Weyerhaeuser (WY) 8-K Weyerhaeuser Reports Third Quarter Results

Weyerhaeuser Company										Exhibit 99.2
Q3.2014 Analyst Package
Preliminary results, subject to audit
Consolidated Statement of Operations
in millions	Q2			Q3						Year-to-date
	June 30, 2014			September 30, 2014			September 30, 2013			September 30, 2014			September 30, 2013
Net Sales	$	1,964		$	1,915		$	1,857		$	5,615		$	5,486
Cost of products sold	1,499			1,504			1,479			4,364			4,304
Gross margin	465			411			378			1,251			1,182
Selling expenses	27			28			32			83			96
General and administrative expenses	88			73			98			249			299
Research and development expenses	7			5			8			19			23
Charges for restructuring, closures and impairments	8			10			1			37			7
Other operating income, net	(65		)	(23		)	(4		)	(163		)	(32		)
Operating income	400			318			243			1,026			789
Interest income and other	11			7			21			27			39
Interest expense, net of capitalized interest	(83		)	(88		)	(94		)	(254		)	(256		)
Earnings from continuing operations before income taxes	328			237			170			799			572
Income taxes	(59		)	(39		)	(24		)	(148		)	(99		)
Earnings from continuing operations	269			198			146			651			473
Earnings from discontinued operations, net of income taxes	22			966			21			998			36
Net earnings	291			1,164			167			1,649			509
Dividends on preference shares	(11		)	(11		)	(10		)	(33		)	(12		)
Net earnings attributable to Weyerhaeuser common shareholders	$	280		$	1,153		$	157		$	1,616		$	497
Per Share Information
	Q2			Q3						Year-to-date
	June 30, 2014			September 30, 2014			September 30, 2013			September 30, 2014			September 30, 2013
Earnings per share attributable to Weyerhaeuser common shareholders, basic:
Continuing operations	$	0.44		$	0.35		$	0.23		$	1.09		$	0.83
Discontinued operations	0.04			1.82			0.04			1.76			0.06
Net earnings per share	$	0.48		$	2.17		$	0.27		$	2.85		$	0.89
Earnings per share attributable to Weyerhaeuser common shareholders, diluted:
Continuing operations	$	0.43		$	0.35		$	0.23		$	1.08		$	0.82
Discontinued operations	0.04			1.80			0.04			1.75			0.06
Net earnings per share	$	0.47		$	2.15		$	0.27		$	2.83		$	0.88
Dividends paid per common share	$	0.22		$	0.29		$	0.22		$	0.73		$	0.59
Weighted average shares outstanding (in thousands):
Basic	586,061			531,913			582,828			567,436			560,505
Diluted	589,766			536,012			587,179			571,503			565,383
Common shares outstanding at end of period (in thousands)	586,698			525,485			582,578			525,485			582,578
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization*
in millions	Q2			Q3						Year-to-date
	June 30, 2014			September 30, 2014			September 30, 2013			September 30, 2014			September 30, 2013
Net earnings	$	291		$	1,164		$	167		$	1,649		$	509
Earnings from discontinued operations, net of income taxes	(22		)	(966		)	(21		)	(998		)	(36		)
Interest income and other	(11		)	(7		)	(21		)	(27		)	(39		)
Interest expense, net of capitalized interest	83			88			94			254			256
Income taxes	59			39			24			148			99
Operating income	400			318			243			1,026			789
Depreciation, depletion and amortization	122			123			116			368			333
Non-operating pension and postretirement costs (credits)	(11		)	(12		)	11			(33		)	31
Special items	(39		)	(15		)	—			(103		)	—
Adjusted EBITDA*	$	472		$	414		$	370		$	1,258		$	1,153
* Non-GAAP measure - see page 8 for definition.

