BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that it is investigating potential claims on behalf of investors of Rayonier, Inc. (“Rayonier” or the “Company”) (NYSE:RYN) concerning possible violations of federal securities laws. The investigation concerns possible violations of federal securities laws and focuses on certain statements issued by Rayonier concerning the Company’s operations and financial performance.
Rayonier engages in the sale and development of real estate and timberland management, and the production and sale of wood products in the United States, New Zealand and Australia. The investigation is related to the Company’s November 10, 2014, disclosure that the Audit Committee of the board of directors concluded, on November 7, 2014, that Rayonier’s interim consolidated financial statements for the quarters ended March 31, 2014, and June 30, 2014; its unaudited pro forma condensed consolidated balance sheets as of March 31, 2014; its unaudited pro forma condensed consolidated statements of income from continuing operations for the three months ended March 31, 2014, and the guidance provided by Rayonier for 2014 should no longer be relied upon. Rayonier is restating its interim consolidated financial statements for those periods.
According to the Company, an internal review concluded that Rayonier “incorrectly included in merchantable timber inventory for 2014, timber in specially designated parcels located in restricted, environmentally sensitive or economically inaccessible areas” and, as a result, understated its depletion expense in cost of goods sold by approximately $2.0 million in each of the quarterly periods ended March 31, 2014 and June 30, 2014, and overstated income from continuing operations of $1.9 million and $2.0 million, respectively, in those periods. The Company further disclosed that management determined that there was a material weakness in Rayonier’s internal controls related to merchantable timber inventory, which were not adequate to ensure that the changes in depletion rate estimates used to recognize depletion expense in 2014 were in accordance with accounting principles generally accepted in the United States.
If you purchased shares of Rayonier, if you have information or would like to learn more about these claims, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at www.howardsmithlaw.com.