Federal Way, WA, June 26, 2006--Weyerhaeuser said it is gratified that the U.S. Supreme Court has agreed to review a decision by the U.S. Court of Appeals for the Ninth Circuit that upheld a 2003 Portland, Ore., jury verdict in an antitrust lawsuit involving the alder sawlog market.
"We believe that the Court's decision to review this case underscores the national importance of the issues we have raised," said Kenneth F. Khoury, Weyerhaeuser senior vice president and general counsel. "It is important to the business community that there be clear standards established before any business can be found to have engaged in so called predatory buying."
The review involves a $79 million antitrust judgment won by Ross Simmons Hardwood Lumber Co., which argued that Weyerhaeuser purchased or paid more than necessary for alder sawlogs and deprived its competitors an opportunity to buy alder sawlogs at a "fair price." Weyerhaeuser appealed, arguing that the Ross Simmons claim did not meet objective standards set by previous Supreme Court rulings. The appellate court rejected that argument and affirmed the judgment.
Weyerhaeuser has already taken an after-tax charge for the judgment.
Industry representatives, businesses, and timber owners filed briefs with the Supreme Court supporting Weyerhaeuser's position. In addition, the U.S. Solicitor General, the U.S. Department of Justice, and the Federal Trade Commission recommended that the Court grant review.
