Weyerhaeuser to Announce Special Dividend
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.