<B>Cascades Sees Earnings Increase</B>

Cascades Inc. increased its net earnings by 29% for the net earnings amounted to $75 million, compared to $58 million in 1999. Sustained by a strong demand for its products, Cascades achieved its goal of $3 billion in gross sales. Earnings before interest, taxes, depreciation and amortization amounted to $339 million for the year, compared to $309 million a year earlier.

For the three-month period ended December 31 net earnings were $14 million, compared to $18 million for the corresponding period in 1999. Net sales increased from $667 million to $713 million during that period representing a 7% increase.

Excluding unusual items, net earnings for the fourth quarter of 2000 were $20 million, compared with $15 million in the prior year. During the last quarter, Cascades realized an unusual loss, before income taxes and non-controlling interests, of $9 million resulting from the write-off of an investment related to a balance of selling price receivable on assets sold in 1993 in the boxboard sector and by the closing of an operating unit in the specialized products group.