#Finland #Helsinki #Annual General Meeting #UPM-Kymmene

UPM-Kymmene Corporation's Annual General Meeting Highlights

On March 27, 2025, UPM-Kymmene Corporation convened its Annual General Meeting (AGM) in Helsinki, which revealed crucial decisions affecting the company's financial and strategic frameworks for the year. This meeting adopted the financial statements for the year 2024 and planned dividend distributions aimed at increasing shareholder value.

Financial Decisions and Dividend Distribution

The AGM approved a dividend of EUR 1.50 per share for the financial period of 2024, marking a commitment to return profits to shareholders. The payment intends to occur in two installments: the first installment of EUR 0.75 is slated for April 8, 2025, while the second installment, also EUR 0.75, is expected on November 7, 2025. Shareholders registered by the specific record dates will qualify for these payments, demonstrating UPM-Kymmene's reliability and commitment to shareholder returns.

Governance and Board Composition

Significantly, the number of board members remained at nine, with noteworthy re-elections including Henrik Ehrnrooth, Jari Gustafsson, and Pia-Noora Kauppi. These leaders will serve until the next AGM, ensuring continuity in governance and strategic direction. The AGM also adopted the Remuneration Report highlighting a change in the remuneration structure, specifying pay increases for the Chair and Deputy Chair positions, emphasizing the board's recognition of leadership roles.

Enhancements in Remuneration

New remuneration packages were approved, with the Chair's annual base fee increasing to EUR 240,000 from EUR 231,000, alongside increments for the Deputy Chair. Various committee chairs also received remuneration adjustments reflecting their responsibilities. Other board members will maintain their annual base fee, ensuring that a stable payment structure supports effective governance.

Auditor and Sustainability Reporting Assurer Appointed

The AGM sanctioned Ernst & Young Oy as the company’s auditor for the 2026 financial period, reinforcing confidence in UPM-Kymmene's financial oversight. In an environmentally conscious move, Ernst & Young was also appointed as the sustainability reporting assurer for both 2025 and 2026, under the leadership of Heikki Ilkka. This underscores UPM-Kymmene’s commitment to transparent and responsible management practices.

New Authorizations and Strategic Flexibility

The Board received broad authorizations allowing for the issuance of new shares and the potential repurchase of its own shares, granting strategic leeway to adapt to market conditions. This authorization allows for a maximum of 50 million shares to be repurchased, with terms designed to enhance shareholder value without compromising existing stockholder rights.

In adjusting Article 10 of the Articles of Association, the AGM now permits entirely remote meetings. This flexibility caters to the evolving needs of stakeholders, ensuring all shareholders can exercise their rights effectively, irrespective of the meeting format.

Charitable Contributions Framework

Additionally, the AGM authorized the Board to allocate contributions for charitable purposes up to EUR 1,000,000, emphasizing UPM’s dedication to corporate social responsibility. These contributions will primarily support initiatives around youth, education, and sustainability, aligning the company’s philanthropic efforts with its core values.

Conclusion

The Annual General Meeting of UPM-Kymmene Corporation not only set the foundation for its financial outlook in 2025 but also reinforced its commitment to governance, sustainability, and shareholder engagement. For comprehensive details on the AGM, minutes will be available on the company’s official website, providing transparency and accountability to all stakeholders involved. As UPM-Kymmene navigates through 2025, its focus on innovation, governance, and respect for stakeholders promises a dynamic year ahead for the organization.