Exhibit (c)(4)

Private & Confidential

Presentation to the Special Committee of the Board of Directors
Regarding Project Balboa

February 17, 2005

Merrill Lynch Global Markets & Investment Banking Group

Presentation To The Special Committee of the Board of

Directors

Regarding Project Balboa Table of Contents 1. Overview of Proposed Transaction 1

2. Valuation Analysis 4

Overview of Proposed Transaction

Overview of Proposed Transaction
Transaction Summary and Merrill Lynch’s Role

On February 17, 2005, KKR and Balboa proposed to enter into a revised Combination Agreement whereby KKR would purchase all of the shares of Balboa for C$42.25 per share

Represents an improvement over the C$40.20 per share agreed to on December 22, 2004

We understand that KKR has arranged committed financing through a major Canadian bank for its revised offer

Merrill Lynch has been retained by the Special Committee of the Board of Directors of Balboa to provide financial

advisory services in relation to the proposed Transaction

We have been asked to provide a fairness opinion (the “Opinion”)as to whether the increased consideration of

C$42.25 per share is fair from a financial point of view to Balboa shareholders, excluding members of senior

management

The Opinion will be included in a revised Management Proxy Circular which will be mailed to all Balboa

shareholders following the announcement of the revised terms of the Transaction

Overview of Proposed Transaction

Transaction Valuation Summary ($mm, except per share amounts)

Offer Value

C$        US$

Offer Price ⁽¹⁾ $42.25 $34.35

Equity Value (2) $2,374 $1,930

Enterprise Value (1)(3) $3,250 $2,642

Implied % Premium/(Discount) to Pre-Announcement Market Price as of December 21, 2004 ⁽⁴⁾

Pre-Announcement Market Price 21.6% 21.7% 20 Trading-Day Volume Weighted Average Price Pre-Announcement 24.5% 22.8% 60 Trading-Day Volume Weighted Average Price Pre-Announcement 27.4% 28.8% 1-Year Volume Weighted Average Price Pre-Announcement 23.8% 31.6% Management            Consensus Valuation Multiples             Projections ⁽⁵⁾ Estimates ⁽⁶⁾

EV/FY04A EBITDA 9.1x 9.1x EV/FY05E EBITDA 7.9x 8.1x Price/FY04A Earnings ⁽⁷⁾ 14.8x 14.8x Price/FY05E Earnings 12.7x 12.5x ___

(1) Converted at an exchange rate of 1.230 C$/US$ on February 17, 2005.

(2) Based on 56.2 million fully-diluted shares outstanding under treasury stock method at the offer price of C$42.25 (US$34.35).

(3) Based on net debt of C$767.3 million (US$623.8 million) and minority interest of C$108.7 million (US$88.4 million). Net debt includes C$89.8 million (US$73.0 million)

of off-balance sheet securitized receivables.

(4) Pre-announcement market price of C$34.75 (US$28.23) as of December 21, 2004.

(5) Projections based on Company management estimates and approved by the Board of Directors on December 9, 2004. EPS estimates adjusted using treasury stock method at

current share price.

(6) First Call consensus estimates as of February 17, 2005.

(7) Adjusted to add back costs related to the proposed transaction included in Other Expense.

2

Overview of Proposed Transaction
Summary of Key Transaction Terms ⁽¹⁾

Transaction Description: Acquisition of 100% of the shares of Balboa by an acquisition company controlled by

KKR Offer Price: C$42.25 per share in cash Transaction Structure: Acquisition via plan of arrangement under Ontario law

Key Conditions: Approval from the Special Committee and the Board of Directors pursuant to the

Combination Agreement

Minimum 2/3 approval of shares voted at a Balboa shareholder meeting Receipt of Regulatory approvals, including approval by Investment Canada No material adverse change in Balboa prior to closing

Break Fee: C$27.4 million to be paid in certain circumstances including Company entering into

agreement with respect to a Superior Proposal

Other Proposed Deal Terms: Non solicitation by Balboa with fiduciary out to pursue superior proposal

Right to match competing transaction

US$20.0 million hedging cost reimbursement to be paid to KKR if the requisite number

of Balboa shareholders do not approve the transaction

___

(1) All terms are based on the draft Amended and Restated Combination Agreement dated February 17, 2005.

