Paper Chase Ends Happily

PORTLAND, OR—January 28 officially ended a 14-month saga as Willamette Industries, based here, signed a definitive merger agreement with Weyerhaeuser, of Federal Way, WA.

The agreement calls for $6.1 billion in cash, or $55.50 per share, including the assumption of $1.7 billion of Willamette debt. At $19 billion in combined sales, the deal creates one of the largest companies in the paper industry.