Weyerhaeuser Increasing Engineered Log Merchandise Portfolio

Pronounces strategic funding to assemble unutilized TimberStrand® facility in Arkansas

SEATTLE, Nov. 18, 2024 /PRNewswire/ — Weyerhaeuser Company (NYSE: WY) nowadays introduced its plan to take a position roughly $500 million to assemble a unutilized, state of the art TimberStrand® facility alike Monticello and Warren, Arkansas, increasing the corporate’s engineered timber merchandise (EWP) capability within the U.S. South. The ability can have an annual manufacturing capability of roughly 10 million cubic toes, which is similar to the corporate’s present TimberStrand® facility in Kenora, Ontario. Building is anticipated to start out in 2025, with the purpose of inauguration operations in 2027.

The unutilized facility will assistance an underserved and rising marketplace for TimberStrand® within the U.S. South and show off Weyerhaeuser’s innovation in Log Merchandise. Leveraging its proprietary TimberStrand® era, the corporate is combining institutional experience from Kenora with intensive analysis and building to develop TimberStrand® with southern yellow pine as the principle feedstock. Given the corporate’s sizeable log holdings in Arkansas, the Monticello facility is strategically positioned to supply maximum of its fiber timber necessities from Weyerhaeuser timberlands within the area. Moreover, the plant will come with a biomass-fueled cogeneration machine, which is able to absolutely provide the plant’s electric wishes and considerably let fall its environmental footprint.

Key attributes of the unutilized facility:

Doubles Weyerhaeuser’s North American TimberStrand® capability and complements the corporate’s EWP choices within the U.S. South
Delivers seamless integration with present Weyerhaeuser timberlands and timber merchandise distribution community, in addition to with eagerly to be had freight and rail transportation within the area
Anticipated to generate over $100 million of annual Adjusted EBITDA at complete working capability, with alternative upside from portfolio integration advantages
Serves the corporate’s sturdy and increasing buyer bottom within the area, along side expanding call for for TimberStrand® in housing and business packages
Complements the corporate’s product providing to the accumulation log marketplace because it continues to develop and mature
Aligns with the corporate’s long-term sustainability and greenhouse fuel emissions aid targets
Anticipated so as to add just about 200 top of the range jobs in Monticello and the state department as soon as absolutely operational
Expands the corporate’s overall funding and affect in Arkansas, including a 3rd production facility to proceed along side a lumber mill in Dierks and a plywood and veneer plant in Emerson, in addition to 1.2 million acres of timberlands, a seedling nursery and a number of other workplaces — these days using greater than 700 population around the condition

“This is an exciting opportunity to grow our EWP business, expand TimberStrand® into the U.S. South and provide an additional outlet for our fiber logs in Arkansas,” stated Devin W. Stockfish, president and prominent government officer. “Of the wood products we produce, EWP has the strongest tie to single-family housing construction activity, and this new facility aligns with our conviction that U.S. housing demand will remain favorable over the long term. In addition, this plant will allow Weyerhaeuser to better serve other customers and end markets in the region, including mass timber applications, and it supports our broader sustainability ambitions. I’d like to thank the state of Arkansas and local officials for working with Weyerhaeuser to site this facility. We look forward to building on our long history in the state and providing new employment opportunities in Monticello and surrounding communities.”

The corporate expects to incur roughly $500 million of capital expenditures for the power thru 2027 and plans to exclude this funding for functions of calculating the corporate’s annual Adjusted Finances To be had for Distribution, as worn in its versatile money go back framework. This capital outlay could also be sourced from money available or thru past financing, as the corporate deems suitable.

ABOUT WEYERHAEUSER
Weyerhaeuser Company, one of the crucial international’s greatest personal house owners of timberlands, started operations in 1900 and nowadays owns or controls roughly 10.5 million acres of timberlands within the U.S., in addition to 14 million acres of timberlands controlled beneath long-term licenses in Canada. Weyerhaeuser has been an international chief in sustainability for greater than a century and manages 100% of its timberlands on a completely sustainable foundation in compliance with across the world known sustainable forestry requirements. Weyerhaeuser could also be one of the crucial greatest producers of wood products in North The usa and operates alternative trade strains round real estate, climate solutions, power and herbal assets, amongst others. In 2023, the corporate generated $7.7 billion in internet gross sales and hired roughly 9,300 population who provide shoppers international. Operated as an actual property funding believe, Weyerhaeuser’s usual book trades at the Pristine York Reserve Alternate beneath the logo WY. Be told extra at www.weyerhaeuser.com.

