Metsäliitto Osuuskunta - Other information disclosed according to the rules of the Exchange

The Board of Directors of Metsäliitto Cooperative has resolved on executives' incentive plan

Metsä Group Stock Exchange Release 10 January 2017 at 5 pm EET


The Board of Directors of Metsäliitto Cooperative has resolved to continue the
share-based incentive plan directed to Metsä Group executives. The aim of the
plan is to combine the objectives of the owners and executives in order to
increase the value of the Group, to commit the executives to perform the mutual
strategy and to offer them a competitive reward plan based on share ownership. 

The performance share plan 2017—2021 consists of three performance periods,
namely calendar years 2017—2019, 2018—2020 and 2019—2021. The Board of
Directors will resolve on the performance criteria and targeted performance
levels for each criteria at the beginning of each performance period. The
potential reward from the plan for the performance period 2017—2019 is based on
the development of Metsä Group’s Return on Capital Employed (ROCE, %), as
determined by the Board.  The Board is entitled to reduce the rewards fully or
partly if the Group’s operating result development, or equity ratio falls below
levels defined by the Board. Furthermore, the Board is entitled to determine
the maximum amount of the bonuses to be paid for Metsä Group’s one or more
incentive schemes. If the amount set for the payable bonuses is exceeded, the
bonuses can be reduced for part exceeding the maximum amount. 

The performance period is followed by an approximate two-year restriction
period during which the participant is not allowed to transfer or sell the
shares. The potential reward from the performance period 2017—2019 will be paid
in the spring of 2020 in Metsä Board Corporation’s B series shares. 

During the performance period 2017—2019, the target group of the plan consists
of 85 participants, including the members of the Executive Management Team. The
rewards to be paid on the basis of the plan for the performance period
2017—2019 will in aggregate amount to a total of 1,400,000 Metsä Board
Corporation’s B series shares. In addition, a cash proportion is included in
the reward to cover taxes and tax-related costs arising from the reward. 


METSÄLIITTO COOPERATIVE



For further information, please contact:
Martti Asunta, Chairman of the Board of Directors, tel. +358 40 829 9393



www.metsagroup.com



Metsä Group is a forerunner in bioeconomy utilising renewable wood from
sustainably managed northern forests. Metsä Group focuses on wood supply and
forest services, wood products, pulp, fresh forest fibre paperboards and tissue
and cooking papers. 

Metsä Group’s sales totalled EUR 5.0 billion in 2015, and it employs
approximately 9,600 people. The Group operates in some 30 countries.
Metsäliitto Cooperative is the parent company of Metsä Group and is owned by
approximately 116,000 Finnish forest owners. 

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