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Update: Finnish Stevedores' Strike Closes UPM's Paper Mills in Finland

March 3, 2010

HELSINKI, FINLAND—March 4, 2010—UPM has been forced to close its Rauma paper mill due to the Finnish stevedores' strike which started today on 4 March 2010 at 6 am Finnish time. All of the mill's four magazine paper machines are closed. Production work at paper machines ends today affecting about 450 employees.                                                                     

In othe UPM paper mills in Finland, preparation for machine line shut downs is ongoing. Major part of UPM's paper machines in Finland are forced to be closed by the end of this week. The last paper machine closures will take place at the beginning of next week. The company tries to operate its Finnish pulp mills until the end of next week.                                                    

When all paper machines are in standstill the financial impact of the strike on UPM's result is estimated to exceed EUR 3 million a day.                       

"In recent years our paper mills have worked hard to improve their competitiveness. This strike destroys the good results of that work", says UPM's Senior Vice President for Paper Manufacturing Arto Lampinen.           
Transport Workers' Strike Will Close UPM's Finnish Paper Mills Within a Week       

UPM's Finnish paper mills employ altogether about 4,300 persons. If all of UPM paper machines in Finland will be closed due to the strike it would mean that production work at paper machines would end impacting about 3,000 persons. In line with the Finnish Contracts of Employment Act UPM will suspend salary payment 7 days after the end of paper machine production work.    


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