Forest Oil Corporation and Forcenergy, Inc. have announced plans to merge. The merger will create one of the ten largest independents in the U.S. The company will be called Forest Oil Corporation and be headquartered in Denver, Colorado. The boards of directors for both companies have unanimously agreed to merge. The merger is going to be treated as a tax-free reorganization and to be accounted for as a pooling of interests. Forcenergy common shareholders will receive 1.6 Forest common shares for each Forcenergy share they own. Forest will exchange its common stock for Forcenergy's outstanding preferred stock. After the merger is completed, Forest Oil shareholders will hold approximately 56 percent of the company and Forcenergy shareholders will hold approximately 44 percent.