3

Valuation Analysis

Valuation Analysis
Management Case — Summary Financials

Historical and Projected Financials (US$ in Millions, Except per Share Data)

FYE December 31, FYE 2001-2004 Projected FYE December 31, ⁽¹⁾ 2004-2009 2001 2002 2003 2004 CAGR 2005 2006 2007 2008 2009 CAGR

Sales $1,421.6 $1,619.5 $1,777.2 $2,202.8 15.7% $2,446.9 $2,546.9 $2,711.6 $2,905.1 $3,122.7 7.2%

% Growth 10.1% 13.9% 9.7% 23.9% 11.1% 4.1% 6.5% 7.1% 7.5% EBITDA 143.5 210.8 231.8 285.5 25.8% 332.4 359.8 396.6 437.3 488.3 11.3%

% Margin 10.1% 13.0% 13.0% 13.0% 13.6% 14.1% 14.6% 15.1% 15.6% % Growth 30.6% 46.9% 9.9% 23.2% 16.4% 8.2% 10.2% 10.3% 11.7% EBIT 108.1 165.9 183.2 224.5 27.6% 262.0 282.3 312.5 345.9 388.9 11.6%

% Margin 7.6% 10.2% 10.3% 10.2% 10.7% 11.1% 11.5% 11.9% 12.5% % Growth 28.2% 53.6% 10.4% 22.5% 16.7% 7.7% 10.7% 10.7% 12.4% EPS ⁽²⁾ $1.12 $1.61 $1.95 $2.37 28.2% $2.70 $2.89 $3.30 $3.74 $4.34 12.8%

% Growth 32.4% 42.8% 21.2% 21.9% 13.9% 6.8% 14.5% 13.2% 16.0% Cash Flow

Capital Expenditures $30.5 $43.5 $49.5 $55.0 $70.0 $80.0 $90.0 $100.0 $110.0

Depreciation and Amortization 35.4 44.9 48.6 $61.0 $70.5 $77.6 $84.2 $91.5 $99.5

(Inc)/Dec in Working Capital (23.1) (6.3) (14.7) ($19.2) ($13.8) $3.5 ($1.2) ($5.6) ($8.0)

Net Debt $672.4 $489.8 $359.7 $499.9 $434.2 $341.4 $263.5 $161.4 $0.1

___

(1) Projections provided by Company management and approved by the Board of Directors on December 9, 2004.

(2) EPS estimates adjusted using treasury stock method at current share price.

4

Valuation Analysis
Comparison of Financial Projections vs. Street Estimates

(US$ in Millions, Except per Share Data)

Sales            EBITDA            EPS 2005E 2006E 2005E 2006E 2005E 2006E

Management Case without Acquisitions ⁽¹⁾ Amount $2,397 $2,397 $ 324 $ 334 $2.65 $2.77

% Growth ⁽²⁾ 9.0% 0.0% 12.1% 3.2% 14.0% 4.4% % Margin — — 13.5% 13.9% — — Management Case with Acquisitions ⁽¹⁾ Amount $2,447 $2,547 $ 332 $ 360 $2.70 $2.89

% Growth ⁽²⁾ 11.2% 4.1% 15.0% 8.2% 16.3% 6.8% % Margin — — 13.6% 14.1% — — First Call Consensus ⁽³⁾ Amount $2,346 $2,514 $ 326 $ 356 $2.75 $2.97

% Growth ⁽²⁾ 6.6% 7.2% 12.9% 8.9% 18.3% 8.0% % Margin — — 13.9% 14.1% — — ___

(1) Projections provided by Company management and were approved by Board of Directors on December 9, 2004. EPS estimates adjusted using treasury stock method at

current price.

(2) 2005 growth rates based on 2004 actual results.
(3) First Call estimates as of February 17, 2005.

