SJ Stella Jones Inc

Stella-Jones Inc. (TSX:SJ) ("Stella-Jones" or the "Company") today announced
that it has signed a definitive agreement to acquire, through its wholly-owned
U.S. subsidiaries, substantially all of the operating assets employed in the
businesses of Arizona Pacific Wood Preserving, Inc., Nevada Wood Preserving,
Inc. and Pacific Wood Preserving of Oregon, Inc. (commonly referred to as The
Pacific Wood Preserving Companiesa) conducted at their wood treating plants in
Oregon, Nevada and Arizona and their wood concentration yard in Texas. These
businesses consist of the manufacture of treated wood utility poles and railway
ties, along with a variety of lumber related products. Sales for the fiscal year
ended October 31, 2012 reached approximately US$52.4 million. The assets of
Pacific Wood Preserving of Bakersfield, Inc. are not being acquired and existing
shareholders will continue to own this operating business.


The definitive agreement provides for a purchase price of approximately US$33.0
million plus the sellers' net working capital at closing (estimated at
approximately US$24.0 million). The transaction is expected to close in November
2013 and is subject to satisfactory completion of environmental due diligence,
assignment of certain governmental authorizations and permits and other
customary closing conditions. Stella-Jones plans to finance the acquisition
through a combination of its existing credit facilities and a vendor note of
US$7.0 million.


"The acquisition of these facilities will further enhance Stella-Jones'
offerings and expand its capability to supply the needs of North America's
railroad and utility pole industries" said Brian McManus, President and Chief
Executive Officer of Stella-Jones.


ABOUT STELLA-JONES 

Stella-Jones Inc. (TSX:SJ) is a leading producer and marketer of pressure
treated wood products. The Company supplies North America's railroad operators
with railway ties, timbers and recycling services; and the continent's
electrical utilities and telecommunications companies with utility poles.
Stella-Jones also provides industrial products and services for construction and
marine applications, as well as residential lumber to retailers and wholesalers
for outdoor applications. The Company's common shares are listed on the Toronto
Stock Exchange. 


Except for historical information provided herein, this press release contains
information and statements of a forward-looking nature concerning the proposed
acquisition described herein. These statements are based on suppositions, risks
and uncertainties as well as on management's best possible evaluation of future
events. Such risks and uncertainties include, without excluding other
considerations, satisfaction of due diligence condition, failure to obtain
consent from the relevant governmental authorities, both as referenced above,
and satisfaction of other closing conditions and failure to complete the
proposed acquisition for any other reason. As a result, readers are advised that
actual results may differ from expected results and should not place undue
reliance on forward-looking information.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Source:
Stella-Jones Inc.


Contacts:
Eric Vachon, CPA, CA
Senior Vice-President and Chief Financial Officer
(514) 940-3903


Martin Goulet, CFA
MaisonBrison Communications
(514) 731-0000
martin@maisonbrison.com

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