Attached files
| file | filename |
|---|---|
| 8-K - 8-K EARNINGS RELEASE - WEYERHAEUSER CO | wyq4118kearningsrelease.htm |
| EX-99.1 - PRESS RELEASE - WEYERHAEUSER CO | wyq4ex-991.htm |
Exhibit 99.2
Weyerhaeuser Company
Q4.2011 Analyst Package
Preliminary results, subject to audit
Consolidated Statement of Operations
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2011 | Jun 30, 2011 | Sep 30, 2011 | Dec 31, 2011 | Dec 31, 2010 | Dec 31, 2011 | Dec 31, 2010 | ||||||||||||||||||||||
Net sales and revenues | $ | 1,422 | $ | 1,610 | $ | 1,569 | $ | 1,615 | $ | 1,516 | $ | 6,216 | $ | 5,954 | ||||||||||||||
Cost of products sold | 1,177 | 1,343 | 1,283 | 1,317 | 1,222 | 5,120 | 4,831 | |||||||||||||||||||||
Gross margin | 245 | 267 | 286 | 298 | 294 | 1,096 | 1,123 | |||||||||||||||||||||
Selling, general and administrative expenses | 172 | 145 | 135 | 149 | 171 | 601 | 650 | |||||||||||||||||||||
Research and development expenses | 7 | 7 | 7 | 9 | 10 | 30 | 34 | |||||||||||||||||||||
Charges for restructuring, closures and impairments | 4 | 7 | 41 | 31 | 126 | 83 | 148 | |||||||||||||||||||||
Other operating costs (income), net | (174 | ) | (19 | ) | 3 | (22 | ) | (67 | ) | (212 | ) | (163 | ) | |||||||||||||||
Operating income | 236 | 127 | 100 | 131 | 54 | 594 | 454 | |||||||||||||||||||||
Interest income and other | 11 | 9 | 15 | 12 | 10 | 47 | 83 | |||||||||||||||||||||
Impairment of investments and other related charges | — | — | — | — | (3 | ) | — | (3 | ) | |||||||||||||||||||
Interest expense, net of capitalized interest | (93 | ) | (117 | ) | (86 | ) | (88 | ) | (96 | ) | (384 | ) | (452 | ) | ||||||||||||||
Earnings (loss) from continuing operations before income taxes | 154 | 19 | 29 | 55 | (35 | ) | 257 | 82 | ||||||||||||||||||||
Income taxes (1) | (56 | ) | 4 | 104 | 10 | 206 | 62 | 1,192 | ||||||||||||||||||||
Earnings from continuing operations | 98 | 23 | 133 | 65 | 171 | 319 | 1,274 | |||||||||||||||||||||
Earnings (loss) from discontinued operations, net of income taxes | 1 | (13 | ) | 24 | — | — | 12 | 9 | ||||||||||||||||||||
Net earnings | 99 | 10 | 157 | 65 | 171 | 331 | 1,283 | |||||||||||||||||||||
Less: net earnings attributable to noncontrolling interests | — | — | — | — | — | — | (2 | ) | ||||||||||||||||||||
Net earnings attributable to Weyerhaeuser common shareholders | $ | 99 | $ | 10 | $ | 157 | $ | 65 | $ | 171 | $ | 331 | $ | 1,281 | ||||||||||||||
(1) Third quarter includes an $83 million and year-to-date 2011 includes a $76 million tax benefit related to foreign tax credits. Year-to-date 2010 includes $1.043 billion income for the reversal of deferred tax liabilities associated with the conversion to REIT status partially offset by $39 million for tax charges related to the elimination of the ability to claim a tax deduction provided to retirees and reimbursed under the Medicare Part D subsidy beginning in 2013, state tax law and rate changes, unrecognized tax benefits and other adjustments. | ||||||||||||||||||||||||||||
Per Share Information | ||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||
Mar 31, 2011 | Jun 30, 2011 | Sep 30, 2011 | Dec 31, 2011 | Dec 31, 2010 | Dec 31, 2011 | Dec 31, 2010 | ||||||||||||||||||||||
Earnings (loss) per share attributable to Weyerhaeuser common shareholders, basic: | ||||||||||||||||||||||||||||
Continuing operations | $ | 0.18 | $ | 0.04 | $ | 0.25 | $ | 0.12 | $ | 0.32 | $ | 0.60 | $ | 3.97 | ||||||||||||||
Discontinued operations | — | (0.02 | ) | 0.04 | — | — | 0.02 | 0.03 | ||||||||||||||||||||
Net earnings per share | $ | 0.18 | $ | 0.02 | $ | 0.29 | $ | 0.12 | $ | 0.32 | $ | 0.62 | $ | 4.00 | ||||||||||||||
Earnings (loss) per share attributable to Weyerhaeuser common shareholders, diluted: | ||||||||||||||||||||||||||||
Continuing operations | $ | 0.18 | $ | 0.04 | $ | 0.25 | $ | 0.12 | $ | 0.32 | $ | 0.59 | $ | 3.96 | ||||||||||||||
Discontinued operations | — | (0.02 | ) | 0.04 | — | — | 0.02 | 0.03 | ||||||||||||||||||||
Net earnings per share | $ | 0.18 | $ | 0.02 | $ | 0.29 | $ | 0.12 | $ | 0.32 | $ | 0.61 | $ | 3.99 | ||||||||||||||
Dividends paid per share | $ | 0.15 | $ | 0.15 | $ | 0.15 | $ | 0.15 | $ | 0.05 | $ | 0.60 | $ | 26.61 | ||||||||||||||
Weighted average shares outstanding (in thousands): | ||||||||||||||||||||||||||||
Basic | 537,140 | 538,599 | 537,969 | 536.432 | 535,956 | 537,534 | 319,976 | |||||||||||||||||||||
Diluted | 540,476 | 541,095 | 539,827 | 538.119 | 538,376 | 539,879 | 321,096 | |||||||||||||||||||||
Common shares outstanding at end of period (in thousands) | 538,408 | 538,640 | 537,210 | 536,425 | 535,976 | 536,425 | 535,976 | |||||||||||||||||||||
Page 1 of 9
Weyerhaeuser Company
Q4.2011 Analyst Package
Preliminary results, subject to audit
Consolidated Balance Sheet
