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UPM Kymi Pulp Mill Upgrade is Finalized

Helsinki, Finland 27 October 2015 -- The ramp-up of the UPM Kymi pulp mill expansion has proceeded well on schedule. The EUR 160 million UPM investment project was started in the spring of 2014 and has now proceeded to final finishing work.

The new debarking plant started operation in June, the modernisation of the softwood fibre line was finished in August and the biggest project, the new pulp drying machine, started operation in August-September - approximately one month ahead of schedule. During the ramp-up, pulp production has exceeded expectations and the quality of pulp has improved. The entire Kymi pulp and paper mill integrate is benefiting from the improvements in energy efficiency and flexibility of operations.

UPM invests in the Kymi pulp mill to strengthen its position in the growing end-use sectors of the global pulp market. As the result of this investment, annual production capacity at the Kymi mill will increase by 170,000 tonnes to 700,000 tonnes of bleached northern softwood and birch pulp.

The investment will have a positive effect on the employment rates and businesses in the region. The increasing use of wood in the mill integrate will bring wood harvest and transportation work for forest industry professionals and stumpage earnings for forest owners.

UPM Pulp

UPM is one of the world's leading producers of northern softwood, birch and eucalyptus pulp supplying global customers mainly in the growing end use segments such as tissue, speciality papers and board through its own sales and technical service network close to the customers. UPM Pulp operates four modern pulp mills, three in Finland and one in Uruguay as well as eucalyptus plantations in Uruguay. UPM Pulp employs approximately 1,500 people. The Kymi investment increases the annual pulp production capacity of UPM's pulp mills to 3.5 million tonnes. Pulp Business is part of the UPM Biorefining Business Area. To learn more, visit: www.upmpulp.com

UPM Kymi

UPM Kymi is an environmentally efficient mill integrate producing pulp, paper and energy. UPM Kymi employs about 650 people and is located in south-east Finland in Kuusankoski, Kouvola. Kymi produces bleached birch and softwood pulp as well as coated and uncoated fine paper. 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 20,000 people and its annual sales are approximately EUR 10 billion. UPM shares are listed on NASDAQ OMX Helsinki. UPM - The Biofore Company - www.upm.com


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