EXHIBIT 99.2
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION (unaudited)
STATISTICAL INFORMATION (unaudited)
CONSOLIDATED EARNINGS (in millions) | Q1 | Q2 | Year-to-date | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||||||||
March 26, | March 27, | June 25, | June 26, | June 25, | June 26, | Sept. 25, | Dec. 25, | Dec. 25, | ||||||||||||||||||||||||||||
2006 | 2005 | 2006 | 2005 | 2006 | 2005 | 2005 | 2005 | 2005 | ||||||||||||||||||||||||||||
Net sales and revenues: | ||||||||||||||||||||||||||||||||||||
Weyerhaeuser(1) | $ | 4,596 | $ | 4,629 | $ | 4,941 | $ | 5,065 | $ | 9,537 | $ | 9,694 | $ | 4,898 | $ | 4,764 | $ | 19,356 | ||||||||||||||||||
Real Estate and Related Assets | 690 | 655 | 746 | 648 | 1,436 | 1,303 | 596 | 1,016 | 2,915 | |||||||||||||||||||||||||||
Total net sales and revenues | 5,286 | 5,284 | 5,687 | 5,713 | 10,973 | 10,997 | 5,494 | 5,780 | 22,271 | |||||||||||||||||||||||||||
Costs and expenses: | ||||||||||||||||||||||||||||||||||||
Weyerhaeuser: | ||||||||||||||||||||||||||||||||||||
Costs of products sold(2) | 3,638 | 3,550 | 3,838 | 3,869 | 7,476 | 7,419 | 3,833 | 3,894 | 15,146 | |||||||||||||||||||||||||||
Depreciation, depletion and amortization | 308 | 318 | 307 | 321 | 615 | 639 | 322 | 328 | 1,289 | |||||||||||||||||||||||||||
Selling expenses | 110 | 116 | 126 | 117 | 236 | 233 | 117 | 107 | 457 | |||||||||||||||||||||||||||
General and administrative expenses | 256 | 221 | 224 | 217 | 480 | 438 | 235 | 222 | 895 | |||||||||||||||||||||||||||
Research and development expenses | 16 | 14 | 15 | 12 | 31 | 26 | 18 | 17 | 61 | |||||||||||||||||||||||||||
Taxes other than payroll and income taxes | 44 | 46 | 46 | 48 | 90 | 94 | 69 | 16 | 179 | |||||||||||||||||||||||||||
Charges for restructuring(3) | — | 5 | 18 | 4 | 18 | 9 | 2 | 10 | 21 | |||||||||||||||||||||||||||
Charges for closure of facilities | 1 | 5 | 17 | 3 | 18 | 8 | 29 | 656 | 693 | |||||||||||||||||||||||||||
Impairment of goodwill(4) | 746 | — | 3 | — | 749 | — | — | — | — | |||||||||||||||||||||||||||
Other operating costs, net(5)(6) | 30 | 9 | (23 | ) | (40 | ) | 7 | (31 | ) | (32 | ) | 3 | (60 | ) | ||||||||||||||||||||||
5,149 | 4,284 | 4,571 | 4,551 | 9,720 | 8,835 | 4,593 | 5,253 | 18,681 | ||||||||||||||||||||||||||||
Real Estate and Related Assets: | ||||||||||||||||||||||||||||||||||||
Costs and operating expenses(7) | 481 | 426 | 555 | 441 | 1,036 | 867 | 401 | 677 | 1,945 | |||||||||||||||||||||||||||
Depreciation and amortization | 3 | 3 | 4 | 4 | 7 | 7 | 4 | 5 | 16 | |||||||||||||||||||||||||||
Selling expenses | 37 | 33 | 43 | 36 | 80 | 69 | 36 | 46 | 151 | |||||||||||||||||||||||||||
General and administrative expenses | 30 | 24 | 34 | 25 | 64 | 49 | 27 | 28 | 104 | |||||||||||||||||||||||||||
Taxes other than payroll and income taxes | 1 | 1 | 2 | — | 3 | 1 | 1 | 1 | 3 | |||||||||||||||||||||||||||
Other operating costs, net | (3 | ) | — | 3 | (2 | ) | — | (2 | ) | (2 | ) | 1 | (3 | ) | ||||||||||||||||||||||
Impairment of long-lived assets | — | — | — | — | — | — | — | 33 | 33 | |||||||||||||||||||||||||||
549 | 487 | 641 | 504 | 1,190 | 991 | 467 | 791 | 2,249 | ||||||||||||||||||||||||||||
Total costs and expenses | 5,698 | 4,771 | 5,212 | 5,055 | 10,910 | 9,826 | 5,060 | 6,044 | 20,930 | |||||||||||||||||||||||||||
Operating income | (412 | ) | 513 | 475 | 658 | 63 | 1,171 | 434 | (264 | ) | 1,341 | |||||||||||||||||||||||||
Interest expense and other: | ||||||||||||||||||||||||||||||||||||
Weyerhaeuser: | ||||||||||||||||||||||||||||||||||||
Interest expense incurred(8) | (152 | ) | (196 | ) | (152 | ) | (179 | ) | (304 | ) | (375 | ) | (193 | ) | (171 | ) | (739 | ) | ||||||||||||||||||
Less interest capitalized(2) | 16 | — | 20 | 2 | 36 | 2 | 3 | 4 | 9 | |||||||||||||||||||||||||||
Interest income and other | 19 | 27 | 15 | 20 | 34 | 47 | 143 | 24 | 214 | |||||||||||||||||||||||||||
Equity in income (loss) of affiliates(9) | 3 | — | 6 | 4 | 9 | 4 | 2 | (12 | ) | (6 | ) | |||||||||||||||||||||||||
Real Estate and Related Assets: | ||||||||||||||||||||||||||||||||||||
Interest expense incurred | (14 | ) | (14 | ) | (14 | ) | (14 | ) | (28 | ) | (28 | ) | (13 | ) | (14 | ) | (55 | ) | ||||||||||||||||||
Less interest capitalized | 14 | 14 | 14 | 14 | 28 | 28 | 13 | 14 | 55 | |||||||||||||||||||||||||||
