Weyerhaeuser To Explore Sale of Weyerhaeuser Mortgage Company

Business Wire, Sept 23, 1996

FEDERAL WAY, Wash.--(BUSINESS WIRE)--Sept. 23, 1996-- Weyerhaeuser Company today announced that it has retained the New York investment banking firm of Goldman, Sachs & Co. to explore its strategic options with respect to the Weyerhaeuser Mortgage Company including the possible sale of the subsidiary.

Weyerhaeuser Mortgage Company is a 1,500-employee business with 58 offices in 15 states that focuses on mortgage loan origination and servicing. During the eight months ended Aug. 31, 1996, Weyerhaeuser Mortgage Company originated $2.1 billion in residential first mortgages, and at Aug. 31, 1996, Weyerhaeuser Mortgage Company's residential servicing portfolio aggregated $4.0 billion. Weyerhaeuser Mortgage Company also operates a non-prime mortgage lending business which originated $42 million in loans during the month of August 1996. Weyerhaeuser Mortgage Company is headquartered in Woodland Hills, Calif.

"We believe that this is a strong business whose customers and employees may better benefit from ownership that is more strongly focused on financial products," said John W. Creighton, Jr., president and chief executive officer of Weyerhaeuser Company.

The company did not comment on timing or potential price of a sale of the business.

Weyerhaeuser Company is one of the largest integrated forest products companies in the world. Its principal segments are timberlands and wood products; pulp, paper and packaging; and real estate and financial services. It is the world's largest private owner of merchantable softwood timber and producer of softwood lumber and market pulp. It is also one of North America's largest producers of forest products and recyclers of office wastepaper, newspaper and corrugated boxes.

CONTACT: Weyerhaeuser Co., Federal Way

Frank Mendizabal, 206/924-3354