UPM: Forest owners sue

UPM said today that it has received the claims related to Market Court decision on the Finnish roundwood cartel from 1997 to 2004. It was reported last August that forest owners were going to sue UPM (OMX: UPM1V), Stora-Enso (OMX: STERV) and Metsäliitto for the damages. Total capital amount of the claims now received according to UPM is 227.7 million Euros , 54.1 million of which is individually to UPM. Additionally the claimants want compensation on value added tax and interest.

As expected claims come from state owned forest administrator Metsähallitus, individual forest owners plus from municipalities and parishes. UPM revealed the cartel to authorities and thusly avoided a fine from the Market Court. Market Court ruled against the companies in 2009 and slapped a competition infringement fine on Stora Enso and Metsäliitto. UPM says that it considers the claims completely unwarranted and has not booked any provision in its accounts. UPM and Stora Enso are down 2% for the day.