10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2011

OR

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from              to             

Commission File Number 1-6780

RAYONIER INC.

Incorporated in the State of North Carolina

I.R.S. Employer Identification No. 13-2607329

1301 RIVERPLACE BOULEVARD

JACKSONVILLE, FL 32207

(Principal Executive Office)

Telephone Number: (904) 357-9100

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

YES x        NO  o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

YES x       NO  o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer  x	Accelerated filer  o
Non-accelerated filer  o	Smaller reporting company o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

YES o        NO  x

As of July 21, 2011, there were outstanding 81,212,865 Common Shares of the registrant.

TABLE OF CONTENTS

Item		Page
	PART I - FINANCIAL INFORMATION
1.	Financial Statements (unaudited)	1
	Condensed Consolidated Statements of Income and Comprehensive Income for the Three and Six Months Ended June 30, 2011 and 2010	1
	Condensed Consolidated Balance Sheets as of June 30, 2011 and December 31, 2010	2
	Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2011 and 2010	3
	Notes to Condensed Consolidated Financial Statements	4
2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	21
3.	Quantitative and Qualitative Disclosures about Market Risk	32
4.	Controls and Procedures	32
	PART II - OTHER INFORMATION
6.	Exhibits	33
	Signature	34

i

PART I.        FINANCIAL INFORMATION

Item 1.         Financial Statements

RAYONIER INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

AND COMPREHENSIVE INCOME

(Unaudited)

(Dollars in thousands, except per share amounts)

	Three Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011			2010
SALES	$	357,397		$	312,210		$	715,127		$	622,410
Costs and Expenses
Cost of sales	262,772			242,940			520,283			475,794
Selling and general expenses	15,992			15,172			32,425			32,139
Other operating expense (income), net	709			(1,260		)	(1,409		)	(5,828		)
	279,473			256,852			551,299			502,105
Equity in income of New Zealand joint venture	1,149			986			2,823			531
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION
OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE	79,073			56,344			166,651			120,836
Gain on sale of a portion of the interest in the New Zealand joint venture (Note 5)	—			—			—			12,367
OPERATING INCOME	79,073			56,344			166,651			133,203
Interest expense	(12,628		)	(12,250		)	(25,945		)	(24,736		)
Interest and miscellaneous income, net	314			408			605			598
INCOME BEFORE INCOME TAXES	66,759			44,502			141,311			109,065
Income tax expense	(10,305		)	(5,944		)	(26,446		)	(13,554		)
NET INCOME	56,454			38,558			114,865			95,511
OTHER COMPREHENSIVE INCOME (LOSS)
Foreign currency translation adjustment	7,442			(2,045		)	7,729			(3,261		)
Joint venture cash flow hedges	699			816			132			1,026
Amortization of pension and postretirement benefit costs, net of income
tax expense (benefit) of $927 and $221, and $1,854 and ($2,366)	2,094			535			4,188			4,639
COMPREHENSIVE INCOME	$	66,689		$	37,864		$	126,914		$	97,915
EARNINGS PER COMMON SHARE
Basic earnings per share	$	0.70		$	0.48		$	1.42		$	1.20
Diluted earnings per share	$	0.67		$	0.48		$	1.38		$	1.18
Dividends per share	$	0.54		$	0.50		$	1.08		$	1.00
PRO FORMA BASIS (ADJUSTED FOR 3-FOR-2 STOCK SPLIT EFFECTIVE AUGUST 2011) (Note 2)
Basic earnings per share	$	0.46		$	0.32		$	0.94		$	0.80
Diluted earnings per share	$	0.45		$	0.32		$	0.92		$	0.79
Dividends per share	$	0.36		$	0.33		$	0.72		$	0.67

See Notes to Condensed Consolidated Financial Statements.

1

RAYONIER INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(Dollars in thousands)

	June 30, 2011			December 31, 2010
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	314,180		$	349,463
Accounts receivable, less allowance for doubtful accounts of $388 and $387	108,302			82,640
Inventory
Finished goods	81,953			84,013
Work in progress	7,517			6,041
Raw materials	17,234			17,517
Manufacturing and maintenance supplies	2,325			2,464
Total inventory	109,029			110,035
Income tax receivable	1,755			21,734
Prepaid and other current assets	72,020			45,314
Total Current Assets	605,286			609,186
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	1,129,306			1,137,931
PROPERTY, PLANT AND EQUIPMENT
Land	26,343			24,752
Buildings	131,993			131,100
Machinery and equipment	1,381,800			1,350,812
Total property, plant and equipment, gross	1,540,136			1,506,664
Less—accumulated depreciation	(1,131,767		)	(1,121,360		)
Total property, plant and equipment, net	408,369			385,304
INVESTMENT IN JOINT VENTURE (NOTE 5)	77,469			68,483
OTHER ASSETS	141,357			162,749
TOTAL ASSETS	$	2,361,787		$	2,363,653
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	67,143		$	57,985
Current maturities of long-term debt	116,167			93,057
Accrued taxes	18,359			10,337
Uncertain tax positions	16,430			430
Accrued payroll and benefits	21,709			25,466
Accrued interest	6,640			6,206
Accrued customer incentives	8,707			9,759
Other current liabilities	36,050			30,208
Current liabilities for dispositions and discontinued operations (Note 10)	11,625			11,500
TOTAL CURRENT LIABILITIES	302,830			244,948
LONG-TERM DEBT	581,297			675,103
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED
OPERATIONS (Note 10)	76,928			81,660
PENSION AND OTHER POSTRETIREMENT BENEFITS (Note 12)	65,137			66,335
OTHER NON-CURRENT LIABILITIES	32,616			44,025
COMMITMENTS AND CONTINGENCIES (Note 9 and 11)
SHAREHOLDERS’ EQUITY
Common Shares, 240,000,000 shares authorized, 81,205,635 and
80,682,093 shares issued and outstanding	615,869			602,882
Retained earnings	743,419			717,058
Accumulated other comprehensive loss	(56,309		)	(68,358		)
TOTAL SHAREHOLDERS' EQUITY	1,302,979			1,251,582
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	2,361,787		$	2,363,653

See Notes to Condensed Consolidated Financial Statements.

2

RAYONIER INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(Dollars in thousands)

	Six Months Ended June 30,
	2011			2010
OPERATING ACTIVITIES
Net income	$	114,865		$	95,511
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation, depletion and amortization	62,863			76,522
Non-cash cost of real estate sold	1,749			3,434
Stock-based incentive compensation expense	8,021			7,960
Gain on sale of a portion of interest in the New Zealand joint venture	—			(11,545		)
Amortization of convertible debt discount	4,303			4,058
Deferred income taxes	(945		)	385
Excess tax benefits on stock-based compensation	(4,900		)	(3,951		)
Other	8,342			1,747
Changes in operating assets and liabilities:
Receivables	(25,222		)	7,952
Inventories	1,067			(7,359		)
Accounts payable	10,114			841
Income tax receivable	19,979			192,458
Other current assets	(13,545		)	(11,796		)
Accrued liabilities	14,287			4,459
Other assets	1,239			(91		)
Other non-current liabilities	(2,434		)	(466		)
Expenditures for dispositions and discontinued operations	(4,916		)	(4,319		)
CASH PROVIDED BY OPERATING ACTIVITIES	194,867			355,800
INVESTING ACTIVITIES
Capital expenditures	(65,211		)	(71,348		)
Purchase of timberlands	(12,976		)	—
Change in restricted cash	8,323			(10,043		)
Other	(950		)	4,875
CASH USED FOR INVESTING ACTIVITIES	(70,814		)	(76,516		)
FINANCING ACTIVITIES
Issuance of debt	70,000			127,000
Repayment of debt	(145,000		)	(66,650		)
Dividends paid	(87,871		)	(79,990		)
Proceeds from the issuance of common shares	7,894			12,232
Excess tax benefits on stock-based compensation	4,900			3,951
Debt issuance costs	(1,663		)	(535		)
Repurchase of common shares	(7,828		)	(5,997		)
CASH USED FOR FINANCING ACTIVITIES	(159,568		)	(9,989		)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	232			(75		)
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	(35,283		)	269,220
Balance, beginning of year	349,463			74,964
Balance, end of period	$	314,180		$	344,184
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid (received) during the period:
Interest	$	19,479		$	19,700
Income taxes	$	(448	)	$	144
Non-cash investing activity:
Capital assets purchased on account	$	11,129		$	13,595

See Notes to Condensed Consolidated Financial Statements.

3

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

1. BASIS OF PRESENTATION AND NEW ACCOUNTING PRONOUNCEMENTS

Basis of Presentation

The unaudited condensed consolidated financial statements and notes thereto of Rayonier Inc. and its subsidiaries ("Rayonier" or "the Company") have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and in accordance with the rules and regulations of the Securities and Exchange Commission ("SEC"). Accordingly, certain information in the financial statements of the Company's Annual Report on Form 10-K has been condensed. In the opinion of management, these financial statements and notes reflect all adjustments necessary for a fair presentation of the results of operations, financial position and cash flows for the periods presented. These statements and notes should be read in conjunction with the financial statements and supplementary data included in the Company's Annual Report on Form 10-K for the year ended December 31, 2010, as filed with the SEC.

Subsequent Events

The Company evaluated events and transactions that occurred after the balance sheet date but before financial statements were issued, and two subsequent events warranted disclosure. See Note 2 - Earnings Per Common Share and Note 3 - Income Taxes for additional information.

New or Recently Adopted Accounting Pronouncements

In June 2011, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2011-05, Presentation of Comprehensive Income. This standard eliminates the current option to report other comprehensive income and its components in the statement of changes in equity. An entity can elect to present items of net income and other comprehensive income in one continuous statement - referred to as the statement of comprehensive income - or in two separate, but consecutive, statements. Each component of net income and each component of other comprehensive income, together with totals for comprehensive income and its two parts - net income and other comprehensive income, would need to be displayed under either alternative. The statements would need to be presented with equal prominence as the other primary financial statements. The standard is effective for Rayonier's first quarter 2012 filing. Since Rayonier reports a condensed consolidated statement of income and comprehensive income as its first financial statement each quarter, this new guidance will have no effect.

2.    EARNINGS PER COMMON SHARE

The following table provides details of the calculations of basic and diluted earnings per share:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Net income	$	56,454	$	38,558	$	114,865	$	95,511
Shares used for determining basic earnings per common share	81,128,442		80,104,004		81,038,096		79,923,790
Dilutive effect of:
Stock options	494,374		374,768		487,376		387,399
Performance and restricted shares	634,627		613,931		611,325		592,281
Assumed conversion of Senior Exchangeable Notes (a)	1,541,395		—		1,271,207		—
Assumed conversion of warrants (a)	328,778		—		104,321		—
Shares used for determining diluted earnings per common share	84,127,616		81,092,703		83,512,325		80,903,470
Basic earnings per common share	$	0.70	$	0.48	$	1.42	$	1.20
Diluted earnings per common share	$	0.67	$	0.48	$	1.38	$	1.18

4

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	Three Months Ended June 30,		Six Months Ended June 30,
	2011	2010	2011	2010
Anti-dilutive shares excluded from the computations of
diluted earnings per share:
Stock options, performance and restricted shares	95,772	512,663	131,808	513,567
Exchangeable note hedges (a)	1,541,395	—	1,271,207	—
Total	1,637,167	512,663	1,403,015	513,567

(a) For additional information on the potential dilutive impact of the Senior Exchangeable Notes, warrants and exchangeable note hedges, see Note 11 - Debt in the 2010 Annual Report on Form 10-K.

Subsequent Events

On July 22, 2011, the Board of Directors authorized a three-for-two stock split. An additional one-half common share for every common share held of record as of August 10, 2011 will be distributed on August 24, 2011. Earnings per share and dividends per share presented in the interim financial statements have not been adjusted for the stock split. The condensed consolidated statements of income and comprehensive income present, on a pro forma basis, earnings per share and dividends per share reflecting the stock split. The following table provides the pro forma post-split basic and dilutive shares used for determining earnings per share:

	Three Months Ended June 30,		Six Months Ended June 30,
	2011	2010	2011	2010
Basic shares	121,692,663	120,156,006	121,557,144	119,885,685
Diluted shares	126,191,424	121,639,055	125,268,488	121,355,205

On July 22, 2011, the Board of Directors also approved an increase in the quarterly dividend per share from $0.54 per share to $0.60 per share on a pre-split basis starting with the third quarter 2011 dividend. On a post-split basis the dividend per share increased from $0.36 per share to $0.40 per share.

3. INCOME TAXES

Rayonier is a real estate investment trust ("REIT"). In general, only the taxable REIT subsidiaries, whose businesses include the Company's non-REIT qualified activities, are subject to corporate income taxes. However, the Company is subject to U.S. federal corporate income tax on built-in gains (the excess of fair market value over tax basis for property held upon REIT election at January 1, 2004) on taxable sales of such property during calendar years 2004 through 2013 (for 2011 the tax rate is zero). Accordingly, the provision for corporate income taxes relates principally to current and deferred taxes on taxable REIT subsidiaries' income and certain property sales.

The Company's effective tax rate is below the 35 percent U.S. statutory tax rate primarily due to tax benefits associated with being a REIT. The effective tax rates for the quarter and year-to-date were 15.4 percent and 18.7 percent compared to 13.4 percent and 12.4 percent in 2010, respectively, reflecting higher 2011 earnings from the taxable REIT subsidiaries, in particular Performance Fibers.

The U.S. Internal Revenue Service ("IRS") allowed two credits for taxpayers that produced and used an alternative fuel in the operation of their business through December 31, 2009. In the second quarter of 2011, management approved an exchange of approximately 30 million gallons of alternative fuel ("black liquor") previously claimed for the alternative fuel mixture credit ("AFMC") for the cellulosic biofuel producer credit ("CBPC"). This resulted in a second quarter 2011 net tax benefit of $4.1 million. For additional information, see Note 3 - Alternative Fuel Mixture Credit ("AFMC") and Cellulosic Biofuel Producer Credit ("CBPC") in the Company's Annual Report on Form 10-K for the year ended December 31, 2010.

Subsequent Events

In July 2011, the Company received a final examination report from the IRS regarding its Rayonier TRS Holdings Inc. ("TRS") 2009 tax return. As a result, Rayonier will reverse the uncertain tax liability recorded in 2009 relating to the taxability of the AFMC and recognize a $16 million tax benefit in the third quarter of 2011. For additional information, see Note 8 - Income Taxes in the Company's Annual Report on Form 10-K for the year ended December 31, 2010.

5

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

4. RESTRICTED DEPOSITS

In order to qualify for like-kind exchange ("LKE") treatment, the proceeds from real estate sales must be deposited with a third-party intermediary. These proceeds are accounted for as restricted cash until a suitable replacement property is acquired. In the event that the LKE purchases are not completed, the proceeds are returned to the Company after 180 days and reclassified as available cash. As of June 30, 2011 and December 31, 2010, the Company had $0 and $8.3 million, respectively, of proceeds from real estate sales classified as restricted cash in Other Assets, which were deposited with an LKE intermediary.

5. JOINT VENTURE INVESTMENT

The Company holds a 26 percent interest in Matariki Forestry Group ("Matariki"), a joint venture ("JV") that owns or leases approximately 0.3 million acres of New Zealand timberlands. In addition to the investment, Rayonier New Zealand Limited, a wholly-owned subsidiary of Rayonier Inc., serves as the manager of the JV forests and operates a log trading business.

In February 2010, the JV sold a 35 percent interest to a new investor for NZ$167 million. Matariki issued new shares to the investor and used all the proceeds to pay down a portion of its outstanding NZ$367 million debt. Upon closing, Rayonier's ownership interest in Matariki declined from 40 percent to 26 percent. As a result of this transaction, results for the six months ended June 30, 2010 include a gain of $11.5 million, net of $0.9 million in tax, or $0.14 per diluted share.

6. SHAREHOLDERS’ EQUITY

An analysis of shareholders’ equity for the six months ended June 30, 2011 and the year ended December 31, 2010 is shown below (share amounts not in thousands):

	Common Shares					Retained Earnings			Accumulated Other Comprehensive Loss			Shareholders’ Equity
	Shares		Amount
Balance, December 31, 2009	79,541,974		$	561,962		$	663,986		$	(79,742	)	$	1,146,206
Net income	—		—			217,586			—			217,586
Dividends ($2.04 per share)	—		—			(164,514		)	—			(164,514		)
Issuance of shares under incentive stock plans	1,276,227		26,314			—			—			26,314
Stock-based compensation	—		15,223			—			—			15,223
Excess tax benefit on stock-based compensation	—		5,411			—			—			5,411
Repurchase of common shares	(136,108	)	(6,028		)	—			—			(6,028		)
Net gain from pension and postretirement plans	—		—			—			6,385			6,385
Foreign currency translation adjustment	—		—			—			4,162			4,162
Joint venture cash flow hedges	—		—			—			837			837
Balance, December 31, 2010	80,682,093		$	602,882		$	717,058		$	(68,358	)	$	1,251,582
Net income	—		—			114,865			—			114,865
Dividends ($1.08 per share)	—		—			(88,504		)	—			(88,504		)
Issuance of shares under incentive stock plans	662,671		7,894			—			—			7,894
Stock-based compensation	—		8,021			—			—			8,021
Excess tax benefit on stock-based compensation	—		4,900			—			—			4,900
Repurchase of common shares	(139,129	)	(7,828		)	—			—			(7,828		)
Amortization of pension and postretirement plans	—		—			—			4,188			4,188
Foreign currency translation adjustment	—		—			—			7,729			7,729
Joint venture cash flow hedges	—		—			—			132			132
Balance, June 30, 2011	81,205,635		$	615,869		$	743,419		$	(56,309	)	$	1,302,979

7. SEGMENT AND GEOGRAPHICAL INFORMATION

Effective first quarter 2011, the Company renamed its Timber segment, Forest Resources. All prior period amounts previously reported under the Timber segment are now reported under the Forest Resources segment.

Rayonier operates in four reportable business segments: Forest Resources, Real Estate, Performance Fibers, and Wood Products. Forest Resources sales include all activities that relate to the harvesting of timber. Real Estate sales include all property sales, including those designated for higher and better use ("HBU"). The assets of the Real Estate segment include HBU property held by the Company’s real estate subsidiary, TerraPointe LLC. The Performance Fibers segment includes two major product lines,

6

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

cellulose specialties and absorbent materials. The Wood Products segment is comprised of lumber operations. The Company’s remaining operations include harvesting and selling timber acquired from third parties (log trading). These operations are reported in "Other Operations." Sales between operating segments are made based on fair market value, and intercompany sales, purchases and profits (losses) are eliminated in consolidation. The Company evaluates financial performance based on the operating income of the segments.

Operating income (loss) as presented in the Condensed Consolidated Statements of Income and Comprehensive Income is equal to segment income (loss). Certain income (loss) items in the Condensed Consolidated Statements of Income and Comprehensive Income are not allocated to segments. These items, which include gains (losses) from certain asset dispositions, interest income (expense), miscellaneous income (expense) and income tax (expense) benefit, are not considered by Company management to be part of segment operations.

Total assets, sales, operating income (loss) and depreciation, depletion and amortization by segment including Corporate were as follows:

	June 30,		December 31,
ASSETS	2011		2010
Forest Resources	$	1,255,830	$	1,259,925
Real Estate	76,296		85,525
Performance Fibers	607,481		550,875
Wood Products	21,473		19,544
Other Operations	29,877		25,583
Corporate and other	370,830		422,201
Total	$	2,361,787	$	2,363,653

	Three Months Ended June 30,						Six Months Ended June 30,
SALES	2011			2010			2011			2010
Forest Resources	$	57,037		$	48,917		$	105,217		$	96,025
Real Estate	12,305			12,712			25,767			45,729
Performance Fibers	232,807			201,947			483,970			401,719
Wood Products	17,957			21,573			33,747			37,505
Other Operations	38,508			30,246			68,920			47,354
Intersegment Eliminations (a)	(1,217		)	(3,185		)	(2,494		)	(5,922		)
Total	$	357,397		$	312,210		$	715,127		$	622,410

(a) Intersegment eliminations primarily reflect sales from our Forest Resources segment to our Performance Fibers segment.

	Three Months Ended June 30,						Six Months Ended June 30,
OPERATING INCOME	2011			2010			2011			2010
Forest Resources	$	11,838		$	8,663		$	22,888		$	16,872
Real Estate	5,009			4,183			12,380			21,537
Performance Fibers	71,102			44,990			146,811			89,847
Wood Products	(987		)	4,270			(534		)	4,311
Other Operations	(965		)	726			(166		)	1,336
Corporate and other (b)	(6,924		)	(6,488		)	(14,728		)	(700		)
Total	$	79,073		$	56,344		$	166,651		$	133,203

(b) Six months ended June 30, 2010 includes a $12.4 million gain from the sale of a portion of the Company's interest in its New Zealand JV. See Note 5 — Joint Venture Investment for additional information.

7

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	Three Months Ended June 30,				Six Months Ended June 30,
DEPRECIATION, DEPLETION AND AMORTIZATION	2011		2010		2011		2010
Forest Resources	$	15,848	$	17,269	$	31,252	$	34,005
Real Estate	2,231		2,486		4,921		12,002
Performance Fibers	11,783		12,203		24,498		28,007
Wood Products	834		1,078		1,655		2,144
Corporate and other	298		171		537		364
Total	$	30,994	$	33,207	$	62,863	$	76,522

8. FAIR VALUE MEASUREMENTS

Fair Value of Financial Instruments

The following table presents the carrying amount and estimated fair values of financial instruments held by the Company at June 30, 2011 and December 31, 2010, using market information and what the Company believes to be appropriate valuation methodologies under generally accepted accounting principles:

	June 30, 2011						December 31, 2010
Asset (liability)	Carrying Amount			Fair Value			Carrying Amount			Fair Value
Cash and cash equivalents	$	314,180		$	314,180		$	349,463		$	349,463
Short-term debt	(116,167		)	(118,424		)	(93,057		)	(98,042		)
Long-term debt	(581,297		)	(750,980		)	(675,103		)	(783,080		)

Rayonier uses the following methods and assumptions in estimating the fair value of its financial instruments:

Cash and cash equivalents — The carrying amount is equal to fair market value.

Debt — The fair value of fixed rate debt is based upon quoted market prices for debt with similar terms and maturities.

Variable Interest Entity

Rayonier holds a variable interest in a bankruptcy-remote, limited liability subsidiary ("special-purpose entity") which was created in 2004 when Rayonier monetized a $25.0 million installment note and letter of credit received in connection with a timberland sale. The Company contributed the note and a letter of credit to the special-purpose entity and using the installment note and letter of credit as collateral, the special-purpose entity issued $22.6 million of 15-year Senior Secured Notes and remitted cash of $22.6 million to the Company. There are no restrictions that relate to the transferred financial assets. Rayonier maintains a $2.6 million interest in the entity and receives immaterial cash payments equal to the excess of interest received on the installment note over the interest paid on the Senior Secured Notes. The Company's interest is recorded at fair value and is included in "Other Assets" in the Condensed Consolidated Balance Sheets. In addition, the Company calculated and recorded a de minimus guarantee liability to reflect its obligation of up to $2.6 million under a make-whole agreement pursuant to which it guaranteed certain obligations of the entity. This guarantee obligation is also collateralized by the letter of credit. The Company's interest in the entity, together with the make-whole agreement, represents the maximum exposure to loss as a result of the Company's involvement with the special-purpose entity. Upon maturity of the Senior Secured Notes in 2019 and termination of the special-purpose entity, Rayonier will receive the remaining $2.6 million of cash. The Company determined, based upon an analysis under the variable interest entity guidance, that it does not have the power to direct activities that most significantly impact the entity's economic success. Therefore, Rayonier is not the primary beneficiary and is not required to consolidate the entity.

8

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NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

Assets measured at fair value on a recurring basis are summarized below:

Asset	Carrying Value at June 30, 2011		Level 2		Carrying Value at December 31, 2010		Level 2
Investment in special-purpose entity	$	2,879	$	2,879	$	2,879	$	2,879

The fair value of the investment in the special-purpose entity is determined by summing the discounted value of future principal and interest payments that Rayonier will receive from the special-purpose entity. The interest rate of a similar instrument is used to determine the discounted value of the payments.

9. GUARANTEES

The Company provides financial guarantees as required by creditors, insurance programs, and state and foreign governmental agencies. As of June 30, 2011, the following financial guarantees were outstanding:

Financial Commitments	Maximum Potential Payment		Carrying Amount of Liability
Standby letters of credit (a)	$	43,807	$	38,110
Guarantees (b)	2,555		43
Surety bonds (c)	12,581		1,857
Total financial commitments	$	58,943	$	40,010

(a) Approximately $39 million of the standby letters of credit serve as credit support for industrial revenue bonds. The remaining letters of credit support various insurance related agreements, primarily workers’ compensation and pollution liability policy requirements. These letters of credit will expire at various dates during 2011 and 2012 and will be renewed as required.

