SEATTLE, Oct. 5, 2016 /PRNewswire/ -- Weyerhaeuser
Company (NYSE: WY) today announced an agreement to sell North
Pacific Paper Company ("NORPAC"), the company's printing papers
business, to One Rock Capital Partners, LLC ("One Rock"). Weyerhaeuser expects to use a
substantial portion of the after-tax proceeds from the transaction
for the repayment of debt.
The transaction includes the printing papers mill located in
Longview, Wash. Weyerhaeuser has
operated the business through a joint venture with Nippon Paper
Industries Co., Ltd. Terms of the transaction were not
disclosed.
This announcement completes the company's strategic review of
the Cellulose Fibers business. The company recently announced the
sale of its pulp mills and liquid packaging board business.
"Through our strategic review of the Cellulose Fibers business
we have enhanced the focus of our company and created significant
value for Weyerhaeuser shareholders," said Doyle R. Simons, president and chief executive
officer. "We will continue to build on this strong foundation as we
work together to be the world's premier timber, land, and forest
products company. We are proud of the contributions NORPAC
employees have made to Weyerhaeuser and will continue to make in
the future as part of One Rock."
The transaction is subject to customary closing conditions and
is expected to close in the fourth quarter of 2016. The NORPAC
business will continue to operate independently of One Rock until the transaction closes.
Moelis & Company acted as financial advisor to Weyerhaeuser
in the transaction.
ABOUT WEYERHAEUSER
Weyerhaeuser Company, one of the
world's largest private owners of timberlands, began operations in
1900. We own or control more than 13 million acres of timberlands,
primarily in the U.S., and manage additional timberlands under
long-term licenses in Canada. We
manage these timberlands on a sustainable basis in compliance with
internationally recognized forestry standards. We are also one of
the largest manufacturers of wood and cellulose fibers products.
Our company is a real estate investment trust. In February 2016, we merged with Plum Creek Timber
Company, Inc. In 2015, Weyerhaeuser and Plum Creek, on a combined
basis, generated approximately $8.5
billion in net sales and employed nearly 14 thousand people
who serve customers worldwide. We are listed on the Dow Jones World
Sustainability Index. Our common stock trades on the New York Stock
Exchange under the symbol WY. Learn more at
www.weyerhaeuser.com.
FORWARD-LOOKING STATEMENTS
This communication contains
statements concerning the company's future results and performance
that are forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995, including,
without limitation, with respect to any potential transaction
involving NORPAC or the structure or timing of any such
transaction, the use of proceeds from any such transaction, as well
as the risk factors disclosed in Weyerhaeuser's filings with the
SEC, including Weyerhaeuser's annual reports on Form 10-K for the
year ended December 31, 2015. These
forward-looking statements are based on various assumptions and may
not be accurate because of risks and uncertainties surrounding
these assumptions. Factors listed above, as well as other factors,
may cause actual results to differ significantly from these
forward-looking statements. There is no guarantee that any of the
events anticipated by these forward-looking statements will occur.
If any of the events occur, there is no guarantee what effect they
will have on company operations or financial condition. The company
will not update these forward-looking statements after the date of
this news release.
For more information contact:
Media – Anthony
Chavez, 206-539-4406
Financial Media – Andrew
Siegel, 212-355-4449
Analysts – Beth Baum, 206-539-4450
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SOURCE Weyerhaeuser Company