UPM-Kymmene Corporation's net capital gains for the fourth quarter of 2001 were about EUR 215 million. The amount includes capital gains on the sale of shares, especially 10 million Nokia shares, of about EUR 270 million and a provision for charges on reorganisation and writedowns of about EUR 55 million. The sale of shares is part of the published plan to finance the acquisition of the German paper producer Haindl.
The total net acquisition cost of Haindl, including net debt is about EUR 2.7 billion, while the estimation at the end of May 2001 was somewhat under EUR 2.9 billion. The decrease is due to the significantly lower than expected tax cost in connection with the sale of two paper mills as well as Haindl's lower than expected net debt.
UPM-Kymmene launches a eurobond issue
The eurobond issue to be launched is maximum EUR 1 billion. It will be used to refinance UPM-Kymmene's existing debt after its acquisition of Haindl.
For more information, please contact:
Mr Olavi Kauppila, Vice President, Investor Relations, tel. +358 204 15 0658
Mr Juha Forsius, Senior Vice President, Treasury, tel. +358 204 15 0129
4 January, 2002