UPM-Kymmene Corporation has decided to investigate the possibilities to further reduce its ownership in Rauma Oy. The reduction of the holding and subsequently increased liquidity is expected to enhance the attraction of Rauma Oy's shares to investors. On 4 March, 1997, UPM-Kymmene Board of Directors decided on the proposal to offer Rauma Oy shares as dividend to its shareholders. If approved by the Annual General Meeting to be held today, UPM-Kymmene's interest in Rauma Oy will fall to 59.9%. UPM-Kymmene Board furthermore announced that it intends to reduce its holding in Rauma Oy to below 50% through other means. UPM-Kymmene and Rauma Oy now agree that the shareholders of the both companies will be best served by reducing the UPM-Kymmene holding in Rauma Oy as soon as possible, subject to market conditions. For the longer term, UPM-Kymmene's objective is to retain only a significant but minority shareholding in Rauma Oy. With the funds to be derived from the sale of the Rauma shares, UPM-Kymmene continues to focus on its core pulp and paper business. The companies have jointly appointed SBC Warburg adviser for the project.