UPM welcomes cabinet change

UPM welcomes cabinet change

HELSINKI (Reuters): Finnish forest industry group UPM-Kymmene yesterday welcomed the change of power in Indonesia, but said that Soeharto's decision to resign would have little impact on the company's business in Indonesia.

UPM-Kymmene executive vice president Martin Granholm said on Finnish radio that Soeharto's decision to step down on Thursday helped resolve an intolerable situation, but that the business community has little confidence in his successor B.J. Habibie.

He said Habibie had already been tested earlier and the foreign exchange market had reacted negatively to him.

"Habibie is probably a temporary solution and one hopes that someone who everyone trusts will be found."

UPM-Kymmene has a fine paper alliance with Singapore-based Indonesian forestry group Asia Pacific Resources International Holdings.