Interest income and other | 10 | 5 | 3 | (2 | ) | 13 | 3 | 4 | 5 | 12 | ||||||||||||||||||||||||||
Equity in income of unconsolidated entities(10) | 21 | 10 | 15 | 13 | 36 | 23 | 14 | 20 | 57 | |||||||||||||||||||||||||||
Earnings before income taxes | (495 | ) | 359 | 382 | 516 | (113 | ) | 875 | 407 | (394 | ) | 888 | ||||||||||||||||||||||||
Income taxes(11) | (87 | ) | (125 | ) | (82 | ) | (225 | ) | (169 | ) | (350 | ) | (119 | ) | 151 | (318 | ) | |||||||||||||||||||
Earnings from continuing operations | (582 | ) | 234 | 300 | 291 | (282 | ) | 525 | 288 | (243 | ) | 570 | ||||||||||||||||||||||||
Earnings from discontinued operations, net of taxes(12) | 2 | 5 | 14 | 129 | 16 | 134 | (3 | ) | 32 | 163 | ||||||||||||||||||||||||||
Net earnings | $ | (580 | ) | $ | 239 | $ | 314 | $ | 420 | $ | (266 | ) | $ | 659 | $ | 285 | $ | (211 | ) | $ | 733 | |||||||||||||||
Basic net earnings per share: | ||||||||||||||||||||||||||||||||||||
Continuing operations | $ | (2.37 | ) | $ | 0.96 | $ | 1.21 | $ | 1.20 | $ | (1.15 | ) | $ | 2.15 | $ | 2.47 | $ | (0.99 | ) | $ | 2.33 | |||||||||||||||
Discontinued operations | 0.01 | 0.02 | 0.06 | 0.52 | 0.07 | 0.55 | (0.01 | ) | 0.13 | 0.67 | ||||||||||||||||||||||||||
Net earnings per share | $ | (2.36 | ) | $ | 0.98 | $ | 1.27 | $ | 1.72 | $ | (1.08 | ) | $ | 2.70 | $ | 2.46 | $ | (0.86 | ) | $ | 3.00 | |||||||||||||||
Diluted net earnings per share: | ||||||||||||||||||||||||||||||||||||
Continuing operations | $ | (2.37 | ) | $ | 0.96 | $ | 1.20 | $ | 1.19 | $ | (1.15 | ) | $ | 2.15 | $ | 2.46 | $ | (0.99 | ) | $ | 2.32 | |||||||||||||||
Discontinued operations | 0.01 | 0.02 | 0.06 | 0.52 | 0.07 | 0.54 | (0.01 | ) | 0.13 | 0.66 | ||||||||||||||||||||||||||
Net earnings per share | $ | (2.36 | ) | $ | 0.98 | $ | 1.26 | $ | 1.71 | $ | (1.08 | ) | $ | 2.69 | $ | 2.45 | $ | (0.86 | ) | $ | 2.98 | |||||||||||||||
Dividends paid per share | $ | 0.50 | $ | 0.40 | $ | 0.50 | $ | 0.50 | $ | 1.00 | $ | 0.90 | $ | 0.50 | $ | 0.50 | $ | 1.90 | ||||||||||||||||||
Weighted average shares outstanding (in thousands) | ||||||||||||||||||||||||||||||||||||
Basic | 245,794 | 242,863 | 248,147 | 244,702 | 246,971 | 243,782 | 245,009 | 245,215 | 244,447 | |||||||||||||||||||||||||||
Diluted | 245,794 | 244,185 | 249,194 | 245,881 | 246,971 | 244,959 | 246,190 | 246,198 | 245,559 |
PRELIMINARY RESULTS SUBJECT TO AUDIT
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION (unaudited)
STATISTICAL INFORMATION (unaudited)
FOOTNOTES TO CONSOLIDATED EARNINGS
(in millions)
(in millions)
(1) | Countervailing and anti-dumping duties and | |||||||||||||||||||||||||||||||||||||
related costs per quarter were charges of: | YTD | YTD | ||||||||||||||||||||||||||||||||||||
Q1 2006 | Q1 2005 | Q2 2006 | Q2 2005 | Q2 2006 | Q2 2005 | Q3 2005 | Q4 2005 | YE 2005 | ||||||||||||||||||||||||||||||
$ | 11 | $ | 22 | $ | 10 | $ | 27 | $ | 21 | $ | 49 | $ | 19 | $ | 16 | $ | 84 | |||||||||||||||||||||
(2) | Weyerhaeuser capitalized interest for the first and second quarters of 2006 include $14 million and $15 million, respectively, for the capitalization of Weyerhaeuser interest on WRECO assets. Weyerhaeuser cost of products sold includes $7 million in each of the first and second quarters of 2006 to expense previously capitalized interest in connection with the sale of the related real estate assets. See Note 6 for 2005 information. | |||||||||||||||||||||||||||||||||||||
(3) | The second quarter of 2006 includes an $18 million dollar charge related to the restructuring of the Containerboard, Packaging and Recycling business model. | |||||||||||||||||||||||||||||||||||||
(4) | The first and second quarters of 2006 include write-offs of goodwill associated with the fine paper business of $746 million and $3 million, respectively. |
(5) | Net foreign exchange gains (losses), primarily from | |||||||||||||||||||||||||||
fluctuations in Canadian and New Zealand exchange rates: | YTD | YTD | ||||||||||||||||||||||||||
Q1 2006 | Q1 2005 | Q2 2006 | Q2 2005 | Q2 2006 | Q2 2005 | Q3 2005 | Q4 2005 | YE 2005 | $(26) | $13 | $21 | $(13) | $(5) | $— | $37 | $(21) | $16 | |||||||||||
