UPM Annual Report 2023

ACCOUNTS FOR 2023

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

2023 Provisions at 1 January

2023 Loans from financial institutions

3

2

8 1

286

299

—

—

15

15

Provisions made during the year Provisions utilised during the year

— — —

— —

—

1

Trade payables

104

6

341

451

— —

-129

-130

Accrued expenses and deferred income 1)

1

— —

88

88

Unused provisions reversed

-1

-2

-3

Other current liabilities

3,549 3,654

201 645

3,750 4,305

Carrying value, at 31 December

2

1

9

155

167

Carrying value, at 31 December

6

2022 Advances received

2022 Provisions at 1 January

—

—

1

1

3

3

9 2

137 149

152 151

Trade payables

137

3

454 103 573

594 104

Provisions made during the year Provisions utilised during the year

— — —

— — —

Accrued expenses and deferred income 1)

1

— —

—

-1

-1 -3

Other current liabilities

4,196 4,334

4,769 5,467

Unused provisions reversed

-2

—

Carrying value, at 31 December

3

1,130

Carrying value, at 31 December

3

2

8

286

299

1) Other provisions are attributable to onerous contracts and negative fair values of financial derivatives. At the end of 2023 the negative fair value in other provisions of EUR 8 million (8 million) is attributable to one group internal cross currency swap and EUR 0.3 million (10 million) to group internal foreign currency forwards.

1) Accrued expenses and deferred income

EURm

2023

2022

Personnel expenses Interest expenses

73 15

84 17

13. Non-current liabilities

Maturity in 2029 (in 2028) or later

Other items

1

3

EURm Bonds

2023 2022

Carrying value, at 31 December

EURm Bonds

2023 2022

88

104

2,089

2,102 1,578

1,000

1,750

15. Commitments

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

185 285 134

Loans from financial institutions Other non-current liabilities

62

92

160 149

134

149

Total

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

1,196

1,992

EURm

2023

2022

2,693

3,988

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

25

28

Bonds

24

18 89 51

115

CARRYING VALUE

CARRYING VALUE

Other commitments

47

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

NOMINAL VALUE ISSUED, MILLION

Total

212

187

2023 EURm

2022 EURm

INTEREST RATE, % CURRENCY

FIXED RATE PERIOD

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

339 750 500 500

352 750 500 500

7.450 0.125 0.500 2.250

USD EUR EUR EUR

375 750 500 500

16. Shares and holdings owned by parent company

Carrying value, at 31 December

2,089 2,089

2,102 2,102

Myllykoski Oyj SUBSIDIARIES

COUNTRY OF INCORPORATION HOLDING %

Non-current portion

FI FI FI FI

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

232

233

UPM ANNUAL REPORT 2023

UPM ANNUAL REPORT 2023

UPM FINANCIAL REPORT 2023

232

UPM FINANCIAL REPORT 2023

233