Page 1 of 9

Weyerhaeuser Company
Q3.2014 Analyst Package
Preliminary results, subject to audit
Consolidated Balance Sheet
in millions	June 30, 2014		September 30, 2014		December 31, 2013
ASSETS
Current assets:
Cash and cash equivalents	$	845	$	1,620	$	830
Receivables, less allowances	590		583		518
Receivables for taxes	37		23		101
Inventories	596		578		542
Prepaid expenses	106		97		117
Deferred tax assets	128		111		130
Current assets of discontinued operations	988		—		88
Total current assets	3,290		3,012		2,326
Property and equipment, net	2,599		2,534		2,689
Construction in progress	157		215		112
Timber and timberlands at cost, less depletion charged to disposals	6,571		6,546		6,580
Investments in and advances to equity affiliates	188		186		190
Goodwill	40		40		42
Deferred tax assets	—		—		5
Other assets	419		292		324
Restricted financial investments held by variable interest entities	615		615		615
Noncurrent assets of discontinued operations	1,827		—		1,694
Total assets	$	15,706	$	13,440	$	14,577
LIABILITIES AND EQUITY
Current liabilities:
Notes payable	$	—	$	—	$	2
Accounts payable	335		351		343
Accrued liabilities	597		606		629
Current liabilities of discontinued operations	137		—		154
Total current liabilities	1,069		957		1,128
Long-term debt	4,891		4,891		4,891
Long-term debt (nonrecourse to the company) held by variable interest entities	511		511		511
Deferred income taxes	410		338		285
Deferred pension and other postretirement benefits	422		569		516
Other liabilities	334		318		382
Noncurrent liabilities of discontinued operations	926		—		32
Total liabilities	8,563		7,584		7,745
Equity:
Total Weyerhaeuser shareholders' interest	7,092		5,856		6,795
Noncontrolling interests	2		—		3
Noncontrolling interests in discontinued operations	49		—		34
Total equity	7,143		5,856		6,832
Total liabilities and equity	$	15,706	$	13,440	$	14,577

Page 2 of 9

Weyerhaeuser Company
Q3.2014 Analyst Package
Preliminary results, subject to audit
Consolidated Statement of Cash Flows
in millions	Q2			Q3						Year-to-date
	June 30, 2014			September 30, 2014			September 30, 2013			September 30, 2014			September 30, 2013
Cash flows from operations:
Net earnings	$	291		$	1,164		$	167		$	1,649		$	509
Noncash charges (credits) to income:
Depreciation, depletion and amortization	126			123			120			375			343
Deferred income taxes, net	89			45			24			170			73
Pension and other postretirement benefits	(44		)	(13		)	27			(104		)	79
Share-based compensation expense	11			9			12			29			34
Charges for impairment of assets	1			—			2			1			5
Net gains on dispositions of assets and operations	(21		)	(1,002		)	(21		)	(1,048		)	(42		)
Foreign exchange transaction (gains) losses	(12		)	13			(2		)	15			6
Change in:
Receivables less allowances	(47		)	20			8			(28		)	(112		)
Receivable for taxes	(3		)	13			12			77			64
Inventories	34			8			36			(46		)	—
Real estate and land	(35		)	(26		)	(58		)	(133		)	(179		)
Prepaid expenses	(3		)	6			(2		)	6			(16		)
Accounts payable and accrued liabilities	(17		)	21			77			(76		)	45
Deposits on land positions and other assets	(4		)	7			(1		)	15			(11		)
Pension and postretirement contributions	(30		)	(22		)	(35		)	(85		)	(104		)
Other	(14		)	(13		)	(23		)	(33		)	(38		)
Net cash from operations	322			353			343			784			656
Cash flows from investing activities:
Property and equipment	(83		)	(105		)	(69		)	(239		)	(151		)
Timberlands reforestation	(11		)	(7		)	(7		)	(32		)	(28		)
Acquisition of Longview Timber LLC, net of cash acquired	—			—			(1,581		)	—			(1,581		)
Net proceeds from Real Estate Divestiture, net of cash divested	—			707			—			707			—
Proceeds from sale of assets	1			4			1			24			15
Net proceeds of investments held by special purpose entities	—			—			—			—			22
Other	—			25			9			25			5
Cash from investing activities	(93		)	624			(1,647		)	485			(1,718		)
Cash flows from financing activities:
Net proceeds from issuance of common shares	—			—			116			—			897
Net proceeds from issuance of preference shares	—			—			—			—			669
Net proceeds from issuance of debt	—			—			494			—			494
Net proceeds from issuance of Weyerhaeuser Real Estate Company (WRECO) debt	887			—			—			887			—
Deposit of WRECO debt proceeds into escrow	(887		)	—			—			(887		)	—
Cash dividends on common shares	(128		)	(154		)	(128		)	(411		)	(330		)
Cash dividends on preference shares	(11		)	(11		)	—			(22		)	—
Change in book overdrafts	—			(11		)	1			(17		)	8
Payments on debt	—			—			(163		)	—			(340		)
Exercises of stock options	39			30			9			84			141
Repurchase of common stock	—			(123		)	—			(123		)	—
Other	(1		)	4			10			5			22
Cash from financing activities	(101		)	(265		)	339			(484		)	1,561
Net change in cash and cash equivalents	128			712			(965		)	785			499
Cash and cash equivalents at beginning of period	780			908			2,362			835			898
Cash and cash equivalents at end of period	$	908		$	1,620		$	1,397		$	1,620		$	1,397
Cash paid (received) during the year for:
Interest, net of amount capitalized	$	52		$	100		$	109		$	253		$	275
Income taxes	$	5		$	5		$	2		$	(40	)	$	(4	)
Noncash investing and financing activity:
Acquisition of Longview Timber LLC, debt assumed	$	—		$	—		$	1,070		$	—		$	1,070
Common shares tendered in WRECO divestiture	$	—		$	1,954		$	—		$	1,954		$	—

