Weyerhaeuser (WY) 10-Q 6 Nov 09 2009 Q3 Quarterly report Financial data

Statement Of Income Alternative

Statement Of Income Alternative (USD $)
In Millions, except Share data in Thousands	3 Months Ended Sep. 30, 2009	3 Months Ended Sep. 28, 2008	9 Months Ended Sep. 30, 2009	9 Months Ended Sep. 28, 2008
Net sales and revenues	$1,407	$2,107	$4,073	$6,323
Costs and expenses:
Costs and Expenses, Total	1,284	2,463	4,342	7,343
Operating earnings (loss)	123	(356)	(269)	(1,020)
Gain on Uruguay restructuring (Note 9)			0	101
Earnings (loss) from continuing operations before income taxes	30	(426)	(560)	(1,280)
Income tax benefit (provision)	(35)	221	173	574
Loss from continuing operations	(5)	(205)	(387)	(706)
Discontinued operations, net of income taxes (Note 3)	0	480	0	678
Net earnings (loss)	(5)	275	(387)	(28)
Less: Net loss attributable to noncontrolling interests	5	5	17	64
Net earnings (loss) attributable to Weyerhaeuser common shareholders	0	280	(370)	36
Basic and diluted earnings (loss) per share attributable to Weyerhaeuser common shareholders (Note 4):
Continuing operations	$0	-0.94	-1.75	-3.04
Discontinued operations	$0	2.27	$0	3.21
Net earnings (loss) per share	$0	1.33	-1.75	0.17
Dividends paid per share	0.05	0.6	0.55	1.8
Weighted average shares outstanding (in thousands) (Note 4)
Basic	211,357	211,284	211,337	211,247
Diluted	211,357	211,284	211,337	211,247
Forest Products
Net sales and revenues	1,211	1,778	3,506	5,269
Costs and expenses:
Costs of products sold	973	1,413	3,001	4,330
Alternative fuel mixture credits	(122)	0	(229)	0
Depreciation and amortization	123	147	370	438
Selling expenses	33	57	109	173
General and administrative expenses	79	109	258	382
Research and development expenses	10	14	38	49
Charges for restructuring and closures (Note 6)	67	10	195	87
Impairment of goodwill and other assets (Note 6)	36	65	74	147
Other operating costs (income), net	(184)	(7)	(255)	(8)
Costs and Expenses, Total	1,015	1,808	3,561	5,598
Interest expense incurred	(107)	(126)	(322)	(384)
Less: interest capitalized	1	11	5	56
Interest income and other	15	29	42	58
Gain on Uruguay restructuring (Note 9)	0	0	0	101
Equity in income (loss) of affiliates	(4)	10	(1)	8
Real Estate
Net sales and revenues	196	329	567	1,054
Costs and expenses:
Costs and operating expenses	172	365	487	1,001
Depreciation and amortization	3	5	11	14
Selling expenses	19	32	61	105
General and administrative expenses	16	26	61	82
Other operating costs (income), net	13	(3)	20	(4)
Impairment of long-lived assets and other related charges (Note 8)	46	230	141	547
Costs and Expenses, Total	269	655	781	1,745
Interest expense incurred	(8)	(10)	(22)	(36)
Less: interest capitalized	6	10	20	36
Interest income and other	3	1	5	2
Gain on Uruguay restructuring (Note 9)			0	0
Equity in income (loss) of affiliates	1	15	14	16
Impairment of investments and other related charges (Note 8)	$0	($10)	($32)	($117)

Statement Of Financial Position

Statement Of Financial Position Classified (USD $)
In Millions	Sep. 30, 2009	Dec. 31, 2008
Current assets:
Assets, Total	$15,365	$16,735
Current liabilities:
Liabilities, Total	11,000	11,888
Weyerhaeuser shareholders' interest:
Common shares: $1.25 par value; authorized 400,000,000 shares; issued and outstanding: 211,357,081 and 211,289,320 shares	264	264
Other capital	1,781	1,767
Retained earnings	2,844	3,278
Cumulative other comprehensive loss (Note 14)	(540)	(495)
Total Weyerhaeuser shareholders' interest	4,349	4,814
Noncontrolling interest	16	33
Total equity	4,365	4,847
Total liabilities and equity	15,365	16,735
Forest Products
Current assets:
Cash and cash equivalents	1,624	2,288
Short-term investments	47	138
Receivables, less allowances of $7 and $7	403	429
Receivables for taxes	299	73
Receivable from pension trust (Note 13)	285	200
Inventories (Note 10)	498	702
Prepaid expenses	87	101
Deferred tax assets	150	159
Total current assets	3,393	4,090
Property and equipment, less accumulated depreciation of $6,594 and $6,252	3,686	3,869
Construction in progress	108	104
Timber and timberlands at cost, less depletion charged to disposals	4,014	4,205
Investments in and advances to equity affiliates	199	202
Goodwill	40	43
Deferred pension and other assets	658	651
Restricted assets held by special purpose entities	914	916
Assets, Total	13,012	14,080
Current liabilities:
Notes payable and commercial paper	3	1
Current maturities of long-term debt (Note 12)	41	407
Accounts payable	325	381
Accrued liabilities (Note 11)	708	985
Total current liabilities	1,077	1,774
Long-term debt (Note 12)	5,150	5,153
Deferred income taxes	1,663	1,805
Deferred pension, other postretirement benefits and other liabilities	1,649	1,566
Liabilities (nonrecourse to Weyerhaeuser) held by special purpose entities	765	764
Commitments and contingencies (Note 15)	-	-
Liabilities, Total	10,304	11,062
Real Estate
Current assets:
Cash and cash equivalents	4	6
Receivables, less discounts and allowances of $2 and $4	31	74
Real estate in process of development and for sale	828	990
Land being processed for development	916	882
Investments in and advances to equity affiliates	16	30
Deferred tax assets	396	438
Other assets	156	195
Consolidated assets not owned	6	40
Assets, Total	2,353	2,655
Current liabilities:
Long-term debt (Note 12)	404	456
Other liabilities	292	353
Consolidated liabilities not owned	0	17
Commitments and contingencies (Note 15)	-	-
Liabilities, Total	$696	$826

