FEDERAL WAY, Wash., Aug. 31, 2016 /PRNewswire/ -- Weyerhaeuser Company (NYSE : WY ) today announced the completion of the sale of its liquid packaging board business to Nippon Paper Industries Co., Ltd. for $285 million in cash. Weyerhaeuser expects to use a substantial portion of the approximately $225 million of after-tax proceeds for repayment of debt.
The liquid packaging board business consists of one mill located in Longview, Washington, with an annual capacity of 280,000 tons.
"Nippon Paper Industries is acquiring a strong portfolio of high quality products and a well-regarded employee team that has contributed much to Weyerhaeuser over the years," said Doyle R. Simons, president and chief executive officer. "This transaction further focuses our company as we work together to be the world's premier timber, land, and forest products company."
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 14,000 people who serve our 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.
This communication contains statements concerning the company's future plans that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, with respect to the use of proceeds from the sale of assets. 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, financial condition or results of operations. The company will not update these forward-looking statements after the date of this news release.
SOURCE Weyerhaeuser Company