Page 3 of 9

Weyerhaeuser Company							Total Company Statistics
Q3.2014 Analyst Package
Preliminary results, subject to audit
Special Items Included in Net Earnings
in millions	Q2			Q3						Year-to-date
	June 30, 2014			September 30, 2014			September 30, 2013			September 30, 2014			September 30, 2013
Net earnings attributable to Weyerhaeuser common shareholders	$	280		$	1,153		$	157		$	1,616		$	497
Restructuring, impairments and other charges	5			6			—			24			—
Gain on sale of non-strategic asset	—			—			—			(14		)	—
Gain on postretirement plan amendment	(29		)	(15		)	—			(73		)	—
Net earnings attributable to Weyerhaeuser common shareholders before special items	256			1,144			157			1,553			497
Earnings from discontinued operations, net of income taxes	(22		)	(966		)	(21		)	(998		)	(36		)
Net earnings from continuing operations attributable to Weyerhaeuser common shareholders before special items	$	234		$	178		$	136		$	555		$	461
	Q2			Q3						Year-to-date
	June 30, 2014			September 30, 2014			September 30, 2013			September 30, 2014			September 30, 2013
Net earnings per diluted share attributable to Weyerhaeuser common shareholders	$	0.47		$	2.15		$	0.27		$	2.83		$	0.88
Restructuring, impairments and other charges	0.01			0.01			—			0.04			—
Gain on sale of non-strategic asset	—			—			—			(0.02		)	—
Gain on postretirement plan amendment	(0.04		)	(0.03		)	—			(0.13		)	—
Net earnings per diluted share attributable to Weyerhaeuser common shareholders before special items	0.44			2.13			0.27			2.72			0.88
Earnings from discontinued operations, net of income taxes	(0.04		)	(1.80		)	(0.04		)	(1.75		)	(0.06		)
Net earnings from continuing operations per diluted share attributable to Weyerhaeuser common shareholders before special items	$	0.40		$	0.33		$	0.23		$	0.97		$	0.82
Selected Total Company Items
in millions	Q2			Q3						Year-to-date
	June 30, 2014			September 30, 2014			September 30, 2013			September 30, 2014			September 30, 2013
Depreciation, depletion and amortization:
Cost of products sold	$	117		$	117		$	110		$	351		$	315
Selling, general and administrative expenses	5			6			6			17			18
Total depreciation, depletion and amortization	$	122		$	123		$	116		$	368		$	333
Pension and postretirement costs:
Pension and postretirement costs allocated to business segments	$	12		$	11		$	15		$	33		$	42
Pension and postretirement costs (credits) not allocated	(11		)	(12		)	11			(33		)	31
Total company pension and postretirement costs	$	1		$	(1	)	$	26		$	—		$	73
Total decrease (increase) in working capital(1)	$	49		$	106		$	138		$	(15	)	$	(35	)
Cash spent for capital expenditures	$	(92	)	$	(112	)	$	(71	)	$	(267	)	$	(170	)
(1) Working capital does not include cash balances.