1_Statement Of Financial Positi

Statement Of Financial Position Classified (Parenthetical) (USD $)
In Millions, except Share data	Sep. 30, 2009	Dec. 31, 2008
Common shares, par value	1.25	1.25
Common shares, authorized	400,000,000	400,000,000
Common shares, issued	211,357,081	211,289,320
Common shares, outstanding	211,357,081	211,289,320
Forest Products
Receivables, allowances	$7	$7
Property and equipment, accumulated depreciation	6,594	6,252
Real Estate
Receivables, discounts and allowances	$2	$4

Statement Of Cash Flows Indirec

Statement Of Cash Flows Indirect (USD $)
In Millions	9 Months Ended Sep. 30, 2009		9 Months Ended Sep. 28, 2008		3 Months Ended Sep. 30, 2009 Forest Products		3 Months Ended Sep. 28, 2008 Forest Products		9 Months Ended Sep. 30, 2009 Forest Products		9 Months Ended Sep. 28, 2008 Forest Products		9 Months Ended Sep. 30, 2009 Real Estate		9 Months Ended Sep. 28, 2008 Real Estate
Cash flows from operations:
Net earnings (loss)	($387)		($28)						($239)		$503		($148)		($531)
Noncash charges (credits) to income:
Depreciation, depletion and amortization	381		516						370		502		11		14
Deferred income taxes, net	(20)		(837)						(62)		(643)		42		(194)
Pension and other postretirement benefits (Note 13)	10		(137)						13		(136)		(3)		(1)
Share-based compensation expense	18		46						15		43		3		3
Equity in (income) loss of affiliates and unconsolidated entities	(13)		(22)						1		(6)		(14)		(16)
Litigation charges	20		0						20		0		0		0
Charges for impairment of assets (Notes 6 and 8)	247		817						74		153		173		664
Net gains on dispositions of assets and operations (Note 7)	(185)		(1,415)						(185)		(1,415)		0		0
Increase to environmental liability reserve	0		17						0		17		0		0
Gain on Uruguay restructuring (Note 9)	0		(101)		0		0		0		(101)		0		0
Foreign exchange transaction (gains) losses (Note 7)	(34)		21						(34)		21		0		0
Decrease (increase) in working capital:
Receivables	(164)		(43)						(197)		(11)		33		(32)
Inventories, real estate and land	247		142						201		30		46		112
Prepaid expenses	15		62						15		59		0		3
Accounts payable and accrued liabilities	(344)		1,037						(269)		1,063		(75)		(26)
Deposits on land positions	13		(38)						0		0		13		(38)
Intercompany advances	0	[2],[3]	0	[2],[3]					0	[2],[3]	0	[2],[3]	102	[2],[3]	(213)	[2],[3]
Other	(80)		(176)						(93)		(164)		13		(12)
Cash from operations	(276)		(139)						(370)		(85)		196		(267)
Cash flows from investing activities:
Property and equipment	(132)		(295)						(123)		(282)		(9)		(13)
Timberlands reforestation	(29)		(36)						(29)		(36)		0		0
Acquisition of timberlands	(26)		(147)						(26)		(147)		0		0
Redemption of short-term investments	92		0						92		0		0		0
Investments in and advances to equity affiliates	(2)		(46)						2		8		(4)		(54)
Proceeds from sale of assets and operations	350		6,458						348		6,458		2		0
Uruguay restructuring (Note 9)	0		(23)						0		(23)		0		0
Purchase of short-term investments	0		(701)						0		(701)		0		0
Loan to pension trust	(85)		0						(85)		0		0		0
Intercompany dividends	0	[3]	0	[3]					250	[3]	0	[3]	0	[3]	0	[3]
Intercompany advances	0	[3]	0	[3]					(224)	[3]	(444)	[3]	0	[3]	0	[3]
Other	32		13						32		13		0		0
Cash from investing activities	200		5,223						237		4,846		(11)		(67)
Cash flows from financing activities:
Notes, commercial paper borrowings and revolving credit facilities, net	0		(381)						0		(203)		0		(178)
Cash dividends	(116)		(380)						(116)		(380)		0		0
Change in book overdrafts	(46)		(99)						(40)		(76)		(6)		(23)
Payments on debt	(422)		(199)						(370)		(97)		(52)		(102)
Exercises of stock options	0		4						0		4		0		0
Repurchase of common stock	(2)		0						(2)		0		0		0
Intercompany dividends	0	[3]	0	[3]					0	[3]	0	[3]	(250)	[3]	0	[3]
Intercompany advances	0	[3]	0	[3]					0	[3]	0	[3]	122	[3]	657	[3]
Other	(4)		(41)						(3)		(3)		(1)		(38)
Cash from financing activities	(590)		(1,096)						(531)		(755)		(187)		316
Net change in cash and cash equivalents	(666)		3,988						(664)		4,006		(2)		(18)
Cash and cash equivalents at beginning of period	2,294	[1]	114	[1]					2,288	[1]	93	[1]	6	[1]	21	[1]
Cash and cash equivalents at end of period	1,628	[1]	4,102	[1]	1,624	[1]	4,099	[1]	1,624	[1]	4,099	[1]	4	[1]	3	[1]
Cash paid (received) during the year for:
Interest, net of amount capitalized	381		391						379		391		2		0
Income taxes	$47	[2]	$13	[2]					$284	[2]	($9)	[2]	($237)	[2]	$22	[2]
[1]2008 Includes cash and cash equivalents of discontinued operations.
[2]Income taxes paid or received by Forest Products and Real Estate include intercompany payments related to income taxes. These intercompany transactions flow through the intercompany advances lines in the statement of cash flows in either operating or investing as discussed in footnote (1) above, and may differ in timing from income tax payments to or receipts from the taxing authorities. Actual income taxes paid to (received from) the taxing authorities are reflected by consolidated cash paid (received) for taxes.
[3]Intercompany dividends, loans and advances represent payments and receipts between Forest Products and Real Estate and are classified as operating, investing or financing based on the perspective of each entity and the characteristics of the underlying cash flows. These amounts are eliminated and do not appear in the consolidated cash flows above.

