Transaction Overview - Rayonier and PotlatchDeltic will merge in an all-stock transaction, with PotlatchDeltic shareholders receiving 1.7339x Rayonier shares for each PotlatchDeltic share[1,9] - The transaction represents an 825% premium to PotlatchDeltic, based on closing stock prices as of October 10, 2025[9] - Pro forma ownership will be 54% for Rayonier shareholders and 46% for PotlatchDeltic shareholders[9] - The combined company is expected to close in late first quarter or early second quarter of 2026[9] Synergies and Financial Impact - The merger is expected to generate $40 million in annual run-rate synergies, primarily from corporate and operating overhead cost savings[8,9] - The combined company will have a pro forma market capitalization of approximately $71 billion[8] - The pro forma net leverage ratio is estimated to be approximately 25x[8] Combined Company Assets - The combined company will own approximately 42 million acres of timberlands[8,15] - The combined company's timberlands include 3227K acres in the U S South and 931K acres in the U S Northwest[18] - PotlatchDeltic's wood products facilities have the capacity to produce 12BBF of lumber annually and 150MMSF of plywood annually[21] Real Estate - Rayonier and PotlatchDeltic have demonstrated improving HBU premium realizations as well as a shift toward higher-value development sales over the past decade[37,38] - Rayonier and PotlatchDeltic have 79K acres under option for solar projects[48] - Rayonier has 154K acres under CCS lease in TX, LA, and AL[48]

Transaction Overview - Rayonier and PotlatchDeltic will merge in an all-stock transaction, with PotlatchDeltic shareholders receiving 1.7339x Rayonier shares for each PotlatchDeltic share[1,9] - The transaction represents an 825% premium to PotlatchDeltic, based on closing stock prices as of October 10, 2025[9] - Pro forma ownership will be 54% for Rayonier shareholders and 46% for PotlatchDeltic shareholders[9] - The combined company is expected to close in late first quarter or early second quarter of 2026[9] Synergies and Financial Impact - The merger is expected to generate $40 million in annual run-rate synergies, primarily from corporate and operating overhead cost savings[8,9] - The combined company will have a pro forma market capitalization of approximately $71 billion[8] - The pro forma net leverage ratio is estimated to be approximately 25x[8] Combined Company Assets - The combined company will own approximately 42 million acres of timberlands[8,15] - The combined company's timberlands include 3227K acres in the U S South and 931K acres in the U S Northwest[18] - PotlatchDeltic's wood products facilities have the capacity to produce 12BBF of lumber annually and 150MMSF of plywood annually[21] Real Estate - Rayonier and PotlatchDeltic have demonstrated improving HBU premium realizations as well as a shift toward higher-value development sales over the past decade[37,38] - Rayonier and PotlatchDeltic have 79K acres under option for solar projects[48] - Rayonier has 154K acres under CCS lease in TX, LA, and AL[48]

Group 1 - The deal will result in a combined company with an enterprise value exceeding $8 billion [1]

Core Viewpoint - Rayonier and PotlatchDeltic announced a merger in an all-stock deal valued at approximately $8.2 billion, including debt, aiming to create one of North America's largest publicly traded timber and wood companies [1] Company Summary - The merger will combine the strengths of Rayonier and PotlatchDeltic, enhancing their market position in the timber and wood industry [1] - The deal is structured as an all-stock transaction, indicating a strategic move to consolidate resources and capabilities without immediate cash outflow [1] Industry Summary - This merger is expected to significantly impact the North American timber and wood market by creating a larger entity with increased operational efficiencies and market reach [1] - The combined company will likely benefit from economies of scale, potentially leading to improved profitability and competitive advantages in the industry [1]

Exclusive: Rayonier and PotlatchDeltic plan to combine in an all-stock deal that would create a more than $7 billion forestry giant, according to people familiar with the matter https://t.co/Ex4O6PMuxw ...

