Weyerhaeuser’s conversion to a real estate investment trust (REIT) has had a dramatic effect on its earnings, with the company reporting a US$1.28bn net profit for 2010.
The result is a stark contrast from the US$545m loss recorded in 2009, but just over US$1bn of the profit resulted from income tax adjustments related to Weyerhaeuser’s REIT conversion.
“The actions we took in 2010 enhanced our ability to return value to our shareholders through our long-term strategy,” said Dan Fulton, president and chief executive officer.
“The most significant, our conversion to a REIT, enhances our ability to manage and grow our core asset – more than six million acres of valuable timberlands.”