5

Valuation Analysis
Summary Valuation Analysis

In C$  per Share

$60.00

$56.33

$55.00 $50.56 $50.00 $48.01 $46.00 $43.97 Offer $45.00 $41.39 Price $40.59 $42.25 $40.00 $38.49 $38.22 Current Price $38.15 $35.00 $37.21 $37.00 $39.89 $33.24 $33.83 $30.00 $31.89 $31.52 $29.37 $28.72 $25.00 $20.00 Trading            Analyst Price            Discounted            Leveraged Trading Comparables ⁽³⁾ Acquisition Comparables History ⁽¹⁾ Target ⁽²⁾ Cash Flow            Buyout

Management Management

Case ⁽⁶⁾ Case ⁽⁶⁾ Based on            Based on            Based on            Based on            Management 12-Month            LTM ⁽⁴⁾ FY2005E            LTM ⁽⁴⁾ FY2005E            Case ⁽⁶⁾

Discount Rate: Discount Rate:

52-Week EBITDA of: EPS ⁽⁵⁾ of: EBITDA of: EPS ⁽⁵⁾ of:

Price Objective 9.0% – 11.0% 9.0% – 11.0%

US$289.0 mm            US$2.75 US$289.0 mm            US$2.75 IRR 20-25% High / Low

High / Low Multiple: Multiple: Terminal Value: Terminal Value:

Multiple: Multiple: Debt/EBITDA: 7.5x – 8.5x 10.0x – 12.0x 7.0x – 9.0x 11.0x – 13.0x 7.0x – 8.0x 1.5% – 2.5% 6.25x

2009E Perpetuity

Trailing EBITDA Growth Rate

___ All US$ amounts converted at an exchange rate of 1.230 C$/US$ on February 17, 2005. (1) Pre-announcement 52-week intra-day trading range as of December 21, 2004. (2) Based on pre-announcement analyst price targets as of December 21, 2004.

(3) Public trading comparable multiples reflect the historic discount to comparable U.S. companies.

(4) LTM as of December 31, 2004.
(5) EPS estimates obtained from First Call as of February 17, 2005.

(6) Based on Company management estimates approved by the Board of Directors on December 9, 2004, adjusted to take into account 2004 actual results. Discounted to

December 31, 2004.

6

Valuation Analysis
Comparable Companies — Trading Analysis

US$ in Millions, Except per Share Data

Balboa has historically traded at a significant discount to its U.S. peers due in part to size, liquidity, very limited U.S. research coverage

and following, and small size of Canadian building products public universe

Price as of Daily Trading            Market            Enterprise            EV/EBITDA ⁽²⁾ EV/EBIT ⁽²⁾ P/E ⁽²⁾ 5 Yr EPS 2005 P/E/ Net Debt/

U.S. Comparables 2/17/2005 Value — LTM Value            Value ⁽¹⁾ 2004A 2005E 2004A 2005E 2004A 2005E            Growth ⁽²⁾ Growth 2004A EBITDA

6 21 48 64 85 86 95 96 109 110 111 120 American Standard Cos Inc $45.10 $44.3 $10,163 $12,072 10.7x 9.7x 11.9x 10.5x 19.8x 17.0x 14.0% 1.21x 1.7x American Woodmark Corp 41.69 1.3 692 681 7.2 6.1 10.7 8.7 18.2 15.1 16.5% 0.92 (0.1) Black & Decker Corp 82.19 54.7 7,036 7,724 10.1 8.6 12.4 10.4 15.3 13.5 10.0% 1.35 0.9 Elkcorp 39.81 3.8 832 990 10.7 8.3 13.2 10.9 22.0 14.4 16.5% 0.87 1.7 Fortune Brands Inc 83.80 44.9 12,579 14,704 10.5 9.8 13.0 11.7 17.9 16.1 12.0% 1.35 1.3 Jacuzzi Brands Inc 10.19 2.6 792 1,230 8.3 7.4 9.9 9.1 17.6 13.6 NA            NA 3.0 Masco Corp 36.91 67.1 16,922 20,207 9.9 9.3 11.3 10.6 16.0 14.4 14.0% 1.03 1.6 Mohawk Industries Inc 89.46 27.3 6,079 6,970 9.2 8.3 11.0 10.1 16.4 14.6 13.0% 1.12 1.2 Sherwin-Williams Co 44.93 27.5 6,648 7,344 9.7 8.7 11.7 10.6 16.6 14.6 10.0% 1.46 0.9 Stanley Works 46.33 24.8 3,989 4,424 8.8 8.3 10.8 10.1 15.7 14.3 13.0% 1.10 0.9 U.S. Mean 9.5x 8.5x 11.6x 10.3x 17.5x 14.8x 13.2% 1.16x 1.3x U.S. Median 9.8 8.5 11.5 10.4 17.1 14.5 13.0% 1.12 1.2 Canadian Comparables Royal Group Tech Ltd $ 8.47 $3.4 $791 $1,285 5.5x 5.7x 10.1x 10.9x 18.0x 25.4x            NA            NA 2.1x Balboa — As of Feb. 17, 2005 ⁽³⁾ $32.42 $10.0 $1,820 $2,532 8.8x 7.8x 11.2x 10.0x 14.0x 11.8x 15.5% 0.90x 2.2x Balboa — Pre-Announcement ⁽³⁾⁽⁴⁾ $28.23 $5.2 $1,581 $2,299 8.0x 7.1x 10.1x 9.4x 11.5x 10.4x 15.5% 0.74x 2.2x ___