NOTE 1: BASIS OF PRESENTATION

NOTE 1: BASIS OF PRESENTATION
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 1: BASIS OF PRESENTATION	NOTE 1: BASIS OF PRESENTATION Our consolidated financial statements provide an overall view of our results and financial condition. They include our accounts and the accounts of entities we control, including: majority-owned domestic and foreign subsidiaries and variable interest entities in which we are the primary beneficiary. They do not include our intercompany transactions and accounts, which are eliminated. We account for investments in and advances to unconsolidated equity affiliates using the equity method, with taxes provided on undistributed earnings. This means that we record earnings and accrue taxes in the period earnings are recognized by our unconsolidated equity affiliates. We report our financial results and condition in two groups: Forest Products our forest products-based operations, principally the growing and harvesting of timber, the manufacture, distribution and sale of forest products and corporate governance activities; and Real Estate our real estate development and construction operations. Throughout these Notes to Consolidated Financial Statements, unless specified otherwise, references to Weyerhaeuser, we and our refer to the consolidated company, including both Forest Products and Real Estate. In December 2008, our board of directors amended our bylaws to adopt a December31 fiscal year-end. Previously we reported results on a fiscal calendar ending the last Sunday of the calendar year. Third quarter 2008 ended September28, 2008, and included 91 days. Year-to-date 2008 included 273 days. Beginning in 2009, we report our results on a calendar quarter. Third quarter 2009 ended September30, 2009, and included 92 days. Year-to-date 2009 included 273 days. The accompanying unaudited Consolidated Financial Statements reflect all adjustments that are, in the opinion of management, necessary for a fair presentation of our financial position, results of operations and cash flows for the interim periods presented. Except as otherwise disclosed in these Notes to Consolidated Financial Statements, such adjustments are of a normal, recurring nature. The consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission pertaining to interim financial statements; as such certain disclosures normally provided in accordance with accounting principles generally accepted in the United States have been omitted. These Consolidated Financial Statements should be read in conjunction with the consolidated financial statements and Managements Discussion and Analysis of Financial Condition and Results of Operations included in our Annual Report on Form 10-K for the year ended December31, 2008. The Company has evaluated events and transactions through November5, 2009, the date these financial statements were issued, for items that should potentially be recognized or disclosed. RECLASSIFICATIONS We have reclassified certain balances and results from the prior year for consistency with our 2009 reporting. This makes year-to-year comparisons easier. Our reclassifications had no effect on net earnings (loss) o

NOTE 2: ACCOUNTING PRONOUNCEMEN

NOTE 2: ACCOUNTING PRONOUNCEMENTS
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 2: ACCOUNTING PRONOUNCEMENTS	NOTE 2: ACCOUNTING PRONOUNCEMENTS ACCOUNTING CHANGES WE IMPLEMENTED IN 2009 We changed how we disclose or account for the following during 2009: references to accounting guidance, fair value measurements for nonfinancial assets and nonfinancial liabilities, noncontrolling interests, disclosures about fair value of financial instruments and subsequent events. The FASB Accounting Standards CodificationTM (the Codification) On July1, 2009, the FASB issued the Codification to establish a single level of authoritative nongovernmental U.S. GAAP and eliminate the previous U.S. GAAP hierarchy. All other literature outside of the Codification is non-authoritative with the exception of SEC rules and interpretive releases, which are also authoritative U.S. GAAP for SEC registrants. Our adoption of the Codification during the third quarter did not change our application of U.S. GAAP nor did it have any impact on our results of operations, financial position or cash flows. Fair Value Measurements for Nonfinancial Assets and Nonfinancial Liabilities We adopted FASB guidance for fair value measurements and disclosures of financial assets and financial liabilities in the first quarter of 2008. The FASB deferred the effective date of this guidance for one year as it applies to nonfinancial assets and nonfinancial liabilities that are not recognized or disclosed at fair value on a recurring basis. We adopted the deferred guidance in the first quarter of 2009. This guidance: provides a common definition of fair value, establishes a framework for measuring fair value in generally accepted accounting principles and expands disclosures about fair value instruments. It applies when other accounting standards require or permit fair value measurements. However, it does not require any new fair value measurements. Nonfinancial assets and nonfinancial liabilities affected by this guidance include: long-lived assets (asset groups) measured at fair value for an impairment assessment, reporting units measured at fair value in the first step of a goodwill impairment test, nonfinancial assets and nonfinancial liabilities measured at fair value in the second step of a goodwill impairment assessment and asset retirement obligations initially measured at fair value. This guidance includes a fair value hierarchy that is intended to increase consistency and comparability in fair value measurements and related disclosures. The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable. Observable inputs reflect assumptions market participants would use in pricing an asset or liability based on market data obtained from independent sources while unobservable inputs reflect a reporting entitys pricing based upon their own market assumptions. The fair value hierarchy consists of the following three levels: Level 1 Inputs are quoted prices in active markets for identical assets or liabilities. Level 2 Inputs are:

