Vulcan Announces Sale of Future Production
BIRMINGHAM, Ala., Sept. 25, 2013
BIRMINGHAM, Ala., Sept. 25, 2013 /PRNewswire/ --Vulcan Materials Company
(NYSE: VMC), the nation's largest producer of construction aggregates, has
entered into a transaction with Plum Creek Timber Company, Inc. (NYSE: PCL)
for the sale of an interest in the future production at four quarries in
With this transaction, Vulcan will receive $154 million in exchange for a
percentage royalty interest in 255 million tons of aggregate production over
approximately 25 years. The transaction allows Vulcan to unlock long-term
value in these quarries, tax efficiently, while maintaining full ownership and
operational control of the quarries, fixed assets, and land. A pre-tax gain
of $154 million, less modest transaction expenses, will be recognized over the
life of the transaction.
Donald M. James, Chairman and Chief Executive Officer, said, "In Plum Creek,
we have a partner that shares our long-term view of the value and growth in
the aggregates business and is investing based on that view. This transaction
provides us capital to deploy in strategic investments in our aggregates
business and to strengthen our balance sheet."
About Vulcan Materials Company
Vulcan Materials Company, a member of the S&P 500 Index, is the nation's
largest producer of construction aggregates, a major producer of asphalt mix
and concrete and a leading producer of cement in Florida.
SOURCE Vulcan Materials Company
Contact: Investor Contact: Mark Warren (205) 298-3220; Media Contact: David
Donaldson (205) 298-3220
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