British Columbia Approves Change-in-Control to Weyerhaeuser for Forest Tenures.

FEDERAL WAY, Wash.--(BUSINESS WIRE)--Oct. 5, 1999--

Weyerhaeuser Company and MacMillan Bloedel Limited (MB) announced that British Columbia's Minister of Forests, Hon. David Zirnhelt, has offered approval in principle to the change of control of forest tenures and permits to Weyerhaeuser Company from MacMillan Bloedel.

The license areas include more than 800,000 hectares of public forest land (more than 2 million acres) located in B.C.'s coastal region, with an annual harvest volume of 5.6 million cubic meters (196.5 million cubic feet). The approval process included public hearings in nine communities.

On change of control to Weyerhaeuser, five per cent of the allowable annual cut of the Crown timber portion of MacMillan Bloedel's timber agreements automatically reverts to the Crown. After closing the transaction, Weyerhaeuser intends to apply for reinstatement of the five per cent by submitting a job creation plan for the minister's review and consideration.

This approval joins regulatory consent in other Canadian jurisdictions, moving Weyerhaeuser significantly closer to finalizing its acquisition of MB. Similar approval has been granted for forest and facility licenses in Ontario. The Canadian Competition Bureau has issued a no-action letter, and the Canadian Ministry for International Trade has consented to a change in control for softwood lumber quotas.

The acquisition is subject to regulatory approval by Investment Canada, a favorable vote by MacMillan Bloedel shareholders, final court approval in Canada, and other customary closing conditions.

Weyerhaeuser Company (NYSE:WY), one of the world's largest integrated forest products companies, was incorporated in 1900. In 1998, sales were $10.8 billion. It has offices or operations in 12 countries with customers worldwide. Weyerhaeuser is principally engaged in the growing and harvesting of timber; the manufacture, distribution and sale of forest products; and real estate construction, development and related activities. Additional information about Weyerhaeuser's businesses, products or practices is available at www.weyerhaeuser.com.

MacMillan Bloedel (TSE:MB)(Nasdaq:MMBL) is one of Canada's largest forest products companies with integrated operations in Canada, the United States, and Mexico. The products of MacMillan Bloedel and its affiliate companies are marketed throughout the world and include lumber, panelboard, engineered lumber, containerboard and corrugated containers. Additional information about MacMillan Bloedel is available at www.mbltd.com.

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