UPM to sell its hydro power facilities in Schongau and Ettringen to erdgas schwaben

Investor news 22.3.2017 8:30 EET

(UPM, Helsinki, 22 March 2017 at 08:30 EET) - UPM has signed an agreement on the sale of its hydro power facilities in Schongau and Ettringen, Germany to erdgas schwaben gmbh, a regional energy company, located in Augsburg.

The sale and purchase agreement is still subject to third party approvals. The parties have agreed not to disclose the purchase price. The transaction does not have an effect on the employees working at UPM Schongau and UPM Ettringen mills.

"erdgas schwaben is a deep-rooted energy company in Bavarian Swabia as well as a pioneer in power generation from renewable energy sources. As an integral part of an energy company the hydro power facilities could be better developed and optimized," says Rainer Häring, Director Energy, Western Europe, UPM Paper ENA.

For further information please contact:
Rainer Häring, Director Energy, Western Europe, UPM Paper ENA, tel. +49 173 9001470
Klaus-Peter Dietmayer, Managing Director, erdgas schwaben gmbh, tel. +49 821 9002 100

For local information, please contact:
Wolfgang Ohnesorg, General Manager, UPM Schongau/Ettringen, tel. +49 8861 213 122

UPM, Media Relations
Mon-Fri 9:00-16:00 EET
tel. +358 40 588 3284
media@upm.com

About erdgas schwaben
The erdgas schwaben gmbh is a major energy supplier and producer of biogas energy in the region of Bavarian Swabia, Germany. In addition the company offers distribution and power generation made from renewable energy sources. Since 2002 private persons can be part of a local climate change package following the Kyoto protocol. erdgas schwaben employs around 318 people and the headquarter of the company is located in Augsburg, Germany.

About UPM Paper ENA
UPM Paper ENA (Europe and North America) is the world's leading producer of graphic papers, offering an extensive product range for advertising and publishing as well as home and office uses. The high performing papers and service concepts of UPM add value to our customers' businesses, while activity fulfilling demanding environmental and social responsibility criteria. With headquarters in Germany, UPM Paper ENA employs approximately 8,000 people. More about UPM Paper ENA and its products at www.upmpaper.com

UPM
Through the renewing of the bio and forest industries, UPM is building a sustainable future across six business areas: UPM Biorefining, UPM Energy, UPM Raflatac, UPM Specialty Papers, UPM Paper ENA and UPM Plywood. Our products are made of renewable raw materials and are recyclable. We serve our customers worldwide. The group employs around 19,300 people and its annual sales are approximately EUR 10 billion. UPM shares are listed on NASDAQ OMX Helsinki. UPM - The Biofore Company - www.upm.com

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