Attached files
| file | filename |
|---|---|
| 8-K - 8-K EARNINGS RELEASE - WEYERHAEUSER CO | wyq4128kearningsrelease.htm |
| EX-99.1 - PRESS RELEASE - WEYERHAEUSER CO | wy2012q4ex-991.htm |
Weyerhaeuser Company | Exhibit 99.2 | |||||||||||||||||||||||||||
Q4.2012 Analyst Package | ||||||||||||||||||||||||||||
Preliminary results, subject to audit | ||||||||||||||||||||||||||||
Consolidated Statement of Operations | ||||||||||||||||||||||||||||
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2012 | Jun 30, 2012 | Sep 30, 2012 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2012 | Dec 31, 2011 | ||||||||||||||||||||||
Net sales and revenues | $ | 1,494 | $ | 1,793 | $ | 1,772 | $ | 2,000 | $ | 1,615 | $ | 7,059 | $ | 6,216 | ||||||||||||||
Cost of products sold | 1,290 | 1,516 | 1,424 | 1,580 | 1,317 | 5,810 | 5,120 | |||||||||||||||||||||
Gross margin | 204 | 277 | 348 | 420 | 298 | 1,249 | 1,096 | |||||||||||||||||||||
Selling expenses | 42 | 47 | 49 | 56 | 45 | 194 | 178 | |||||||||||||||||||||
General and administrative expenses | 108 | 95 | 107 | 126 | 104 | 436 | 423 | |||||||||||||||||||||
Research and development expenses | 7 | 8 | 8 | 9 | 9 | 32 | 30 | |||||||||||||||||||||
Charges for restructuring, closures and impairments | 12 | 4 | 10 | 6 | 31 | 32 | 83 | |||||||||||||||||||||
Other operating income, net | (66 | ) | (53 | ) | (28 | ) | (33 | ) | (22 | ) | (180 | ) | (212 | ) | ||||||||||||||
Operating income | 101 | 176 | 202 | 256 | 131 | 735 | 594 | |||||||||||||||||||||
Interest income and other | 12 | 11 | 15 | 14 | 12 | 52 | 47 | |||||||||||||||||||||
Interest expense, net of capitalized interest | (87 | ) | (86 | ) | (87 | ) | (88 | ) | (88 | ) | (348 | ) | (384 | ) | ||||||||||||||
Earnings from continuing operations before income taxes | 26 | 101 | 130 | 182 | 55 | 439 | 257 | |||||||||||||||||||||
Income taxes | 15 | (17 | ) | (13 | ) | (40 | ) | 10 | (55 | ) | 62 | |||||||||||||||||
Earnings from continuing operations | 41 | 84 | 117 | 142 | 65 | 384 | 319 | |||||||||||||||||||||
Earnings from discontinued operations, net of income taxes | — | — | — | — | — | — | 12 | |||||||||||||||||||||
Net earnings | 41 | 84 | 117 | 142 | 65 | 384 | 331 | |||||||||||||||||||||
Add: net loss attributable to noncontrolling interests | — | — | — | 1 | — | 1 | — | |||||||||||||||||||||
Net earnings attributable to Weyerhaeuser common shareholders | $ | 41 | $ | 84 | $ | 117 | $ | 143 | $ | 65 | $ | 385 | $ | 331 | ||||||||||||||
Per Share Information | ||||||||||||||||||||||||||||
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2012 | Jun 30, 2012 | Sep 30, 2012 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2012 | Dec 31, 2011 | ||||||||||||||||||||||
Earnings per share attributable to Weyerhaeuser common shareholders, basic: | ||||||||||||||||||||||||||||
Continuing operations | $ | 0.08 | $ | 0.16 | $ | 0.22 | $ | 0.26 | $ | 0.12 | $ | 0.71 | $ | 0.60 | ||||||||||||||
Discontinued operations | — | — | — | — | — | — | 0.02 | |||||||||||||||||||||
Net earnings per share | $ | 0.08 | $ | 0.16 | $ | 0.22 | $ | 0.26 | $ | 0.12 | $ | 0.71 | $ | 0.62 | ||||||||||||||
Earnings per share attributable to Weyerhaeuser common shareholders, diluted: | ||||||||||||||||||||||||||||
Continuing operations | $ | 0.08 | $ | 0.16 | $ | 0.22 | $ | 0.26 | $ | 0.12 | $ | 0.71 | $ | 0.59 | ||||||||||||||
Discontinued operations | — | — | — | — | — | — | 0.02 | |||||||||||||||||||||
Net earnings per share | $ | 0.08 | $ | 0.16 | $ | 0.22 | $ | 0.26 | $ | 0.12 | $ | 0.71 | $ | 0.61 | ||||||||||||||
Dividends paid per share | $ | 0.15 | $ | 0.15 | $ | 0.15 | $ | 0.17 | $ | 0.15 | $ | 0.62 | $ | 0.60 | ||||||||||||||
Weighted average shares outstanding (in thousands): | ||||||||||||||||||||||||||||
Basic | 537,368 | 537,966 | 539,094 | 542,101 | 536,432 | 539,140 | 537,534 | |||||||||||||||||||||
Diluted | 539,728 | 540,033 | 542,311 | 547,137 | 538,119 | 542,310 | 539,879 | |||||||||||||||||||||
Common shares outstanding at end of period (in thousands) | 537,409 | 537,526 | 540,672 | 542,393 | 536,425 | 542,393 | 536,425 | |||||||||||||||||||||
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization, Excluding Special Items* | ||||||||||||||||||||||||||||
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2012 | Jun 30, 2012 | Sep 30, 2012 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2012 | Dec 31, 2011 | ||||||||||||||||||||||
Operating income | $ | 101 | $ | 176 | $ | 202 | $ | 256 | $ | 131 | $ | 735 | $ | 594 | ||||||||||||||
Depreciation, depletion and amortization | 113 | 113 | 112 | 118 | 117 | 456 | 476 | |||||||||||||||||||||
Non-operating pension and postretirement costs | 7 | 7 | 7 | 8 | 5 | 29 | 26 | |||||||||||||||||||||
Special items | (38 | ) | (57 | ) | — | — | 19 | (95 | ) | (100 | ) | |||||||||||||||||
Capitalized interest included in cost of products sold | 3 | 19 | 6 | 9 | 12 | 37 | 29 | |||||||||||||||||||||
Adjusted EBITDA, excluding special items* | $ | 186 | $ | 258 | $ | 327 | $ | 391 | $ | 284 | $ | 1,162 | $ | 1,025 | ||||||||||||||
* Non-GAAP measure - see page 9 for definition. | ||||||||||||||||||||||||||||
Page 1 of 9
Weyerhaeuser Company | |||||||||||||||||||