(b) In conjunction with a timberland sale and note monetization in the first quarter of 2004, the Company issued a make-whole agreement pursuant to which it guaranteed $2.6 million of obligations of a special-purpose entity that was established to complete the monetization. At June 30, 2011, the Company has a de minimus liability to reflect the fair market value of its obligation to perform under the make-whole agreement.

(c) Rayonier issues surety bonds primarily to secure timber harvesting obligations in the State of Washington and to provide collateral for the Company’s workers’ compensation self-insurance program in that state. These surety bonds expire at various dates during 2011, 2012 and 2014 and are expected to be renewed as required.

9

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

10. LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS

An analysis of the liabilities for dispositions and discontinued operations follows:

	June 30,			December 31,
	2011			2010
Balance, beginning of period	$	93,160		$	98,591
Expenditures charged to liabilities	(4,916		)	(8,632		)
Increase to liabilities	309			3,201
Balance, end of period	88,553			93,160
Less: Current portion	(11,625		)	(11,500		)
Non-current portion	$	76,928		$	81,660

The Company is exposed to the risk of reasonably possible additional losses in excess of the established liabilities. As of June 30, 2011, this amount could range up to $40 million, allocable over several of the applicable sites, and arises from uncertainty over the availability or effectiveness of certain remediation technologies, additional or different contamination that may be discovered, development of new or more effective environmental remediation technologies and the exercise of discretion in interpretation of applicable law and regulations by governmental agencies.

Subject to the factors described in Note 14 - Liabilities for Dispositions and Discontinued Operations in the 2010 Annual Report on Form 10-K, the Company believes established liabilities are sufficient for costs expected to be incurred over the next 20 years with respect to its dispositions and discontinued operations. Remedial actions for these sites vary, but include on-site (and in certain cases off-site) removal or treatment of contaminated soils and sediments, recovery and treatment/remediation of groundwater, and source remediation and/or control.

11. CONTINGENCIES

Rayonier is engaged in various legal actions, including certain environmental proceedings. The Company has been named as a defendant in various other lawsuits and claims arising in the normal course of business. While the Company has procured reasonable and customary insurance covering risks normally occurring in connection with its businesses, it has in certain cases retained some risk through the operation of self-insurance, primarily in the areas of workers’ compensation, property insurance and general liability. These other lawsuits and claims, either individually or in the aggregate, are not expected to have a material adverse effect on the Company’s financial position, results of operations, or cash flow.

For additional information, see Note 14 — Liabilities for Dispositions and Discontinued Operations in the 2010 Annual Report on Form 10-K.

12. EMPLOYEE BENEFIT PLANS

The Company has four qualified non-contributory defined benefit pension plans covering a majority of its employees and an unfunded plan that provides benefits in excess of amounts allowable under current tax law in the qualified plans. As of March 2011, all of these plans were closed to new participants. Employee benefit plan liabilities are calculated using actuarial estimates and management assumptions. These estimates are based on historical information, along with certain assumptions about future events. Changes in assumptions, as well as changes in actual experience, could cause the estimates to change.

10

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NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

The net pension and postretirement benefit costs that have been recognized during the stated periods are shown in the following table:

	Pension						Postretirement
	Three Months Ended June 30,						Three Months Ended June 30,
	2011			2010			2011		2010
Components of Net Periodic Benefit Cost
Service cost	$	1,695		$	1,452		$	182	$	146
Interest cost	4,522			4,291			236		257
Expected return on plan assets	(6,455		)	(5,416		)	—		—
Amortization of prior service cost	340			518			22		22
Amortization of plan amendment	—			—			—		(2,392		)
Amortization of losses	2,593			1,130			66		1,478
Net periodic benefit cost	$	2,695		$	1,975		$	506	$	(489	)

	Pension						Postretirement
	Six Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011		2010
Components of Net Periodic Benefit Cost
Service cost	$	3,390		$	3,098		$	364	$	292
Interest cost	9,044			8,870			472		514
Expected return on plan assets	(12,910		)	(10,826		)	—		—
Amortization of prior service cost	680			829			44		44
Amortization of plan amendment	—			—			—		(4,784		)
Amortization of losses	5,186			3,228			132		2,956
Net periodic benefit cost	$	5,390		$	5,199		$	1,012	$	(978	)

The Company made no discretionary contributions to the pension plans during the six months ended June 30, 2011. The Company has no mandatory pension contributions for 2011 and does not expect to make any discretionary contributions.

13. DEBT

In April 2011, the Company entered into a five year $300 million unsecured revolving credit facility, replacing the previous $250 million facility which was scheduled to expire in August 2011. The new facility has a borrowing rate of LIBOR plus 105 basis points plus a facility fee of 20 basis points and expires in April 2016. The Company had $295 million of available borrowings at June 30, 2011.

In March 2011, TRS, a wholly-owned subsidiary of Rayonier, repaid a $75 million term note due in 2015. There were no other significant changes to the Company's outstanding debt as reported in Note 11 - Debt of the Company's 2010 Annual Report on 10-K.

11

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

14. ACCUMULATED OTHER COMPREHENSIVE LOSS

Accumulated Other Comprehensive Loss was comprised of the following:

	June 30, 2011			December 31, 2010
Foreign currency translation adjustments	$	38,660		$	30,931
Joint venture cash flow hedges	(1,336		)	(1,468		)
Unrecognized components of employee benefit plans, net of tax	(93,633		)	(97,821		)
Total	$	(56,309	)	$	(68,358	)

15. CONSOLIDATING FINANCIAL STATEMENTS

In October 2007, TRS issued $300 million of 3.75% Senior Exchangeable Notes due 2012, and in August 2009 TRS issued $172.5 million of 4.50% Senior Exchangeable Notes due 2015. The notes for both transactions are non-callable and are guaranteed by Rayonier Inc. In connection with these exchangeable notes, the Company provides the following condensed consolidating financial information in accordance with SEC Regulation S-X Rule 3-10, Financial Statements of Guarantors and Issuers of Guaranteed Securities Registered or Being Registered. Each entity in the consolidating financial information follows the same accounting policies as described in the consolidated financial statements, except for the use of the equity method of accounting to reflect ownership interests in wholly-owned subsidiaries, which are eliminated upon consolidation, and the allocation of certain expenses of Rayonier Inc. incurred for the benefit of its subsidiaries.

Reclassifications

On July 29, 2010, Rayonier Inc. reorganized its operating structure by creating a new wholly-owned operating entity Rayonier Operating Company LLC ("ROC"), and entering into a contribution agreement under which Rayonier Inc. contributed all assets and liabilities to ROC. As part of this agreement, ROC guarantees the TRS notes mentioned above. Rayonier Inc.'s guarantee of the TRS notes was unchanged by the transaction. Accordingly, the Company has revised its presentation of previously reported consolidating financial statements to reflect ROC as a subsidiary guarantor.

Also in 2010, the Company determined that certain amounts had been incorrectly allocated between the entities presented. See Note 21 - Consolidating Financial Statements in the Company's 2010 Annual Report on Form 10-K for additional information. This resulted in (1) an understatement of interest expense of $5.3 million and $10.2 million for the three and six months ended June 30, 2010, respectively, for TRS (Issuer) and an overstatement for the same amount for TRS non-guarantor subsidiaries, and (2) the overstatement of income related to the New Zealand joint venture totaling $0.8 million and $4.7 million for the three and six months ended June 30, 2010, respectively, at Rayonier Inc. (Parent Guarantor) and an understatement for the same amount for Other non-guarantor subsidiaries.  Consequently, Parent Guarantor and Issuer equity in income from subsidiaries and Issuer and Non-guarantor subsidiaries income tax expense, as previously reported, were also impacted by these misallocations in lesser amounts. The information below gives effect to the correction of these matters. The aforementioned items do not impact the Company’s Condensed Consolidated Balance Sheet, Condensed Consolidated Statement of Income and Comprehensive Income or Condensed Consolidated Statement of Cash Flows for the quarter ended June 30, 2010. Management believes the effects of these corrections are not material to the Company’s previously issued condensed consolidating financial statements.

12

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Three Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	330,812		$	43,589		$	(17,004	)	$	357,397
Costs and Expenses
Cost of sales	—		—			—			251,107			30,257			(18,592		)	262,772
Selling and general expenses	—		2,215			—			12,985			792			—			15,992
Other operating expense  (income), net	—		36			—			1,903			(1,230		)	—			709
	—		2,251			—			265,995			29,819			(18,592		)	279,473
Equity in income of New Zealand joint venture	—		—			—			167			982			—			1,149
OPERATING (LOSS) INCOME	—		(2,251		)	—			64,984			14,752			1,588			79,073
Interest expense	—		(261		)	(12,161		)	(144		)	(62		)	—			(12,628		)
Interest and miscellaneous income (expense), net	—		1,303			(1,117		)	(4,992		)	5,120			—			314
Equity in income from subsidiaries	56,454		57,748			44,783			—			—			(158,985		)	—
INCOME BEFORE INCOME TAXES	56,454		56,539			31,505			59,848			19,810			(157,397		)	66,759
Income tax (expense) benefit	—		(85		)	4,845			(15,065		)	—			—			(10,305		)
NET INCOME	$	56,454	$	56,454		$	36,350		$	44,783		$	19,810		$	(157,397	)	$	56,454

13

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Three Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	294,765		$	33,410		$	(15,965	)	$	312,210
Costs and Expenses
Cost of sales	—		—			—			240,382			23,712			(21,154		)	242,940
Selling and general expenses	—		2,856			—			11,539			777			—			15,172
Other operating expense (income), net	—		24			—			425			(1,709		)	—			(1,260		)
	—		2,880			—			252,346			22,780			(21,154		)	256,852
Equity in income of New Zealand joint venture	—		—			—			150			836			—			986
OPERATING (LOSS) INCOME	—		(2,880		)	—			42,569			11,466			5,189			56,344
Interest expense	—		260			(12,656		)	175			(29		)	—			(12,250		)
Interest and miscellaneous income (expense), net	—		1,332			(1,040		)	(4,999		)	5,115			—			408
Equity in income from subsidiaries	38,558		40,186			27,141			—			—			(105,885		)	—
INCOME BEFORE INCOME TAXES	38,558		38,898			13,445			37,745			16,552			(100,696		)	44,502
Income tax (expense) benefit	—		(340		)	5,000			(10,604		)	—			—			(5,944		)
NET INCOME	$	38,558	$	38,558		$	18,445		$	27,141		$	16,552		$	(100,696	)	$	38,558

14

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Six Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	659,077		$	86,421		$	(30,371	)	$	715,127
Costs and Expenses
Cost of sales	—		—			—			495,404			58,254			(33,375		)	520,283
Selling and general expenses	—		4,931			—			26,055			1,439			—			32,425
Other operating expense  (income), net	—		85			—			2,201			(3,694		)	(1		)	(1,409		)
	—		5,016			—			523,660			55,999			(33,376		)	551,299
Equity in income of New Zealand joint venture	—		—			—			361			2,462			—			2,823
OPERATING (LOSS) INCOME	—		(5,016		)	—			135,778			32,884			3,005			166,651
Interest expense	—		(391		)	(25,211		)	(256		)	(87		)	—			(25,945		)
Interest and miscellaneous income (expense), net	—		2,640			(2,191		)	(10,016		)	10,172			—			605
Equity in income from subsidiaries	114,865		117,792			89,218			—			—			(321,875		)	—
INCOME BEFORE INCOME TAXES	114,865		115,025			61,816			125,506			42,969			(318,870		)	141,311
Income tax (expense) benefit	—		(160		)	10,002			(36,288		)	—			—			(26,446		)
NET INCOME	$	114,865	$	114,865		$	71,818		$	89,218		$	42,969		$	(318,870	)	$	114,865

15

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Six Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	579,333		$	134,868		$	(91,791	)	$	622,410
Costs and Expenses
Cost of sales	—		—			—			474,223			65,882			(64,311		)	475,794
Selling and general expenses	—		4,856			—			25,730			1,553			—			32,139
Other operating expense (income), net	—		20			—			(1,635		)	(4,213		)	—			(5,828		)
	—		4,876			—			498,318			63,222			(64,311		)	502,105
Equity in income of New Zealand joint venture	—		—			—			505			26			—			531
OPERATING (LOSS) INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE	—		(4,876		)	—			81,520			71,672			(27,480		)	120,836
Gain on sale of a portion of the interest in the New Zealand joint venture	—		—			—			7,697			4,670			—			12,367
OPERATING (LOSS) INCOME	—		(4,876		)	—			89,217			76,342			(27,480		)	133,203
Interest expense	—		150			(24,960		)	153			(79		)	—			(24,736		)
Interest and miscellaneous income (expense), net	—		10,259			(2,289		)	(16,656		)	9,284			—			598
Equity in income from subsidiaries	95,511		91,520			50,756			—			—			(237,787		)	—
INCOME BEFORE INCOME TAXES	95,511		97,053			23,507			72,714			85,547			(265,267		)	109,065
Income tax (expense) benefit	—		(1,542		)	9,946			(21,958		)	—			—			(13,554		)
NET INCOME	$	95,511	$	95,511		$	33,453		$	50,756		$	85,547		$	(265,267	)	$	95,511

16

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	CONDENSED CONSOLIDATING BALANCE SHEETS As of June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)		Rayonier TRS Holdings Inc. (Issuer)		Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	—	$	45,727	$	232,333	$	11,745		$	24,375		$	—		$	314,180
Accounts receivable, less allowance for doubtful accounts	—		42		—		105,978			2,282			—			108,302
Inventory	—		—		—		123,050			—			(14,021		)	109,029
Intercompany interest receivable	—		—		—		—			4,225			(4,225		)	—
Income tax receivable	—		1,755		—		—			—			—			1,755
Prepaid and other current assets	—		1,404		815		65,777			4,024			—			72,020
Total current assets	—		48,928		233,148		306,550			34,906			(18,246		)	605,286
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	—		245		—		38,079			1,089,122			1,860			1,129,306
NET PROPERTY, PLANT AND EQUIPMENT	—		2,551		—		404,102			1,716			—			408,369
INVESTMENT IN JOINT VENTURE	—		—		—		(12,290		)	89,759			—			77,469
INVESTMENT IN SUBSIDIARIES	1,302,979		1,431,789		1,027,229		—			—			(3,761,997		)	—
OTHER ASSETS	—		26,945		8,087		647,435			6,328			(547,438		)	141,357
TOTAL ASSETS	$	1,302,979	$	1,510,458	$	1,268,464	$	1,383,876		$	1,221,831		$	(4,325,821	)	$	2,361,787
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	—	$	1,288	$	42	$	64,541		$	1,272		$	—		$	67,143
Current maturities of long-term debt	—		—		116,167		—			—			—			116,167
Accrued taxes	—		9		—		13,809			4,541			—			18,359
Uncertain tax positions	—		430		—		16,000			—			—			16,430
Accrued payroll and benefits	—		10,080		—		9,981			1,648			—			21,709
Accrued interest	—		145		5,464		1,031			—			—			6,640
Accrued customer incentives	—		—		—		8,707			—			—			8,707
Other current liabilities	—		1,479		—		20,048			14,523			—			36,050
Current liabilities for dispositions and discontinued operations	—		—		—		11,625			—			—			11,625
Total current liabilities	—		13,431		121,673		145,742			21,984			—			302,830
LONG-TERM DEBT	—		—		581,297		—			—			—			581,297
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	—		—		—		76,928			—			—			76,928
PENSION AND OTHER POSTRETIREMENT BENEFITS	—		64,076		—		1,061			—			—			65,137
OTHER NON-CURRENT LIABILITIES	—		19,268		—		12,717			631			—			32,616
INTERCOMPANY PAYABLE	—		110,704		—		120,199			(7,099		)	(223,804		)	—
TOTAL LIABILITIES	—		207,479		702,970		356,647			15,516			(223,804		)	1,058,808
TOTAL SHAREHOLDERS’ EQUITY	1,302,979		1,302,979		565,494		1,027,229			1,206,315			(4,102,017		)	1,302,979
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,302,979	$	1,510,458	$	1,268,464	$	1,383,876		$	1,221,831		$	(4,325,821	)	$	2,361,787

17

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	CONDENSED CONSOLIDATING BALANCE SHEETS As of December 31, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)		Rayonier TRS Holdings Inc. (Issuer)		Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	—	$	29,759	$	283,258	$	1,280		$	35,166		$	—		$	349,463
Accounts receivable, less allowance for doubtful accounts	—		1		—		81,288			1,351			—			82,640
Inventory	—		—		—		123,432			—			(13,397		)	110,035
Intercompany interest receivable	—		—		—		—			4,320			(4,320		)	—
Income tax receivable	—		1,750		—		19,984			—			—			21,734
Prepaid and other current assets	—		1,273		842		38,697			4,502			—			45,314
Total current assets	—		32,783		284,100		264,681			45,339			(17,717		)	609,186
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	—		—		—		37,398			1,098,870			1,663			1,137,931
NET PROPERTY, PLANT AND EQUIPMENT	—		2,819		—		380,577			1,711			197			385,304
INVESTMENT IN JOINT VENTURE	—		—		—		(12,282		)	80,765			—			68,483
INVESTMENT IN SUBSIDIARIES	1,251,582		1,392,465		987,381		—			—			(3,631,428		)	—
OTHER ASSETS	—		26,642		9,351		664,664			13,153			(551,061		)	162,749
TOTAL ASSETS	$	1,251,582	$	1,454,709	$	1,280,832	$	1,335,038		$	1,239,838		$	(4,198,346	)	$	2,363,653
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	—	$	823	$	20	$	55,052		$	2,090		$	—		$	57,985
Current maturities of long-term debt	—		—		93,057		—			—			—			93,057
Accrued taxes	—		—		—		8,283			2,054			—			10,337
Uncertain tax positions	—		430		—		—			—			—			430
Accrued payroll and benefits	—		13,507		—		9,590			2,369			—			25,466
Accrued interest	—		12		5,591		603			—			—			6,206
Accrued customer incentives	—		—		—		9,759			—			—			9,759
Other current liabilities	—		2,178		—		20,071			7,959			—			30,208
Current liabilities for dispositions and discontinued operations	—		—		—		11,500			—			—			11,500
Total current liabilities	—		16,950		98,668		114,858			14,472			—			244,948
LONG-TERM DEBT	—		—		675,103		—			—			—			675,103
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	—		—		—		81,660			—			—			81,660
PENSION AND OTHER POSTRETIREMENT BENEFITS	—		63,759		—		2,576			—			—			66,335
OTHER NON-CURRENT LIABILITIES	—		19,811		—		23,552			662			—			44,025
INTERCOMPANY PAYABLE	—		102,607		—		125,011			(3,751		)	(223,867		)	—
TOTAL LIABILITIES	—		203,127		773,771		347,657			11,383			(223,867		)	1,112,071
TOTAL SHAREHOLDERS’ EQUITY	1,251,582		1,251,582		507,061		987,381			1,228,455			(3,974,479		)	1,251,582
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,251,582	$	1,454,709	$	1,280,832	$	1,335,038		$	1,239,838		$	(4,198,346	)	$	2,363,653

18

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Six Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)			ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
CASH PROVIDED BY OPERATING ACTIVITIES	$	87,805		$	104,011		$	15,000		$	97,347		$	81,107		$	(190,403	)	$	194,867
INVESTING ACTIVITIES
Capital expenditures	—			(238		)	—			(47,800		)	(17,173		)	—			(65,211		)
Purchase of timberlands	—			—			—			—			(12,976		)	—			(12,976		)
Change in restricted cash	—			—			—			—			8,323			—			8,323
Investment In Subsidiaries	—			—			24,778			—			—			(24,778		)	—
Other	—			—			—			(878		)	(72		)	—			(950		)
CASH (USED FOR) PROVIDED BY INVESTING ACTIVITIES	—			(238		)	24,778			(48,678		)	(21,898		)	(24,778		)	(70,814		)
FINANCING ACTIVITIES
Issuance of debt	—			—			—			—			70,000			—			70,000
Repayment of debt	—			—			(75,000		)	—			(70,000		)	—			(145,000		)
Dividends paid	(87,871		)	—			—			—			—			—			(87,871		)
Proceeds from the issuance of common shares	7,894			—			—			—			—			—			7,894
Excess tax benefits on stock-based compensation	—			—			—			4,900			—			—			4,900
Debt issuance costs	—			(480		)	(703		)	—			(480		)	—			(1,663		)
Repurchase of common shares	(7,828		)	—			—			—			—			—			(7,828		)
Distributions to / from parent	—			(87,325		)	(15,000		)	(43,336		)	(69,520		)	215,181			—
CASH USED FOR FINANCING ACTIVITIES	(87,805		)	(87,805		)	(90,703		)	(38,436		)	(70,000		)	215,181			(159,568		)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	—			—			—			232			—			—			232
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	—			15,968			(50,925		)	10,465			(10,791		)	—			(35,283		)
Balance, beginning of year	—			29,759			283,258			1,280			35,166			—			349,463
Balance, end of period	$	—		$	45,727		$	232,333		$	11,745		$	24,375		$	—		$	314,180

19

RAYONIER INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Unaudited)

(Dollar amounts in thousands unless otherwise stated)

	CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Six Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)			ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
CASH PROVIDED BY OPERATING ACTIVITIES	$	73,755		$	117,276		$	25,000		$	231,519		$	118,793		$	(210,543	)	$	355,800
INVESTING ACTIVITIES
Capital expenditures	—			(139		)	—			(58,842		)	(12,367		)	—			(71,348		)
Intercompany purchase of timberlands and real estate	—			—			—			(41,254		)	(22,936		)	64,190			—
Change in restricted cash	—			—			—			—			(10,043		)	—			(10,043		)
Investment in Subsidiaries	—			—			116,784			—			—			(116,784		)	—
Other	—			—			—			6,855			(1,980		)	—			4,875
CASH (USED FOR) PROVIDED BY INVESTING ACTIVITIES	—			(139		)	116,784			(93,241		)	(47,326		)	(52,594		)	(76,516		)
FINANCING ACTIVITIES
Issuance of debt	—			—			75,000			—			52,000			—			127,000
Repayment of debt	—			(5,000		)	(4,650		)	—			(57,000		)	—			(66,650		)
Dividends paid	(79,990		)	—			—			—			—			—			(79,990		)
Proceeds from the issuance of common shares	12,232			—			—			—			—			—			12,232
Excess tax benefits on stock-based compensation	—			—			—			3,951			—			—			3,951
Debt issuance costs	—			—			(535		)	—			—			—			(535		)
Repurchase of common shares	(5,997		)	—			—			—			—			—			(5,997		)
Distributions to / from parent	—			(73,755		)	(25,000		)	(144,382		)	(20,000		)	263,137			—
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(73,755		)	(78,755		)	44,815			(140,431		)	(25,000		)	263,137			(9,989		)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	—			—			—			(75		)	—			—			(75		)
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	—			38,382			186,599			(2,228		)	46,467			—			269,220
Balance, beginning of year	—			2,895			67,494			2,228			2,347			—			74,964
Balance, end of period	$	—		$	41,277		$	254,093		$	—		$	48,814		$	—		$	344,184

20

Item 2.    Management's Discussion and Analysis of Financial Condition and Results of Operations

When we refer to "we," "us," "our," "the Company," or "Rayonier," we mean Rayonier Inc. and its consolidated subsidiaries. References herein to "Notes to Financial Statements" refer to the Notes to the Condensed Consolidated Financial Statements of Rayonier Inc. included in Item 1 of this Report.

The Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A") is intended to provide a reader of our financial statements with a narrative from the perspective of management on our financial condition, results of operations, liquidity, and certain other factors which may affect future results. Our MD&A should be read in conjunction with the 2010 Annual Report on Form 10-K.

Forward - Looking Statements

Certain statements in this document regarding anticipated financial outcomes including earnings guidance, if any, business and market conditions, outlook and other similar statements relating to Rayonier's future financial and operational performance, are "forward-looking statements" made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These forward-looking statements are identified by the use of words such as "may," "will," "should," "expect," "estimate," "believe," "anticipate" and other similar language. Forward-looking statements are not guarantees of future performance and undue reliance should not be placed on these statements. The risk factors contained in Item 1A - Risk Factors in our 2010 Annual Report on Form 10-K, among others, could cause actual results to differ materially from those expressed in forward-looking statements that are made in this document.

Forward-looking statements are only as of the date they are made, and the Company undertakes no duty to update its forward- looking statements except as required by law. You are advised, however, to review any further disclosures we make on related subjects in our subsequent Forms 10-Q, 10-K, 8-K and other reports to the SEC.

Critical Accounting Policies and Use of Estimates

The preparation of financial statements requires us to make estimates, assumptions and judgments that affect our assets, liabilities, revenues and expenses, and disclosure of contingent assets and liabilities. We base these estimates and assumptions on historical data and trends, current fact patterns, expectations and other sources of information we believe are reasonable. Actual results may differ from these estimates. For a full description of our critical accounting policies, see Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations in the 2010 Annual Report on Form 10-K.

Segments

Effective first quarter 2011, we reorganized our United States timber operations from the Eastern and Western regions into the Atlantic (Florida and Georgia), Gulf States (Alabama, Arkansas, Louisiana, Oklahoma and Texas) and Northern (New York and Washington) regions. Additionally, we renamed the Timber segment, Forest Resources. All prior periods presented have been restated to conform with this new structure.

