Weyerhaeuser (WY) 8-K Weyerhaeuser Reports 1st Quarter Loss

WEYERHAEUSER COMPANY

STATISTICAL INFORMATION  (unaudited)

CONSOLIDATED EARNINGS

(in millions)

	Q1						Q4
	March 31,			March 30,			December 31,
	2009			2008			2008
Net sales and revenues:
Forest Products	$	1,103		$	1,671		$	1,423
Real Estate		172			371			354
Total net sales and revenues		1,275			2,042			1,777
Costs and expenses:
Forest Products:
Costs of products sold		978			1,399			1,210
Depreciation, depletion and amortization		122			145			139
Selling expenses		43			59			54
General and administrative expenses		96			148			77
Research and development expenses		13			17			15
Charges for restructuring and closures		82			33			23
Charges for goodwill and other asset impairments		18			31			872
Other operating costs, net		6			39			20
		1,358			1,871			2,410
Real Estate:
Costs and operating expenses		151			323			447
Depreciation and amortization		4			4			4
Selling expenses		22			36			34
General and administrative expenses		28			29			24
Impairment of long-lived assets and other related charges		42			37			428
		247			429			937
Total costs and expenses		1,605			2,300			3,347
Operating loss		(330	)		(258	)		(1,570	)
Interest expense and other:
Forest Products:
Interest expense incurred		(108	)		(132	)		(122	)
Less: interest capitalized		2			24			3
Gain on early extinguishment of debt		-			-			33
Interest income and other		14			13			19
Gain on Uruguay restructuring		-			-			149
Equity in income (loss) of affiliates		3			(5	)		7
Real Estate:
Interest expense incurred		(7	)		(12	)		(10	)
Less: interest capitalized		7			12			10
Interest income and other		1			1			(4	)
Equity in income of unconsolidated entities		2			-			6
Investment impairments and other related charges		(26	)		(23	)		(43	)
Loss from continuing operations before income taxes		(442	)		(380	)		(1,522	)
Income taxes		176			139			326
Loss from continuing operations		(266	)		(241	)		(1,196	)
Earnings (loss) from discontinued operations, net of taxes  (1)		-			87			(11	)
Net loss		(266	)		(154	)		(1,207	)
Less: (income) loss attributable to noncontrolling interests		2			6			(5	)
Net loss attributable to Weyerhaeuser	$	(264	)	$	(148	)	$	(1,212	)
Basic and diluted net earnings (loss) per share attributable to Weyerhaeuser common shareholders:
Continuing operations	$	(1.25	)	$	(1.11	)	$	(5.68	)
Discontinued operations		-			0.41			(0.05	)
Net loss per share	$	(1.25	)	$	(0.70	)	$	(5.73	)
Dividends paid per share	$	0.25		$	0.60		$	0.60
Weighted average shares outstanding (in thousands):
Basic		211,298			211,195			211,289
Diluted		211,298			211,195			211,289
Common shares outstanding at end of period (in thousands)		211,355			211,243			211,289

PRELIMINARY RESULTS - SUBJECT TO AUDIT

1

WEYERHAEUSER COMPANY

STATISTICAL INFORMATION  (unaudited)

FOOTNOTES TO CONSOLIDATED EARNINGS

(in millions)

(1)	Discontinued operations for 2008 include the net operating results of our Containerboard, Packaging and Recycling business and Australian operations.
	Results of discontinued operations exclude certain general corporate overhead costs that have been allocated to and are included in contribution to earnings for the operating segments.  Discontinued operations include an allocation of net pension and postretirement income or expense.

Summary results of discontinued operations:	Q1					Q4
		Q1 2009		Q1 2008		Q4 2008
Net sales	$	-	$	1,351	$	-
Net earnings from operations (after-tax)	$	-	$	87	$	3
Net loss on divestitures and sales (after-tax)	$	-	$	-	$	(14	)
Net earnings (loss) from discontinued operations	$	-	$	87	$	(11	)

PRELIMINARY RESULTS - SUBJECT TO AUDIT

2

WEYERHAEUSER COMPANY

STATISTICAL INFORMATION  (unaudited)

NET SALES AND REVENUES:

(in millions)

