CANFOR ACCEPTS SLOCAN'S POSITION BEFORE COURT.VANCOUVER, British Columbia--(BUSINESS WIRE)--Jan. 9, 1995-- SLOCAN FOREST PRODUCTS (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). : SFF (Small Form Factor) Refers to a device that is smaller than others in its field. For example, a miniature display on a cellphone is an SFF device because displays can be extremely large on monitors and TVs by comparison. See form factor. ) -- B.C. Minister of Forests Andrew Petter supports Slocan Forest Products Ltd.'s position that the deposit receipt structure proposed by Canfor Corporation would result in a change of control of Slocan without the required prior written consent of the Minister. In proceedings today before the Supreme Court of British Columbia The Supreme Court of British Columbia (SCBC) is the superior trial court for the Canadian province of British Columbia. The SCBC hears civil and criminal law cases as well as appeals from the Provincial Court of British Columbia. , the Minister's counsel advised the Court of the Minister's position. Canfor then undertook to amend its offer and the deposit receipt structure in response to the concerns raised by Slocan and the Minister. While Madam Justice Newbury had earlier indicated that she would be prepared to give her decision on Slocan's petition, she "regretfully re·gret·ful adj. Full of regret; sorrowful or sorry. re·gret  ful·ly adv.re·gret declined" to make an order when she was advised that Canfor would be making amendments to its offer in response to the concerns first raised by Slocan. "We are pleased that the Forests Minister has confirmed the serious flaws in the structure of Canfor's offer," said I.K. (Ike) Barber A barber (from the Latin barba, "beard") is someone whose occupation is to cut any type of hair, give shaves, and trim beards. In previous times, barbers also performed surgery and dentistry. , chairman, president and chief executive officer of Slocan. "These terms exposed our shareholders to an unacceptable level of risk." The Forest Act requires that no change in control of a B.C. forest company take place without the prior consent of the Minister of Forests. A change of control without the Minister's consent could result in cancellation of Slocan's timber tenures or a five percent reduction in Slocan's allowable annual cut in those tenures. The Minister determined that under the terms of the Canfor offer a change of control would occur as soon as Slocan shareholders exchanged their shares for Canfor deposit receipts. However, the terms of the offer do not allow for the Minister's consent prior to the issuance of the deposit receipts. The Minister noted that his position in no way determines whether he would consent or not to Canfor's takeover bid Noun 1. takeover bid - an offer to buy shares in order to take over the company two-tier bid - a takeover bid where the acquirer offers to pay more for the shares needed to gain control than for the remaining shares . The Ontario and British Columbia Securities Commissions The British Columbia Securities Commission (BCSC) is a regulatory agency which administers and enforces securities legislation in the Canadian province of British Columbia. External links
CONTACT: I.K. (Ike) Barber
Chairman, President and
Chief Executive Officer
Slocan Forest Products Ltd.
604/278-7311
or
R.D. (Ron) Price
Senior Vice President Finance
and Chief Financial Officer
Slocan Forest Products Ltd.
604/278-7311
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