(6) | The first quarter of 2005 includes a $12 million charge for the settlement of a linerboard antitrust lawsuit. The second quarter of 2005 includes an $18 million charge related to alder litigation and $57 million of income related to the recognition of a deferred gain from previous timberlands sales. The third quarter of 2005 includes a $115 million gain on the sale of an investment in a joint venture. The fourth quarter of 2005 includes a $38 million charge for the settlement of linerboard antitrust litigation and $43 million of income for the cumulative effect of a change to begin capitalizing Weyerhaeuser interest to assets of Weyerhaeuser Real Estate Company. | |||||||||||||||||||||||||||
(7) | The first quarter of 2006 includes income of $8 million related to a warranty insurance recovery. | |||||||||||||||||||||||||||
(8) | The third and fourth quarters of 2005 include charges of $21 million and $15 million, respectively, for the early extinguishment of debt. | |||||||||||||||||||||||||||
(9) | The fourth quarter of 2005 includes a $15 million charge related to the impairment of an investment in an equity affiliate. | |||||||||||||||||||||||||||
(10) | The first quarter of 2006 includes recognition of $9 million of deferred income in connection with partnership restructurings. | |||||||||||||||||||||||||||
(11) | The second quarter of 2006 includes a one-time tax benefit of $48 million related to a change in Texas state income tax law, a reduction in the Canadian federal income tax rate and a deferred tax adjustment related to the Medicare Part D subsidy. The second quarter of 2005 includes a charge of $44 million related to the repatriation of $1.1 billion of eligible Canadian earnings under the provisions of the American Jobs Creation Act of 2004. The third quarter of 2005 includes a one-time tax benefit of $14 million related to a change in the Ohio state income tax law. | |||||||||||||||||||||||||||
(12) | Includes the net operating results of the company’s coastal British Columbia operations and its North American and French composites operations. The second quarter of 2005 includes a gain of $110 million, including a tax benefit of $46 million, related to the sale of the coastal British Columbia operations. The fourth quarter of 2005 includes a pretax gain of $57 million and related tax expense of $23 million associated with the sale of the French composites operations. |
PRELIMINARY RESULTS - SUBJECT TO AUDIT
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION (unaudited)
STATISTICAL INFORMATION (unaudited)
Net sales and revenues (in millions): | Q1 | Q2 | Year-to-date | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||||||||
March 26, | March 27, | June 25, | June 26, | June 25, | June 26, | Sept. 25, | Dec. 25, | Dec. 25, | ||||||||||||||||||||||||||||
2006 | 2005 | 2006 | 2005 | 2006 | 2005 | 2005 | 2005 | 2005 | ||||||||||||||||||||||||||||
Timberlands: | ||||||||||||||||||||||||||||||||||||
Logs | $ | 201 | $ | 182 | $ | 198 | $ | 195 | $ | 399 | $ | 377 | $ | 188 | $ | 196 | $ | 761 | ||||||||||||||||||
Other products | 62 | 82 | 71 | 63 | 133 | 145 | 65 | 76 | 286 | |||||||||||||||||||||||||||
263 | 264 | 269 | 258 | 532 | 522 | 253 | 272 | 1,047 | ||||||||||||||||||||||||||||
Wood Products: | ||||||||||||||||||||||||||||||||||||
Softwood lumber | 782 | 892 | 857 | 1,032 | 1,639 | 1,924 | 889 | 811 | 3,624 | |||||||||||||||||||||||||||
Plywood | 135 | 183 | 147 | 196 | 282 | 379 | 184 | 172 | 735 | |||||||||||||||||||||||||||
Veneer | 13 | 13 | 13 | 10 | 26 | 23 | 9 | 12 | 44 | |||||||||||||||||||||||||||
Composite panels | 121 | 120 | 140 | 132 | 261 | 252 | 122 | 123 | 497 | |||||||||||||||||||||||||||
OSB | 287 | 288 | 273 | 306 | 560 | 594 | 267 | 303 | 1,164 | |||||||||||||||||||||||||||
Hardwood lumber | 99 | 94 | 105 | 102 | 204 | 196 | 95 | 99 | 390 | |||||||||||||||||||||||||||
Engineered I-Joists | 183 | 160 | 216 | 213 | 399 | 373 | 202 | 181 | 756 | |||||||||||||||||||||||||||
Engineered Solid Section | 221 | 190 | 249 | 241 | 470 | 431 | 244 | 221 | 896 | |||||||||||||||||||||||||||
Logs | 7 | 27 | 5 | 24 | 12 | 51 | 6 | 5 | 62 | |||||||||||||||||||||||||||
Other products | 225 | 272 | 295 | 339 | 520 | 611 | 326 | 290 | 1,227 | |||||||||||||||||||||||||||
2,073 | 2,239 | 2,300 | 2,595 | 4,373 | 4,834 | 2,344 | 2,217 | 9,395 | ||||||||||||||||||||||||||||
