NEW YORK, Oct. 5 /PRNewswire/ -- U.S. Timberlands Company, L. P.
(Nasdaq: TIMBZ) today announced that its affiliate, U.S. Timberlands Yakima,
L.L.C. had entered into a five-year log supply agreement with Boise Cascade
Corporation, covering 79 million board feet of log volume. Timber species
supplied pursuant to this contract will be primarily Douglas-fir and Ponderosa
Pine. The supply will serve Boise Cascade's plywood and lumber mills in
central Washington.
Separately, U.S. Timberlands announced that it had closed its previously
announced purchase of 56,000 acres of timberland in central Washington for
about $60 million in cash, from Boise Cascade Corporation.
John M. Rudey, Chairman and CEO of U.S. Timberlands stated, "The
long-term supply agreement with Boise Cascade represents a win-win for both
our companies. Also our newly acquired properties add approximately
460 million board feet of prime merchantable timber, principally Douglas-fir
and Ponderosa Pine, to our timberlands portfolio. This acquisition provides
an attractive and accretive diversification to our Oregon holdings."
U.S. Timberlands Company, L. P. and its affiliates own 671,000 fee acres
of timberland and cutting rights on 3,700 acres of timberland containing total
merchantable timber volume estimated to be approximately 2.5 billion board
feet in Oregon and Washington east of the Cascade Range. U.S. Timberlands
specializes in the growing of trees and the sale of logs and standing timber.
Logs harvested from the timberlands are sold to unaffiliated domestic
conversion facilities. Logs harvested from the timberlands are sold to
unaffiliated domestic conversion facilities. These logs are processed for
sale as lumber, molding products, doors, millwork, commodity, specialty and
overlaid plywood products, laminated veneer lumber, engineered wood I-beams,
particleboard, hardboard, paper and other wood products. These products are
used in residential, commercial and industrial construction, home remodeling
and repair, and general industrial applications, as well as a variety of paper
products. U.S. Timberlands also owns and operates its own seed orchard and
produces approximately five million conifer seedlings annually from its
nursery, approximately half of which are used for its own internal
reforestation programs, with the balance sold to other forest products
companies. Additional information on U.S. Timberlands is available on the
Company's corporate web site at http://www.ustimberlands.com.
Certain information discussed in this press release may constitute
forward-looking statements within the meaning of the federal securities law.
Although U.S. Timberlands believes that expectations reflected in such
forward-looking statements are based upon reasonable assumptions, it can give
no assurance that its expectations will be achieved. Forward-looking
information is subject to certain risks, trends, and uncertainties that could
cause actual results to differ materially from those projected. Such risks,
trends and uncertainties include the highly cyclical nature of the forest
products industry, economic conditions in export markets, the possibility that
timber supply could increase if governmental, environmental or endangered
species policies change, and limitations on U.S. Timberlands' ability to
harvest its timber due to adverse natural conditions or increased governmental
restrictions. For a more complete description of factors which could impact
U.S. Timberlands and the statements contained herein, reference should be made
to U.S. Timberlands' filings with the United States Securities and Exchange
Commission.
SOURCE U.S. Timberlands Company, L.P.
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Related links:
http://www.ustimberlands.com
Company News On-Call:
http://www.prnewswire.com/comp/128507.html or fax,
800-758-5804, ext. 128507
CONTACT:
Greg G. Byrne, Chief Financial Officer of
U.S. Timberlands Company, L. P., 212-755-1100; or Edward F.
Kuhlenkamp, Senior Vice President of Edelman Financial Worldwide,
212-704-8243, for U.S. Timberlands Company, L.P.
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