Group 1 - Rayonier (NYSE: RYN) is currently trading at relatively undervalued levels with a solid dividend and is preparing for a strong future [1] - The analyst has over 10 years of experience researching companies across various sectors, including commodities and technology, which enhances the quality of insights provided [2] - The focus of the analysis includes a variety of industries such as metals and mining, consumer discretionary/staples, REITs, and utilities [2]

PART I - FINANCIAL INFORMATION [Item 1. Financial Statements](index=5&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited consolidated financial statements for Rayonier Inc. and Rayonier, L.P., highlighting the significant gain from the sale of New Zealand operations and its impact on financial position [Rayonier Inc. Financial Statements](index=5&type=section&id=Rayonier%20Inc.%20Financial%20Statements) Rayonier Inc.'s Q2 2025 performance was significantly boosted by a **$404.5 million** gain from the New Zealand operations sale, leading to strong net income and a strengthened balance sheet Rayonier Inc. Consolidated Statement of Income Highlights (Q2 2025 vs. Q2 2024) | Metric | Q2 2025 (in thousands) | Q2 2024 (in thousands) | Change | | :--- | :--- | :--- | :--- | | Sales | $106,538 | $99,639 | +6.9% | | Operating Income | $14,545 | $4,547 | +219.9% | | Gain on sale of discontinued operations | $404,463 | $0 | N/A | | Net Income Attributable to Rayonier Inc. | $408,708 | $1,903 | +21,377.0% | | Diluted EPS | $2.63 | $0.01 | +26,200.0% | Rayonier Inc. Consolidated Balance Sheet Highlights (as of June 30, 2025) | Metric | June 30, 2025 (in thousands) | Dec 31, 2024 (in thousands) | Change | | :--- | :--- | :--- | :--- | | Cash and cash equivalents | $892,256 | $303,065 | +194.4% | | Total Assets | $3,514,250 | $3,474,419 | +1.1% | | Total Long-Term Debt, Net | $844,905 | $1,044,410 | -19.1% | | Total Shareholders' Equity | $2,302,217 | $1,780,533 | +29.3% | Rayonier Inc. Consolidated Statement of Cash Flows Highlights (Six Months Ended June 30) | Cash Flow Activity | 2025 (in thousands) | 2024 (in thousands) | Change | | :--- | :--- | :--- | :--- | | Net cash provided by operating activities | $88,687 | $107,627 | -17.6% | | Net cash provided by (used for) investing activities | $658,265 | ($47,445) | N/A | | Net cash used for financing activities | ($198,609) | ($125,078) | +58.8% | - The significant increase in cash from investing activities was driven by **$687.6 million** in net proceeds from the sale of discontinued operations (the New Zealand joint venture)[27](index=27&type=chunk) [Rayonier, L.P. Financial Statements](index=12&type=section&id=Rayonier%2C%20L.P.%20Financial%20Statements) Rayonier, L.P.'s financial statements largely mirror Rayonier Inc.'s due to consolidation, reflecting the same operational results and the significant gain from the New Zealand divestiture, with differences primarily in capital structure - The Operating Partnership's Consolidated Statements of Income and Cash Flows are substantively identical to Rayonier Inc.'s, as Rayonier Inc. operates as an UPREIT and consolidates Rayonier, L.P. for financial reporting[10](index=10&type=chunk)[35](index=35&type=chunk)[45](index=45&type=chunk) Rayonier, L.P. Net Income Highlights (Q2 2025 vs. Q2 2024) | Metric | Q2 2025 (in thousands) | Q2 2024 (in thousands) | | :--- | :--- | :--- | | Sales | $106,538 | $99,639 | | Operating Income | $14,545 | $4,547 | | Net Income | $413,607 | $3,035 | | Net Income Attributable to Rayonier, L.P. Unitholders | $414,184 | $1,929 | Rayonier, L.P. Capital Structure (as of June 30, 2025) | Capital Component | June 30, 2025 (in thousands) | Dec 31, 2024 (in thousands) | | :--- | :--- | :--- | | Redeemable Operating Partnership Units | $53,353 | $51,843 | | General partners' capital | $22,690 | $17,772 | | Limited partners' capital | $2,246,297 | $1,759,405 | | Total Capital | $2,302,217 | $1,780,533 | [Notes to Consolidated Financial Statements](index=19&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Notes detail the **$698.6 million** New Zealand operations sale, segment performance with strong Real Estate offsetting Southern Timber weakness, debt compliance, and interest rate swap usage - On June 30, 2025, the company completed the sale of its 77% interest in its New Zealand operations for a purchase price of **$710 million**, receiving net proceeds of **$698.6 million** and recognizing a gain of **$404.5 million**. These operations are now reported as discontinued[56](index=56&type=chunk)[65](index=65&type=chunk)[66](index=66&type=chunk) Segment