Impacts of Botnia's Kaskinen pulp mill closure to UPM

(UPM, Helsinki, 14 January 2009 at 10:30) – UPM's associated company Oy Metsä-Botnia Ab has today announced the permanent closure of the Kaskinen pulp mill during the first quarter of 2009. The special charges resulting from the closure will reduce UPM's associated company results by approximately EUR 27 million in the first quarter of 2009.

The annual pulp production capacity of the Kaskinen mill is 450,000 tonnes of mainly hardwood pulp. UPM's share of the capacity according to its ownership is roughly 212,000 tonnes. The pulp produced at Kaskinen mill has not been used in UPM's paper production. After the closure of the Kaskinen mill, UPM's calculatory annual pulp production capacity will be 3.6 million tonnes.

UPM's share in Botnia is 47 percent.

For further information, please contact:
Mr Jaakko Sarantola, Senior Vice President, Pulp Business Area, tel. +358 204 15 0789
Mr Olavi Kauppila, Senior Vice President, Investor Relations, tel. +358 204 15 0658

Related website: www.metsabotnia.com