OPERATIONAL OVERVIEWS OF SANOMA GROUP AND HELSINKI MEDIA GROUP

Sanoma Corporation and Helsinki Media have today released their operational overviews for January - April 1998. WSOY's interim report was released on June 12, 1998. According to the merger plan, the companies will merge to form a new company, Sanoma-WSOY Oyj, as of May 1, 1999.

Boards of directors of Werner Söderström Osakeyhtiö - WSOY, Sanoma Corporation, Helsinki Media Company Oy and Oy Devarda Ab, which owns shares in the two last-mentioned companies, executed the merger plan on May 14 and 15, 1998. The plan will be dealt with in the extraordinary general meetings of the companies on June 29, 1998.

The merging companies will publish their interim reports for the first eight months on October 15, 1998 at 9.00 a.m. by a stock exchange release, which also includes the most important pro forma calculations for the new company to be formed by the merger. The release, as well as other decisions and facts relating to the information obligation of the new group, will be published by WSOY.

WERNER SÖDERSTRÖM OSAKEYHTIÖ - WSOY

Aarno Heinonen
Executive Vice President

ENCLOSURES:

ENCLOSURE 1 Sanoma Group's operational overview January - April, 1998

ENCLOSURE 2 Helsinki Media Group's operational overview January - April, 1998

DISTRIBUTION:

Helsinki Stock and Derivative Exchange

Principal media

ENCLOSURE 1

SANOMA GROUP'S OPERATIONAL OVERVIEW JANUARY 1 - APRIL 30, 1998

Sanoma Group's net sales rose to FIM 697 million, up 8% on the previous year. Corporate profit before extraordinary items, reserves and taxes totalled FIM 141 million, whereas the corresponding figure for 1997 was FIM 180 million. Equity ratio was 77% and equity per share FIM 6,551.

ECONOMIC DEVELOPMENT

Sanoma Group's net sales performed positively in the first four months of the current financial year. Net sales increased with 8%

to FIM 697 million (net sales for the previous corresponding period amountedto FIM 643 million). The net sales growth is mainly attributable to increased revenues from advertising and circulation sales. The volume of Helsingin Sanomat's advertising sales increased and also its weekday circulation grew slightly over the previous year. The gross returns by Ilta=Sanomat grew to some extent in spite of the slightly declining advertising volumes. The current year will be the first full financial year for the financial daily Taloussanomat, which started to appear towards the end of 1997. Its advertising income has developed nearly according to plan in the early part of 1998, while subscription income has grown more slowly than anticipated.

Operating expenses grew with 11% to FIM 592 million. The increase of expenses was amongst others due to the establishment costs and ongoing start-up investments of Taloussanomat. Corporate operating profit before depreciation was FIM 131 million (FIM 151 million). The operating profit for 1998 includes a FIM 19 million share of the associated companies' results, i.e. FIM 14 million less than for the previous corresponding period. The decrease was mainly caused by the costs relating to the establishment of the associated company Helsinki Media Company Oy's subsidiary Oy Ruutunelonen Ab. Corporate profit on operations after depreciation for the period amounted to FIM 80 million (FIM 104 million).

Corporate net financial income totalled FIM 61 million (FIM 75 million). Net exchange rate losses for the period were FIM 11 million, whereas the figure for the previous corresponding periodincludes net exchange rate profits for FIM 26 million. The differences in exchange rates are mainly due to conversion differences in the equity of the Group's foreign subsidiaries at the balance sheet date.Corporate profit before extraordinary items, reserves and taxes totalled FIM 141 million (FIM 180 million).

Extraordinary income includes FIM 40 million (FIM 91 million) of the associated companies' extraordinary income. Taxes on profit for the period totalled FIM 35 million and the profit for the period was FIM 150 million.

Profit before extraordinary items, reserves and taxes for the parent company, Sanoma Corporation, improved on the previous year both in relative and absolute terms.

At the end of the period the book value of Sanoma Finance AG's investments was FIM 689 million and the market value wasFIM 930 million. The corporate balance sheet total was FIM 3,753 million

(FIM 3,538 million).

CAPITAL EXPENDITURE; FINANCING

Sanoma Group's capital expenditure in January - April totalled FIM 54 million; FIM 28 million of this figure relates to the new Sanoma House under construction. Investment in production

equipment was FIM 13 million, and in computer software FIM 5 million.

The Group's current ratio remained good. Long-term loans were amortized according to plan. Equity ratio was according to the corporate balance sheet 77% (73%).

PERSONNEL

The Group's average personnel figure for the first four months of the period was 1,757; this represents an increase of 116 over the previous corresponding period. The increase in the personnel is mostly attributable to the establishment of Startel Oy at the end of 1997. For the period Startel Oy personnel numbered 77. Sanoma Group employed an average of 1,578 newspaper deliverers; this represents an increase of 42 over the previous corresponding period. The parent company employed an average of 1,539 people (1,517).