We are a leading international forest products company primarily engaged in timberland management, the sale and entitlement of real estate, and the production and sale of high value specialty cellulose fibers and fluff pulp. We operate in four reportable business segments: Forest Resources, Real Estate, Performance Fibers, and Wood Products. Forest Resources sales include all activities which relate to the harvesting of timber. Real Estate sales include all property sales, including those designated for higher and better use ("HBU"). The assets of the Real Estate segment include HBU property held by our real estate subsidiary, TerraPointe LLC. The Performance Fibers segment includes two major product lines, cellulose specialties and absorbent materials. The Wood Products segment is comprised of lumber operations. Our remaining operations include harvesting and selling timber acquired from third parties (log trading). These operations are combined and reported in "Other Operations." Sales between operating segments are made based on fair market value, and intercompany sales, purchases and profits or losses are eliminated in consolidation.

We evaluate financial performance based on the operating income of the segments. Operating income, as presented in the Condensed Consolidated Statements of Income and Comprehensive Income, is equal to segment income (loss). Certain income (loss) items in the Condensed Consolidated Statements of Income and Comprehensive Income are not allocated to segments. These items, which include gains (losses) from certain asset dispositions, interest income (expense), miscellaneous income (expense) and income tax (expense) benefit, are not considered by Company management to be part of segment operations.

21

Results of Operations

	Three Months Ended June 30,						Six Months Ended June 30,
Financial Information (in millions)	2011			2010			2011			2010
Sales
Forest Resources
Atlantic	$	18		$	20		$	31		$	42
Gulf States	7			10			16			17
Northern	29			17			53			32
New Zealand	3			2			5			5
Total Forest Resources	57			49			105			96
Real Estate
Development	—			—			1			2
Rural	10			4			22			8
Non-Strategic Timberlands	2			9			3			36
Total Real Estate	12			13			26			46
Performance Fibers
Cellulose specialties	192			163			386			320
Absorbent materials	41			39			98			82
Total Performance Fibers	233			202			484			402
Wood Products	18			22			34			38
Other Operations	39			30			69			47
Intersegment Eliminations	(2		)	(4		)	(3		)	(7		)
Total Sales	$	357		$	312		$	715		$	622
Operating Income (Loss)
Forest Resources	$	12		$	9		$	23		$	17
Real Estate	5			4			12			22
Performance Fibers	71			45			147			90
Wood Products	(1		)	4			(1		)	4
Other Operations	(1		)	1			—			1
Corporate and other (a)	(7		)	(7		)	(14		)	(1		)
Operating Income	79			56			167			133
Interest Expense, Interest Income and Other	(13		)	(11		)	(26		)	(23		)
Income Tax Expense	(10		)	(6		)	(26		)	(14		)
Net Income	$	56		$	39		$	115		$	96
Diluted Earnings Per Share	$	0.67		$	0.48		$	1.38		$	1.18

(a) The six months ended June 30, 2010 includes a gain of $12 million from the sale of a portion of our interest in the New Zealand joint venture. See Note 5 — Joint Venture Investment for additional information.

22

FOREST RESOURCES

Sales (in millions)	2010		Changes Attributable to:					2011
Three months ended June 30,			Price		Volume/ Mix/Other
Atlantic	$	20	$	1	$	(3	)	$	18
Gulf States	10		—		(3		)	7
Northern	17		7		5			29
New Zealand	2		—		1			3
Total Sales	$	49	$	8	$	—		$	57

Sales (in millions)	2010		Changes Attributable to:					2011
Six months ended June 30,			Price		Volume/ Mix/Other
Atlantic	$	42	$	1	$	(12	)	$	31
Gulf States	17		—		(1		)	16
Northern	32		15		6			53
New Zealand	5		—		—			5
Total Sales	$	96	$	16	$	(7	)	$	105

Operating Income (in millions)	2010		Changes Attributable to:								2011
Three months ended June 30,			Price		Volume/ Mix			Cost/Other
Atlantic	$	3	$	1	$	(1	)	$	(3	)	$	—
Gulf States	3		—		(1		)	(2		)	—
Northern	2		7		3			(1		)	11
New Zealand/Other	1		—		—			—			1
Total Operating Income	$	9	$	8	$	1		$	(6	)	$	12

Operating Income (in millions)	2010		Changes Attributable to:								2011
Six months ended June 30,			Price		Volume/ Mix			Cost/Other
Atlantic	$	8	$	1	$	(4	)	$	(3	)	$	2
Gulf States	6		—		(1		)	(5		)	—
Northern	2		15		4			(3		)	18
New Zealand/Other	1		—		—			2			3
Total Operating Income	$	17	$	16	$	(1	)	$	(9	)	$	23

The Atlantic region's second quarter and year-to-date sales and operating income decreased from the prior year periods. While prices rose slightly in 2011, volumes declined by 12 percent and 27 percent for the three and six months ended June 30, 2011 from the prior year periods, respectively. The volume decline reflects lower sawlog demand and the impact of accelerating volumes in 2010 to the first half of the year to capitalize on higher prices. The 2011 results also include approximately $2 million in losses from forest fires in the Southeast.

The Gulf States' sales and operating income for the three and six months ended June 30, 2011 declined from the prior year periods. Volumes declined 36 percent and 19 percent for the quarter and year-to-date, respectively, as grade markets softened. The 2011 results also reflect approximately $1 million in losses from forest fires as well as higher transportation and depletion costs due to mix shift.

The Northern region's second quarter and year-to-date sales and operating income improved from the prior year periods due to strong export demand. Prices increased 16 percent and 27 percent for the quarter and year-to-date, respectively, while volumes rose 48 percent and 28 percent, respectively. Log costs increased primarily due to higher diesel costs.

The New Zealand sales represent timberland management fees for services provided to our New Zealand joint venture ("JV").

23

The operating income primarily represents equity earnings related to the JV's timber activities. Operating income improved for the six months ended June 30, 2011 from the prior year period due to higher export and domestic prices and the sale of carbon credits.

REAL ESTATE

Our real estate holdings are primarily in the southeastern U.S. We segregate these real estate holdings into three groups: HBU development, HBU rural and non-strategic timberlands. Our strategy is to extract maximum value from our HBU properties. We pursue entitlement activity on development property while maintaining a rural HBU program of sales for conservation, recreation and industrial uses.

Sales (in millions)	2010		Changes Attributable to:					2011
Three months ended June 30,			Price		Volume/ Mix
Development	$	—	$	—	$	—		$	—
Rural	4		4		2			10
Non-Strategic Timberlands	9		1		(8		)	2
Total Sales	$	13	$	5	$	(6	)	$	12

Sales (in millions)	2010		Changes Attributable to:					2011
Six months ended June 30,			Price		Volume/ Mix
Development	$	2	$	—	$	(1	)	$	1
Rural	8		8		6			22
Non-Strategic Timberlands	36		1		(34		)	3
Total Sales	$	46	$	9	$	(29	)	$	26

Operating Income (in millions)	2010		Changes Attributable to:								2011
Three months ended June 30,			Price		Volume/ Mix			Cost/Other
Total Operating Income	$	4	$	5	$	(3	)	$	(1	)	$	5

Operating Income (in millions)	2010		Changes Attributable to:								2011
Six months ended June 30,			Price		Volume/ Mix			Cost/Other
Total Operating Income	$	22	$	9	$	(18	)	$	(1	)	$	12

Second quarter sales were consistent with the prior year period while operating income increased $1 million. Year-to-date, sales were $20 million below 2010 and operating income declined $10 million. Non-strategic timberland volumes were 897 acres and 1,227 acres for second quarter and year-to-date 2011, respectively, compared to 6,227 acres and 30,223 acres in the comparable prior year periods. Non-strategic timberland prices per acre were slightly favorable to 2010 due to sales mix.

Rural prices and volumes improved for the second quarter and six months ended June 30, 2011. Average rural prices rose $1,055 per acre, or 75 percent, for second quarter and $825 per acre, or 54 percent, year-to-date from the prior year periods primarily due to site specific characteristics. Volumes increased 1,071 acres, or 36 percent, for second quarter and 4,514 acres, or 91 percent, year-to-date from the prior year periods as rural markets strengthened somewhat from the first six months of 2010.

24

PERFORMANCE FIBERS

Sales (in millions)	2010		Changes Attributable to:					2011
Three months ended June 30,			Price		Volume/ Mix
Cellulose specialties	$	163	$	32	$	(3	)	$	192
Absorbent materials	39		5		(3		)	41
Total Sales	$	202	$	37	$	(6	)	$	233

Sales (in millions)	2010		Changes Attributable to:					2011
Six months ended June 30,			Price		Volume/ Mix
Cellulose specialties	$	320	$	52	$	14		$	386
Absorbent materials	82		18		(2		)	98
Total Sales	$	402	$	70	$	12		$	484

Cellulose specialties sales improved in 2011 versus prior year as prices increased 20 percent and 16 percent for the quarter and year-to-date, respectively, reflecting strong demand. Although volumes were down one percent for the quarter due to the timing of customer orders, volumes increased four percent year-to-date 2011 from the prior year period reflecting a shift in production from absorbent materials to cellulose specialties as well as the timing of customer orders.

Absorbent materials sales increased in 2011 as prices rose 15 percent and 24 percent for second quarter and year-to-date from the prior year periods, respectively, due to stronger market conditions. Volumes declined 12 percent and four percent for the quarter and six months from the comparable 2010 periods, respectively, mainly due to the shift in production to cellulose specialties.

Operating Income (in millions)	2010		Changes Attributable to:								2011
Three months ended June 30,			Price		Volume/ Mix			Cost/Other
Total Operating Income	$	45	$	37	$	(1	)	$	(10	)	$	71

Operating Income (in millions)	2010		Changes Attributable to:							2011
Six months ended June 30,			Price		Volume/ Mix		Cost/Other
Total Operating Income	$	90	$	70	$	4	$	(17	)	$	147

Operating income improved in both 2011 periods over prior year primarily due to increased prices offset in part by higher input and transportation costs.

WOOD PRODUCTS

Sales (in millions)	2010		Changes Attributable to:					2011
Three months ended June 30,			Price			Volume
Total Sales	$	22	$	(6	)	$	2	$	18

Sales (in millions)	2010		Changes Attributable to:					2011
Six months ended June 30,			Price			Volume
Total Sales	$	38	$	(6	)	$	2	$	34

25

Operating Income (Loss)(in millions)	2010		Changes Attributable to:					2011
Three months ended June 30,			Price			Volume/Costs
Total Operating Income (Loss)	$	4	$	(6	)	$	1	$	(1	)

Operating Income (Loss)(in millions)	2010		Changes Attributable to:					2011
Six months ended June 30,			Price			Volume/Costs
Total Operating Income (Loss)	$	4	$	(6	)	$	1	$	(1	)

Sales and operating income declined for the three and six months ended June 30, 2011 from the prior year periods as prices declined 23 percent and 15 percent, respectively. Prices in the first half of 2010 were elevated due to supply constraints caused by wet weather conditions. Sales and operating income for both 2011 periods were favorably impacted by an eight percent and five percent increase in volumes, respectively, reflecting slightly higher production.

OTHER OPERATIONS

While sales improved for the quarter and six months ended June 30, 2011 from the 2010 periods due to higher export demand, operating income declined primarily due to foreign exchange losses.

Corporate and Other Expense/Eliminations

Corporate and other expenses were $7 million for second quarter 2011 and 2010. The results for the six months ended June 30, 2010 include a first quarter gain of $12 million from the sale of a portion of the Company's interest in its New Zealand JV. Excluding the gain on the JV interest sale, corporate and other expenses for the six months ended June 30, 2011 were above the prior year period, which benefited from an insurance settlement in first quarter 2010.

Interest Expense, Interest Income and Other

Interest and other were relatively comparable for the 2011 and 2010 periods.

Income Tax Expense

The effective tax rates for the quarter and year to date were 15.4 percent and 18.7 percent compared to 13.4 percent and 12.4 percent in 2010, respectively, reflecting higher 2011 earnings from the taxable REIT subsidiaries, in particular Performance Fibers. Included in the 2011 second quarter was a net $4 million tax benefit relating to the exchange of the alternative fuel mixture credit ("AFMC") for the cellulosic biofuel producer credit associated with the production and use of black liquor in 2009.

In July 2011, we received a final Internal Revenue Service ("IRS") examination report regarding the Rayonier TRS Holdings Inc. 2009 tax return. As a result, a $16 million reserve relating to the taxability of the AFMC will be reversed in the third quarter.

Outlook

Expansion of our timberland holdings is our top priority for strategic capital, and we are seeing more opportunities for acquisitions in the Southeast. In Performance Fibers, the recent decision to convert our absorbent materials line to produce an additional 190,000 tons of cellulose specialties is a key part of our strategy to remain the global leader in this high value segment.

We are affirming our earnings guidance of $2.85 to $3.10 per share, excluding special items, and we still expect CAD of $285 million to $310 million, substantially above our increased dividend. Our guidance remains unchanged as there have been no significant changes to our markets or expectations since our previous guidance.

Our full year 2011 financial guidance is subject to a number of variables and uncertainties, including those discussed under Item 2- Management's Discussion and Analysis of Financial Condition and Results of Operations, Forward - Looking Statements of this Form 10-Q and Item 1A -Risk Factors in our 2010 Annual Report on Form 10-K. 

Liquidity and Capital Resources

Our operations have generally produced consistent cash flows and required limited capital resources. Short-term borrowings have helped fund cyclicality and seasonality in working capital needs and long-term debt has been used to fund major acquisitions.

26

Summary of Liquidity and Financing Commitments (in millions of dollars)

	As of June 30,			As of December 31,
	2011			2010
Cash and cash equivalents (a)	$	314		$	349
Total debt	697			768
Shareholders’ equity	1,303			1,252
Total capitalization (total debt plus equity)	2,000			2,020
Debt to capital ratio	35		%	38		%

(a) Cash and cash equivalents consisted primarily of time deposits with original maturities of 90 days or less.

Cash Flows (in millions of dollars)

The following table summarizes our cash flows from operating, investing and financing activities for the six months ended June 30:

	2011			2010
Cash provided by (used for):
Operating activities	$	195		$	356
Investing activities	(71		)	(77		)
Financing activities	(160		)	(10		)

Cash Provided by Operating Activities

Cash provided by operating activities decreased mainly due to a cash refund of $189 million related to the AFMC received in April 2010. Excluding the impact of this credit, cash provided by operations increased $28 million primarily due to higher earnings in our Performance Fibers and Forest Resources segments, partially offset by lower operating results in our Real Estate and Wood Products segments.

Cash Used for Investing Activities

Cash used for investing activities declined primarily due to a decrease in restricted cash from the timing of like-kind exchange transactions and capital expenditures. This decrease was partially offset by $13 million of timberland acquisitions.

Cash Used for Financing Activities

Cash used for financing activities in 2011 included net debt payments of $75 million, while 2010 included net borrowings of $60 million. See Note 13 — Debt for further information on the repayment of the $75 million five year term loan. Additionally, 2011 dividend payments were higher reflecting a fourth quarter 2010 increase in the quarterly dividend to $0.54 per share from $0.50 per share.

Stock Split and Dividend Increase

On July 22, 2011, the Company's Board of Directors approved a 3-for-2 stock split as well as an increase in the quarterly dividend per common share from $0.54 per share to $0.60 per share on a pre-split basis, or from $0.36 per share to $0.40 per share on a post-split basis. The additional shares will be distributed on August 24, 2011 to shareholders of record as of August 10, 2011, and the dividend increase will be effective starting with the third quarter dividend.

Expected 2011 Expenditures

In May 2011, Rayonier's Board of Directors approved the conversion of our existing absorbent materials line in Jesup, Georgia to produce high purity cellulose specialties. The estimated cost of the project will be approximately $300 million over the next two to three years and may be funded by cash on hand or new debt. Expenditures in 2011 related to this project are forecast to be between $45 million and $50 million. Strategic timberland acquisitions through the six months ended June 30, 2011 totaled $13 million. Through third quarter 2011, we expect strategic timberland acquisitions to be approximately $110 million. Capital expenditures (excluding strategic acquisitions and the Jesup mill cellulose specialties expansion) in 2011 are forecast to be between $140 million and $145 million compared to $138 million in 2010.

Our 2011 dividend payments are expected to increase from $165 million in 2010 to $185 million assuming no change in the recently approved quarterly dividend rate of $0.40 per share on a post-split basis ($0.60 per share on a pre-split basis). In March 2011, we repaid a $75 million term loan with a 2015 maturity date. We have a $93 million note payable which matures on December 31, 2011. While we expect to repay this note using cash on hand, we may issue new debt.

27

We made no discretionary pension contributions in the first six months of 2011. We have no mandatory pension contributions and we do not expect to make any discretionary contributions in 2011. Cash tax payments for the first six months of 2011 were de minimus. Cash payments for income taxes in 2011 are anticipated to be between $5 million and $10 million. Expenditures related to dispositions and discontinued operations were $5 million for the first six months of 2011; full year 2011 expenditures of approximately $12 million are anticipated. See Note 10 — Liabilities for Dispositions and Discontinued Operations for further information.

Performance and Liquidity Indicators

The discussion below is presented to enhance the reader’s understanding of our operating performance, liquidity, ability to generate cash and satisfy rating agency and creditor requirements. This information includes two measures of financial results: Earnings before Interest, Taxes, Depreciation, Depletion and Amortization ("EBITDA"), and Adjusted Cash Available for Distribution ("Adjusted CAD"). These measures are not defined by Generally Accepted Accounting Principles ("GAAP") and the discussion of EBITDA and Adjusted CAD is not intended to conflict with or change any of the GAAP disclosures described above. Management considers these measures to be important to estimate the enterprise and shareholder values of the Company as a whole and of its core segments, and for allocating capital resources. In addition, analysts, investors and creditors use these measures when analyzing our operating performance, financial condition and cash generating ability. Management uses EBITDA as a performance measure and Adjusted CAD as a liquidity measure. EBITDA is defined by the Securities and Exchange Commission. Adjusted CAD as defined, however, may not be comparable to similarly titled measures reported by other companies.

We reconcile EBITDA to Net Income for the consolidated Company and Operating Income for the Segments, as those are the nearest GAAP measures for each. Below is a reconciliation of Net Income to EBITDA for the respective periods (in millions of dollars):

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Net Income to EBITDA Reconciliation
Net Income	$	56	$	39	$	115	$	96
Income tax expense	10		6		26		14
Interest, net	13		11		26		23
Depreciation, depletion and amortization	31		33		63		77
EBITDA	$	110	$	89	$	230	$	210

EBITDA by segment is a critical valuation measure used by our Chief Operating Decision Maker, existing shareholders and potential shareholders to measure how the Company is performing relative to the assets under management. EBITDA by segment for the respective periods was as follows (millions of dollars):

	Three Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011			2010
EBITDA by Segment
Forest Resources	$	28		$	26		$	54		$	51
Real Estate	7			7			17			34
Performance Fibers	83			57			171			118
Wood Products	—			5			1			7
Other Operations	(1		)	1			—			1
Corporate and other (a)	(7		)	(7		)	(13		)	(1		)
EBITDA	$	110		$	89		$	230		$	210

(a) The results for the six months ended June 30, 2010 include a gain of $12 million from the sale of a portion of our interest in the New Zealand JV.

For the three and six months ended June 30, 2011, EBITDA was higher than the prior year periods primarily due to higher operating results.

28

The following tables reconcile Operating Income by segment to EBITDA by segment (millions of dollars):

	Forest Resources		Real Estate		Performance Fibers		Wood Products			Other Operations			Corporate and Other			Total
Three Months Ended June 30, 2011
Operating Income (Loss)	$	12	$	5	$	71	$	(1	)	$	(1	)	$	(7	)	$	79
Add: Depreciation, depletion and amortization	16		2		12		1			—			—			31
EBITDA	$	28	$	7	$	83	$	—		$	(1	)	$	(7	)	$	110
Three Months Ended June 30, 2010
Operating Income	$	9	$	4	$	45	$	4		$	1		$	(7	)	$	56
Add: Depreciation, depletion and amortization	17		3		12		1			—			—			33
EBITDA	$	26	$	7	$	57	$	5		$	1		$	(7	)	$	89
Six Months Ended June 30, 2011
Operating Income (Loss)	$	23	$	12	$	147	$	(1	)	$	—		$	(14	)	$	167
Add: Depreciation, depletion and amortization	31		5		24		2			—			1			63
EBITDA	$	54	$	17	$	171	$	1		$	—		$	(13	)	$	230
Six Months Ended June 30, 2010
Operating Income	$	17	$	22	$	90	$	4		$	1		$	(1	)	$	133
Add: Depreciation, depletion and amortization	34		12		28		3			—			—			77
EBITDA	$	51	$	34	$	118	$	7		$	1		$	(1	)	$	210

Adjusted CAD is a non-GAAP measure of cash generated during a period which is available for dividend distribution, repurchase of the Company's common shares, debt reduction and strategic acquisitions net of associated financing (e.g. realizing LKE tax benefits). We define CAD as Cash Provided by Operating Activities adjusted for capital spending, the tax benefits associated with certain strategic acquisitions, the change in committed cash, and other items which include cash provided by discontinued operations, proceeds from matured energy forward contracts, excess tax benefits on stock-based compensation and the change in capital expenditures purchased on account. Committed cash represents outstanding checks that have been drawn on our zero balance bank accounts but have not been paid. In compliance with SEC requirements for non-GAAP measures, we reduce CAD by mandatory debt repayments which results in the measure entitled "Adjusted CAD."

Below is a reconciliation of Cash Provided by Operating Activities to Adjusted CAD (in millions of dollars):

	Six Months Ended June 30,
	2011			2010
Cash used for investing activities	$	(71	)	$	(77	)
Cash used for financing activities	$	(160	)	$	(10	)
Cash provided by operating activities	$	195		$	356
Capital expenditures	(65		)	(71		)
Change in committed cash	—			10
Excess tax benefits on stock-based compensation	5			4
Other	(1		)	4
CAD	134			303
Mandatory debt repayments	—			—
Adjusted CAD	$	134		$	303

Adjusted CAD was lower in 2011 due to the April 2010 receipt of $189 million related to the AFMC. Excluding this amount, 2011 adjusted CAD was $20 million higher than 2010 primarily due to higher operating results. Adjusted CAD generated in any period is not necessarily indicative of the amounts that may be generated in future periods.

29

Liquidity Facilities

In April 2011, we entered into a five year $300 million unsecured revolving credit facility, replacing the previous $250 million credit facility which was scheduled to expire in August 2011. The new facility has a borrowing rate of LIBOR plus 105 basis points plus a facility fee of 20 basis points and expires in April 2016. At June 30, 2011, the available borrowing capacity on the $300 million credit facility was $295 million.

Both our ability to obtain financing and the related costs of borrowing are affected by our credit ratings, which are periodically reviewed by the rating agencies. In February 2011, Standard & Poor's Ratings Services raised its credit rating on Rayonier to "BBB+" from "BBB". In April 2011, Moody's affirmed its "Baa2" senior unsecured ratings of Rayonier and raised its ratings outlook to “Positive” from “Stable.”

In connection with our installment notes and credit facility, covenants must be met, including ratios based on the covenant definition of EBITDA and ratios of cash flows to fixed charges. At June 30, 2011, we are in compliance with all of these covenants.

In addition to these financial covenants, the installment notes and credit facility include customary covenants that limit the incurrence of debt, the disposition of assets, and the making of certain payments between RFR and Rayonier among others. An asset sales covenant in the RFR installment note-related agreements requires us, subject to certain exceptions, to either reinvest cumulative timberland sales proceeds for individual sales greater than $10 million (the "excess proceeds") in timberland-related investments and activities or, once the amount of excess proceeds not reinvested exceeds $50 million, to offer the note holders prepayment of the notes ratably in the amount of the excess proceeds. The amount of excess proceeds was $37.5 million and $27.2 million at June 30, 2011 and December 31, 2010, respectively.

Contractual Financial Obligations and Off-Balance Sheet Arrangements

We have no material changes to the Contractual Financial Obligations table as presented in Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations of our 2010 Annual Report on Form 10-K. See Note 9 - Guarantees for details on the letters of credit, surety bonds and guarantees as of June 30, 2011.

New or Recently Adopted Accounting Pronouncements

For information on new or recently adopted accounting pronouncements, see Note 1 - Basis of Presentation and New Accounting Pronouncements.

30

Sales Volumes by Segment:

	Three Months Ended June 30,		Six Months Ended June 30,
	2011	2010	2011	2010
Forest Resources — in thousands of short green tons
Atlantic	863	984	1,508	2,057
Gulf States	299	465	645	800
Northern	476	322	912	714
Total	1,638	1,771	3,065	3,571
Real Estate—acres sold
Development	50	64	107	374
Rural	4,019	2,948	9,464	4,950
Non-Strategic Timberlands	897	6,227	1,227	30,223
Total Acres Sold	4,966	9,239	10,798	35,547
Performance Fibers
Sales volume — in thousands of metric tons
Cellulose specialties	114	115	236	226
Absorbent materials	45	51	108	112
Total	159	166	344	338
Wood Products
Lumber sales volume — in millions of board feet	70	65	126	120

31

Item 3.    QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market and Other Economic Risks

Our exposures to market risk have not changed materially since December 31, 2010. For quantitative and qualitative disclosures about market risk, see Item 7A - Quantitative and Qualitative Disclosures about Market Risk in our 2010 Annual Report on Form 10-K.