in millions | March 31, 2011 | June 30, 2011 | September 30, 2011 | December 31, 2011 | December 31, 2010 | ||||||||||||||
ASSETS | |||||||||||||||||||
Forest Products: | |||||||||||||||||||
Current assets: | |||||||||||||||||||
Cash and cash equivalents | $ | 1,459 | $ | 877 | $ | 969 | $ | 950 | $ | 1,466 | |||||||||
Receivables, less allowances | 505 | 533 | 467 | 490 | 451 | ||||||||||||||
Inventories | 544 | 513 | 468 | 476 | 478 | ||||||||||||||
Prepaid expenses | 85 | 115 | 81 | 68 | 81 | ||||||||||||||
Deferred tax assets | 155 | 167 | 106 | 81 | 113 | ||||||||||||||
Total current assets | 2,748 | 2,205 | 2,091 | 2,065 | 2,589 | ||||||||||||||
Property and equipment, net | 3,151 | 3,083 | 2,943 | 2,901 | 3,217 | ||||||||||||||
Construction in progress | 149 | 137 | 122 | 145 | 123 | ||||||||||||||
Timber and timberlands at cost, less depletion charged to disposals | 4,003 | 3,987 | 3,997 | 3,978 | 4,035 | ||||||||||||||
Investments in and advances to equity affiliates | 192 | 191 | 194 | 192 | 194 | ||||||||||||||
Goodwill | 40 | 40 | 40 | 40 | 40 | ||||||||||||||
Other assets | 424 | 511 | 558 | 444 | 363 | ||||||||||||||
Restricted assets held by special purpose entities | 914 | 915 | 914 | 916 | 915 | ||||||||||||||
11,621 | 11,069 | 10,859 | 10,681 | 11,476 | |||||||||||||||
Real Estate: | |||||||||||||||||||
Cash and cash equivalents | 4 | 4 | 2 | 3 | 1 | ||||||||||||||
Receivables, less allowances | 54 | 36 | 31 | 41 | 51 | ||||||||||||||
Real estate in process of development and for sale | 515 | 535 | 549 | 555 | 517 | ||||||||||||||
Land being processed for development | 978 | 988 | 989 | 936 | 974 | ||||||||||||||
Investments in and advances to equity affiliates | 15 | 15 | 15 | 21 | 16 | ||||||||||||||
Deferred tax assets | 266 | 263 | 260 | 240 | 266 | ||||||||||||||
Other assets | 119 | 121 | 122 | 113 | 120 | ||||||||||||||
Consolidated assets not owned | 8 | 8 | 8 | 8 | 8 | ||||||||||||||
1,959 | 1,970 | 1,976 | 1,917 | 1,953 | |||||||||||||||
Total assets | $ | 13,580 | $ | 13,039 | $ | 12,835 | $ | 12,598 | $ | 13,429 | |||||||||
LIABILITIES AND EQUITY | |||||||||||||||||||
Forest Products: | |||||||||||||||||||
Current liabilities: | |||||||||||||||||||
Current maturities of long-term debt | $ | — | $ | — | $ | 11 | $ | 12 | $ | — | |||||||||
Accounts payable | 359 | 326 | 305 | 336 | 340 | ||||||||||||||
Accrued liabilities | 686 | 712 | 672 | 593 | 734 | ||||||||||||||
Total current liabilities | 1,045 | 1,038 | 988 | 941 | 1,074 | ||||||||||||||
Long-term debt | 4,710 | 4,192 | 4,181 | 4,181 | 4,710 | ||||||||||||||
Deferred income taxes | 485 | 533 | 440 | 93 | 366 | ||||||||||||||
Deferred pension and other postretirement benefits | 908 | 835 | 797 | 1,467 | 930 | ||||||||||||||
Other liabilities | 405 | 412 | 335 | 408 | 393 | ||||||||||||||
Liabilities (nonrecourse to Weyerhaeuser) held by special purpose entities | 771 | 774 | 773 | 776 | 772 | ||||||||||||||
8,324 | 7,784 | 7,514 | 7,866 | 8,245 | |||||||||||||||
Real Estate: | |||||||||||||||||||
Long-term debt | 348 | 318 | 318 | 285 | 350 | ||||||||||||||
Other liabilities | 196 | 193 | 196 | 172 | 212 | ||||||||||||||
Consolidated liabilities not owned | 8 | 8 | 8 | 8 | 8 | ||||||||||||||
552 | 519 | 522 | 465 | 570 | |||||||||||||||
Total liabilities | 8,876 | 8,303 | 8,036 | 8,331 | 8,815 | ||||||||||||||
Equity: | |||||||||||||||||||
Total Weyerhaeuser shareholders' interest | 4,702 | 4,734 | 4,795 | 4,263 | 4,612 | ||||||||||||||
Noncontrolling interests | 2 | 2 | 4 | 4 | 2 | ||||||||||||||
Total equity | 4,704 | 4,736 | 4,799 | 4,267 | 4,614 | ||||||||||||||
Total liabilities and equity | $ | 13,580 | $ | 13,039 | $ | 12,835 | $ | 12,598 | $ | 13,429 | |||||||||
Page 2 of 9
Weyerhaeuser Company
Q4.2011 Analyst Package
Preliminary results, subject to audit
Consolidated Statement of Cash Flows
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2011 | Jun 30, 2011 | Sep 30, 2011 | Dec 31, 2011 | Dec 31, 2010 | Dec 31, 2011 | Dec 31, 2010 | ||||||||||||||||||||||
Cash flows from operations: | ||||||||||||||||||||||||||||
Net earnings | $ | 99 | $ | 10 | $ | 157 | $ | 65 | $ | 171 | $ | 331 | $ | 1,283 | ||||||||||||||
Noncash charges (credits) to income: | ||||||||||||||||||||||||||||
Depreciation, depletion and amortization | 123 | 120 | 120 | 117 | 127 | 480 | 503 | |||||||||||||||||||||
Deferred income taxes, net | 39 | (13 | ) | (103 | ) | 51 | (317 | ) | (26 | ) | (1,257 | ) | ||||||||||||||||
Pension and other postretirement benefits | 24 | 19 | 17 | 21 | (2 | ) | 81 | (21 | ) | |||||||||||||||||||
Share-based compensation expense | 14 | 3 | 2 | 6 | 8 | 25 | 24 | |||||||||||||||||||||
Charges for impairment of assets | 1 | 2 | 34 | 19 | 112 | 56 | 117 | |||||||||||||||||||||
Net gains on dispositions of assets and operations | (156 | ) | (20 | ) | (51 | ) | (9 | ) | (46 | ) | (236 | ) | (149 | ) | ||||||||||||||
