Weyerhaeuser Investor Relations

Weyerhaeuser to Permanently Close Drayton Valley, AB, OSB Mill

Jul 8, 2008

FEDERAL WAY, Wash., July 8, 2008 Weyerhaeuser Company (NYSE: WY) announced today that it will permanently close its idled Structurwood® mill in Drayton Valley, AB.

The oriented strand board mill has not been in operation since December 2007.

“Factors that led to the original decision to idle the Drayton Valley Structurwood® mill – the decline in the U.S. housing market and the high Canadian dollar – have not changed since that decision,” said Phil Dennett, vice president, Strand Technologies for Weyerhaeuser.

When operations were indefinitely curtailed in December 2007, there were about 130 people employed at the mill. A number of people moved to other Weyerhaeuser operations, including many to the softwood lumber sawmill on the same site. Others received severance.

Weyerhaeuser’s dimensional softwood lumber sawmill in Drayton Valley continues to operate.

“Weyerhaeuser is working with the Government of Alberta to find ways to enhance the viability of our remaining mills in the region, both the sawmill in Drayton Valley and the Structurwood® mill in Edson,” said Dennett. “We are hopeful those discussions will result in long-term fibre security not only for those facilities but for other forest-related opportunities in the region.”

Dennett also said Weyerhaeuser is committed to working with the Town of Drayton Valley to as it explores ways to broaden the community’s economic base.

Weyerhaeuser Company (NYSE: WY), one of the world's largest forest products companies, was incorporated in 1900. In 2007, sales were $17.5 billion ($16.3 billion US). It has offices or operations in 13 countries, with customers worldwide. Weyerhaeuser is principally engaged in the growing and harvesting of timber; the manufacture, distribution and sale of forest products; and real estate construction, development and related activities. Weyerhaeuser Company Limited, a wholly owned subsidiary, has Exchangeable Shares listed on the Toronto Stock Exchange under the symbol WYL. Additional information about Weyerhaeuser's businesses, products and practices is available at http://www.weyerhaeuser.com.

More Information: Contact Us


https://investor.weyerhaeuser.com/2008-07-08-Weyerhaeuser-to-Permanently-Close-Drayton-Valley-AB-OSB-Mill