Item 4.    CONTROLS AND PROCEDURES

Disclosure Controls and Procedures

Rayonier management is responsible for establishing and maintaining adequate disclosure controls and procedures. Disclosure controls and procedures (as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934 (the "Exchange Act")), are designed with the objective of ensuring that information required to be disclosed by the Company in reports filed under the Exchange Act, such as this quarterly report on Form 10-Q, is (1) recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms and (2) accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

Because of the inherent limitations in all control systems, no control evaluation can provide absolute assurance that all control exceptions and instances of fraud have been prevented or detected on a timely basis. Even systems determined to be effective can provide only reasonable assurance that their objectives are achieved.

Based on an evaluation of our disclosure controls and procedures as of the end of the period covered by this quarterly report on Form 10-Q, our management, including the Chief Executive Officer and Chief Financial Officer, concluded that the design and operation of the disclosure controls and procedures were effective as of June 30, 2011.

In the quarter ended June 30, 2011, based upon the evaluation required by paragraph (d) of SEC Rule 13a-15, there were no changes in our internal control over financial reporting that would materially affect or are reasonably likely to materially affect our internal control over financial reporting.

32

PART II.    OTHER INFORMATION

Item 6.Exhibits

3.1	Amended and Restated Articles of Incorporation	Incorporated by reference to Exhibit 3.1 to the Registrant's May 25, 2010 Form 8-K
3.2	Bylaws	Incorporated by reference to Exhibit 3.2 to the Registrant's October 21, 2009 Form 8-K
31.1	Certification of the Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act	Filed herewith
31.2	Certification of the Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act	Filed herewith
32	Certification pursuant to Section 906 of the Sarbanes-Oxley Act	Furnished herewith
101	The following financial information from our Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2011, formatted in Extensible Business Reporting Language ("XBRL"), includes: (i) the Condensed Consolidated Statements of Income and Comprehensive Income for the Three and Six Months Ended June 30, 2011 and 2010; (ii) the Condensed Consolidated Balance Sheets as of June 30, 2011 and December 31, 2010 (iii) the Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2011 and 2010; and (iv) the Notes to Condensed Consolidated Financial Statements.	Furnished herewith pursuant to Rule 406T of Regulation S-T

33

SIGNATURE

Pursuant to the requirements of Section 13 of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

RAYONIER INC.
By:	/S/ HANS E. VANDEN NOORT
	Hans E. Vanden Noort Senior Vice President and Chief Financial Officer (Principal Financial Officer and Principal Accounting Officer)

July 28, 2011

34

EX-31.1

EXHIBIT 31.1

CERTIFICATION

I, Lee M. Thomas, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Rayonier Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rule 13a-15(e)) and internal control over financial reporting (as defined in Exchange Act Rule 13a-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: July 28, 2011

/S/ LEE M. THOMAS

Lee M. Thomas

Chairman and Chief Executive Officer, Rayonier Inc.

EX-31.2

EXHIBIT 31.2

CERTIFICATION

I, Hans E. Vanden Noort, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Rayonier Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rule 13a-15(e)) and internal control over financial reporting (as defined in Exchange Act Rule 13a-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: July 28, 2011

/s/ HANS E. VANDEN NOORT

Hans E. Vanden Noort

Senior Vice President and

Chief Financial Officer, Rayonier Inc.

EX-32

EXHIBIT 32

CERTIFICATION

The undersigned hereby certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350, that to our knowledge:

1. The quarterly report on Form 10-Q of Rayonier Inc. (the "Company") for the period ended June 30, 2011 (the "Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

July 28, 2011

/s/ LEE M. THOMAS	/s/ HANS E. VANDEN NOORT
Lee M. Thomas	Hans E. Vanden Noort
Chairman and Chief Executive Officer, Rayonier Inc.	Senior Vice President and Chief Financial Officer, Rayonier Inc.

XML



Document and Entity Information	6 Months Ended
	Jun. 30, 2011	Jul. 21, 2011
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2011
Document Fiscal Year Focus	2011
Document Fiscal Period Focus	Q2
Trading Symbol	RYN
Entity Registrant Name	RAYONIER INC.
Entity Central Index key	0000052827
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		81,212,865

XML



Restricted Deposits

6 Months Ended

Jun. 30, 2011

Restricted Cash and Investments [Abstract]

Restricted Assets Disclosure [Text Block]

4. RESTRICTED DEPOSITS

In order to qualify for like-kind exchange ("LKE") treatment, the proceeds from real estate sales must be deposited with a third-party intermediary. These proceeds are accounted for as restricted cash until a suitable replacement property is acquired. In the event that the LKE purchases are not completed, the proceeds are returned to the Company after 180 days and reclassified as available cash. As of June 30, 2011 and December 31, 2010, the Company had $0 and $8.3 million, respectively, of proceeds from real estate sales classified as restricted cash in Other Assets, which were deposited with an LKE intermediary.

XML



Joint Venture Investment

6 Months Ended

Jun. 30, 2011

Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures [Abstract]

Equity Method Investments Disclosure [Text Block]

5. JOINT VENTURE INVESTMENT

The Company holds a 26 percent interest in Matariki Forestry Group ("Matariki"), a joint venture ("JV") that owns or leases approximately 0.3 million acres of New Zealand timberlands. In addition to the investment, Rayonier New Zealand Limited, a wholly-owned subsidiary of Rayonier Inc., serves as the manager of the JV forests and operates a log trading business.

In February 2010, the JV sold a 35 percent interest to a new investor for NZ$167 million. Matariki issued new shares to the investor and used all the proceeds to pay down a portion of its outstanding NZ$367 million debt. Upon closing, Rayonier's ownership interest in Matariki declined from 40 percent to 26 percent. As a result of this transaction, results for the six months ended June 30, 2010 include a gain of $11.5 million, net of $0.9 million in tax, or $0.14 per diluted share.

XML



Shareholders' Equity

6 Months Ended

Jun. 30, 2011

Stockholders' Equity Note [Abstract]

Stockholders' Equity Note Disclosure [Text Block]

6. SHAREHOLDERS’ EQUITY

An analysis of shareholders’ equity for the six months ended June 30, 2011 and the year ended December 31, 2010 is shown below (share amounts not in thousands):

	Common Shares					Retained Earnings			Accumulated Other Comprehensive Loss			Shareholders’ Equity
	Shares		Amount
Balance, December 31, 2009	79,541,974		$	561,962		$	663,986		$	(79,742	)	$	1,146,206
Net income	—		—			217,586			—			217,586
Dividends ($2.04 per share)	—		—			(164,514		)	—			(164,514		)
Issuance of shares under incentive stock plans	1,276,227		26,314			—			—			26,314
Stock-based compensation	—		15,223			—			—			15,223
Excess tax benefit on stock-based compensation	—		5,411			—			—			5,411
Repurchase of common shares	(136,108	)	(6,028		)	—			—			(6,028		)
Net gain from pension and postretirement plans	—		—			—			6,385			6,385
Foreign currency translation adjustment	—		—			—			4,162			4,162
Joint venture cash flow hedges	—		—			—			837			837
Balance, December 31, 2010	80,682,093		$	602,882		$	717,058		$	(68,358	)	$	1,251,582
Net income	—		—			114,865			—			114,865
Dividends ($1.08 per share)	—		—			(88,504		)	—			(88,504		)
Issuance of shares under incentive stock plans	662,671		7,894			—			—			7,894
Stock-based compensation	—		8,021			—			—			8,021
Excess tax benefit on stock-based compensation	—		4,900			—			—			4,900
Repurchase of common shares	(139,129	)	(7,828		)	—			—			(7,828		)
Amortization of pension and postretirement plans	—		—			—			4,188			4,188
Foreign currency translation adjustment	—		—			—			7,729			7,729
Joint venture cash flow hedges	—		—			—			132			132
Balance, June 30, 2011	81,205,635		$	615,869		$	743,419		$	(56,309	)	$	1,302,979

XML



Segment and Geographical Information

6 Months Ended

Jun. 30, 2011

Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]

Segment Reporting Disclosure [Text Block]

7. SEGMENT AND GEOGRAPHICAL INFORMATION

Effective first quarter 2011, the Company renamed its Timber segment, Forest Resources. All prior period amounts previously reported under the Timber segment are now reported under the Forest Resources segment.

Rayonier operates in four reportable business segments: Forest Resources, Real Estate, Performance Fibers, and Wood Products. Forest Resources sales include all activities that relate to the harvesting of timber. Real Estate sales include all property sales, including those designated for higher and better use ("HBU"). The assets of the Real Estate segment include HBU property held by the Company’s real estate subsidiary, TerraPointe LLC. The Performance Fibers segment includes two major product lines, cellulose specialties and absorbent materials. The Wood Products segment is comprised of lumber operations. The Company’s remaining operations include harvesting and selling timber acquired from third parties (log trading). These operations are reported in "Other Operations." Sales between operating segments are made based on fair market value, and intercompany sales, purchases and profits (losses) are eliminated in consolidation. The Company evaluates financial performance based on the operating income of the segments.

Operating income (loss) as presented in the Condensed Consolidated Statements of Income and Comprehensive Income is equal to segment income (loss). Certain income (loss) items in the Condensed Consolidated Statements of Income and Comprehensive Income are not allocated to segments. These items, which include gains (losses) from certain asset dispositions, interest income (expense), miscellaneous income (expense) and income tax (expense) benefit, are not considered by Company management to be part of segment operations.

Total assets, sales, operating income (loss) and depreciation, depletion and amortization by segment including Corporate were as follows:

	June 30,		December 31,
ASSETS	2011		2010
Forest Resources	$	1,255,830	$	1,259,925
Real Estate	76,296		85,525
Performance Fibers	607,481		550,875
Wood Products	21,473		19,544
Other Operations	29,877		25,583
Corporate and other	370,830		422,201
Total	$	2,361,787	$	2,363,653

	Three Months Ended June 30,						Six Months Ended June 30,
SALES	2011			2010			2011			2010
Forest Resources	$	57,037		$	48,917		$	105,217		$	96,025
Real Estate	12,305			12,712			25,767			45,729
Performance Fibers	232,807			201,947			483,970			401,719
Wood Products	17,957			21,573			33,747			37,505
Other Operations	38,508			30,246			68,920			47,354
Intersegment Eliminations (a)	(1,217		)	(3,185		)	(2,494		)	(5,922		)
Total	$	357,397		$	312,210		$	715,127		$	622,410

(a) Intersegment eliminations primarily reflect sales from our Forest Resources segment to our Performance Fibers segment.

	Three Months Ended June 30,						Six Months Ended June 30,
OPERATING INCOME	2011			2010			2011			2010
Forest Resources	$	11,838		$	8,663		$	22,888		$	16,872
Real Estate	5,009			4,183			12,380			21,537
Performance Fibers	71,102			44,990			146,811			89,847
Wood Products	(987		)	4,270			(534		)	4,311
Other Operations	(965		)	726			(166		)	1,336
Corporate and other (b)	(6,924		)	(6,488		)	(14,728		)	(700		)
Total	$	79,073		$	56,344		$	166,651		$	133,203

(b) Six months ended June 30, 2010 includes a $12.4 million gain from the sale of a portion of the Company's interest in its New Zealand JV. See Note 5 — Joint Venture Investment for additional information.

	Three Months Ended June 30,				Six Months Ended June 30,
DEPRECIATION, DEPLETION AND AMORTIZATION	2011		2010		2011		2010
Forest Resources	$	15,848	$	17,269	$	31,252	$	34,005
Real Estate	2,231		2,486		4,921		12,002
Performance Fibers	11,783		12,203		24,498		28,007
Wood Products	834		1,078		1,655		2,144
Corporate and other	298		171		537		364
Total	$	30,994	$	33,207	$	62,863	$	76,522

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Fair Value Measurements

6 Months Ended

Jun. 30, 2011

Fair Value Disclosures [Abstract]

Fair Value Disclosures [Text Block]

8. FAIR VALUE MEASUREMENTS

Fair Value of Financial Instruments

The following table presents the carrying amount and estimated fair values of financial instruments held by the Company at June 30, 2011 and December 31, 2010, using market information and what the Company believes to be appropriate valuation methodologies under generally accepted accounting principles:

	June 30, 2011						December 31, 2010
Asset (liability)	Carrying Amount			Fair Value			Carrying Amount			Fair Value
Cash and cash equivalents	$	314,180		$	314,180		$	349,463		$	349,463
Short-term debt	(116,167		)	(118,424		)	(93,057		)	(98,042		)
Long-term debt	(581,297		)	(750,980		)	(675,103		)	(783,080		)

Rayonier uses the following methods and assumptions in estimating the fair value of its financial instruments:

Cash and cash equivalents — The carrying amount is equal to fair market value.

Debt — The fair value of fixed rate debt is based upon quoted market prices for debt with similar terms and maturities.

Variable Interest Entity

Rayonier holds a variable interest in a bankruptcy-remote, limited liability subsidiary ("special-purpose entity") which was created in 2004 when Rayonier monetized a $25.0 million installment note and letter of credit received in connection with a timberland sale. The Company contributed the note and a letter of credit to the special-purpose entity and using the installment note and letter of credit as collateral, the special-purpose entity issued $22.6 million of 15-year Senior Secured Notes and remitted cash of $22.6 million to the Company. There are no restrictions that relate to the transferred financial assets. Rayonier maintains a $2.6 million interest in the entity and receives immaterial cash payments equal to the excess of interest received on the installment note over the interest paid on the Senior Secured Notes. The Company's interest is recorded at fair value and is included in "Other Assets" in the Condensed Consolidated Balance Sheets. In addition, the Company calculated and recorded a de minimus guarantee liability to reflect its obligation of up to $2.6 million under a make-whole agreement pursuant to which it guaranteed certain obligations of the entity. This guarantee obligation is also collateralized by the letter of credit. The Company's interest in the entity, together with the make-whole agreement, represents the maximum exposure to loss as a result of the Company's involvement with the special-purpose entity. Upon maturity of the Senior Secured Notes in 2019 and termination of the special-purpose entity, Rayonier will receive the remaining $2.6 million of cash. The Company determined, based upon an analysis under the variable interest entity guidance, that it does not have the power to direct activities that most significantly impact the entity's economic success. Therefore, Rayonier is not the primary beneficiary and is not required to consolidate the entity.

Assets measured at fair value on a recurring basis are summarized below:

Asset	Carrying Value at June 30, 2011		Level 2		Carrying Value at December 31, 2010		Level 2
Investment in special-purpose entity	$	2,879	$	2,879	$	2,879	$	2,879

The fair value of the investment in the special-purpose entity is determined by summing the discounted value of future principal and interest payments that Rayonier will receive from the special-purpose entity. The interest rate of a similar instrument is used to determine the discounted value of the payments.

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Guarantees

6 Months Ended

Jun. 30, 2011

Guarantees [Abstract]

Guarantees [Text Block]

9. GUARANTEES

The Company provides financial guarantees as required by creditors, insurance programs, and state and foreign governmental agencies. As of June 30, 2011, the following financial guarantees were outstanding:

Financial Commitments	Maximum Potential Payment		Carrying Amount of Liability
Standby letters of credit (a)	$	43,807	$	38,110
Guarantees (b)	2,555		43
Surety bonds (c)	12,581		1,857
Total financial commitments	$	58,943	$	40,010

(a) Approximately $39 million of the standby letters of credit serve as credit support for industrial revenue bonds. The remaining letters of credit support various insurance related agreements, primarily workers’ compensation and pollution liability policy requirements. These letters of credit will expire at various dates during 2011 and 2012 and will be renewed as required.

(b) In conjunction with a timberland sale and note monetization in the first quarter of 2004, the Company issued a make-whole agreement pursuant to which it guaranteed $2.6 million of obligations of a special-purpose entity that was established to complete the monetization. At June 30, 2011, the Company has a de minimus liability to reflect the fair market value of its obligation to perform under the make-whole agreement.

(c) Rayonier issues surety bonds primarily to secure timber harvesting obligations in the State of Washington and to provide collateral for the Company’s workers’ compensation self-insurance program in that state. These surety bonds expire at various dates during 2011, 2012 and 2014 and are expected to be renewed as required.

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Liabilities for Dispositions and Discontinued Operations

6 Months Ended

Jun. 30, 2011

Liabilities of Disposal Group, Including Discontinued Operation [Abstract]

Environmental Loss Contingency Disclosure [Text Block]

10. LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS

An analysis of the liabilities for dispositions and discontinued operations follows:

	June 30,			December 31,
	2011			2010
Balance, beginning of period	$	93,160		$	98,591
Expenditures charged to liabilities	(4,916		)	(8,632		)
Increase to liabilities	309			3,201
Balance, end of period	88,553			93,160
Less: Current portion	(11,625		)	(11,500		)
Non-current portion	$	76,928		$	81,660

The Company is exposed to the risk of reasonably possible additional losses in excess of the established liabilities. As of June 30, 2011, this amount could range up to $40 million, allocable over several of the applicable sites, and arises from uncertainty over the availability or effectiveness of certain remediation technologies, additional or different contamination that may be discovered, development of new or more effective environmental remediation technologies and the exercise of discretion in interpretation of applicable law and regulations by governmental agencies.

Subject to the factors described in Note 14 - Liabilities for Dispositions and Discontinued Operations in the 2010 Annual Report on Form 10-K, the Company believes established liabilities are sufficient for costs expected to be incurred over the next 20 years with respect to its dispositions and discontinued operations. Remedial actions for these sites vary, but include on-site (and in certain cases off-site) removal or treatment of contaminated soils and sediments, recovery and treatment/remediation of groundwater, and source remediation and/or control.

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Contingencies

6 Months Ended

Jun. 30, 2011

Loss Contingency [Abstract]

Commitments and Contingencies Disclosure [Text Block]

11. CONTINGENCIES

Rayonier is engaged in various legal actions, including certain environmental proceedings. The Company has been named as a defendant in various other lawsuits and claims arising in the normal course of business. While the Company has procured reasonable and customary insurance covering risks normally occurring in connection with its businesses, it has in certain cases retained some risk through the operation of self-insurance, primarily in the areas of workers’ compensation, property insurance and general liability. These other lawsuits and claims, either individually or in the aggregate, are not expected to have a material adverse effect on the Company’s financial position, results of operations, or cash flow.

For additional information, see Note 14 — Liabilities for Dispositions and Discontinued Operations in the 2010 Annual Report on Form 10-K.

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Employee Benefit Plans

6 Months Ended

Jun. 30, 2011

Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract]

Pension and Other Postretirement Benefits Disclosure [Text Block]

12. EMPLOYEE BENEFIT PLANS

The Company has four qualified non-contributory defined benefit pension plans covering a majority of its employees and an unfunded plan that provides benefits in excess of amounts allowable under current tax law in the qualified plans. As of March 2011, all of these plans were closed to new participants. Employee benefit plan liabilities are calculated using actuarial estimates and management assumptions. These estimates are based on historical information, along with certain assumptions about future events. Changes in assumptions, as well as changes in actual experience, could cause the estimates to change.

The net pension and postretirement benefit costs that have been recognized during the stated periods are shown in the following table:

	Pension						Postretirement
	Three Months Ended June 30,						Three Months Ended June 30,
	2011			2010			2011		2010
Components of Net Periodic Benefit Cost
Service cost	$	1,695		$	1,452		$	182	$	146
Interest cost	4,522			4,291			236		257
Expected return on plan assets	(6,455		)	(5,416		)	—		—
Amortization of prior service cost	340			518			22		22
Amortization of plan amendment	—			—			—		(2,392		)
Amortization of losses	2,593			1,130			66		1,478
Net periodic benefit cost	$	2,695		$	1,975		$	506	$	(489	)

	Pension						Postretirement
	Six Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011		2010
Components of Net Periodic Benefit Cost
Service cost	$	3,390		$	3,098		$	364	$	292
Interest cost	9,044			8,870			472		514
Expected return on plan assets	(12,910		)	(10,826		)	—		—
Amortization of prior service cost	680			829			44		44
Amortization of plan amendment	—			—			—		(4,784		)
Amortization of losses	5,186			3,228			132		2,956
Net periodic benefit cost	$	5,390		$	5,199		$	1,012	$	(978	)

The Company made no discretionary contributions to the pension plans during the six months ended June 30, 2011. The Company has no mandatory pension contributions for 2011 and does not expect to make any discretionary contributions.

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Debt

6 Months Ended

Jun. 30, 2011

Debt Disclosure [Abstract]

Debt Disclosure [Text Block]

13. DEBT

In April 2011, the Company entered into a five year $300 million unsecured revolving credit facility, replacing the previous $250 million facility which was scheduled to expire in August 2011. The new facility has a borrowing rate of LIBOR plus 105 basis points plus a facility fee of 20 basis points and expires in April 2016. The Company had $295 million of available borrowings at June 30, 2011.

In March 2011, TRS, a wholly-owned subsidiary of Rayonier, repaid a $75 million term note due in 2015. There were no other significant changes to the Company's outstanding debt as reported in Note 11 - Debt of the Company's 2010 Annual Report on 10-K.

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Condensed Consolidated Statements of Income and Comprehensive Income (USD $) In Thousands, except Per Share data	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
SALES	$ 357,397	$ 312,210	$ 715,127	$ 622,410
Costs and Expenses
Cost of sales	262,772	242,940	520,283	475,794
Selling and general expenses	15,992	15,172	32,425	32,139
Other Operating Expense (Income), net	709	(1,260)	(1,409)	(5,828)
Costs and Expenses, Total	279,473	256,852	551,299	502,105
Equity in income of New Zealand joint venture	1,149	986	2,823	531
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE	79,073	56,344	166,651	120,836
Gain on sale of a portion of the interest in the New Zealand joint venture	0	0	0	12,367
OPERATING INCOME	79,073	56,344	166,651	133,203
Interest expense	(12,628)	(12,250)	(25,945)	(24,736)
Interest and miscellaneous income, net	314	408	605	598
INCOME BEFORE INCOME TAXES	66,759	44,502	141,311	109,065
Income tax expense	(10,305)	(5,944)	(26,446)	(13,554)
NET INCOME	56,454	38,558	114,865	95,511
OTHER COMPREHENSIVE INCOME (LOSS)
Foreign currency translation adjustment	7,442	(2,045)	7,729	(3,261)
Joint venture cash flow hedges	699	816	132	1,026
Amortization of pension and postretirement benefit costs, net of income tax expense (benefit) of $927 and $221, and $1,854 and ($2,366)	2,094	535	4,188	4,639
COMPREHENSIVE INCOME	$ 66,689	$ 37,864	$ 126,914	$ 97,915
EARNINGS PER COMMON SHARE
Basic earnings per share	$ 0.70	$ 0.48	$ 1.42	$ 1.20
Diluted earnings per share	$ 0.67	$ 0.48	$ 1.38	$ 1.18
Dividends per share	$ 0.54	$ 0.50	$ 1.08	$ 1.00
PRO FORMA BASIS (ADJUSTED FOR 3-FOR-2 STOCK SPLIT EFFECTIVE AUGUST 2011) (NOTE 2)
Basic earnings per share, pro forma	$ 0.46	$ 0.32	$ 0.94	$ 0.80
Diluted earnings per share, pro forma	$ 0.45	$ 0.32	$ 0.92	$ 0.79
Dividends per share, pro forma	$ 0.36	$ 0.33	$ 0.72	$ 0.67

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Accumulated Other Comprehensive Loss

6 Months Ended

Jun. 30, 2011

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Comprehensive Income (Loss) Note [Text Block]

14. ACCUMULATED OTHER COMPREHENSIVE LOSS

Accumulated Other Comprehensive Loss was comprised of the following:

	June 30, 2011			December 31, 2010
Foreign currency translation adjustments	$	38,660		$	30,931
Joint venture cash flow hedges	(1,336		)	(1,468		)
Unrecognized components of employee benefit plans, net of tax	(93,633		)	(97,821		)
Total	$	(56,309	)	$	(68,358	)

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Consolidating Financial Statements

6 Months Ended

Jun. 30, 2011

CONSOLIDATING FINANCIAL STATEMENTS [Abstract]

Schedule of Condensed Financial Information [Text Block]

15. CONSOLIDATING FINANCIAL STATEMENTS

In October 2007, TRS issued $300 million of 3.75% Senior Exchangeable Notes due 2012, and in August 2009 TRS issued $172.5 million of 4.50% Senior Exchangeable Notes due 2015. The notes for both transactions are non-callable and are guaranteed by Rayonier Inc. In connection with these exchangeable notes, the Company provides the following condensed consolidating financial information in accordance with SEC Regulation S-X Rule 3-10, Financial Statements of Guarantors and Issuers of Guaranteed Securities Registered or Being Registered. Each entity in the consolidating financial information follows the same accounting policies as described in the consolidated financial statements, except for the use of the equity method of accounting to reflect ownership interests in wholly-owned subsidiaries, which are eliminated upon consolidation, and the allocation of certain expenses of Rayonier Inc. incurred for the benefit of its subsidiaries.

