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1. XXXXJOINTLY OWNED FOREST

   . MetsäPremium Ltd Photos by RiikkaJauhiainen The Project for Expanding and Developing Jointly Owned Forests
2. Contents Jointly owned forests in Finland Administration of a jointly owned forest Operation of a jointly owned forest Partnership in a jointly owned forest XXXX Jointly Owned Forest Address Contact person and telephone number E-mail address Website address MetsäPremium Ltd Photos by RiikkaJauhiainen The Project for Expanding and Developing Jointly Owned Forests
3. 1 Jointly owned forests in Finland A jointly owned forest (JOF) is an area belonging to several real estates jointly. These privately owned land and water areas are managed by the partnership. The shareholders of a JOF are the owners of shareholding real estates. JOF is primarily intended to be used for practicing sustainable forestry for the benefit of shareholders.
4. 1.1 Location of jointly owned forests There are over 275 jointly owned forests in Finland. The total area of JOFs in Finland is approximately 576 000 ha – about 4,5 % of the area of non-industrial private forests. The size of JOFs varies from under 20 ha to 90 000 ha. The largest JOFs are to be found in Northern Finland. Land and water areas of Finnish jointly owned forests in the year 2013. Source: Land Survey of Finland
5. 1.2 History of the Jointly owned forests The oldest jointly owned forests date to 1887. Established only by the officials before 2003 A majority were established through the basic land consolidation and as JOFs for relocated settlements in the period 1930−1960. Since 2003, JOFs have been established through agreements between forest owners. The number of JOFs has doubled ever since.
6. 1.3 The history of XXXX Jointly Owned Forest Date of establishment: xxx Type of JOF: family forest, land consolidation forest, investors JOF, JOF of the relocated karelians, etc. Total area At the point of establishment: xxx ha At present: xxx ha Significant events: xxxx
7. 1.4 Contact information of XXXX Jointly Owned Forest Registered hometown: Location of the forests: Chairman of the administrative board: Agent: Executive director: Website address:
8. 1.5 Development outlooks of JOFs New jointly owned forests are mainly minor family forests. An increasing amount of JOFs have been established by investors. Municipalities and parishes are also increasingly interested in JOF partnership. Forest owners incorporate their real estates into JOFs against a share.
9. 2 Administration of a jointly owned forest Central decrees: Act on Jointly Owned Forests 109/2003 Act on the Formation of Real Estate 554/1995 According to the Act on Jointly Owned Forests, a jointly owned forest has to have: The rules of procedure A forest management plan An administrative boad or an agent chosen by the partnership An annual strategy and budget
10. 2.1 The administration of XXXX Jointly Owned Forest Our jointly owned forest has an administrative board / an agent. In our JOF there are: xxx shareholding real estates, xxx members in the administrative board xx employees
11. 2.2 Figures of the area of our JOF
12. 2.3 The economy of our JOF The turnover of our jointly owned forest is x € per year. The value of our share is x €. Out of our total income, x % are forestry earnings. Other sources of income: x, y, z… We divide a surplus of ca. x € to shareholders each year / every x. year.
13. 2.4 Taxation of JOFs As a body corporate, the partnership is a tax-paying entity. After taxation, the surplus is shared to the shareholders as a tax-free profit. Taxation is slightly lighter than in other private ownership forms. Photo: Microsoft Office
14. 3 Operation of a jointly owned forest Jointly owned forests operate primarily in the field of forestry. The forests can also be used for other purposes, provided that it is economically and otherwise reasonable. Forests are tended and harvested according to a JOF’s own forest management plan. Some of the profit is allocated as surplus; some can be consigned for future demands.
15. 3.1 Theforestry of our JOF
16. 3.2 The income of our JOF
17. 3.3 Our expanding JOF Our jointly owned forest has purchased xxx ha of land within the last five years. New areas totalling xxxx ha have been incorporated against shares. The incorporations have brought xxx new shareholders.
18. 4 Partnership in a jointly owned forest Being a forest owner in a JOF is easy and carefree. The administrative board or the agent is responsible for forest management and timber trade. The model of management is functional and democratic. Forests remain unpartitioned as reasonable units. The “economy of greatness” works in both timber trade and silviculture. The ownership of the property is easily rearranged through the conveyance of shares. A JOF offers hunting, fishing, and other recreational opportunities. It is also an easy and relatively safe investment opportunity.
19. 4.1 Concerning the rights of shareholders There is no other way to be a shareholder than to own a real estate with shares of JFO. The right to a surplus according to the share ratio The right to vote according to the share ratio Some restrictions to the voting rights exist The Act on Jointly Owned Forests secures equal treatment of shareholders. The area of JOF is jointly managed – there is no right for a single shareholder to independent silvicultural activities. Allowed activities according to the rules of procedure Everyman’s right stand in the area of JOFs, too.
20. 4.2 The shares and shareholders of our JOF In our jointly owned forest, there is a total of xxx shareholders. The total amount of shares in our JOF is xxxx Our JOF partnership has / does not have a pre-emption right to the separately sold shares.
21. 4.3 Incorporating woodland into XXXX Jointly Owned Forest A forest owner can dispose land to be incorporated into our JOF in return for shares. A possibility to incorporate either parts of land or complete forest holdings No tax consequences Provided that the agreement does not involve financial transfers Bilateral incorporation agreement Requires determining the value of the to-be-incorporated forest area and the JOF shares Incorporating: inexpensive, no handling fee The new partner immediately becomes an equal member of the JOF. Purchase of property is also negotiable.
22. Thank you for your interest!If you have any inquiries aboutXXXX Jointly Owned Forest,please contact Name Surname(telephone number, e-mail address)