Statutory audit

According to the Articles of Association, UPM has one auditor which shall be a firm of authorised public accountants. The Annual General Meeting elects the auditor and resolves on the auditor’s remuneration. The Board of Directors’ Audit Committee prepares the Board's proposal to the AGM for the company’s auditor and for the auditor's remuneration.

The AGM 2018 re-elected PricewaterhouseCoopers Oy, a firm of authorised public accountants, as the company’s statutory auditor with Authorised Public Accountant (KHT) Merja Lindh as the lead audit partner. Ms Lindh holds this position since 8 April 2014. The AGM further resolved that the audit fee will be paid against invoices approved by the Board of Directors’ Audit Committee.

Auditor’s remuneration

​EUR million​2017​2016​20152014​​2013
​Audit fee2.3​​2.32.3​​2.0​2.6
​Audit related services0.1​​0.10.0​-​0.1
​Tax services​0.30.7​​0.8​0.6​0.9
​Other services0.5​0.5​​0.5​0.5​0.1

The Audit Committee evaluates the statutory auditor’s independence, audit and services annually. In addition, the Audit Committee arranges audit tendering processes at regular intervals, latest in 2013. The statutory auditor’s term of office covers the company’s financial period (calendar year) and ends at the closing of the AGM following the election. As a rule, the audit firm elected by UPM’s AGM performs the audit of the company’s Finnish subsidiaries as well, and audit firms belonging to the same chain with it audit the company's other subsidiaries.

The statutory auditor provides UPM’s shareholders with the statutory Auditor’s Report in connection with the financial statements and reports on its audit findings to the Board of Directors and to the Audit Committee semiannually or quarterly, respectively.

The Audit Committee reviews the statutory auditor’s annual audit plan and approves the framework for the audit fee and for non-audit services related fees. The auditor reports on its audit procedures and incurred fees to the committee quarterly. The committee reviews the related invoices and, if they are in line with the audit plan and within the agreed framework, approves them.​