Weyerhaeuser sells BC sawmill
Weyerhaeuser has agreed to sell its Kamloops, British Columbia-based sawmill to International Forest Products (Interfor). The deal, terms of which were not disclosed, includes timber harvesting rights.
“This decision was taken after a thorough review of our strategic goals,” said Craig Neeser, president of Weyerhaeuser. “Today’s announcement reflects decades of solid work and attention to safety on the part of our employees that made this an attractive operation.”
The agreement still is subject to approval by Weyerhaeuser’s board of directors and required regulatory approvals. The transaction is expected to occur by the fourth quarter of 2007, the company said.
In British Columbia, Weyerhaeuser will continue to retain sawmills in Princeton and Okanagan Falls, timber harvesting operations in addition, a hardwood sawmill and an engineered wood plant in the Lower Mainland area.
Weyerhaeuser, based in Federal Way, Wash., is one of the world’s largest forest products companies, with 2006 sales of $21.9 billion.
Toll Brothers’ revenues down in third quarter
Horsham, Pa.-based Toll Brothers, the largest U.S. builder of luxury homes, today reported a 21 percent decline in third-quarter revenue and said that mortgage market troubles may delay a recovery in the weak housing market.
Revenue came in at $1.21 billion for the quarter ended July 31, according to preliminary results, compared to $1.53 billion for the same period last year.
Backlog declined 34 percent to approximately $3.67 billion, while signed contracts dropped 31 percent to about $727.1 million. In addition, third-quarter cancellations increased 24 percent, from 19 percent the previous quarter.
“Hesitant customers remain on the sidelines, unsure of whether home prices have bottomed,” CEO Robert Toll said in a statement. “The pace of home sales could slow further until the credit markets settle down.”
Wolseley makes two more acquisitions
Wolseley, the United Kingdom-based parent of Stock Building Supply and Ferguson, has announced two recent acquisitions in North America and Europe.
The company’s Ferguson division acquired Fire Fab, a distributor and fabricator of fire safety and suppression systems. Fire Fab, based in Minneapolis, had revenue of $12.4 million last year.
“This acquisition expands Ferguson’s presence in the growing fire protection market,” the company said in a statement.
Additionally, Wolseley’s Nordic region subsidiary, DT Group, acquired Sweden-based Save Tra Forsaljnings, a builders’ merchant with two branches in Sweden. The company had revenue of $16.5 million last year.
“This is the eighth bolt-on acquisition since DT Group joined Wolseley Group and is consistent with the plan to expand DT’s heavy side building materials footprint in the Nordic region,” the company noted.