UPM Annual Report 2022

ACCOUNTS FOR 2022

UPM

BEYOND FOSSILS

BUSINESSES

RESPONSIBILITY

GOVERNANCE

12. Provisions

14. Current liabilities

PAYABLES TO PARTICIPATING INTEREST COMPANIES PAYABLES TO OTHERS

PAYABLES TO GROUP COMPANIES

OTHER 1)

EURm

RESTRUCTURING TERMINATION ENVIRONMENTAL

TOTAL

EURm

TOTAL

2022 Provisions at 1 January

2022 Advances received

3

3

9 2

137 149

152 151

—

—

1

1

Provisions made during the year Provisions utilised during the year

— — —

— — —

Trade payables

137

3

454 103 573

594 104

—

-1

-1 -3

Accrued expenses and deferred income 1)

1

— —

Unused provisions reversed

-2

—

Other current liabilities

4,196 4,334

4,769 5,467

Carrying value, at 31 December

3

2

8

286

299

Carrying value, at 31 December

3

1,130

2021 Trade payables

2021 Provisions at 1 January

165

1

335

501 110

3

5 1

8 1

172

187

Accrued expenses and deferred income 1)

12

— —

98

Provisions made during the year Provisions utilised during the year

— — —

13

15

Other current liabilities

2,696 2,873

259 692

2,955 3,566

-2 -1

— —

—

-2

Carrying value, at 31 December

1

Unused provisions reversed

-47

-48

Carrying value, at 31 December

3

3

9

137

152

1) Accrued expenses and deferred income

1) Other provisions are attributable to onerous contracts and negative fair values of financial derivatives. At the end of 2022 the negative fair value in other provisions of EUR 8 million (3 million) is attributable to one group internal cross currency swap and EUR 10 million (13 million) to group internal foreign currency forwards.

EURm

2022

2021

Personnel expenses Interest expenses

84 17

80

6

Exchange gains and losses

—

23

13. Non-current liabilities

Maturity in 2028 (in 2027) or later

Other items

3

1

Carrying value, at 31 December

104

110

EURm Bonds

2022 2021

EURm Bonds

2022 2021

15. Commitments

2,102 1,578

1,581

1,750

1,581

Loans from financial institutions Payables to group companies Other non-current liabilities Carrying value, at 31 December

200 153 161

Loans from financial institutions Other non-current liabilities

92

123 161

In addition, the parent company acts as a guarantor on behalf of other companies belonging to the group. Majority of such commitments relate to major investment projects and can end up payable by the parent company in case group companies are unable to manage their obligations. » Refer Note 4.1 Property, plant and equipment for information about major investment projects. Pension commitments of the President and CEO and the

160 149

149

EURm

2022

2021

Total

1,992

1,865

Guarantees Guarantees for loans on behalf of group companies Other guarantees on behalf of group companies Other commitments Leasing commitments, due within 12 months Leasing commitments, due after 12 months

3,988

2,095

—

1

28

36

Bonds

18 89 51

11 39 53

members of the Group Executive Team » Refer Note 3.2 Key management personnel. Related party transactions » Refer Note 8.3 Related party transactions.

CARRYING VALUE

CARRYING VALUE

Other commitments

NOMINAL VALUE ISSUED, MILLION

2022 EURm

2021 EURm

Total

INTEREST RATE, % CURRENCY

187

140

FIXED RATE PERIOD

1997–2027 2020–2028 2021–2031 2022–2029

7.450 0.125 0.500 2.250

USD EUR EUR EUR

375 750 500 500

352 750 500 500

331 750 500

16. Shares and holdings owned by parent company

—

SUBSIDIARIES

COUNTRY OF INCORPORATION HOLDING %

Carrying value, at 31 December

2,102 2,102

1,581 1,581

FI FI FI FI FI

Astronaut RUS Holdings Oy 1)

99.62

Non-current portion

Myllykoski Oyj

100.00 100.00

Repola Investment Oy Suurijärven Huolto Oy

65.44

Unicarta Oy

100.00 100.00 100.00 100.00 100.00 100.00

UPM (Vietnam) Limited

VN CH SG

UPM AG

UPM Asia Pacific Pte. Ltd.

UPM B.V.

NL DE

UPM Biochemicals GmbH

228

229

UPM ANNUAL REPORT 2022

UPM ANNUAL REPORT 2022

UPM FINANCIAL REPORT 2022

228

UPM FINANCIAL REPORT 2022

229