Release Details

- New Organizational Structure to Create Opportunity and Accommodate Growth -

- J.F. Granger Appointed EVP of Sales and Marketing -

GRAND RAPIDS, Mich.--(BUSINESS WIRE)--Oct. 25, 2006--Universal Forest Products, Inc. (NASDAQ:UFPI) today announced a growth plan that includes a sales target of $4 billion by 2010, an increase of $1.3 billion over 2005, as well as changes to the organizational structure intended to cultivate growth and opportunity for the organization and its employees. The announcement includes the appointment of a new Executive Vice President of Sales and Marketing.

The growth plan, "GO (Growth and Opportunity) 2010," includes goals of improving productivity by 10%, improving inventory turnover by 10%, achieving 100% customer satisfaction, and increasing opportunities for all employees.

"We're going to grow organically and through acquisition, and, critically, we're going to create capacity by eliminating waste and enhancing efficiencies in our plants," said President and CEO Michael B. Glenn. "We'll be doing this by adopting a variety of continuous improvement tools and concepts that make sense for our organization."

Universal's last growth initiative, "Building it Forward," was established in 2002 for the five years ending in 2007. Since the company hit its goals in 2005 -- two years early -- company leadership has been working on the appropriate goals to carry Universal through 2010.

"Although some of our markets currently face challenges, these are exciting and optimistic times for Universal," Glenn said. "In times like these, we have the chance to prove just how good we can be. And our employees look forward to doing that by hitting $4 billion in sales and the other goals we've laid out."

Among the organizational changes is the promotion of J.F. Granger to the post of Executive Vice President of Sales and Marketing. J.F. joined Universal in 1988 as a sales trainee. He worked in sales and as a General Manager of Operations until he was named Vice President in 1997. He currently is Regional Vice President of the Southeast Region. He will take his new position on Jan. 1, 2007.

"J.F. is the perfect person for the job," Glenn said. "He's a strong leader, he knows our company and our markets well, he's a strategic thinker, and he's respected at Universal and throughout our markets."

Universal also is adding a fifth region in its Eastern Division (one of the company's two operating divisions) creating a stronger structure in an area ripe for Universal's presence and growth, and creating opportunity for employees by adding management positions. The new Gulf Region will cover the Gulf Coast, including the company's current operations in Florida and Mississippi. In addition, the Eastern Division's Southeast, Atlantic, and Great Lakes regions will see some modifications to lay the foundation for growth, to enhance the company's position in its markets, and to provide opportunities for employees.

Universal Forest Products markets, manufactures and engineers wood and wood-alternative products for D-I-Y retail home centers, structural lumber products for the manufactured housing industry, engineered wood components for the site-built construction market and specialty wood packaging for various industries. The company also provides framing services for the site-built sector. In conjunction with its customers, Universal uses its engineering and manufacturing expertise, coupled with highly skilled employees, to design and construct buildings and housing. The company has approximately 10,000 employees who work in more than 100 locations. Sales for 2005 were nearly $2.7 billion. For information about Universal, visit the Company's web site at, www.ufpi.com , or call 888-Buy-UFPI.

CONTACT: Universal Forest Products, Inc.
Lynn Afendoulis, 616-365-1502
Director, Corporate Communications

SOURCE: Universal Forest Products