Increasing of share capital through the issuance of new shares

Archive 26.9.2001 0:00 EEST

The Board of Directors of UPM-Kymmene Corporation has decided, based on the authorization of the Extraordinary General Meeting held on 2 August, 2001 due to the Haindl acquisition, on increasing the share capital by 20,910,000 euros through the issuance of new shares in such a manner that 12,300,000 new shares with a book (equivalent) value of 1.70 euros per share will be offered for subscription, deviating from the shareholders' pre-emptive rights to subscribe new shares.

The subscription price will be 34.071 euros per share. This subscription price is equivalent to the weighted average quotation price of UPM-Kymmene Corporation's share on the Helsinki Stock Exchange between 30 March - 16 May, 2001. The new shares will carry the right to dividend for the financial period ending on 31 December, 2001.

The new shares are offered for subscription to ten shareholders of the company G. Haindl'sche Papierfabriken Kommanditgesellschaft auf Aktien.

The time for subscription and payment of the shares is 1 October - 31 December, 2001. The subscription will take place on the day the Haindl acquisition deal will be closed.

UPM-Kymmene Corporation
Corporate Communications
26 September, 2001