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CanWel Building Materials Group Ltd. ("CanWel" or "the Company") (TSX:CWX)
announced today its first quarter financial results for the three-month period
ended March 31, 2013.


For the three-month period ended March 31, 2013, revenues increased to $162
million compared to $156 million in the same period in 2012. The increase in
revenue relates primarily to improved market conditions for construction
materials in the first quarter of 2013. During the same period, gross margin
also increased to $17 million, or 10.6 percent of revenues, versus $15 million
or 9.9 percent of revenues during the first quarter of 2012. The year-over-year
improvement in gross margin dollars and percentage is mainly due to a change in
CanWel's sales mix and improved shipping efficiencies. As a result, net
earnings(3) in the first quarter of 2013 amounted to $1 million compared to net
loss of $91,000 in 2012.


EBITDA for the three months ended March 31, 2013 increased by 57 percent to $3.7
million compared to $2.3 million in the same quarter of 2012. 


"The first quarter results are a reflection of the strength of CanWel's business
model and earning ability in a period when we experienced favorable market
pricing for our construction materials," noted Amar S. Doman, Chairman and CEO
of the Company. "I am pleased with our ability to demonstrate growth across all
of our key financial metrics on a year-over-year basis. CanWel's overall
performance in the first quarter was encouraging despite the period representing
a seasonally slow period for our key end markets and an overall weaker housing
market than last year's quarter. We continue to maintain a cautiously optimistic
view based on the start we are experiencing so far in 2013." 


Reconciliation of Net Earnings (Loss) to Earnings before Interest, Tax,
Depreciation and Amortization (EBITDA):




                                                       Three months ended   
                                                            March 31        
(in thousands of dollars)                                 2013     2012 (1) 
                                                                            
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Net earnings (loss)                                 $    1,095    $     (91)
                                                                            
Provision for (recovery of) deferred income taxes          405          (32)
Interest expense                                         1,307        1,218 
Depreciation of property, plant and equipment              386          685 
Amortization of intangible assets                          250          250 
Amortization of financing costs                            202          260 
Share-based compensation                                    10           34 
                                                                            
EBITDA                                              $    3,655    $   2,324 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
1.  On January 1, 2013 the Company retrospectively adopted the amendments   
    for IAS 19 - Employee Benefits. The comparative amounts for 2012 have   
    been restated. See "Changes in Accounting Policies" for further         
    discussion.                                                             



About CanWel Building Materials

CanWel Building Materials trades on the Toronto Stock Exchange under the symbol
CWX and is one of Canada's largest national distributors in the building
materials and related products sector, operating distribution centres coast to
coast in all major cities and strategic locations across Canada. CanWel
distributes a wide range of building materials, lumber and renovation products.
Further information can be found in the disclosure documents filed by CanWel
with the securities regulatory authorities, available at www.sedar.com.  


Certain statements in this press release may constitute "forward-looking"
statements. When used in this press release, such statements use words,
including but not limited to, "may", "will", "expect", "believe", "plan",
"intend", "anticipate", "future" and other similar terminology. These
forward-looking statements reflect the current expectations of CanWel's
management regarding future events and operating performance, but involve known
and unknown risks, uncertainties and other factors which may cause the actual
results, performance or achievements of CanWel, including the cash flow from
operations, dividends or EBITDA(3) generated or paid by CanWel, or industry
results, to be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements. Actual
events could differ materially from those projected herein and depend on a
number of factors. These factors include (i) the risk that the integration of
the acquisition of the assets of North American Wood Preservers ("NAWP"),
completed in quarter 2, 2013, Northwest Wood Preservers ("NWP"), completed in
quarter 1, 2012 or Broadleaf Logistics Company ("BLC") completed on February 1,
2010 (collectively the "Acquisition") may result in significant challenges, and
management of CanWel may be unable to accomplish the integration of the
Acquisition smoothly or successfully or without spending significant amounts of
time, money or other resources thereon; any inability of management to
successfully integrate the operations of the combined business, including, but
not limited to, information technology and financial reporting systems, any of
which could have a material adverse effect on the business, financial condition
and results of operations of CanWel; (ii) the risk that revenues, profits and
margins of the Company may not remain consistent with historical levels, (iii)
the risk that competing firms which manufacture or distribute competitive
product lines will aggressively defend or seek market share, or that existing
customers or suppliers of NAWP, NWP or BLC (some of whom are competitors of
CanWel) will cease doing business with the Company, in each case reducing,
eliminating or reversing any potential positive economic impact on CanWel of the
Acquisition; (iv) the risk that any increased sales, margin, profit or
distributable cash resulting from the Acquisition may not be fully realized,
realized at all or may take longer to realize than expected; (v) the risk of
disruption from the integration of the Acquisition making it more difficult to
maintain relationships with customers, employees or suppliers. 