(1) Enterprise Value = Market Value of Equity + Short-term Debt + Long-term Debt + Preferred Equity + Minority Interest + Securitized Receivables — Cash and Marketable

Securities.

(2) Estimates and EPS growth obtained from First Call as of February 17, 2005 and calendarized where necessary. Street research and I/B/E/S used where First Call estimates

are unavailable.

(3) Daily trading value includes TSX and NYSE volume.
(4) Pre-announcement of initial agreement between KKR and Balboa as of December 21, 2004

Valuation Analysis

Balboa Historical Trading Multiple Analysis (2000 — 2005YTD) ⁽¹⁾

Price/1-Yr. Forward Earnings Multiples ⁽²⁾

Balboa U.S. Comparables ⁽³⁾ Premium/(Discount)

5 Years Prior 9.7x 14.4x (32.5%) 25.0x 4 Years Prior 10.3x 15.2x (32.1%) 3 Years Prior 11.4x 15.3x (25.4%) 2 Years Prior 10.8x 14.8x (27.0%) 1 Year Prior 11.0x 15.8x (30.2%) December 21, 2004 11.5x 16.5x (30.1%) 20.0x Dec. 22, 2004 - Announcement date of initial proposed transaction 15.9x ⁽³⁾ 15.0x 11.8x 10.0x 8.8x

5.0x

1/1/2000 6/5/2000 11/8/2000 4/13/2001 9/16/2001 2/19/2002 7/25/2002 12/28/2002 6/2/2003 11/5/2003 4/9/2004 9/12/2004 2/17/2005

Balboa P/E 1-Yr. ForwardBalboa EV/LTM EBITDA            U.S. Comparables P/E 1-Yr. Forward (3) ___ Source: Factset            and Company disclosure where available.

(1) As of February 17, 2005. Trailing EV/EBITDA multiples constructed based on quarterly reported results. Trailing EBITDA between October 1, 2001 and September

30, 2002 adjusted for acquisition of Masonite Corp.

(2) Data shown pre-announcement of proposed transaction as of December 21, 2004.

(3) U.S. Comparables include American Standard, American Woodmark, Black & Decker, ElkCorp., Fortune Brands, Jacuzzi Brands, Masco Corp., Mohawk Industries,

Sherwin-Williams and Stanley Works. Price to 1 year forward earnings composite weighted by market value of equity.

Comparables Analysis
Comparable Transactions — Selected Building Products Sector

Transaction Value as a Multiple of

Transaction Value Date Announced            Target            Acquiror (US$millions) LTM EBITDA            Forward P/E 2004 Dec-04 Associated Materials            Investcorp $945.0 7.6x            NA

