Rayonier Inc. Mar 09
- ID: 2083182
- March 2009
- Standard & Poors
Good geographic and product diversity; Large proportion of value-added products; High barriers to entry for specialty cellulose; Stable earnings and cash flows; Flexibility to accelerate timber harvest and sell timberlands, if necessary, to raise cash; Tax-efficient corporate structure; and Valuable timberlands holdings. Cyclical end markets; Likely continuation of long-term decline in log and wood product prices; Competitive pricing pressures on commodity products; and High dividend payout ratio relative to cash flows. The rating on Rayonier Inc. reflects the company's diverse portfolio of value-added products, good geographic diversity, valuable timberland holdings, solid free cash flow levels, and management's commitment to maintaining a moderate financial policy. The rating also reflects cyclical end markets, some exposure to volatile commodity prices, and a high...
Companies mentioned in this report are: Rayonier Inc.,Rayonier Forest Resources L.P.
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