DMI Sells High Level Sawmill

News Release
November 1, 1999

Daishowa-Marubeni International Ltd. (DMI) completed the sale of its High Level Lumber Division to Tolko Industries Ltd. on November 1, 1999. DMI President Tony Kawamura is pleased to see the sale proceed to such a strong wood products based company as Tolko. He further states that the sale meets DMI's objective of restructuring to focus on its core business of pulp manufacturing. DMI and Tolko have agreed not to publicly disclose the financial details of the purchase.

Tolko Industries Ltd., a BC-based private company, manufactures and markets specialty forest products to world markets.

DMI is an integrated forest products company first established in Western Canada in 1969 by Daishowa Paper Manufacturing Co. Ltd. and Marubeni Corporation of Japan. DMI has become one of the top pulp producers in North America and a significant supplier of quality lumber to the North American market. DMI employs over 400 people at its pulp mill and sawmill in northwestern Alberta.