Reclassifications

On July 29, 2010, Rayonier Inc. reorganized its operating structure by creating a new wholly-owned operating entity Rayonier Operating Company LLC ("ROC"), and entering into a contribution agreement under which Rayonier Inc. contributed all assets and liabilities to ROC. As part of this agreement, ROC guarantees the TRS notes mentioned above. Rayonier Inc.'s guarantee of the TRS notes was unchanged by the transaction. Accordingly, the Company has revised its presentation of previously reported consolidating financial statements to reflect ROC as a subsidiary guarantor.

Also in 2010, the Company determined that certain amounts had been incorrectly allocated between the entities presented. See Note 21 - Consolidating Financial Statements in the Company's 2010 Annual Report on Form 10-K for additional information. This resulted in (1) an understatement of interest expense of $5.3 million and $10.2 million for the three and six months ended June 30, 2010, respectively, for TRS (Issuer) and an overstatement for the same amount for TRS non-guarantor subsidiaries, and (2) the overstatement of income related to the New Zealand joint venture totaling $0.8 million and $4.7 million for the three and six months ended June 30, 2010, respectively, at Rayonier Inc. (Parent Guarantor) and an understatement for the same amount for Other non-guarantor subsidiaries.  Consequently, Parent Guarantor and Issuer equity in income from subsidiaries and Issuer and Non-guarantor subsidiaries income tax expense, as previously reported, were also impacted by these misallocations in lesser amounts. The information below gives effect to the correction of these matters. The aforementioned items do not impact the Company’s Condensed Consolidated Balance Sheet, Condensed Consolidated Statement of Income and Comprehensive Income or Condensed Consolidated Statement of Cash Flows for the quarter ended June 30, 2010. Management believes the effects of these corrections are not material to the Company’s previously issued condensed consolidating financial statements.

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Three Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	330,812		$	43,589		$	(17,004	)	$	357,397
Costs and Expenses
Cost of sales	—		—			—			251,107			30,257			(18,592		)	262,772
Selling and general expenses	—		2,215			—			12,985			792			—			15,992
Other operating expense  (income), net	—		36			—			1,903			(1,230		)	—			709
	—		2,251			—			265,995			29,819			(18,592		)	279,473
Equity in income of New Zealand joint venture	—		—			—			167			982			—			1,149
OPERATING (LOSS) INCOME	—		(2,251		)	—			64,984			14,752			1,588			79,073
Interest expense	—		(261		)	(12,161		)	(144		)	(62		)	—			(12,628		)
Interest and miscellaneous income (expense), net	—		1,303			(1,117		)	(4,992		)	5,120			—			314
Equity in income from subsidiaries	56,454		57,748			44,783			—			—			(158,985		)	—
INCOME BEFORE INCOME TAXES	56,454		56,539			31,505			59,848			19,810			(157,397		)	66,759
Income tax (expense) benefit	—		(85		)	4,845			(15,065		)	—			—			(10,305		)
NET INCOME	$	56,454	$	56,454		$	36,350		$	44,783		$	19,810		$	(157,397	)	$	56,454

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Three Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	294,765		$	33,410		$	(15,965	)	$	312,210
Costs and Expenses
Cost of sales	—		—			—			240,382			23,712			(21,154		)	242,940
Selling and general expenses	—		2,856			—			11,539			777			—			15,172
Other operating expense (income), net	—		24			—			425			(1,709		)	—			(1,260		)
	—		2,880			—			252,346			22,780			(21,154		)	256,852
Equity in income of New Zealand joint venture	—		—			—			150			836			—			986
OPERATING (LOSS) INCOME	—		(2,880		)	—			42,569			11,466			5,189			56,344
Interest expense	—		260			(12,656		)	175			(29		)	—			(12,250		)
Interest and miscellaneous income (expense), net	—		1,332			(1,040		)	(4,999		)	5,115			—			408
Equity in income from subsidiaries	38,558		40,186			27,141			—			—			(105,885		)	—
INCOME BEFORE INCOME TAXES	38,558		38,898			13,445			37,745			16,552			(100,696		)	44,502
Income tax (expense) benefit	—		(340		)	5,000			(10,604		)	—			—			(5,944		)
NET INCOME	$	38,558	$	38,558		$	18,445		$	27,141		$	16,552		$	(100,696	)	$	38,558

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Six Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	659,077		$	86,421		$	(30,371	)	$	715,127
Costs and Expenses
Cost of sales	—		—			—			495,404			58,254			(33,375		)	520,283
Selling and general expenses	—		4,931			—			26,055			1,439			—			32,425
Other operating expense  (income), net	—		85			—			2,201			(3,694		)	(1		)	(1,409		)
	—		5,016			—			523,660			55,999			(33,376		)	551,299
Equity in income of New Zealand joint venture	—		—			—			361			2,462			—			2,823
OPERATING (LOSS) INCOME	—		(5,016		)	—			135,778			32,884			3,005			166,651
Interest expense	—		(391		)	(25,211		)	(256		)	(87		)	—			(25,945		)
Interest and miscellaneous income (expense), net	—		2,640			(2,191		)	(10,016		)	10,172			—			605
Equity in income from subsidiaries	114,865		117,792			89,218			—			—			(321,875		)	—
INCOME BEFORE INCOME TAXES	114,865		115,025			61,816			125,506			42,969			(318,870		)	141,311
Income tax (expense) benefit	—		(160		)	10,002			(36,288		)	—			—			(26,446		)
NET INCOME	$	114,865	$	114,865		$	71,818		$	89,218		$	42,969		$	(318,870	)	$	114,865

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Six Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	579,333		$	134,868		$	(91,791	)	$	622,410
Costs and Expenses
Cost of sales	—		—			—			474,223			65,882			(64,311		)	475,794
Selling and general expenses	—		4,856			—			25,730			1,553			—			32,139
Other operating expense (income), net	—		20			—			(1,635		)	(4,213		)	—			(5,828		)
	—		4,876			—			498,318			63,222			(64,311		)	502,105
Equity in income of New Zealand joint venture	—		—			—			505			26			—			531
OPERATING (LOSS) INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE	—		(4,876		)	—			81,520			71,672			(27,480		)	120,836
Gain on sale of a portion of the interest in the New Zealand joint venture	—		—			—			7,697			4,670			—			12,367
OPERATING (LOSS) INCOME	—		(4,876		)	—			89,217			76,342			(27,480		)	133,203
Interest expense	—		150			(24,960		)	153			(79		)	—			(24,736		)
Interest and miscellaneous income (expense), net	—		10,259			(2,289		)	(16,656		)	9,284			—			598
Equity in income from subsidiaries	95,511		91,520			50,756			—			—			(237,787		)	—
INCOME BEFORE INCOME TAXES	95,511		97,053			23,507			72,714			85,547			(265,267		)	109,065
Income tax (expense) benefit	—		(1,542		)	9,946			(21,958		)	—			—			(13,554		)
NET INCOME	$	95,511	$	95,511		$	33,453		$	50,756		$	85,547		$	(265,267	)	$	95,511

	CONDENSED CONSOLIDATING BALANCE SHEETS As of June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)		Rayonier TRS Holdings Inc. (Issuer)		Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	—	$	45,727	$	232,333	$	11,745		$	24,375		$	—		$	314,180
Accounts receivable, less allowance for doubtful accounts	—		42		—		105,978			2,282			—			108,302
Inventory	—		—		—		123,050			—			(14,021		)	109,029
Intercompany interest receivable	—		—		—		—			4,225			(4,225		)	—
Income tax receivable	—		1,755		—		—			—			—			1,755
Prepaid and other current assets	—		1,404		815		65,777			4,024			—			72,020
Total current assets	—		48,928		233,148		306,550			34,906			(18,246		)	605,286
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	—		245		—		38,079			1,089,122			1,860			1,129,306
NET PROPERTY, PLANT AND EQUIPMENT	—		2,551		—		404,102			1,716			—			408,369
INVESTMENT IN JOINT VENTURE	—		—		—		(12,290		)	89,759			—			77,469
INVESTMENT IN SUBSIDIARIES	1,302,979		1,431,789		1,027,229		—			—			(3,761,997		)	—
OTHER ASSETS	—		26,945		8,087		647,435			6,328			(547,438		)	141,357
TOTAL ASSETS	$	1,302,979	$	1,510,458	$	1,268,464	$	1,383,876		$	1,221,831		$	(4,325,821	)	$	2,361,787
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	—	$	1,288	$	42	$	64,541		$	1,272		$	—		$	67,143
Current maturities of long-term debt	—		—		116,167		—			—			—			116,167
Accrued taxes	—		9		—		13,809			4,541			—			18,359
Uncertain tax positions	—		430		—		16,000			—			—			16,430
Accrued payroll and benefits	—		10,080		—		9,981			1,648			—			21,709
Accrued interest	—		145		5,464		1,031			—			—			6,640
Accrued customer incentives	—		—		—		8,707			—			—			8,707
Other current liabilities	—		1,479		—		20,048			14,523			—			36,050
Current liabilities for dispositions and discontinued operations	—		—		—		11,625			—			—			11,625
Total current liabilities	—		13,431		121,673		145,742			21,984			—			302,830
LONG-TERM DEBT	—		—		581,297		—			—			—			581,297
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	—		—		—		76,928			—			—			76,928
PENSION AND OTHER POSTRETIREMENT BENEFITS	—		64,076		—		1,061			—			—			65,137
OTHER NON-CURRENT LIABILITIES	—		19,268		—		12,717			631			—			32,616
INTERCOMPANY PAYABLE	—		110,704		—		120,199			(7,099		)	(223,804		)	—
TOTAL LIABILITIES	—		207,479		702,970		356,647			15,516			(223,804		)	1,058,808
TOTAL SHAREHOLDERS’ EQUITY	1,302,979		1,302,979		565,494		1,027,229			1,206,315			(4,102,017		)	1,302,979
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,302,979	$	1,510,458	$	1,268,464	$	1,383,876		$	1,221,831		$	(4,325,821	)	$	2,361,787

	CONDENSED CONSOLIDATING BALANCE SHEETS As of December 31, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)		Rayonier TRS Holdings Inc. (Issuer)		Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	—	$	29,759	$	283,258	$	1,280		$	35,166		$	—		$	349,463
Accounts receivable, less allowance for doubtful accounts	—		1		—		81,288			1,351			—			82,640
Inventory	—		—		—		123,432			—			(13,397		)	110,035
Intercompany interest receivable	—		—		—		—			4,320			(4,320		)	—
Income tax receivable	—		1,750		—		19,984			—			—			21,734
Prepaid and other current assets	—		1,273		842		38,697			4,502			—			45,314
Total current assets	—		32,783		284,100		264,681			45,339			(17,717		)	609,186
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	—		—		—		37,398			1,098,870			1,663			1,137,931
NET PROPERTY, PLANT AND EQUIPMENT	—		2,819		—		380,577			1,711			197			385,304
INVESTMENT IN JOINT VENTURE	—		—		—		(12,282		)	80,765			—			68,483
INVESTMENT IN SUBSIDIARIES	1,251,582		1,392,465		987,381		—			—			(3,631,428		)	—
OTHER ASSETS	—		26,642		9,351		664,664			13,153			(551,061		)	162,749
TOTAL ASSETS	$	1,251,582	$	1,454,709	$	1,280,832	$	1,335,038		$	1,239,838		$	(4,198,346	)	$	2,363,653
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	—	$	823	$	20	$	55,052		$	2,090		$	—		$	57,985
Current maturities of long-term debt	—		—		93,057		—			—			—			93,057
Accrued taxes	—		—		—		8,283			2,054			—			10,337
Uncertain tax positions	—		430		—		—			—			—			430
Accrued payroll and benefits	—		13,507		—		9,590			2,369			—			25,466
Accrued interest	—		12		5,591		603			—			—			6,206
Accrued customer incentives	—		—		—		9,759			—			—			9,759
Other current liabilities	—		2,178		—		20,071			7,959			—			30,208
Current liabilities for dispositions and discontinued operations	—		—		—		11,500			—			—			11,500
Total current liabilities	—		16,950		98,668		114,858			14,472			—			244,948
LONG-TERM DEBT	—		—		675,103		—			—			—			675,103
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	—		—		—		81,660			—			—			81,660
PENSION AND OTHER POSTRETIREMENT BENEFITS	—		63,759		—		2,576			—			—			66,335
OTHER NON-CURRENT LIABILITIES	—		19,811		—		23,552			662			—			44,025
INTERCOMPANY PAYABLE	—		102,607		—		125,011			(3,751		)	(223,867		)	—
TOTAL LIABILITIES	—		203,127		773,771		347,657			11,383			(223,867		)	1,112,071
TOTAL SHAREHOLDERS’ EQUITY	1,251,582		1,251,582		507,061		987,381			1,228,455			(3,974,479		)	1,251,582
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,251,582	$	1,454,709	$	1,280,832	$	1,335,038		$	1,239,838		$	(4,198,346	)	$	2,363,653

	CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Six Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)			ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
CASH PROVIDED BY OPERATING ACTIVITIES	$	87,805		$	104,011		$	15,000		$	97,347		$	81,107		$	(190,403	)	$	194,867
INVESTING ACTIVITIES
Capital expenditures	—			(238		)	—			(47,800		)	(17,173		)	—			(65,211		)
Purchase of timberlands	—			—			—			—			(12,976		)	—			(12,976		)
Change in restricted cash	—			—			—			—			8,323			—			8,323
Investment In Subsidiaries	—			—			24,778			—			—			(24,778		)	—
Other	—			—			—			(878		)	(72		)	—			(950		)
CASH (USED FOR) PROVIDED BY INVESTING ACTIVITIES	—			(238		)	24,778			(48,678		)	(21,898		)	(24,778		)	(70,814		)
FINANCING ACTIVITIES
Issuance of debt	—			—			—			—			70,000			—			70,000
Repayment of debt	—			—			(75,000		)	—			(70,000		)	—			(145,000		)
Dividends paid	(87,871		)	—			—			—			—			—			(87,871		)
Proceeds from the issuance of common shares	7,894			—			—			—			—			—			7,894
Excess tax benefits on stock-based compensation	—			—			—			4,900			—			—			4,900
Debt issuance costs	—			(480		)	(703		)	—			(480		)	—			(1,663		)
Repurchase of common shares	(7,828		)	—			—			—			—			—			(7,828		)
Distributions to / from parent	—			(87,325		)	(15,000		)	(43,336		)	(69,520		)	215,181			—
CASH USED FOR FINANCING ACTIVITIES	(87,805		)	(87,805		)	(90,703		)	(38,436		)	(70,000		)	215,181			(159,568		)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	—			—			—			232			—			—			232
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	—			15,968			(50,925		)	10,465			(10,791		)	—			(35,283		)
Balance, beginning of year	—			29,759			283,258			1,280			35,166			—			349,463
Balance, end of period	$	—		$	45,727		$	232,333		$	11,745		$	24,375		$	—		$	314,180

	CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Six Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)			ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
CASH PROVIDED BY OPERATING ACTIVITIES	$	73,755		$	117,276		$	25,000		$	231,519		$	118,793		$	(210,543	)	$	355,800
INVESTING ACTIVITIES
Capital expenditures	—			(139		)	—			(58,842		)	(12,367		)	—			(71,348		)
Intercompany purchase of timberlands and real estate	—			—			—			(41,254		)	(22,936		)	64,190			—
Change in restricted cash	—			—			—			—			(10,043		)	—			(10,043		)
Investment in Subsidiaries	—			—			116,784			—			—			(116,784		)	—
Other	—			—			—			6,855			(1,980		)	—			4,875
CASH (USED FOR) PROVIDED BY INVESTING ACTIVITIES	—			(139		)	116,784			(93,241		)	(47,326		)	(52,594		)	(76,516		)
FINANCING ACTIVITIES
Issuance of debt	—			—			75,000			—			52,000			—			127,000
Repayment of debt	—			(5,000		)	(4,650		)	—			(57,000		)	—			(66,650		)
Dividends paid	(79,990		)	—			—			—			—			—			(79,990		)
Proceeds from the issuance of common shares	12,232			—			—			—			—			—			12,232
Excess tax benefits on stock-based compensation	—			—			—			3,951			—			—			3,951
Debt issuance costs	—			—			(535		)	—			—			—			(535		)
Repurchase of common shares	(5,997		)	—			—			—			—			—			(5,997		)
Distributions to / from parent	—			(73,755		)	(25,000		)	(144,382		)	(20,000		)	263,137			—
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(73,755		)	(78,755		)	44,815			(140,431		)	(25,000		)	263,137			(9,989		)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	—			—			—			(75		)	—			—			(75		)
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	—			38,382			186,599			(2,228		)	46,467			—			269,220
Balance, beginning of year	—			2,895			67,494			2,228			2,347			—			74,964
Balance, end of period	$	—		$	41,277		$	254,093		$	—		$	48,814		$	—		$	344,184

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Earnings Per Common Share (Tables)

6 Months Ended

Jun. 30, 2011

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]

The following table provides details of the calculations of basic and diluted earnings per share:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Net income	$	56,454	$	38,558	$	114,865	$	95,511
Shares used for determining basic earnings per common share	81,128,442		80,104,004		81,038,096		79,923,790
Dilutive effect of:
Stock options	494,374		374,768		487,376		387,399
Performance and restricted shares	634,627		613,931		611,325		592,281
Assumed conversion of Senior Exchangeable Notes (a)	1,541,395		—		1,271,207		—
Assumed conversion of warrants (a)	328,778		—		104,321		—
Shares used for determining diluted earnings per common share	84,127,616		81,092,703		83,512,325		80,903,470
Basic earnings per common share	$	0.70	$	0.48	$	1.42	$	1.20
Diluted earnings per common share	$	0.67	$	0.48	$	1.38	$	1.18

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]

	Three Months Ended June 30,		Six Months Ended June 30,
	2011	2010	2011	2010
Anti-dilutive shares excluded from the computations of
diluted earnings per share:
Stock options, performance and restricted shares	95,772	512,663	131,808	513,567
Exchangeable note hedges (a)	1,541,395	—	1,271,207	—
Total	1,637,167	512,663	1,403,015	513,567

(a) For additional information on the potential dilutive impact of the Senior Exchangeable Notes, warrants and exchangeable note hedges, see Note 11 - Debt in the 2010 Annual Report on Form 10-K.

Schedule of Subsequent Events [Table Text Block]

The following table provides the pro forma post-split basic and dilutive shares used for determining earnings per share:

	Three Months Ended June 30,		Six Months Ended June 30,
	2011	2010	2011	2010
Basic shares	121,692,663	120,156,006	121,557,144	119,885,685
Diluted shares	126,191,424	121,639,055	125,268,488	121,355,205

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Shareholders' Equity (Tables)

6 Months Ended

Jun. 30, 2011

Stockholders' Equity Note [Abstract]

Schedule of Stockholders Equity [Table Text Block]

An analysis of shareholders’ equity for the six months ended June 30, 2011 and the year ended December 31, 2010 is shown below (share amounts not in thousands):

	Common Shares					Retained Earnings			Accumulated Other Comprehensive Loss			Shareholders’ Equity
	Shares		Amount
Balance, December 31, 2009	79,541,974		$	561,962		$	663,986		$	(79,742	)	$	1,146,206
Net income	—		—			217,586			—			217,586
Dividends ($2.04 per share)	—		—			(164,514		)	—			(164,514		)
Issuance of shares under incentive stock plans	1,276,227		26,314			—			—			26,314
Stock-based compensation	—		15,223			—			—			15,223
Excess tax benefit on stock-based compensation	—		5,411			—			—			5,411
Repurchase of common shares	(136,108	)	(6,028		)	—			—			(6,028		)
Net gain from pension and postretirement plans	—		—			—			6,385			6,385
Foreign currency translation adjustment	—		—			—			4,162			4,162
Joint venture cash flow hedges	—		—			—			837			837
Balance, December 31, 2010	80,682,093		$	602,882		$	717,058		$	(68,358	)	$	1,251,582
Net income	—		—			114,865			—			114,865
Dividends ($1.08 per share)	—		—			(88,504		)	—			(88,504		)
Issuance of shares under incentive stock plans	662,671		7,894			—			—			7,894
Stock-based compensation	—		8,021			—			—			8,021
Excess tax benefit on stock-based compensation	—		4,900			—			—			4,900
Repurchase of common shares	(139,129	)	(7,828		)	—			—			(7,828		)
Amortization of pension and postretirement plans	—		—			—			4,188			4,188
Foreign currency translation adjustment	—		—			—			7,729			7,729
Joint venture cash flow hedges	—		—			—			132			132
Balance, June 30, 2011	81,205,635		$	615,869		$	743,419		$	(56,309	)	$	1,302,979

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Segment and Geographical Information (Tables)

6 Months Ended

Jun. 30, 2011

Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]

Schedule of Segment Reporting Information, by Segment [Table Text Block]

Total assets, sales, operating income (loss) and depreciation, depletion and amortization by segment including Corporate were as follows:

	June 30,		December 31,
ASSETS	2011		2010
Forest Resources	$	1,255,830	$	1,259,925
Real Estate	76,296		85,525
Performance Fibers	607,481		550,875
Wood Products	21,473		19,544
Other Operations	29,877		25,583
Corporate and other	370,830		422,201
Total	$	2,361,787	$	2,363,653

	Three Months Ended June 30,						Six Months Ended June 30,
SALES	2011			2010			2011			2010
Forest Resources	$	57,037		$	48,917		$	105,217		$	96,025
Real Estate	12,305			12,712			25,767			45,729
Performance Fibers	232,807			201,947			483,970			401,719
Wood Products	17,957			21,573			33,747			37,505
Other Operations	38,508			30,246			68,920			47,354
Intersegment Eliminations (a)	(1,217		)	(3,185		)	(2,494		)	(5,922		)
Total	$	357,397		$	312,210		$	715,127		$	622,410

(a) Intersegment eliminations primarily reflect sales from our Forest Resources segment to our Performance Fibers segment.

	Three Months Ended June 30,						Six Months Ended June 30,
OPERATING INCOME	2011			2010			2011			2010
Forest Resources	$	11,838		$	8,663		$	22,888		$	16,872
Real Estate	5,009			4,183			12,380			21,537
Performance Fibers	71,102			44,990			146,811			89,847
Wood Products	(987		)	4,270			(534		)	4,311
Other Operations	(965		)	726			(166		)	1,336
Corporate and other (b)	(6,924		)	(6,488		)	(14,728		)	(700		)
Total	$	79,073		$	56,344		$	166,651		$	133,203

(b) Six months ended June 30, 2010 includes a $12.4 million gain from the sale of a portion of the Company's interest in its New Zealand JV. See Note 5 — Joint Venture Investment for additional information.

	Three Months Ended June 30,				Six Months Ended June 30,
DEPRECIATION, DEPLETION AND AMORTIZATION	2011		2010		2011		2010
Forest Resources	$	15,848	$	17,269	$	31,252	$	34,005
Real Estate	2,231		2,486		4,921		12,002
Performance Fibers	11,783		12,203		24,498		28,007
Wood Products	834		1,078		1,655		2,144
Corporate and other	298		171		537		364
Total	$	30,994	$	33,207	$	62,863	$	76,522

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2011

Fair Value Disclosures [Abstract]

Fair Value, by Balance Sheet Grouping [Table Text Block]

The following table presents the carrying amount and estimated fair values of financial instruments held by the Company at June 30, 2011 and December 31, 2010, using market information and what the Company believes to be appropriate valuation methodologies under generally accepted accounting principles:

	June 30, 2011						December 31, 2010
Asset (liability)	Carrying Amount			Fair Value			Carrying Amount			Fair Value
Cash and cash equivalents	$	314,180		$	314,180		$	349,463		$	349,463
Short-term debt	(116,167		)	(118,424		)	(93,057		)	(98,042		)
Long-term debt	(581,297		)	(750,980		)	(675,103		)	(783,080		)

Fair Value, Assets Measured on Recurring Basis [Table Text Block]

Assets measured at fair value on a recurring basis are summarized below:

Asset	Carrying Value at June 30, 2011		Level 2		Carrying Value at December 31, 2010		Level 2
Investment in special-purpose entity	$	2,879	$	2,879	$	2,879	$	2,879

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Guarantees (Tables)

6 Months Ended

Jun. 30, 2011

Guarantees [Abstract]

Schedule of Guarantor Obligations [Table Text Block]

The Company provides financial guarantees as required by creditors, insurance programs, and state and foreign governmental agencies. As of June 30, 2011, the following financial guarantees were outstanding:

Financial Commitments	Maximum Potential Payment		Carrying Amount of Liability
Standby letters of credit (a)	$	43,807	$	38,110
Guarantees (b)	2,555		43
Surety bonds (c)	12,581		1,857
Total financial commitments	$	58,943	$	40,010

(a) Approximately $39 million of the standby letters of credit serve as credit support for industrial revenue bonds. The remaining letters of credit support various insurance related agreements, primarily workers’ compensation and pollution liability policy requirements. These letters of credit will expire at various dates during 2011 and 2012 and will be renewed as required.