NOTE 3: DISCONTINUED OPERATIONS

NOTE 3: DISCONTINUED OPERATIONS
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 3: DISCONTINUED OPERATIONS	NOTE 3: DISCONTINUED OPERATIONS There are no operations classified as discontinued for the quarter and year-to-date periods ended September30, 2009. Our discontinued operations for the quarter and year-to-date periods ended September28, 2008, include the operations of our Containerboard, Packaging and Recycling business and our Australian operations, both of which were sold in third quarter 2008. The following table summarizes net sales and revenues and net earnings from discontinued operations for the quarter and year-to-date periods ended September28, 2008: QUARTERENDED YEAR-TO-DATEENDED DOLLARAMOUNTSINMILLIONS SEPTEMBER 28, 2008 SEPTEMBER28, 2008 Net sales and revenues $ 514 $ 3,301 Income from operations 28 331 Interest expense (1 ) Equity in income of affiliates 1 5 Income tax expense (13 ) (121 ) Earnings from operations 16 214 Pretax gain on divestiture and sales 1,379 1,379 Income tax expense (915 ) (915 ) Net gain on divestiture and sales 464 464 Net earnings from discontinued operations $ 480 $ 678 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, include an allocation of net pension income and include interest expense only if the interest is directly attributable to the discontinued operations or is interest on debt that is required to be repaid as a result of a disposal transaction. Discontinued operations related to our Containerboard, Packaging and Recycling business do not include any allocation of interest expense. Discontinued operations related to our Australian operations include interest expense.

NOTE 4: NET EARNINGS

NOTE 4: NET EARNINGS (LOSS) PER SHARE
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 4: NET EARNINGS (LOSS) PER SHARE	NOTE 4: NET EARNINGS (LOSS) PER SHARE Basic earnings per share is net earnings divided by the weighted average number of our outstanding common shares. Diluted earnings per share is net earnings divided by the sum of the: weighted average number of our outstanding common shares and the effect of our outstanding dilutive potential common shares. Dilutive potential common shares may include: outstanding stock options, restricted stock units or performance share units. We use the treasury stock method to calculate the effect of our outstanding dilutive potential common shares. Our basic and diluted earnings (loss) per share attributable to Weyerhaeuser shareholders was: $0.00 during third quarter and $(1.75) during year-to-date 2009 and $1.33 during third quarter and $0.17 during year-to-date 2008. SHARES EXCLUDED FROM DILUTIVE EFFECT The following shares were not included in the computation of diluted earnings (loss) per share for the quarters and year-to-date periods ended September30, 2009, and September28, 2008, due to our net loss position from continuing operations. Some or all of these shares may be dilutive potential common shares in future periods. Potential Shares Not Included in the Computation of Diluted Earnings (Loss) per Share QUARTER ENDED YEAR-TO-DATEENDED SHARESINTHOUSANDS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Stock options 11,901 10,580 11,677 10,244 Performance share units 219 464 220 511 Restricted stock units 745 731 700 729 Share Repurchase Program In December 2008, we announced a stock repurchase program under which we are authorized to repurchase up to $250 million of outstanding common shares. Through September30, 2009, we had repurchased a total of 66,691 shares of common stock for approximately $2 million under the program. These repurchases took place during first half 2009 and all common stock purchases under the program were made in open-market transactions.

NOTE 5: SHARE-BASED COMPENSATIO

NOTE 5: SHARE-BASED COMPENSATION
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 5: SHARE-BASED COMPENSATION	NOTE 5: SHARE-BASED COMPENSATION We granted 1,504,850 stock options, 94,850 stock appreciation rights and 238,344 restricted stock units in 2009. In addition, 193,982 outstanding restricted stock unit awards vested during 2009, resulting in the issuance of 134,452 shares of common stock. The number of stock units vested and the number of common shares issued will differ as a portion of the shares awarded are withheld to cover employee taxes. STOCK OPTIONS Most of the stock options were granted with the following standard vesting and post-termination vesting terms: options vest ratably over 4 years; options either vest or continue to vest in the event of death, disability, retirement or involuntary termination; and options must be exercised within 10 years of the grant date. In addition, we granted 295,600 stock options to certain executives with the following vesting terms and post-termination provisions: options vest at the end of a 4-year required service period; options fully or partially vest in the event of death, disability or involuntary termination; and unvested options will be forfeited in the event of retirement. The weighted average exercise price of all of the stock options granted in 2009 was $25.29. Weighted Average Assumptions Used in Estimating the Value of Stock Options Granted in 2009 10-YEARSTANDARD OPTIONS 10-YEAREXECUTIVE OPTIONS Expected volatility 36.61 % 36.51 % Expected dividends 3.95 % 3.95 % Expected term (in years) 6.16 7.08 Risk-free rate 2.54 % 2.75 % Weighted average grant date fair value $ 6.50 $ 6.69 STOCK APPRECIATION RIGHTS Stock appreciation rights represent liability-classified awards that are remeasured to reflect the fair value at each reporting period. The following table shows the weighted average assumptions applied to all outstanding stock appreciation rights as of September30, 2009. Weighted Average Assumptions Used to Remeasure the Value of Stock Appreciation Rights as of September30, 2009 September30, 2009 Expected volatility 43.23 % Expected dividends 0.55 % Expected term (in years) 3.88 Risk-free rate 1.83 % Weighted average fair value $ 6.74 RESTRICTED STOCK UNITS The weighted average fair value of the restricted stock units granted in 2009 was $25.41. Standard vesting and post-termination vesting terms for restricted stock units granted in 2009 were as follows: restricted stock units vest ratably over 4 years; and restricted stock units will be forfeited upon termination of employment for any reason, including retirement or involuntary termination.

