Western Forest Products Inc. · TSX:WEF
Western Forest Products — Investor Presentation (September 2026)
44 slides from Western Forest Products's investor presentation, September 2026
Slide 1: Investor Presentation September 2026
INVESTOR PRESENTATION September 2026 1
Slide 2: Forward Looking Statements and Non-GAAP Financial Measures
Forward Looking Statements and Non-GAAP Financial Measures All financial references are expressed in C$ unless otherwise noted. This presentation contains statements and estimates that may constitute forward-looking statements under applicable securities laws. Readers are cautioned against placing u
Slide 3: Our sustainable future, built with renewable products
ur sustainable Future, built with renewable \\> products. a OUR VALUES Build a Better World We invest in safety, people, stewardship and community. Be Entrepreneurial We generate human, ecological and customer value. Lead by Example We grow and adapt, operate with integrity, and are accountable for
Slide 4: Accelerating the transition to higher value products
Accelerating the transition to higher value products At Western Forest Products, we are accelerating the expansion of our higher-value product lines, making strategic investment decisions and leveraging a local skilled workforce to make the most of the unique and valuable forest resource we have the
Slide 5: Strategic Considerations
Strategic Considerations Global demand for wood Western has a unique fibre products will continue to grow, advantage: diverse and especially value-added high-quality species products Focusing on higher value Though operationally products over the long $ complex and high-cost term will require target
Slide 6: Our five-year vision to modernize primary manufacturing
Our five-year vision is to modernize our primary manufacturing foundation and accelerate a shift to a higher value product mix Increase kiln Modernize and Expand our Expand through Continue to invest drying capacity to reposition our remanufacturing acquisition and in people to bring ensure that our
Slide 7: Strategic Priorities
Strategic Priorities Accelerating the People and Stewardship Business Transition to Higher Partnerships Excellence Value Products 7
Slide 8: Strategic Priorities
Strategic Priorities Increase kiln drying and planing capacity by employing new technologies and increasing flexibility to respond to shifting market demands Accelerating Modernize and reposition our primary manufacturing facilities to align better with our the Transition long-term fibre supply
Slide 9: Western At A Glance
Western At A Glance A Specialty Wood Products Company 9
Slide 10: Western At A Glance
Western At A Glance Strong $1.12 Billion $93 Million 34% Environmental, Social, & Average Annual Revenue Average Annual EBITDA Of Historical Sales to Governance (“ESG”) Practices Since 2015 Since 2015 International Markets and Policies 785 Million Four 5.6 Million m3 1,600+ Board Feet of Annual Lumb
Slide 11: Business Overview
Business Overview A Leading Global Supplier Of Specialty Wood Products A leading cedar lumber, timbers and Japan square manufacturer in North America Offer a range of appearance, structural and industrial wood products Our products are used in various outdoor living, interior living, exterior
Slide 12: Our Products' End Uses
Our Products’ End Uses Outdoor Exterior Interior Structural Industrial Living Appearance Living Interior Paneling, Lamstock, Packaging & Decking, Timbers, Siding, Trim & Fascia, Timbers, Framing, Interior Mouldings, Crating, Cross Arms, Fencing Products, Soffits, Door & Japanese Housing, Architectur
Slide 13: Operating Footprint
Operating Footprint Strategically Located Manufacturing Locations With Fibre Supply 5.6 Million Canada Cubic Metres In Allowable Coastal B.C. Annual Cut From Our 5 Sawmills Coastal B.C. Timberlands 2 Remanufacturing Facilities Timberlands Seedling Nursery 785 Million Board Feet of Annual Uni
Slide 14: Financial Snapshot
Financial Snapshot History Of Strong Financial Performance And Well Capitalized Balance Sheet Annual Sales by Product(1) 59% $1.12 Billion Specialty Average Annual Revenue 5% Lumber Since 2015(1) Specialty Lumber 17% Commodity Lumber $93 Million Logs Average Annual EBITDA 59% 19% Since 2015(1) By-pr
Slide 15: Company Updates
Company Updates Advancing Our Strategic Priorities 15
Slide 16: Taking Steps To De-Risk the Balance Sheet and Business
Taking Steps To De-Risk the Balance Sheet and Business Consideration Mitigation Strategy Sales from Canadian operations to the US market represented 17% of total lumber shipments(1) (vs. 20% in the same period last year), with initiatives to grow domestic and export mix U.S. Tariffs and Duties I
