Weyerhaeuser to Announce Special Dividend

Before you go, we thought you'd like these...
Before you go close icon
Weyerhaeuser (WY) shares are up nearly 4% in premarket trading after the company said it plans to hold a special dividend conference call Monday. The forest-products company intends to distribute $5.6 billion in retained earnings and profits to its shareholders in the form of a special dividend, according to reports.

This is a necessary step to becoming a real-estate investment trust. The company said in December it plans to convert to a REIT. The new status would slash its corporate tax rate from 35% to zero, as it passes nearly all profits to shareholders. With that, the company plans to return to profitability.

The Wall Street Journal reports that the $5.6 billion amount, which will be returned to shareholders mostly in stock, includes a regular $11 million quarterly dividend. The cash portion of the special dividend will be capped at 10%, or $560 million. The company expects to distribute the dividend to shareholders in early September.
Read Full Story

Markets

S&P 500 2,259.53 13.34 0.59%
DJIA 19,756.85 142.04 0.72%
NASDAQ 5,444.50 27.14 0.50%
DAX 11,203.63 24.21 0.22%
HANG SENG 22,760.98 -100.86 -0.44%
NIKKEI 225 18,996.37 230.90 1.23%
USD (per EUR) 1.06 0.00 0.05%
USD (per CHF) 1.02 0.00 0.02%
JPY (per USD) 115.39 0.02 0.01%
GBP (per USD) 1.26 0.00 -0.01%

From Our Partners