NOTE 6: CHARGES FOR FOREST PROD

NOTE 6: CHARGES FOR FOREST PRODUCTS RESTRUCTURING, CLOSURES AND ASSET IMPAIRMENTS
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 6: CHARGES FOR FOREST PRODUCTS RESTRUCTURING, CLOSURES AND ASSET IMPAIRMENTS	NOTE 6: CHARGES FOR FOREST PRODUCTS RESTRUCTURING, CLOSURES AND ASSET IMPAIRMENTS Actions related to the following Wood Products operations, coupled with corporate restructuring, resulted in the majority of closure and restructuring charges in 2008 and 2009: TYPE OF OPERATION LOCATION CURRENT STATUS Softwood lumber Aberdeen,WA Permanently closed Coburg, OR Permanently closed Carrot River, SK Permanently closed Dallas, OR Permanently closed Green Mountain, WA Permanently closed Kamloops, BC Permanently closed Pine Hill, AL Indefinitely closed Taylor,LA Permanently closed WrightCity,OK Indefinitely closed Veneer and plywood Aberdeen, WA Permanently closed Dodson, LA Indefinitely closed Hudson Bay, SK Permanently closed Pine Hill, AL Indefinitely closed Engineered I-joists Evergreen, AL Indefinitely closed Valdosta, GA Indefinitely closed Engineered wood products Colbert, GA Indefinitely closed Deerwood, MN Indefinitely closed Evergreen, AL Indefinitely closed Hazard,KY Indefinitely closed Junction City, OR Indefinitely closed Simsboro, LA Indefinitely closed Strand technology Drayton Valley, AB Permanently closed Hudson Bay, SK Indefinitely closed Miramichi, NB Permanently closed Wawa, ON Indefinitely closed Hardwood lumber Delta, BC Permanently closed Trus Joist Commercial division Various Sold Trucking Albany, OR Permanently closed iLevel service centers 7 U.S. distribution facilities Sold 9 U.S. distribution facilities Permanently closed We review the carrying value of our assets whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable through future operations.These events or changes in circumstances may include, but are not limited to: decisions made to curtail, close,sell or restructure operations; changes in the expected use of assets; and significant or prolonged adverse changes in financial markets and economic conditions in markets in which we operate. Charges for Forest Products restructuring, closures and asset impairmentsfor the quarters and year-to-date periods ended September30, 2009, and September28, 2008, include: QUARTERENDED YEAR-TO-DATEENDED DOLLARAMOUNTSINMILLIONS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Restructuring and closure charges: Termination benefits $ 4 $ 10 $ 83 $ 86 Pension and postretirement charges 61 (2 ) 96 (1 ) Other restructuring and closure costs 2 1 16 9 67 9 195 94 Less: discontinued operations 1 (7 )

NOTE 7: OTHER OPERATING INCOME,

NOTE 7: OTHER OPERATING INCOME, NET
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 7: OTHER OPERATING INCOME, NET	NOTE 7: OTHER OPERATING INCOME, NET Other operating income, net: excludes our Real Estate operations, includes both recurring and occasional income and expense items and can fluctuate from year to year. Various Income and Expense Items Included in Forest Products Other Operating Income, Net QUARTERENDED YEAR-TO-DATEENDED DOLLARAMOUNTSINMILLIONS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Gain on sale of non-strategic timberlands $ (163 ) $ $ (163 ) $ Gain on sale of Containerboard, Packaging and Recycling (1,173 ) (1,173 ) Gain on sale of Australian operations (211 ) (211 ) (Gain) loss on sale of assets and other operations 1 (6 ) (22 ) (25 ) Foreign exchange (gain) loss (17 ) 13 (34 ) 21 Litigation (reimbursements) expense, net (6 ) 9 30 Land management income (5 ) (7 ) (14 ) (16 ) Environmental remediation reserve adjustments 1 18 Insurance recoveries (13 ) (6 ) Gain on change in postretirement benefits (52 ) Other, net 21 (18 ) 4 (184 ) (1,368 ) (255 ) (1,410 ) Less: discontinued operations (1,361 ) (1,402 ) Total other operating income, net $ (184 ) $ (7 ) $ (255 ) $ (8 ) Foreign exchange (gains) losses result primarily from changes in exchange rates between the U.S. dollar and the Canadian dollar. The $163 million pretax gain on sale of non-strategic timberlands resulted from the sale of 140,000 acres in northwestern Oregon in third quarter 2009. The total pretax gain on the 2008 sale of our Australian operations was $217 million; $211 million was recorded in other operating income, net and $6 million was recorded in equity in income of affiliates. The full $217 million is presented on the Consolidated Statement of Earnings as earnings from discontinued operations, net of taxes.

