Exhibit 99.2
PLUM CREEK TIMBER COMPANY, INC. |
Quarter Ended | ||||||||
March 31, 2006 | March 31, 2005 | |||||||
(In Millions, Except Per Share Amounts) | ||||||||
Revenues: | ||||||||
Timber | $ | 214 | $ | 200 | ||||
Real Estate | 61 | 68 | ||||||
Manufacturing | 134 | 129 | ||||||
Other | 5 | 3 | ||||||
Total Revenues | 414 | 400 | ||||||
Costs and Expenses: | ||||||||
Cost of Goods Sold: | ||||||||
Timber | 121 | 102 | ||||||
Real Estate | 16 | 24 | ||||||
Manufacturing | 123 | 118 | ||||||
Other | 1 | 1 | ||||||
Total Cost of Goods Sold | 261 | 245 | ||||||
Selling, General and Administrative | 26 | 21 | ||||||
Total Costs and Expenses | 287 | 266 | ||||||
Operating Income | 127 | 134 | ||||||
Interest Expense, net | 31 | 27 | ||||||
Income before Income Taxes | 96 | 107 | ||||||
Provision for Income Taxes | 4 | 5 | ||||||
Income from Continuing Operations | 92 | 102 | ||||||
Gain on Sale of Properties, net of tax | -- | 20 | ||||||
Net Income Before Cumulative Effect of Accounting Change | 92 | 122 | ||||||
Cumulative Effect of Accounting Change, net of tax | 2 | -- | ||||||
Net Income | $ | 94 | $ | 122 | ||||
Income from Continuing Operations per Share | ||||||||
- Basic | $ | 0.5 | 0 | $ | 0.5 | 6 | ||
- Diluted | $ | 0.5 | 0 | $ | 0.5 | 6 | ||
Net Income per Share | ||||||||
- Basic | $ | 0.5 | 1 | $ | 0.6 | 7 | ||
- Diluted | $ | 0.5 | 1 | $ | 0.6 | 6 | ||
Weighted Average Number of Shares Outstanding | ||||||||
- Basic | 184. | 2 | 183. | 9 | ||||
- Diluted | 184. | 7 | 184. | 5 |
PLUM CREEK TIMBER COMPANY, INC. |
March 31, 2006 | December 31, 2005 | |||||||
(In Millions, Except Per Share Amounts) | ||||||||
ASSETS | ||||||||
Current Assets: | ||||||||
Cash and Cash Equivalents | $ | 419 | $ | 369 | ||||
Restricted Advance from Customer | 32 | 23 | ||||||
Accounts Receivable | 50 | 44 | ||||||
Like-Kind Exchange Funds Held in Escrow | 1 | 30 | ||||||
Inventories | 78 | 75 | ||||||
Deferred Tax Asset | 17 | 17 | ||||||
Other Current Assets | 16 | 16 | ||||||
613 | 574 | |||||||
Timber and Timberlands - Net | 3,942 | 3,961 | ||||||
Property, Plant and Equipment - Net | 229 | 234 | ||||||
Investment in Grantor Trusts | 26 | 26 | ||||||
Other Assets | 16 | 17 | ||||||
Total Assets | $ | 4,826 | $ | 4,812 | ||||
LIABILITIES | ||||||||
Current Liabilities: | ||||||||
Current Portion of Long-Term Debt | $ | 232 | $ | 161 | ||||
Short-Term Debt | 50 | 50 | ||||||
Accounts Payable | 36 | 45 | ||||||
Interest Payable | 41 | 30 | ||||||
Wages Payable | 11 | 25 | ||||||
Taxes Payable | 19 | 18 | ||||||
Deferred Revenue | 42 | 35 | ||||||
Other Current Liabilities | 13 | 11 | ||||||
444 | 375 | |||||||
Long-Term Debt | 1,452 | 1,524 | ||||||
Lines of Credit | 495 | 495 | ||||||
Deferred Tax Liability | 40 | 39 | ||||||
Other Liabilities | 47 | 54 | ||||||
Total Liabilities | 2,478 | 2,487 | ||||||
Commitments and Contingencies | ||||||||
STOCKHOLDERS' EQUITY | ||||||||
Preferred Stock, $0.01 par value, authorized shares - 75.0, | ||||||||
outstanding - none | -- | -- | ||||||
Common Stock, $0.01 par value, authorized shares - 300.6, | ||||||||
issued (including Treasury Stock) - 186.4 at March 31, 2006, | ||||||||
and 186.2 at December 31, 2005 | 2 | 2 | ||||||
Additional Paid-In Capital | 2,186 | 2,181 | ||||||
Retained Earnings | 206 | 186 | ||||||
