UPM's President and CEO Jussi Pesonen at the company's Annual General Meeting: A strong cash flow and balance sheet provide means to realise growth opportunities

UPM-Kymmene Corporation Stock exchange release 7 April 2011 at 14:50

UPM's President and CEO Jussi Pesonen confirmed his confidence in UPM's
continued positive development at the company's Annual General Meeting today.
“Following a strong performance in 2010, UPM is well positioned both in terms
of business cycle and strategy”.

“There has been a solid start to 2011. Deliveries and price increases have
materialised as expected; however, unfortunately, cost pressures are
accelerating”.

“The outlook for 2011 continues to be favourable. Operating profit, excluding
special items, is expected to improve on 2010 and the first half of the year
will improve markedly on the first half of 2010”.

“We have taken significant strategic steps by growing in cost-competitive pulp
production and driving consolidation of the European paper industry. Now, our
strategic aim is to shift the focus to markets and businesses with sustained
growth and value creation. Each business area has a clearly defined strategic
agenda supporting UPM's renewal. A strong cash flow and balance sheet provide
means to realise these growth opportunities”, says Pesonen.

UPM-Kymmene Corporation
Pirkko Harrela
Executive Vice President, Corporate Communications

UPM, Corporate Communications
Media Desk, tel. +358 40 588 3284
media@upm.com

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