NOTE 8: REAL ESTATE ASSET IMPAI

NOTE 8: REAL ESTATE ASSET IMPAIRMENTS AND OTHER RELATED CHARGES
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 8: REAL ESTATE ASSET IMPAIRMENTS AND OTHER RELATED CHARGES	NOTE 8: REAL ESTATE ASSET IMPAIRMENTS AND OTHER RELATED CHARGES We review homebuilding long-lived assets and investments within our Real Estate segment for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. These assets are stated at cost unless events or circumstances trigger an impairment review. If a triggering event occurs and the assets carrying amount is not recoverable, we record an impairment loss, which is the difference between the assets book value and fair value. The determination of fair value is based on appraisals and market pricing of comparable assets when that information is available, or the discounted value of estimated future net cash flows from these assets. During 2008 and 2009, unfavorable market conditions caused us to re-evaluate our strategy to develop certain projects, reduce sales prices, and increase customer incentives. The recoverability of our investments was reassessed, which triggered impairment charges. Asset impairments are recorded as adjustments to the cost basis of inventory and investments. Total Real Estate Impairment and Other Related Charges QUARTERENDED YEAR-TO-DATEENDED DOLLARAMOUNTSINMILLIONS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Impairments of long-lived assets and other related charges: Charges attributable to Weyerhaeuser shareholders: Real estate impairments $ 41 $ 226 $ 90 $ 505 Write-off of pre-acquisition costs 2 4 37 16 Other impairment related charges 3 43 230 130 521 Charges attributable to noncontrolling interests 3 11 26 Total impairments of long-lived assets and other related charges 46 230 141 547 Impairments of investments and other related charges: Charges attributable to Weyerhaeuser shareholders (1 ) 6 28 81 Charges attributable to noncontrolling interests 1 4 4 36 Total impairments of investments and other related charges 10 32 117 Total Real Estate impairments and other related charges $ 46 $ 240 $ 173 $ 664 The write-off of pre-acquisition costs primarily relates to forfeited deposits on options to purchase land. The charge for third quarter 2009 includes the forfeiture of a deposit on one project that was planned for development of approximately 385 residential lots. As of September30, 2009, we control approximately 64,000 lots under option. Impairments of investments and other related charges relate to loans and investments in unconsolidated entities. In addition to the Real Estate charges included above, Forest Products has recorded charges for the impairment of interest that previously was capitalized on Real Estate assets of $1 million and $19 million in third quarters 2009 and 2008,

NOTE 9: RESTRUCTURING OF URUGUA

NOTE 9: RESTRUCTURING OF URUGUAY JOINT VENTURES
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 9: RESTRUCTURING OF URUGUAY JOINT VENTURES	NOTE 9: RESTRUCTURING OF URUGUAY JOINT VENTURES In April 2008, we completed the process of restructuring our ownership interests in Uruguay and partitioned the timberland and other assets formerly owned through a joint venture. As part of the partitioning, we contributed $23 million, net of cash acquired, to obtain full ownership of a plywood mill formerly owned through the joint venture. These assets and the results of their operations were consolidated in the accompanying financial statements as of April 2008. An estimated noncash restructuring gain of $101 million was recorded in our Corporate and Other segment during second quarter 2008. An additional $149 million gain was recorded in fourth quarter 2008 when the valuation of the partitioned assets was finalized. There was no tax provision on the gain primarily due to a forestry exemption from income taxes in Uruguay, and the fact that the assets are considered indefinitely invested.

NOTE 10: INVENTORIES

NOTE 10: INVENTORIES
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 10: INVENTORIES	NOTE 10: INVENTORIES Forest Products inventories include raw materials, work-in-process and finished goods. DOLLAR AMOUNTS IN MILLIONS SEPTEMBER30, 2009 DECEMBER31, 2008 Logs and chips $ 26 $ 63 Lumber, plywood, panels and engineered lumber 155 260 Pulp and paperboard 95 126 Other products 82 103 Materials and supplies 140 150 Total inventories $ 498 $ 702

NOTE 11: ACCRUED LIABILITIES

NOTE 11: ACCRUED LIABILITIES
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 11: ACCRUED LIABILITIES	NOTE 11: ACCRUED LIABILITIES Forest Products accrued liabilities were comprised of the following: DOLLAR AMOUNTS IN MILLIONS SEPTEMBER30, 2009 DECEMBER31, 2008 Wages, salaries, severance and vacation pay $ 261 $ 334 Pension and postretirement 83 88 Income taxes 2 53 Taxes Social Security and real and personal property 39 41 Interest 58 120 Dividends 53 Customer rebates and volume discounts 41 70 Deferred mineral income 32 34 Other 192 192 Total accrued liabilities $ 708 $ 985

NOTE 12: FAIR VALUE OF FINANCIA

NOTE 12: FAIR VALUE OF FINANCIAL INSTRUMENTS
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 12: FAIR VALUE OF FINANCIAL INSTRUMENTS	NOTE 12: FAIR VALUE OF FINANCIAL INSTRUMENTS This note provides details about our: debt and other financial instruments. FAIR VALUE OF DEBT The fair value of our long-term debt was $5.3 billion as of September30, 2009. The estimated fair values and carrying values consisted of the following: September 30, 2009 December 31, 2008 DOLLARAMOUNTSINMILLIONS CarryingValue FairValue CarryingValue FairValue Financial Liabilities: Long-term debt (including current maturities) Forest Products $ 5,191 $ 4,938 $ 5,560 $ 4,605 Real Estate $ 404 $ 392 $ 456 $ 381 To estimate the fair value of long-term debt, we used the following valuation approaches: market approach based on quoted market prices for the same types and issues of our debt; or income approach based on the discounted value of the future cash flows using market yields for the same type and comparable issues of debt. The inputs to the valuations of our long-term debt instruments are based on market data obtained from independent sources or information derived principally from observable market data. The difference between the fair value and the carrying value represents the theoretical net premium or discount we would pay or receive to retire all debt at the measurement date. SUBSEQUENT EVENT DEBT OFFERING On October1, 2009, we issued notes totaling $500 million. The notes are unsecured senior obligations bearing an interest rate of 7.375 percent due October1, 2019. The net proceeds after deducting the discount, underwriting fees and issuance costs were $491 million. FAIR VALUE OF OTHER FINANCIAL INSTRUMENTS We believe that our other financial instruments, including cash, short-term investments, receivables, and payables, have net carrying values that approximate their fair values with only insignificant differences. This is primarily due to: the short-term nature of these instruments, carrying short-term investments at expected net realizable value and the allowance for doubtful accounts. We also have long-term investments that are classified as available-for-sale securities. These securities carrying values approximate their fair values.