Cellulose Fiber and White Papers: | ||||||||||||||||||||||||||||||||||||
Pulp | 394 | 376 | 402 | 355 | 796 | 731 | 381 | 370 | 1,482 | |||||||||||||||||||||||||||
Paper | 613 | 599 | 601 | 611 | 1,214 | 1,210 | 604 | 603 | 2,417 | |||||||||||||||||||||||||||
Coated groundwood | 40 | 42 | 44 | 47 | 84 | 89 | 45 | 46 | 180 | |||||||||||||||||||||||||||
Liquid packaging board | 46 | 47 | 62 | 52 | 108 | 99 | 50 | 54 | 203 | |||||||||||||||||||||||||||
Other products | 14 | 14 | 16 | 12 | 30 | 26 | 16 | 12 | 54 | |||||||||||||||||||||||||||
1,107 | 1,078 | 1,125 | 1,077 | 2,232 | 2,155 | 1,096 | 1,085 | 4,336 | ||||||||||||||||||||||||||||
Containerboard, Packaging and Recycling: | ||||||||||||||||||||||||||||||||||||
Containerboard | 82 | 117 | 84 | 101 | 166 | 218 | 86 | 91 | 395 | |||||||||||||||||||||||||||
Packaging | 911 | 898 | 1,002 | 969 | 1,913 | 1,867 | 929 | 914 | 3,710 | |||||||||||||||||||||||||||
Recycling | 80 | 92 | 85 | 92 | 165 | 184 | 87 | 81 | 352 | |||||||||||||||||||||||||||
Bags | 20 | 22 | 20 | 21 | 40 | 43 | 20 | 20 | 83 | |||||||||||||||||||||||||||
Other products | 34 | 34 | 46 | 40 | 80 | 74 | 47 | 46 | 167 | |||||||||||||||||||||||||||
1,127 | 1,163 | 1,237 | 1,223 | 2,364 | 2,386 | 1,169 | 1,152 | 4,707 | ||||||||||||||||||||||||||||
Real Estate and Related Assets | 690 | 655 | 747 | 648 | 1,437 | 1,303 | 596 | 1,016 | 2,915 | |||||||||||||||||||||||||||
Corporate and Other | 116 | 149 | 117 | 151 | 233 | 300 | 146 | 154 | 600 | |||||||||||||||||||||||||||
Less sales of discontinued operations | (90 | ) | (264 | ) | (108 | ) | (239 | ) | (198 | ) | (503 | ) | (110 | ) | (116 | ) | (729 | ) | ||||||||||||||||||
$ | 5,286 | $ | 5,284 | $ | 5,687 | $ | 5,713 | $ | 10,973 | $ | 10,997 | $ | 5,494 | $ | 5,780 | $ | 22,271 | |||||||||||||||||||
Contribution (charge) to earnings: (in millions) | Q1 | Q2 | Year-to-date | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||||||||
March 26, | March 27, | June 25, | June 26, | June 25, | June 26, | Sept. 25, | Dec. 25, | Dec. 25, | ||||||||||||||||||||||||||||
2006 | 2005 | 2006 | 2005 | 2006 | 2005 | 2005 | 2005 | 2005 | ||||||||||||||||||||||||||||
Timberlands(1) (2)(4) | $ | 198 | $ | 200 | $ | 224 | $ | 210 | $ | 422 | $ | 410 | $ | 191 | $ | 183 | $ | 784 | ||||||||||||||||||
Wood Products(1) (2) (5) | 117 | 131 | 131 | 204 | 248 | 335 | 124 | 26 | 485 | |||||||||||||||||||||||||||
Cellulose Fiber and White Papers(1) (2) (6) | (763 | ) | 19 | 23 | 16 | (740 | ) | 35 | (2 | ) | (477 | ) | (444 | ) | ||||||||||||||||||||||
Containerboard, Packaging and Recycling(1) (2) (7) | 22 | 48 | 74 | 99 | 96 | 147 | 36 | (188 | ) | (5 | ) | |||||||||||||||||||||||||
Real Estate and Related Assets(2) (8) | 172 | 183 | 123 | 156 | 295 | 339 | 145 | 250 | 734 | |||||||||||||||||||||||||||
Corporate and Other(1) (2) (3) (9) | (102 | ) | (17 | ) | (40 | ) | 99 | (142 | ) | 82 | 101 | 33 | 216 | |||||||||||||||||||||||
$ | (356 | ) | $ | 564 | $ | 535 | $ | 784 | $ | 179 | $ | 1,348 | $ | 595 | $ | (173 | ) | $ | 1,770 | |||||||||||||||||
PRELIMINARY RESULTS SUBJECT TO AUDIT
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION (unaudited)
FOOTNOTES TO CONTRIBUTION (CHARGE) TO EARNINGS
(in millions)
STATISTICAL INFORMATION (unaudited)
FOOTNOTES TO CONTRIBUTION (CHARGE) TO EARNINGS
(in millions)
YTD | YTD | |||||||||||||||||||||||||||||||||||||
(1) | Closure charges by segment: | Q1 2006 | Q1 2005 | Q2 2006 | Q2 2005 | Q2 2006 | Q2 2005 | Q3 2005 | Q4 2005 | YE 2005 | ||||||||||||||||||||||||||||
Timberlands | $ | — | $ | 3 | $ | — | $ | — | $ | — | $ | 3 | $ | — | $ | 3 | $ | 6 | ||||||||||||||||||||
Wood Products | — | 1 | 1 | 1 | 1 | 2 | 6 | 91 | 99 | |||||||||||||||||||||||||||||
Cellulose Fiber and White Papers | (1 | ) | — | 11 | — | 10 | — | 22 | 427 | 449 | ||||||||||||||||||||||||||||
Containerboard, Packaging and Recycling | 2 | 4 | 5 | 2 | 7 | 6 | 1 | 130 | 137 | |||||||||||||||||||||||||||||
Corporate and Other | — | — | — | — | — | — | — | 5 | 5 | |||||||||||||||||||||||||||||
$ | 1 | $ | 8 | $ | 17 | $ | 3 | $ | 18 | $ | 11 | $ | 29 | $ | 656 | $ | 696 | |||||||||||||||||||||
The above closure charges for the first quarter and full year 2005 include $3 million of costs incurred within the company’s
discontinued operations.