Slide 17: B.C. Strategic Capital Investments To Support Value-Added Manufacturing
B.C. Strategic Capital Investments To Support Value-Added Manufacturing New continuous dry kiln (“CDK”) at our Saltair facility commissioned in Q1/24 - Approximate annual capacity of 70 million board feet - Strong performance since commissioning, with 99% operating uptime Completion of two new C
Slide 18: Softwood Lumber Duties Update
Softwood Lumber Duties Update U.S. Softwood Lumber Duties Combined Softwood Lumber Duties Rate (All Others Duty Rate %) Current rate of 35.16% 35.16% AR#7 preliminary rate of 25.18% - Final AR#7 rate anticipated in H2/26 25.18% Western’s duties on deposit of US$225 million (C$319 million)(1) 2
Slide 19: Appendix 1: Supplemental Company Overview Materials
Appendix 1: Supplemental Company Overview Materials 19
Slide 20: Margin Strategy / Fibre And Processing Flow Chart
Margin Strategy / Fibre And Processing Flow Chart Standing Timber Log Availability Margin Decision Market Segments Log Markets Domestic Log Markets External Log Sales Export Log Markets Diverse and Unique Species Mix Allowable Annual Hemlock / Cut(1) (AAC) For Logs Balsam ~5.6 million m3 ~33% of Log
Slide 21: Directing Log Volume To The Highest Margin Opportunity
Directing Log Volume To The Highest Margin Opportunity Primary Log End Market Description Target Geographies Logs by Value 28% Historical Average(1) External Western’s sawlogs consumed Log by internal manufacturing 21% Sales Western operations Sawmills Internal log supply supplemented by open ma
Slide 22: Manufacturing And Sales
Manufacturing And Sales Flexible Manufacturing Platform Presents Unique Opportunity To Create Margin Log Manufacturing Marketing Strategy Sales Strategy Supply Strategy Log diameter and margin determines lumber products manufactured Log Cutting Patterns Log Dimension 5 – 11” 11 - 18” 16 - 22” 20 - 3
Slide 23: Specialty Products
Directing Log Volume To The Highest Margin Opportunity Primary Lumber Products Description Target Geographies Lumber by Value Historical Average(1) 76% Consumer-orientated products Specialty Premier softwood for external 24% Cedar applications Global Specialty Products Naturally durable $868 4
Slide 24: Specialty Products Focus
Specialty Products Focus Western Average Lumber Price vs. Commodity Lumber Price(3) Approximately 76% of (C$ per mfbm) Strike $1,800 lumber revenue is Impacted generated from non- $1,400 commodity products $1,000 Typically a significant $600 price premium to $200 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
Slide 25: Seasonality Of The Business
Seasonality Of The Business Harvest Volume(1) Closing Log Inventory(1) (000 m3) (000 m3) Weather (snow pack, 1,059 940 897 heat) and daylight can 809 843 838 832 864 impact harvest volumes and costs Inventory levels can fluctuate through the year, impacting working capital Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q
Slide 26: Historical Financial Snapshot – Annual
Historical Financial Snapshot – Annual Revenue ($ billions) Adjusted EBITDA ($ millions)(2) $1.4 $299 $1.4 Strike Strike $1.2 $1.1 $1.2 Impacted(1) Impacted(1) $1.1 $1.1 $1.0 $1.0 $1.0 $148 $153 $144 $0.9 $117 $119 $0.8 $85 $8 ($2) ($9) ($34) ($26) '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 LTM '15
Slide 27: Historical Financial Snapshot – Last 8 Quarters
Historical Financial Snapshot – Last 8 Quarters Revenue ($ millions) Adjusted EBITDA ($ millions)(2) $289 $14 $273 $263 $242 $233 $240 $202 $202 $4 $1 $0 ($6) ($6) ($12) ($14) Q3/24 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Q2/26 Q3/24 Q4/24 Q1/25 Q2/25 Q3/25 Q4/25 Q1/26 Q2/26 Lumber Shipments (MMfbm)(1)
Slide 28: Historical Cash Flow, Capital Allocation And Debt
Historical Cash Flow, Capital Allocation And Debt Cash Flow from Operations(1) ($ millions) Capex(2) ($ millions) $282 $84 Strike Impacted(3) $128 $134 $118 $62 $56 $55 $99 $80 $44 $44 $37 $41 $20 $18 $32 $33 $31 $11 $17 $19 ($10) ($34) '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 LTM '15 '16 '17 '18
Slide 29: Western Forest Products: Facilities
Western Forest Products: Facilities Sawmills Production 2025 Production Mix Log Diameter Sawmill Location Capacity(1) Focus Yellow 2025 2024 WRC(2) Hemlock Douglas Fir Cedar Ladysmith Ladysmith, BC Small 110 86 89 -- 100% -- -- Cowichan Bay Duncan, BC Medium 140 43 76 81% 13% -- 6% Saltair Ladysmith
Slide 30: Appendix 2: Macroeconomic and Lumber Market Statistics
Appendix 2: Macroeconomic and Lumber Market Statistics 30