GENERAL MEETING

Sanoma Corporation's annual general meeting held on March 17, 1998, re-elected the following resigning members for the term 1998-2001: Executive Vice President Seppo Kievari, Sanoma Corporation; Commercial Director Robin Langenskiöld, Enso France; and President and CEO Jaakko Rauramo, Sanoma Corporation. Board Member L.J. Jouhki, President of Thomesto Trading Companies Ltd, was appointed Vice Chairman of the Board. Dr Aatos Erkko continues as Chairman of the Board.

The annual general meeting elected Pekka Nikula, APA, and Juha Tuomala, APA, as auditors, and Jukka Ala-Mello, APA, and Pekka Kaasalainen, APA, as their deputies. The annual general meeting granted discharge from responsibility to the members of the board of directors and the president for the financial year 1997 and adopted the financial statements. The annual general meeting declared a dividend of FIM 100 per shareon the share capital.

EVENTS AFTER THE REVIEW PERIOD

Sanoma Corporation's board of directors executed the merger plan on May 14, 1998. According to the plan Sanoma Corporation, Werner Söderström Osakeyhtiö - WSOY, Helsinki Media Company Oy and Oy

Devarda Ab will merge to form a new company. The boards of directors of Werner Söderström Osakeyhtiö - WSOY, Helsinki Media Company Oy and Oy Devarda Ab executed the merger plan on May 14 and 15, 1998. The merger plan will be presented to the companies' extraordinary general meetings for approval.

According to the plan, the companies will merge in a combination merger to form a new media corporation. A listing will be sought on the HEX Oy, Helsinki Stock and Derivative Exchange list for the shares of the new company, Sanoma-WSOY Oyj. The implementation of the merger requires the approval of the general meetings of the merging companies. Sanoma Corporation's extraordinary general meeting will take a decision in the matter on June 29, 1998.

According to the preliminary schedule for the merger plan, Sanoma Corporation, Werner Söderström Osakeyhtiö - WSOY, Helsinki Media Company Oy and Oy Devarda Ab will merge forming a new company as of May 1, 1999.

In connection with the merger Suomen Kulttuurirahasto and Sanoma Corporation's subsidiary Lastannet Holding B.V., which owns shares in Helsinki Media Company Oy, have made a pre-agreement on a share transaction by which Lastannet will sell to Suomen Kulttuurirahasto a number of shares which give entitlement to 5.22% of the votes in the new company. After the transaction Suomen Kulttuurirahasto's holding will be 1.70% of the shares and 6.25% of the votes in the new Sanoma-WSOY.

Sanoma Corporation has sold the share capital of Kiinteistö Oy Korkeavuorenkatu 30 in downtown Helsinki by a deed of sale dated May 26, 1998.

Sanoma Corporation has acquired 20% of the share capital in Janton Oy from its present shareholders by a deal closed on June 2, 1998. All the sellers will also after the deal remain shareholders in Janton Oy. The purpose of Sanoma Corporation is to develop and improve its distribution functions. Janton Oy specializes among other things in unaddressed distribution of advertising products, and is a leading company in its field in Finland. Janton Oy owns Suomen Suoramainonta Oy and publishes the free sheets Uutislehti 100, Alueuutiset and City-lehti. The Group's net sales amounted to FIM 227 million in 1997. Janton Oy's planned listing on HEX Oy, Helsinki Stock and Derivative Exchange is being studied further.

According to a circulation survey of June 3, 1998, the average circulation of Helsingin Sanomat reached in the first six months of the year 472,666 copies (472,056 copies) on weekdays and 548,866 copies (553,118 copies) on Sundays.

OUTLOOK FOR 1998

Construction of Sanoma Corporation's new office building, Sanoma House, in downtown Helsinki continues and is scheduled for completion in fall 1999. The Sanomala 2000 Project, the purpose of which is to replace the present production equipment of Sanomala

in Vantaa with entirely new technology, is scheduled to be completed in 2002. The decision to place an order for the equipment will be taken in 1998.

The Group's net sales are expected to grow slightly over the previous year. Net sales growth will be boosted primarily by the anticipated positive trend of Helsingin Sanomat's advertising and subscription income. The Group's expenses in 1998 will be impacted by the planned investments in marketing and the Group's latest newspaper Taloussanomat. The Group's performance is expected to develop positively and to grow slightly from the previous year.

Helsinki, June 26, 1998

SANOMA CORPORATION

Jaakko Rauramo
President and CEO

ENCLOSURE 2

HELSINKI MEDIA GROUP'S OPERATIONAL OVERVIEW JANUARY 1 - APRIL 30, 1998

Helsinki Media Group's net sales increased during the review period by 10.1% to FIM 403 million. The corporate result for the period was a loss of FIM 16.9 million. Equity ratio was 74.1% and equity per share was FIM 642.

ECONOMIC DEVELOPMENT

Helsinki Media Group's net sales for January 1 to April 30, 1998 increased by 10.1% from FIM 366 million in the previous corresponding period to FIM 403 million.

Of the Group's principal operations, publishing increased its net sales by 8.0% in the first four months to FIM 270 million (FIM 250 million). The external net sales of printing grew by 10.7% to FIM 62 million (FIM 56 million), and television operations' net sales increased by 18.3% to FIM 71 million (FIM 60 million).