(b) In conjunction with a timberland sale and note monetization in the first quarter of 2004, the Company issued a make-whole agreement pursuant to which it guaranteed $2.6 million of obligations of a special-purpose entity that was established to complete the monetization. At June 30, 2011, the Company has a de minimus liability to reflect the fair market value of its obligation to perform under the make-whole agreement.

(c) Rayonier issues surety bonds primarily to secure timber harvesting obligations in the State of Washington and to provide collateral for the Company’s workers’ compensation self-insurance program in that state. These surety bonds expire at various dates during 2011, 2012 and 2014 and are expected to be renewed as required.

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Liabilities for Dispositions and Discontinued Operations (Tables)

6 Months Ended

Jun. 30, 2011

Liabilities of Disposal Group, Including Discontinued Operation [Abstract]

Schedule of Change in Environmental Loss Contingencies [Table Text Block]

An analysis of the liabilities for dispositions and discontinued operations follows:

	June 30,			December 31,
	2011			2010
Balance, beginning of period	$	93,160		$	98,591
Expenditures charged to liabilities	(4,916		)	(8,632		)
Increase to liabilities	309			3,201
Balance, end of period	88,553			93,160
Less: Current portion	(11,625		)	(11,500		)
Non-current portion	$	76,928		$	81,660

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Employee Benefit Plans (Tables)

6 Months Ended

Jun. 30, 2011

Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract]

Schedule of Defined Benefit Plans Disclosures [Table Text Block]

The net pension and postretirement benefit costs that have been recognized during the stated periods are shown in the following table:

	Pension						Postretirement
	Three Months Ended June 30,						Three Months Ended June 30,
	2011			2010			2011		2010
Components of Net Periodic Benefit Cost
Service cost	$	1,695		$	1,452		$	182	$	146
Interest cost	4,522			4,291			236		257
Expected return on plan assets	(6,455		)	(5,416		)	—		—
Amortization of prior service cost	340			518			22		22
Amortization of plan amendment	—			—			—		(2,392		)
Amortization of losses	2,593			1,130			66		1,478
Net periodic benefit cost	$	2,695		$	1,975		$	506	$	(489	)

	Pension						Postretirement
	Six Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011		2010
Components of Net Periodic Benefit Cost
Service cost	$	3,390		$	3,098		$	364	$	292
Interest cost	9,044			8,870			472		514
Expected return on plan assets	(12,910		)	(10,826		)	—		—
Amortization of prior service cost	680			829			44		44
Amortization of plan amendment	—			—			—		(4,784		)
Amortization of losses	5,186			3,228			132		2,956
Net periodic benefit cost	$	5,390		$	5,199		$	1,012	$	(978	)

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Accumulated Other Comprehensive Loss (Tables)

6 Months Ended

Jun. 30, 2011

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]

Accumulated Other Comprehensive Loss was comprised of the following:

	June 30, 2011			December 31, 2010
Foreign currency translation adjustments	$	38,660		$	30,931
Joint venture cash flow hedges	(1,336		)	(1,468		)
Unrecognized components of employee benefit plans, net of tax	(93,633		)	(97,821		)
Total	$	(56,309	)	$	(68,358	)

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Condensed Consolidated Statements of Income and Comprehensive Income Parenthetical (USD $) In Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Amortization of pension and postretirement benefit costs, income tax expense (benefit)	$ 927	$ 221	$ 1,854	$ (2,366)

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Consolidating Financial Statements (Tables)

6 Months Ended

Jun. 30, 2011

CONSOLIDATING FINANCIAL STATEMENTS [Abstract]

Schedule of Condensed Consoldiating Income Statement [Table Text Block]

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Three Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	330,812		$	43,589		$	(17,004	)	$	357,397
Costs and Expenses
Cost of sales	—		—			—			251,107			30,257			(18,592		)	262,772
Selling and general expenses	—		2,215			—			12,985			792			—			15,992
Other operating expense  (income), net	—		36			—			1,903			(1,230		)	—			709
	—		2,251			—			265,995			29,819			(18,592		)	279,473
Equity in income of New Zealand joint venture	—		—			—			167			982			—			1,149
OPERATING (LOSS) INCOME	—		(2,251		)	—			64,984			14,752			1,588			79,073
Interest expense	—		(261		)	(12,161		)	(144		)	(62		)	—			(12,628		)
Interest and miscellaneous income (expense), net	—		1,303			(1,117		)	(4,992		)	5,120			—			314
Equity in income from subsidiaries	56,454		57,748			44,783			—			—			(158,985		)	—
INCOME BEFORE INCOME TAXES	56,454		56,539			31,505			59,848			19,810			(157,397		)	66,759
Income tax (expense) benefit	—		(85		)	4,845			(15,065		)	—			—			(10,305		)
NET INCOME	$	56,454	$	56,454		$	36,350		$	44,783		$	19,810		$	(157,397	)	$	56,454

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Three Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	294,765		$	33,410		$	(15,965	)	$	312,210
Costs and Expenses
Cost of sales	—		—			—			240,382			23,712			(21,154		)	242,940
Selling and general expenses	—		2,856			—			11,539			777			—			15,172
Other operating expense (income), net	—		24			—			425			(1,709		)	—			(1,260		)
	—		2,880			—			252,346			22,780			(21,154		)	256,852
Equity in income of New Zealand joint venture	—		—			—			150			836			—			986
OPERATING (LOSS) INCOME	—		(2,880		)	—			42,569			11,466			5,189			56,344
Interest expense	—		260			(12,656		)	175			(29		)	—			(12,250		)
Interest and miscellaneous income (expense), net	—		1,332			(1,040		)	(4,999		)	5,115			—			408
Equity in income from subsidiaries	38,558		40,186			27,141			—			—			(105,885		)	—
INCOME BEFORE INCOME TAXES	38,558		38,898			13,445			37,745			16,552			(100,696		)	44,502
Income tax (expense) benefit	—		(340		)	5,000			(10,604		)	—			—			(5,944		)
NET INCOME	$	38,558	$	38,558		$	18,445		$	27,141		$	16,552		$	(100,696	)	$	38,558

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Six Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	659,077		$	86,421		$	(30,371	)	$	715,127
Costs and Expenses
Cost of sales	—		—			—			495,404			58,254			(33,375		)	520,283
Selling and general expenses	—		4,931			—			26,055			1,439			—			32,425
Other operating expense  (income), net	—		85			—			2,201			(3,694		)	(1		)	(1,409		)
	—		5,016			—			523,660			55,999			(33,376		)	551,299
Equity in income of New Zealand joint venture	—		—			—			361			2,462			—			2,823
OPERATING (LOSS) INCOME	—		(5,016		)	—			135,778			32,884			3,005			166,651
Interest expense	—		(391		)	(25,211		)	(256		)	(87		)	—			(25,945		)
Interest and miscellaneous income (expense), net	—		2,640			(2,191		)	(10,016		)	10,172			—			605
Equity in income from subsidiaries	114,865		117,792			89,218			—			—			(321,875		)	—
INCOME BEFORE INCOME TAXES	114,865		115,025			61,816			125,506			42,969			(318,870		)	141,311
Income tax (expense) benefit	—		(160		)	10,002			(36,288		)	—			—			(26,446		)
NET INCOME	$	114,865	$	114,865		$	71,818		$	89,218		$	42,969		$	(318,870	)	$	114,865

	CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Six Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
SALES	$	—	$	—		$	—		$	579,333		$	134,868		$	(91,791	)	$	622,410
Costs and Expenses
Cost of sales	—		—			—			474,223			65,882			(64,311		)	475,794
Selling and general expenses	—		4,856			—			25,730			1,553			—			32,139
Other operating expense (income), net	—		20			—			(1,635		)	(4,213		)	—			(5,828		)
	—		4,876			—			498,318			63,222			(64,311		)	502,105
Equity in income of New Zealand joint venture	—		—			—			505			26			—			531
OPERATING (LOSS) INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE	—		(4,876		)	—			81,520			71,672			(27,480		)	120,836
Gain on sale of a portion of the interest in the New Zealand joint venture	—		—			—			7,697			4,670			—			12,367
OPERATING (LOSS) INCOME	—		(4,876		)	—			89,217			76,342			(27,480		)	133,203
Interest expense	—		150			(24,960		)	153			(79		)	—			(24,736		)
Interest and miscellaneous income (expense), net	—		10,259			(2,289		)	(16,656		)	9,284			—			598
Equity in income from subsidiaries	95,511		91,520			50,756			—			—			(237,787		)	—
INCOME BEFORE INCOME TAXES	95,511		97,053			23,507			72,714			85,547			(265,267		)	109,065
Income tax (expense) benefit	—		(1,542		)	9,946			(21,958		)	—			—			(13,554		)
NET INCOME	$	95,511	$	95,511		$	33,453		$	50,756		$	85,547		$	(265,267	)	$	95,511

Schedule of Condensed Consolidating Balance Sheet [Table Text Block]

	CONDENSED CONSOLIDATING BALANCE SHEETS As of June 30, 2011
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)		Rayonier TRS Holdings Inc. (Issuer)		Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	—	$	45,727	$	232,333	$	11,745		$	24,375		$	—		$	314,180
Accounts receivable, less allowance for doubtful accounts	—		42		—		105,978			2,282			—			108,302
Inventory	—		—		—		123,050			—			(14,021		)	109,029
Intercompany interest receivable	—		—		—		—			4,225			(4,225		)	—
Income tax receivable	—		1,755		—		—			—			—			1,755
Prepaid and other current assets	—		1,404		815		65,777			4,024			—			72,020
Total current assets	—		48,928		233,148		306,550			34,906			(18,246		)	605,286
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	—		245		—		38,079			1,089,122			1,860			1,129,306
NET PROPERTY, PLANT AND EQUIPMENT	—		2,551		—		404,102			1,716			—			408,369
INVESTMENT IN JOINT VENTURE	—		—		—		(12,290		)	89,759			—			77,469
INVESTMENT IN SUBSIDIARIES	1,302,979		1,431,789		1,027,229		—			—			(3,761,997		)	—
OTHER ASSETS	—		26,945		8,087		647,435			6,328			(547,438		)	141,357
TOTAL ASSETS	$	1,302,979	$	1,510,458	$	1,268,464	$	1,383,876		$	1,221,831		$	(4,325,821	)	$	2,361,787
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	—	$	1,288	$	42	$	64,541		$	1,272		$	—		$	67,143
Current maturities of long-term debt	—		—		116,167		—			—			—			116,167
Accrued taxes	—		9		—		13,809			4,541			—			18,359
Uncertain tax positions	—		430		—		16,000			—			—			16,430
Accrued payroll and benefits	—		10,080		—		9,981			1,648			—			21,709
Accrued interest	—		145		5,464		1,031			—			—			6,640
Accrued customer incentives	—		—		—		8,707			—			—			8,707
Other current liabilities	—		1,479		—		20,048			14,523			—			36,050
Current liabilities for dispositions and discontinued operations	—		—		—		11,625			—			—			11,625
Total current liabilities	—		13,431		121,673		145,742			21,984			—			302,830
LONG-TERM DEBT	—		—		581,297		—			—			—			581,297
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	—		—		—		76,928			—			—			76,928
PENSION AND OTHER POSTRETIREMENT BENEFITS	—		64,076		—		1,061			—			—			65,137
OTHER NON-CURRENT LIABILITIES	—		19,268		—		12,717			631			—			32,616
INTERCOMPANY PAYABLE	—		110,704		—		120,199			(7,099		)	(223,804		)	—
TOTAL LIABILITIES	—		207,479		702,970		356,647			15,516			(223,804		)	1,058,808
TOTAL SHAREHOLDERS’ EQUITY	1,302,979		1,302,979		565,494		1,027,229			1,206,315			(4,102,017		)	1,302,979
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,302,979	$	1,510,458	$	1,268,464	$	1,383,876		$	1,221,831		$	(4,325,821	)	$	2,361,787

	CONDENSED CONSOLIDATING BALANCE SHEETS As of December 31, 2010
	Rayonier Inc. (Parent Guarantor)		ROC (Subsidiary Guarantor)		Rayonier TRS Holdings Inc. (Issuer)		Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	—	$	29,759	$	283,258	$	1,280		$	35,166		$	—		$	349,463
Accounts receivable, less allowance for doubtful accounts	—		1		—		81,288			1,351			—			82,640
Inventory	—		—		—		123,432			—			(13,397		)	110,035
Intercompany interest receivable	—		—		—		—			4,320			(4,320		)	—
Income tax receivable	—		1,750		—		19,984			—			—			21,734
Prepaid and other current assets	—		1,273		842		38,697			4,502			—			45,314
Total current assets	—		32,783		284,100		264,681			45,339			(17,717		)	609,186
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	—		—		—		37,398			1,098,870			1,663			1,137,931
NET PROPERTY, PLANT AND EQUIPMENT	—		2,819		—		380,577			1,711			197			385,304
INVESTMENT IN JOINT VENTURE	—		—		—		(12,282		)	80,765			—			68,483
INVESTMENT IN SUBSIDIARIES	1,251,582		1,392,465		987,381		—			—			(3,631,428		)	—
OTHER ASSETS	—		26,642		9,351		664,664			13,153			(551,061		)	162,749
TOTAL ASSETS	$	1,251,582	$	1,454,709	$	1,280,832	$	1,335,038		$	1,239,838		$	(4,198,346	)	$	2,363,653
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable	$	—	$	823	$	20	$	55,052		$	2,090		$	—		$	57,985
Current maturities of long-term debt	—		—		93,057		—			—			—			93,057
Accrued taxes	—		—		—		8,283			2,054			—			10,337
Uncertain tax positions	—		430		—		—			—			—			430
Accrued payroll and benefits	—		13,507		—		9,590			2,369			—			25,466
Accrued interest	—		12		5,591		603			—			—			6,206
Accrued customer incentives	—		—		—		9,759			—			—			9,759
Other current liabilities	—		2,178		—		20,071			7,959			—			30,208
Current liabilities for dispositions and discontinued operations	—		—		—		11,500			—			—			11,500
Total current liabilities	—		16,950		98,668		114,858			14,472			—			244,948
LONG-TERM DEBT	—		—		675,103		—			—			—			675,103
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	—		—		—		81,660			—			—			81,660
PENSION AND OTHER POSTRETIREMENT BENEFITS	—		63,759		—		2,576			—			—			66,335
OTHER NON-CURRENT LIABILITIES	—		19,811		—		23,552			662			—			44,025
INTERCOMPANY PAYABLE	—		102,607		—		125,011			(3,751		)	(223,867		)	—
TOTAL LIABILITIES	—		203,127		773,771		347,657			11,383			(223,867		)	1,112,071
TOTAL SHAREHOLDERS’ EQUITY	1,251,582		1,251,582		507,061		987,381			1,228,455			(3,974,479		)	1,251,582
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,251,582	$	1,454,709	$	1,280,832	$	1,335,038		$	1,239,838		$	(4,198,346	)	$	2,363,653

Schedule of Condensed Consolidating Cash Flows Statement [Table Text Block]

	CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Six Months Ended June 30, 2011
	Rayonier Inc. (Parent Guarantor)			ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
CASH PROVIDED BY OPERATING ACTIVITIES	$	87,805		$	104,011		$	15,000		$	97,347		$	81,107		$	(190,403	)	$	194,867
INVESTING ACTIVITIES
Capital expenditures	—			(238		)	—			(47,800		)	(17,173		)	—			(65,211		)
Purchase of timberlands	—			—			—			—			(12,976		)	—			(12,976		)
Change in restricted cash	—			—			—			—			8,323			—			8,323
Investment In Subsidiaries	—			—			24,778			—			—			(24,778		)	—
Other	—			—			—			(878		)	(72		)	—			(950		)
CASH (USED FOR) PROVIDED BY INVESTING ACTIVITIES	—			(238		)	24,778			(48,678		)	(21,898		)	(24,778		)	(70,814		)
FINANCING ACTIVITIES
Issuance of debt	—			—			—			—			70,000			—			70,000
Repayment of debt	—			—			(75,000		)	—			(70,000		)	—			(145,000		)
Dividends paid	(87,871		)	—			—			—			—			—			(87,871		)
Proceeds from the issuance of common shares	7,894			—			—			—			—			—			7,894
Excess tax benefits on stock-based compensation	—			—			—			4,900			—			—			4,900
Debt issuance costs	—			(480		)	(703		)	—			(480		)	—			(1,663		)
Repurchase of common shares	(7,828		)	—			—			—			—			—			(7,828		)
Distributions to / from parent	—			(87,325		)	(15,000		)	(43,336		)	(69,520		)	215,181			—
CASH USED FOR FINANCING ACTIVITIES	(87,805		)	(87,805		)	(90,703		)	(38,436		)	(70,000		)	215,181			(159,568		)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	—			—			—			232			—			—			232
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	—			15,968			(50,925		)	10,465			(10,791		)	—			(35,283		)
Balance, beginning of year	—			29,759			283,258			1,280			35,166			—			349,463
Balance, end of period	$	—		$	45,727		$	232,333		$	11,745		$	24,375		$	—		$	314,180

	CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Six Months Ended June 30, 2010
	Rayonier Inc. (Parent Guarantor)			ROC (Subsidiary Guarantor)			Rayonier TRS Holdings Inc. (Issuer)			Subsidiaries of Rayonier TRS Holdings Inc. (Non- guarantors)			All Other Subsidiaries (Non- guarantors)			Consolidating Adjustments			Total Consolidated
CASH PROVIDED BY OPERATING ACTIVITIES	$	73,755		$	117,276		$	25,000		$	231,519		$	118,793		$	(210,543	)	$	355,800
INVESTING ACTIVITIES
Capital expenditures	—			(139		)	—			(58,842		)	(12,367		)	—			(71,348		)
Intercompany purchase of timberlands and real estate	—			—			—			(41,254		)	(22,936		)	64,190			—
Change in restricted cash	—			—			—			—			(10,043		)	—			(10,043		)
Investment in Subsidiaries	—			—			116,784			—			—			(116,784		)	—
Other	—			—			—			6,855			(1,980		)	—			4,875
CASH (USED FOR) PROVIDED BY INVESTING ACTIVITIES	—			(139		)	116,784			(93,241		)	(47,326		)	(52,594		)	(76,516		)
FINANCING ACTIVITIES
Issuance of debt	—			—			75,000			—			52,000			—			127,000
Repayment of debt	—			(5,000		)	(4,650		)	—			(57,000		)	—			(66,650		)
Dividends paid	(79,990		)	—			—			—			—			—			(79,990		)
Proceeds from the issuance of common shares	12,232			—			—			—			—			—			12,232
Excess tax benefits on stock-based compensation	—			—			—			3,951			—			—			3,951
Debt issuance costs	—			—			(535		)	—			—			—			(535		)
Repurchase of common shares	(5,997		)	—			—			—			—			—			(5,997		)
Distributions to / from parent	—			(73,755		)	(25,000		)	(144,382		)	(20,000		)	263,137			—
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(73,755		)	(78,755		)	44,815			(140,431		)	(25,000		)	263,137			(9,989		)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	—			—			—			(75		)	—			—			(75		)
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	—			38,382			186,599			(2,228		)	46,467			—			269,220
Balance, beginning of year	—			2,895			67,494			2,228			2,347			—			74,964
Balance, end of period	$	—		$	41,277		$	254,093		$	—		$	48,814		$	—		$	344,184

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Earnings Per Common Share (Details) (USD $) In Thousands, except Share data	3 Months Ended				6 Months Ended				12 Months Ended
	Jun. 30, 2011		Jun. 30, 2010		Jun. 30, 2011		Jun. 30, 2010		Dec. 31, 2010
Earnings Per Share [Abstract]
Net Income	$ 56,454		$ 38,558		$ 114,865		$ 95,511		$ 217,586
Shares used for determining basic earnings per share	81,128,442		80,104,004		81,038,096		79,923,790
Dilutive Effect of:
Stock Options	494,374		374,768		487,376		387,399
Performance and restricted shares	634,627		613,931		611,325		592,281
Assumed conversion of Senior Exchangeable Notes	1,541,395	[1]	0	[1]	1,271,207	[1]	0	[1]
Assumed conversion of warrants	328,778	[1]	0	[1]	104,321	[1]	0	[1]
Shares used for determining diluted earnings per common share	84,127,616		81,092,703		83,512,325		80,903,470
Basic earnings per common share	$ 0.70		$ 0.48		$ 1.42		$ 1.20
Diluted earnings per common share	$ 0.67		$ 0.48		$ 1.38		$ 1.18

[1] (a) For additional information on the potential dilutive impact of the Senior Exchangeable Notes, warrants and exchangeable note hedges, see Note 11 - Debt in the 2010 Annual Report on Form 10-K.

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Earnings Per Common Share Schedule of Antidilutive Shares (Details)	3 Months Ended				6 Months Ended
	Jun. 30, 2011		Jun. 30, 2010		Jun. 30, 2011		Jun. 30, 2010
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	1,637,167		512,663		1,403,015		513,567
Stock Compensation Plan [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	95,772		512,663		131,808		513,567
Contingently Issuable Shares [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	1,541,395	[1]	0	[1]	1,271,207	[1]	0	[1]

[1] (a) For additional information on the potential dilutive impact of the Senior Exchangeable Notes, warrants and exchangeable note hedges, see Note 11 - Debt in the 2010 Annual Report on Form 10-K.

