Euro-Graph Publishes October 2021 Statistics of the European Graphic Papers Industry

Q3 highlights *Sales increased by 36% to EUR 3,420 million (2,523 million in Q3 2021) *Comparable EBIT grew by 84% to EUR 779 million, 22.8% of sales (424 million, 16.8%) *Operating cash flow was EUR -201 million (318 million), impacted by cash flow from energy hedges. Other operating cash flows were largely as expected *The rise in energy futures prices continued, causing short-term cash outflow impact from energy hedges. Respectively, it indicates the strong earnings potential of UPM Energy *Sales prices increased in all business areas and more than offset the negative impact of higher variable costs *Cash funds and unused committed credit facilities totalled EUR 5.2 billion at the end of Q3 2022. UPM signed EUR 4.3 billion of credit facilities during Q3 *In August, EcoVadis recognised UPM on Platinum level based on the company’s sustainability performance *In September, UPM Raflatac completed the acquisition of AMC AG *In October, the new deep sea pulp terminal in the port of Montevideo in Uruguay was inaugurated

The Nova Scotia Innovation Hub (NSIH) is announcing the launch of a new initiative aimed at promoting Nova Scotia’s extensive bioeconomy infrastructure to audiences around the world. The Bioeconomy Sites Project showcases industrial sites across the province to national and international firms in the low-carbon renewable resource sector. “Nova Scotia’s vibrant renewable resource sectors make it an excellent location for biotechnology and bioresource firms,” says Geoffrey Clarke, Director of Business Development for Port Hawkesbury Paper, one of the locations profiled on the site. “This exciting new medium will showcase Nova Scotia to international investors and encourage innovation and collaboration within the province.”

Label and Graphic Materials: Reported sales increased 18% to $1.3 billion. Compared to prior year, sales were up 15% ex. currency (12% vs. 2019) and 14% on an organic basis (11% vs. 2019). Label and Packaging Materials sales were up approximately 15% from prior year on an organic basis, with strong growth in both the high value product categories and the base business. Sales increased by approximately 11% organically in the combined Graphics and Reflective Solutions businesses. Reported operating margin decreased 140 basis points to 13.7%. Retail Branding and Information Solutions: Reported sales increased 25% to $531 million. Compared to prior year, sales were up 22% ex. currency (29% vs. 2019) and 14% on an organic basis (9% vs. 2019), reflecting strong growth in both the high value product categories and the base business. Intelligent Labels was up approximately 15% organically (40% vs. 2019). Reported operating margin was flat to prior year at 11.0%. The Vestcom acquisition closed on August 31, 2021. Industrial and Healthcare Materials: Reported sales increased 24% to $195 million. Compared to prior year, sales were up 20% ex. currency (11% vs. 2019) and 15% on an organic basis (6% vs. 2019). Reported operating margin increased 170 basis points to 9.6%.