discontinued operations.
YTD | YTD | |||||||||||||||||||||||||||||||||||||
Q1 2006 | Q1 2005 | Q2 2006 | Q2 2005 | Q2 2006 | Q2 2005 | Q3 2005 | Q4 2005 | YE 2005 | ||||||||||||||||||||||||||||||
(2) | Stock-based compensation charges (income) recognized by segment: | |||||||||||||||||||||||||||||||||||||
Timberlands | $ | 1 | $ | — | $ | — | $ | — | $ | 1 | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||
Wood Products | 2 | — | — | — | 2 | — | — | — | — | |||||||||||||||||||||||||||||
Cellulose Fiber and White Papers | 1 | — | — | — | 1 | — | — | — | — | |||||||||||||||||||||||||||||
Containerboard, Packaging and Recycling | 2 | — | (1 | ) | — | 1 | — | — | — | — | ||||||||||||||||||||||||||||
Real Estate and Related Assets | — | — | 1 | — | 1 | — | — | — | — | |||||||||||||||||||||||||||||
Corporate and Other | 15 | 2 | (4 | ) | (6 | ) | 11 | (4 | ) | 3 | 12 | 11 | ||||||||||||||||||||||||||
$ | 21 | $ | 2 | $ | (4 | ) | $ | (6 | ) | $ | 17 | $ | (4 | ) | $ | 3 | $ | 12 | $ | 11 | ||||||||||||||||||
YTD | YTD | |||||||||||||||||||||||||||||||||||||
Q1 2006 | Q1 2005 | Q2 2006 | Q2 2005 | Q2 2006 | Q2 2005 | Q3 2005 | Q4 2005 | YE 2005 | ||||||||||||||||||||||||||||||
(3) | Net foreign exchange gains (losses) included in Corporate | |||||||||||||||||||||||||||||||||||||
and Other were: | $ | (26 | ) | $ | 13 | $ | 20 | $ | (12 | ) | $ | (6 | ) | $ | 1 | $ | 38 | $ | (20 | ) | $ | 19 | ||||||||||||||||
(4) | Additonal Timberlands notes: | |||||||||||||||||||||||||||||||||||||
(a) Hurricane related losses were $5 million in third quarter 2005 and $6 million in fourth quarter 2005. | ||||||||||||||||||||||||||||||||||||||
(5) | Additonal Wood Products notes: | |||||||||||||||||||||||||||||||||||||
(a) Refer to footnote 1 to Consolidated Earnings regarding countervailing duty and anti-dumping costs included in Wood Products. | ||||||||||||||||||||||||||||||||||||||
(b) The second quarter of 2005 includes an $18 million charge related to alder litigation. The third quarter of 2005 includes $9 million of income related to the reduction of reserves for alder litigation and an insurance settlement related to product liability claims. | ||||||||||||||||||||||||||||||||||||||
(c) The second quarter of 2005 includes a $6 million gain related to a tenure reallocation agreement with the British Columbia government. | ||||||||||||||||||||||||||||||||||||||
(6) | Additional Cellulose Fiber and White Papers notes: | |||||||||||||||||||||||||||||||||||||
(a) The first and second quarters of 2006 include write-offs of goodwill associated with the fine paper business of $746 million and $3 million, respectively. | ||||||||||||||||||||||||||||||||||||||
(7) | Additional Containerboard, Packaging and Recycling notes: | |||||||||||||||||||||||||||||||||||||
(a) The second quarter of 2006 includes a charge of $18 million related to the restructuring of the Containerboard, Packaging and Recycling business model. | ||||||||||||||||||||||||||||||||||||||
(b) The first and fourth quarters of 2005 include charges of $12 million and $38 million, respectively, associated with the settlement of linerboard antitrust lawsuits. | ||||||||||||||||||||||||||||||||||||||
(c) The third quarter of 2005 had a charge of $1 million related to hurricane damage. | ||||||||||||||||||||||||||||||||||||||
(8) | Additional Real Estate and Related Assets notes: | |||||||||||||||||||||||||||||||||||||
(a) The first quarter of 2006 includes income of $8 million related to a warranty insurance recovery and income of $9 million related to recognition of deferred income in connection with partnership restructurings. | ||||||||||||||||||||||||||||||||||||||