Nov-04 Goodman Global            Apollo Advisors $1,430.0 8.6x            NA Sep-04 Tapco            Headwaters $715.0 8.7x            NA Aug-04 Atlas Copco Tools            Techtronic Industries $713.0 NA            NA Aug-04 Professional Paint            Consorcio Comex $400.0 ⁽¹⁾ 8.3x            NA Jul-04 MW Manufacturers            Ply-Gem $320.0 7.4x            NA Jul-04 Pentair Tools            Black & Decker $775.0 7.5x            NA Jul-04 Nortek (From Kelso) Thomas H Lee Partners $1,750.0 7.4x            NA Mar-04 MAAX            J.W. Childs $424.0 7.1x 11.8x Feb-04 Hillman Companies            Code Hennessy & Simmons $510.0 8.3x            NA 2003 Dec-03 Gower            Nobia            SEK 890.0 NA            NA Dec-03 Atrium            Kenner/UBS Capital/ML PE $700.0 7.3x            NA Dec-03 Stanley Works (doors) Balboa $160.0 7.6x            NA Dec-03 Nortek/Ply-Gem            Caxton-Iseman $570.0 7.5x            NA Nov-03 Therma-Tru            Fortune Brands $925.0 8.4x            NA Sep-03 Norcraft            Saunders Karp/Trimaran $315.0 7.8x            NA Jul-03 Masco (Baldwin Hardware & Weiser Lock) Black and Decker $275.0 NA            NA 2002 Apr-02 Nortek            Kelso $1,600.0 7.5x 9.8x Apr-02 Omega Cabinets            Fortune Brands $538.0 8.6x            NA Apr-02 Associated Materials            Harvest Partners $455.0 7.1x 11.5x Mar-02 Vest-Wood            Door Holding A/S (Axcel/Polaris) €315.0 7.5x 10.1x 2001 Nov-01 Dal-Tile International Inc. Mohawk Industries $1,702.0 9.8x 16.3x Jul-01 Caradon Mira            Kohler £301.0 9.9x            NA Jun-01 Milgard            Masco $420.0 8.0x            NA Apr-01 Sanitec            BC Partners €1,200.0 8.4x 14.0x Mar-01 United Dominion Industries            SPX Corp $1,830.0 6.4x 11.2x Mean: All Deals / Sponsor Deals Only 7.9x / 7.7x 12.1x / 11.8x Median: All Deals / Sponsor Deals Only 7.6x / 7.5x 11.5x / 11.7x High: All Deals / Sponsor Deals Only 9.9x / 8.6x 16.3x / 14.0x Low: All Deals / Sponsor Deals Only 6.4x / 7.1x 9.8x / 9.8x

___

Bold indicates Sponsor Deals.

(1) Estimate based upon rumored sale price range of $375 to $425 million.

Valuation Analysis
DCF Analysis — TV Based on EBITDA Multiple Method

(US$in Millions, Except per Share Data where Shown) Financial Projections Historical (1) Projected (2) 2004 2005 2006 2007 2008 2009

Sales $2,199.9 $2,446.9 $2,546.9 $2,711.6 $2,905.1 $3,122.7

EBITDA (3) 283.8 332.4 359.8 396.6 437.3 488.3

Less: Depreciation (63.9) (70.5) (77.6) (84.2) (91.5) (99.5)

EBIT 219.9 261.9 282.2 312.4 345.8 388.8

Less: Taxes (52.9) (75.9) (85.2) (96.6) (109.2) (124.6)

Less: Cash tax on Gain from Debt Repayment 0.0 (5.5) (4) (4.8) (5.0) (0.8) (0.9)

Tax-affected EBIT 167.0 180.5 192.2 210.8 235.8 263.2

Plus: Depreciation 63.9 70.5 77.6 84.2 91.5 99.5

Plus: Future Income Taxes (5) 3.6 15.7 17.6 20.5 23.0 25.8

Less: Capital Expenditures (59.5) (70.0) (80.0) (90.0) (100.0) (110.0)

Less: Changes in Working Capital (50.9) 53.5 (4) 3.8 (1.3) (5.6) (8.0)

Unlevered Free Cash Flow $124.1 $250.2 $211.2 $224.2 $244.7 $270.5

Unlevered Free Cash Flow Growth Rate 101.6% (15.6%) 6.1% 9.1% 10.6% 2005 2006 2007 2008 2009

Debt Issued to Finance Future Acquisitions 100 100 100 100 100

PV of Debt Issued to Finance Future Acquisitions $424.6

Discounted Cash Flow Assumptions — EBITDA Multiple Method

Enterprise Value US$ Value Per Diluted Share (6) C$ Value Per Diluted Share (6)