Adjusted EBITDA (Six Months Ended June 30) | Segment | 2025 (in thousands) | 2024 (in thousands) | Change | | :--- | :--- | :--- | :--- | | Southern Timber | $55,433 | $78,652 | -29.5% | | Pacific Northwest Timber | $13,304 | $10,637 | +25.1% | | Real Estate | $20,576 | $9,090 | +126.3% | | Trading | ($560) | $28 | N/A | | **Total Adjusted EBITDA** | **$71,946** | **$77,971** | **-7.7%** | Total Principal Debt Outstanding (as of June 30, 2025) | Debt Instrument | Principal Amount (in thousands) | | :--- | :--- | | Senior Notes due 2031 (2.75%) | $450,000 | | 2015 Term Loan (Variable) | $200,000 | | 2016 Incremental Term Loan (Variable) | $200,000 | | 2021 Incremental Term Loan (Variable) | $200,000 | | **Total Principal Debt** | **$1,050,000** | - The company uses interest rate swaps with a notional amount of **$600 million** to hedge its exposure on its variable-rate term loans, effectively converting them to fixed-rate obligations[132](index=132&type=chunk)[137](index=137&type=chunk) - The company repurchased approximately **1.5 million** common shares for **$34.9 million** during the second quarter of 2025[258](index=258&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=56&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) MD&A highlights the **$404.4 million** gain from the New Zealand sale, improved liquidity, strong Real Estate performance offsetting Southern Timber weakness, and an optimistic outlook for timber and real estate markets [Consolidated Results and Segment Performance](index=61&type=section&id=Consolidated%20Results%20and%20Segment%20Performance) Consolidated net income surged due to the **$404.4 million** New Zealand sale gain, with Real Estate driving Adjusted EBITDA growth from continuing operations, offsetting Southern Timber's decline - Southern Timber performance declined in Q2 2025, with a **5% decrease** in harvest volume and a **14% drop** in weighted-average net stumpage realizations, driven by softer mill demand and competing supply from salvage timber[238](index=238&type=chunk) - Pacific Northwest Timber operating income improved to **$1.6 million** from a loss of **$1.5 million** in the prior year, benefiting from a **6% increase** in domestic sawtimber prices and better cost management, despite a **15% volume decrease**[240](index=240&type=chunk) - The Real Estate segment had a strong quarter, with sales increasing to **$29.4 million** from **$15.5 million** YoY. This was driven by significant Improved Development sales in the Heartwood and Wildlight projects and a large Unimproved Development sale in Florida[242](index=242&type=chunk)[243](index=243&type=chunk)[244](index=244&type=chunk) - The company recognized a **$404.4 million** gain on the sale of its New Zealand joint venture, which is reported under discontinued operations[256](index=256&type=chunk) [Liquidity and Capital Resources](index=73&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity significantly strengthened to **$892.3 million** cash due to the New Zealand asset sale, improving the debt-to-capital ratio to **31%**, with sufficient funding for the next 12 months Key Liquidity Metrics | Metric | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $892.3 million | $303.1 million | | Total debt (principal) | $1,050.0 million | $1,050.0 million | | Debt to capital ratio | 31% | 36% | | Net debt to enterprise value | 4% | 16% | - Cash provided by investing activities for the first six months of 2025 was **$658.3 million**, mainly due to **$687.6 million** in net proceeds from the sale of the New Zealand joint venture[268](index=268&type=chunk) - During Q2 2025, the company repurchased **1.5 million** shares for **$34.9 million**. Year-to-date, repurchases totaled **1.6 million** shares for **$37.6 million**[258](index=258&type=chunk)[259](index=259&type=chunk) - The company expects 2025 capital expenditures to be between **$52 million** and **$56 million**, and real estate development investments to be between **$23 million** and **$27 million**[275](index=275&type=chunk)[276](index=276&type=chunk) [Outlook](index=72&type=section&id=Outlook) Management anticipates improved second-half 2025 performance, with modestly higher harvest volumes and prices in Southern and Pacific Northwest Timber, and significant Real Estate closing activity - Southern Timber: Expects materially higher volumes and modestly higher pine net stumpage realizations in the second half of 2025 compared to the first half[260](index=260&type=chunk) - Pacific Northwest Timber: Expects weighted-average