Q4.2012 Analyst Package | |||||||||||||||||||
Preliminary results, subject to audit | |||||||||||||||||||
Consolidated Balance Sheet | |||||||||||||||||||
in millions | Mar 31, 2012 | Jun 30, 2012 | Sep 30, 2012 | Dec 31, 2012 | Dec 31, 2011 | ||||||||||||||
ASSETS | |||||||||||||||||||
Forest Products: | |||||||||||||||||||
Current assets: | |||||||||||||||||||
Cash and cash equivalents | $ | 726 | $ | 857 | $ | 602 | $ | 893 | $ | 950 | |||||||||
Receivables, less allowances | 479 | 488 | 504 | 468 | 468 | ||||||||||||||
Receivables for taxes | 24 | 6 | 97 | 95 | 22 | ||||||||||||||
Inventories | 517 | 487 | 512 | 531 | 476 | ||||||||||||||
Prepaid expenses | 80 | 86 | 83 | 83 | 68 | ||||||||||||||
Deferred tax assets | 113 | 100 | 117 | 65 | 81 | ||||||||||||||
Total current assets | 1,939 | 2,024 | 1,915 | 2,135 | 2,065 | ||||||||||||||
Property and equipment, net | 2,829 | 2,770 | 2,759 | 2,859 | 2,901 | ||||||||||||||
Construction in progress | 192 | 208 | 220 | 50 | 145 | ||||||||||||||
Timber and timberlands at cost, less depletion charged to disposals | 3,970 | 3,963 | 3,967 | 3,961 | 3,978 | ||||||||||||||
Investments in and advances to equity affiliates | 189 | 187 | 188 | 192 | 192 | ||||||||||||||
Goodwill | 40 | 40 | 40 | 40 | 40 | ||||||||||||||
Deferred tax assets | 50 | 48 | 56 | 189 | 36 | ||||||||||||||
Other assets | 442 | 435 | 352 | 358 | 444 | ||||||||||||||
Assets held by variable interest entities | 914 | 916 | 914 | 805 | 916 | ||||||||||||||
10,565 | 10,591 | 10,411 | 10,589 | 10,717 | |||||||||||||||
Real Estate: | |||||||||||||||||||
Cash and cash equivalents | 2 | 4 | 6 | 5 | 3 | ||||||||||||||
Receivables, less allowances | 30 | 38 | 36 | 72 | 41 | ||||||||||||||
Real estate in process of development and for sale | 606 | 581 | 602 | 658 | 555 | ||||||||||||||
Land being processed for development | 943 | 959 | 982 | 904 | 936 | ||||||||||||||
Investments in and advances to equity affiliates | 19 | 20 | 20 | 21 | 21 | ||||||||||||||
Deferred tax assets | 246 | 238 | 233 | 202 | 240 | ||||||||||||||
Other assets | 113 | 89 | 98 | 94 | 113 | ||||||||||||||
Assets held by variable interest entities | — | 3 | 6 | 47 | 8 | ||||||||||||||
1,959 | 1,932 | 1,983 | 2,003 | 1,917 | |||||||||||||||
Total assets | $ | 12,524 | $ | 12,523 | $ | 12,394 | $ | 12,592 | $ | 12,634 | |||||||||
LIABILITIES AND EQUITY | |||||||||||||||||||
Forest Products: | |||||||||||||||||||
Current liabilities: | |||||||||||||||||||
Current maturities of long-term debt | $ | 167 | $ | 184 | $ | 340 | $ | 340 | $ | 12 | |||||||||
Accounts payable | 343 | 360 | 356 | 329 | 336 | ||||||||||||||
Accrued liabilities | 536 | 576 | 558 | 561 | 593 | ||||||||||||||
Total current liabilities | 1,046 | 1,120 | 1,254 | 1,230 | 941 | ||||||||||||||
Long-term debt | 4,026 | 4,005 | 3,842 | 3,842 | 4,181 | ||||||||||||||
Deferred income taxes | 158 | 140 | 124 | — | 129 | ||||||||||||||
Deferred pension and other postretirement benefits | 1,470 | 1,429 | 1,378 | 1,936 | 1,467 | ||||||||||||||
Other liabilities | 407 | 400 | 477 | 493 | 408 | ||||||||||||||
Liabilities (nonrecourse to the company) held by variable interest entities | 775 | 778 | 680 | 681 | 776 | ||||||||||||||
7,882 | 7,872 | 7,755 | 8,182 | 7,902 | |||||||||||||||
Real Estate: | |||||||||||||||||||
Long-term debt | 283 | 283 | 109 | 109 | 285 | ||||||||||||||
Other liabilities | 154 | 171 | 177 | 187 | 172 | ||||||||||||||
Liabilities (nonrecourse to the company) held by variable interest entities | — | — | — | 1 | 8 | ||||||||||||||
437 | 454 | 286 | 297 | 465 | |||||||||||||||
Total liabilities | 8,319 | 8,326 | 8,041 | 8,479 | 8,367 | ||||||||||||||
Equity: | |||||||||||||||||||
Total Weyerhaeuser shareholders' interest | 4,197 | 4,186 | 4,340 | 4,070 | 4,263 | ||||||||||||||
Noncontrolling interests | 8 | 11 | 13 | 43 | 4 | ||||||||||||||
Total equity | 4,205 | 4,197 | 4,353 | 4,113 | 4,267 | ||||||||||||||
Total liabilities and equity | $ | 12,524 | $ | 12,523 | $ | 12,394 | $ | 12,592 | $ | 12,634 | |||||||||
Page 2 of 9
Weyerhaeuser Company | ||||||||||||||||||||||||||||
Q4.2012 Analyst Package | ||||||||||||||||||||||||||||
Preliminary results, subject to audit | ||||||||||||||||||||||||||||
Consolidated Statement of Cash Flows | ||||||||||||||||||||||||||||
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2012 | Jun 30, 2012 | Sep 30, 2012 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2012 | Dec 31, 2011 | ||||||||||||||||||||||
Cash flows from operations: | ||||||||||||||||||||||||||||
Net earnings | $ | 41 | $ | 84 | $ | 117 | $ | 142 | $ | 65 | $ | 384 | $ | 331 | ||||||||||||||
Noncash charges (credits) to income: | ||||||||||||||||||||||||||||
Depreciation, depletion and amortization | 113 | 113 | 112 | 118 | 117 | 456 | 480 | |||||||||||||||||||||
Deferred income taxes, net | (6 | ) | 13 | 15 | 40 | 51 | 62 | (26 | ) | |||||||||||||||||||
Pension and other postretirement benefits | (28 | ) | (30 | ) | 19 | 20 | 21 | (19 | ) | 81 | ||||||||||||||||||
Share-based compensation expense | 10 | 8 | 10 | 9 | 6 | 37 | 25 | |||||||||||||||||||||
Charges for impairment of assets | 8 | 4 | 7 | 5 | 19 | 24 | 56 | |||||||||||||||||||||
