UPM-Kymmene - Company Announcement

UPM agrees on new financing arrangements

Helsinki, 2010-12-21 08:15 CET (GLOBE NEWSWIRE) -- UPM-Kymmene Corporation  
Stock exchange release    21 December 2010   at 09:15 

UPM has prepaid all of the Uruguay Fray Bentos pulp mill investment project
loans of USD 372 million. The security arrangements relating to the project
loans will be released. The prepayment reduces financing costs and simplifies
the Group's financing structure. 

UPM has also agreed on new bilateral committed credit facilities totalling EUR
675 million, which all are currently undrawn. The EUR 1.0 billion syndicated
credit facility that serves as UPM's current back stop facility will expire in
March 2012. The rest of the refinancing is planned to be agreed by the end of
the first quarter of 2011 in a form of additional bilateral credit facilities
and a syndicated credit facility. The new syndicated credit facility is planned
to be significantly smaller than the current one. 

UPM has also agreed on new bank loans totalling EUR 800 million to finance the
recently announced Myllykoski transaction. The loans will have an average
maturity exceeding five years. 

For further information, please contact:
Mr JuhaForsius, UPM, Senior Vice President, Group Treasurer, tel. +358 2041
50129 

UPM, Corporate Communications
Media Desk, tel. +358 40 588 3284
media@upm.com

UPM-Kymmene Corporation
Pirkko Harrela
Executive Vice President, Corporate Communications

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