UPM Timber plans closing of its Boulogne further processing mill in France

(UPM, Lahti, 23 June, 2009 at 15:00) – UPM Timber begins employee negotiations for closing the Boulogne mill and centralizing the further processing operations in France to Aigrefeuille further processing mill. The plan is also to streamline the sales function and reduce the number of employees to meet with the planned operations in Aigrefeuille. The Boulogne mill profitability is weak and the market outlook for timber business is expected to continue difficult.

Due to the strongly weakening market situation, UPM Timber has curtailed its production at the company's all 6 sawmills in Finland during spring and summer.

Boulogne-sur-Mer further processing mill employs 21 people. UPM is prepared to provide support for relocation and retraining. The mill, located in Northern France, produces planed goods and its annual production capacity is 30,000 cubic metres. Boulogne mill was founded in 1989.

For further information, please contact:
Mr Arto Halonen, Senior Vice President, UPM Timber, tel. +358 40 823 2877
Mr Kjell Nylund, General Manager, UPM-Kymmene Wood S.A., tel. +33 684 805 054

UPM, Media Desk
Tel. +358 40 5883284, communications@upm-kymmene.com

Notes for editors

UPM Timber produces sawn timber and further processed timber products to building and construction industry and joinery. The annual production capacity is 2,4 million cubic metres of WISA timber products. UPM Timber has 15 production units in Austria, Finland, France and Russia. In Finland, UPM operates 6 sawmills which are located in Lappeenranta, Kajaani, Pietarsaari, Korkeakoski, Heinola and Pori. UPM Timber employs 1,300 people.