Canfor Corporation: Canfor announces closure of Fox Creek Sawmill

VANCOUVER, British Columbia, July 28, 2026 (GLOBE NEWSWIRE) -- Canfor Corporation (TSX: CFP) announced today that it will permanently close its Fox Creek sawmill in Fox Creek, Alberta. The decision reflects the ongoing challenges facing the operation including prolonged weak market conditions, persistent high US softwood lumber duties and tariffs, and fibre supply impacts due to recent wildfires and the conclusion of the mountain pine beetle management strategy.

The Fox Creek sawmill, destroyed by a fire in 2008, was rebuilt in 2011 as a single-shift operation to process the uplift in available timber as part of the Province of Alberta's preventative strategy to reduce the amount of pine beetle susceptible forests.

With support from Alberta's Ministry of Forestry and Parks, the Fox Creek sawmill accessed additional sources of fibre to help sustain the operation and support local economic activity. However, with the end of the pine beetle strategy and with wildfire-damaged timber now largely exhausted, there is insufficient fibre in the region to sustain the operation over the long term. Coupled with prolonged weak markets and punishing duties and tariffs, this facility is no longer viable.

"This is a difficult decision which we know will have a significant impact on our employees, their families, contractors, and the community," said Susan Yurkovich, President and CEO, Canfor. "This decision reflects the challenges facing our operation and does not diminish the dedication and contribution of our Fox Creek team. We are committed to helping those impacted navigate the transition ahead, including seeking opportunities for impacted employees at our other operations."

"Canfor has proudly operated in Alberta for more than 70 years, and we remain committed to pursuing opportunities to strengthen our operations in the province, including our Grande Prairie and Whitecourt sawmills and our value-added manufacturing facilities at Spruceland and the newly acquired PinkWood. Our goal is to ensure these operations can run fully and successfully compete in the global marketplace, while generating jobs and supporting communities across the province."

The closure of Fox Creek sawmill represents a reduction of 120 million board feet of production capacity. Operations at Fox Creek are expected to be concluded by late summer.

Forward-looking statements.

Certain statements in this press release constitute "forward-looking statements" which involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such statements. Words such as "expects", "anticipates", "projects", "intends", "plans", "will", "believes", "seeks", "estimates", "should", "may", "could", and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are based on Management's current expectations and beliefs and actual events or results may differ materially. There are many factors that could cause such actual events or results expressed or implied by such forward-looking statements to differ materially from any future results expressed or implied by such statements. Forward-looking statements are based on current expectations, and Canfor assumes no obligation to update such information to reflect later events or developments, except as required by law.

About Canfor.

Canfor is a global leader in the manufacturing of high-value low-carbon forest products including dimension and specialty lumber, engineered wood products, pulp and paper, wood pellets and green energy. Proudly headquartered in Vancouver, British Columbia, Canfor produces renewable products from sustainably managed forests, at more than 50 facilities across its diversified operating platform in Canada, the United States and Europe. The Company has a 77% stake in Vida AB, Sweden's largest privately owned sawmill company. Canfor shares are traded on the Toronto Stock Exchange under the symbol CFP. For more information visit canfor.com.

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