Foreign exchange transaction (gains) losses | (7 | ) | (1 | ) | 19 | (5 | ) | (4 | ) | 6 | (8 | ) | ||||||||||||||||
Change in: | — | |||||||||||||||||||||||||||
Receivables less allowances | (59 | ) | (10 | ) | 35 | (19 | ) | 36 | (53 | ) | (67 | ) | ||||||||||||||||
Receivable for taxes | 1 | — | 6 | (21 | ) | 62 | (14 | ) | 583 | |||||||||||||||||||
Inventories | (66 | ) | 35 | (9 | ) | (6 | ) | 2 | (46 | ) | (30 | ) | ||||||||||||||||
Real estate and land | (2 | ) | (32 | ) | (15 | ) | 37 | 48 | (12 | ) | 5 | |||||||||||||||||
Prepaid expenses | (10 | ) | (4 | ) | — | 17 | 14 | 3 | 6 | |||||||||||||||||||
Accounts payable and accrued liabilities | (38 | ) | 15 | (51 | ) | (83 | ) | (12 | ) | (157 | ) | (53 | ) | |||||||||||||||
Deposits on land positions and other assets | — | (4 | ) | (5 | ) | 5 | 3 | (4 | ) | (10 | ) | |||||||||||||||||
Pension and postretirement contributions | (19 | ) | (18 | ) | (27 | ) | (79 | ) | (43 | ) | (143 | ) | (280 | ) | ||||||||||||||
Other | (31 | ) | 12 | (12 | ) | 31 | 66 | — | 43 | |||||||||||||||||||
Net cash from operations | (87 | ) | 114 | 117 | 147 | 225 | 291 | 689 | ||||||||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||||||||||
Property and equipment | (35 | ) | (39 | ) | (62 | ) | (76 | ) | (79 | ) | (212 | ) | (194 | ) | ||||||||||||||
Timberlands reforestation | (12 | ) | (7 | ) | (4 | ) | (6 | ) | (10 | ) | (29 | ) | (36 | ) | ||||||||||||||
Redemption of short-term investments | — | — | — | — | 2 | — | 49 | |||||||||||||||||||||
Proceeds from sale of assets and operations | 193 | 3 | 157 | 9 | 53 | 362 | 213 | |||||||||||||||||||||
Repayments from pension trust | — | — | — | — | — | — | 146 | |||||||||||||||||||||
Other | 5 | (10 | ) | (1 | ) | 7 | (17 | ) | 1 | (14 | ) | |||||||||||||||||
Cash from investing activities | 151 | (53 | ) | 90 | (66 | ) | (51 | ) | 122 | 164 | ||||||||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||||||||||
Notes, commercial paper borrowings and revolving credit facilities, net | — | — | — | — | (1 | ) | — | (4 | ) | |||||||||||||||||||
Cash dividends | (81 | ) | (80 | ) | (81 | ) | (81 | ) | (27 | ) | (323 | ) | (608 | ) | ||||||||||||||
Change in book overdrafts | (19 | ) | 1 | (8 | ) | 28 | 17 | 2 | (10 | ) | ||||||||||||||||||
Payments on debt | (2 | ) | (548 | ) | — | (33 | ) | (65 | ) | (583 | ) | (632 | ) | |||||||||||||||
Exercises of stock options | 34 | 3 | — | 1 | — | 38 | — | |||||||||||||||||||||
Repurchase of common stock | — | — | (24 | ) | (13 | ) | — | (37 | ) | — | ||||||||||||||||||
Other | — | (19 | ) | (4 | ) | (1 | ) | 1 | (24 | ) | (1 | ) | ||||||||||||||||
Cash from financing activities | (68 | ) | (643 | ) | (117 | ) | (99 | ) | (75 | ) | (927 | ) | (1,255 | ) | ||||||||||||||
Net change in cash and cash equivalents | (4 | ) | (582 | ) | 90 | (18 | ) | 99 | (514 | ) | (402 | ) | ||||||||||||||||
Cash and cash equivalents at beginning of period | 1,467 | 1,463 | 881 | 971 | 1,368 | 1,467 | 1,869 | |||||||||||||||||||||
Cash and cash equivalents at end of period | $ | 1,463 | $ | 881 | $ | 971 | $ | 953 | $ | 1,467 | $ | 953 | $ | 1,467 | ||||||||||||||
Cash paid (received) during the year for: | ||||||||||||||||||||||||||||
Interest, net of amount capitalized | $ | 156 | $ | 91 | $ | 115 | $ | 58 | $ | 57 | $ | 420 | $ | 463 | ||||||||||||||
Income taxes | $ | 2 | $ | 13 | $ | 6 | $ | 7 | $ | (9 | ) | $ | 28 | $ | (453 | ) | ||||||||||||
Page 3 of 9
Weyerhaeuser Company | Total Company Statistics | |||
Q4.2011 Analyst Package | ||||
Preliminary results, subject to audit | ||||
Special Items Included in Net Earnings
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2011 | Jun 30, 2011 | Sep 30, 2011 | Dec 31, 2011 | Dec 31, 2010 | Dec 31, 2011 | Dec 31, 2010 | ||||||||||||||||||||||
Net earnings | $ | 99 | $ | 10 | $ | 157 | $ | 65 | $ | 171 | $ | 331 | $ | 1,281 | ||||||||||||||
Income tax adjustments | — | — | (83 | ) | — | (177 | ) | (83 | ) | (1,181 | ) | |||||||||||||||||
Gain on sale of wood products assets | — | — | — | — | — | — | (31 | ) | ||||||||||||||||||||
Loss on early extinguishment of debt | — | 16 | — | — | — | 16 | 33 | |||||||||||||||||||||
Gain on sale of 82,000 acres of non-strategic timberlands | (96 | ) | — | — | — | — | (96 | ) | — | |||||||||||||||||||
Charges for restructuring, closures and impairments | — | — | 24 | 12 | 89 | 36 | 89 | |||||||||||||||||||||
Charges related to the sale of hardwoods | — | 6 | 8 | — | — | 14 | — | |||||||||||||||||||||
Gain on sale of properties | — | — | (9 | ) | — | — | (9 | ) | — | |||||||||||||||||||
Gain on sale of Westwood Shipping Lines | — | — | (31 | ) | — | — | (31 | ) | — | |||||||||||||||||||
Gain on sale of rail roads | — | — | — | — | (31 | ) | — | (31 | ) | |||||||||||||||||||
