Canfor Pulp Products (CFX) Investor presentation summary

Operating platform and strategy

• Operations span Canada, the US and Europe, with 30 sawmills at 5.7 BBF annual capacity, 17 residual and value-added facilities, one specialty paper mill and one pulp mill.

• A diversified North American and European platform is positioned to improve market access, operating flexibility and earnings resilience through the cycle.

• Global supply-chain coordination supports key programs, strategic customer channels and higher-value product mix to strengthen profitability and cash flow resilience.

Lumber diversification and products

• More than 3.4 BBF of capacity acquired through M&A since 2013 at ~C$590/Mfbm; 2027 pro forma capacity reflects announced investments in Sweden and Arkansas.

• Regional capacity mix is shifting from a BC-heavy footprint toward greater US South and European capacity; a smaller BC footprint is intended to support costs and reduce duty exposure.

• Appearance, application and strength-based offerings include J-grade and square-edge boards, long-length SYP, spruce metric sizes, MSR dimension, lamina blanks, SYP glulam and I-joist products.

• Strategic asset repositioning and optimization target lower costs and capital intensity; the diversified operating base is intended to support more resilient earnings and free cash flow.

North American market outlook

• US housing starts totaled 1.367M in 2024 and 1.356M in 2025; the 2026 forecast is 1.320M, with single-family starts forecast at 920K.

• Household formation among 25–34-year-olds, lower new-home cost per sq. ft. versus existing homes and an underbuilt housing market support demand; economic uncertainty and affordability constrain it.

• Repair and remodel demand is supported by aging-in-place needs, homeowner equity and existing homes averaging 500 sq. ft. less than new construction; low home sales and material affordability temper activity.

• Housing affordability remains sensitive to mortgage rates; the presentation compares households able to afford a median-priced home across 30-year mortgage rates from 3% to 8%.