AFA Forest Products Inc. Purchases Lighthouse Lumber Wholesalers Ltd.

Bolton, Ontario, August 7, 2007:

Al Jack, President of AFA Forest Products Inc., with its Head Office in Bolton, Ontario and Jean Laflamme (Lighthouse Lumber’s founder), along with Michel Laflamme and Jaqueline Coffen, of Lighthouse Lumber Wholesalers Ltd, with its Head Office in Halifax, NS announced today the purchase of Lighthouse Lumber Wholesalers Ltd. By AFA Forest Products Inc. The purchase of Lighthouse Lumber completes AFA’s goal of becoming a National Distributor with branches from Vancouver, BC to St. Johns Nfld and is consistent with its growth strategy. Lighthouse Lumber currently has branches in Moncton, Halifax and St. Johns. It is AFA’s intention to continue to maintain these branches in these centers and will expand on its commodity and allied products.

As part of today’s announcement, Al Jack informs the industry that 20 year industry veteran John Morrissey has been asked to head the newly acquired Division in the role as General Manager. John Morrissey is well known to the Canadian building supply industry most recently holding the position of Vice President, TIM-BR MARTS Ltd where he was responsible for Atlantic Canada regionally, as well as Director of LBM Purchasing nationally. Jean Laflamme has agreed to stay on indefinitely in a senior advisory role.

Commented Al Jack, “I believe that Lighthouse is the perfect fit for AFA. It completes our picture nationally and opens up an incredible amount of possibilities. I am very pleased to have Morrissey and Laflamme on board and I couldn’t be more excited about our future.”

In business since 1974, AFA Forest Products Inc. is a 100% Canadian, privately owned, independent Distributor. Now, with 13 branches in major centers across Canada and the USA, AFA will continue to distribute a diverse variety of Commodity as well as Allied products primarily servicing Building Supply Retailers.