Multiple of 2009 EBITDA Multiple of 2009 EBITDA Multiple of 2009 EBITDA

Discount Rate 7.0x 7.5x 8.0x (7) 7.0x 7.5x 8.0x 7.0x 7.5x 8.0x 9.0% $3,189.8 $3,351.2 $3,512.7 $35.35 $38.23 $41.10 $43.48 $47.02 $50.56 9.5% 3,126.5 3,284.3 3,442.1 34.22 37.04 39.85 42.10 45.55 49.01 10.0% 3,064.9 3,219.1 3,373.3 33.13 35.87 38.62 40.75 44.12 47.50 10.5% 3,004.8 3,155.6 3,306.4 32.06 34.74 37.43 39.43 42.73 46.04 11.0% 2,946.3 3,093.7 3,241.1 31.01 33.64 36.27 38.15 41.38 44.61

___

(1) 2004 actual results shown.

(2) Projections provided by Company management and approved by the Board of Directors on December 9, 2004, adjusted to take into account 2004 actual results. Present

values calculated as of December 31, 2004, assuming mid-year issuance.

(3) 2004 EBITDA adjusted for other expenses, except cost related to proposed transaction.

(4) 2005 cash tax on gain from debt prepayment and 2005 changes in working capital adjusted for 2004 actual results.

(5) Projected future income taxes adjusted for 2004 actual results.

(6) Based on 56.1 million fully-diluted shares outstanding. US$ value per diluted share converted at an exchange rate of 1.230 C$/US$ on February 17, 2005.

(7) Implied multiple of forward earnings = 10.6x @ 7.0x LTM ‘09 EBITDA and 12.9x @ 8.0x LTM ‘09 EBITDA.

Valuation Analysis
DCF Analysis — TV Based on Perpetuity Growth Method

(US$in Millions, Except per Share Data where Shown) Financial Projections Historical (1) Projected (2) 2004 2005 2006 2007 2008 2009

Sales $2,199.9 $2,446.9 $2,546.9 $2,711.6 $2,905.1 $3,122.7

EBITDA (3) 283.8 332.4 359.8 396.6 437.3 488.3

Less: Depreciation (63.9) (70.5) (77.6) (84.2) (91.5) (99.5)

EBIT 219.9 261.9 282.2 312.4 345.8 388.8

Less: Taxes (52.9) (75.9) (85.2) (96.6) (109.2) (124.6)

Less: Cash tax on Gain from Debt Repayment 0.0 (5.5) (4) (4.8) (5.0) (0.8) (0.9)

Tax-affected EBIT 167.0 180.5 192.2 210.8 235.8 263.2

Plus: Depreciation 63.9 70.5 77.6 84.2 91.5 99.5

Plus: Future Income Taxes (5) 3.6 15.7 17.6 20.5 23.0 25.8

Less: Capital Expenditures (59.5) (70.0) (80.0) (90.0) (100.0) (110.0)

Less: Changes in Working Capital (50.9) 53.5 (4) 3.8 (1.3) (5.6) (8.0)

Unlevered Free Cash Flow $124.1 $250.2 $211.2 $224.2 $244.7 $270.5

Unlevered Free Cash Flow Growth Rate 101.6% (15.6%) 6.1% 9.1% 10.6% 2005 2006 2007 2008 2009

Debt Issued to Finance Future Acquisitions 100 100 100 100 100

PV of Debt Issued to Finance Future Acquisitions $424.6

Discounted Cash Flow Assumptions — Perpetuity Growth Method

Enterprise Value US$ Value Per Diluted Share (6) C$ Value Per Diluted Share (6)

Perpetuity Growth Rate of Perpetuity Growth Rate of Perpetuity Growth Rate of

Discount Rate 1.5% 2.0%2.5% 1.5% 2.0% 2.5% 1.5% 2.0% 2.5% 9.0% $3,372.6 $3,560.0$3,776.2 $38.61 $41.95 $45.80 $47.49 $51.59 $56.33 9.5% 3,155.9 3,316.93,500.9 34.75 37.62 40.89 42.74 46.27 50.30 10.0% 2,964.9 3,104.43,262.5 31.35 33.83 36.65 38.56 41.61 45.08 10.5% 2,795.3 2,917.03,054.0 28.32 30.49 32.93 34.84 37.51 40.51 11.0% 2,643.6 ___2,750.6 2,870.1 25.62 27.53 29.66 31.52 33.86 36.48

(1) 2004 actual results shown.