Page 4 of 9

Weyerhaeuser Company								Timberlands Segment
Q3.2014 Analyst Package
Preliminary results, subject to audit
Segment Statement of Operations
in millions		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Sales to unaffiliated customers		$	397		$	364		$	353		$	1,138		$	979
Intersegment sales		186			218			194			642			584
Total net sales		583			582			547			1,780			1,563
Cost of products sold		399			432			407			1,262			1,167
Gross margin		184			150			140			518			396
Selling expenses		2			2			3			6			8
General and administrative expenses		23			23			27			72			77
Research and development expenses		3			4			4			11			13
Charges for restructuring, closures and impairments		—			1			—			1			2
Other operating income, net		(14		)	(16		)	(11		)	(42		)	(37		)
Operating income		170			136			117			470			333
Interest income and other		—			—			1			—			3
Net contribution to earnings		$	170		$	136		$	118		$	470		$	336
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization*
in millions		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Operating income		$	170		$	136		$	117		$	470		$	333
Depreciation, depletion and amortization		51			51			45			154			115
Adjusted EBITDA*		$	221		$	187		$	162		$	624		$	448
* Non-GAAP measure - see page 8 for definition.
Selected Segment Items
		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Total decrease (increase) in working capital(1)		$	(15	)	$	25		$	31		$	(19	)	$	—
Cash spent for capital expenditures		$	(18	)	$	(19	)	$	(16	)	$	(56	)	$	(52	)
(1) Working capital does not include cash balances.
Segment Statistics
		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Third Party  Net Sales (millions)	Logs:
	West	$	261		$	227		$	213		$	745		$	598
	South	60			69			66			191			192
	Canada	1			5			6			12			15
	Total logs	322			301			285			948			805
	Chip sales	2			4			2			9			7
	Timberlands exchanges	28			17			28			49			44
	Higher and better use land sales	7			4			2			14			10
	Minerals, oil and gas	8			10			9			25			26
	Products from international operations	26			22			24			72			68
	Other products	4			6			3			21			19
	Total	$	397		$	364		$	353		$	1,138		$	979
Logs Third Party Sales Realizations (per cubic meter)	West	$	109.13		$	102.23		$	104.73		$	108.64		$	108.33
	South	$	45.16		$	45.30		$	43.32		$	45.12		$	43.42
	Canada	$	38.04		$	37.75		$	38.77		$	36.65		$	37.38
	International	$	16.27		$	19.95		$	25.07		$	17.88		$	24.75
Logs Third Party Sales Volumes (cubic meters, thousands)	West	2,390			2,223			2,037			6,859			5,523
	South	1,339			1,500			1,514			4,224			4,420
	Canada	30			152			141			338			383
	International	139			170			100			456			245
	Total	3,898			4,045			3,792			11,877			10,571
Logs Fee Harvest Volumes (cubic meters, thousands)	West	2,888			2,656			2,305			8,419			6,221
	South	2,715			2,950			2,928			8,531			8,589
	International	249			232			211			730			575
	Total	5,852			5,838			5,444			17,680			15,385