NON-GAAP FINANCIAL MEASURES
This information drop references a forward-looking estimate of Adjusted EBITDA, which is a non-GAAP measure that control makes use of to judge the efficiency of the corporate. Adjusted EBITDA, as we outline it, is working source of revenue adjusted for depreciation, depletion, amortization, foundation of actual property bought and particular pieces. Adjusted EBITDA will have to now not be regarded as in isolation from, and isn’t supposed to constitute an spare to, our GAAP effects. We’ve got now not supplied a reconciliation of this forward-looking non-GAAP monetary measure to probably the most similar GAAP measure of internet source of revenue as a result of Adjusted EBITDA, as we outline it, excludes the affect of sure pieces indexed above in our definition of Adjusted EBITDA, and control can not estimate these things or the affect they are going to have on Adjusted EBITDA on a forward-looking foundation with out unreasonable attempt. In consequence, buyers could also be not able to appropriately evaluate the predicted affect of this funding to our ancient effects or the effects or anticipated result of alternative firms that can have handled such issues otherwise. However, control believes that offering this forward-looking non-GAAP details about this funding comes in handy to buyers, and given the unsure nature of forward-looking statements, we imagine buyers are in a position to remember the inherent boundaries of this forward-looking non-GAAP data. We can not rather expect the incidence, timing or quantity of any of the pieces that we exclude from our Adjusted EBITDA estimate. Accordingly, the unedited impact of these things, when enthusiastic, may doubtlessly be vital to the calculation of Adjusted EBITDA and unedited effects would possibly fluctuate materially from our estimate.

FORWARD-LOOKING STATEMENTS
This information drop accommodates statements which can be forward-looking inside the which means of the Non-public Securities Litigation Reform Employment of 1995, as amended, regarding the corporate’s plans to manufacture a unutilized TimberStrand® production facility together with with out limitation with recognize to the corporate’s expectancies concerning the timing of development and the beginning of operations, the quantity of required capital expenditure, plans for facility power necessities, deliberate manufacturing capability and anticipated monetary and financial contributions together with projected incremental annual Adjusted EBITDA and choice of unutilized jobs. We additionally reference the past expansion of the accumulation log marketplace, the unutilized facility’s alignment with our long-term sustainability and greenhouse fuel emissions aid targets and our intent to exclude the price of the power from our annual calculation of Adjusted Finances To be had for Distribution, and those additionally represent forward-looking statements. Ahead-looking statements could also be recognized by means of our utility of sure phrases in such statements, together with with out limitation phrases equivalent to “expected,” “goal,” “plan,” and “will” and alternative phrases and expressions referencing past occasions or occurrences. All forward-looking statements discuss most effective as of the pace hereof, are in accordance with tide expectancies and suppositions and don’t seem to be promises of past occasions or efficiency. The belief of our expectancies and the accuracy of our suppositions contain and are topic to plenty of dangers and uncertainties that would motive unedited effects to fluctuate materially from the ones described within the forward-looking statements. Those dangers and uncertainties come with, however don’t seem to be restricted to, the ones recognized in our 2023 Annual Record on Method 10-Okay, in addition to the ones all set forth from generation to generation in our alternative nation statements, experiences, registration statements, prospectuses, data statements and alternative filings with the Securities and Alternate Fee. Along with the ones dangers and uncertainties, alternative elements that would impact our skill to begin or whole development of the unutilized TimberStrand® facility inside the said generation classes, or in any respect, or our skill to comprehend the projected monetary and financial advantages of the mission, come with with out limitation our skill to obtain important and appropriate executive licenses, approvals and allows, our receipt of sure tax decrease and indistinguishable monetary incentives from condition and native executive, the efficiency of our distributors and contractors, facility apparatus and equipment procurement and function, and alternative elements now not described herein or in different places as a result of they aren’t these days recognized to us or as a result of we these days pass judgement on them to be immaterial. There is not any word of honour that any of the occasions expected by means of those forward-looking statements will happen. If any of the occasions do happen, there is not any word of honour what impact they are going to have at the corporate’s trade, result of operations, money flows, monetary status or past possibilities. The corporate undertakes negative legal responsibility to replace those forward-looking statements nearest the pace of this information drop.

For more info touch:

Weyerhaeuser
Analysts – Andy Taylor, 206-539-3907
Media – Nancy Thompson, 919-861-0342

SOURCE Weyerhaeuser Corporate