PONSSE EXPANDS ITS PRODUCT RANGE

Ponsse is to introduce to the market products in an entirely new size
category in order to meet more wide-ranging customer needs. The new
harvester, forwarder, harvester head and two new harvester cranes
represent significant additions to the Ponsse product offering, which,
until now, has been lacking in heavy products. In addition to our
traditional markets, these new products in the largest size category of
the product range strengthen our position in the Russian and Latin
American markets. The market for heavy forest machinery has doubled over
the past five years, and we are determined to increase our market share
in this growing category. All the products introduced today are
manufactured in Finland at Ponsse’s forest machinery plant in Vieremä.
All the new products will be on display at the FinnMetko trade show in
Jämsänkoski from 31 August to 2 September 2006.

PONSSE Bear - Harvester in the Largest Size Category

Bear harvesters, together with the new H8 harvester head and the new C55
crane, make up a highly efficient and productive harvesting system for
the challenges in effectiveness presented by today’s large regeneration
cuts. The product’s competitive advantages include its powerful 240 kW
diesel engine; PONSSE C55, Ponsse’s most powerful new parallel crane of
all time; and PONSSE H8, the new robust, high-performance harvester
head.

Innovative engine technology enables high torque and power in the lower
engine speed range, resulting in improved fuel economy. The common
factor between all the functionalities of the harvester is the next
generation of control modules that enable continual optimum performance
and reliability. The new crane and harvester head are only available in
conjunction with the PONSSE Bear harvester. In the smaller size
category, Ponsse introduces the C33 parallel crane, which will be
available with the smaller PONSSE harvester models.

PONSSE Elephant - A Powerful Forwarder with an Extra High Load-Carrying
Capacity

The new PONSSE Elephant forwarder boosts forwarding productivity. The
torque and pulling power of this 18-ton capacity forwarder are designed
for highly demanding customer requirements and operating conditions,
which is particularly important on steep slopes, in deep snow and, for
instance, on the eucalyptus plantations in Latin America, all conditions
where particularly high efficiency and availability are required. Superb
manoeuvrability, a large 6.25 m2 load space, high-efficiency drive
transmission and a powerful crane ensure that the raw materials for the
forest industry are transported quickly and safely to the roadside for
haulage to the processing plant or sawmill, regardless of the location
of the felling site.

"Ponsse will be at the FinnMetko 2006 show (from 31 August to 2
September) with its largest product line ever. Our FinnMetko exhibit
will showcase the results of our close customer collaboration. Our
entire product range is fitted with next generation control modules -
that control all functions of the machines - from our technology company
Epec Oy. As ours is the most modern production plant in the forest
machinery sector, manufacturing quality products, the core components of
all our products are manufactured at our own factory. Thanks to the
expanded product range, we can now meet all the timber harvesting needs
of our customers," says Arto Tiitinen, President and CEO of Ponsse.

Vieremä, 25 August 2006


Arto Tiitinen
President and CEO


FOR FURTHER INFORMATION, PLEASE CONTACT:

Arto Tiitinen, President and CEO, tel. +358 20 768 4621 or +358 400 566
875


DISTRIBUTION

Helsinki Stock Exchange
Principal media
www.ponsse.com