 2008 2009 2010 2004 2001 2003 2002 YIT | 9 | CMD 2011 2000-2004: according to FAS, 2005-2008: according to IFRS, 2009-2010: according to IFRIC 15 YIT CORPORATION

Equity ratio has been kept strong CONFIDENTIAL Equity ratio has been kept strong 17 November 2017 Equity ratio 2000-2010 Strategic target: Equity ratio 35% % YIT | 10 | CMD 2011 2000-2004: according to FAS, 2005-2008: according to IFRS, 2009-2010: according to IFRIC 15 YIT CORPORATION

Equity ratio is among highest in peer group CONFIDENTIAL Equity ratio is among highest in peer group 17 November 2017 Equity ratio % YIT according to IFRS 2006-2010 Skanska according to IFRS 2006-2010 NCC according to IFRS 2006-2010 Lemminkäinen according to IFRS 2006-2010 SRV according to IFRS 2006-2010 YIT | 11 | CMD 2011 YIT CORPORATION

YIT’s debt service ability compared to its peers CONFIDENTIAL YIT’s debt service ability compared to its peers 17 November 2017 Net debt/EBITDA Net debt/EBITDA ratio between 2006 and 2010 YIT according IFRS 2006-2010 Skanska according IFRS 2006-2010 NCC according IFRS 2006-2010 Lemminkäinen accoding IFRS 2006-2010 SRV according IFRS 2006-2010 YIT | 12 | CMD 2011 YIT CORPORATION

Plot reserves vs. net debt CONFIDENTIAL Plot reserves vs. net debt 17 November 2017 Plot reserves and net debt at the end of the period EUR million 2000-2004: according to FAS, 2005-2010: according to IFRS 2000-2003: YIT did not report its plot reserves in euros YIT | 13 | CMD 2011 YIT CORPORATION

Flexibility and good timing in housing start-ups CONFIDENTIAL Flexibility and good timing in housing start-ups 17 November 2017 Housing start-ups 2000-2010 number 7,590 7,406 7,257 6,695 6,590 5,164 4,119 4,135 3,459 3,169 3,278 2,944 YIT | 14 | CMD 2011 YIT CORPORATION

Acquisitions over the cycle CONFIDENTIAL Acquisitions over the cycle 17 November 2017 YIT’s M&A criteria Return on investment > 20 % Good strategic fit (geographical coverage, business portfolio, customer sectors) Complementary skills & resources Business culture Value creation potential Profitability turn-around Strong local market position which works as add-on to YIT’s existing market presence Cash flow effect of YIT’s acquisitions 2000-2010 Largest acquisitions (purchase price) 2001: Calor Sweden (EUR 57 million) 2003: ABB (EUR 203 million) 2008: MCE (EUR 55 million) 2010: Caverion (EUR 73 million) EUR million YIT | 15 | CMD 2011 YIT CORPORATION

CONFIDENTIAL 17 November 2017 YIT’s finance strategy, financial position and risk management in volatile economic environment YIT CORPORATION

Versatile sources in debt financing CONFIDENTIAL Versatile sources in debt financing 17 November 2017 Debt capital market for short term and long term issues is important funding source The aim of debt financing is to maintain diversified sources of debt and balanced maturity profile According to the treasury policy ¼ of long term debt is allowed to become due in a calendar year YIT | 17 | CMD 2011 YIT CORPORATION

Active in debt capital markets CONFIDENTIAL 17 November 2017 Commercial papers Bond programme YIT has a commercial paper programme of EUR 200 million targeted at domestic market YIT is an active issuer of CPs under this programme A bond programme of EUR 400 million established in March 2010 Two issues: EUR 100 million in March 2010 and in June 2011 Establishment of a bond programme for the long term debt allows issuance of versatile debt instruments, private placements and public bonds YIT | 18 | CMD 2011 YIT CORPORATION

Well-managed maturity structure CONFIDENTIAL 17 November 2017 Finnish non-rated emissions 2010-2011 Maturity structure of the long-term debt 6/2011 Date Company Coupon, % Maturity, years Spread Amount, EUR million 17.3.2010 YIT 4.823 5 240 100 20.5.2010 Sponda 3.000 230 4.6.2010 Amer Sports 325 150 14.6.2010 Rettig 4.375 300 17.6.2010 Outokumpu 5.375 310 250 28.6.2010 Neste Oil 5.000 290 7.9.2010 Lemminkäinen 5.125 4 295 60 3.11.2010 Ahlstrom 4.875 13.6.2011 4.250 210 14.6.2011 Uponor 6mE + 175 20 6mE + 205 7 80 EUR million 1) 2) 2011 2012 2013 2014 2015 2016 2017 2018- Bond issued 03/10, EUR 100 million Bond issued 06/11, EUR 100 million YIT | 19 | CMD 2011 YIT CORPORATION