Net gains on dispositions of assets | (7 | ) | (10 | ) | (22 | ) | (30 | ) | (9 | ) | (69 | ) | (236 | ) | ||||||||||||||
Foreign exchange transaction (gains) losses | (7 | ) | 9 | (10 | ) | 2 | (5 | ) | (6 | ) | 6 | |||||||||||||||||
Change in: | ||||||||||||||||||||||||||||
Receivables less allowances | (5 | ) | (18 | ) | (10 | ) | — | (19 | ) | (33 | ) | (53 | ) | |||||||||||||||
Receivable for taxes | (2 | ) | 18 | (1 | ) | 2 | (18 | ) | 17 | (37 | ) | |||||||||||||||||
Inventories | (40 | ) | 28 | (22 | ) | (20 | ) | (6 | ) | (54 | ) | (46 | ) | |||||||||||||||
Real estate and land | (55 | ) | 7 | (47 | ) | 20 | 37 | (75 | ) | (12 | ) | |||||||||||||||||
Prepaid expenses | (8 | ) | (12 | ) | 2 | 2 | 17 | (16 | ) | 3 | ||||||||||||||||||
Accounts payable and accrued liabilities | (56 | ) | 65 | 1 | (5 | ) | (59 | ) | 5 | (133 | ) | |||||||||||||||||
Deposits on land positions and other assets | — | 22 | (11 | ) | (7 | ) | 5 | 4 | (4 | ) | ||||||||||||||||||
Pension and postretirement contributions | (35 | ) | (33 | ) | (41 | ) | (36 | ) | (79 | ) | (145 | ) | (143 | ) | ||||||||||||||
Other | 17 | (1 | ) | 3 | (10 | ) | 4 | 9 | (1 | ) | ||||||||||||||||||
Net cash from operations | (60 | ) | 267 | 122 | 252 | 147 | 581 | 291 | ||||||||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||||||||||
Property and equipment | (54 | ) | (68 | ) | (75 | ) | (59 | ) | (76 | ) | (256 | ) | (212 | ) | ||||||||||||||
Timberlands reforestation | (10 | ) | (7 | ) | (5 | ) | (7 | ) | (6 | ) | (29 | ) | (29 | ) | ||||||||||||||
Proceeds from sale of assets | 6 | 18 | 12 | 44 | 9 | 80 | 362 | |||||||||||||||||||||
Proceeds of investments (payments of liabilities) held by special purpose entities | — | — | (97 | ) | 110 | — | 13 | — | ||||||||||||||||||||
Other | 1 | (1 | ) | (1 | ) | 1 | 7 | — | 1 | |||||||||||||||||||
Cash from investing activities | (57 | ) | (58 | ) | (166 | ) | 89 | (66 | ) | (192 | ) | 122 | ||||||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||||||||||
Cash dividends | (81 | ) | (80 | ) | (81 | ) | (92 | ) | (81 | ) | (334 | ) | (323 | ) | ||||||||||||||
Change in book overdrafts | (29 | ) | 9 | (12 | ) | — | 28 | (32 | ) | 2 | ||||||||||||||||||
Payments on debt | (2 | ) | (4 | ) | (181 | ) | — | (33 | ) | (187 | ) | (583 | ) | |||||||||||||||
Exercises of stock options | 5 | 2 | 66 | 39 | 1 | 112 | 38 | |||||||||||||||||||||
Repurchase of common stock | — | — | — | — | (13 | ) | — | (37 | ) | |||||||||||||||||||
Other | (1 | ) | (3 | ) | (1 | ) | 2 | (1 | ) | (3 | ) | (24 | ) | |||||||||||||||
Cash from financing activities | (108 | ) | (76 | ) | (209 | ) | (51 | ) | (99 | ) | (444 | ) | (927 | ) | ||||||||||||||
Net change in cash and cash equivalents | (225 | ) | 133 | (253 | ) | 290 | (18 | ) | (55 | ) | (514 | ) | ||||||||||||||||
Cash and cash equivalents at beginning of period | 953 | 728 | 861 | 608 | 971 | 953 | 1,467 | |||||||||||||||||||||
Cash and cash equivalents at end of period | $ | 728 | $ | 861 | $ | 608 | $ | 898 | $ | 953 | $ | 898 | $ | 953 | ||||||||||||||
Cash paid (received) during the year for: | ||||||||||||||||||||||||||||
Interest, net of amount capitalized | $ | 116 | $ | 57 | $ | 117 | $ | 51 | $ | 58 | $ | 341 | $ | 420 | ||||||||||||||
Income taxes | $ | (10 | ) | $ | (5 | ) | $ | 1 | $ | 1 | $ | 7 | $ | (13 | ) | $ | 28 | |||||||||||
Page 3 of 9
Weyerhaeuser Company | Total Company Statistics | |||||||||||||||||||||||||||
Q4.2012 Analyst Package | ||||||||||||||||||||||||||||
Preliminary results, subject to audit | ||||||||||||||||||||||||||||
Special Items Included in Net Earnings | ||||||||||||||||||||||||||||
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2012 | Jun 30, 2012 | Sep 30, 2012 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2012 | Dec 31, 2011 | ||||||||||||||||||||||
Net earnings | $ | 41 | $ | 84 | $ | 117 | $ | 143 | $ | 65 | $ | 385 | $ | 331 | ||||||||||||||
Income tax adjustments | — | — | — | — | — | — | (83 | ) | ||||||||||||||||||||
Gain on sale of 82,000 acres of non-strategic timberlands | — | — | — | — | — | — | (96 | ) | ||||||||||||||||||||
Loss on early extinguishment of debt | — | — | — | — | — | — | 16 | |||||||||||||||||||||
Restructuring, impairments and other charges | 10 | — | — | — | 12 | 10 | 36 | |||||||||||||||||||||
Gain on postretirement plan amendment | (34 | ) | (33 | ) | — | — | — | (67 | ) | — | ||||||||||||||||||
Gain on sale of properties | — | (4 | ) | — | — | — | (4 | ) | (9 | ) | ||||||||||||||||||
Tax settlements | (8 | ) | — | — | — | — | (8 | ) | — | |||||||||||||||||||
Charges related to the sale of hardwoods | — | — | — | — | — | — | 14 | |||||||||||||||||||||
Gain on sale of Westwood Shipping Lines | — | — | — | — | — | — | (31 | ) | ||||||||||||||||||||
Net earnings before special items | $ | 9 | $ | 47 | $ | 117 | $ | 143 | $ | 77 | $ | 316 | $ | 178 | ||||||||||||||
Q1 | Q2 | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||
Mar 31, 2012 | Jun 30, 2012 | Sep 30, 2012 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2012 | Dec 31, 2011 | ||||||||||||||||||||||
Net earnings per diluted share | $ | 0.08 | $ | 0.16 | $ | 0.22 | $ | 0.26 | $ | 0.12 | $ | 0.71 | $ | 0.61 | ||||||||||||||
Income tax adjustments | — | — | — | — | — | — | (0.15 | ) | ||||||||||||||||||||
