Canfor Announces Asset Impairment Charge

• Press Release
• Source: Canfor Corporation
• On 7:02 pm EST, Thursday February 5, 2009

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 5, 2009) - Canfor Corporation (TSX:CFP - News) today announced that it expects its fourth quarter results to include a pre-tax impairment charge of approximately $100 million ($74 million net of tax) related to its long-lived assets and other assets. The significant majority of the charge relates to the Company's non-core panels business, specifically the PolarBoard and Tackama operations which were indefinitely idled during 2008. The impairment charge also includes a further $10 million write-down in the fair value of its investments in asset-backed commercial paper.

Related Quotes

Symbol	Price	Change
CFP.TO	7.32	+0.06

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This impairment charge is based on current estimates and is subject to change. Canfor's fourth quarter and fiscal 2008 results are expected to be released on February 19, 2009.

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", "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 the Company assumes no obligation to update such information to reflect later events or developments, except as required by law.

Canfor is a leading integrated forest products company based in Vancouver, British Columbia (BC) with interests in BC, Alberta, Quebec, Washington state, and North and South Carolina. The Company is the largest producer of softwood lumber in British Columbia while also producing oriented strand board (OSB), remanufactured lumber products and specialized wood products. Canfor also owns a 50.2% interest in Canfor Pulp Limited Partnership, which is one of the largest producers of northern softwood kraft pulp in Canada and a leading producer of high performance kraft paper. Canfor shares are traded on the Toronto Stock Exchange under the symbol CFP.

Patrick Elliott
Canfor Corporation - Investors
Treasurer
Direct Line: (604) 661-5441
Email: Patrick.Elliott@canfor.com

Dave Lefebvre
Canfor Corporation - Media
Director, Public Affairs & Corporate Communications
Direct Line: (604) 661-5225
Email: Dave.Lefebvre@canfor.com