Helsinki, Finland, 16 February 2010 – UPM's pulp and paper mills Kaukas in Lappeenranta and Kymi in Kouvola, Finland, will continue measures to improve efficiency. The target is to improve competitiveness through more flexible and cost-efficient ways to operate. The measures include increasing cooperation between production and maintenance and between other departments. In addition, the use of joint resources between Kaukas and Kymi will be increased.

At both mills, negotiations with employees will start in February. The estimated effect of the planned measures to the number of personnel is around 100 persons at each mill. After the planned restructuring, the number of employees at the Kaukas mill will be about 700 and at the Kymi mill about 600 by the end of 2010.

"The business environment of the pulp and paper industry continues to be challenging. The purpose of the planned restructuring is significant improvement in cost competitiveness and productivity also in the long term. UPM's target is to be the cost leader in the highly competitive paper markets," said Arto Lampinen, senior vice president from Paper Business Group, Manufacturing.