UPM leads materials sector in CDP's Forests Program

Investor news 11.11.2014 10:00 EET

(UPM, Helsinki, 11 November, 2014 at 10:00 EET) – UPM was today announced as the sector leader for the materials industry in CDP’s 2014 global forests report, Deforestation-free supply chains: from commitments to action. UPM received the sector leader position for the second year in a row.

The report analyses disclosures of 152 companies from around the world, representing a market capitalization of over US$3 trillion, and it has been produced on behalf of 240 investors who together represent US$15 trillion in assets by CDP, the international NGO that drives sustainable economies.

The companies were asked to disclose their exposure to deforestation risks through their use of four commodities that are responsible for most deforestation (cattle products, palm oil, timber products and soy).

“Responsibility is the core of UPM’s Biofore strategy, and that’s why knowing the fibre sources and supply chains is essential for us. With its chains of custody system, UPM ensures full traceability of the origin of wood worldwide”, says Päivi Salpakivi-Salomaa, Vice President, Environment and Responsibility, UPM. “UPM considers forest certification to be an excellent tool for promoting sustainable forestry. Today 80% of the wood used is certified and the target is to grow the percentage up to 85% by the year 2020”, Salpakivi-Salomaa tells.

Paul Simpson, Chief Executive Officer at CDP, says: “Companies that regularly respond to CDP's forests program are now identifying many more of the opportunities available to them, including securing their supply chain against the risks associated with deforestation and commodity sourcing. This in turn is helping to secure shareholder value.

Different parts of the supply chain are moving at different rates to tackle this issue.  What is clear is that leading companies, as identified by CDP, are those that are bringing their supply chains with them on this journey.”

The report is available on CDP’s website https://www.cdp.net/CDPResults/CDP-global-forests-report-2014.pdf.

For further information please contact:
Päivi Salpakivi-Salomaa, Vice President, Environment and Responsibility, UPM, tel. +358204150396.

UPM Media Desk
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About UPM
Through the renewing of the bio and forest industries, UPM is building a sustainable future across six business areas: UPM Biorefining, UPM Energy, UPM Raflatac, UPM Paper Asia, UPM Paper Europe and North America and UPM Plywood. Our products are made of renewable raw materials and are recyclable. We serve our customers worldwide. The group employs around 21,000 people and its annual sales are approximately € 10 billion. UPM shares are listed on NASDAQ OMX Helsinki. UPM – The Biofore Company – www.upm.com

About CDP
CDP is an international, not-for-profit organization providing the only global system for companies and cities to measure, disclose, manage and share vital environmental information.  CDP works with market forces, including 767 institutional investors with assets of US$92 trillion, to motivate companies to disclose their impacts on the environment and natural resources and take action to reduce them.  CDP now holds the largest collection globally of primary climate change, water and forest risk commodities information and puts these insights at the heart of strategic business, investment and policy decisions.  Please visit www.cdp.net or follow us @CDP to find out more.

About CDP’s forests program
CDP’s forests program was formerly known as the Forest Footprint Disclosure Project, an initiative first pioneered by the Global Canopy Programme (www.globalcanopy.org). CDP began managing FFD’s operations in February 2013 as part of a two year strategic merger to provide companies and investors with a single source of information for the interrelated issues of the climate, water and forests. In February 2014 FFD became fully integrated with CDP to become the forests program. CDP now holds six years of corporate forest-risk data.The Global Canopy Programme remains a prime funder for the program and acts as the principal advisor on forests and forest risk commodities to CDP.