		Q1					Q4
	March 31,			March 30,			Dec. 31,
	2009			2008			2008
Timberlands:
Logs:
West	$	82	$	115			$	129
South		33		15				37
Canada		2		13				4
Total Logs		117			143			170
Timberlands exchanges		4			18			7
Higher and better use land sales (1)		1			7			2
Minerals, oil and gas		14			12			19
Pay as cut timber sales		7			5			10
Products from international operations (2)		7			3			13
Other products		7			9			3
		157			197			224
Wood Products:
Softwood lumber		222			361			286
Engineered solid section		55			105			74
Engineered I-Joists		33			73			46
Oriented strand board		55			105			88
Plywood		24			57			38
Hardwood lumber		51			80			59
Other products produced		43			49			62
Other products purchased for resale		59			136			72
		542			966			725
Cellulose Fibers:
Pulp		281			345			311
Liquid packaging board		66			67			76
Other products		17			33			26
		364			445			413
Real Estate:
Single family housing		162			337			308
Land development		9			24			45
Other		1			10			1
		172			371			354
Corporate and Other		40			117			61
Containerboard, Packaging and Recycling		-			1,297			-
Less: sales of discontinued operations		-			(1,351	)		-
	$	1,275		$	2,042		$	1,777
(1) Higher and better use timberland is sold through Forest Products subsidiaries
(2) Includes logs, plywood and hardwood lumber harvested or produced by our international operations, primarily in South America.

WEYERHAEUSER COMPANY

STATISTICAL INFORMATION

STATEMENT OF CASH FLOWS

SELECTED INFORMATION (unaudited)

(in millions)

	Q1						Q4
	March 31,			March 30,			Dec. 31,
	2009			2008			2008
Net cash from operations	$	(436	)	$	(282	)	$	(1,191	)
Cash paid for property and equipment (1)	$	(53	)	$	(98	)	$	(91	)
Cash paid for timberlands reforestation (1)	$	(15	)	$	(16	)	$	(17	)
Cash received from issuances of debt	$	-		$	-		$	-
Revolving credit facilities, notes and commercial paper borrowings, net	$	-		$	573		$	8
Payments on debt	$	(1	)	$	(4	)	$	(773	)
Proceeds from the sale of operations	$	-		$	21		$	13
Cash paid for dividends	$	(53	)	$	(127	)	$	(127	)
Repurchases of common stock	$	(2	)	$	-		$	-
Loan to pension trust	$	(85	)	$	-		$	(200	)
(1) Capital spending is for Forest Products only and excludes Real Estate.

PRELIMINARY RESULTS - SUBJECT TO AUDIT

3

WEYERHAEUSER COMPANY

STATISTICAL INFORMATION  (unaudited)

NET CONTRIBUTION TO PRE-TAX EARNINGS:

(in millions)

	Q1						Q4
	March 31,			March 30,			Dec. 31,
	2009			2008			2008
Timberlands	$	40		$	112		$	62
Wood Products		(266	)		(277	)		(960	)
Cellulose Fibers		31			56			(29	)
Real Estate		(96	)		(74	)		(630	)
Corporate and Other		(43	)		(41	)		119
Containerboard, Packaging and Recycling		-			89			-
	$	(334	)	$	(135	)	$	(1,438	)

FOOTNOTES TO NET CONTRIBUTION TO PRE-TAX EARNINGS

(includes costs incurred within the company's discontinued operations)

(in millions)

Wood Products includes:
		Q1 2009			Q1 2008			Q4 2008
Closures and restructuring charges	$	(63	)	$	(32	)	$	(9	)
Goodwill impairments		(3	)		(3	)		(733	)
Other asset impairments		(5	)		(21	)		(19	)
Reserve for litigation		(19	)		(18	)		-
	$	(90	)	$	(74	)	$	(761	)
Cellulose Fibers includes:
		Q1 2009			Q1 2008			Q4 2008
Closures and restructuring charges	$	(1	)	$	-		$	-
Goodwill impairments		-			-			(94	)
Other asset impairments		-			-			-
	$	(1	)	$	-		$	(94	)
Real Estate includes:
		Q1 2009			Q1 2008			Q4 2008
Closures and restructuring charges	$	(4	)	$	-		$	(10	)
Impairment of assets and other related charges		(68	)		(55	)		(474	)
Net gain (loss) on land and lot sales		6			(2	)		(130	)
	$	(66	)	$	(57	)	$	(614	)
Corporate and Other includes:
		Q1 2009			Q1 2008			Q4 2008
Closures and restructuring charges	$	(18	)	$	-		$	(14	)
Other asset impairments		(10	)		(5	)		(22	)
Environmental reserve adjustment		-			(17	)		-
Gain on Uruguay restructure		-			-			149
Share-based compensation		(3	)		(15	)		2
Net foreign exchange losses		(5	)		(11	)		(25	)
Pension and post retirement credits (1)		24			32			69
	$	(12	)	$	(16	)	$	159