Net earnings before special items | $ | 3 | $ | 32 | $ | 66 | $ | 77 | $ | 52 | $ | 178 | $ | 160 | ||||||||||||||
Q1 | Q2 | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||
Mar 31, 2011 | Jun 30, 2011 | Sep 30, 2011 | Dec 31, 2011 | Dec 31, 2010 | Dec 31, 2011 | Dec 31, 2010 | ||||||||||||||||||||||
Net earnings per diluted share | $ | 0.18 | $ | 0.02 | $ | 0.29 | $ | 0.12 | $ | 0.32 | $ | 0.61 | $ | 3.99 | ||||||||||||||
Income tax adjustments | — | — | (0.15 | ) | — | (0.33 | ) | (0.15 | ) | (3.68 | ) | |||||||||||||||||
Gain on sale of wood products assets | — | — | — | — | — | — | (0.10 | ) | ||||||||||||||||||||
Loss on early extinguishment of debt | — | 0.03 | — | — | — | 0.03 | 0.11 | |||||||||||||||||||||
Gain on sale of 82,000 acres of non-strategic timberlands | (0.18 | ) | — | — | — | — | (0.18 | ) | — | |||||||||||||||||||
Charges for restructuring, closures and impairments | — | — | 0.04 | 0.02 | 0.17 | 0.07 | 0.28 | |||||||||||||||||||||
Charges related to the sale of hardwoods | — | 0.01 | 0.01 | — | — | 0.03 | — | |||||||||||||||||||||
Gain on sale of properties | — | — | (0.01 | ) | — | — | (0.02 | ) | — | |||||||||||||||||||
Gain on sale of Westwood Shipping Lines | — | — | (0.06 | ) | — | — | (0.06 | ) | — | |||||||||||||||||||
Gain on sale of rail roads | — | — | — | — | (0.06 | ) | — | (0.10 | ) | |||||||||||||||||||
Net earnings before special items per diluted share | $ | — | $ | 0.06 | $ | 0.12 | $ | 0.14 | $ | 0.10 | $ | 0.33 | $ | 0.50 | ||||||||||||||
Selected Total Company Items, Excluding Discontinued Operations | ||||||||||||||||||||||||||||
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2011 | Jun 30, 2011 | Sep 30, 2011 | Dec 31, 2011 | Dec 31, 2010 | Dec 31, 2011 | Dec 31, 2010 | ||||||||||||||||||||||
Depreciation, depletion and amortization: | ||||||||||||||||||||||||||||
Cost of products sold | $ | 105 | $ | 105 | $ | 108 | $ | 104 | $ | 110 | $ | 422 | $ | 431 | ||||||||||||||
Selling, general and administrative expenses | 16 | 13 | 12 | 13 | 15 | 54 | 64 | |||||||||||||||||||||
Total depreciation, depletion and amortization | $ | 121 | $ | 118 | $ | 120 | $ | 117 | $ | 125 | $ | 476 | $ | 495 | ||||||||||||||
Pension and postretirement costs (credits): | ||||||||||||||||||||||||||||
Pension and postretirement costs allocated to business segments | $ | 10 | $ | 15 | $ | 9 | $ | 12 | $ | 11 | $ | 46 | $ | 39 | ||||||||||||||
Pension and postretirement costs (credits) retained by Corporate segment | 12 | 3 | 6 | 5 | (19 | ) | 26 | (73 | ) | |||||||||||||||||||
Total company pension and postretirement costs (credits) | $ | 22 | $ | 18 | $ | 15 | $ | 17 | $ | (8 | ) | $ | 72 | $ | (34 | ) | ||||||||||||
Total decrease (increase) in Forest Products working capital | $ | (158 | ) | $ | (21 | ) | $ | 69 | $ | (63 | ) | $ | 139 | $ | (173 | ) | $ | 731 | ||||||||||
Cash spent for capital expenditures | $ | (47 | ) | $ | (44 | ) | $ | (65 | ) | $ | (82 | ) | $ | (88 | ) | $ | (238 | ) | $ | (228 | ) | |||||||
Page 4 of 9
Weyerhaeuser Company | Timberlands Segment | |||
Q4.2011 Analyst Package | ||||
Preliminary results, subject to audit | ||||
Segment Statement of Operations
in millions | Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | ||||||||||||||||||||
Trade sales and revenues (unaffiliated customers) | $ | 230 | $ | 288 | $ | 252 | $ | 274 | $ | 1,044 | $ | 207 | $ | 874 | |||||||||||||
Intersegment sales | 191 | 134 | 154 | 167 | 646 | 164 | 603 | ||||||||||||||||||||
Total net sales and revenues | 421 | 422 | 406 | 441 | 1,690 | 371 | 1,477 | ||||||||||||||||||||
Cost of products sold | 320 | 296 | 321 | 359 | 1,296 | 298 | 1,129 | ||||||||||||||||||||
Gross margin | 101 | 126 | 85 | 82 | 394 | 73 | 348 | ||||||||||||||||||||
Selling, general and administrative expenses | 23 | 24 | 23 | 21 | 91 | 22 | 85 | ||||||||||||||||||||
Research and development expenses | 4 | 4 | 4 | 6 | 18 | 7 | 21 | ||||||||||||||||||||
Charges for restructuring, closures and impairments | — | — | — | — | — | — | 2 | ||||||||||||||||||||
Other operating income, net | (166 | ) | (13 | ) | (3 | ) | (14 | ) | (196 | ) | (11 | ) | (39 | ) | |||||||||||||
Operating income | 240 | 111 | 61 | 69 | 481 | 55 | 279 | ||||||||||||||||||||
Interest income and other | 1 | 1 | 1 | 1 | 4 | 1 | 3 | ||||||||||||||||||||
Net contribution to earnings | $ | 241 | $ | 112 | $ | 62 | $ | 70 | $ | 485 | $ | 56 | $ | 282 | |||||||||||||
Selected Segment Items
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Depreciation, depletion and amortization | $ | 31 | $ | 35 | $ | 34 | $ | 35 | $ | 135 | $ | 30 | $ | 118 | |||||||||||||
Total decrease (increase) in working capital | $ | (16 | ) | $ | (40 | ) | $ | 32 | $ | (3 | ) | $ | (27 | ) | $ | (6 | ) | $ | (10 | ) | |||||||
