PRESS RELEASE — April 19, 2001


DUBLIN, Calif. -- Simpson Manufacturing Co., Inc. (the "Company") announced today that its 2001 first quarter net sales increased 12.1% to $94,823,953 as compared to net sales of $84,615,539 for the first quarter of 2000. Net income decreased 3.3% to $8,980,155 for the first quarter of 2001 as compared to net income of $9,288,448 for the first quarter of 2000. Diluted net income per common share was $0.73 for the first quarter of 2001 as compared to $0.76 for the first quarter of 2000.

Most of the sales growth occurred in California and as a result of the acquisition of BMF Bygningsbeslag A/S ("BMF") in Denmark in January 2001. Simpson Strong-Tie's first quarter sales increased 14.1% over the same quarter last year, while Simpson Dura-Vent's sales increased 2.5%. Contractor distributors were the fastest growing Strong-Tie connector sales channel. The sales increase was broad based across most of Simpson Strong-Tie's major product lines. Strong-Wall and Anchor Systems product lines had the highest growth rates in sales. Sales of Simpson Dura-Vent's Direct-Vent products decreased compared to the first quarter of 2000, while sales of its chimney and pellet vent product lines increased.

Income from operations decreased 1.2% from $14,634,929 in the first quarter of 2000 to $14,463,359 in the first quarter of 2001 and gross margins decreased from 40.0% in the first quarter of 2000 to 39.2% in the first quarter of 2001. The decrease in gross margin was primarily due to the lower margins associated with BMF as well as higher fixed overhead costs. Selling expenses increased 26.0% from $8,553,122 in the first quarter of 2000 to $10,779,049 in the first quarter of 2001. The increase was primarily due to higher personnel costs related to the increase in the number of sales and merchandising personnel, particularly the additional sales personnel at BMF and those associated with the Anchoring Systems product line, as well as increased promotional expenses. General and administrative expenses increased 11.7% from $10,648,327 in the first quarter of 2000 to $11,893,980 in the first quarter of 2001. This increase was primarily due to the addition of administrative personnel and higher administrative costs related to the acquisition of BMF, Anchor Tiedown Systems in the third quarter of 2000, Masterset Fastening Systems, Inc. in the fourth quarter of 2000, and the operations of, LLC. Partially offsetting this increase was a decrease in cash profit sharing. The tax rate was 41.8% in the first quarter of 2001, an increase from 40.5% in the first quarter of 2000.

Effective January 1, 2001, the Company changed its method of valuing inventories form the last-in, first-out (LIFO) method to the first-in, first-out (FIFO) method. All inventories are now costed using the FIFO method. The Company believes that the new method is preferable because the FIFO method of valuing inventory more closely matches current costs and revenues. The Company has applied this change retroactively by restating its financial statements as required by Accounting Principles Board No. 20, "Accounting Changes," which has resulted in a one time decrease in previously reported retained earnings of $900,119 as of March 31, 2000, and a one time increase in previously reported retained earnings of $89,837 as of December 31, 2000. The effect of the change in accounting principle for the three months ended March 31, 2001, was immaterial.

Investors, analysts and other interested parties are invited to join the Company's conference call on April 20, 2001, at 6:00 a.m., Pacific Time. To participate, callers may dial 800-680-1386. The call will be webcast simultaneously as well as being available for one month at (reservation #18391251) or through a link on the Company's website at

The Company's results of operations for the three months ended March 31, 2001 and 2000, are as follows:

                                                         Three Months
                                                        Ended March 31,
                                                        2001           2000

    Net sales                                    $94,823,953    $84,615,539
    Cost of sales                                 57,687,565     50,779,161
      Gross profit                                37,136,388     33,836,378

    Selling expenses                              10,779,049      8,553,122
    General and administrative expenses           11,893,980     10,648,327

      Income from operations                      14,463,359     14,634,929

    Interest income, net                             460,277        643,875
      Income before taxes                         14,923,636     15,278,804

    Provision for income taxes                     6,240,886      6,186,316
    Minority Interest                              (297,405)      (195,960)
      Net income                                  $8,980,155     $9,288,448

    Net income per share:
      Basic                                            $0.75          $0.77
      Diluted                                          $0.73          $0.76

    Weighted average shares outstanding:
      Basic                                       12,037,073     12,020,446
      Diluted                                     12,277,485     12,277,453

    Other data:
      Depreciation and amortization               $4,061,496     $3,248,640

The Company's financial position as of March 31, 2001 and 2000, and December 31, 2000, is as follows:

                                          March 31,
                                        (Unaudited)            December 31,
                                       2001         2000           2000

    Cash and short-term
     investments                $41,784,481     $45,551,211   $59,417,658
    Trade accounts
     receivable, net             58,975,024      52,893,480    45,584,186
    Inventories                  93,635,319      76,898,347    85,269,695
    Other current assets          9,768,410       7,840,496    10,460,108
      Total current assets      204,163,234     183,183,534   200,731,647

    Property, plant and
     equipment, net              69,648,429      60,662,207    63,822,513
    Other noncurrent assets      23,756,754      12,619,316    15,015,393
      Total assets             $297,568,417    $256,465,057  $279,569,553

    Trade accounts payable       13,207,540      10,192,763   $14,630,941
    Notes payable and current
     portion of long-term debt    2,866,842         487,549       335,754
    Other current liabilities    22,072,399      22,309,034    17,756,874
      Total current liabilities  38,146,781      32,989,346    32,723,569

    Long-term debt                4,565,881       2,398,651     2,069,028
    Other liabilities               206,372         423,932       341,600
    Minority interest               456,874       1,804,040       754,278
    Stockholders' equity        254,192,509     218,849,088   243,681,078
      Total liabilities and
       stockholders' equity    $297,568,417    $256,465,057  $279,569,553

Simpson Manufacturing Co., Inc., headquartered in Dublin, California, through its subsidiary, Simpson Strong-Tie Company Inc., designs, engineers and is a leading manufacturer of wood-to-wood, wood-to-concrete and wood-to-masonry connectors and shearwalls. Simpson Strong-Tie also offers a full line of adhesives, mechanical anchors and powder actuated tools for concrete, masonry and steel. The Company's other subsidiary, Simpson Dura-Vent Company, Inc., designs, engineers and manufactures venting systems for gas and wood burning appliances. The Company's common stock trades on the New York Stock Exchange under the symbol "SSD."

CONTACT: Barclay Simpson of Simpson Manufacturing Co., Inc., 925-560-9032.

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