Slide 31: Repair And Remodelling Statistics
Repair And Remodelling Statistics U.S. Repair & Remodelling Expenditures Remodelling Market Index (US$ billions – 2017 Dollars) Forecast $294 $291 $284 $287 90 Above 50 $273 $276 $280 $267 $267 means $249 $255 $257 majority of $238 $241 survey $227 70 participants $210 are reporting better activity
Slide 32: Western Red Cedar – Illustrative Price Trends
Western Red Cedar (“WRC”) – Illustrative Price Trends WRC High Value Clears WRC Timbers (C$ per mfbm) (US$ per mfbm) $12,000 $4,000 $10,000 $3,500 $3,000 $8,000 $2,500 $6,000 $2,000 $4,000 $1,500 $2,000 $1,000 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '2
Slide 33: North America Statistics: Supply / Demand
North America Statistics: Supply / Demand North American Housing Starts B.C. Interior Allowable Annual Cut (million) (million cubic metres) Forecast 50% U.S. 1.9 1.8 68 2.0 1.9 decline Canada 1.8 1.6 0.3 1.7 1.6 1.6 1.6 1.7 1.5 0.3 0.3 1.6 1.5 1.5 1.4 1.4 0.2 0.2 0.2 0.3 0.2 0.3 0.3 56 1.3 0.2 0.2 0
Slide 34: North American Statistics: Lumber Prices
North American Statistics: Lumber Prices North American Commodity Lumber Prices Hem-Fir, Coast Commodity Lumber Price (US$ per mfbm) (US$ per mfbm) Forecast $916 $1,800 Average ('26 - '30): $596 $846 Average ('15 - '25): $516 Forecast $1,400 $663 $679 $597 $570 $547 $1,000 $488 $498 $522 $425 $423 $
Slide 35: Japan Statistics
Japan Statistics Japan Housing Starts Douglas Fir Lumber Prices to Japan (000s) (US$ per mfbm) 967 Forecast 965 942 909 905 $2,300 856 860 815 820 792 741 750 750 760 $2,000 $1,700 $1,400 $1,100 $800 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26E '27E '28E '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '
Slide 36: China Log And Lumber Statistics
China Log And Lumber Statistics China Lumber Imports China Commodity Lumber Price (million m3) (US$ per mfbm) $800 40 37 37 37 34 31 $700 29 28 30 27 27 27 24 23 $600 20 $500 (1) 10 $400 0 $300 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 LTM '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26 Jul-31 Russia
Slide 37: Appendix 3: Other Supplemental Materials
Appendix 3: Other Supplemental Materials 37
Slide 38: Environmental Stewardship
Environmental Stewardship 100% of our managed tenures are third Reforest every hectare we harvest party certified Planted over 4 million seedlings in 2025 Manage and harvest the entire forest profile over generations Limit wood waste in our operations; utilize 100% of logs at our mills O
Slide 39: Social Responsibility
Social Responsibility Our goal is a zero-incident workplace Independent audits and inspections Annual safety training for all employees Environmental, Health and Safety Board and contractors committee SupplierLink certification process for Comprehensive Health and Safety contractors Mana
Slide 40: Corporate Governance
Corporate Governance Independent Board Chair Whistleblower hotline Annual director assessments Comprehensive and transparent disclosure Annual say-on-pay voting Extensive shareholder engagement Best Majority voting for director election Diversity and inclusion policy Practices 85.7
Slide 41: Reconciliation With First Nations: Sale of Stillwater Forest Operation
Reconciliation With First Nations: Agreement for the Sale of Western’s Stillwater Forest Operation Qwoqwnes Forestry Holdings Limited Partnership (QFH LP), an entity beneficially owned and controlled by the Tla’amin Nation, has entered into an agreement to acquire a 100% ownership interest in West
Slide 42: Reconciliation With First Nations: Formation of La-kwa sa muqw Forestry Limited Partnership
Reconciliation With First Nations: Formation of La-kwa sa muqw Forestry Limited Partnership Established the La-kwa sa muqw Forestry Limited Partnership (“LFLP”), comprised of certain assets and liabilities of Western’s former Mid Island Forest Operation, including Block 2 of Tree Farm Licence (TFL
Slide 43: Analyst Coverage
Analyst Coverage Analyst & Firm Contact Information Daryl Swetlishoff 604-659-8246 Raymond James daryl.swetlishoff@raymondjames.ca Matthew McKellar 403-476-9042 RBC matthew.mckellar@rbccm.com Ben Isaacson 437-996-8535 Scotiabank ben.isaacson@scotiabank.com Sean Steuart 416-308-3399 TD sean.steuart@t
Slide 44: Investor Relations Contacts
Investor Relations Contacts 604-648-4500 ir@westernforest.com These materials have been prepared by Management of the Company. No regulatory authority has approved or disapproved of the contents of these materials. These materials do not constitute an offer to sell or the solicitation of an offer to
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