Cash spent for capital expenditures | $ | (14 | ) | $ | (14 | ) | $ | (12 | ) | $ | (13 | ) | $ | (53 | ) | $ | (20 | ) | $ | (72 | ) | ||||||
Segment Special Items Included in Net Contribution to Earnings (Pre-Tax)
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Gain on sale of 82,000 acres of non-strategic timberlands | $ | 152 | $ | — | $ | — | $ | — | $ | 152 | $ | — | $ | — | |||||||||||||
Segment Statistics
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||||
Third Party Net Sales and Revenue (millions) | Logs: | ||||||||||||||||||||||||||||
West | $ | 110 | $ | 152 | $ | 144 | $ | 139 | $ | 545 | $ | 97 | $ | 414 | |||||||||||||||
South | 41 | 49 | 53 | 53 | 196 | 41 | 145 | ||||||||||||||||||||||
Canada | 7 | 1 | 4 | 5 | 17 | 5 | 17 | ||||||||||||||||||||||
Total logs | 158 | 202 | 201 | 197 | 758 | 143 | 576 | ||||||||||||||||||||||
Pay as cut timber sales | 8 | 8 | 9 | 9 | 34 | 8 | 33 | ||||||||||||||||||||||
Timberlands exchanges and dispositions | 21 | 39 | 2 | 15 | 77 | 20 | 109 | ||||||||||||||||||||||
Higher and better use land sales | 4 | 2 | 5 | 14 | 25 | 4 | 22 | ||||||||||||||||||||||
Minerals, oil and gas | 14 | 15 | 14 | 10 | 53 | 14 | 60 | ||||||||||||||||||||||
Products from international operations | 17 | 21 | 21 | 27 | 86 | 16 | 65 | ||||||||||||||||||||||
Other products | 8 | 1 | — | 2 | 11 | 2 | 9 | ||||||||||||||||||||||
Total | $ | 230 | $ | 288 | $ | 252 | $ | 274 | $ | 1,044 | $ | 207 | $ | 874 | |||||||||||||||
Logs Third Party Sales Realizations (per cubic meter) | West | $ | 100.20 | $ | 109.42 | $ | 104.27 | $ | 99.71 | $ | 103.57 | $ | 95.30 | $ | 92.59 | ||||||||||||||
South | $ | 41.22 | $ | 40.59 | $ | 39.11 | $ | 39.82 | $ | 40.10 | $ | 41.86 | $ | 43.21 | |||||||||||||||
Canada | $ | 34.73 | $ | 42.79 | $ | 33.73 | $ | 34.04 | $ | 34.65 | $ | 33.84 | $ | 33.11 | |||||||||||||||
International | $ | 22.12 | $ | 37.78 | $ | 33.73 | $ | 17.03 | $ | 28.11 | $ | 18.21 | $ | 19.01 | |||||||||||||||
Logs Third Party Sales Volumes (cubic meters, thousands) | West | 1,095 | 1,391 | 1,385 | 1,396 | 5,267 | 1,020 | 4,476 | |||||||||||||||||||||
South | 1,005 | 1,211 | 1,336 | 1,327 | 4,879 | 993 | 3,357 | ||||||||||||||||||||||
Canada | 194 | 23 | 116 | 146 | 479 | 141 | 507 | ||||||||||||||||||||||
International | 72 | 79 | 88 | 75 | 314 | 74 | 283 | ||||||||||||||||||||||
Total | 2,366 | 2,704 | 2,925 | 2,944 | 10,939 | 2,228 | 8,623 | ||||||||||||||||||||||
Logs Fee Depletion (cubic meters, thousands) | West | 1,611 | 1,747 | 1,604 | 1,633 | 6,595 | 1,290 | 5,569 | |||||||||||||||||||||
South | 2,180 | 2,355 | 2,535 | 2,668 | 9,738 | 2,116 | 8,197 | ||||||||||||||||||||||
International | 98 | 221 | 270 | 265 | 854 | 79 | 349 | ||||||||||||||||||||||
Total | 3,889 | 4,323 | 4,409 | 4,566 | 17,187 | 3,485 | 14,115 | ||||||||||||||||||||||
Page 5 of 9
Weyerhaeuser Company | Wood Products Segment | |||
Q4.2011 Analyst Package | ||||
Preliminary results, subject to audit | ||||
Segment Statement of Operations
in millions | Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | ||||||||||||||||||||
Trade sales and revenues (unaffiliated customers) | $ | 526 | $ | 605 | $ | 603 | $ | 542 | $ | 2,276 | $ | 487 | $ | 2,224 | |||||||||||||
Intersegment sales | 20 | 21 | 20 | 19 | 80 | 16 | 63 | ||||||||||||||||||||
Total net sales and revenues | 546 | 626 | 623 | 561 | 2,356 | 503 | 2,287 | ||||||||||||||||||||
Cost of products sold | 536 | 629 | 620 | 576 | 2,361 | 527 | 2,289 | ||||||||||||||||||||
Gross margin | 10 | (3 | ) | 3 | (15 | ) | (5 | ) | (24 | ) | (2 | ) | |||||||||||||||
Selling, general and administrative expenses | 50 | 49 | 47 | 46 | 192 | 58 | 250 | ||||||||||||||||||||
Research and development expenses | 1 | 1 | 1 | 1 | 4 | 1 | 5 | ||||||||||||||||||||
Charges for restructuring, closures and impairments | 2 | 4 | 38 | 20 | 64 | 102 | 113 | ||||||||||||||||||||
Other operating income, net | (5 | ) | (4 | ) | (6 | ) | (2 | ) | (17 | ) | (1 | ) | (49 | ) | |||||||||||||
Operating loss | (38 | ) | (53 | ) | (77 | ) | (80 | ) | (248 | ) | (184 | ) | (321 | ) | |||||||||||||
Interest income and other | 2 | — | 1 | — | 3 | 1 | 3 | ||||||||||||||||||||
Net contribution to earnings from continuing operations | (36 | ) | (53 | ) | (76 | ) | (80 | ) | (245 | ) | (183 | ) | (318 | ) | |||||||||||||
Net contribution to earnings from discontinued hardwoods operations | — | (8 | ) | (17 | ) | — | (25 | ) | (5 | ) | 8 | ||||||||||||||||
Net contribution to earnings | $ | (36 | ) | $ | (61 | ) | $ | (93 | ) | $ | (80 | ) | $ | (270 | ) | $ | (188 | ) | $ | (310 | ) | ||||||
Selected Segment Items, Excluding Hardwoods Operations
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Depreciation, depletion and amortization | $ | 39 | $ | 35 | $ | 36 | $ | 34 | $ | 144 | $ | 41 | $ | 170 | |||||||||||||
