Vancouver, British Columbia, Canada, 14 December 2010 -- Canfor Corporation (TSX:CFP) announced today that, following a review with its board of directors, the company will proceed with a 2011 capital spending plan for its lumber business of CAD 145 million, of which CAD 120 million will be for improvement projects to its sawmilling facilities. The balance will be for maintenance projects. This is part of a three-year strategic plan that calls for total investment in sawmill improvement projects of CAD 300 million.

Canfor is a leading integrated forest products company based in Vancouver, British Columbia, with operations in Alberta, British Columbia, and Quebec in Canada, and in North Carolina, South Carolina, and Washington in the United States. The company produces primarily softwood lumber and also produces 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.