UPM annual report 2015

IN BRIEF

STRATEGY

BUSINESSES

STAKEHOLDERS

GOVERNANCE

ACCOUNTS

Information on shares

12 Provisions

As at 31 Dec. 2015 2014

EURm

As at 31 Dec. 2015 2014

Main items included in accruals and deferred income Personnel expenses

EURm

116 102

Provisions for pensions Restructuring provisions Environmental provisions

13 15 12 20 60

17 17 13 21 68

Interest expenses

36

40 20

Changes in number of shares 1 January 2011 – 31 December 2015

Income taxes

–

Derivative financial instruments

97 160

Other provisions Total at 31 Dec.

Number of shares

Customer rebates

8 3

4 1

Other items At 31 Dec.

2010

Number of shares at 31 Dec. 2010

519,970,088

260 327

Changes of provisions are included in personnel and other operating expenses. Information of provisions is disclosed in the consolidated financial statements, Note 30.

2011

Share issue

5,000,000

Payables to Group companies Trade payables

Options exercised

2,750

51

45

Number of shares at 31 Dec. 2011

524,972,838

Other liabilities

1,418 2,043

Accruals and deferred income

20

35

2012

Options exercised

1,151,572

13 Non-current liabilities

At 31 Dec.

1,489 2,123

Number of shares at 31 Dec. 2012

526,124,410

As at 31 Dec. 2015 2014 991 905 911 1,223 135 202 161 145 2,198 2,475

Payables to participating interest companies Trade payables

2013

Options exercised

3,177,487

EURm Bonds

2 1 3

6 – 6

Number of shares at 31 Dec. 2013

529,301,897

Other liabilities

Loans from financial institutions

At 31 Dec.

2014

Options exercised

4,433,802

Pension loans Other liabilities Total at 31 Dec.

Number of shares at 31 Dec. 2014

533,735,699

15 Contingent liabilities

2015

Number of shares at 31 Dec. 2015

533,735,699

As at 31 Dec. 2015 2014

Maturity of non-current liabilities In 2–5 years Bonds

EURm

570 527 911 1,215 135 202 – 1,617 1,944 1

Mortgages 1) As security against own debts

Loans from financial institutions

220 289

Pension loans Other liabilities

Guarantees Guarantees for loans

Stock exchange trading UPM’s shares are listed on NASDAQ OMX Helsinki Ltd. The compa- ny’s ADSs are traded on the U.S. over-the-counter (OTC) market under a Level 1 sponsored American Depositary Receipt programme. A total of 456.1 million UPM-Kymmene Corporation shares were traded on the Helsinki stock exchange in 2015 (508.3 million). This represented 85.5% (95.2%) of the total number of shares. The highest quotation was EUR 19.26 in April and the lowest EUR 13.19 in Sep- tember. The total value of shares traded in 2015 was EUR 7,469 mil- lion (6,233 million). Treasury shares As at 31 December 2015, the company held 230,737 (230,737) of its own shares, 0.04% (0.04%) of the total number of shares. Of these shares 211,481 were returned upon their issue to UPM without consid- eration as part of Myllykoski transaction and 19,256 shares in accor- dance with the Group's share reward scheme due to the termination of employment contracts.

Shares and options held by the Board of Directors and the Group Executive Team At the end of the year, the members of the Board of Directors including President and CEO owned a total of 882,101 (892,498) UPM- Kymmene Corporation shares, including shares held by persons close- ly associated with him or her or by organisations of which the person has control. These represent 0.16% (0.17%) of the shares and 0.16% (0.17%) of the voting rights. At the end of the year, President and CEO Jussi Pesonen owned 220,275 shares. At the end of the year, the other members of the Group Executive Team owned a total of 288,747 shares.

Later than 5 years Bonds

On behalf of Group companies

159 903

421 378

Other guarantees

Loans from financial institutions

–

8

On behalf of Group companies

53 120

Other liabilities

160 145 581 531

Other commitments 2) Leasing commitments for next year

25 104

Total at 31 Dec.

2,198 2,475

Leasing commitments for subsequent years

147

66

Other commitments

175 111

Bonds

Interest rate Fixed-rate %

Nominal value issued m

As at 31 Dec. 2015 2014 EURm EURm

Total

779 1,593

1) The mortgages given relate mainly to giving mandatory security for borrowing from Finnish pension insurance companies.

1997–2027 2000–2030 2002–2017 2003–2018

7.450 3.550 6.625 5.500

USD 375 344 309

2) Other commitments relate mainly to procurement of commodities.

JPY 10,000

76

69

GBP 250 341 321 USD 250 230 206

Pension commitments of the President and CEO and the members of the Group Executive Team See Notes to the consolidated financial statements, Note 7. Other commitments The commitment to participate in the share issue from Pohjolan Voima Oy would total EUR 25 million (55 million). Derivative contracts Fair values and notional values are disclosed in the consolidated financial statements, Notes 35. All derivatives disclosed have been contracted by the parent Company. Related party transactions See Notes to the consolidated financial statements, Note 38.

Total at 31 Dec. Current portion

991 905

–

–

Non-current portion

991 905

14 Current liabilities

As at 31 Dec. 2015 2014

EURm

Loans from financial institutions

13 68

16 68

Pension loans

Advances received

1

1

Trade payables Other liabilities

353 331 1,474 2,080 260 327 2,169 2,823

Accruals and deferred income

Total at 31 Dec.

contents

accounts

135

136

UPM Annual Report 2015

UPM Annual Report 2015