Gain on sale of 82,000 acres of non-strategic timberlands | — | — | — | — | — | — | (0.18 | ) | ||||||||||||||||||||
Loss on early extinguishment of debt | — | — | — | — | — | — | 0.03 | |||||||||||||||||||||
Restructuring, impairments and other charges | 0.02 | — | — | — | 0.02 | 0.02 | 0.07 | |||||||||||||||||||||
Gain on postretirement plan amendment | (0.06 | ) | (0.06 | ) | — | — | — | (0.12 | ) | — | ||||||||||||||||||
Gain on sale of properties | — | (0.01 | ) | — | — | — | (0.01 | ) | (0.02 | ) | ||||||||||||||||||
Tax settlements | (0.02 | ) | — | — | — | — | (0.02 | ) | — | |||||||||||||||||||
Charges related to the sale of hardwoods | — | — | — | — | — | — | 0.03 | |||||||||||||||||||||
Gain on sale of Westwood Shipping Lines | — | — | — | — | — | — | (0.06 | ) | ||||||||||||||||||||
Net earnings before special items per diluted share | $ | 0.02 | $ | 0.09 | $ | 0.22 | $ | 0.26 | $ | 0.14 | $ | 0.58 | $ | 0.33 | ||||||||||||||
Selected Total Company Items, Excluding Discontinued Operations | ||||||||||||||||||||||||||||
in millions | Q1 | Q2 | Q3 | Q4 | Year-to-date | |||||||||||||||||||||||
Mar 31, 2012 | Jun 30, 2012 | Sep 30, 2012 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2012 | Dec 31, 2011 | ||||||||||||||||||||||
Depreciation, depletion and amortization: | ||||||||||||||||||||||||||||
Cost of products sold | $ | 102 | $ | 103 | $ | 102 | $ | 109 | $ | 104 | $ | 416 | $ | 422 | ||||||||||||||
Selling, general and administrative expenses | 11 | 10 | 10 | 9 | 13 | 40 | 54 | |||||||||||||||||||||
Total depreciation, depletion and amortization | $ | 113 | $ | 113 | $ | 112 | $ | 118 | $ | 117 | $ | 456 | $ | 476 | ||||||||||||||
Pension and postretirement costs: | ||||||||||||||||||||||||||||
Pension and postretirement costs allocated to business segments | $ | 13 | $ | 14 | $ | 12 | $ | 12 | $ | 12 | $ | 51 | $ | 46 | ||||||||||||||
Pension and postretirement costs not allocated | 7 | 7 | 7 | 8 | 5 | 29 | 26 | |||||||||||||||||||||
Total company pension and postretirement costs | $ | 20 | $ | 21 | $ | 19 | $ | 20 | $ | 17 | $ | 80 | $ | 72 | ||||||||||||||
Total decrease (increase) in Forest Products working capital (1) | $ | (148 | ) | $ | 103 | $ | (29 | ) | $ | (85 | ) | $ | (41 | ) | $ | (159 | ) | $ | (211 | ) | ||||||||
Cash spent for capital expenditures | $ | (64 | ) | $ | (75 | ) | $ | (80 | ) | $ | (66 | ) | $ | (82 | ) | $ | (285 | ) | $ | (238 | ) | |||||||
(1) Working capital does not include cash balances. | ||||||||||||||||||||||||||||
Page 4 of 9
Weyerhaeuser Company | Timberlands Segment | |||||||||||||||||||||||||||
Q4.2012 Analyst Package | ||||||||||||||||||||||||||||
Preliminary results, subject to audit | ||||||||||||||||||||||||||||
Segment Statement of Operations | ||||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Sales to and revenues from unaffiliated customers | $ | 250 | $ | 262 | $ | 267 | $ | 298 | $ | 274 | $ | 1,077 | $ | 1,044 | ||||||||||||||
Intersegment sales | 190 | 146 | 162 | 185 | 167 | 683 | 646 | |||||||||||||||||||||
Total net sales and revenues | 440 | 408 | 429 | 483 | 441 | 1,760 | 1,690 | |||||||||||||||||||||
Cost of products sold | 353 | 313 | 336 | 374 | 358 | 1,376 | 1,290 | |||||||||||||||||||||
Gross margin | 87 | 95 | 93 | 109 | 83 | 384 | 400 | |||||||||||||||||||||
Selling expenses | 2 | 2 | 3 | 2 | 3 | 9 | 10 | |||||||||||||||||||||
General and administrative expenses | 23 | 21 | 21 | 20 | 18 | 85 | 81 | |||||||||||||||||||||
Research and development expenses | 4 | 5 | 4 | 6 | 6 | 19 | 18 | |||||||||||||||||||||
Restructuring, closures and impairments | — | — | — | 2 | — | 2 | — | |||||||||||||||||||||
Other operating income, net | (11 | ) | (10 | ) | (14 | ) | (14 | ) | (14 | ) | (49 | ) | (196 | ) | ||||||||||||||
Operating income | 69 | 77 | 79 | 93 | 70 | 318 | 487 | |||||||||||||||||||||
Interest income and other | 1 | — | 1 | 1 | 1 | 3 | 4 | |||||||||||||||||||||
Loss attributable to noncontrolling interest | — | — | — | 1 | — | 1 | — | |||||||||||||||||||||
Net contribution to earnings (see note 1 on page 9) | $ | 70 | $ | 77 | $ | 80 | $ | 95 | $ | 71 | $ | 322 | $ | 491 | ||||||||||||||
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization, Excluding Special Items* | ||||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Operating income | $ | 69 | $ | 77 | $ | 79 | $ | 93 | $ | 70 | $ | 318 | $ | 487 | ||||||||||||||
Depreciation, depletion and amortization | 35 | 34 | 35 | 38 | 35 | 142 | 137 | |||||||||||||||||||||
Special items | — | — | — | — | — | — | (152 | ) | ||||||||||||||||||||
Adjusted EBITDA, excluding special items* | $ | 104 | $ | 111 | $ | 114 | $ | 131 | $ | 105 | $ | 460 | $ | 472 | ||||||||||||||
* Non-GAAP measure - see page 9 for definition. | ||||||||||||||||||||||||||||
Segment Special Items Included in Net Contribution to Earnings (Pre-Tax) | ||||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||||
Gain on sale of 82,000 acres of non-strategic timberlands | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 152 | ||||||||||||||
Selected Segment Items | ||||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||||
