Segment and Geographical Information

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

Segment and Geographical Information

SEGMENT AND GEOGRAPHICAL INFORMATION

Rayonier operates in five reportable segments: Southern Timber, Pacific Northwest Timber, New Zealand Timber, Real Estate and Trading.

The Company’s timber businesses are disaggregated into Southern Timber, Pacific Northwest Timber and New Zealand Timber segments. Sales in the Timber segments include all activities related to the harvesting of timber. Other non-timber income activities such as the licensing of properties for hunting, leasing of properties for mineral extraction and cell towers are included, net of direct costs, in “Other operating income.”

Real Estate sales include all U.S. property sales, including those lands designated as higher and better use (HBU). The Company’s Real Estate sales categories include Improved Development, Unimproved Development, Rural, Non-Strategic / Timberlands and Large Dispositions. Large Dispositions include sales of timberland that exceed $20 million in size and do not have any identified HBU premium relative to timberland value. Improved development includes sales of development property for which Rayonier, through one of its taxable REIT subsidiaries, has invested in infrastructure to enhance the value and marketability of the property. The unimproved development sales category comprises properties sold for commercial, industrial or residential development purposes and for which Rayonier has not invested in site improvements such as infrastructure.

The Trading segment comprises log trading in New Zealand, conducted by the Company’s New Zealand JV in two core areas of business, managed export services on behalf of third parties and procured logs for export sale by the New Zealand JV. The Trading segment complements the New Zealand Timber segment by adding scale and achieving cost savings that directly benefit the New Zealand Timber segment.

Sales between operating segments are made based on estimated fair market value, and intercompany sales, purchases and profits (losses) are eliminated in consolidation. The Company evaluates financial performance based on segment operating income and Adjusted EBITDA. Asset information is not reported by segment, as the company does not produce asset information by segment internally.

Operating income as presented in the Consolidated Statements of Income and Comprehensive Income is equal to segment income. Certain income (loss) items in the Consolidated Statements of Income and Comprehensive Income are not allocated to segments. These items, which include interest income (expense), miscellaneous income (expense) and income tax (expense) benefit, are not considered by management to be part of segment operations and are included under “Corporate and other.”

Segment information for each of the three years ended December 31, 2016 follows:

	Sales
	2016		2015		2014
Southern Timber		$132,855		$139,093		$141,833
Pacific Northwest Timber	75,187		76,488		102,232
New Zealand Timber	172,574		161,570		182,421
Real Estate (a)	299,350		86,493		77,281
Trading	108,312		81,230		103,678
Intersegment Eliminations	—		—		(3,924		)
Total		$788,278		$544,874		$603,521

(a) Includes $207.3 million related to Large Dispositions in 2016.

	Operating Income/(Loss)
	2016			2015			2014
Southern Timber		$43,098			$46,669			$45,651
Pacific Northwest Timber	(3,992		)	6,917			29,539
New Zealand Timber	33,072			2,775			9,474
Real Estate (a)	202,379			44,263			47,474
Trading	2,002			1,247			1,687
Corporate and other	(20,782		)	(24,087		)	(35,536		)
Total Operating Income	255,777			77,784			98,289
Unallocated interest expense and other	(32,943		)	(34,702		)	(53,447		)
Total income from continuing operations before income taxes		$222,834			$43,082			$44,842

(a) Includes $143.9 million related to Large Dispositions in 2016.

	Gross Capital Expenditures
	2016		2015		2014
Capital Expenditures (a)
Southern Timber		$33,487		$33,245		$36,033
Pacific Northwest Timber	8,036		8,515		9,742
New Zealand Timber	16,095		15,143		17,344
Real Estate	315		313		195
Trading	—		—		—
Corporate and other	790		77		399
Total capital expenditures		$58,723		$57,293		$63,713
Timberland Acquisitions
Southern Timber		$103,947		$54,408		$125,650
Pacific Northwest Timber	262,534		34,052		1,878
New Zealand Timber	—		9,949		923
Real Estate	—		—		2,445
Trading	—		—		—
Corporate and other	—		—		—
Total timberland acquisitions		$366,481		$98,409		$130,896
Total Gross Capital Expenditures		$425,204		$155,702		$194,609

(a) Excludes timberland acquisitions presented separately.

	Depreciation, Depletion and Amortization
	2016		2015		2014
Southern Timber		$49,747		$54,299		$52,307
Pacific Northwest Timber	25,246		14,842		21,282
New Zealand Timber	23,447		29,741		32,161
Real Estate (a)	52,304		14,533		13,355
Trading	—		—		—
Corporate and other	402		293		875
Total		$151,146		$113,708		$119,980

(a) Includes $36.1 million related to Large Dispositions in 2016.

	Non-Cash Cost of Land and Improved Development
	2016		2015		2014
Southern Timber	—		—		—
Pacific Northwest Timber	—		—		—
New Zealand Timber	1,824		467		4,328
Real Estate (a)	32,038		12,042		8,936
Trading	—		—		—
Corporate and other	—		—		—
Total		$33,862		$12,509		$13,264

(a) Includes $22.2 million related to Large Dispositions in 2016.

	Sales by Product Line
	2016		2015		2014
Southern Timber		$132,855		$139,093		$141,833
Pacific Northwest Timber	75,187		76,488		102,232
New Zealand Timber	172,574		161,570		182,421
Real Estate
Improved Development	1,740		2,610		—
Unimproved Development	5,540		6,399		4,794
Rural	18,672		22,653		40,954
Non-Strategic / Timberlands	66,133		54,831		9,533
Large Dispositions	207,265		—		22,000
Total Real Estate	299,350		86,493		77,281
Trading	108,312		81,230		103,678
Intersegment eliminations	—		—		(3,924		)
Total Sales		$788,278		$544,874		$603,521

	Geographical Operating Information
	Sales						Operating Income						Identifiable Assets
	2016		2015		2014		2016		2015		2014		2016		2015
United States		$507,391		$302,074		$317,422		$220,703		$73,749		$87,116		$2,181,658		$1,823,137
New Zealand	280,887		242,800		286,099		35,074		4,035		11,173		504,102		492,801
Total		$788,278		$544,874		$603,521		$255,777		$77,784		$98,289		$2,685,760		$2,315,938