INVESTOR PRESENTATION New York City February 26, 2015 - PowerPoint PPT Presentation

INVESTOR PRESENTATION New York City February 26, 2015

Forward-Looking Statements This presentation and comments associated with it contain forward-looking statements including statements relating to U.S. housing recovery, the potential for constrained lumber supply, energy-related opportunities, earnings sensitivity and estimated annual capital expenditures. These statements are subject to the cautionary statement which introduces West Fraser’s 2014 Annual Management’s Discussion & Analysis which can be accessed on the Company website www.westfraser.com. 2

Our Products LUMBER PANELS PULP & PAPER 27 mills 7 mills 5 mills SPF 3.9 Bfbm Plywood: 830 MMsf3/8” NBSK: 570 Mtonnes SYP 2.3 Bfbm MDF: 300 MMsf3/4” BCTMP: 650 Mtonnes Total 6.2 Bfbm LVL: 3.2 MMcf Newsprint: 135 Mtonnes • North America’s largest lumber producer • Largest plywood producer in Canada • Third largest pulp producer in Canada 3

Trend Sales Mix ($) Pulp & Paper 23% Lumber Panels 66% 11% 4

Operations diversified by geography Geographic diversification Lumber Capacity B.C. U.S. 40% 37% Alberta 23% 5

Earnings Growth Drivers - Lumber Demand - North American housing - Chinese construction and industrial applications - Japanese housing Supply - Fibre limitations - Residual offtake - Mill closures - People Efficiency - Capital investment - Business model 6

-10% 10% 15% 20% 25% 30% 35% 40% -5% 0% 5% Returns on Lumber 1991 1992 1993 1994 1995 1996 EBITDA Margin (%) - Lumber 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Average: 16% 2009 2010 2011 2012 2013 2014 7

Canadian Shipments to China 3,500 Equivalent to 300,000 housing starts * 3,000 2,500 2,000 1,500 MMfbm 1,000 500 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 Proj. * Based on consumption of 11.5 Mfbm per U.S. housing start (average mix of single and multi family) 8 Source: Council of Forest Industries, November 2014

Million (M3) 10 20 30 40 50 60 70 80 Canadian Fibre Supply 0 1990 1991 1992 1993 1994 1995 1996 1997 1998 Quebec 1999 Annual Allowable Cut 2000 2001 2002 2003 Ontario 2004 2005 2006 2007 BC Interior 2008 2009 2010 2011 2012 2013 2014 Source: FEA, Q4 2014 Forecast 2015 2016 2017 2018 2019 2020 9

U.S. South Positive Timber Inventory Bfbm Int’l ¼” 30 25 Projected Excess Growth 20 15 10 Growth Drain 5 0 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 10 Source: FEA, Q4 2014

Capital Strategy • Reinvest profits to lower costs, improve efficiency through technology and improved processes • Estimate normalized annual capital spending between $150 and $225 million • Capital spending in 2014 of $410 million; projecting approximately $300 million for 2015 • Growth through opportunistic acquisitions focused on solid wood 11

West Fraser Capital Capital Spending $ Million 450 410 400 358 350 300 250 200 159 150 100 50 0 2012 2013 2014 Maintenance Timber Profit Improvement Energy 12

Why Invest in West Fraser? • Proven ability to generate strong cash flow even in worst markets • Consistent, straightforward business plan • Loyal, long-term employee and management base • Conservative financial management coupled with proven ability to grow strategically • Strong historical shareholder returns 13

Strong Cash Generation ($millions) Total 2014 2013 2012 2011 2010 Cash from Operations 1,595 475 419 195 85 421 Capital Expenditures 1,229 410 358 159 213 89 Acquisitions 238 208 - 30 - - 14

Annualized Shareholder Return (Cdn$) June 2006* – December 31, 2014 17.3% 18% 16% 13.7% 13.6% 14% 12% 10% 7.6% 8% 6.5% 6.1% 6% 4% 2.5% 2% 0.1% 0% West Fraser DAX Dow S&P/TSX FTSE Competitor A Competitor B Competitor C * June 2006 marked the beginning of the steep decline in U.S. housing starts 15 Source: TD Bank

Share Value Traded Cdn$ Million 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 2014 2013 2012 WFT CFP IFP 16

“WFT” – Toronto Stock Exchange www.WestFraser.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 buy any securities of the Company, and shall not constitute an offer, solicitation or sale of the Company’s securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. Securities of the Company may not be offered or sold in the United States absent their prior registration or qualification or an applicable exemption from the applicable registration or qualification requirements. 17