Page 5 of 9

Weyerhaeuser Company								Wood Products Segment
Q3.2014 Analyst Package
Preliminary results, subject to audit
Segment Statement of Operations
in millions		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Sales to unaffiliated customers		$	1,077		$	1,048		$	1,030		$	3,023		$	3,083
Intersegment sales		21			20			19			60			55
Total net sales		1,098			1,068			1,049			3,083			3,138
Cost of products sold		939			910			905			2,640			2,559
Gross margin		159			158			144			443			579
Selling expenses		23			22			24			70			74
General and administrative expenses		30			31			37			98			109
Research and development expenses		2			—			2			3			4
Charges for restructuring, closures and impairments		2			—			1			2			2
Other operating costs (income), net		—			—			1			(1		)	(3		)
Operating income		102			105			79			271			393
Interest income and other		—			—			—			—			—
Net contribution to earnings		$	102		$	105		$	79		$	271		$	393
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization*
in millions		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Operating income		$	102		$	105		$	79		$	271		$	393
Depreciation, depletion and amortization		30			30			31			89			93
Adjusted EBITDA*		$	132		$	135		$	110		$	360		$	486
* Non-GAAP measure - see page 8 for definition.
Selected Segment Items
		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Total decrease (increase) in working capital(1)		$	29		$	41		$	74		$	(67	)	$	(45	)
Cash spent for capital expenditures		$	(38	)	$	(56	)	$	(26	)	$	(112	)	$	(52	)
(1) Working capital does not include cash balances.
Segment Statistics
in millions, except for third-party sales realizations		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Structural Lumber (board feet)	Third party net sales	$	515		$	500		$	480		$	1,442		$	1,433
	Third party sales realizations	$	427		$	431		$	404		$	430		$	425
	Third party sales volumes(1)	1,206			1,162			1,189			3,357			3,370
	Production volumes	1,081			1,049			1,040			3,139			3,114
	Outside purchase volumes	82			91			92			251			271
Engineered Solid Section (cubic feet)	Third party net sales	$	114		$	104		$	97		$	308		$	263
	Third party sales realizations	$	1,976		$	2,031		$	1,963		$	1,989		$	1,913
	Third party sales volumes(1)	5.8			5.1			4.9			15.5			13.7
	Production volumes	5.7			5.2			4.6			15.8			13.8
	Outside purchase volumes	0.5			—			0.3			2.3			1.6
Engineered I-joists (lineal feet)	Third party net sales	$	81		$	74		$	68		$	214		$	184
	Third party sales realizations	$	1,470		$	1,540		$	1,428		$	1,489		$	1,364
	Third party sales volumes(1)	55			49			48			144			135
	Production volumes	55			50			44			149			130
	Outside purchase volumes	3			1			2			5			6
Oriented Strand Board (square feet 3/8')	Third party net sales	$	159		$	157		$	188		$	464		$	648
	Third party sales realizations	$	226		$	215		$	246		$	223		$	309
	Third party sales volumes(1)	706			732			762			2,079			2,094
	Production volumes	681			717			725			2,055			2,050
	Outside purchase volumes	51			52			49			156			173
Softwood Plywood (square feet 3/8')	Third party net sales	$	35		$	42		$	38		$	107		$	115
	Third party sales realizations	$	348		$	381		$	344		$	355		$	364
	Third party sales volumes(1)	102			110			108			302			315
	Production volumes	60			72			62			191			186
	Outside purchase volumes	36			31			40			100			115
(1) Volumes include sales of internally produced products and products purchased for resale primarily through our distribution business.

Page 6 of 9

Weyerhaeuser Company								Cellulose Fibers Segment
Q3.2014 Analyst Package
Preliminary results, subject to audit
Segment Statement of Operations
in millions		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Total net sales		$	490		$	503		$	474		$	1,454		$	1,424
Cost of products sold		381			427			406			1,198			1,224
Gross margin		109			76			68			256			200
Selling expenses		4			3			5			11			14
General and administrative expenses		20			18			21			58			62
Research and development expenses		2			1			2			5			6
Other operating income, net		(8		)	(6		)	(6		)	(23		)	(18		)
Operating income		91			60			46			205			136
Interest income and other		—			(1		)	1			(1		)	(1		)
Net contribution to earnings		$	91		$	59		$	47		$	204		$	135
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization*
in millions		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Operating income		$	91		$	60		$	46		$	205		$	136
Depreciation, depletion and amortization		39			39			38			116			116
Adjusted EBITDA*		$	130		$	99		$	84		$	321		$	252
* Non-GAAP measure - see page 8 for definition.
Selected Segment Items
		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Total decrease (increase) in working capital(1)		$	(37	)	$	39		$	19		$	33		$	24
Cash spent for capital expenditures		$	(35	)	$	(36	)	$	(28	)	$	(97	)	$	(62	)
(1) Working capital does not include cash balances.
Segment Statistics
		Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Pulp (air-dry metric tons)	Third party net sales (millions)	$	383		$	408		$	371		$	1,154		$	1,111
	Third party sales realizations	$	845		$	858		$	805		$	843		$	799
	Third party sales volumes (thousands)	454			474			460			1,368			1,389
	Production volumes (thousands)	467			465			457			1,391			1,365
Liquid Packaging Board (tons)	Third party net sales (millions)	$	87		$	80		$	83		$	247		$	254
	Third party sales realizations	$	1,165		$	1,185		$	1,082		$	1,157		$	1,080
	Third party sales volumes (thousands)	75			68			76			214			235
	Production volumes (thousands)	79			57			67			214			222