NOTE 13: PENSION AND OTHER POST

NOTE 13: PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 13: PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS	NOTE 13: PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS We recognized net pension and other postretirement benefit costs of $10 million and credits of $77 million during the year-to-date periods ended September30, 2009, and September28, 2008, respectively. The components of net periodic benefit credits (costs) are: PENSION QUARTER ENDED YEAR-TO-DATEENDED DOLLAR AMOUNTS IN MILLIONS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Service cost $ (14 ) $ (19 ) $ (43 ) $ (79 ) Interest cost (67 ) (73 ) (206 ) (224 ) Expected return on plan assets 114 141 354 428 Amortization of gain (loss) (8 ) 8 (22 ) 18 Amortization of prior service costs (4 ) (6 ) (14 ) (23 ) Loss due to curtailment, settlement and special termination benefits (62 ) (58 ) (93 ) (59 ) Total net periodic benefit credits (costs) $ (41 ) $ (7 ) $ (24 ) $ 61 OTHER POSTRETIREMENT BENEFITS QUARTER ENDED YEAR-TO-DATEENDED DOLLAR AMOUNTS IN MILLIONS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Service (cost) credit $ 1 $ (1 ) $ (1 ) $ (11 ) Interest cost (9 ) (13 ) (28 ) (45 ) Amortization of loss (4 ) (6 ) (12 ) (15 ) Amortization of prior service credits 22 30 63 35 Gain (loss) due to curtailment and special termination benefits (8 ) 52 Total net periodic benefit credits $ 10 $ 10 $ 14 $ 16 The 2009 curtailments and special termination benefits are related to involuntary terminations due to restructuring activities and the closure of Wood Products facilities. During third quarter 2009, amendments were approved for our postretirement medical and life insurance benefits for certain retirees and employees covered by plans in Canada. The changes to the Canadian plans included a decrease in the amounts we will pay for postretirement medical and life insurance for certain retirees and employees. Due to the changes, the plans liabilities were remeasured as of August31, 2009, using a discount rate of 5.9 percent. During third quarter 2009, the cumulative lump-sum distributions for the year triggered a settlement in the U.S. qualified pension plan for salaried employees. The plans assets and liabilities were remeasured as of August31, 2009 the date the settlement was triggered. The assets were remeasured to their estimated fair values. The liabilities were remeasured using a discount rate of 6.1 percent. The net effect of these third quarter 2009 plan amendments, settlements and related plan remeasurements was: a $60 million pension settlement charge recognized in third quarter 2009; a $53 million reduction in pension and postretirement liabilities; and a $79 million net credit in

NOTE 14: COMPREHENSIVE INCOME

NOTE 14: COMPREHENSIVE INCOME (LOSS)
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 14: COMPREHENSIVE INCOME (LOSS)	NOTE 14: COMPREHENSIVE INCOME (LOSS) Our comprehensive income (loss) attributable to Weyerhaeuser common shareholders, net of tax, was income of $106 million for third quarter 2009 and a loss of $415 million for year-to-date 2009. Items Included in Our Comprehensive Income (Loss) QUARTER ENDED YEAR-TO-DATEENDED DOLLARAMOUNTSINMILLIONS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Consolidated net earnings (loss) $ (5 ) $ 275 $ (387 ) $ (28 ) Other comprehensive income (loss): Foreign currency translation adjustments 44 (37 ) 76 (71 ) Actuarial net losses, net of tax (213 ) (175 ) (187 ) Prior service credits, net of tax 61 2 53 170 Net derivative gains (losses) on cash flow hedges, net of tax (6 ) 15 Reclassification of net gains (losses) on cash flow hedges, net of tax 1 (1 ) (6 ) Unrealized gains (losses) on available-for-sale securities 1 2 (1 ) Total other comprehensive income (loss) 106 (253 ) (45 ) (80 ) Total comprehensive income (loss) 101 22 (432 ) (108 ) Less: comprehensive loss attributable to noncontrolling interests 5 5 17 64 Comprehensive income (loss) attributable to Weyerhaeuser common shareholders $ 106 $ 27 $ (415 ) $ (44 ) The net actuarial loss and net prior service credits recognized in 2009 reflect the following changes as disclosed in Note 13: Pension and Other Postretirement Benefit Plans: In first half we adjusted the net funded status of our pension plans as of December31, 2008; In third quarter we announced changes to and remeasured our postretirement benefit plans in Canada; and In third quarter we remeasured our U.S. qualified pension plan for salaried employees. Cumulative Other Comprehensive Loss Our cumulative other comprehensive loss, net of tax, was $540 million as of September30, 2009. Items Included in Our Cumulative Other Comprehensive Loss DOLLAR AMOUNTS IN MILLIONS SEPTEMBER30, 2009 DECEMBER31, 2008 Foreign currency translation adjustments $ 374 $ 298 Net pension and other postretirement benefit loss not yet recognized in earnings, net of tax (1,069 ) (894 ) Prior service credit not yet recognized in earnings, net of tax 152 99 Cash flow hedge fair value adjustments, net of tax 1 Unrealized gains on available-for-sale securities 3 1 Total cumulative other comprehensive loss $ (540 ) $ (495 )

