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...In the US there are four big timber real estate investment trusts (Reits), the largest being Weyerhaeuser....
...High prices and high demand meant massive first-quarter profits for lumber companies....
...But it is striking that price growth was fairly broad-based, and echoes the message from a host of companies — ranging from Clorox and Colgate to Ventas and Weyerhaeuser — about the appearance of price pressures...
...On the other end of the spectrum, companies thought to benefit from lower rates because of their consistent dividend yields have outperformed the broader market....
...Once the deal closes the new company, which will keep the Weyerhaeuser name, will launch a $2.5bn share buyback to offer an exit option to shareholders, who have to approve the deal....
...This move will focus the combined company still further on the housing market....
...Other recent deals to have used the structure include Weyerhaeuser’s sale of its housebuilding division to Tri Pointe Homes in 2013, and PPG Industries’ sale of its commodity chemicals operations to Georgia...
...The Weyerhaeuser unit will also pay $700m in cash to its parent. Weyerhaeuser shareholders will own 80.5 per cent of the combined company after the deal is completed....
...Uncle Sam has put a lid on the fun, insisting that the shareholders in the spun-off company keep at least half of the ownership of the new company to avoid taxes....
...To finance the acquisition, the company is planning to raise $2.5bn in debt and equity....
...Take Weyerhaeuser....
...(Foreign Policy) “Tri Pointe Homes, a homebuilder backed by Barry Sternlicht’s Starwood Capital Group LLC, is in advanced talks to buy Weyerhaeuser Co’s homebuilding division for about $2.7 billion, according...
...Forest products company Weyerhaeuser also bolstered the materials sector, 3 per cent better to $27.79 on news that it could sell its homebuilding unit....
...These companies deferred harvests over the past few years as it was not an advantageous time to sell,” said Joshua Barber, analyst at Stifel Nicolaus....
...The bank has identified seven companies where pension contributions are estimated to be more than half of average annual cash flow from operations over the past five years: AK Steel, Goodyear Tire, Weyerhaeuser...
...Cafaro serves on the board of Weyerhaeuser, an integrated forest products company, as well as the board of the National Association of Real Estate Investment Trusts....
...Signatories include AbitibiBowater, one of the world’s biggest newsprint producers; Seattle-based Weyerhaeuser, and Canfor, British Columbia’s biggest softwood lumber producer, as well as nine environmental...
...Weyerhaeuser was the session’s best performer as the stock rallied 8.4 per cent to $38.86. The timberland and forest products company declared a special dividend worth a combined $5.6bn....
...Credit Suisse analysed 279 S&P 500 companies that have reported under the new rules. To explain the risks, Mr Zion points to Weyerhaeuser, a wood products company....
...Weyerhaeuser, one of the world’s largest pulp and paper companies, was raised to “neutral” from “underperform” at Credit Suisse....
...Weyerhaeuser, one of the world’s largest pulp and paper companies, announced it would convert to a Reit and pay a special dividend as part of the move....
...During the last four months of 2000, General Electric launched a $45bn bid for Honeywell International; Weyerhaeuser acquired Willamette Industries for $5.3bn and Unilever made an unsolicited $21.3bn cash...
...Still, its chief executive, Daniel Fulton, is pledging to take definitive steps to re-orient the company. He is reviewing Weyerhaeuser’s non-logging businesses, and has not ruled out a Reit conversion....
...Many companies may be forced to try to ride out the storm alone. Post and read comments on this Lex...
...Weyerhaeuser was also higher in spite of a 55 per cent fall in net income as the US housing slump hit demand for its timber products. The shares were up 2.2 per cent to $75.91....
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