Sappi Limited (“Sappi”) and UPM-Kymmene Corporation (“UPM”) have today announced the signing of binding (definitive) agreements to form a non-listed, independent 50/50 Joint Venture for graphic paper.

While headline earnings were impacted by an unprecedented “risk-off” global environment and a volatile Rand/US Dollar exchange rate, the group has significantly accelerated its focus on innovative business enhancements to ensure global competitiveness.

Commenting on the results for the period, group CEO Steve Binnie said: “Market conditions remained challenging during the quarter with ongoing macroeconomic pressures, subdued consumer confidence and overcapacity driving pricing declines across all product segments.”