Vancouver, British Columbia, Canada, 09 June 2006 -- Canfor Corporation (TSX:CFP) announces that, at the extraordinary general meeting of shareholders of the company held today, the shareholders approved a special resolution authorizing the company to complete the spinout of 20% of its pulp business. Completion of the spinout transaction is expected by the end of June 2006.

Canfor is a leading integrated forest products company based in Vancouver, British Columbia. The company is the largest producer of softwood lumber and one of the largest producers of northern softwood kraft pulp in Canada. Canfor also produces kraft paper, plywood, remanufactured lumber products, oriented strand board (OSB), hardboard paneling, and a range of specialized wood products, including baled fiber and fiber mat at 33 facilities located in British Columbia, Alberta, Quebec, Canada, and in the United States in North Carolina and South Carolina.