NEENAH, Wis., Feb. 7 /PRNewswire/ — ABT Building Products Corporation (NASDAQ-NMS: ABTC) announced the signing of a definitive Asset Purchase Agreement with Canadian Pacific Forest Product Limited (Toronto, Montreal: PFP) for the purchase of their Canexel Division for approximately $14.0 million. Canexel manufactures and sells prefinished siding, hardboard paneling and door skins. Canexel has its manufacturing facility in Nova Scotia, Canada, and had net sales of approximately $31 million with an operating income of $2.0 million for the year ended December 31, 1993. The Company believes it can improve operating income at Canexel by increasing capacity utilization, reducing costs and selling products through its extensive distribution network in the United States, as well as assist in the sale of ABTco’s products in Canada and Europe.

The Company previously announced revenues for the year ended December 31, 1993, were $161.0 million compared with $148.3 million for the same period in 1992, or an increase of 9%. Operating income for the current year more than tripled to $33.2 million from $8.9 million (before special charges) for the year ended December 31, 1992. Net income before extraordinary items for the year ended December 31, 1993, was $17.5 million or 11% of net sales and $1.50 per share.

The Company produces specialty building products manufactured from engineered woods and plastics. Premium products include paneling, mouldings, architectural trim, exterior shutters and siding. The major markets served are home improvement, remodeling and new construction.

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/CONTACT: Michael A. Lupo, executive vice president and CFO of ABT Building Products, 414-751-8611/


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