EXHIBIT 99
CHAMPION INTERNATIONAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF INCOME (Unaudited)
(in thousands, except per share)
Three Months Ended Nine Months Ended
September 30, September 30,
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1995 1994 1995 1994
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Net Sales:
Paper $1,603,439 $1,091,635 $4,491,293 $3,033,364
Wood Products 237,225 293,105 739,827 819,454
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Total Net Sales $1,840,664 $1,384,740 $5,231,120 $3,852,818
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Income From Operations:
Paper $ 423,075 $ 35,945 $ 997,300 $ (42,444)
Wood Products 34,397 60,827 110,808 181,496
General Corporate Expense (20,146) (15,749) (63,128) (37,048)
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437,326 81,023 1,044,980 102,004
Interest and debt expense 57,711 60,173 172,239 175,601
Other (income) expense - net (Note 1) (4,035) (11,004) (35,288) (19,392)
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Income (Loss) Before Income Taxes 383,650 31,854 908,029 (54,205)
Income Taxes (Benefit) 148,067 8,737 353,688 (15,238)
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Net Income (Loss) $ 235,583 $ 23,117 $ 554,341 $ (38,967)
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Earnings (Loss) Per Common Share: (Note 2)
Primary $2.47 $.18 $5.74 $ (.64)
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Fully Diluted $2.44 $.18 $5.43 $ (.64)
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Note 1: Other (income) expense - net for the nine months ended September 30,
1995 includes non-recurring gains of $89 million from the sales of
certain operations in Canada and non-recurring charges of $68 million
primarily for the writedown of certain U.S. paper and wood products
assets.
Note 2: Earnings per share was calculated for each three month and nine month
period on a stand-alone basis. On June 22, 1995 the company purchased
all 7,894,737 shares of Common Stock that were issued on that date upon
conversion of the $92.50 Convertible Preference Stock, and on June 30,
1995 the company purchased an additional 2,000,000 shares of Common
Stock. In addition, on June 27, 1995 the company called all $149,893,000
of its 6 1/2% Convertible Subordinated Debentures due April 15, 2011 for
redemption on August 8, 1995. Virtually all of the Debentures were
converted into an aggregate of 4,309,070 shares of common stock during
the third quarter. As a result of all of these transactions, the sum of
the earnings per share for the first, second and third quarters of 1995
does not equal the earnings per share for the first nine months of 1995.
If the conversion of the 6 1/2% Convertible Subordinated Debentures had
occurred on the first day of each 1995 period presented, primary
earnings per share for the three months and nine months ended September
30, 1995 would have been $2.44 and $5.57, respectively.
CHAMPION INTERNATIONAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(in thousands of dollars)
September 30, December 31,
1995 1994
(unaudited)
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ASSETS:
Cash and temporary cash investments $ 343,108 $ 90,948
Receivables - net 697,387 562,085
Inventories 419,544 441,430
Prepaid expenses 32,236 23,286
Deferred income taxes 62,125 61,032
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Total Current Assets 1,554,400 1,178,781
Timber and timberlands - net 1,955,612 1,846,823
Property, plant, and equipment - net 5,497,957 5,602,614
Other assets and deferred charges 375,611 335,410
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Total Assets $9,383,580 $8,963,628
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LIABILITIES AND SHAREHOLDERS' EQUITY:
Current installments of long-term debt $ 252,802 $ 308,922
Short-term bank borrowings 110,996 90,184
Accounts payable and accrued liabilities 677,727 592,033
Income taxes 120,617 43,273
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Total Current Liabilities 1,162,142 1,034,412
Long-term debt 2,776,559 2,889,252
Other liabilities 683,270 670,761
Deferred income taxes 1,165,406 1,039,927
Minority interest in subsidiaries 100,774 68,531
Preference stock, $92.50 cumulative series --- 300,000
Shareholders' Equity 3,495,429 2,960,745
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Total Liabilities and Shareholders' Equity $9,383,580 $8,963,628
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