Plum Creek merging with Weyerhaeuser
Weyerhaeuser Company and Plum Creek, each major timberland owners in the Southern region and worldwide, announced in early Nmovember a plan for merger, creating a $23 billion timber REIT (Real Estate Investment Trust) with more than 13 million acres of the most producrtive timber lands in the United States.
Weyerhaeuser, based in Federal Way, in Southern Washington State, and Plum Creek, based in Seattle, each have timberlands throughout the United States. Weyerhaeuser operates manufacturing facilities and owns and manages timberlands internationally.
Under terms of the merger agreemenr, which has been unanimously approved by the boards of directors of both companies. Plum Creek shareholders will receive 1.60 chares of Wewyerhaeuser stock for each share of Plum Creek held. Following closing, Weyerhaeuser and Plum Creek shareholders will own approximaely 65% and 36% respectively of the combined company's common stock, according to information filed by the companies.
The merger creates the largest private ownership of timberland in the U.S., the company announcement states, with more than 13 million acres of diverse forests.
Doyle Simon of Weyerhaeuser will serve as prewident and CEO of the combined company. Rick Holley of Plum Creek will serve as non-execuytive chairman of Weyerhaeuser's board, which will be expanded to 13 mewmbers. Un closing the excutive team will include Rhonda Hunter, senior vice president, timberlands; Tom Lundquist, executive vice president, real estate, energy, and natural resources; Adrian Blocker, senior vice president, wood products; Russell Hagen, senior vice president, chiefr financial officer; Devin Stockfishm senior vice president, general counsel and corporate secretary; Denise Merle, senior vie president, human rsources; Tom Punke, senior vice president, corporat affairs.
Weyerhaeuser, which entered the Southern region with acquisition of Willamette Industries in 2002, has timberlands and wood products production, including lumber, plywood, oriented strand board, and laminated beams in North Louisiana and Arkansas, and elsewhere in the United States.
Plum Creek acquired timberlands in the North Louisiana and other Southern states in the early 2000s, including the sawmill operating at Joyce, which was since sold to West Fraser of Canada. Plum Creek continues to operate a timberland management office at Joyce in North Louisiana, and a regional office in Mississippi.