UPM Annual Report 2022

BEYOND FOSSILS

UPM

BUSINESSES

RESPONSIBILITY

GOVERNANCE

ACCOUNTS FOR 2022

2022 HIGHLIGHTS

LEADER IN RESPONSIBILITY

Our consistent responsibility efforts have received recognition from several third parties.

JUNE UPM Plywood starts using the lignin-based WISA ® BioBond bonding technology in all of UPM’s WISA spruce plywood products 9 UPM announces to sell its Austrian Steyrermühl site to the HEINZEL GROUP, the transaction and end of newsprint production are planned for the end of 2023 21 UPM BioMotion™ Renewable Functional Fillers (RFF) are presented at the world’s largest International Rubber Conference DKT in Nuremberg

JANUARY The Paperworkers’ Union begins a strike in several UPM businesses in Finland 1

UPM sets the target to double the amount of deadwood in its forests to increase biodiversity. The new target is part of UPM Forest Action. 27 UPM Specialty Papers introduces heat-sealable and recyclable barrier papers designed to package dry and frozen foods 14

Dow Jones Sustainability Index : The only forest and paper company in the Dow Jones European and World Sustainability Indices (DJSI) for 2022–2023. MSCI ESG ratings : An AAA rating in the assessment. MSCI ESG Research provides ESG ratings on global public companies, according to their exposure to industry-specific ESG risks and ability to manage those risks relative to peers. CDP Programme : One of the only 12 Triple A list companies globally for our significant actions to mitigate climate change, prevent deforestation and enhance water security. S&P Global's Sustainability Yearbook : Gold Class distinction in The Sustainability Yearbook 2022 by S&P Global as one of the top-scoring companies in our industry. EcoVadis : The highest possible Platinum level for our sustainability performance for which only 1% of over 90,000 companies assessed globally attain. Bloomberg Gender-Equality Index (GEI) : UPM is among the 484 public companies globally and one of the three Finnish companies in this index. The GEI lists the companies most committed to transparency in gender reporting and advancing women’s equality.

MARCH UPM launches a new global forest responsibility programme, Forest Action, which will run until 2030 1 UPM ceases deliveries to Russia and suspends the purchasing of wood from Russia as well as the UPM Chudovo plywood mill operations 9

27-30

OCTOBER

JULY UPM is renewing its family leave practices in Finland as part of its efforts to promote equality and diversity 28

APRIL UPM and the Paperworkers’ Union agree on first ever business-specific collective labour agreements, ending the strike at UPM businesses in Finland 22

AUGUST UPM Biochemicals and Dongsung Chemical announce a strategic partnership to develop renewable products for footwear materials on the Asian market 18 UPM receives an all-time high EcoVadis score thanks to its renewed social responsibility agenda 18

UPM inaugurates its new pulp terminal in the port of Montevideo, Uruguay 5 UPM announces that President and CEO Jussi Pesonen will retire in 2024 18

MAY UPM Biochemicals and KRAHN Chemie sign an exclusive distribution agreement for UPM BioMotion Renewable Functional Fillers (RFF) 3 UPM issues a green bond of EUR 500 million 16

NOVEMBER UPM inaugurates a combined heat and power (CHP) plant at the UPM Nordland paper mill in Germany 9

SEPTEMBER

DECEMBER UPM is listed in the Dow Jones European and World Sustainability Indices (DJSI) for 2022–2023 as the only company in its industry 12 CDP recognises UPM with a triple ‘A’ score for climate, forests and water security actions 13 UPM completes the construction work of the Paso de los Toros pulp mill in Uruguay 23

UPM Timber and Lassila & Tikanoja start to collaborate to recycle sawn timber wrappings 12

27

UPM Raflatac signs an agreement to acquire the Germany-based AMC AG. The acquisition was completed on 15 September

16

17

UPM ANNUAL REPORT 2022

UPM ANNUAL REPORT 2022