Weyerhaeuser Company yesterday announced it is seeking to sell its composite panels business as a way to strengthen shareholder returns and sharpen the focus of its business portfolio.
Although the composite panels business has been a strong performer for Weyerhaeuser, it is a small component of the wood products business, the company said.
The mills produce either medium density fiberboard (MDF) or particleboard and are located in Albany, Ore.; Bennettsville, S.C., Eugene, Ore.; Malvern, Ark.; Simsboro, La.; and Clonmel, Ireland.
“As part of our ongoing portfolio review, we have determined that the composite panels business is not a strategic fit for Weyerhaeuser,” said Steven R. Rogel, chairman, president and chief executive officer. “We believe that the skilled employees at these highly competitive and efficient mills will provide greater value for a new owner who is more focused on this line of business products.”
Weyerhaeuser will continue to operate the composite panels mills while it seeks new ownership. The North American mills have the capacity to produce a total of 1.1 billion square feet, while the Clonmel mill has a capacity of 230 million square feet. About 1,000 employees work in the mills.
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