Group organization and corporate symbol confirmed UPM-Kymmene starts operating

Following the approval of the merger between Kymmene Corporation and Repola Ltd., UPM-Kymmene has started operations in accordance with its confirmed Group organization and under its new corporate symbol. Though UPM-Kymmene will officially start operating on the lst of May, 1996, decision-making has in practice been transferred to the new organization.

The objectives set for the new corporate entity and for the organization are to safeguard the company's long-term profitability, to satisfy customers´ needs in a more versatile manner and to fulfil the expectations of other major interest groups. Another objective is to set up a straightforward and efficient corporate management system, relying on open communication, fairness, mutual trust and co-operation. At the same time, every effort will he made to promote a creative, innovative and enterprising atmosphere.

- Many of the employees of the new UPM-Kymmene are facing new challenges, whereas others will continue to work with basically the same tasks. Throughout the organization I have noticed an unprejudiced eagerness and enthusiasm stemming from the opportunities that this new company offers. This shows that our employees are striving for the best possible results from the very beginning, notes UPM-Kymmene's President and CEO, Juha Niemelä.

- We shall continue to develop our skills, in other words to invest in training. By creating challenging and interesting tasks and by improving the cooperation at all levels we are going to create synergy benefits for the new company, concludes the company's Executive Vice President, Martin Granholm.

The new company's Board of Directors, Executive Board and divisional structure in accordance with the merger agreement have been previously publicized. Following decisions have now been made concerning internal divisional organization and corresponding responsibilities:

UPM-Kymmene Magazine

Caledonian paper: David Gray, Jämsänkoski: Markku Tynkkynen, Kaipola: Viljo Paljakka, Kaukas: Hannu Schildt, Rauma: Yrjö Olkinuora and in the divisional functions Marketing: Harry Herold and Bengt Sjöblom.

UPM-Kymmene Newsprint

Chapelle Darblay: Ghislain de Boissieu, Kajaani: Pauli Hänninen, Shotton: Kevin Lyden, Stracel: Bernard Hébert and in the divisional functions Marketing: Jan Sillman.

UPM-Kymmene Fine

Kymi Paper Mills: Johan Furuhjelm, Nordland Papier: Matti Lindahl, Papeteries de Docelles: Kari Kalliala and in the divisional functions Marketing: Ken Ehrnrooth and Peter Löfgren.

The above-mentioned paper divisions have common divisional functions, in which the following responsibilities have been decided so far: Financial Control: Jorma Mäkinen, Sales Network: Jussi Olkinuora, R & D/Technology: Heikki Hassi, Business Development: Jyrki Ovaska, Human Resources: Tuula Granroth, Logistics: Jussi Sarvikas.

UPM-Kymmene Pack

Simpele: Olli Rinne, Wisapaper: Johan Karjaluoto, Lohjan Paperi: Jussi Virkkunen, Lamicoat: Ilkka Lumme, Walki Pack: Markku Nuto, Walki Can: Heikki Sormunen, Rosenlew: Tapio Wartiovaara, Walki Sack: Art Vijfvinkel and in the divisional functions Marketing: Ari Rinkinen, Financial Control: Turkka Heinelo, R & D: Seppo Karisalo, Business Planning: Erkki Jalkanen.

UPM-Kymmene Timber

United Sawmills: Kari Anttilainen, Ferdinand Braun: Jaakko Lehto, Brooks Group: John Walsh, Puukeskus: Toivo Makara, Joinery: Paavo Tuovinen and in the divisional functions Financial Control, R & D: Tapani Savisalo.

Schauman Wood

Transport and Vehicle Industries: Timo Heikkilä, Construction and Shipbuilding Industries: Antti Suonranta, Furniture Industries: Risto Allinen, Special Products: Vesa Ahonen and in the divisional functions Financial Control: Lars Karlsson, Administration: Henrik Nordström, Production: Olavi Mikkola, Research: Arto Juvonen, Development: Tiina Liesiö.

Special Product Companies

Raflatac: Juhani Strömberg, Walki-Stationery: Ilkka Muhonen, Walkisoft: Jorma Leskinen, Nautor: Olle Emmes.

UPM-Kymmene Resources

Wisaforest: Johan Karjaluoto, Joutseno Pulp: Seppo Pursiainen, Tervasaari: Perttu Saarela,

UPM-Kymmene Forest: Pekka Tiililä, UPM-Kymmene Energy: Pentti Pajunen, Finnminerals: Seppo Nikkilä.

In the corporate functions the following organization has been decided:

Legal Affairs and Administration: Asko Matula and Magnus Ståhlberg, Corporate Communications: Markku Franssila, Business Development: Jaakko Palsanen, Human Resources and Training: Harald Finne, R & D: Kari Ebeling.

Financial Control: Jouko Taipale, Treasury: Olof Bärlund, Taxation: Erkki Numminen, Information Technology: Markku Haapamäki, Risk Management: Henrik Diesen, Investor Relations: Kari Toikka,

Mergers & Acquisitions: Tapani Sointu, Internal Audit: Katri Hakkarainen, Real Estates: Kaj-Erik Lindberg.

Pulp Coordination: Torsten Nykopp, Investments: Antti Lares, Environmental Affairs: Hannu Nilsen, International Forest Affairs: Hans-Peter Blauberg.

A new marketing organization, covering various product groups and markets is being created and developed for UPM-Kymmene at present. In its main product sector, paper, UPM-Kymmene has committed itself to terminating its co-operation with the sales organization Finnpap in the course of 1996 and to market its paper through its own organization.

UPM-Kymmene's new corporate symbol has also been approved. It consists of the letters UPM - for United Paper Mills - and Kymmene Corporation's griffin. Both elements are well known, especially among customers in all of the new company's market areas.