Fraser Papers Sells Holdings in Acadian Timber Income Fund

Toronto, Ontario, Canada, 26 September 2007 --Marketwire-- Fraser Papers Inc. TSX:FPS) announced today that it has sold its entire holdings of 3,613,780 units of Acadian Timber Income Fund (TSX:ADN.UN). Of those, 1,013,780 units were sold to two investment dealers and 2,600,000 units were sold to Brookfield Asset Management Inc. (TSX:BAM)(NYSE:BAM).

The units, which represent a 22% interest in Acadian (on a fully-diluted basis), were sold through the facilities of the Toronto Stock Exchange (TSX) pursuant to a control block distribution under National Instrument 45-102 Resale of Securities ("NI 45-102"). Net proceeds from the sale are approximately CAD 38.3 million and will be used to pay down drawings under the Company's working capital facility.

Fraser Papers is an integrated specialty paper company that produces a broad range of specialty packaging and printing papers. The company has operations in New Brunswick and Quebec in Canada and in Maine and New Hampshire in the United States. Fraser Papers is listed on the Toronto Stock Exchange under the symbol: FPS. For more information, visit the Fraser Papers web site at www.fraserpapers.com.