Treasury Stock, at cost, Common Shares - 2.0 | (44 | ) | (44 | ) | ||||
Other Equity | (2 | ) | -- | |||||
Total Stockholders' Equity | 2,348 | 2,325 | ||||||
Total Liabilities and Stockholders' Equity | $ | 4,826 | $ | 4,812 | ||||
PLUM CREEK TIMBER COMPANY, INC. |
Quarter Ended | ||||||||
March 31, 2006 | March 31, 2005 | |||||||
(In Millions) | ||||||||
Cash Flows From Operating Activities: | ||||||||
Net Income | $ | 94 | $ | 122 | ||||
Adjustments to Reconcile Net Income to | ||||||||
Net Cash Provided By Operating Activities: | ||||||||
Depreciation, Depletion and Amortization | 31 | 27 | ||||||
Basis of Real Estate Sold | 10 | 18 | ||||||
Deferred Income Taxes | 1 | (1 | ) | |||||
Gain on Sale of Properties | -- | (21 | ) | |||||
Working Capital Changes | 9 | (64 | ) | |||||
Other | (5 | ) | (2 | ) | ||||
Net Cash Provided By Operating Activities | 140 | 79 | ||||||
Cash Flows From Investing Activities: | ||||||||
Capital Expenditures(Excluding Timberland Acquisitions) | (17 | ) | (10 | ) | ||||
Other | -- | 1 | ||||||
Net Cash Used In Investing Activities | (17 | ) | (9 | ) | ||||
Cash Flows From Financing Activities: | ||||||||
Dividends | (74 | ) | (70 | ) | ||||
Borrowings on Line of Credit | 663 | 529 | ||||||
Repayments on Line of Credit | (663 | ) | (529 | ) | ||||
Proceeds from Stock Option Exercises | 2 | 3 | ||||||
Other | (1 | ) | (1 | ) | ||||
Net Cash Used In Financing Activities | (73 | ) | (68 | ) | ||||
Increase In Cash and Cash Equivalents | 50 | 2 | ||||||
Cash and Cash Equivalents: | ||||||||
Beginning of Period | 369 | 347 | ||||||
End of Period | $ | 419 | $ | 349 | ||||
Plum Creek Timber Company, Inc. |
First Quarter 2006 | First Quarter 2005 | |||||||
(In Millions) | ||||||||
Revenues: | ||||||||
Northern Resources | $ | 115 | $ | 88 | ||||
Southern Resources | 122 | 131 | ||||||
Real Estate | 61 | 68 | ||||||
Manufacturing | 134 | 129 | ||||||
Other | 5 | 3 | ||||||
Eliminations | (23 | ) | (19 | ) | ||||
Total Revenues | $ | 414 | $ | 400 | ||||
Operating Costs and Expenses: | ||||||||
Northern Resources | $ | 80 | $ | 59 | ||||
Southern Resources | 72 | 68 | ||||||
Real Estate | 17 | 25 | ||||||
Manufacturing | 126 | 121 | ||||||
Other | -- | 1 | ||||||
Other Costs and Eliminations | (8 | ) | (8 | ) | ||||
Total Costs and Expenses | $ | 287 | $ | 266 | ||||
Operating Income (Loss) | ||||||||
Northern Resources | $ | 35 | $ | 29 | ||||
Southern Resources | 50 | 63 | ||||||
Real Estate | 44 | 43 | ||||||
Manufacturing | 8 | 8 | ||||||
Other | 5 | 2 | ||||||
Other Costs and Eliminations | (15 | ) | (11 | ) | ||||
Total Operating Income | $ | 127 | $ | 134 | ||||
Plum Creek Timber Company, Inc. |
2006 | 2005 | ||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
1st Qtr | 1st Qtr | 2nd Qtr | 3rd Qtr | 4th Qtr | YTD | ||||||||||||||||||
Sales Realization | Units | ||||||||||||||||||||||
Southern Resources | |||||||||||||||||||||||
Sawlog | $/Ton Stumpage | $ | 35 | $ | 38 | $ | 38 | $ | 36 | $ | 37 | $ | 37 | ||||||||||
Pulpwood | $/Ton Stumpage | $ | 8 | $ | 9 | $ | 9 | $ | 8 | $ | 7 | $ | 8 | ||||||||||
Northern Resources | |||||||||||||||||||||||
Sawlog | $/Ton Delivered | $ | 77 | $ | 76 | $ | 77 | $ | 79 | $ | 77 | $ | 77 | ||||||||||
Pulpwood | $/Ton Delivered | $ | 37 | $ | 37 | $ | 37 | $ | 39 | $ | 38 | $ | 38 | ||||||||||