(2) Projections provided by Company management and approved by the Board of Directors on December 9, 2004, adjusted to take into account 2004 actual results. Present

values calculated as of December 31, 2004, assuming mid-year issuance of future debt.

(3) 2004 EBITDA adjusted for other expenses, except cost related to proposed transaction.

(4) 2005 cash tax on gain from debt prepayment and 2005 changes in working capital adjusted for 2004 actual results.

(5) Projected future income taxes adjusted for 2004 actual results.

(6) Based on 56.1 million fully-diluted shares outstanding. US$ value per diluted share converted at an exchange rate of 1.230 C$/US$ on February 17, 2005.

Valuation Analysis
LBO Summary — Management Case @ C$46.00 Offer Price

Maximum Leverage @ 6.25x Total Debt / 2004A EBITDA

Sources of Funds Combined Purchase Price and Valuation

Amount % of Total Transaction Value

Excess Cash $37 1.3% C$        US$ Option Proceeds 30 1.1% Offer Price $46.00 $37.40 Proceeds from sale of redundant land 5 0.2% Current Share Price 39.89 $32.42 Subtotal Cash / Option Proceeds PF Multiple 73 2.5% Offer Premium 15.3% 15.4% Revolver 0.00x 0 0.0% Equity Offer Value ⁽¹⁾ $2,625 $2,134 Bank Term Loan @ 2.8% 3.00x 905 31.7% Plus: Total Debt 784 637 Senior Subordinated Debt @ 9.3% 3.25x 981 34.4% Plus: Securitized Receivables 123 100 Subtotal Debt 6.25x ⁽⁵⁾ 1,886 66.1% Plus: Non-Controlling Interest 109 88 Rollover Equity 0 0.0% Less: Cash (106) (86) Sponsor Equity 894 31.3% Less: Proceeds from sale of Ukiah (6) (5) Subtotal Equity 894 31.3% Less: Option Proceeds (37) (30) Total Sources $2,853 100.0% Transaction Value $3,491 $2,838 Uses of Funds            Implied Multiples            Financials (US$) ⁽²⁾ Multiple Amount      % of Total            EV / 2004A EBITDA $284 10.0x Purchase Common Equity $2,134 74.8% EV / 2005E EBITDA 332 8.5x Rollover Equity 0 0.0% Price / FY 2004A EPS $2.32 16.1x Refinance Debt 637 22.3% Price / FY 2005E EPS 2.70 13.8x Transaction Fees 8 0.3% Price / FY 2006E EPS 2.89 13.0x Tax Liability on Gain from Debt Repayment 17 0.6%

Financing Fees 56 2.0% Equity Returns ⁽³⁾ — EBITDA Multiple Exit

Total Uses $2,853 100.0% EBITDA IRR Exit in FY:

Multiple 2007 2008 2009

Pro Forma Credit Statistics 7.0x (3.6%) 4.6% 9.6% 8.0x 9.7% 13.4% 15.9% PF 2004 2005 2006 9.0x 20.2% 20.6% 21.1% Total Debt / EBITDA 6.3x 5.6x 5.2x

Senior Bank Debt / EBITDA 3.0x 2.3x 1.9x Equity Returns ⁽³⁾ — Adjusted Forward Earnings Multiple Exit

EBITDA / Total Interest 2.0x 2.1x 2.2x Adj. Forward IRR Exit in FY:

(EBITDA — Capex) / Total Interest 1.6x 1.7x 1.7x            P/E ⁽⁴⁾ 2007 2008 2009

Bank Debt Paydown in Year 5 (2009): 63.2% 11.0x 2.8% 9.1% 10.9% 13.0x 13.4% 16.3% 16.1% 15.0x 22.3% 22.4% 20.5% ___

(1) Equity offer value assumes 57.1 million fully-diluted shares outstanding, with option proceeds of US$30 million treated as a source of funds.

(2) Projections provided by Company management and approved by the Board of Directors on December 9, 2004. EPS estimates adjusted using treasury stock method at

current share price. 2004 EBITDA adjusted for other expenses, except cost related to proposed transaction.

