Stella-Jones Inc. (TSX:SJ) ("Stella-Jones" or the "Company") today announced
that it has signed a definitive agreement to acquire the shares of McFarland
Cascade Holdings, Inc. ("McFarland"), a provider of treated wood products based
in the state of Washington. Stella-Jones announced on November 2, 2012 that it
had signed a non-binding letter of intent to acquire McFarland. The definitive
agreement provides for a purchase price of approximately US$250.0 million, up
from the US$230.0 million previously disclosed, as a result of an increase of
approximately US$14.0 million in delivered working capital and other applicable
purchase price adjustments. Closing of the acquisition is expected to occur on
or about November 30, 2012 and is subject to customary closing conditions.


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.


ABOUT MCFARLAND CASCADE

Founded in 1916, McFarland is one of North America's long-standing suppliers of
utility poles, as well as crossarms, piling and crane mats. It is also a
provider of treated lumber for outdoor home projects, including composite
decking, railings and related accessories. It serves its customer base through
four wood treating facilities located in Tacoma, Washington; Eugene, Oregon;
Electric Mills, Mississippi; and Galloway, British Columbia; as well as through
an extensive distribution network. McFarland's sales for its fiscal year ended
December 31, 2011 were approximately US$255.0 million. Sales for its fiscal year
ended December 31, 2012 are expected to reach approximately US$280.0 million and
earnings before interest, taxes, depreciation and amortization ("EBITDA") for
2012 are expected to be approximately US$29.0 million.


Except for historical information provided herein, this press release contains
information and statements of a forward-looking nature concerning the
acquisition of McFarland. Forward looking information also includes information
relating to McFarland's sales and EBITDA for its fiscal year ended December 31,
2012. These statements are based on suppositions, uncertainties and other
factors as well as on management's best possible evaluation of future events.
Such factors may include, without excluding other considerations, satisfaction
of closing conditions, failure to complete or delay in completing the
acquisition of McFarland for any other reason, fluctuations in quarterly
results, evolution in customer demand, the impact of price pressures exerted by
competitors, and general market trends or economic changes. 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: 
Eric Vachon, CPA, CA
Senior Vice-President and Chief Financial Officer
(514) 940-3903
evachon@stella-jones.com


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