Total decrease (increase) in working capital | $ | (115 | ) | $ | 43 | $ | 16 | $ | 21 | $ | (35 | ) | $ | 26 | $ | 16 | |||||||||||
Cash spent for capital expenditures | $ | (6 | ) | $ | (7 | ) | $ | (8 | ) | $ | (14 | ) | $ | (35 | ) | $ | (20 | ) | $ | (31 | ) | ||||||
Segment Special Items Included in Net Contribution to Earnings (Pre-Tax)
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Gain on sale of wood products assets | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 52 | |||||||||||||
Charges for restructuring, closures and impairments | — | — | (38 | ) | (19 | ) | (57 | ) | (103 | ) | (103 | ) | |||||||||||||||
Gain on sale of properties | — | — | 5 | — | 5 | — | — | ||||||||||||||||||||
Total special items from continuing operations | — | — | (33 | ) | (19 | ) | (52 | ) | (103 | ) | (51 | ) | |||||||||||||||
Charges related to sale of discontinued hardwoods operations | — | (9 | ) | (13 | ) | — | (22 | ) | — | — | |||||||||||||||||
Total | $ | — | $ | (9 | ) | $ | (46 | ) | $ | (19 | ) | $ | (74 | ) | $ | (103 | ) | $ | (51 | ) | |||||||
Segment Statistics
in millions, except for third-party sales realizations | Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | ||||||||||||||||||||||
Structural Lumber (board feet) | Third Party Net Sales and Revenue | $ | 260 | $ | 290 | $ | 281 | $ | 256 | $ | 1,087 | $ | 241 | $ | 1,044 | ||||||||||||||
Third Party Sales Realizations | $ | 315.26 | $ | 300.84 | $ | 300.74 | $ | 296.09 | $ | 302.99 | $ | 292.63 | $ | 311.09 | |||||||||||||||
Third Party Sales Volumes | 826 | 963 | 934 | 863 | 3,586 | 822 | 3,356 | ||||||||||||||||||||||
Production Volumes | 893 | 903 | 890 | 842 | 3,528 | 785 | 3,289 | ||||||||||||||||||||||
Engineered Solid Section (cubic feet) | Third Party Net Sales and Revenue | $ | 62 | $ | 71 | $ | 65 | $ | 55 | $ | 253 | $ | 59 | $ | 272 | ||||||||||||||
Third Party Sales Realizations | $ | 1,851.05 | $ | 1,904.83 | $ | 1,865.05 | $ | 1,782.64 | $ | 1,853.98 | $ | 1,853.91 | $ | 1,797.79 | |||||||||||||||
Third Party Sales Volumes | 3 | 4 | 4 | 3 | 14 | 3 | 15 | ||||||||||||||||||||||
Production Volumes | 4 | 3 | 4 | 2 | 13 | 3 | 15 | ||||||||||||||||||||||
Engineered I-joists (lineal feet) | Third Party Net Sales and Revenue | $ | 33 | $ | 48 | $ | 44 | $ | 36 | $ | 161 | $ | 35 | $ | 171 | ||||||||||||||
Third Party Sales Realizations | $ | 1,266.51 | $ | 1,258.14 | $ | 1,275.43 | $ | 1,257.62 | $ | 1,264.35 | $ | 1,259.46 | $ | 1,180.45 | |||||||||||||||
Third Party Sales Volumes | 26 | 38 | 34 | 30 | 128 | 29 | 145 | ||||||||||||||||||||||
Production Volumes | 30 | 34 | 32 | 26 | 122 | 26 | 133 | ||||||||||||||||||||||
Oriented Strand Board (square feet 3/8') | Third Party Net Sales and Revenue | $ | 85 | $ | 89 | $ | 97 | $ | 90 | $ | 361 | $ | 72 | $ | 334 | ||||||||||||||
Third Party Sales Realizations | $ | 192.16 | $ | 178.43 | $ | 176.33 | $ | 173.28 | $ | 179.57 | $ | 177.84 | $ | 207.92 | |||||||||||||||
Third Party Sales Volumes | 445 | 498 | 549 | 516 | 2,008 | 408 | 1,607 | ||||||||||||||||||||||
Production Volumes | 494 | 518 | 574 | 541 | 2,127 | 429 | 1,721 | ||||||||||||||||||||||
Softwood Plywood (square feet 3/8') | Third Party Net Sales and Revenue | $ | 17 | $ | 16 | $ | 18 | $ | 18 | $ | 69 | $ | 15 | $ | 73 | ||||||||||||||
Third Party Sales Realizations | $ | 263.83 | $ | 271.01 | $ | 260.23 | $ | 274.02 | $ | 267.13 | $ | 250.61 | $ | 279.58 | |||||||||||||||
Third Party Sales Volumes | 63 | 61 | 69 | 65 | 258 | 57 | 260 | ||||||||||||||||||||||
Production Volumes | 53 | 48 | 49 | 47 | 197 | 43 | 212 | ||||||||||||||||||||||
Hardwood Lumber (board feet) | Third Party Net Sales and Revenue | $ | 58 | $ | 63 | $ | 17 | $ | — | $ | 138 | $ | 51 | $ | 223 | ||||||||||||||
Third Party Sales Realizations | $ | 845.42 | $ | 858.51 | $ | 861.33 | $ | — | $ | 853.30 | $ | 833.75 | $ | 829.40 | |||||||||||||||
Third Party Sales Volumes | 69 | 73 | 20 | — | 162 | 61 | 269 | ||||||||||||||||||||||
Production Volumes | 58 | 62 | 15 | — | 135 | 51 | 231 | ||||||||||||||||||||||
Page 6 of 9
Weyerhaeuser Company | Cellulose Fibers Segment | |||
Q4.2011 Analyst Package | ||||
Preliminary results, subject to audit | ||||
Segment Statement of Operations
in millions | Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | ||||||||||||||||||||
Total net sales and revenues | $ | 506 | $ | 526 | $ | 503 | $ | 523 | $ | 2,058 | $ | 511 | $ | 1,911 | |||||||||||||
Cost of products sold | 400 | 422 | 349 | 370 | 1,541 | 356 | 1,424 | ||||||||||||||||||||
Gross margin | 106 | 104 | 154 | 153 | 517 | 155 | 487 | ||||||||||||||||||||
Selling, general and administrative expenses | 22 | 24 | 24 | 24 | 94 | 21 | 82 | ||||||||||||||||||||
Research and development expenses | 2 | 2 | 2 | 2 | 8 | 2 | 8 | ||||||||||||||||||||
Charges for restructuring, closures and impairments | — | — | — | 1 | 1 | — | — | ||||||||||||||||||||