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Weyerhaeuser Company							Unallocated Items
Q3.2014 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 outstanding borrowings and the elimination of intersegment profit in inventory and the LIFO reserve.
Contribution to Earnings
in millions	Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Unallocated corporate function expenses	$	(7	)	$	(3	)	$	(8	)	$	(17	)	$	(26	)
Unallocated share-based compensation	(6		)	1			(1		)	(2		)	(3		)
Unallocated pension & postretirement credits (costs)	56			35			(11		)	146			(31		)
Foreign exchange gains (losses)	13			(14		)	2			(16		)	(6		)
Elimination of intersegment profit in inventory and LIFO	(1		)	12			25			(8		)	9
Other	(18		)	(14		)	(5		)	(23		)	(16		)
Operating income (loss)	37			17			2			80			(73		)
Interest income and other	11			8			18			28			37
Net contribution to earnings from continuing operations(1)	$	48		$	25		$	20		$	108		$	(36	)
(1) We have reclassified certain results from the prior periods to present the results of operations discontinued in 2014 separately. Our reclassifications had no effect on net earnings or Weyerhaeuser shareholders’ interest.
Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization*
in millions	Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Operating income (loss)	$	37		$	17		$	2		$	80		$	(73	)
Depreciation, depletion and amortization	2			3			2			9			9
Non-operating pension and postretirement costs (credits)	(11		)	(12		)	11			(33		)	31
Special items	(39		)	(15		)	—			(103		)	—
Adjusted EBITDA*	$	(11	)	$	(7	)	$	15		$	(47	)	$	(33	)
* Non-GAAP measure - see below for definition.
Unallocated Special Items Included in Net Contribution to Earnings (Pre-Tax)
	Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Gain on postretirement plan amendment	$	45		$	23		$	—		$	113		$	—
Restructuring, impairments and other charges	(6		)	(8		)	—			(32		)	—
Gain on sale of non-strategic asset	—			—			—			22			—
Total	$	39		$	15		$	—		$	103		$	—
Unallocated Selected Items
	Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Total decrease (increase) in working capital(1)	$	72		$	1		$	14		$	38		$	(14	)
Cash spent for capital expenditures	$	(1	)	$	(1	)	$	(1	)	$	(2	)	$	(4	)
(1) Working capital does not include cash balances.
*Adjusted EBITDA 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 discontinued operations. 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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Weyerhaeuser Company							Discontinued Operations
Q3.2014 Analyst Package
Preliminary results, subject to audit
Discontinued operations relate to WRECO, which was combined with TRI Pointe Homes, Inc. through a Reverse Morris Trust transaction on July 7, 2014. It was previously reported under the Real Estate segment and Unallocated Items.
Discontinued Operations Statement of Operations
in millions	Q2.2014			Q3.2014			Q3.2013			YTD.2014			YTD.2013
Total net sales	$	317		$	8		$	324		$	573		$	787
Income (loss) from operations	$	27		$	(1	)	$	33		$	42		$	56
Income taxes	(5		)	(5		)	(12		)	(16		)	(20		)
Net earnings (loss) from operations	22			(6		)	21			26			36
Net gain on divestiture	—			972			—			972			—
Net earnings from discontinued operations	$	22		$	966		$	21		$	998		$	36

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