Balanced debt portfolio CONFIDENTIAL Balanced debt portfolio 17 November 2017 Net debt portfolio 6/2011, total EUR 937 million (3/2011: 894 million) Average interest rate 3.5% (3/2011: 3.2%) Fixed interest rate 58% Average interest rate 4.2% Markets 41% Others 1% Insurance companies 14% Banks 20% Project financing in Construction Services Finland 24% Floating interest rate 42% Average interest rate 2.6% YIT | 20 | CMD 2011 YIT CORPORATION

Net financial costs decreasing CONFIDENTIAL Net financial costs decreasing 17 November 2017 Net financial costs Main factors impacting the decrease of net financial costs EUR million Reduction of interest rate difference between rouble and euro  Lower hedging costs Bigger IAS 23 booking 67.5 58.6 Debt portfolio 25.3 6/11: EUR 937 million, average interest rate 3.5% 12/10: EUR 789 million, average interest rate 3.4% 6/10: EUR 786 million, average interest rate 3.4% 9.4 Net financial costs Hedging costs IAS 23 YIT | 21 | CMD 2011 YIT CORPORATION

Currency risk of debt portfolio managed well CONFIDENTIAL Currency risk of debt portfolio managed well 17 November 2017 Principles of managing currency risks Debt portfolio and forward agreements 6/2011 Items affecting the income statement by exchange rates are hedged Net investments in the balance sheet are not hedged. Loans taken by parent company as a rule EUR-denominated Loans made available to subsidiaries denominated in foreign currencies are fully hedged Due to unexpected disturbance in the forward agreement market for the relevant currency, hedging may vary between 50-100% EUR 84% SEK 1% CZK 1% LTL 3% RUB 11% YIT | 22 | CMD 2011 YIT CORPORATION

Capital invested in Russia CONFIDENTIAL 17 November 2017 Capital invested in Russia 2006-Q2/2011 Capital invested and assets in Russia EUR million EUR million 656 545 532 2006 2007 2008 2009 2010 Q1/2011 Q2/2011 2008: according to POC, 2009-2011: according to IFRIC 15 Equity and equity-liked fixed net investments Completed apartments Work in progress Debt Land bank According to IFRIC 15 YIT | 23 | CMD 2011 YIT CORPORATION

Risk management in capital allocation CONFIDENTIAL Risk management in capital allocation 17 November 2017 Key issues in capital allocation: ROI key issue in capital allocation Housing: sales risk of unsold inventory Acquisitions: payback time Good finance and liquidity position Construction costs remaining 6/2011 in total EUR 614 million Construction Services Finland Housing EUR 309 million Business Premises EUR 10 million International Construction Services Housing EUR 295 million Long-term debt maturing in H2/2011 EUR 74 million Cash as per end of June 2011 EUR 234 million, committed credit facilities EUR 224 million Additional credit facility of EUR 100 million signed in September 2011 No financial covenants YIT | 24 | CMD 2011 YIT CORPORATION

Financial position enables growth strategy execution CONFIDENTIAL Financial position enables growth strategy execution 17 November 2017 Gearing ratio 2000-2010 % YIT | 25 | CMD 2011 2000-2004: according to FAS, 2005-2008: according to IFRS, 2009-2010: according to IFRIC 15 YIT CORPORATION

Cost management and profitability drivers CONFIDENTIAL 17 November 2017 Cost management and profitability drivers YIT CORPORATION

Potential for profitability improvement CONFIDENTIAL Potential for profitability improvement 17 November 2017 Building Services Northern Europe Actions to get BS Northern Europe back to track Increasing share of service and maintenance Acquired companies’ initial profitability providing upside potential Building Services Central Europe Business portfolio development Good volume in Business premises H2/2011 expected to be stronger in Infra services International sourcing Construction Services Finland Successful price increases in H1/2011, prices expected to increase further in H2/2011 Improving capital efficiency Smaller projects Shorter construction times International Construction Services YIT | 27 | CMD 2011 YIT CORPORATION

Lessons learnt from the financial crisis CONFIDENTIAL 17 November 2017 No breaks in start-ups No breaks in acquisitions No breaks in plot acquisitions Liquidity position must be kept strong Cash and committed credit and overdraft facilities amounted to EUR 458 million at the end of June 2011 Additional facility of EUR 100 million arranged in September 2011 YIT | 28 | CMD 2011 YIT CORPORATION

CONFIDENTIAL Summary 17 November 2017 YIT is financially strong player also in volatile business environment YIT has succeeded relatively well through-out business cycles YIT is well prepared also for weaker times YIT | 29 | CMD 2011 YIT CORPORATION

CONFIDENTIAL 17 November 2017 YIT | 30 | CMD 2011 YIT CORPORATION