(b) The first and second quarters of 2006 includes net gains (losses) on land and lot sales of $33 million and ($1) million, respectively. The first, second, third and fourth quarters of 2005 include net gains (losses) on land and lot sales of $57 million, $21 million, ($1) and $2 million, respectively. The fourth quarter of 2005 also includes a $33 million charge for the impairment of unimproved land. | ||||||||||||||||||||||||||||||||||||||
(9) | Additional Corporate and Other notes: | |||||||||||||||||||||||||||||||||||||
(a) The second quarter of 2005 includes a $64 million pretax gain on the sale of the company’s operations in coastal British Columbia and $57 million of income related to the recognition of a deferred gain from previous timberlands sales. The third quarter of 2005 includes a $115 million gain on the sale of an investment in a joint venture. The fourth quarter of 2005 includes a $57 million gain on the sale of the company’s French composites operations and $43 million of income for the cumulative effect of a change to begin capitalizing Weyerhaeuser interest to assets of Weyerhaeuser Real Estate Company. | ||||||||||||||||||||||||||||||||||||||
(b) The fourth quarter of 2005 includes charges of $15 million related to the impairment of an investment in an equity affiliate. |
PRELIMINARY RESULTS SUBJECT TO AUDIT
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION (unaudited)
STATISTICAL INFORMATION (unaudited)
Third party sales volumes: | Q1 | Q2 | Year-to-date | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||||||||
March 26, | March 27, | June 25, | June 26, | June 25, | June 26, | Sept. 25, | Dec. 25, | Dec. 25, | ||||||||||||||||||||||||||||
2006 | 2005 | 2006 | 2005 | 2006 | 2005 | 2005 | 2005 | 2005 | ||||||||||||||||||||||||||||
Timberlands (thousands): | ||||||||||||||||||||||||||||||||||||
Logs — cunits | 935 | 864 | 808 | 863 | 1,743 | 1,727 | 886 | 939 | 3,552 | |||||||||||||||||||||||||||
Wood Products (millions): | ||||||||||||||||||||||||||||||||||||
Softwood lumber — board feet | 1,921 | 2,057 | 2,113 | 2,355 | 4,034 | 4,412 | 2,179 | 2,059 | 8,650 | |||||||||||||||||||||||||||
Plywood — square feet (3/8”) | 389 | 537 | 458 | 600 | 847 | 1,137 | 558 | 485 | 2,180 | |||||||||||||||||||||||||||
Veneer — square feet (3/8”) | 61 | 60 | 63 | 59 | 124 | 119 | 51 | 61 | 231 | |||||||||||||||||||||||||||
Composite panels — square feet (3/4”) | 302 | 299 | 324 | 317 | 626 | 616 | 308 | 305 | 1,229 | |||||||||||||||||||||||||||
Oriented strand board — square feet (3/8”) | 1,000 | 908 | 1,069 | 1,041 | 2,069 | 1,949 | 1,008 | 991 | 3,948 | |||||||||||||||||||||||||||
Hardwood lumber — board feet | 103 | 102 | 110 | 114 | 213 | 216 | 105 | 106 | 427 | |||||||||||||||||||||||||||
Engineered I-Joists — lineal feet | 114 | 108 | 137 | 138 | 251 | 246 | 125 | 113 | 484 | |||||||||||||||||||||||||||
Engineered Solid Section — cubic feet | 9 | 9 | 11 | 10 | 20 | 19 | 10 | 9 | 38 | |||||||||||||||||||||||||||
Logs — cunits (in thousands) | 55 | 187 | 46 | 177 | 101 | 364 | 41 | 46 | 451 | |||||||||||||||||||||||||||
Cellulose Fiber and White Papers (thousands): | ||||||||||||||||||||||||||||||||||||
Pulp — air-dry metric tons | 651 | 629 | 647 | 587 | 1,298 | 1,216 | 653 | 633 | 2,502 | |||||||||||||||||||||||||||
Paper — tons | 753 | 736 | 662 | 742 | 1,415 | 1,478 | 757 | 761 | 2,996 | |||||||||||||||||||||||||||
Coated groundwood — tons | 52 | 58 | 59 | 62 | 111 | 120 | 56 | 56 | 232 | |||||||||||||||||||||||||||
Liquid packaging board — tons | 56 | 60 | 71 | 65 | 127 | 125 | 64 | 69 | 258 | |||||||||||||||||||||||||||
Paper converting — tons | 511 | 475 | 474 | 494 | 985 | 969 | 494 | 501 | 1,964 | |||||||||||||||||||||||||||
Containerboard, Packaging and Recycling (thousands): | ||||||||||||||||||||||||||||||||||||
Containerboard — tons | 211 | 295 | 189 | 259 | 400 | 554 | 238 | 254 | 1,046 | |||||||||||||||||||||||||||
Packaging — MSF | 18,342 | 17,354 | 19,168 | 18,600 | 37,510 | 35,954 | 18,560 | 19,117 | 73,631 | |||||||||||||||||||||||||||
Recycling — tons | 733 | 692 | 719 | 695 | 1,452 | 1,387 | 665 | 676 | 2,728 | |||||||||||||||||||||||||||