Total decrease (increase) in working capital (1) | $ | (9 | ) | $ | 6 | $ | 19 | $ | (37 | ) | $ | (6 | ) | $ | (21 | ) | $ | (26 | ) | |||||||||
Cash spent for capital expenditures | $ | (12 | ) | $ | (15 | ) | $ | (17 | ) | $ | (16 | ) | $ | (13 | ) | $ | (60 | ) | $ | (53 | ) | |||||||
(1) Working capital does not include cash balances. | ||||||||||||||||||||||||||||
Segment Statistics | ||||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||||
Third Party Net Sales and Revenue (millions) | Logs: | |||||||||||||||||||||||||||
West | $ | 130 | $ | 146 | $ | 132 | $ | 151 | $ | 139 | $ | 559 | $ | 545 | ||||||||||||||
South | 50 | 56 | 60 | 67 | 53 | 233 | 196 | |||||||||||||||||||||
Canada | 7 | 2 | 5 | 5 | 5 | 19 | 17 | |||||||||||||||||||||
Total Logs | 187 | 204 | 197 | 223 | 197 | 811 | 758 | |||||||||||||||||||||
Pay as cut timber sales | 11 | 9 | 8 | 9 | 9 | 37 | 34 | |||||||||||||||||||||
Timberlands exchanges | 8 | 7 | 24 | 20 | 15 | 59 | 77 | |||||||||||||||||||||
Higher and better use land sales | 4 | 5 | 4 | 9 | 14 | 22 | 25 | |||||||||||||||||||||
Minerals, oil and gas | 7 | 7 | 8 | 9 | 10 | 31 | 53 | |||||||||||||||||||||
Products from international operations | 25 | 29 | 26 | 26 | 27 | 106 | 86 | |||||||||||||||||||||
Other products | 8 | 1 | — | 2 | 2 | 11 | 11 | |||||||||||||||||||||
Total | $ | 250 | $ | 262 | $ | 267 | $ | 298 | $ | 274 | $ | 1,077 | $ | 1,044 | ||||||||||||||
Logs Third Party Sales Realizations (per cubic meter) | West | $ | 99.10 | $ | 94.47 | $ | 89.28 | $ | 96.46 | $ | 99.71 | $ | 94.72 | $ | 103.57 | |||||||||||||
South | $ | 40.48 | $ | 41.15 | $ | 42.04 | $ | 43.30 | $ | 39.82 | $ | 41.83 | $ | 40.10 | ||||||||||||||
Canada | $ | 36.35 | $ | 34.66 | $ | 35.23 | $ | 38.70 | $ | 34.04 | $ | 36.51 | $ | 34.65 | ||||||||||||||
International | $ | 22.97 | $ | 23.53 | $ | 23.76 | $ | 24.30 | $ | 17.03 | $ | 23.66 | $ | 28.11 | ||||||||||||||
Logs Third Party Sales Volumes (cubic meters, thousands) | West | 1,308 | 1,551 | 1,480 | 1,559 | 1,396 | 5,898 | 5,267 | ||||||||||||||||||||
South | 1,228 | 1,354 | 1,430 | 1,563 | 1,327 | 5,575 | 4,879 | |||||||||||||||||||||
Canada | 205 | 54 | 133 | 139 | 146 | 531 | 479 | |||||||||||||||||||||
International | 78 | 82 | 99 | 84 | 75 | 343 | 314 | |||||||||||||||||||||
Total | 2,819 | 3,041 | 3,142 | 3,345 | 2,944 | 12,347 | 10,939 | |||||||||||||||||||||
Logs Fee Harvest Volumes (cubic meters, thousands) | West | 1,679 | 1,831 | 1,784 | 1,876 | 1,633 | 7,170 | 6,595 | ||||||||||||||||||||
South | 2,714 | 2,788 | 2,809 | 3,177 | 2,668 | 11,488 | 9,738 | |||||||||||||||||||||
International | 172 | 161 | 198 | 232 | 265 | 763 | 854 | |||||||||||||||||||||
Total | 4,565 | 4,780 | 4,791 | 5,285 | 4,566 | 19,421 | 17,187 | |||||||||||||||||||||
Page 5 of 9
Weyerhaeuser Company | Wood Products Segment | |||||||||||||||||||||||||||
Q4.2012 Analyst Package | ||||||||||||||||||||||||||||
Preliminary results, subject to audit | ||||||||||||||||||||||||||||
Segment Statement of Operations | ||||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Sales to and revenues from unaffiliated customers | $ | 634 | $ | 776 | $ | 816 | $ | 832 | $ | 542 | $ | 3,058 | $ | 2,276 | ||||||||||||||
Intersegment sales | 20 | 20 | 18 | 16 | 19 | 74 | 80 | |||||||||||||||||||||
Total net sales and revenues | 654 | 796 | 834 | 848 | 561 | 3,132 | 2,356 | |||||||||||||||||||||
Cost of products sold | 611 | 708 | 713 | 748 | 573 | 2,780 | 2,359 | |||||||||||||||||||||
Gross margin | 43 | 88 | 121 | 100 | (12 | ) | 352 | (3 | ) | |||||||||||||||||||
Selling expenses | 21 | 21 | 23 | 24 | 19 | 89 | 79 | |||||||||||||||||||||
General and administrative expenses | 29 | 29 | 31 | 34 | 27 | 123 | 113 | |||||||||||||||||||||
Research and development expenses | 1 | 1 | 2 | 1 | 1 | 5 | 4 | |||||||||||||||||||||
Charges for restructuring, closures and impairments | 1 | 2 | 2 | 1 | 20 | 6 | 64 | |||||||||||||||||||||
Other operating costs (income), net | 5 | (1 | ) | 4 | 2 | (2 | ) | 10 | (17 | ) | ||||||||||||||||||
Operating income (loss) | (14 | ) | 36 | 59 | 38 | (77 | ) | 119 | (246 | ) | ||||||||||||||||||
Interest income and other | 1 | — | — | — | — | 1 | 3 | |||||||||||||||||||||
Net contribution to earnings from continuing operations | (13 | ) | 36 | 59 | 38 | (77 | ) | 120 | (243 | ) | ||||||||||||||||||
Net contribution to earnings from discontinued hardwoods operations | — | — | — | — | — | — | (25 | ) | ||||||||||||||||||||
Net contribution to earnings (see note 1 on page 9) | $ | (13 | ) | $ | 36 | $ | 59 | $ | 38 | $ | (77 | ) | $ | 120 | $ | (268 | ) | |||||||||||
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization, Excluding Special Items* | ||||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Operating income (loss) | $ | (14 | ) | $ | 36 | $ | 59 | $ | 38 | $ | (77 | ) | $ | 119 | $ | (246 | ) | |||||||||||
Depreciation, depletion and amortization | 34 | 33 | 33 | 33 | 35 | 133 | 151 | |||||||||||||||||||||
Special items | — | (6 | ) | — | — | 19 | (6 | ) | 52 | |||||||||||||||||||
Adjusted EBITDA, excluding special items* | $ | 20 | $ | 63 | $ | 92 | $ | 71 | $ | (23 | ) | $ | 246 | $ | (43 | ) | ||||||||||||
* Non-GAAP measure - see page 9 for definition. | ||||||||||||||||||||||||||||