log pricing to be modestly higher in the second half of the year[261](index=261&type=chunk) - Real Estate: Remains encouraged by the transaction pipeline and expects significant closing activity over the balance of the year[261](index=261&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=80&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company manages interest rate risk on its **$600 million** variable-rate debt via swaps, effectively converting it to fixed-rate, and discloses fair value sensitivity of its **$450 million** fixed-rate debt - The company has **$600 million** of variable-rate debt, which is fully hedged by an equal notional amount of interest rate swaps, mitigating exposure to interest rate fluctuations[298](index=298&type=chunk)[299](index=299&type=chunk) - A hypothetical one-percentage point increase or decrease in interest rates would result in no change to interest payments on the company's variable-rate debt over a 12-month period due to the hedges in place[299](index=299&type=chunk) - The fair value of the company's **$450 million** of fixed-rate debt was estimated at **$398.3 million** as of June 30, 2025. A hypothetical **1% increase** in interest rates would decrease its fair value by approximately **$20 million**[300](index=300&type=chunk) [Controls and Procedures](index=81&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures for both Rayonier Inc. and Rayonier, L.P. were effective as of June 30, 2025, with no material changes in internal control - For both Rayonier Inc. and Rayonier, L.P., management concluded that disclosure controls and procedures were effective as of June 30, 2025[306](index=306&type=chunk)[310](index=310&type=chunk) - No changes in internal control over financial reporting occurred during the quarter ended June 30, 2025, that materially affected, or are reasonably likely to materially affect, internal controls[307](index=307&type=chunk)[311](index=311&type=chunk) PART II - OTHER INFORMATION [Legal Proceedings](index=81&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various lawsuits and claims arising in the normal course of business, none of which are expected to have a material adverse effect on its financial position - The company is a defendant in various lawsuits and claims arising in the normal course of business, which are not expected to have a material adverse effect on its financial position, results of operations, or cash flow[149](index=149&type=chunk)[312](index=312&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=82&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Rayonier repurchased **1.5 million** common shares for **$34.9 million** in Q2 2025, with **$262.4 million** remaining under its share repurchase program, and issued shares for Operating Partnership units Q2 2025 Share Repurchases | Metric | Value | | :--- | :--- | | Total Shares Purchased (Public Program) | 1,472,928 | | Average Price Paid per Share | ~$23.71 | | Total Cost | ~$34.9 million | | Remaining Authorization (as of June 30, 2025) | $262.4 million | - The company issued **9,519** common shares in exchange for an equal number of Operating Partnership units during the quarter[313](index=313&type=chunk) [Other Information](index=83&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during Q2 2025 - No directors or officers adopted, modified, or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during Q2 2025[319](index=319&type=chunk) [Exhibits](index=84&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including CEO/CFO certifications for both entities and financial statements in iXBRL format - The report includes required certifications from the Chief Executive Officer and Chief Financial Officer for both Rayonier Inc. and Rayonier, L.P. (Exhibits 31.1, 31.2, 31.3, 31.4, 32.1, 32.2)[320](index=320&type=chunk) - Financial statements and notes are filed in Inline Extensible Business Reporting Language (iXBRL) format (Exhibit 101)[320](index=320&type=chunk)

