BMHC Acquires Benedetti Construction Management, Inc. and MWB Building Contractors, Inc.

SAN FRANCISCO, Jan. 11  /PRNewswire-FirstCall/ -- Building Materials Holding Corporation (NASDAQ:BMHC) today confirmed that its wholly owned subsidiary, BMC Construction, has completed acquisition of the assets of Benedetti Construction Management, Inc. (d/b/a Tandem West Group) and MWB Building Contractors, Inc.  Benedetti Construction Management provides framing services to high-volume production homebuilders in the Palm Springs area and other Southern California markets, and had sales of approximately $145 million for the twelve months ended November 30, 2005.  MWB Building Contractors provides framing services to high-volume production homebuilders in the Northern California and Reno, Nevada markets, and had sales of approximately $80 million for the twelve months ended November 30, 2005.

Robert E. Mellor, BMHC's Chairman, President and Chief Executive Officer, stated, "We are pleased to have finalized the acquisitions of Benedetti Construction Management and MWB Building Contractors.  Benedetti is the largest framing company in Palm Springs and the low desert area of Southern California.  MWB strengthens our construction services operations in Northern California and also allows us to provide these services in the Reno market. Both companies are a perfect fit within our strategy of expanding our construction services and managing multiple trades for high-volume production homebuilders in key U.S. markets.  We look forward to working with the Benedetti and MWB management teams and continuing to provide high quality services to our customers."

About BMHC

BMHC, a Fortune 1000 company, is one of the largest providers of residential construction services and building materials in the United States. We serve the homebuilding industry through two subsidiaries:  BMC West distributes building materials and manufactures building components for professional builders and contractors in the western and southern states; BMC Construction provides construction services to high-volume production homebuilders in key growth markets across the country.  BMHC was recently named to the Forbes Platinum 400, also known as America's Best Big Companies. To learn more about BMHC, visit our website at http://www.bmhc.com/.

BUSINESS RISKS AND FORWARD-LOOKING STATEMENTS

There are a number of business risks and uncertainties that affect our operations and therefore could cause future results to differ from past performance or expected results.  Additional information regarding business risks and uncertainties is contained in Item 1 of our 2004 Form 10-K. These risks and uncertainties may include, but are not limited to:

  -- demand for homebuilding which is influenced by changes in the overall
     condition of the U.S. economy, including job formation, interest rates
     and consumer confidence, as well as other important factors;
  -- fluctuations in our costs and availability of sourcing channels for
     commodity wood products and building materials;
  -- changes in the business models of our customers;
  -- intense competition;
  -- integration of acquired businesses may not result in anticipated cost
     savings and revenue synergies being fully realized or it may take
     longer to realize than expected;
  -- our ability to identify suitable acquisition candidates;
  -- availability of and our ability to attract, train and retain qualified
     individuals;
  -- unanticipated weather conditions including natural catastrophic events
     such as earthquakes, fire, flood, hurricanes, tornadoes, etc.;
  -- implementation of cost structures that align with revenue growth;
  -- actual and perceived vulnerabilities as a result of terrorist
     activities and armed conflict; and
  -- numerous other matters of a local and regional scale, including those
     of a political, economic, business, competitive or regulatory nature.



Certain statements made in this news release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that are not historical or current facts, including statements about our expectations, anticipated financial results and future business prospects are forward-looking statements. While these statements represent our current judgment on what the future may hold and we believe these judgments are reasonable, these statements involve risks and uncertainties that could cause our actual results to differ materially from those in forward-looking statements. These factors include, but are not limited to the risks and uncertainties cited in the above paragraph. Undue reliance should not be placed on such forward-looking statements, as such statements speak only as of the date of this news release. We undertake no obligation to update forward-looking statements. 

DATASOURCE: Building Materials Holding Corporation



CONTACT:  Bill Smartt, Senior Vice President and Chief Financial Officer,

[phone], or Mark Kailer, Vice President, Treasurer and Investor

Relations, [phone], both of Building Materials Holding Corporation



Web site:  http://www.bmhc.com/ 

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