Federal Way, Washington, USA, 10 October 2008 — Weyerhaeuser Company (NYSE: WY) signed a nonbinding letter of intent to sell its Trus Joist Commercial division to Atlas Holdings of Greenwich, Connecticut.
The proposed transaction will include four manufacturing plants, in Chino, California; Hillsboro and Stayton, Oregon; and Delaware, Ohio; and 13 sales and engineering offices. About 428 employees in the Northwest, Southwest, and East serve the business.
“Our goal is to ensure that the Commercial Business is optimized for long-term growth,” said Carlos Guilherme, iLevel vice president of sales. “After a thorough review of the alternatives, we believe the decision to explore the sale of this business and its assets to Atlas Holdings is in the best interests of our shareholders, employees and customers. At the same time, that outcome would allow Weyerhaeuser to narrow its focus on core strategies in the residential structural frame market.”
The transaction is subject to satisfactory negotiation of a final agreement and board approval. The transaction is expected to close in the fourth quarter of 2008. This is the culmination of a strategic review for the business that started in February 2008. During the review, Weyerhaeuser looked at a variety of options, including continuing to hold and operate all or part of this business to a possible sale or combination.
The Commercial Business has served customers for the past 45 years by designing and delivering unique wood-based building solutions, including engineered lumber products and services, to the commercial building contractor.
Financial details were not disclosed.
Weyerhaeuser Company, one of the world's largest forest products companies, was incorporated in 1900. In 2007, sales were USD 16.3 billion. It has offices or operations in 13 countries, with customers worldwide. Weyerhaeuser is principally engaged in the growing and harvesting of timber; the manufacture, distribution, and sale of forest products; and real estate construction, development, and related activities. Additional information about Weyerhaeuser's businesses, products, and practices is available at http://www.weyerhaeuser.com.
Atlas Holdings LLC operates businesses in a number of industrial sectors, including the wood products, pulp and paper, packaging, capital equipment, and industrial services industries. Founded in 1999 with the acquisition of a single paper mill, Atlas has since expanded its operations to include nearly 30 facilities across North America and Europe and now employs more than 3000 people. For additional information, visit www.atlasholdingsllc.com.