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Friday, 25 February 2000
Aserraderos de Cuéllar, S.A.

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One of the fundamental points of TAFISA's business philosophy has always been no part of the timber is
wasted, and this position has been confirmed once again with the building of a sawmill.

The goal of Aserraderos de Cuéllar, S.A. project is to build a modern sawmill that has the advanced
technology already found in other European and North American sawmills. It will thus be possible to utilize
small-diameter timber to produce sawn wood for the packaging manufacturing sector.

From the operational point of view, 50% of the wood coming into the sawmill will be turned into wood based
products that will be used as raw materials and fuel for the particleboard plant, which is TAFISA's main
activity.

The planned sawmill will utilize small-diameter timber, which has so far been destined for the fibre and
particleboard factory, and give it added value, with obvious social and economic benefits for the central region, where the sawmill will be located.

Aserraderos de Cuéllar, S. A. will handle resinous timber and have a capacity of between 75 000 and 80 000 cubic metres of sawn timber per year.

It is hoped to set up a second line for thick trunks, to produce quality timber, and also to install secondary
manufacturing processes, such as drying, cleaning, laminating and surfacing.

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