UPM WILL START USING PINE FOR MECHANICAL PULPING AT THE KAJAANI MILL, NEW INNOVATIVE METHOD WILL DISPERSE HARFUL PITCH

UPM has developed a new innovative method for using pine for mechanical
pulping. UPM has successfully completed several pilot trials during recent
years at its Kajaani mill in Finland. UPM's partner in the pilot project has
been the German company ITT Wedeco. 

UPM will invest EUR 11 million to build a mill scale application of ozone
treatment at the Kajaani mill. The objective is to diversify the mill's raw
material base as well as to create cost savings without affecting paper quality
and paper machine runnability. 

The amount of pitch has traditionally restricted using pine for mechanical
pulping. In the new method, the harmful pitch will be dispersed by using ozone. 

The use of pine in production will start in Kajaani after the investment is
completed in the early 2008.  The project will be carried out in cooperation
with UPM's R&D Center. The method can also be applied to other UPM paper mills
using mechanical pulp after the mill scale testing period in Kajaani. 

For more information, please contact: 
Mr Pauli Hänninen, UPM, Executive Vice President, Technology, tel. +358 2041
50543 
Mr Kari Pasanen, General Manager, UPM, Kajaani, tel. +358 40 512 0664
(excluding from 14 to 17 hrs EET) 


UPM-Kymmene Corporation

Pirkko Harrela
Executive Vice President, Corporate Communications


DISTRIBUTION
Helsinki Exchanges
Main media
www.upm-kymmene.com