YORKCOR TAKES SAFCOL TO THE COMPETITION TRIBUNAL

YORKCOR TIMBER ORGANISATION LIMITED

The York Timber Organisation Limited (Yorkcor) has filed papers with the
Competition Commission and the Competition Tribunal against the parastatal,
South African Forestry Company Limited (Safcol), for an urgent interim
interdict to restrain Safcol from reducing the volume of its log supply.
Yorkcor chairman Solly Tucker claims Safcol is abusing its dominant position in
the timber market.  "The threat to curtail supplies is an exclusionary practice
prohibited under the Competition Act.  Obviously we are in favour of

maintaining sustainability, but even the Forestry Act is unforgiving of
negligence on the part of growers.

"Safcol wants to oust Yorkcor from the timber market for a number of reasons -
an important factor is that our long term sawlog contracts, which Safcol has
twice tried to cancel in pending litigation, materially encumber the forestry
assets which are currently part of the privatisation process.   These

'evergreen' contracts are valuable and we see no reason for our shareholders to
give them up without proper compensation," says Tucker.

"Moreover, Safcol's sawmills compete against Yorkcor's and it is common
knowledge that most of these have been losing money for years.  Yorkcor's
sawmills, on the other hand, are profitable.

"We are sorry to have to do battle with Safcol and its top management, many of
whom have been good friends for decades," say Tucker.  "But thank goodness for
the rule of law. We could not be passive in the face of such bullying."
Five years ago, most small and medium sawmillers succumbed to pressure to
relinquish the security of tenure in their long term supply contracts. "Now
they're in trouble and the uncertainty of supply is hurting the whole industry.
 Yorkcor has refused to stand by and watch anti-competitive conduct by Safcol
damage our business," Tucker concludes.
Ends

ISSUED FOR            :      The York Timber Organisation Limited  (Yorkcor)
CONTACT               :      Solly Tucker   (012) 804 9730
                             Cell 083 456 9900
FAX NO                :      (012) 804 8611

ISSUED BY             :      TISH STEWART PR ASSOCIATES

CONTACT               :      Tish Stewart  (011) 325 4195  Cell 082 443 6399
FAX NO                :      (011) 325-4199
E-MAIL                :      Tish@tspr.co.za
DATE                  :      22 January 2001