MINNEAPOLIS — February 20, 2003 — PW Eagle, Inc. (Nasdaq-NMS: “PWEI”) announced today the strategic restructuring of its business operations as part of an initiative to enhance and grow its two core business units. Through this initiative, effective immediately, the polyvinyl chloride (PVC) pipe operations and the polyethylene (PE) pipe operations will be operated as separate business units. The PVC pipe business will continue to operate as “PWPipe” and the PE pipe business will operate as “PW Poly.”

In accordance with this strategic restructuring of the business, the Company also announced the following management changes. Current President Larry Fleming will become the President of PW Poly. An Executive Operating Committee for PWPipe, consisting of Jack Cobb, Executive Vice President, Operations; Roger Robb, Executive Vice President and Chief Financial Officer; and Mike Stickel, Executive Vice President, Sales and Marketing, will be responsible for the day-to-day operations of PWPipe. Mr. Fleming and the Executive Operating Committee for PW Pipe will each report to William Spell, PW Eagle Chief Executive Officer, who will also assume the additional title of President.

Spell commented, “This restructuring of our business into separate PVC and PE business units is driven by our commitment to focus on our core business which is the PVC pipe business. In addition, this restructuring will allow us to commit dedicated resources to our PE business to further realize the untapped potential in that market.

“Larry Fleming’s mission is to grow the PE pipe business through internal growth as well as acquisitions,” Spell continued. “Larry has the right mix of entrepreneurial enthusiasm, sales and marketing experience, and leadership and management skills to transform our PE business from a relatively small part of our Company into a thriving and profitable business segment. We are delighted that he has agreed to take on this new, essential and exciting opportunity.”

PW Eagle’s PVC business had sales of approximately $240 million in 2002, while its PE business had sales of approximately $11 million. The PE business operates from one of the Company’s two manufacturing plants located in Hastings, Nebraska and also includes a distribution warehouse in Baker City, Oregon.

Spell concluded, “We are equally as excited that three of our most senior executives, Jack Cobb, Roger Robb and Mike Stickel have agreed to take on the additional responsibility for the day-to-day operations of PWPipe. Each of them will remain responsible for their current functional responsibilities. These three managers have over 56 years of experience at PWPipe and have known each other and worked together for more than 18 years.”

PW Eagle, Inc. is a leading extruder of PVC pipe and PE pipe products. The Company operates eight manufacturing facilities in the midwestern and western United States. PW Eagle’s common stock is traded on the Nasdaq National Market under the symbol “PWEI.”

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