With the intention of achieving market-based pricing on timber sales, CatchMark Timber Trust, Inc., announced on Wednesday 6-24-20, that its Triple T joint venture has amended its wood supply agreement with Georgia-Pacific WFS LLC (Georgia-Pacific). Under the amended supply agreement, Triple T also will be able to increase reimbursement for extended haul distances, sell timber to other third parties, and expand its ability to sell large timberland parcels to third party buyers. The supply agreement between Triple T and Georgia-Pacific has also been extended by two years from 2029 to 2031, with optimized harvest volume obligations to enhance and preserve long-term asset value. For these amendments to the agreement, Triple T paid Georgia-Pacific $145 million. CatchMark has investments in 1.1 million acres of prime East Texas timberlands through Triple T and acts as the general partner of the venture on behalf of the consortium of institutional investors.
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CATCHMARK'S TRIPLE T JOINT VENTURE AND GEORGIA-PACIFIC AMEND WOOD SUPPLY AGREEMENT