UPM Annual Report 2022

ACCOUNTS FOR 2022

UPM

BEYOND FOSSILS

BUSINESSES

RESPONSIBILITY

GOVERNANCE

Transactions with non-controlling interests In 2022, UPM acquired a holding with a minor non-controlling interest as a part of the acquisition of AMC AG. » Refer Note 8.1 Business acquisitions and disposals. In 2021, UPM made a minor acquisition of an additional 24% holding of its subsidiary Jyväs-Helmi Oy from a non controlling shareholder. Accounting policies UPM consolidates acquired entities at the acquisition date which is when it gains control using the acquisition method. Consideration transferred is determined as the fair value of the assets transferred, the liabilities incurred and equity instruments issued including the fair value of a contingent consideration. Acquisition related transaction costs are expensed as incurred. Identifiable assets acquired and liabilities

and contingent liabilities assumed are measured initially at their fair values at the acquisition date. The group measures any non-controlling interest in the acquiree either at fair value or at the non-controlling interest’s proportionate share of the acquiree’s net assets. The excess of the consideration transferred, the amount of any non controlling interest in the acquiree and the acquisition-date fair value of any previous equity interest in the acquiree over the fair value of the identifiable net assets of the subsidiary acquired is recorded as goodwill. The assets, liabilities, income and expenses of subsidiaries with non controlling interests are consolidated line by line into the UPM consolidated financial statements. The proportion of the profit for the period, as well as the accumulated share of total equity belonging to non-controlling interests are presented separately in the consolidated income statement and consolidated balance sheet.

COUNTRY OF INCORPORATION

HOLDING % 2022

HOLDING % 2021

SUBSIDIARIES

UPM Raflatac (S) Pte Ltd UPM Raflatac (UK) Limited UPM Raflatac Chile SpA UPM Raflatac Co., Ltd UPM Raflatac GmbH 1) UPM Raflatac Iberica S.A. UPM Raflatac NZ Limited UPM Raflatac Oy UPM Raflatac Pty Ltd UPM Raflatac s.r.l. UPM Raflatac SAS UPM Raflatac Sdn. Bhd. UPM Raflatac Inc.

SG GB CL TH DE ES US MX NZ

100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 91.00

100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 — 91.00

UPM Raflatac Mexico S.A. de C.V.

FI

AU AR

FR

8.2 Principal subsidiaries and joint operations

MY ZA

UPM Raflatac South Africa (Pty) Ltd

COUNTRY OF INCORPORATION

HOLDING % 2022

HOLDING % 2021

UPM Raflatac Sp. z o.o.

PL

SUBSIDIARIES

UPM S.A.

UY DE

Blandin Paper Company

US UY UY UY DE UA DE DE DE RU RU DE DE AT UY UY CN VN CH SG JP ID

100.00

100.00

UPM Sales GmbH

Blanvira S.A. Cuecar S.A.

91.00 91.00

91.00 91.00

UPM Sales Oy

FI FI FI

UPM Specialty Papers Oy

Forestal Oriental S.A.

100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 80.00 91.00 91.00

100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

UPM Sähkönsiirto Oy

Gebrüder Lang GmbH Papierfabrik

UPM Trading (Shanghai) Co UPM-Kymmene (Korea) Ltd

CN KO GB

LLC UPM Ukraine

Nordland Papier GmbH

UPM-Kymmene (UK) Ltd

NorService GmbH

UPM-Kymmene Austria GmbH

AT US IN TR EE ES JP

nortrans Speditionsgesellschaft mbH

UPM-Kymmene Inc.

OOO UPM-Kymmene

UPM-Kymmene India Private Limited

OOO UPM-Kymmene Chudovo Print Inform Japan K.K. 1) PT UPM Raflatac Indonesia

UPM-Kymmene Japan K.K.

—

UPM-Kymmene Kagit Urunleri Sanayi ve Ticaret Ltd. Sti.

100.00 100.00

UPM-Kymmene Otepää OÜ

Rhein Papier GmbH

UPM-Kymmene S.A.

SERPRI S.A. Unipersonal 1)

—

UPM-Kymmene Seven Seas Oy

FI

Steyrermühl Sägewerksgesellschaft m.b.H. Nfg KG

100.00

UPM-Kymmene Sp. z o.o.

PL

Tebetur S.A.

91.00 91.00

UPM-Kymmene S.r.l.

IT

Tile Forestal S.A.

Uruwood S.A.

UY MT

93.25

93.09

UPM (China) Co., Ltd UPM (Vietnam) Ltd

100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Werla Insurance Company Ltd

100.00

100.00

1) In 2022, UPM completed the acquisition of AMC AG. After the acquisition, AMC AG's corporate form and legal company name have been changed to UPM Raflatac GmbH. Print Inform Japan K.K. and SERPRI S.A. Unipersonal have also been acquired as a part of the AMC AG acquisition. » Refer Note 8.1 Business acquisitions and disposals.

UPM AG

UPM Asia Pacific Pte. Ltd UPM Biochemicals GmbH

DE DE UY

UPM Biochemicals Sales GmbH

HOLDING % 2022

HOLDING % 2021

COUNTRY OF INCORPORATION

JOINT OPERATIONS

UPM Biofuels S.A.

UPM Communication Papers Oy

FI FI

Oy Alholmens Kraft Ab (Pohjolan Voima Oyj, G series and direct ownership)

FI

50.00 50.00 50.00 54.00 76.00 50.00 71.95

50.00 50.00 50.00 54.00 76.00 50.00 71.95

UPM Energy Oy UPM France S.A.S. UPM Fray Bentos S.A.

EEVG Entsorgungs- und Energieverwertungsgesellschaft m.b.H.

AT

FR

Järvi-Suomen Voima Oy

FI FI FI

UY DE EE

Kaukaan Voima Oy (Pohjolan Voima Oyj, G9 series) Kymin Voima Oy (Pohjolan Voima Oyj, G2 series)

UPM GmbH

UPM OÜ

Madison Paper Industries

US

UPM Plywood Oy UPM Pulp Sales Oy

FI FI

Rauman Biovoima Oy (Pohjolan Voima Oyj, G4 series)

FI

UPM Raflatac (China) Co., Ltd.

CN

214

215

UPM ANNUAL REPORT 2022

UPM ANNUAL REPORT 2022

UPM FINANCIAL REPORT 2022

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UPM FINANCIAL REPORT 2022

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