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Earnings Per Common Share Subsequent Events (Details) (USD $)	6 Months Ended	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2011 Stock Split [Member]	Jun. 30, 2010 Stock Split [Member]	Jun. 30, 2011 Stock Split [Member]	Jun. 30, 2010 Stock Split [Member]	Jul. 22, 2011 Dividend Increase [Member]
Subsequent Event [Line Items]
Stockholders' Equity Note, Changes in Capital Structure, Retroactive Impact	On July 22, 2011, the Board of Directors authorized a three-for-two stock split. An additional one-half common share for every common share held of record as of August 10, 2011 will be distributed on August 24, 2011.
Weighted Average Basic Shares Outstanding, Pro Forma		121,692,663	120,156,006	121,557,144	119,885,685
Pro Forma Weighted Average Shares Outstanding, Diluted		126,191,424	121,639,055	125,268,488	121,355,205
Dividend Per Share Before Increase Pre-split						$ 0.54
Dividend Per Share After Increase Pre-Split						$ 0.60
Dividend Per Share Before Increase Post-split						$ 0.36
Dividend Per Share After Increase Post-split						$ 0.40

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Income Taxes (Tax Rates) (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Effective Tax Rates, Continuing Operations [Abstract]
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate			35.00%
Effective Income Tax Rate, Continuing Operations	15.40%	13.40%	18.70%	12.40%
Built in Gain 2011 Tax Rate			0.00%
Exchange of Alternative Fuel Credits Amount	30 million gallons
Exchange of Alternative Fuel Tax Benefit	$ 4.1
Income Tax [Member]
Subsequent Event [Line Items]
Subsequent Event, Amount			$ 16

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Restricted Deposits (Details) (USD $) In Millions	6 Months Ended
	Jun. 30, 2011	Dec. 31, 2010
Restricted Cash and Investments [Abstract]
Restricted Cash and Cash Equivalents	$ 0	$ 8.3
Maximum Time Period Proceeds From LKE Sale Maintained with Third Party Intermediary	180 days

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Joint Venture Investment (Details)	6 Months Ended		1 Months Ended	6 Months Ended
	Jun. 30, 2011 USD ($)	Jun. 30, 2010 USD ($)	Feb. 28, 2010 Matariki [Member] NZD	Jun. 30, 2010 Matariki [Member]	Jun. 30, 2011 Matariki [Member] Acres
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Ownership Percentage					26.00%
Acres Of Timberland Owned By Joint Venture					300,000
Equity Method Investment Percentage of Ownership Decrease			35.00%
Proceeds From Issuance Of Common Stock By Equity Method Investee			167,000,000
Equity Method Investment Joint Venture Outstanding Debt			367,000,000
Sale of Stock, Percentage of Ownership before Transaction				40.00%
Sale of Stock, Percentage of Ownership after Transaction				26.00%
Equity Method Investment, Realized Gain (Loss) on Disposal	0	11,545,000
Equity Method Investment Realized Gain Loss On Disposal Tax		$ 900,000
Equity Method Investment Realized Gain Loss On Disposal Per Share Amount		$ 0.14

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Shareholders' Equity (Details) (USD $) In Thousands, except Share data	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2010
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stockholders' Equity Attributable to Parent			$ 1,251,582	$ 1,146,206	$ 1,146,206
Net Income	56,454	38,558	114,865	95,511	217,586
Dividends			(88,504)		(164,514)
Issuance of shares under incentive stock plans			7,894		26,314
Stock-based compensation			8,021		15,223
Excess tax benefit on stock-based compensation			4,900		5,411
Repurchase of common shares			(7,828)		(6,028)
Amortization of pension and postretirement plans	2,094	535	4,188	4,639	6,385
Foreign currency translation adjustment	7,442	(2,045)	7,729	(3,261)	4,162
Joint venture cash flow hedges	699	816	132	1,026	837
Stockholders' Equity Attributable to Parent	1,302,979		1,302,979		1,251,582
Common Stock, Dividends, Per Share, Declared	$ 0.54	$ 0.50	$ 1.08	$ 1.00	$ 2.04
Common Stock Including Additional Paid in Capital [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stockholders' Equity Attributable to Parent			602,882	561,962	561,962
Shares, Issued			80,682,093	79,541,974	79,541,974
Issuance of shares under incentive stock plans			7,894		26,314
Stock Issued During Period, Shares, Share-based Compensation, Net of Forfeitures			662,671		1,276,227
Stock-based compensation			8,021		15,223
Excess tax benefit on stock-based compensation			4,900		5,411
Repurchase of common shares			(7,828)		(6,028)
Stock Repurchased During Period, Shares			(139,129)		(136,108)
Stockholders' Equity Attributable to Parent	615,869		615,869		602,882
Shares, Issued	81,205,635		81,205,635		80,682,093
Retained Earnings [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stockholders' Equity Attributable to Parent			717,058	663,986	663,986
Net Income			114,865		217,586
Dividends			(88,504)		(164,514)
Stockholders' Equity Attributable to Parent	743,419		743,419		717,058
Accumulated Other Comprehensive Income (Loss) [Member]
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stockholders' Equity Attributable to Parent			(68,358)	(79,742)	(79,742)
Amortization of pension and postretirement plans			4,188		6,385
Foreign currency translation adjustment			7,729		4,162
Joint venture cash flow hedges			132		837
Stockholders' Equity Attributable to Parent	$ (56,309)		$ (56,309)		$ (68,358)

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Segment and Geographical Information (Details) (USD $) In Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2011		Jun. 30, 2010		Jun. 30, 2011		Jun. 30, 2010		Dec. 31, 2010
Segment Reporting Information [Line Items]
Gain on sale of a portion of the interest in the New Zealand joint venture	$ 0		$ 0		$ 0		$ 12,367
Depreciation, depletion and amortization	30,994		33,207		62,863		76,522
Operating Income	79,073		56,344		166,651		133,203
Sales	357,397		312,210		715,127		622,410
Assets	2,361,787				2,361,787				2,363,653
Forest Resources [Member]
Segment Reporting Information [Line Items]
Depreciation, depletion and amortization	15,848		17,269		31,252		34,005
Operating Income	11,838		8,663		22,888		16,872
Sales	57,037		48,917		105,217		96,025
Assets	1,255,830				1,255,830				1,259,925
Real Estate Segment [Member]
Segment Reporting Information [Line Items]
Depreciation, depletion and amortization	2,231		2,486		4,921		12,002
Operating Income	5,009		4,183		12,380		21,537
Sales	12,305		12,712		25,767		45,729
Assets	76,296				76,296				85,525
Performance Fibers Segment [Member]
Segment Reporting Information [Line Items]
Depreciation, depletion and amortization	11,783		12,203		24,498		28,007
Operating Income	71,102		44,990		146,811		89,847
Sales	232,807		201,947		483,970		401,719
Assets	607,481				607,481				550,875
Wood Products Segment [Member]
Segment Reporting Information [Line Items]
Depreciation, depletion and amortization	834		1,078		1,655		2,144
Operating Income	(987)		4,270		(534)		4,311
Sales	17,957		21,573		33,747		37,505
Assets	21,473				21,473				19,544
All Other Segments [Member]
Segment Reporting Information [Line Items]
Operating Income	(965)		726		(166)		1,336
Sales	38,508		30,246		68,920		47,354
Assets	29,877				29,877				25,583
Intersegment Elimination [Member]
Segment Reporting Information [Line Items]
Sales	(1,217)	[1]	(3,185)	[1]	(2,494)	[1]	(5,922)	[1]
Unallocated Amount to Segment [Member]
Segment Reporting Information [Line Items]
Operating Income	(6,924)	[2]	(6,488)	[2]	(14,728)	[2]	(700)	[2]
Assets	370,830				370,830				422,201
All Other Segments And Unallocated Amount To Segment [Member]
Segment Reporting Information [Line Items]
Depreciation, depletion and amortization	$ 298		$ 171		$ 537		$ 364

[1] Intersegment eliminations primarily reflect sales from our Forest Resources segment to our Performance Fibers segment.

[2] Six months ended June 30, 2010 includes a $12.4 million gain from the sale of a portion of the Company's interest in its New Zealand JV. See Note 5 — Joint Venture Investment for additional information.

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Fair Value Measurements (Details) (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010	Jun. 30, 2010	Dec. 31, 2009
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	$ 314,180	$ 349,463	$ 344,184	$ 74,964
Short-term debt	(116,167)	(93,057)
Long-term debt	(581,297)	(675,103)
Carrying (Reported) Amount, Fair Value Disclosure [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	314,180	349,463
Short-term debt	(116,167)	(93,057)
Long-term debt	(581,297)	(675,103)
Estimate of Fair Value, Fair Value Disclosure [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	314,180	349,463
Short-term debt	(118,424)	(98,042)
Long-term debt	$ (750,980)	$ (783,080)

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Condensed Consolidated Balance Sheets (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
CURRENT ASSETS
Cash and cash equivalents	$ 314,180	$ 349,463
Accounts receivable, less allowance for doubtful accounts of $388 and $387	108,302	82,640
Inventory
Finished goods	81,953	84,013
Work in progress	7,517	6,041
Raw materials	17,234	17,517
Manufacturing and maintenance supplies	2,325	2,464
Total Inventory	109,029	110,035
Income tax receivable	1,755	21,734
Prepaid and other current assets	72,020	45,314
Total current assets	605,286	609,186
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	1,129,306	1,137,931
PROPERTY, PLANT AND EQUIPMENT
Land	26,343	24,752
Buildings	131,993	131,100
Machinery and equipment	1,381,800	1,350,812
Total property, plant and equipment, gross	1,540,136	1,506,664
Less—accumulated depreciation	(1,131,767)	(1,121,360)
Total property, plant and equipment, net	408,369	385,304
INVESTMENT IN JOINT VENTURE (NOTE 5)	77,469	68,483
OTHER ASSETS	141,357	162,749
Total Assets	2,361,787	2,363,653
CURRENT LIABILITIES
Accounts payable	67,143	57,985
Current maturities of long-term debt	116,167	93,057
Accrued taxes	18,359	10,337
Uncertain tax positions	16,430	430
Accrued payroll and benefits	21,709	25,466
Accrued interest	6,640	6,206
Accrued customer incentives	8,707	9,759
Other current liabilities	36,050	30,208
Current liabilities for dispositions and discontinued operations (Note 10)	11,625	11,500
Total current liabilities	302,830	244,948
LONG-TERM DEBT	581,297	675,103
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	76,928	81,660
PENSION AND OTHER POSTRETIREMENT BENEFITS (Note 12)	65,137	66,335
OTHER NON-CURRENT LIABILITIES	32,616	44,025
COMMITMENTS AND CONTINGENCIES (Note 9 and 11)
SHAREHOLDERS’ EQUITY
Common Shares, 240,000,000 shares authorized, 81,205,635 and 80,682,093 shares issued and outstanding	615,869	602,882
Retained earnings	743,419	717,058
Accumulated other comprehensive loss	(56,309)	(68,358)
Total Shareholders' Equity	1,302,979	1,251,582
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 2,361,787	$ 2,363,653

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Fair Value Measurements Variable Interest Entity (Details) (USD $) In Millions	6 Months Ended
	Jun. 30, 2011	Dec. 31, 2004
Variable Interest Entity [Line Items]
Variable Interest Entity, Qualitative or Quantitative Information, Date Involvement Began	2004
Variable Interest Entity Amount Of Installment Note And Letter Of Credit Contributed To Special Purpose Entity		$ 25.0
Variable Interest Entity Amount Of Cash Received		22.6
Variable Interest Entity Interest Cash Payments Received Net	immaterial cash payments
Variable Interest Entity Recorded Liability For Performance Obligation	de minimus guarantee liability
Variable Interest Entity Cash Received Upon Maturity	2.6
Variable Interest Entity, Not Primary Beneficiary [Member]
Variable Interest Entity [Line Items]
Variable Interest Entity Amount Of Notes Issued By Special Purpose Entity		22.6
Variable Interest Entity Term Of Notes Issued By Special Purpose Entity		15-year
Variable Interest Entity Investment	$ 2.6
Variable Interest Entity Maturity Date Of Notes Issued By Special Purpose Entity	2019

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Fair Value Measurements Schedule of Fair Value, Assets & Liabilities Measured on Recurring Basis (Details) (Fair Value, Measurements, Recurring [Member], USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets	$ 2,879	$ 2,879
Carrying (Reported) Amount, Fair Value Disclosure [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets	$ 2,879	$ 2,879

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Guarantees (Details) (USD $)	6 Months Ended
	Jun. 30, 2011
Guarantor Obligations [Line Items]
Guarantor Obligations, Maximum Exposure, Undiscounted	$ 58,943,000
Guarantor Obligations, Current Carrying Value	40,010,000
Variable Interest Entity Recorded Liability For Performance Obligation	de minimus guarantee liability
Financial Standby Letter of Credit [Member]
Guarantor Obligations [Line Items]
Guarantor Obligations Collateral for Industrial Revenue Bonds	39,000,000
Guarantor Obligations, Maximum Exposure, Undiscounted	43,807,000	[1]
Guarantor Obligations, Current Carrying Value	38,110,000	[1]
Guarantor Obligations, Term	various dates during 2011 and 2012
Financial Guarantee [Member]
Guarantor Obligations [Line Items]
Guarantor Obligations, Maximum Exposure, Undiscounted	2,555,000	[2]
Guarantor Obligations, Current Carrying Value	43,000	[2]
Variable Interest Entity Recorded Liability For Performance Obligation	de minimus liability
Guarantee Type, Other [Member]
Guarantor Obligations [Line Items]
Guarantor Obligations, Maximum Exposure, Undiscounted	12,581,000	[3]
Guarantor Obligations, Current Carrying Value	$ 1,857,000	[3]
Guarantor Obligations, Term	various dates during 2011, 2012 and 2014

[1] Approximately $39 million of the standby letters of credit serve as credit support for industrial revenue bonds. The remaining letters of credit support various insurance related agreements, primarily workers’ compensation and pollution liability policy requirements. These letters of credit will expire at various dates during 2011 and 2012 and will be renewed as required.

[2] In conjunction with a timberland sale and note monetization in the first quarter of 2004, the Company issued a make-whole agreement pursuant to which it guaranteed $2.6 million of obligations of a special-purpose entity that was established to complete the monetization. At June 30, 2011, the Company has a de minimus liability to reflect the fair market value of its obligation to perform under the make-whole agreement.

[3] Rayonier issues surety bonds primarily to secure timber harvesting obligations in the State of Washington and to provide collateral for the Company’s workers’ compensation self-insurance program in that state. These surety bonds expire at various dates during 2011, 2012 and 2014 and are expected to be renewed as required.

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Liabilities for Dispositions and Discontinued Operations (Details) (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2011	Dec. 31, 2010
Accrual for Environmental Loss Contingencies [Roll Forward]
Liabilities for dispositions and discontinued operations, beginning of period	$ 93,160,000	$ 98,591,000
Expenditures charged to liabilities	(4,916,000)	(8,632,000)
Increase to liabilities	309,000	3,201,000
Liabilities for dispositions and discontinued operations, end of period	88,553,000	93,160,000
Less: Current portion	(11,625,000)	(11,500,000)
Non-current portion	76,928,000	81,660,000
Environmental Loss Contingencies Term Liabilities to Cover Costs	20 years
Environmental Exit Costs, Reasonably Possible Additional Losses, High Estimate	$ 40,000,000

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Employee Benefit Plans (Details) (USD $) In Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Number of qualified non-contributory defined benefit pension plans			4
Pension Contributions			$ 0
Defined Benefit Plan, Estimated Future Employer Contributions in Current Fiscal Year	0		0
Pension Plans, Defined Benefit [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Defined Benefit Plan, Service Cost	1,695	1,452	3,390	3,098
Defined Benefit Plan, Interest Cost	4,522	4,291	9,044	8,870
Defined Benefit Plan, Expected Return on Plan Assets	(6,455)	(5,416)	(12,910)	(10,826)
Defined Benefit Plan Amortization Of Prior Service Cost	340	518	680	829
Defined Benefit Plan Amortization Of Plan Amendment	0	0
Defined Benefit Plan, Amortization of Gains (Losses)	2,593	1,130	5,186	3,228
Defined Benefit Plan, Net Periodic Benefit Cost	2,695	1,975	5,390	5,199
Other Postretirement Benefit Plans, Defined Benefit [Member]
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Defined Benefit Plan, Service Cost	182	146	364	292
Defined Benefit Plan, Interest Cost	236	257	472	514
Defined Benefit Plan, Expected Return on Plan Assets	0	0	0	0
Defined Benefit Plan Amortization Of Prior Service Cost	22	22	44	44
Defined Benefit Plan Amortization Of Plan Amendment	0	(2,392)	0	(4,784)
Defined Benefit Plan, Amortization of Gains (Losses)	66	1,478	132	2,956
Defined Benefit Plan, Net Periodic Benefit Cost	$ 506	$ (489)	$ 1,012	$ (978)

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Debt Line of Credit (Details) (USD $) In Millions	6 Months Ended
	Jun. 30, 2011	Apr. 21, 2011
August 2006 Line of Credit [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity		$ 250
Line of Credit Facility, Scheduled Expiration Date	August 2011
April 2011 Line of Credit [Member]
Line of Credit Facility [Line Items]
Line of Credit Facility, Initiation Date	April 2011
Line of Credit Facility, Maximum Borrowing Capacity	300
Line of Credit Facility, Scheduled Expiration Date	April 2016
Line of Credit Facility, Interest Rate Description	LIBOR plus 105 basis points
Line of Credit Facility, Commitment Fee Description	20 basis points
Line of Credit Facility, Remaining Borrowing Capacity	295

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Debt Other (Details) (March 2015 Term Loan [Member], USD $) In Millions	6 Months Ended
	Jun. 30, 2011
March 2015 Term Loan [Member]
Debt Instrument [Line Items]
Extinguishment of Debt, Amount	$ 75
Debt Instrument Scheduled Date of Maturity	2015

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Accumulated Other Comprehensive Loss (Details) (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Foreign currency translation adjustments	$ 38,660	$ 30,931
Joint venture cash flow hedges	(1,336)	(1,468)
Unrecognized components of employee benefit plans, net of tax	(93,633)	(97,821)
Total	$ (56,309)	$ (68,358)

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Consolidating Financial Statements (Income Statement Details) (USD $) In Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2010
Income Statement [Abstract]
SALES	$ 357,397	$ 312,210	$ 715,127	$ 622,410
Costs and Expenses
Cost of sales	262,772	242,940	520,283	475,794
Selling and general expenses	15,992	15,172	32,425	32,139
Other Operating Expense (Income), net	709	(1,260)	(1,409)	(5,828)
Costs and Expenses, Total	279,473	256,852	551,299	502,105
Equity in income (loss) of New Zealand joint venture	1,149	986	2,823	531
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE	79,073	56,344	166,651	120,836
Gain on sale of a portion of the interest in the New Zealand joint venture	0	0	0	12,367
OPERATING INCOME	79,073	56,344	166,651	133,203
Interest Expense	(12,628)	(12,250)	(25,945)	(24,736)
Interest and miscellaneous income, net	314	408	605	598
Equity in Income from Subsidiaries	0	0	0	0
INCOME BEFORE INCOME TAXES	66,759	44,502	141,311	109,065
Income tax (expense) benefit	(10,305)	(5,944)	(26,446)	(13,554)
NET INCOME	56,454	38,558	114,865	95,511	217,586
Parent Company [Member]
Income Statement [Abstract]
SALES	0	0	0	0
Costs and Expenses
Cost of sales	0	0	0	0
Selling and general expenses	0	0	0	0
Other Operating Expense (Income), net	0	0	0	0
Costs and Expenses, Total	0	0	0	0
Equity in income (loss) of New Zealand joint venture	0	0	0	0
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE				0
Gain on sale of a portion of the interest in the New Zealand joint venture				0
OPERATING INCOME	0	0	0	0
Interest Expense	0	0	0	0
Interest and miscellaneous income, net	0	0	0	0
Equity in Income from Subsidiaries	56,454	38,558	114,865	95,511
INCOME BEFORE INCOME TAXES	56,454	38,558	114,865	95,511
Income tax (expense) benefit	0	0	0	0
NET INCOME	56,454	38,558	114,865	95,511
Guarantor Subsidiaries [Member]
Income Statement [Abstract]
SALES	0	0	0	0
Costs and Expenses
Cost of sales	0	0	0	0
Selling and general expenses	2,215	2,856	4,931	4,856
Other Operating Expense (Income), net	36	24	85	20
Costs and Expenses, Total	2,251	2,880	5,016	4,876
Equity in income (loss) of New Zealand joint venture	0	0	0	0
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE				(4,876)
Gain on sale of a portion of the interest in the New Zealand joint venture				0
OPERATING INCOME	(2,251)	(2,880)	(5,016)	(4,876)
Interest Expense	(261)	260	(391)	150
Interest and miscellaneous income, net	1,303	1,332	2,640	10,259
Equity in Income from Subsidiaries	57,748	40,186	117,792	91,520
INCOME BEFORE INCOME TAXES	56,539	38,898	115,025	97,053
Income tax (expense) benefit	(85)	(340)	(160)	(1,542)
NET INCOME	56,454	38,558	114,865	95,511
Issuer Entity [Member]
Income Statement [Abstract]
SALES	0	0	0	0
Costs and Expenses
Cost of sales	0	0	0	0
Selling and general expenses	0	0	0	0
Other Operating Expense (Income), net	0	0	0	0
Costs and Expenses, Total	0	0	0	0
Equity in income (loss) of New Zealand joint venture	0	0	0	0
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE				0
Gain on sale of a portion of the interest in the New Zealand joint venture				0
OPERATING INCOME	0	0	0	0
Interest Expense	(12,161)	(12,656)	(25,211)	(24,960)
Interest and miscellaneous income, net	(1,117)	(1,040)	(2,191)	(2,289)
Equity in Income from Subsidiaries	44,783	27,141	89,218	50,756
INCOME BEFORE INCOME TAXES	31,505	13,445	61,816	23,507
Income tax (expense) benefit	4,845	5,000	10,002	9,946
NET INCOME	36,350	18,445	71,818	33,453
Non-guarantor Subsidiary Rayonier TRS Holdings Inc [Member]
Income Statement [Abstract]
SALES	330,812	294,765	659,077	579,333
Costs and Expenses
Cost of sales	251,107	240,382	495,404	474,223
Selling and general expenses	12,985	11,539	26,055	25,730
Other Operating Expense (Income), net	1,903	425	2,201	(1,635)
Costs and Expenses, Total	265,995	252,346	523,660	498,318
Equity in income (loss) of New Zealand joint venture	167	150	361	505
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE				81,520
Gain on sale of a portion of the interest in the New Zealand joint venture				7,697
OPERATING INCOME	64,984	42,569	135,778	89,217
Interest Expense	(144)	175	(256)	153
Interest and miscellaneous income, net	(4,992)	(4,999)	(10,016)	(16,656)
Equity in Income from Subsidiaries	0	0	0	0
INCOME BEFORE INCOME TAXES	59,848	37,745	125,506	72,714
Income tax (expense) benefit	(15,065)	(10,604)	(36,288)	(21,958)
NET INCOME	44,783	27,141	89,218	50,756
Non-guarantor Subsidiary All Other Subsidiaries [Member]
Income Statement [Abstract]
SALES	43,589	33,410	86,421	134,868
Costs and Expenses
Cost of sales	30,257	23,712	58,254	65,882
Selling and general expenses	792	777	1,439	1,553
Other Operating Expense (Income), net	(1,230)	(1,709)	(3,694)	(4,213)
Costs and Expenses, Total	29,819	22,780	55,999	63,222
Equity in income (loss) of New Zealand joint venture	982	836	2,462	26
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE				71,672
Gain on sale of a portion of the interest in the New Zealand joint venture				4,670
OPERATING INCOME	14,752	11,466	32,884	76,342
Interest Expense	(62)	(29)	(87)	(79)
Interest and miscellaneous income, net	5,120	5,115	10,172	9,284
Equity in Income from Subsidiaries	0	0	0	0
INCOME BEFORE INCOME TAXES	19,810	16,552	42,969	85,547
Income tax (expense) benefit	0	0	0	0
NET INCOME	19,810	16,552	42,969	85,547
Consolidation, Eliminations [Member]
Income Statement [Abstract]
SALES	(17,004)	(15,965)	(30,371)	(91,791)
Costs and Expenses
Cost of sales	(18,592)	(21,154)	(33,375)	(64,311)
Selling and general expenses	0	0	0	0
Other Operating Expense (Income), net	0	0	(1)	0
Costs and Expenses, Total	(18,592)	(21,154)	(33,376)	(64,311)
Equity in income (loss) of New Zealand joint venture	0	0	0	0
OPERATING INCOME BEFORE GAIN ON SALE OF A PORTION OF THE INTEREST IN THE NEW ZEALAND JOINT VENTURE				(27,480)
Gain on sale of a portion of the interest in the New Zealand joint venture				0
OPERATING INCOME	1,588	5,189	3,005	(27,480)
Interest Expense	0	0	0	0
Interest and miscellaneous income, net	0	0	0	0
Equity in Income from Subsidiaries	(158,985)	(105,885)	(321,875)	(237,787)
INCOME BEFORE INCOME TAXES	(157,397)	(100,696)	(318,870)	(265,267)
Income tax (expense) benefit	0	0	0	0
NET INCOME	$ (157,397)	$ (100,696)	$ (318,870)	$ (265,267)