NOTE 15: LEGAL PROCEEDINGS, COM

NOTE 15: LEGAL PROCEEDINGS, COMMITMENTS AND CONTINGENCIES
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 15: LEGAL PROCEEDINGS, COMMITMENTS AND CONTINGENCIES	NOTE 15: LEGAL PROCEEDINGS, COMMITMENTS AND CONTINGENCIES This note provides details about our: legal proceedings and environmental matters. LEGAL PROCEEDINGS Major legal proceedings involving us described in this section are: hardboard siding claims and alder antitrust litigation. We also are a party to other legal matters generally incidental to our business. The ultimate outcome of any legal proceeding: is subject to a great many variables and cannot be predicted with any degree of certainty. However, whenever probable losses from litigation could reasonably be determined we believe that we have established adequate reserves. In addition, we believe the ultimate outcome of the legal proceedings: could have a material adverse effect on our results of operations, cash flows or financial position in any given quarter or year; but will not have a material adverse effect on our long-term results of operations, cash flows or financial position. Hardboard Siding Claims This is a nationwide claims-based settlement of hardboard siding class action cases against us. Under the settlement which we entered into in June 2000 all persons who own or owned structures in the United States on which our hardboard siding had been installed from January1, 1981, through December31, 1999, can file claims. An independent adjuster reviews claims submitted and determines payment. Claims are paid as submitted over a nine-year period. The right to file claims expires in three six-year increments and claims for the first two periods may no longer be filed. The expiration dates are: 2003 persons who had our hardboard siding installed from 1981 to 1986. 2006 persons who had our hardboard siding installed from 1987 to 1993. 2009 persons who had our hardboard siding installed from 1994 to 1999. Status. Total claims and litigation costs paid through September30, 2009, were $112 million. The reserve for future claim payments was $5 million as of September30, 2009. We have recovered a total of $52 million through negotiated settlements with our insurance carriers. We have no litigation pending with any persons or entities that have opted out of the class. However, it is possible that persons or entities that have opted out may file claims in the future. We believe our reserve balance is adequate. However, determining reserves required to fund any future claims involves judgments and projections of future claims rates and amounts. At this time, we are unable to estimate the amount of additional charges if any we may need for these claims in the future. Claims Activity and Average Damage Award Paid YEAR-TO-DATEENDED YEARENDED YEARENDED SEPTEMBER 30, 2009 DECEMBER31,2008 DECEMBER30,2007 Number of claims filed during the period 1,775 1,755 1,460 Number of claims resolved 2,095 1,410 1,980 Number of claims unresolved at end of period 990 1,310 965 Number of damage awards paid 1,570 1,070 1,200 Average damage award paid

NOTE 16: BUSINESS SEGMENTS

NOTE 16: BUSINESS SEGMENTS
	9 Months Ended Sep. 30, 2009 USD / shares
Notes to Financial Statements [Abstract]
NOTE 16: BUSINESS SEGMENTS	NOTE 16: BUSINESS SEGMENTS We are principally engaged in the growing and harvesting of timber; the manufacture, distribution and sale of forest products; and real estate development and construction. Our principal business segments are: Timberlands which includes logs; chips; timber; minerals, oil, gas; and international wood products; Wood Products which includes softwood lumber, engineered lumber, structural panels, hardwood lumber and building materials distribution; Cellulose Fibers which includes pulp, liquid packaging board and an equity interest in a newsprint joint venture; Real Estate which includes real estate development, construction and sales; and Corporate and Other which includes governance-related corporate support activities, transportation and results of international operations outside of North America that have been sold. We also may record gains or charges in the Corporate and Other segment related to dispositions or events that are not related to an individual operating segment. In addition, we had Containerboard, Packaging and Recycling operations that were sold to International Paper in August 2008. KEY FINANCIAL DATA BY BUSINESS SEGMENT Effective with third quarter 2008, certain postretirement credits (costs) are no longer allocated to the Forest Products segments. These credits (costs) are reported in the Corporate and Other segment with the exception of our Real Estate segment and certain union-negotiated postretirement benefits that are reflected in the Cellulose Fibers segment. Postretirement credits (costs) due to curtailments, settlements or special termination benefits continue to be reported in the appropriate business segment and are not reflected in the table below. See Note 13: Pension and Other Postretirement Benefit Plans for more detailed information. QUARTER ENDED YEAR-TO-DATEENDED DOLLARAMOUNTSINMILLIONS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Net postretirement credits (costs): Timberlands $ $ $ $ (2 ) Wood Products (13 ) Cellulose Fibers (2 ) (1 ) (5 ) (7 ) Real Estate (1 ) (3 ) Containerboard, Packaging and Recycling (10 ) Corporate and Other 12 12 27 (1 ) Total $ 10 $ 10 $ 22 $ (36 ) An analysis and reconciliation of our business segment information to the respective information in the consolidated financial statements is as follows: QUARTER ENDED YEAR-TO-DATEENDED DOLLARAMOUNTSINMILLIONS SEPTEMBER30, 2009 SEPTEMBER28, 2008 SEPTEMBER30, 2009 SEPTEMBER28, 2008 Sales to and revenues from unaffiliated customers: Timberlands $ 193 $ 254 $ 558 $ 675 Wood Products 588 1,006 1,724 3,043 Cellulose Fibers 390 447 1,103 1,352 Real

Document Information

Document Information
	9 Months Ended Sep. 30, 2009 USD / shares
Document Information [Text Block]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	2009-09-30

Entity Information

Entity Information (USD $)
	9 Months Ended Sep. 30, 2009	Oct. 30, 2009
Entity [Text Block]
Trading Symbol	WY
Entity Registrant Name	WEYERHAEUSER CO
Entity Central Index Key	0000106535
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		211,357,747