Financial Data and Key Metrics Changes - The company generated adjusted EBITDA of $45 million in Q2, a 35% increase compared to the prior year quarter, driven by improved results in the Pacific Northwest Timber and Real Estate segments [7][11] - Pro forma net income was $10 million or $0.06 per share, reflecting a $4 million gain from the sale of the New Zealand joint venture [10][11] - Cash available for distribution (CAD) for the first half of the year was $47 million, up from $38 million in the prior year [11][12] Business Line Data and Key Metrics Changes - Southern Timber segment adjusted EBITDA was $28 million, down 16% year-over-year due to a 5% decrease in harvest volumes and a 14% decline in weighted average net stumpage realizations [15][16] - Pacific Northwest Timber segment adjusted EBITDA increased 17% to $7 million, despite a 15% decline in harvest volumes, due to lower costs and higher log prices [20][21] - Real Estate segment adjusted EBITDA was $19 million, significantly above expectations, driven by strong demand and accelerated transaction timing [23][24] Market Data and Key Metrics Changes - Average sawlog stumpage pricing in the Southern Timber segment decreased by 9% to $27 per ton, while pulpwood pricing fell 25% to approximately $13 per ton [16] - In the Pacific Northwest, average delivered domestic sawlog pricing increased 6% to $96 per ton, with pulpwood pricing up 4% to $32 per ton [20][21] - The company anticipates improved market conditions for pulpwood due to increased mill operating rates and reduced salvage volume [19] Company Strategy and Development Direction - The company completed the sale of its New Zealand joint venture for $710 million, exceeding its original target of $1 billion in asset dispositions [4][5] - Plans to use at least 50% of the sale proceeds to reduce leverage and return capital to shareholders through share repurchases and a special dividend [5][6] - The company remains focused on opportunistic capital allocation, including share buybacks and potential reinvestment into synergistic acquisitions [53][54] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for the second half of 2025, expecting improved timber market conditions due to reduced Canadian lumber supply and normalization of demand for green logs [30][31] - The company anticipates a stronger contribution from the Real Estate segment in the second half, with full-year adjusted EBITDA expected to be at or above the high end of prior guidance [28][33] - Management highlighted ongoing efforts in land-based solutions, including solar and carbon capture projects, as areas for future growth [34][35] Other Important Information - The company closed the second quarter with $892 million in cash and approximately $1.1 billion in debt, with a weighted average cost of debt around 2.4% [12][13] - The company's credit rating was upgraded from BBB- to BBB following the New Zealand transaction [14] Q&A Session Summary Question: Are you seeing increasing tension in timber prices due to upcoming Canadian duties? - Management noted improved pricing during the quarter, with steady conditions expected as mills increase demand [43][44] Question: What are the next steps for the company after completing the transformation? - The company plans to focus on share buybacks and opportunistic capital allocation while maintaining a leverage target below 3x net debt to EBITDA [49][53] Question: How does the upcoming hurricane season impact timber assets? - Management indicated that they have adapted their practices to reduce vulnerability to storm damage, but the impact of future storms remains uncertain [57][60] Question: What is the outlook for real estate demand? - Demand remains strong across various categories, with significant transactions anticipated in the second half of the year [62] Question: What is the impact of the One Big Beautiful Bill on solar projects? - The company continues to see robust activity in solar development despite uncertainties, with a strong pipeline of projects [68][69]

Financial Data and Key Metrics Changes - The company generated adjusted EBITDA of $45 million in Q2 2025, a 35% increase compared to the prior year quarter, driven by improved results in the Pacific Northwest Timber and Real Estate segments [6][11] - Pro forma net income was $10 million or $0.06 per share, with total sales of $107 million and operating income of $15 million [10][11] - Cash available for distribution (CAD) for the first half of the year was $47 million, up from $38 million in the prior year period [11] Business Line Data and Key Metrics Changes - Southern Timber segment adjusted EBITDA was $28 million, down 16% from the prior year due to a 5% decrease in harvest volumes and a 14% decline in weighted average net stumpage realizations [14][15] - Pacific Northwest Timber segment adjusted EBITDA increased 17% to $7 million, despite a 15% decline in harvest volumes, due to lower costs and higher log prices [19][20] - Real Estate segment adjusted EBITDA was $19 million, significantly above expectations, driven by strong demand and accelerated transaction timing [23][26] Market Data and Key Metrics Changes - Average sawlog stumpage pricing in the Southern Timber segment decreased by 9% to $27 per ton, while pulpwood pricing fell 25% to approximately $13 per ton [15] - In the Pacific Northwest, average delivered domestic sawlog pricing increased 6% to $96 per ton, with pulpwood pricing up 4% to $32 per ton [19][20] - The company anticipates improved market conditions for pulpwood due to increased mill operating rates and reduced salvage volume [18] Company Strategy and Development Direction - The company plans to use at least 50% of the sale proceeds from the New Zealand transaction to reduce leverage and return capital to shareholders through share repurchases and a special dividend [5] - The company remains focused on opportunistic capital allocation, including share buybacks and potential reinvestment into synergistic acquisitions [5][51] - The company is optimistic about the long-term growth potential in its land-based solutions business, particularly in solar and carbon capture projects [34][35] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for improved timber market conditions in the second half of 2025, driven by reduced salvage operations and increased lumber production in the U.S. [30][32] - The company expects a stronger contribution from the Real Estate segment in the second half of the year, with significant closing activity anticipated [26][28] - Management highlighted the importance of adapting to climate change and improving resilience against potential hurricane impacts on timber assets [60] Other Important Information - The company completed the sale of its New Zealand joint venture interest for $710 million, exceeding its original target of $1 billion in asset dispositions [4] - The company’s credit rating was upgraded from BBB- to BBB following the New Zealand transaction [13] Q&A Session Summary Question: Are you seeing increasing tension in timber prices due to upcoming Canadian duties? - Management noted improved pricing during the quarter, with steady conditions expected as the market anticipates the impact of duties [42][44] Question: What is the company's growth strategy post-transformation? - Management emphasized a nimble and opportunistic approach to capital allocation, focusing on share buybacks and maintaining a leverage target below 3x net debt to EBITDA [50][53] Question: How does the upcoming hurricane season affect timber assets? - Management indicated that while predictions suggest an above-average hurricane season, they have adapted their practices to reduce vulnerability to storm damage [58][60] Question: What is the outlook for real estate demand? - Management reported strong demand across various real estate categories, with significant transactions expected in the second half of the year [62] Question: What impact does the One Big Beautiful Bill have on solar projects? - Management remains optimistic about solar development activity, with ongoing negotiations for new projects despite uncertainties from the legislation [68][70]

Financial Performance - Sales for Q2 2025 were $106.5 million, compared to $99.6 million in Q2 2024[10] - Net income attributable to Rayonier Inc was $408.7 million in Q2 2025, compared to $1.9 million in Q2 2024[10] - Adjusted EBITDA for Q2 2025 was $44.9 million, compared to $33.3 million in Q2 2024[10] - Cash Available for Distribution (CAD) for the six months ended June 30, 2025, was $46.7 million, compared to $38.4 million for the same period in 2024[10] Segment Performance - Southern Timber operating income for Q2 2025 was $12.6 million, compared to $17.1 million in Q2 2024[12] - Pacific Northwest Timber operating income for Q2 2025 was $1.6 million, compared to a loss of $1.5 million in Q2 2024[12] - Real Estate operating income for Q2 2025 was $9.8 million, compared to $0.5 million in Q2 2024[12] - Southern Timber YTD Adjusted EBITDA was $55.4 million, compared to $78.7 million in the same period of 2024[15] - Pacific Northwest Timber YTD Adjusted EBITDA was $13.3 million, compared to $10.6 million in the same period of 2024[15] - Real Estate YTD Adjusted EBITDA was $20.6 million, compared to $9.1 million in the same period of 2024[15] Discontinued Operations - The company sold its 77% New Zealand joint venture interest on June 30, 2025, which is reflected as discontinued operations[10] - Total sales from discontinued operations for the six months ended June 30, 2025, were $109.3 million[40] - Income from discontinued operations for the six months ended June 30, 2025, was $406.3 million, including a gain on sale of $404.4 million[40]