Segment Special Items Included in Net Contribution to Earnings (Pre-Tax) | ||||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||||
Gain on sale of property | $ | — | $ | 6 | $ | — | $ | — | $ | — | $ | 6 | $ | 5 | ||||||||||||||
Charges for restructuring and impairments | — | — | — | — | (19 | ) | — | (57 | ) | |||||||||||||||||||
Total special items from continuing operations | — | 6 | — | — | (19 | ) | 6 | (52 | ) | |||||||||||||||||||
Charges related to sale of discontinued hardwoods operations | — | — | — | — | — | — | (22 | ) | ||||||||||||||||||||
Total | $ | — | $ | 6 | $ | — | $ | — | $ | (19 | ) | $ | 6 | $ | (74 | ) | ||||||||||||
Selected Segment Items | ||||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||||
Total decrease (increase) in working capital (1) | $ | (112 | ) | $ | 5 | $ | (21 | ) | $ | 9 | $ | 18 | $ | (119 | ) | $ | (23 | ) | ||||||||||
Cash spent for capital expenditures | $ | (6 | ) | $ | (15 | ) | $ | (16 | ) | $ | (19 | ) | $ | (14 | ) | $ | (56 | ) | $ | (35 | ) | |||||||
(1) Working capital does not include cash balances. | ||||||||||||||||||||||||||||
Segment Statistics | ||||||||||||||||||||||||||||
in millions, except for third-party sales realizations | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Structural Lumber (board feet) | Third Party Net Sales and Revenue | $ | 291 | $ | 370 | $ | 363 | $ | 376 | $ | 256 | $ | 1,400 | $ | 1,087 | |||||||||||||
Third Party Sales Realizations | $ | 311 | $ | 350 | $ | 359 | $ | 366 | $ | 296 | $ | 347 | $ | 303 | ||||||||||||||
Third Party Sales Volumes | 937 | 1,056 | 1,013 | 1,025 | 863 | 4,031 | 3,586 | |||||||||||||||||||||
Production Volumes | 958 | 1,004 | 945 | 939 | 842 | 3,846 | 3,528 | |||||||||||||||||||||
Engineered Solid Section (cubic feet) | Third Party Net Sales and Revenue | $ | 65 | $ | 70 | $ | 76 | $ | 68 | $ | 55 | $ | 279 | $ | 235 | |||||||||||||
Third Party Sales Realizations | $ | 1,830 | $ | 1,789 | $ | 1,800 | $ | 1,817 | $ | 1,783 | $ | 1,808 | $ | 1,920 | ||||||||||||||
Third Party Sales Volumes | 3.6 | 3.9 | 4.2 | 3.7 | 3.1 | 15.4 | 12.3 | |||||||||||||||||||||
Production Volumes | 3.7 | 3.8 | 4.3 | 3.6 | 2.7 | 15.4 | 13.4 | |||||||||||||||||||||
Engineered I-joists (lineal feet) | Third Party Net Sales and Revenue | $ | 41 | $ | 49 | $ | 53 | $ | 47 | $ | 37 | $ | 190 | $ | 161 | |||||||||||||
Third Party Sales Realizations | $ | 1,285 | $ | 1,211 | $ | 1,248 | $ | 1,265 | $ | 1,258 | $ | 1,250 | $ | 1,264 | ||||||||||||||
Third Party Sales Volumes | 32 | 40 | 43 | 37 | 30 | 152 | 128 | |||||||||||||||||||||
Production Volumes | 34 | 37 | 39 | 37 | 26 | 147 | 122 | |||||||||||||||||||||
Oriented Strand Board (square feet 3/8') | Third Party Net Sales and Revenue | $ | 111 | $ | 138 | $ | 169 | $ | 194 | $ | 90 | $ | 612 | $ | 354 | |||||||||||||
Third Party Sales Realizations | $ | 197 | $ | 214 | $ | 268 | $ | 290 | $ | 173 | $ | 244 | $ | 179 | ||||||||||||||
Third Party Sales Volumes | 565 | 643 | 630 | 670 | 516 | 2,508 | 1,977 | |||||||||||||||||||||
Production Volumes | 601 | 626 | 642 | 642 | 541 | 2,511 | 2,127 | |||||||||||||||||||||
Softwood Plywood (square feet 3/8') | Third Party Net Sales and Revenue | $ | 23 | $ | 26 | $ | 34 | $ | 32 | $ | 18 | $ | 115 | $ | 66 | |||||||||||||
Third Party Sales Realizations | $ | 309 | $ | 332 | $ | 356 | $ | 347 | $ | 274 | $ | 338 | $ | 264 | ||||||||||||||
Third Party Sales Volumes | 73 | 81 | 95 | 91 | 65 | 340 | 249 | |||||||||||||||||||||
Production Volumes | 51 | 50 | 54 | 59 | 47 | 214 | 197 | |||||||||||||||||||||
Page 6 of 9
Weyerhaeuser Company | Cellulose Fibers Segment | |||||||||||||||||||||||||||
Q4.2012 Analyst Package | ||||||||||||||||||||||||||||
Preliminary results, subject to audit | ||||||||||||||||||||||||||||
Segment Statement of Operations | ||||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Total net sales and revenues | $ | 473 | $ | 459 | $ | 459 | $ | 463 | $ | 523 | $ | 1,854 | $ | 2,058 | ||||||||||||||
Cost of products sold | 407 | 404 | 364 | 385 | 368 | 1,560 | 1,524 | |||||||||||||||||||||
Gross margin | 66 | 55 | 95 | 78 | 155 | 294 | 534 | |||||||||||||||||||||
Selling expenses | 4 | 5 | 4 | 5 | 5 | 18 | 18 | |||||||||||||||||||||
General and administrative expenses | 20 | 17 | 19 | 18 | 19 | 74 | 76 | |||||||||||||||||||||
Research and development expenses | 2 | 2 | 2 | 2 | 2 | 8 | 8 | |||||||||||||||||||||
Charges for restructuring, closures and impairments | — | — | — | — | 1 | — | 1 | |||||||||||||||||||||
Other operating income, net | (9 | ) | (4 | ) | (5 | ) | (6 | ) | (7 | ) | (24 | ) | (19 | ) | ||||||||||||||
Operating income | 49 | 35 | 75 | 59 | 135 | 218 | 450 | |||||||||||||||||||||
Interest income and other | (1 | ) | 1 | 3 | 2 | 1 | 5 | 2 | ||||||||||||||||||||
Net contribution to earnings (see note 1 on page 9) | $ | 48 | $ | 36 | $ | 78 | $ | 61 | $ | 136 | $ | 223 | $ | 452 | ||||||||||||||
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization, Excluding Special Items* | ||||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Operating income | $ | 49 | $ | 35 | $ | 75 | $ | 59 | $ | 135 | $ | 218 | $ | 450 | ||||||||||||||
Depreciation, depletion and amortization | 37 | 36 | 37 | 40 | 37 | 150 | 147 | |||||||||||||||||||||
