Jacksonville, Florida, USA, 25 July 2011 -- (BUSINESS WIRE) -- Rayonier (NYSE:RYN) announced today that its board of directors has approved a three-for-two stock split and an 11.1% increase in the quarterly cash dividend to 40 cents per common share on a post-split basis.
The split will be effected in the form of a stock dividend by issuing one-half additional share for each share held. The additional shares will be distributed 24 August 2011, to shareholders of record on 10 August 2011. The 40 cents per share third quarter cash dividend will be paid on 30 September 2011, to shareholders of record on 16 September 2011.
"The stock split recognizes the significant appreciation in value of Rayonier's common shares in the past two years and should further improve trading liquidity and volume. The increased dividend reflects our strong operating performance and confidence in continued growth," said Lee Thomas, chairman and CEO.
"We expect significant value creation in our Performance Fibers business through the conversion of our absorbent materials line to produce high purity cellulose specialties in order to satisfy global demand growth in this very specialized market. In Forest Resources, our diversified timberland holdings position us well to capitalize on increasing export demand and an eventual domestic economic recovery. Our significant cash balances and strong balance sheet provide continuing strategic and operational flexibility," Thomas concluded.
Rayonier is a leading international forest products company with three core businesses: Forest Resources, Real Estate, and Performance Fibers. The company owns, leases, or manages 2.5 million acres of timber and land in the United States and New Zealand. The company's holdings include approximately 200,000 acres with residential and commercial development potential along the U.S. Interstate 95 corridor between Savannah, Georgia, and Daytona Beach, Florida. Its Performance Fibers business is one of the world's leading producers of high-value specialty cellulose fibers, which are used in products such as filters, pharmaceuticals and LCD screens. Approximately 45% of the company's sales are outside the United States to customers in approximately 40 countries. Rayonier is structured as a real estate investment trust. More information is available at www.rayonier.com.