Other operating income, net | (5 | ) | (3 | ) | (4 | ) | (7 | ) | (19 | ) | (7 | ) | (20 | ) | |||||||||||||
Operating income | 87 | 81 | 132 | 133 | 433 | 139 | 417 | ||||||||||||||||||||
Interest income and other | (1 | ) | (1 | ) | 3 | 1 | 2 | (1 | ) | (5 | ) | ||||||||||||||||
Net contribution to earnings | $ | 86 | $ | 80 | $ | 135 | $ | 134 | $ | 435 | $ | 138 | $ | 412 | |||||||||||||
Selected Segment Items
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Depreciation, depletion and amortization | $ | 36 | $ | 35 | $ | 37 | $ | 36 | $ | 144 | $ | 39 | $ | 145 | |||||||||||||
Total decrease (increase) in working capital | $ | 20 | $ | (32 | ) | $ | (9 | ) | $ | (26 | ) | $ | (47 | ) | $ | 21 | $ | (52 | ) | ||||||||
Cash spent for capital expenditures | $ | (26 | ) | $ | (23 | ) | $ | (43 | ) | $ | (54 | ) | $ | (146 | ) | $ | (46 | ) | $ | (119 | ) | ||||||
Segment Statistics
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||||
Pulp (air-dry metric tons) | Third Party Net Sales and Revenue (millions) | $ | 398 | $ | 409 | $ | 391 | $ | 419 | $ | 1,617 | $ | 402 | $ | 1,489 | ||||||||||||||
Third Party Sales Realizations | $ | 912.12 | $ | 960.04 | $ | 919.65 | $ | 894.71 | $ | 920.93 | $ | 926.29 | $ | 868.91 | |||||||||||||||
Third Party Sales Volumes (thousands) | 436 | 426 | 426 | 468 | 1,756 | 434 | 1,714 | ||||||||||||||||||||||
Production Volumes (thousands) | 437 | 410 | 462 | 460 | 1,769 | 453 | 1,774 | ||||||||||||||||||||||
Liquid Packaging Board (tons) | Third Party Net Sales and Revenue (millions) | $ | 85 | $ | 93 | $ | 87 | $ | 81 | $ | 346 | $ | 88 | $ | 337 | ||||||||||||||
Third Party Sales Realizations | $ | 1,148.29 | $ | 1,194.46 | $ | 1,164.99 | $ | 1,151.48 | $ | 1,165.31 | $ | 1,081.52 | $ | 1,083.31 | |||||||||||||||
Third Party Sales Volumes (thousands) | 74 | 77 | 76 | 70 | 297 | 81 | 311 | ||||||||||||||||||||||
Production Volumes (thousands) | 67 | 80 | 81 | 79 | 307 | 84 | 316 | ||||||||||||||||||||||
Page 7 of 9
Weyerhaeuser Company | Real Estate Segment | |||
Q4.2011 Analyst Package | ||||
Preliminary results, subject to audit | ||||
Segment Statement of Operations
in millions | Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | ||||||||||||||||||||
Total net sales and revenues | $ | 160 | $ | 191 | $ | 211 | $ | 276 | $ | 838 | $ | 305 | $ | 923 | |||||||||||||
Cost of products sold | 126 | 147 | 164 | 191 | 628 | 228 | 696 | ||||||||||||||||||||
Gross margin | 34 | 44 | 47 | 85 | 210 | 77 | 227 | ||||||||||||||||||||
Selling, general and administrative expenses | 35 | 36 | 36 | 37 | 144 | 45 | 160 | ||||||||||||||||||||
Charges for restructuring, closures and impairments | 1 | 1 | 2 | 10 | 14 | 17 | 21 | ||||||||||||||||||||
Other operating income, net | — | — | — | (1 | ) | (1 | ) | (1 | ) | (1 | ) | ||||||||||||||||
Operating income (loss) | (2 | ) | 7 | 9 | 39 | 53 | 16 | 47 | |||||||||||||||||||
Interest income and other | 1 | 1 | 1 | 2 | 5 | — | 49 | ||||||||||||||||||||
Impairments of investments and other related charges | — | — | — | — | — | (3 | ) | (3 | ) | ||||||||||||||||||
Loss attributable to noncontrolling interests | — | — | — | — | — | — | (2 | ) | |||||||||||||||||||
Net contribution to earnings | $ | (1 | ) | $ | 8 | $ | 10 | $ | 41 | $ | 58 | $ | 13 | $ | 91 | ||||||||||||
Selected Segment Items
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Depreciation and amortization | $ | 3 | $ | 3 | $ | 3 | $ | 3 | $ | 12 | $ | 4 | $ | 16 | |||||||||||||
Cash spent for capital expenditures | $ | (1 | ) | $ | — | $ | (1 | ) | $ | (1 | ) | $ | (3 | ) | $ | (2 | ) | $ | (5 | ) | |||||||
Segment Special Items Included in Net Contribution to Earnings (Pre-Tax)
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Charges for restructuring and impairments (1) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | (20 | ) | $ | (20 | ) | |||||||||||
(1) | Fourth quarter 2011 charges for restructuring, closures and impairments were mostly offset by other nonrecurring income. |
Segment Statistics
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Net sales and revenues: | |||||||||||||||||||||||||||
Single-family housing | $ | 152 | $ | 180 | $ | 204 | $ | 232 | $ | 768 | $ | 266 | $ | 842 | |||||||||||||
Land | 7 | 11 | 5 | 44 | 67 | 25 | 64 | ||||||||||||||||||||
Other | 1 | — | 2 | — | 3 | 14 | 17 | ||||||||||||||||||||
Total net sales and revenue | $ | 160 | $ | 191 | $ | 211 | $ | 276 | $ | 838 | $ | 305 | $ | 923 | |||||||||||||
Single-family homes sold | 535 | 521 | 440 | 406 | 1,902 | 385 | 1,914 | ||||||||||||||||||||
Single-family homes closed | 363 | 459 | 508 | 582 | 1,912 | 606 | 2,125 | ||||||||||||||||||||
Single-family homes sold but not closed (backlog) | 611 | 673 | 605 | 429 | 429 | 439 | 439 | ||||||||||||||||||||