Adjusted EBITDA, excluding special items* | $ | 86 | $ | 71 | $ | 112 | $ | 99 | $ | 172 | $ | 368 | $ | 597 | ||||||||||||||
* Non-GAAP measure - see page 9 for definition. | ||||||||||||||||||||||||||||
Selected Segment Items | ||||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||||
Total decrease (increase) in working capital (1) | $ | 45 | $ | 24 | $ | (20 | ) | $ | (30 | ) | $ | (28 | ) | $ | 19 | $ | (65 | ) | ||||||||||
Cash spent for capital expenditures | $ | (45 | ) | $ | (44 | ) | $ | (45 | ) | $ | (26 | ) | $ | (54 | ) | $ | (160 | ) | $ | (146 | ) | |||||||
(1) Working capital does not include cash balances. | ||||||||||||||||||||||||||||
Segment Statistics | ||||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||||
Pulp (air-dry metric tons) | Third Party Net Sales and Revenue (millions) | $ | 367 | $ | 348 | $ | 354 | $ | 364 | $ | 419 | $ | 1,433 | $ | 1,617 | |||||||||||||
Third Party Sales Realizations | $ | 818 | $ | 819 | $ | 818 | $ | 799 | $ | 895 | $ | 813 | $ | 921 | ||||||||||||||
Third Party Sales Volumes (thousands) | 449 | 425 | 432 | 456 | 468 | 1,762 | 1,756 | |||||||||||||||||||||
Production Volumes (thousands) | 438 | 417 | 453 | 465 | 460 | 1,773 | 1,769 | |||||||||||||||||||||
Liquid Packaging Board (tons) | Third Party Net Sales and Revenue (millions) | $ | 83 | $ | 90 | $ | 84 | $ | 75 | $ | 81 | $ | 332 | $ | 346 | |||||||||||||
Third Party Sales Realizations | $ | 1,181 | $ | 1,176 | $ | 1,155 | $ | 1,085 | $ | 1,151 | $ | 1,150 | $ | 1,165 | ||||||||||||||
Third Party Sales Volumes (thousands) | 70 | 76 | 74 | 69 | 70 | 289 | 297 | |||||||||||||||||||||
Production Volumes (thousands) | 65 | 78 | 77 | 72 | 79 | 292 | 307 | |||||||||||||||||||||
Page 7 of 9
Weyerhaeuser Company | Real Estate Segment | ||||||||||||||||||||||||||
Q4.2012 Analyst Package | |||||||||||||||||||||||||||
Preliminary results, subject to audit | |||||||||||||||||||||||||||
Segment Statement of Operations | |||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||
Total net sales and revenues | $ | 137 | $ | 296 | $ | 230 | $ | 407 | $ | 276 | $ | 1,070 | $ | 838 | |||||||||||||
Cost of products sold | 113 | 248 | 175 | 276 | 191 | 812 | 628 | ||||||||||||||||||||
Gross margin | 24 | 48 | 55 | 131 | 85 | 258 | 210 | ||||||||||||||||||||
Selling expenses | 15 | 19 | 19 | 25 | 18 | 78 | 71 | ||||||||||||||||||||
General and administrative expenses | 17 | 15 | 17 | 27 | 19 | 76 | 73 | ||||||||||||||||||||
Charges for restructuring, closures and impairments | 1 | 1 | 3 | 1 | 10 | 6 | 14 | ||||||||||||||||||||
Other operating income, net | — | (1 | ) | — | (1 | ) | (1 | ) | (2 | ) | (1 | ) | |||||||||||||||
Operating income (loss) | (9 | ) | 14 | 16 | 79 | 39 | 100 | 53 | |||||||||||||||||||
Interest income and other | 1 | 1 | 1 | 2 | 2 | 5 | 5 | ||||||||||||||||||||
Net contribution to earnings | $ | (8 | ) | $ | 15 | $ | 17 | $ | 81 | $ | 41 | $ | 105 | $ | 58 | ||||||||||||
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization, Excluding Special Items* | |||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||
Operating income (loss) | $ | (9 | ) | $ | 14 | $ | 16 | $ | 79 | $ | 39 | $ | 100 | $ | 53 | ||||||||||||
Depreciation, depletion and amortization | 2 | 3 | 3 | 4 | 4 | 12 | 13 | ||||||||||||||||||||
Capitalized interest included in cost of products sold | 3 | 14 | 5 | 8 | 10 | 30 | 23 | ||||||||||||||||||||
Adjusted EBITDA, excluding special items* | $ | (4 | ) | $ | 31 | $ | 24 | $ | 91 | $ | 53 | $ | 142 | $ | 89 | ||||||||||||
* Non-GAAP measure - see page 9 for definition. | |||||||||||||||||||||||||||
Selected Segment Items | |||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Cash from operations | $ | (32 | ) | $ | 43 | $ | (24 | ) | $ | 77 | $ | 43 | $ | 64 | $ | 18 | |||||||||||
Cash spent for capital expenditures | $ | (1 | ) | $ | — | $ | (1 | ) | $ | (2 | ) | $ | (1 | ) | $ | (4 | ) | $ | (3 | ) | |||||||
Segment Statistics | |||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Net sales and revenues: | |||||||||||||||||||||||||||
Single-family housing | $ | 131 | $ | 190 | $ | 229 | $ | 320 | $ | 232 | $ | 870 | $ | 768 | |||||||||||||
Land | 3 | 105 | 1 | 84 | 44 | 193 | 67 | ||||||||||||||||||||
Other | 3 | 1 | — | 3 | — | 7 | 3 | ||||||||||||||||||||
Total net sales and revenue | $ | 137 | $ | 296 | $ | 230 | $ | 407 | $ | 276 | $ | 1,070 | $ | 838 | |||||||||||||
Single-family homes sold | 697 | 764 | 637 | 561 | 406 | 2,659 | 1,902 | ||||||||||||||||||||
Single-family homes closed | 349 | 508 | 615 | 842 | 582 | 2,314 | 1,912 | ||||||||||||||||||||
Single-family homes sold but not closed (backlog) | 777 | 1,033 | 1,055 | 774 | 429 | 774 | 429 | ||||||||||||||||||||
Single-family cancellation rate | 10.1 | % | 15.4 | % | 18.3 | % | 15.9 | % | 18.1 | % | 14.9 | % | 15.7 | % | |||||||||||||
Single-family buyer traffic | 14,272 | 17,677 | 17,894 | 14,567 | 10,533 | 64,410 | 50,125 | ||||||||||||||||||||
Single-family average price of homes closed (in thousands) | $ | 376 | $ | 374 | $ | 372 | $ | 381 | $ | 398 | $ | 376 | $ | 402 | |||||||||||||
Single-family home gross margin - excluding impairments (1) | 17.3 | % | 19.5 | % | 24.3 | % | 20.2 | % | 25.4 | % | 20.7 | % | 23.3 | % | |||||||||||||