(1) Excludes pension and post retirement charges included in restructuring and closures

PRELIMINARY RESULTS - SUBJECT TO AUDIT

4

WEYERHAEUSER COMPANY

STATISTICAL INFORMATION  (unaudited)

THIRD PARTY SALES VOLUMES:

(in millions)

	Q1				Q4
	March 31,		March 30,		Dec. 31,
	2009		2008		2008
Timberlands (thousands):
Logs - cubic meters:
West		1,090		1,477		1,567
South		769		393		861
Canada		64		339		97
International		77		85		147
Wood Products (millions):
Softwood lumber - board feet		890		1,257		1,016
Engineered solid section - cubic feet		3		6		5
Engineered I-Joists - lineal feet		26		56		38
Oriented strand board - square feet (3/8")		347		671		535
Plywood  - square feet (3/8")		67		154		116
Hardwood lumber - board feet		58		87		66
Cellulose Fibers (thousands):
Pulp - air-dry metric tons		409		442		393
Liquid packaging board  - tons		64		71		76
Real Estate:
Single-family homes sold		455		926		334
Single-family homes closed		429		844		755
Single-family homes sold but not closed at end of period		607		1,306		581

WEYERHAEUSER COMPANY

STATISTICAL INFORMATION  (unaudited)

TOTAL PRODUCTION VOLUMES:

	Q1				Q4
	March 31,		March 30,		Dec. 31,
	2009		2008		2008
Timberlands (thousands):
Fee depletion  - cubic meters:
West		1,653		2,678		2,214
South		2,380		3,245		2,858
Wood Products (millions):
Softwood lumber - board feet		861		1,187		977
Engineered solid section - cubic feet		2		6		4
Engineered I-Joists - lineal feet		20		58		39
Oriented strand board - square feet (3/8")		335		697		516
Plywood - square feet (3/8")		28		74		75
Hardwood lumber - board feet		55		71		51
Cellulose Fibers (thousands):
Pulp - air-dry metric tons		415		455		436
Liquid packaging board  - tons		65		64		81

PRELIMINARY RESULTS - SUBJECT TO AUDIT

5

WEYERHAEUSER COMPANY

STATISTICAL INFORMATION

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited)

(in millions)

	March 31,		Dec. 31,
Assets	2009		2008
Forest Products
Current assets:
Cash and cash equivalents	$	1,653	$	2,288
Short-term investments		92		138
Receivables, less allowances		384		429
Receivables for taxes		273		73
Recievable from pension trust		285		200
Inventories		708		745
Prepaid expenses		98		101
Deferred tax assets		150		159
Total current assets		3,643		4,133
Property and equipment, net		3,783		3,869
Construction in progress		95		104
Timber and timberlands at cost, less fee stumpage charged to disposals		4,201		4,205
Investments in and advances to equity affiliates		205		202
Goodwill		40		43
Deferred pension and other assets		620		608
Restricted assets held by special purpose entities		914		916
		13,501		14,080
Real Estate
Cash and cash equivalents		3		6
Receivables, less allowances		51		74
Real estate in process of development and for sale		695		751
Land being processed for development		1,156		1,121
Investments in unconsolidated entities, less reserves		21		30
Deferred tax assets		439		438
Other assets		183		195
Consolidated assets not owned		32		40
		2,580		2,655
Total assets	$	16,081	$	16,735
Liabilities
Forest Products
Current liabilities:
Notes payable and commercial paper	$	1	$	1
Current maturities of long-term debt		406		407
Accounts payable		285		381
Accrued liabilities		825		1,023
Total current liabilities		1,517		1,812
Long-term debt		5,153		5,153
Deferred income taxes		1,803		1,805
Deferred pension, other postretirement benefits and other liabilities		1,493		1,528
Liabilities (nonrecourse to Weyerhaeuser) held by special purpose entities		763		764
		10,729		11,062
Real Estate
Long-term debt		456		456
Other liabilities		317		353
Consolidated liabilities not owned		35		35
		808		844
Total liabilities		11,537		11,906
Shareholders' Equity
Equity		4,544		4,829
Total liabilities and shareholders' equity	$	16,081	$	16,735

PRELIMINARY RESULTS - SUBJECT TO AUDIT

6