Myllykoski, Finland, 09 March 2011 -- The Competition Directorate-General of the European Union Commission has completed the first phase of the regulatory investigation into UPM's acquisition of Myllykoski and Rhein Papier. In line with the parties' expectations, the Commission today announced that the investigation will proceed into the second phase.

The filing of the case with the Commission took place slightly later than expected. Therefore, the targeted closing of the transaction has been moved to the third quarter of 2011.

UPM continues to work closely with the Commission to allow the Commission to complete its review as quickly as possible.