Kraft bags and sacks — tons | 20 | 23 | 20 | 22 | 40 | 45 | 22 | 22 | 89 | |||||||||||||||||||||||||||
Real Estate and Related Assets: | ||||||||||||||||||||||||||||||||||||
Single-family homes sold | 1,472 | 1,378 | 1,325 | 1,525 | 2,797 | 2,903 | 1,608 | 1,174 | 5,685 | |||||||||||||||||||||||||||
Single-family homes closed | 1,161 | 1,189 | 1,483 | 1,279 | 2,644 | 2,468 | 1,257 | 1,922 | 5,647 | |||||||||||||||||||||||||||
Single-family homes sold but not closed at end of period | 3,105 | 2,561 | 2,947 | 2,807 | 2,947 | 2,807 | 3,158 | 2,410 | 2,410 |
Total production volumes: | Q1 | Q2 | Year-to-date | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||||||||
March 26, | March 27, | June 25, | June 26, | June 25, | June 26, | Sept. 25, | Dec. 25, | Dec. 25, | ||||||||||||||||||||||||||||
2006 | 2005 | 2006 | 2005 | 2006 | 2005 | 2005 | 2005 | 2005 | ||||||||||||||||||||||||||||
Timberlands (thousands): | ||||||||||||||||||||||||||||||||||||
Fee Depletion — cunits | 2,132 | 2,248 | 2,083 | 2,231 | 4,215 | 4,479 | 2,098 | 2,153 | 8,730 | |||||||||||||||||||||||||||
Wood Products (millions): | ||||||||||||||||||||||||||||||||||||
Softwood lumber — board feet | 1,663 | 1,821 | 1,650 | 1,869 | 3,313 | 3,690 | 1,651 | 1,645 | 6,986 | |||||||||||||||||||||||||||
Plywood — square feet (3/8”) | 241 | 303 | 245 | 302 | 486 | 605 | 296 | 254 | 1,155 | |||||||||||||||||||||||||||
Veneer — square feet (3/8”)(1) | 455 | 517 | 455 | 529 | 910 | 1,046 | 486 | 447 | 1,979 | |||||||||||||||||||||||||||
Composite panels — square feet (3/4”) | 278 | 267 | 288 | 282 | 566 | 549 | 268 | 263 | 1,080 | |||||||||||||||||||||||||||
Oriented strand board — square feet (3/8”) | 1,073 | 1,007 | 1,062 | 1,019 | 2,135 | 2,026 | 1,017 | 1,035 | 4,078 | |||||||||||||||||||||||||||
Hardwood lumber — board feet | 82 | 92 | 83 | 96 | 165 | 188 | 91 | 85 | 364 | |||||||||||||||||||||||||||
Engineered I-Joists — LF | 121 | 133 | 136 | 132 | 257 | 265 | 108 | 110 | 483 | |||||||||||||||||||||||||||
Engineered Solid Section — CF | 11 | 11 | 12 | 10 | 23 | 21 | 10 | 10 | 41 | |||||||||||||||||||||||||||
Cellulose Fiber and White Papers (thousands): | ||||||||||||||||||||||||||||||||||||
Pulp — air-dry metric tons | 676 | 621 | 588 | 614 | 1,264 | 1,235 | 663 | 604 | 2,502 | |||||||||||||||||||||||||||
Paper — tons (2) | 724 | 763 | 672 | 752 | 1,396 | 1,515 | 765 | 780 | 3,060 | |||||||||||||||||||||||||||
Coated groundwood — tons | 56 | 55 | 56 | 59 | 112 | 114 | 60 | 60 | 234 | |||||||||||||||||||||||||||
Liquid packaging board — tons | 61 | 60 | 75 | 64 | 136 | 124 | 69 | 71 | 264 | |||||||||||||||||||||||||||
Paper converting — tons | 498 | 475 | 461 | 487 | 959 | 962 | 483 | 505 | 1,950 | |||||||||||||||||||||||||||
Containerboard, Packaging and Recycling (thousands): | ||||||||||||||||||||||||||||||||||||
Containerboard — tons(3) | 1,575 | 1,503 | 1,533 | 1,581 | 3,108 | 3,084 | 1,597 | 1,587 | 6,268 | |||||||||||||||||||||||||||
Packaging — MSF | 19,550 | 18,628 | 20,290 | 19,915 | 39,840 | 38,543 | 19,416 | 20,130 | 78,089 | |||||||||||||||||||||||||||
Recycling — tons(4) | 1,716 | 1,624 | 1,684 | 1,673 | 3,400 | 3,297 | 1,716 | 1,730 | 6,743 | |||||||||||||||||||||||||||
Kraft bags and sacks — tons | 19 | 23 | 20 | 22 | 39 | 45 | 21 | 22 | 88 |
(1) Veneer production represents lathe production and includes volumes that are further processed into plywood and engineered lumber products by company mills.
(2) Paper production includes unprocessed rolls and converted paper volumes.
(3) Containerboard production represents machine production and includes volumes that are further processed into packaging and kraft bags and sacks by company facilities.
(4) Recycling production includes volumes processed in Weyerhaeuser recycling facilities that are consumed by company facilities and brokered volumes.
