UPM to close down Keuruu Veneer Mill

(UPM, Lahti, Finland, 17 October 2007 at 13.00) – The co-determination negotiations at UPM Keuruu Veneer Mill have been concluded. The purpose of the negotiations was to clarify options for continuing the operations of the mill in a situation where the availability of logs for veneer is decreasing and the profitability of the veneer business needs to be improved.

Based on the negotiations, UPM has decided to concentrate the manufacture of birch veneer at Lohja Veneer Mill and to discontinue the production of thin veneer plywood altogether. The operations at Keuruu Veneer Mill will cease in spring 2008. The mill’s machinery and equipment will be utilized in development of the production at UPM’s other mills.

The Keuruu mill personnel, some 70 people, have the opportunity to transfer to the company’s other plywood and veneer mills. UPM is supporting relocation to its other mills through a settling-in allowance and by compensating for direct moving expenses.

For further information, please contact:
Kari Hyvönen, Vice President, Operations, UPM Plywood, tel. +358 (0)400 258 293

 

UPM is one of the world’s leading forest products groups. The Group’s sales in 2006 were EUR 10 billion, and it has about 28,000 employees. UPM’s main products include printing papers, label materials and wood products. The company has production plants in 14 countries and its main market areas are Europe and North America. UPM’s shares are quoted on the Helsinki and New York stock exchanges. Further information is available at www.upm-kymmene.com.

UPM offers high-quality WISA plywoods and veneers mainly for building, interior decoration and the transport vehicles industry. UPM Plywood’s turnover in 2006 was 580 million euros, and it employs approximately 4,000 people. For further information, please visit www.wisa.com.