(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 | Unallocated Items | ||||||||||||||||||||||||||
Q4.2012 Analyst Package | |||||||||||||||||||||||||||
Preliminary results, subject to audit | |||||||||||||||||||||||||||
Unallocated items are gains or charges not related to or allocated to an individual operating segment. They include a portion of items such as: share-based compensation; pension and postretirement costs; foreign exchange transaction gains and losses associated with financing; and the elimination of intersegment profit in inventory and the LIFO reserve. | |||||||||||||||||||||||||||
Contribution to Earnings | |||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||
Unallocated corporate function expenses | $ | (6 | ) | $ | (3 | ) | $ | (5 | ) | $ | (8 | ) | $ | (8 | ) | $ | (22 | ) | $ | (44 | ) | ||||||
Unallocated share-based compensation | (5 | ) | (1 | ) | (7 | ) | (3 | ) | (6 | ) | (16 | ) | (5 | ) | |||||||||||||
Unallocated pension & postretirement costs | (7 | ) | (7 | ) | (7 | ) | (8 | ) | (5 | ) | (29 | ) | (26 | ) | |||||||||||||
Foreign exchange gains (losses) | 6 | (8 | ) | 11 | (2 | ) | 4 | 7 | (5 | ) | |||||||||||||||||
Elimination of intersegment profit in inventory and LIFO (1) | (12 | ) | (2 | ) | (10 | ) | 8 | (6 | ) | (16 | ) | (25 | ) | ||||||||||||||
Other | 30 | 35 | (9 | ) | — | (15 | ) | 56 | (45 | ) | |||||||||||||||||
Operating income (loss) | 6 | 14 | (27 | ) | (13 | ) | (36 | ) | (20 | ) | (150 | ) | |||||||||||||||
Interest income and other | 10 | 9 | 10 | 9 | 8 | 38 | 33 | ||||||||||||||||||||
Net contribution to earnings from continuing operations | 16 | 23 | (17 | ) | (4 | ) | (28 | ) | 18 | (117 | ) | ||||||||||||||||
Net contribution to earnings from discontinued operations | — | — | — | — | — | — | 45 | ||||||||||||||||||||
Net contribution to earnings | $ | 16 | $ | 23 | $ | (17 | ) | $ | (4 | ) | $ | (28 | ) | $ | 18 | $ | (72 | ) | |||||||||
(1) We now report the elimination of intersegment profit on inventory and the LIFO reserve in Unallocated Items. Previously these company-level adjustments were recorded in the business segments. This provides a better understanding of business operating results. Prior period results have been adjusted to reflect the change. | |||||||||||||||||||||||||||
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization, Excluding Special Items* | |||||||||||||||||||||||||||
in millions | Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | ||||||||||||||||||||
Operating income (loss) | $ | 6 | $ | 14 | $ | (27 | ) | $ | (13 | ) | $ | (36 | ) | $ | (20 | ) | $ | (150 | ) | ||||||||
Depreciation, depletion and amortization | 5 | 7 | 4 | 3 | 6 | 19 | 28 | ||||||||||||||||||||
Non-operating pension and postretirement costs | 7 | 7 | 7 | 8 | 5 | 29 | 26 | ||||||||||||||||||||
Special items | (38 | ) | (51 | ) | — | — | — | (89 | ) | — | |||||||||||||||||
Capitalized interest included in cost of products sold | — | 5 | 1 | 1 | 2 | 7 | 6 | ||||||||||||||||||||
Adjusted EBITDA, excluding special items* | $ | (20 | ) | $ | (18 | ) | $ | (15 | ) | $ | (1 | ) | $ | (23 | ) | $ | (54 | ) | $ | (90 | ) | ||||||
* Non-GAAP measure - see below for definition. | |||||||||||||||||||||||||||
Unallocated Special Items Included in Net Contribution to Earnings (Pre-Tax) | |||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Gain on postretirement plan amendment | $ | 52 | $ | 51 | $ | — | $ | — | $ | — | $ | 103 | $ | — | |||||||||||||
Restructuring, impairments and other charges | (14 | ) | — | — | — | — | (14 | ) | — | ||||||||||||||||||
Total special items from continuing operations | 38 | 51 | — | — | — | 89 | — | ||||||||||||||||||||
Gain on sale of property | — | — | — | — | — | — | 9 | ||||||||||||||||||||
Gain on sale of Westwood Shipping Lines | — | — | — | — | — | — | 49 | ||||||||||||||||||||
Total | $ | 38 | $ | 51 | $ | — | $ | — | $ | — | $ | 89 | $ | 58 | |||||||||||||
Unallocated Selected Items | |||||||||||||||||||||||||||
Q1.2012 | Q2.2012 | Q3.2012 | Q4.2012 | Q4.2011 | YTD.2012 | YTD.2011 | |||||||||||||||||||||
Total decrease (increase) in working capital (1) | $ | (72 | ) | $ | 68 | $ | (7 | ) | $ | (27 | ) | $ | (25 | ) | $ | (38 | ) | $ | (97 | ) | |||||||
Cash spent for capital expenditures | $ | — | $ | (1 | ) | $ | (1 | ) | $ | (3 | ) | $ | — | $ | (5 | ) | $ | (1 | ) | ||||||||
(1) Working capital does not include cash balances. | |||||||||||||||||||||||||||
*Adjusted EBITDA, excluding special items is a non-GAAP measure that management uses to evaluate the performance of the company. Adjusted EBITDA, as we define it, is operating income from continuing operations adjusted for depreciation, depletion, amortization, pension and postretirement costs not allocated to business segments (primarily interest cost, expected return on plan assets, amortization of actuarial loss and amortization of prior service cost/credit), special items and interest included in cost of products sold. Adjusted EBITDA should not be considered in isolation from and is not intended to represent an alternative to our GAAP results. | |||||||||||||||||||||||||||
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