Factors also include, but are not limited to, dependence on market and economic
conditions, sales and margin risk, competition, information system risks,
availability of supply of products, risks associated with the introduction of
new product lines, product design risk, environmental risks, volatility of
commodity prices, inventory risks, customer and vendor risks, acquisition and
integration risks, availability of credit, credit risks, litigation risks and
interest rate risks. A further description of these and other risks which could
cause results to differ materially from those described in these forward-looking
statements can be found in the periodic and other reports filed by CanWel with
Canadian securities commissions and available on SEDAR (http://www.sedar.com).
In addition, a number of material factors or assumptions were utilized or
applied in making the forward-looking statements, and may include, but are not
limited to, assumptions regarding the performance of the Canadian economy, the
relative stability of interest rates, volatility of commodity prices, more
limited availability of access to equity and debt capital markets to fund, at
acceptable costs, the Company's future growth plans, the implementation and
success of the integration of the Acquisition, the ability of the Company to
refinance its debts as they mature, the Canadian housing and building materials
market; the amount of the Company's cash flow from operations; tax laws; and the
extent of the Company's future acquisitions and capital spending requirements or
planning as well as the general level of economic activity, in Canada, and
abroad, discretionary spending, uptake of the Company's NCIB program(4) and
unemployment levels.


These forward-looking statements speak only as of the date of this press
release. CanWel does not undertake, and specifically disclaims, any obligation
to update or revise any forward looking information, whether as a result of new
information, future developments or otherwise, except as required by applicable
law. 


(1) Please refer to our Q1 2013 MD&A and Financial Statements for further
information. Our 2013 filings are reported under International Financial
Reporting Standards ("IFRS").


(2) In the discussion, reference is made to EBITDA, which represents earnings
from continuing operations before interest, provision for income taxes, gain or
loss on sale of fixed assets, depreciation and amortization, goodwill impairment
loss and stock-based compensation. This is not a generally accepted earnings
measure under IFRS and does not have a standardized meaning under IFRS, the
measure as calculated by the Company may not be comparable to similarly-titled
measures reported by other companies. EBITDA is presented as we believe it is a
useful indicator of relative operating performance. EBITDA should not be
considered by an investor as an alternative to net income or cash flows as
determined in accordance with IFRS.


(3) Before accounting for "Other Comprehensive Income"; please refer to our Q1
2013 Financial Statements for further information.


(4) Please also refer to the forward looking statement information in our
November 19, 2012 news release for additional forward looking statement
information and cautions pertaining to the Company's Normal Course Issuer Bid
("NCIB"), which are hereby incorporated by reference, and as may also be
applicable to the Plan or NCIB as the case may be. Although CanWel intends to
purchase common shares and or convertible debentures for cancellation under its
NCIB and / or the Plan, there can be no assurances that any such purchases will
be completed. Please refer to our public disclosure filings for the latest
information on the NCIB.


FOR FURTHER INFORMATION PLEASE CONTACT: 
CanWel Building Materials
Ali Mahdavi
Investor Relations
416-962-3300 or +1(866) 430-6247
ali.mahdavi@canwel.com

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