Lumber (1) | $/MBF | $ | 467 | $ | 483 | $ | 459 | $ | 440 | $ | 435 | $ | 454 | ||||||||||
Plywood (1) | $/MSF | $ | 452 | $ | 419 | $ | 422 | $ | 418 | $ | 444 | $ | 425 | ||||||||||
Fiberboard (1) | $/MSF | $ | 445 | $ | 449 | $ | 458 | $ | 441 | $ | 434 | $ | 446 | ||||||||||
Sales Volume | |||||||||||||||||||||||
Southern Resources | |||||||||||||||||||||||
�� Sawlog | 1,000 Tons | 1,749 | 1,899 | 1,899 | 1,553 | 1,624 | 6,975 | ||||||||||||||||
Pulpwood | 1,000 Tons | 1,642 | 1,592 | 1,825 | 1,690 | 1,696 | 6,803 | ||||||||||||||||
Total Harvest | 3,391 | 3,491 | 3,724 | 3,243 | 3,320 | 13,778 | |||||||||||||||||
Northern Resources | |||||||||||||||||||||||
Sawlog | 1,000 Tons | 1,151 | 906 | 774 | 898 | 1,011 | 3,589 | ||||||||||||||||
Pulpwood | 1,000 Tons | 766 | 499 | 319 | 467 | 529 | 1,814 | ||||||||||||||||
Total Harvest | 1,917 | 1,405 | 1,093 | 1,365 | 1,540 | 5,403 | |||||||||||||||||
Lumber | MBF | 99,367 | 102,857 | 105,028 | 103,099 | 96,003 | 406,987 | ||||||||||||||||
Plywood | MSF | 75,769 | 75,483 | 75,235 | 76,692 | 71,115 | 298,525 | ||||||||||||||||
Fiberboard | MSF | 69,076 | 61,806 | 61,843 | 62,231 | 62,407 | 248,287 |
(1) Represents prices at mill level.
Plum Creek Timber Company, Inc. |
2006 | 2005 | |||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
1st Qtr | 1st Qtr | 2nd Qtr | 3rd Qtr | 4th Qtr | YTD | |||||||||||||||
Acres Sold | ||||||||||||||||||||
Small Non-strategic | 15,050 | 18,525 | 13,315 | 85,610 | 30,750 | 148,200 | ||||||||||||||
Large Non-strategic | -- | -- | 625 | * | -- | 39,375 | 40,000 | |||||||||||||
Conservation | 1,815 | 8,650 | 450 | 11,600 | 1,900 | 22,600 | ||||||||||||||
HBU/Recreation | 3,860 | 9,100 | 4,510 | 5,620 | 1,770 | 21,000 | ||||||||||||||
Development Properties | 1,075 | 20 | 140 | 20 | 20 | 200 | ||||||||||||||
Conservation Easements | n/a | n/a | n/a | n/a | n/a | n/a | ||||||||||||||
21,800 | 36,295 | 19,040 | 102,850 | 73,815 | 232,000 | |||||||||||||||
Price per Acre | ||||||||||||||||||||
Small Non-strategic | $ | 1,465 | $ | 1,225 | $ | 1,425 | $ | 1,050 | $ | 905 | $ | 1,075 | ||||||||
Large Non-strategic | -- | -- | $ | 1,820 | -- | $ | 763 | $ | 780 | |||||||||||
Conservation | $ | 1,475 | $ | 1,550 | $ | 3,225 | $ | 760 | $ | 1,225 | $ | 1,151 | ||||||||
HBU/Recreation | $ | 4,960 | $ | 2,600 | $ | 2,550 | $ | 3,030 | $ | 3,905 | $ | 2,814 | ||||||||
Development Properties | $ | 8,595 | $ | 23,500 | $ | 13,785 | $ | 14,300 | $ | 10,700 | $ | 14,500 | ||||||||
Conservation Easements | $ | 1,300 | $ | 427 | -- | -- | $ | 490 | $ | 450 | ||||||||||
Revenue ($ millions) | ||||||||||||||||||||
Small Non-strategic | $ | 22 | $ | 23 | $ | 19 | $ | 90 | $ | 28 | $ | 160 | ||||||||
Large Non-strategic | -- | -- | $ | 1 | -- | $ | 30 | $ | 31 | |||||||||||
Conservation | $ | 3 | $ | 13 | $ | 2 | $ | 9 | $ | 2 | $ | 26 | ||||||||
HBU/Recreation | $ | 19 | $ | 24 | $ | 11 | $ | 17 | $ | 7 | $ | 59 | ||||||||
Development Properties | $ | 9 | -- | $ | 3 | -- | -- | $ | 3 | |||||||||||
Conservation Easements | $ | 8 | $ | 8 | -- | -- | $ | 5 | $ | 13 | ||||||||||
$ | 61 | $ | 68 | $ | 36 | $ | 116 | $ | 72 | $ | 292 | |||||||||
Basis of Real Estate Sold | $ | 10 | $ | 18 | $ | 10 | $ | 54 | $ | 42 | $ | 124 | ||||||||
($ millions) |
* Represents the completion of the sale of our Pennsylvania properties. Initial sale was in 2004.