The corporate operating loss for January 1 to April 30, 1998 was FIM 48.3 million compared to an operating profit of FIM 49.8 million in the previous corresponding period. The change is mainly attributable to the establishment costs of Oy Ruutunelonen Ab and its treatment as a subsidiary in the accounts. Ruutunelonen was included as an associate in Helsinki Media Group's financial statements until August 31, 1997 and thereafter as a subsidiary.

Joint ventures Oy Kirjalito Ab and Egmont Kustannus Oy Ab are in 1998 itemised in the Group's accounts to 50%. In the comparative data for 1997, Kirjalito was stated with the equity method.

Also Janco Multicom A/S was treated as an associate in the comparative data. Suomen Hakemistokustannus Oy was merged into its parent company at the end of the review period.

The estimated pay-out to the employee profit-sharing fund (FIM 2.1 million in 1998; FIM 2.6 million in 1997) was booked before the operating profit before depreciation, differently from previous practice. The data for the previous year have been adjusted to facilitate comparison.

Other operational income includes profits on sales of fixed assets. The comparative figure for 1997 includes the profit on the sales of fixed assets and also the profits on the divestiture of Sanomalehtien Ilmoitustoimisto Oy's (SITA) and FilmNet's operations.

Depreciation for January 1 to April 30, 1998 remained unchanged from the previous year.

The share of FIM 0.1 million in associates' results includes the Group's estimated share in the result of its associate Maxisat Oy (Group). The corresponding figure for 1997, a net loss of FIM 2.5 million, includes the Group's share of Oy Ruutunelonen Ab's loss, in total FIM 6.2 million, and the booked result and adjustment relating to Maxisat Group, in total FIM 1.4 million, as well as FIM 2.3 million relating to the sale of Janco Multicom A/S.

In the comparative data for 1997, the extraordinary income of FIM 199.3 million includes the profit on the sale of Janco Multicom A/S shares.

Direct taxes correspond to the taxes on the profit for the period, in total FIM 6.4 million, and FIM 10.0 million in 1997. In addition a calculational tax receivable of FIM 6.4 million relating to the losses of Oy Ruutunelonen Ab for the first four months of the year has been booked for 1998. The taxes related to the previous financial year are FIM 0.2 million.

The result for the review period shows a loss of FIM 16.9 million. The result for January - April 1997 was a profit of FIM 247.1 million.

CAPITAL EXPENDITURE; FINANCING

The gross investments in January - April 1998 totalled FIM 17.4 million (FIM 13.7 million). The most significant investment relates to the digital production of printing plates. The Group's equity ratio remained excellent at 74.1% (81.4%).

PERSONNEL

The average number of persons employed by the Group was 1,237 (1,167 in 1997). The parent company's average personnel numbered 1,032 (1,009 in 1997).

GENERAL MEETING

Helsinki Media Company Oy's annual general meeting was held on March 16, 1998. The general meeting declared a dividend of FIM 50/share for 1997 (both on E and K shares).

Kalevi Puttonen was elected as personnel representative on the Board of Directors to succeed the resigning member Tuula Kinnarinen. The composition of the Board of Directors remained unchanged in other respects.

OTHER MATTERS

The shares owned by Helsinki Media Company Oy in Janco Multicom A/S will probably be sold during 1998.

*) Includes estimated pay-out to employee profit-sharing fund

**) Oy Ruutunelonen Ab has been stated as an associated company until August 31, 1997 and thereafter as a subsidiary

* The tax corresponding to the result for the review period has been used as tax for computation of key figures.

EVENTS AFTER THE REVIEW PERIOD

The Boards of Directors of Helsinki Media Company Oy, Sanoma Corporation and Werner Söderström Osakeyhtiö - WSOY executed the merger plan on May 14, 1998 and Oy Devarda Ab's Board of Directors executed the merger plan on May 15, 1998.

According to the plan, the companies will merge by a combination merger to form a new media corporation. A listing will be sought on the HEX Oy, Helsinki Stock and Derivative Exchange list for the shares of the new company Sanoma-WSOY Oyj.

The implementation of the merger plan will require the approvals by the general meetings of the merging companies.

According to the preliminary schedule for the merger plan, Helsinki Media Company Oy, Werner Söderström Osakeyhtiö - WSOY, Sanoma Corporation and Oy Devarda Ab will merge to form a new company as from May 1, 1999.

OUTLOOK FOR 1998

The Group's net sales for the entire year are estimated to increase significantly over the previous year, mainly attributable to the growing sales by Channel Four.

Helsinki Media's business is expected to develop during the current year so that the profitability of the principal operations - magazines, books, and commercial printing - will remain largely unchanged or improve slightly.

The establishment investments in the television operations of Channel Four will have a considerable impact on the Group's annual results which, as planned, will remain below the previous year's level.

The most significant factor contributing to the change in the operational results is that in 1998 Oy Ruutunelonen Ab will be stated as a group subsidiary for the entire year, and its loss before deduction of minority interest will show in the corporate operational results. In 1997, Ruutunelonen was included as a subsidiary in the financial statements only for the last four months of the year.

Helsinki, June 26, 1998
Helsinki Media Company Oy
Tapio Kallioja
President