UPM celebrates opening of Asia R&D Center and labelstock factory in Changshu, China

(UPM, Helsinki, April, 3, 2007 at 09.30)  UPM today celebrates the completion
of further investments at the Changshu mill site in Jiangsu, China with the
official opening ceremony of Asia R&D Center and a new labelstock factory. 

UPM Asia R&D Center will be responsible for local fiber raw material research
as well as manufacturing and technical customer service support for UPM's
production units in China and Asia Pacific Region. The Chinese R&D Center will
complement the knowhow of UPM's other R & D Centers in Finland, Germany and the
USA. 

UPM Raflatac labelstock factory serves fast-growing demand for labels to meet
packaging needs in China and the Asia Pacific region by supplying paper and
film label materials for standard and special applications. The UPM Raflatac
facility in Changshu increases UPM's labelstock offering locally and creates
new opportunities to serve markets across Asia. 

"Research and product development as well as high-added value products such as
labelstock are important components in UPM's strategy for growth in the world's
most important markets", said Jussi Pesonen, President and CEO of UPM. 

UPM Changshu site is the location of a 800,000 tpy fine paper mill, R&D Center
and labelstock factory. The site is logistically well located by the Yangtze
River, about 100 kilometres from Shanghai and its 16 million inhabitants. The
nearly 200 hectare mill site has a harbour, a power plant and an effluent
treatment plant. 

For further information please contact:
Mr Heikki Pikkarainen, President, UPM Raflatac, tel. + 358 40 760 5758
Mr Pauli Hänninen, Executive VP, Technology, UPM, tel. +358 40 581 4720

About UPM
UPM is one of the world's leading forest products groups. The Group's sales in
2006 were EUR 10 billion, and it has about 28,000 employees. UPM's main
products include printing papers, converting materials and wood products. The
company has production plants in 15 countries and its main market areas are
Europe and North America. UPM's shares are listed on the Helsinki and New York
stock exchanges. www.upm-kymmene.com 

UPM is a world-leading supplier of self-adhesive label materials for a wide
variety of needs in product and information labelling. In addition, the company
is at the global forefront in the development and high-volume production of HF
and UHF radio frequency identification (RFID) tags and inlays. UPM's Label
Division has around 2,500 employees and sales of EUR 987 million in 2006. The
Label Division has a global service network consisting of 11 factories on five
continents and a broad network of distribution and slitting terminals and sales
offices worldwide. Further information is available at www.upmraflatac.com.