PRELIMINARY RESULTS - SUBJECT TO AUDIT
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION
STATISTICAL INFORMATION
CONDENSED CONSOLIDATED BALANCE SHEET (unaudited)
(in millions)
(in millions)
March 26, | June 25, | Dec. 25, | ||||||||||||||||||
Assets | 2006 | 2006 | 2005 | |||||||||||||||||
Weyerhaeuser | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and short-term investments | $ | 105 | $ | 113 | $ | 818 | ||||||||||||||
Receivables, less allowances | 1,828 | 1,942 | 1,727 | |||||||||||||||||
Inventories | 2,050 | 1,911 | 1,899 | |||||||||||||||||
Prepaid expenses | 433 | 427 | 414 | |||||||||||||||||
Assets of discontinued operations | 136 | 134 | 136 | |||||||||||||||||
Total current assets | 4,552 | 4,527 | 4,994 | |||||||||||||||||
Property and equipment | 10,175 | 10,158 | 10,397 | |||||||||||||||||
Construction in progress | 640 | 607 | 528 | |||||||||||||||||
Timber and timberlands at cost, less fee stumpage charged to disposals | 3,702 | 3,696 | 3,705 | |||||||||||||||||
Investments in and advances to equity affiliates | 475 | 479 | 486 | |||||||||||||||||
Goodwill | 2,235 | 2,243 | 2,982 | |||||||||||||||||
Deferred pension and other assets | 1,284 | 1,303 | 1,314 | |||||||||||||||||
Restricted assets held by special purpose entitites | 914 | 916 | 916 | |||||||||||||||||
23,977 | 23,929 | 25,322 | ||||||||||||||||||
Real Estate and Related Assets | ||||||||||||||||||||
Cash and short-term investments | 39 | 36 | 286 | |||||||||||||||||
Receivables, less allowances | 143 | 141 | 42 | |||||||||||||||||
Real estate and land for sale and development | 2,639 | 2,872 | 2,092 | |||||||||||||||||
Other assets | 413 | 486 | 357 | |||||||||||||||||
Assets not owned, consolidated under FIN 46R | 170 | 154 | 130 | |||||||||||||||||
3,404 | 3,689 | 2,907 | ||||||||||||||||||
Total assets | $ | 27,381 | $ | 27,618 | $ | 28,229 | ||||||||||||||
Liabilities and Shareholders’ Interest | ||||||||||||||||||||
Weyerhaeuser | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Notes payable and commercial paper | $ | 1 | $ | 2 | $ | 3 | ||||||||||||||
Current maturities of long-term debt | 699 | 603 | 389 | |||||||||||||||||
Accounts payable | 1,193 | 1,222 | 1,241 | |||||||||||||||||
Accrued liabilities | 1,253 | 1,327 | 1,622 | |||||||||||||||||
Total current liabilities | 3,146 | 3,154 | 3,255 | |||||||||||||||||
Long-term debt | 6,938 | 7,025 | 7,404 | |||||||||||||||||
Deferred income taxes | 4,001 | 3,913 | 4,035 | |||||||||||||||||
Deferred pension, other postretirement benefits and other liabilities | 1,651 | 1,674 | 1,591 | |||||||||||||||||
Liabilities (nonrecourse to Weyerhaeuser) held by special purpose entities | 763 | 765 | 764 | |||||||||||||||||
16,499 | 16,531 | 17,049 | ||||||||||||||||||
Real Estate and Related Assets | ||||||||||||||||||||
Notes payable and commercial paper | 63 | 125 | 3 | |||||||||||||||||
Long-term debt | 878 | 628 | 851 | |||||||||||||||||
Other liabilities | 598 | 707 | 417 | |||||||||||||||||
Liabilities not owned, consolidated under FIN 46R | 114 | 127 | 109 | |||||||||||||||||
1,653 | 1,587 | 1,380 | ||||||||||||||||||
Total liabilities | 18,152 | 18,118 | 18,429 | |||||||||||||||||
Shareholders’ interest | 9,229 | 9,500 | 9,800 | |||||||||||||||||
Total liabilities and shareholders’ interest | $ | 27,381 | $ | 27,618 | $ | 28,229 | ||||||||||||||
STATEMENT OF CASH FLOWS | Q1 | Q2 | Year-to-date | Q3 | Q4 | Year-to-date | ||||||||||||||||||||||||||||||
SELECTED INFORMATION (unaudited) | March 26, | March 27, | June 25, | June 26, | June 25, | June 26, | Sept. 25, | Dec. 25, | Dec. 25, | |||||||||||||||||||||||||||
(in millions) | 2006 | 2005 | 2006 | 2005 | 2006 | 2005 | 2005 | 2005 | 2005 | |||||||||||||||||||||||||||
(Weyerhaeuser only, excludes Real Estate & Related Assets) | ||||||||||||||||||||||||||||||||||||
Net cash from operations | $ | (209 | ) | $ | (203 | ) | $ | 565 | $ | 723 | $ | 356 | $ | 520 | $ | 452 | $ | 648 | $ | 1,620 | ||||||||||||||||
Cash paid for property and equipment | $ | (182 | ) | $ | (117 | ) | $ | (184 | ) | $ | (196 | ) | $ | (366 | ) | $ | (313 | ) | $ | (220 | ) | $ | (310 | ) | $ | (843 | ) | |||||||||
Cash paid for timberlands reforestation | $ | (12 | ) | $ | (12 | ) | $ | (9 | ) | $ | (6 | ) | $ | (21 | ) | $ | (18 | ) | $ | (6 | ) | $ | (8 | ) | $ | (32 | ) | |||||||||
Cash received from issuances of debt | $ | — | $ | — | $ | — | $ | 1 | $ | — | $ | 1 | $ | — | $ | — | $ | 1 | ||||||||||||||||||
Revolving credit facilities, notes and commercial paper | — | |||||||||||||||||||||||||||||||||||
borrowings, net | $ | (68 | ) | $ | 19 | $ | 19 | $ | 23 | $ | (49 | ) | $ | 42 | $ | (40 | ) | $ | 170 | $ | 172 | |||||||||||||||
Payments on debt | $ | (158 | ) | $ | (404 | ) | $ | (10 | ) | $ | (206 | ) | $ | (168 | ) | $ | (610 | ) | $ | (965 | ) | $ | (603 | ) | $ | (2,178 | ) | |||||||||
Proceeds from the sale of operations | $ | — | $ | — | $ | — | $ | 1,107 | $ | — | $ | 1,107 | $ | — | $ | 102 | $ | 1,209 |
PRELIMINARY RESULTS – SUBJECT TO AUDIT