Rayonier Inc reached an agreement in principle to settle the securities class action litigation pending against it in the US District Court for the Middle District of Florida, In re Rayonier Inc. Securities Litigation, Case No. 3:14-cv-01395-TJC-JBT.
According to the announcement, the settlement will resolve the claims currently asserted against all defendants in the action, including the Company and three former executive officers. The terms agreed upon by the parties contemplate a settlement payment to the class of USD 73 million, all of which will be funded by the company’s directors and officers liability insurance carriers.
The company expects to incur approximately USD 740,000 of costs in the first half of 2017 for reimbursement of certain pre-litigation legal expenses in connection with the settlement.
David L. Nunes, President and CEO, commented:
“We are pleased to have reached an agreement in principle with the plaintiffs and believe that settling the case at this time is in the best interests of the Company and our shareholders. We look forward to putting this matter behind us and continuing to focus our time and attention on strategic initiatives to build long-term value for our shareholders.”
The proposed settlement is subject to completion of formal documentation and approval by the District Court following notice to all class members.
Earlier the Hancock Timber Resource Group has completed the acquisition of approximately 25,000 acres of timberlands in Alabama from Rayonier Inc.
The company is a leading timberland real estate investment trust with assets located in some of the most productive softwood timber growing regions in the United States and New Zealand. Rayonier owns, leases or manages approximately 2.7 million acres of timberlands located in the U.S. South, U.S. Pacific Northwest and New Zealand.