(3) Sponsor equity returns are adjusted for exercise of management options to acquire an 8% stake at initial cost upon exit.

(4) Implied P/E for 1 year forward earnings assuming a normalized Debt/LTM EBITDA of 2.0x.

(5) Leverage based on pro forma 2004 EBITDA adjusted to include full-year impact of acquisitions.

Valuation Analysis
LBO Summary — Management Case @ C$37.00 Offer Price

Maximum Leverage @ 6.25x Total Debt / 2004A EBITDA

Sources of Funds Combined Purchase Price and Valuation

Amount % of Total Transaction Value

Excess Cash $37 1.5% C$        US$ Option Proceeds 30 1.2% Offer Price $37.00 $30.08 Proceeds from sale of redundant land 5 0.2% Current Share Price 39.89 $32.42 Subtotal Cash / Option Proceeds PF Multiple 73 3.0% Offer Premium (7.2%) (7.2%) Revolver 0.00x 0 0.0% Equity Offer Value ⁽¹⁾ $2,112 $1,717 Bank Term Loan @ 2.8% 3.00x 905 37.2% Plus: Total Debt 784 637 Senior Subordinated Debt @ 9.3% 3.25x 981 40.3% Plus: Securitized Receivables 123 100 Subtotal Debt 6.25x ⁽⁵⁾ 1,886 77.4% Plus: Non-Controlling Interest 109 88 Rollover Equity 0 0.0% Less: Cash (106) (86) Sponsor Equity 477 19.6% Less: Proceeds from sale of Ukiah (6) (5) Subtotal Equity 477 19.6% Less: Option Proceeds (37) (30) Total Sources $2,436 100.0% Transaction Value $2,978 $2,421 Uses of Funds            Implied Multiples            Financials (US$) ⁽²⁾ Multiple Amount      % of Total            EV / 2004A EBITDA $284 8.5x Purchase Common Equity $1,717 70.5% EV / 2005E EBITDA 332 7.3x Rollover Equity 0 0.0% Price / FY 2004A EPS $2.32 12.9x Refinance Debt 637 26.2% Price / FY 2005E EPS 2.70 11.1x Transaction Fees 8 0.3% Price / FY 2006E EPS 2.89 10.4x Tax Liability on Gain from Debt Repayment 17 0.7%

Financing Fees 56 2.3% Equity Returns ⁽³⁾ — EBITDA Multiple Exit

Total Uses $2,436 100.0% EBITDA IRR Exit in FY:

Multiple 2007 2008 2009

Pro Forma Credit Statistics 7.0x 17.6% 21.4% 23.7% 8.0x 34.0% 32.0% 31.0% PF 2004 2005 2006 9.0x 47.2% 40.5% 36.9% Total Debt / EBITDA 6.3x 5.6x 5.2x

Senior Bank Debt / EBITDA 3.0x 2.3x 1.9x Equity Returns ⁽³⁾ — Adjusted Forward Earnings Multiple Exit

EBITDA / Total Interest 2.0x 2.1x 2.2x Adj. Forward IRR Exit in FY:

(EBITDA — Capex) / Total Interest 1.6x 1.7x 1.7x            P/E ⁽⁴⁾ 2007 2008 2009

Bank Debt Paydown in Year 5 (2009): 63.2% 11.0x 25.3% 26.8% 25.2% 13.0x 38.6% 35.4% 31.2% 15.0x 49.8% 42.6% 36.3% ___

(1) Equity offer value assumes 57.1 million fully-diluted shares outstanding, with option proceeds of US$30 million treated as a source of funds.

(2) Projections provided by Company management and approved by the Board of Directors on December 9, 2004. EPS estimates adjusted using treasury stock method at

current share price. 2004 EBITDA adjusted for other expenses, except cost related to proposed transaction.

(3) Sponsor equity returns are adjusted for exercise of management options to acquire an 8% stake at initial cost upon exit.

(4) Implied P/E for 1 year forward earnings assuming a normalized Debt/LTM EBITDA of 2.0x.

(5) Leverage based on pro forma 2004 EBITDA adjusted to include full-year impact of acquisitions.