<B>Crown Receives OK to Sell Division</B>

Crown Vantage Inc. and its wholly-owned subsidiary Crown Paper Co., announced that Crown Paper signed a revised Letter of Intent with Crown Acquisition Corp. for the sale to CAC or its designee substantially all of the assets of Crown Paper, amending the terms of an earlier Letter of Intent between Crown Paper and CAC, and that it obtained court approval of the letter of intent and bidding procedures for competing offers. The investors in the assets include the principals of NLK Consultants Inc. and institutional investors. NLK provides a full range of consulting, engineering, marketing, research and strategic analysis services to the pulp and paper industry worldwide.