Investor Presentation
Enhanced Target Capital Structure & Financial Policy
Credit Highlights & Ratio Targets
Pro Forma Capitalization & Maturity Profile (1)
■ S&P:
■
Moody's:
Current Credit Ratings
BBB-Stable
($ in millions)
Total Debt (3)
(-) Cash
9/30/2023 OR Sale (2)
Pro Forma
$1,519.0
($150.0)
$1,369.0
($107.8)
($89.5)
($197.3)
Baa3 Stable
Net Debt
$1,411.2 ($239.5)
$1,171.7
Credit / Valuation Data
■
■
Credit Highlights
Strong Adj. EBITDA* margins
High EBITDA-to-FCF conversion
Significant asset coverage
Weighted avg. cost of debt:
2023E Adjusted EBITDA (4)
Shares/OP Units Outstanding
$287.5
150.7
($5.8)
$281.8
Enterprise Value (5)
$5,808.3
($239.5)
150.7
$5,568.8
Credit Statistics
Pro Forma Debt Cost
Current: ~3.2% / 90% fixed
Net Debt / Adjusted EBITDA*
Net Debt / Enterprise Value* (5)
($ in millions)
4.9x
4.2x
24%
21%
Pro Forma for $150mm Paydown: ~2.8% / 100% fixed
Hedged for Term
Floating
Hedged until 2024
$500
$450
$150MM of remaining floating rate
Credit Ratio Targets
$400
exposure through 2025
$350
■
Committed to maintaining an investment grade
$300
$150MM to be retired
credit profile
$250
with OR sale proceeds
New
Previous
$200
Target credit metrics include:
Targets
Targets
$150
$100
Net Debt / Adj. EBITDA*:
Net Debt/Asset Value:
≤ 3.0x ≤4.5x
≤ 20%
$50
≤ 30%
2023
2024 2025 2026 2027 2028 2029 2030+
Enhanced credit ratio targets will further strengthen Rayonier's balance sheet and provide greater
capital allocation flexibility amid anticipated “higher-for-longer” interest rate environment.
Non-GAAP measure (see Appendix for definitions and reconciliations).
(1)
Maturity profile excludes New Zealand minority shareholder loans, which are expected to be
renewed at maturity.
(3)
(4)
Rayonier
(2)
Assumes transaction fees and expenses of $2.5 million. Pro Forma Adjusted EBITDA for OR
disposition based on 3-year average EBITDA attributable to the property (2021-23E).
(5)
Debt reflects principal on long-term debt, gross of deferred financing costs and unamortized discounts.
Rayonier 2023E Adjusted EBITDA based on midpoint of full-year guidance per Q2 2023 Financial Supplement.
Enterprise value based on market capitalization (including Rayonier, L.P. "OP units") plus net debt based on RYN share
price of $29.17 (as of 11/7/23). Assumes constant share price pre and post disposition.
9
Investor Presentation | November 2023View entire presentation