Single-family average price of homes closed (in thousands) | $ | 419 | $ | 391 | $ | 403 | $ | 398 | $ | 402 | $ | 439 | $ | 396 | |||||||||||||
Single-family home gross margin - excluding impairments (1) | 21.7 | % | 22.4 | % | 23.0 | % | 25.4 | % | 23.3 | % | 26.1 | % | 23.7 | % | |||||||||||||
(1) | Single-family gross margin excluding impairments equals revenue less cost of sales and period costs (other than impairments and deposit write-offs). |
Page 8 of 9
Weyerhaeuser Company | Corporate & Other Segment | |||
Q4.2011 Analyst Package | ||||
Preliminary results, subject to audit | ||||
Corporate and Other includes certain gains or charges that are not related to an individual operating segment and the portion of items such as share-based compensation, pension and postretirement costs, foreign exchange transaction gains and losses associated with financing and other general and administrative expenses that are not allocated to the business segments. Historically, Corporate and Other included the results of our transportation operations. This included our five short line railroads that were sold at the end of 2010 and Westwood Shipping Lines that was sold on September 30, 2011. Westwood results are included in our results of discontinued operations.
Segment Statement of Operations
in millions | Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | ||||||||||||||||||||
Trade sales and revenues (unaffiliated customers) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 6 | $ | 22 | |||||||||||||
Intersegment sales | — | — | — | — | — | 1 | 3 | ||||||||||||||||||||
Total net sales and revenues | — | — | — | — | — | 7 | 25 | ||||||||||||||||||||
Cost of products sold (1) | 6 | 4 | 3 | 7 | 20 | (6 | ) | (38 | ) | ||||||||||||||||||
Gross margin | (6 | ) | (4 | ) | (3 | ) | (7 | ) | (20 | ) | 13 | 63 | |||||||||||||||
Selling, general and administrative expenses | 42 | 12 | 5 | 21 | 80 | 25 | 73 | ||||||||||||||||||||
Charges for restructuring, closures and impairments | 1 | 2 | 1 | — | 4 | 6 | 12 | ||||||||||||||||||||
Other operating costs (income), net | 2 | 1 | 16 | 2 | 21 | (46 | ) | (54 | ) | ||||||||||||||||||
Operating income (loss) | (51 | ) | (19 | ) | (25 | ) | (30 | ) | (125 | ) | 28 | 32 | |||||||||||||||
Interest income and other | 8 | 8 | 9 | 8 | 33 | 9 | 33 | ||||||||||||||||||||
Net contribution to earnings from continuing operations | (43 | ) | (11 | ) | (16 | ) | (22 | ) | (92 | ) | 37 | 65 | |||||||||||||||
Net contribution to earnings from discontinued operations (2) | 2 | (11 | ) | 54 | — | 45 | 4 | 6 | |||||||||||||||||||
Net contribution to earnings | $ | (41 | ) | $ | (22 | ) | $ | 38 | $ | (22 | ) | $ | (47 | ) | $ | 41 | $ | 71 | |||||||||
(1) | Cost of products sold include the portion of pension and postretirement costs (credits) and other costs retained by the Corporate segment allocable to production employees. |
(2) | Third quarter 2011 includes a $9 million gain and second quarter 2011 includes charges of $13 million related to businesses we have divested in prior years. Third quarter 2011 also includes a $49 million gain on the sale of Westwood Shipping Lines. |
Selected Segment Items, Excluding Westwood Shipping Lines
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Depreciation, depletion and amortization | $ | 12 | $ | 10 | $ | 10 | $ | 9 | $ | 41 | $ | 11 | $ | 46 | |||||||||||||
Total decrease (increase) in working capital | $ | (47 | ) | $ | 8 | $ | 30 | $ | (55 | ) | $ | (64 | ) | $ | 98 | $ | 777 | ||||||||||
Cash spent for capital expenditures | $ | — | $ | — | $ | (1 | ) | $ | — | $ | (1 | ) | $ | — | $ | (1 | ) | ||||||||||
Share-based compensation expense (income) | $ | 16 | $ | (5 | ) | $ | (12 | ) | $ | 6 | $ | 5 | $ | 8 | $ | 15 | |||||||||||
Foreign exchange losses (gains) | $ | (6 | ) | $ | (1 | ) | $ | 16 | $ | (4 | ) | $ | 5 | $ | (5 | ) | $ | (11 | ) | ||||||||
Pension and postretirement costs (credits) retained by Corporate segment | $ | 12 | $ | 3 | $ | 6 | $ | 5 | $ | 26 | $ | (19 | ) | $ | (74 | ) | |||||||||||
Segment Special Items Included in Net Contribution to Earnings (Pre-Tax)
Q1.2011 | Q2.2011 | Q3.2011 | Q4.2011 | YTD.2011 | Q4.2010 | YTD.2010 | |||||||||||||||||||||
Gain on sale of five short line railroads | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 46 | $ | 46 | |||||||||||||
Charges for restructuring, closures and impairments | — | — | — | — | — | (7 | ) | (7 | ) | ||||||||||||||||||
Total special items from continuing operations | — | — | — | — | — | 39 | 39 | ||||||||||||||||||||
Gain on sale of property | — | — | 9 | — | 9 | — | — | ||||||||||||||||||||
Gain on sale of Westwood Shipping Lines | — | — | 49 | — | 49 | — | — | ||||||||||||||||||||
Total | $ | — | $ | — | $ | 58 | $ | — | $ | 58 | $ | 39 | $ | 39 | |||||||||||||
Page 9 of 9