FEDERAL WAY, Wash., Feb. 23 /PRNewswire-FirstCall/ -- Weyerhaeuser Company today announced it is reversing pre-tax charges of $95 million previously taken to cover damages awarded by two juries in antitrust suits involving alder sawlogs in the Pacific Northwest.
(Logo: http://www.newscom.com/cgi-bin/prnh/20040116/WYLOGO-a
http://www.newscom.com/cgi-bin/prnh/20040116/WYLOGO-b)
The company will recognize the reversal in its 2006 earnings as reported in the company's 2006 10-K to be filed on Feb. 28.
Weyerhaeuser said it was reversing the charges because it no longer met the accounting requirements for a reserve following a 9-0 U.S. Supreme Court decision on Feb. 20 vacating an appellate decision in a suit brought by Ross-Simmons Hardwood Lumber Co.
In its ruling, the Court held that since Ross-Simmons conceded that it had not satisfied the standard established by the Court, Ross-Simmons could not support the claim on which the jury award of damages was based. The Court remanded the case to the U.S. Ninth Circuit Court of Appeals for further proceedings.
An additional jury award in an antitrust case by Washington Alder was based on the same theory. Weyerhaeuser also appealed that judgment to the Ninth Circuit, but the case was stayed pending Supreme Court review of the Ross-Simmons case.
Weyerhaeuser Company, one of the world's largest integrated forest products companies, was incorporated in 1900. In 2006, sales were $21.9 billion. It has offices or operations in 18 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/.
Media - Bruce Amundson (253) 924-3047
Analysts - Kathryn McAuley (253) 924-2058
http://www.newscom.com/cgi-bin/prnh/20040116/WYLOGO-b
AP Archive: http://photoarchive.ap.org/
PRN Photo Desk