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Consolidating Financial Statements (Balance Sheet Details) (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010	Jun. 30, 2010	Dec. 31, 2009
CURRENT ASSETS
Cash and cash equivalents	$ 314,180	$ 349,463	$ 344,184	$ 74,964
Accounts receivable, less allowance for doubtful accounts	108,302	82,640
Inventory	109,029	110,035
Intercompany interest receivable	0	0
Income tax receivable	1,755	21,734
Prepaid and other current assets	72,020	45,314
Total current assets	605,286	609,186
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	1,129,306	1,137,931
Property, Plant and Equipment, Net	408,369	385,304
Investment in Joint Venture	77,469	68,483
Investment in subsidiaries	0	0
Other assets	141,357	162,749
Total Assets	2,361,787	2,363,653
CURRENT LIABILITIES
Accounts payable	67,143	57,985
Current maturities of long-term debt	116,167	93,057
Accrued taxes	18,359	10,337
Uncertain tax positions	16,430	430
Accrued payroll and benefits	21,709	25,466
Accrued interest	6,640	6,206
Accrued customer incentives	8,707	9,759
Other current liabilities	36,050	30,208
Current liabilities for dispositions and discontinued operations	11,625	11,500
Total current liabilities	302,830	244,948
LONG-TERM DEBT	581,297	675,103
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	76,928	81,660
PENSION AND OTHER POSTRETIREMENT BENEFITS	65,137	66,335
OTHER NON-CURRENT LIABILITIES	32,616	44,025
INTERCOMPANY PAYABLE	0	0
TOTAL LIABILITIES	1,058,808	1,112,071
TOTAL SHAREHOLDERS' EQUITY	1,302,979	1,251,582		1,146,206
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	2,361,787	2,363,653
Parent Company [Member]
CURRENT ASSETS
Cash and cash equivalents	0	0	0	0
Accounts receivable, less allowance for doubtful accounts	0	0
Inventory	0	0
Intercompany interest receivable	0	0
Income tax receivable	0	0
Prepaid and other current assets	0	0
Total current assets	0	0
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	0	0
Property, Plant and Equipment, Net	0	0
Investment in Joint Venture	0	0
Investment in subsidiaries	1,302,979	1,251,582
Other assets	0	0
Total Assets	1,302,979	1,251,582
CURRENT LIABILITIES
Accounts payable	0	0
Current maturities of long-term debt	0	0
Accrued taxes	0	0
Uncertain tax positions	0	0
Accrued payroll and benefits	0	0
Accrued interest	0	0
Accrued customer incentives	0	0
Other current liabilities	0	0
Current liabilities for dispositions and discontinued operations	0	0
Total current liabilities	0	0
LONG-TERM DEBT	0	0
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	0	0
PENSION AND OTHER POSTRETIREMENT BENEFITS	0	0
OTHER NON-CURRENT LIABILITIES	0	0
INTERCOMPANY PAYABLE	0	0
TOTAL LIABILITIES	0	0
TOTAL SHAREHOLDERS' EQUITY	1,302,979	1,251,582
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	1,302,979	1,251,582
Guarantor Subsidiaries [Member]
CURRENT ASSETS
Cash and cash equivalents	45,727	29,759	41,277	2,895
Accounts receivable, less allowance for doubtful accounts	42	1
Inventory	0	0
Intercompany interest receivable	0	0
Income tax receivable	1,755	1,750
Prepaid and other current assets	1,404	1,273
Total current assets	48,928	32,783
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	245	0
Property, Plant and Equipment, Net	2,551	2,819
Investment in Joint Venture	0	0
Investment in subsidiaries	1,431,789	1,392,465
Other assets	26,945	26,642
Total Assets	1,510,458	1,454,709
CURRENT LIABILITIES
Accounts payable	1,288	823
Current maturities of long-term debt	0	0
Accrued taxes	9	0
Uncertain tax positions	430	430
Accrued payroll and benefits	10,080	13,507
Accrued interest	145	12
Accrued customer incentives	0	0
Other current liabilities	1,479	2,178
Current liabilities for dispositions and discontinued operations	0	0
Total current liabilities	13,431	16,950
LONG-TERM DEBT	0	0
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	0	0
PENSION AND OTHER POSTRETIREMENT BENEFITS	64,076	63,759
OTHER NON-CURRENT LIABILITIES	19,268	19,811
INTERCOMPANY PAYABLE	110,704	102,607
TOTAL LIABILITIES	207,479	203,127
TOTAL SHAREHOLDERS' EQUITY	1,302,979	1,251,582
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	1,510,458	1,454,709
Issuer Entity [Member]
CURRENT ASSETS
Cash and cash equivalents	232,333	283,258	254,093	67,494
Accounts receivable, less allowance for doubtful accounts	0	0
Inventory	0	0
Intercompany interest receivable	0	0
Income tax receivable	0	0
Prepaid and other current assets	815	842
Total current assets	233,148	284,100
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	0	0
Property, Plant and Equipment, Net	0	0
Investment in Joint Venture	0	0
Investment in subsidiaries	1,027,229	987,381
Other assets	8,087	9,351
Total Assets	1,268,464	1,280,832
CURRENT LIABILITIES
Accounts payable	42	20
Current maturities of long-term debt	116,167	93,057
Accrued taxes	0	0
Uncertain tax positions	0	0
Accrued payroll and benefits	0	0
Accrued interest	5,464	5,591
Accrued customer incentives	0	0
Other current liabilities	0	0
Current liabilities for dispositions and discontinued operations	0	0
Total current liabilities	121,673	98,668
LONG-TERM DEBT	581,297	675,103
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	0	0
PENSION AND OTHER POSTRETIREMENT BENEFITS	0	0
OTHER NON-CURRENT LIABILITIES	0	0
INTERCOMPANY PAYABLE	0	0
TOTAL LIABILITIES	702,970	773,771
TOTAL SHAREHOLDERS' EQUITY	565,494	507,061
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	1,268,464	1,280,832
Non-guarantor Subsidiary Rayonier TRS Holdings Inc [Member]
CURRENT ASSETS
Cash and cash equivalents	11,745	1,280	0	2,228
Accounts receivable, less allowance for doubtful accounts	105,978	81,288
Inventory	123,050	123,432
Intercompany interest receivable	0	0
Income tax receivable	0	19,984
Prepaid and other current assets	65,777	38,697
Total current assets	306,550	264,681
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	38,079	37,398
Property, Plant and Equipment, Net	404,102	380,577
Investment in Joint Venture	(12,290)	(12,282)
Investment in subsidiaries	0	0
Other assets	647,435	664,664
Total Assets	1,383,876	1,335,038
CURRENT LIABILITIES
Accounts payable	64,541	55,052
Current maturities of long-term debt	0	0
Accrued taxes	13,809	8,283
Uncertain tax positions	16,000	0
Accrued payroll and benefits	9,981	9,590
Accrued interest	1,031	603
Accrued customer incentives	8,707	9,759
Other current liabilities	20,048	20,071
Current liabilities for dispositions and discontinued operations	11,625	11,500
Total current liabilities	145,742	114,858
LONG-TERM DEBT	0	0
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	76,928	81,660
PENSION AND OTHER POSTRETIREMENT BENEFITS	1,061	2,576
OTHER NON-CURRENT LIABILITIES	12,717	23,552
INTERCOMPANY PAYABLE	120,199	125,011
TOTAL LIABILITIES	356,647	347,657
TOTAL SHAREHOLDERS' EQUITY	1,027,229	987,381
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	1,383,876	1,335,038
Non-guarantor Subsidiary All Other Subsidiaries [Member]
CURRENT ASSETS
Cash and cash equivalents	24,375	35,166	48,814	2,347
Accounts receivable, less allowance for doubtful accounts	2,282	1,351
Inventory	0	0
Intercompany interest receivable	4,225	4,320
Income tax receivable	0	0
Prepaid and other current assets	4,024	4,502
Total current assets	34,906	45,339
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	1,089,122	1,098,870
Property, Plant and Equipment, Net	1,716	1,711
Investment in Joint Venture	89,759	80,765
Investment in subsidiaries	0	0
Other assets	6,328	13,153
Total Assets	1,221,831	1,239,838
CURRENT LIABILITIES
Accounts payable	1,272	2,090
Current maturities of long-term debt	0	0
Accrued taxes	4,541	2,054
Uncertain tax positions	0	0
Accrued payroll and benefits	1,648	2,369
Accrued interest	0	0
Accrued customer incentives	0	0
Other current liabilities	14,523	7,959
Current liabilities for dispositions and discontinued operations	0	0
Total current liabilities	21,984	14,472
LONG-TERM DEBT	0	0
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	0	0
PENSION AND OTHER POSTRETIREMENT BENEFITS	0	0
OTHER NON-CURRENT LIABILITIES	631	662
INTERCOMPANY PAYABLE	(7,099)	(3,751)
TOTAL LIABILITIES	15,516	11,383
TOTAL SHAREHOLDERS' EQUITY	1,206,315	1,228,455
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	1,221,831	1,239,838
Consolidation, Eliminations [Member]
CURRENT ASSETS
Cash and cash equivalents	0	0	0	0
Accounts receivable, less allowance for doubtful accounts	0	0
Inventory	(14,021)	(13,397)
Intercompany interest receivable	(4,225)	(4,320)
Income tax receivable	0	0
Prepaid and other current assets	0	0
Total current assets	(18,246)	(17,717)
TIMBER AND TIMBERLANDS, NET OF DEPLETION AND AMORTIZATION	1,860	1,663
Property, Plant and Equipment, Net	0	197
Investment in Joint Venture	0	0
Investment in subsidiaries	(3,761,997)	(3,631,428)
Other assets	(547,438)	(551,061)
Total Assets	(4,325,821)	(4,198,346)
CURRENT LIABILITIES
Accounts payable	0	0
Current maturities of long-term debt	0	0
Accrued taxes	0	0
Uncertain tax positions	0	0
Accrued payroll and benefits	0	0
Accrued interest	0	0
Accrued customer incentives	0	0
Other current liabilities	0	0
Current liabilities for dispositions and discontinued operations	0	0
Total current liabilities	0	0
LONG-TERM DEBT	0	0
NON-CURRENT LIABILITIES FOR DISPOSITIONS AND DISCONTINUED OPERATIONS	0	0
PENSION AND OTHER POSTRETIREMENT BENEFITS	0	0
OTHER NON-CURRENT LIABILITIES	0	0
INTERCOMPANY PAYABLE	(223,804)	(223,867)
TOTAL LIABILITIES	(223,804)	(223,867)
TOTAL SHAREHOLDERS' EQUITY	(4,102,017)	(3,974,479)
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ (4,325,821)	$ (4,198,346)

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Condensed Consoldiated Balance Sheets Parenthetical (USD $) In Thousands, except Share data	Jun. 30, 2011	Dec. 31, 2010
Current Assets:
Accounts receivable, allowance for doubtful accounts	$ 388	$ 387
Shareholders' Equity:
Common shares, shares authorized	240,000,000	240,000,000
Common shares, shares issued	81,205,635	80,682,093
Common shares, shares outstanding	81,205,635	80,682,093

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Consolidating Financial Statements (Statement of Cash Flows Details) (USD $) In Thousands	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010
Statement of Cash Flows [Abstract]
CASH PROVIDED BY OPERATING ACTIVITIES	$ 194,867	$ 355,800
INVESTING ACTIVITIES
Capital Expenditures	(65,211)	(71,348)
Purchase of timberlands	(12,976)	0
Intercompany purchase of timberlands and real estate		0
Change in restricted cash	8,323	(10,043)
Investment in subsidiaries	0	0
Other	(950)	4,875
CASH USED FOR INVESTING ACTIVITIES	(70,814)	(76,516)
FINANCING ACTIVITIES
Issuance of debt	70,000	127,000
Repayment of debt	(145,000)	(66,650)
Dividends paid	(87,871)	(79,990)
Proceeds from the issuance of common shares	7,894	12,232
Excess tax benefits on stock-based compensation	4,900	3,951
Debt issuance costs	(1,663)	(535)
Repurchase of common shares	(7,828)	(5,997)
Distributions to / from parent	0	0
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(159,568)	(9,989)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	232	(75)
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	(35,283)	269,220
Balance, beginning of year	349,463	74,964
Balance, end of period	314,180	344,184
Parent Company [Member]
Statement of Cash Flows [Abstract]
CASH PROVIDED BY OPERATING ACTIVITIES	87,805	73,755
INVESTING ACTIVITIES
Capital Expenditures	0	0
Purchase of timberlands	0
Intercompany purchase of timberlands and real estate		0
Change in restricted cash	0	0
Investment in subsidiaries	0	0
Other	0	0
CASH USED FOR INVESTING ACTIVITIES	0	0
FINANCING ACTIVITIES
Issuance of debt	0	0
Repayment of debt	0	0
Dividends paid	(87,871)	(79,990)
Proceeds from the issuance of common shares	7,894	12,232
Excess tax benefits on stock-based compensation	0	0
Debt issuance costs	0	0
Repurchase of common shares	(7,828)	(5,997)
Distributions to / from parent	0	0
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(87,805)	(73,755)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	0	0
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	0	0
Balance, beginning of year	0	0
Balance, end of period	0	0
Guarantor Subsidiaries [Member]
Statement of Cash Flows [Abstract]
CASH PROVIDED BY OPERATING ACTIVITIES	104,011	117,276
INVESTING ACTIVITIES
Capital Expenditures	(238)	(139)
Purchase of timberlands	0
Intercompany purchase of timberlands and real estate		0
Change in restricted cash	0	0
Investment in subsidiaries	0	0
Other	0	0
CASH USED FOR INVESTING ACTIVITIES	(238)	(139)
FINANCING ACTIVITIES
Issuance of debt	0	0
Repayment of debt	0	(5,000)
Dividends paid	0	0
Proceeds from the issuance of common shares	0	0
Excess tax benefits on stock-based compensation	0	0
Debt issuance costs	(480)	0
Repurchase of common shares	0	0
Distributions to / from parent	(87,325)	(73,755)
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(87,805)	(78,755)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	0	0
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	15,968	38,382
Balance, beginning of year	29,759	2,895
Balance, end of period	45,727	41,277
Issuer Entity [Member]
Statement of Cash Flows [Abstract]
CASH PROVIDED BY OPERATING ACTIVITIES	15,000	25,000
INVESTING ACTIVITIES
Capital Expenditures	0	0
Purchase of timberlands	0
Intercompany purchase of timberlands and real estate		0
Change in restricted cash	0	0
Investment in subsidiaries	24,778	116,784
Other	0	0
CASH USED FOR INVESTING ACTIVITIES	24,778	116,784
FINANCING ACTIVITIES
Issuance of debt	0	75,000
Repayment of debt	(75,000)	(4,650)
Dividends paid	0	0
Proceeds from the issuance of common shares	0	0
Excess tax benefits on stock-based compensation	0	0
Debt issuance costs	(703)	(535)
Repurchase of common shares	0	0
Distributions to / from parent	(15,000)	(25,000)
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(90,703)	44,815
EFFECT OF EXCHANGE RATE CHANGES ON CASH	0	0
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	(50,925)	186,599
Balance, beginning of year	283,258	67,494
Balance, end of period	232,333	254,093
Non-guarantor Subsidiary Rayonier TRS Holdings Inc [Member]
Statement of Cash Flows [Abstract]
CASH PROVIDED BY OPERATING ACTIVITIES	97,347	231,519
INVESTING ACTIVITIES
Capital Expenditures	(47,800)	(58,842)
Purchase of timberlands	0
Intercompany purchase of timberlands and real estate		(41,254)
Change in restricted cash	0	0
Investment in subsidiaries	0	0
Other	(878)	6,855
CASH USED FOR INVESTING ACTIVITIES	(48,678)	(93,241)
FINANCING ACTIVITIES
Issuance of debt	0	0
Repayment of debt	0	0
Dividends paid	0	0
Proceeds from the issuance of common shares	0	0
Excess tax benefits on stock-based compensation	4,900	3,951
Debt issuance costs	0	0
Repurchase of common shares	0	0
Distributions to / from parent	(43,336)	(144,382)
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(38,436)	(140,431)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	232	(75)
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	10,465	(2,228)
Balance, beginning of year	1,280	2,228
Balance, end of period	11,745	0
Non-guarantor Subsidiary All Other Subsidiaries [Member]
Statement of Cash Flows [Abstract]
CASH PROVIDED BY OPERATING ACTIVITIES	81,107	118,793
INVESTING ACTIVITIES
Capital Expenditures	(17,173)	(12,367)
Purchase of timberlands	(12,976)
Intercompany purchase of timberlands and real estate		(22,936)
Change in restricted cash	8,323	(10,043)
Investment in subsidiaries	0	0
Other	(72)	(1,980)
CASH USED FOR INVESTING ACTIVITIES	(21,898)	(47,326)
FINANCING ACTIVITIES
Issuance of debt	70,000	52,000
Repayment of debt	(70,000)	(57,000)
Dividends paid	0	0
Proceeds from the issuance of common shares	0	0
Excess tax benefits on stock-based compensation	0	0
Debt issuance costs	(480)	0
Repurchase of common shares	0	0
Distributions to / from parent	(69,520)	(20,000)
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	(70,000)	(25,000)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	0	0
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	(10,791)	46,467
Balance, beginning of year	35,166	2,347
Balance, end of period	24,375	48,814
Consolidation, Eliminations [Member]
Statement of Cash Flows [Abstract]
CASH PROVIDED BY OPERATING ACTIVITIES	(190,403)	(210,543)
INVESTING ACTIVITIES
Capital Expenditures	0	0
Purchase of timberlands	0
Intercompany purchase of timberlands and real estate		64,190
Change in restricted cash	0	0
Investment in subsidiaries	(24,778)	(116,784)
Other	0	0
CASH USED FOR INVESTING ACTIVITIES	(24,778)	(52,594)
FINANCING ACTIVITIES
Issuance of debt	0	0
Repayment of debt	0	0
Dividends paid	0	0
Proceeds from the issuance of common shares	0	0
Excess tax benefits on stock-based compensation	0	0
Debt issuance costs	0	0
Repurchase of common shares	0	0
Distributions to / from parent	215,181	263,137
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES	215,181	263,137
EFFECT OF EXCHANGE RATE CHANGES ON CASH	0	0
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	0	0
Balance, beginning of year	0	0
Balance, end of period	$ 0	$ 0

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Consolidating Financial Statements Text (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended	6 Months Ended	3 Months Ended	6 Months Ended	3 Months Ended	6 Months Ended	3 Months Ended	6 Months Ended
	Jun. 30, 2010 Issuer Entity [Member]	Jun. 30, 2010 Issuer Entity [Member]	Jun. 30, 2010 Non-guarantor Subsidiary Rayonier TRS Holdings Inc [Member]	Jun. 30, 2010 Non-guarantor Subsidiary Rayonier TRS Holdings Inc [Member]	Jun. 30, 2010 Non-guarantor Subsidiary All Other Subsidiaries [Member]	Jun. 30, 2010 Non-guarantor Subsidiary All Other Subsidiaries [Member]	Jun. 30, 2010 Parent Company [Member]	Jun. 30, 2010 Parent Company [Member]	Jun. 30, 2011 October 2007 Senior Exchangeable Notes [Member]	Jun. 30, 2011 August 2009 Senior Exchangeable Notes [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount									$ 300.0	$ 172.5
Debt Instrument, Interest Rate, Stated Percentage									3.75%	4.50%
Debt Instrument Scheduled Date of Maturity									2012	2015
Prior Period Reclassification Adjustment Interest Expense Understatement (Overstatement)	5.3	10.2	(5.3)	(10.2)
Prior Period Reclassification Adjustment New Zealand Joint Venture Overstatement (Understatement)					$ (0.8)	$ (4.7)	$ 0.8	$ 4.7

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Condensed Consolidated Statements of Cash Flows (USD $) In Thousands	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010
OPERATING ACTIVITIES
Net Income	$ 114,865	$ 95,511
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation, depletion and amortization	62,863	76,522
Non-cash cost of real estate sold	1,749	3,434
Stock-based incentive compensation expense	8,021	7,960
Gain on sale of a portion of interest in the New Zealand joint venture	0	(11,545)
Amortization of convertible debt discount	4,303	4,058
Deferred income taxes	(945)	385
Excess tax benefits on stock-based compensation	(4,900)	(3,951)
Other	8,342	1,747
Changes in operating assets and liabilities:
Receivables	(25,222)	7,952
Inventories	1,067	(7,359)
Accounts payable	10,114	841
Income tax receivable	19,979	192,458
Other current assets	(13,545)	(11,796)
Accrued liabilities	14,287	4,459
Other assets	1,239	(91)
Other non-current liabilities	(2,434)	(466)
Expenditures for dispositions and discontinued operations	(4,916)	(4,319)
CASH PROVIDED BY OPERATING ACTIVITIES	194,867	355,800
INVESTING ACTIVITIES
Capital expenditures	(65,211)	(71,348)
Purchase of timberlands	(12,976)	0
Change in restricted cash	8,323	(10,043)
Other	(950)	4,875
CASH USED FOR INVESTING ACTIVITIES	(70,814)	(76,516)
FINANCING ACTIVITIES
Issuance of debt	70,000	127,000
Repayment of debt	(145,000)	(66,650)
Dividends paid	(87,871)	(79,990)
Proceeds from the issuance of common shares	7,894	12,232
Excess tax benefits on stock-based compensation	4,900	3,951
Debt issuance costs	(1,663)	(535)
Repurchase of common shares	(7,828)	(5,997)
CASH USED FOR FINANCING ACTIVITIES	(159,568)	(9,989)
EFFECT OF EXCHANGE RATE CHANGES ON CASH	232	(75)
CASH AND CASH EQUIVALENTS
Change in cash and cash equivalents	(35,283)	269,220
Balance, beginning of year	349,463	74,964
Balance, end of period	314,180	344,184
Cash paid (received) during the period:
Interest	19,479	19,700
Income taxes	(448)	144
Non-cash investing activity:
Capital assets purchased on account	$ 11,129	$ 13,595

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Basis Of Presentation And New Accounting Pronouncements

6 Months Ended

Jun. 30, 2011

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]

1. BASIS OF PRESENTATION AND NEW ACCOUNTING PRONOUNCEMENTS

Basis of Presentation

The unaudited condensed consolidated financial statements and notes thereto of Rayonier Inc. and its subsidiaries ("Rayonier" or "the Company") have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and in accordance with the rules and regulations of the Securities and Exchange Commission ("SEC"). Accordingly, certain information in the financial statements of the Company's Annual Report on Form 10-K has been condensed. In the opinion of management, these financial statements and notes reflect all adjustments necessary for a fair presentation of the results of operations, financial position and cash flows for the periods presented. These statements and notes should be read in conjunction with the financial statements and supplementary data included in the Company's Annual Report on Form 10-K for the year ended December 31, 2010, as filed with the SEC.

Subsequent Events

The Company evaluated events and transactions that occurred after the balance sheet date but before financial statements were issued, and two subsequent events warranted disclosure. See Note 2 - Earnings Per Common Share and Note 3 - Income Taxes for additional information.

New or Recently Adopted Accounting Pronouncements

In June 2011, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2011-05, Presentation of Comprehensive Income. This standard eliminates the current option to report other comprehensive income and its components in the statement of changes in equity. An entity can elect to present items of net income and other comprehensive income in one continuous statement - referred to as the statement of comprehensive income - or in two separate, but consecutive, statements. Each component of net income and each component of other comprehensive income, together with totals for comprehensive income and its two parts - net income and other comprehensive income, would need to be displayed under either alternative. The statements would need to be presented with equal prominence as the other primary financial statements. The standard is effective for Rayonier's first quarter 2012 filing. Since Rayonier reports a condensed consolidated statement of income and comprehensive income as its first financial statement each quarter, this new guidance will have no effect.

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Earnings Per Common Share

6 Months Ended

Jun. 30, 2011

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

2.    EARNINGS PER COMMON SHARE

The following table provides details of the calculations of basic and diluted earnings per share:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Net income	$	56,454	$	38,558	$	114,865	$	95,511
Shares used for determining basic earnings per common share	81,128,442		80,104,004		81,038,096		79,923,790
Dilutive effect of:
Stock options	494,374		374,768		487,376		387,399
Performance and restricted shares	634,627		613,931		611,325		592,281
Assumed conversion of Senior Exchangeable Notes (a)	1,541,395		—		1,271,207		—
Assumed conversion of warrants (a)	328,778		—		104,321		—
Shares used for determining diluted earnings per common share	84,127,616		81,092,703		83,512,325		80,903,470
Basic earnings per common share	$	0.70	$	0.48	$	1.42	$	1.20
Diluted earnings per common share	$	0.67	$	0.48	$	1.38	$	1.18

	Three Months Ended June 30,		Six Months Ended June 30,
	2011	2010	2011	2010
Anti-dilutive shares excluded from the computations of
diluted earnings per share:
Stock options, performance and restricted shares	95,772	512,663	131,808	513,567
Exchangeable note hedges (a)	1,541,395	—	1,271,207	—
Total	1,637,167	512,663	1,403,015	513,567

(a) For additional information on the potential dilutive impact of the Senior Exchangeable Notes, warrants and exchangeable note hedges, see Note 11 - Debt in the 2010 Annual Report on Form 10-K.

Subsequent Events

On July 22, 2011, the Board of Directors authorized a three-for-two stock split. An additional one-half common share for every common share held of record as of August 10, 2011 will be distributed on August 24, 2011. Earnings per share and dividends per share presented in the interim financial statements have not been adjusted for the stock split. The condensed consolidated statements of income and comprehensive income present, on a pro forma basis, earnings per share and dividends per share reflecting the stock split. The following table provides the pro forma post-split basic and dilutive shares used for determining earnings per share:

	Three Months Ended June 30,		Six Months Ended June 30,
	2011	2010	2011	2010
Basic shares	121,692,663	120,156,006	121,557,144	119,885,685
Diluted shares	126,191,424	121,639,055	125,268,488	121,355,205

On July 22, 2011, the Board of Directors also approved an increase in the quarterly dividend per share from $0.54 per share to $0.60 per share on a pre-split basis starting with the third quarter 2011 dividend. On a post-split basis the dividend per share increased from $0.36 per share to $0.40 per share.

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Income Taxes

6 Months Ended

Jun. 30, 2011

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

3. INCOME TAXES

Rayonier is a real estate investment trust ("REIT"). In general, only the taxable REIT subsidiaries, whose businesses include the Company's non-REIT qualified activities, are subject to corporate income taxes. However, the Company is subject to U.S. federal corporate income tax on built-in gains (the excess of fair market value over tax basis for property held upon REIT election at January 1, 2004) on taxable sales of such property during calendar years 2004 through 2013 (for 2011 the tax rate is zero). Accordingly, the provision for corporate income taxes relates principally to current and deferred taxes on taxable REIT subsidiaries' income and certain property sales.

The Company's effective tax rate is below the 35 percent U.S. statutory tax rate primarily due to tax benefits associated with being a REIT. The effective tax rates for the quarter and year-to-date were 15.4 percent and 18.7 percent compared to 13.4 percent and 12.4 percent in 2010, respectively, reflecting higher 2011 earnings from the taxable REIT subsidiaries, in particular Performance Fibers.

The U.S. Internal Revenue Service ("IRS") allowed two credits for taxpayers that produced and used an alternative fuel in the operation of their business through December 31, 2009. In the second quarter of 2011, management approved an exchange of approximately 30 million gallons of alternative fuel ("black liquor") previously claimed for the alternative fuel mixture credit ("AFMC") for the cellulosic biofuel producer credit ("CBPC"). This resulted in a second quarter 2011 net tax benefit of $4.1 million. For additional information, see Note 3 - Alternative Fuel Mixture Credit ("AFMC") and Cellulosic Biofuel Producer Credit ("CBPC") in the Company's Annual Report on Form 10-K for the year ended December 31, 2010.

Subsequent Events

In July 2011, the Company received a final examination report from the IRS regarding its Rayonier TRS Holdings Inc. ("TRS") 2009 tax return. As a result, Rayonier will reverse the uncertain tax liability recorded in 2009 relating to the taxability of the AFMC and recognize a $16 million tax benefit in the third quarter of 2011. For additional information, see Note 8 - Income Taxes in the Company's Annual Report on Form 10-K for the year ended December 31, 2010.