Newsroom
Weyerhaeuser Reports First Quarter Loss of $54 Million, or 24 Cents Per Share, On Net Sales of $4.6 Billion
PRNewswire
FEDERAL WAY, Wash.
Apr 25, 2003
Weyerhaeuser Company (NYSE: WY) today reported a loss for the first quarter of $54 million, or 24 cents per share, which includes after-tax charges of $11 million, or 5 cents per share, for the cumulative effect of a required change in the accounting principle relating to asset retirement obligations; $52 million, or 23 cents per share, for a lawsuit involving Pacific Northwest alder logs; $19 million, or 8 cents per share, associated with integration and restructuring activities; and $15 million, or 7 cents per share, for the closure of facilities.
Last year, Weyerhaeuser reported first quarter net earnings of $30 million, or 14 cents per share, that included an after-tax charge of $23 million for costs associated with the bridge financing of the acquisition of Willamette Industries, an after-tax charge of $17 million for the closure of facilities, and an after-tax benefit of $12 million for the reversal of previously-accrued countervailing duties.
During the first quarter of 2003, the company experienced tough market conditions for all of its lines of business, except real estate and Timberlands. Weyerhaeuser also incurred approximately $24 million in countervailing and anti-dumping duties and related costs on Canadian softwood lumber the company imports into the United States compared with the $26 million Weyerhaeuser incurred in the prior quarter. During the first quarter of 2003, Weyerhaeuser benefited from the synergies of the Willamette acquisition and continued to experience improvements in manufacturing performance.
At the end of the first quarter, Weyerhaeuser estimates it has achieved an annualized run rate of $261 million in pre-tax synergies. The company is confident it will achieve $300 million in pre-tax annual synergies sooner than expected.
Comments from Steven R. Rogel, chairman, president and chief executive officer, on first quarter results:
"This was an extremely difficult quarter, and our results reflect the
challenging business conditions we faced. But it also was a quarter that
demonstrates the progress we're making toward creating a more efficient
Weyerhaeuser. Although increased energy costs, weak building material
prices and sluggish economic conditions offset the improvements we've
made, we're extremely pleased with our increasing manufacturing
efficiency and continued progress toward our synergy goal. In the coming
quarters, we expect to see additional benefits from the steps we've
already taken. Our focus remains on reducing our debt, disciplined
capital spending and the adherence to the improvement initiatives we have
in place. We will continue to do whatever is necessary to further
improve our company's ability to perform well regardless of market
conditions. This may require us to make additional difficult decisions
regarding the ongoing operation of some of our facilities."
SUMMARY OF FIRST QUARTER FINANCIAL HIGHLIGHTS
Millions (except per share data) 1Q 2003 1Q 2002 Change
Net earnings (loss) ($54) $30 ($84)
Earnings (loss) per share ($0.24) $0.14 ($0.38)
Net sales $4,614 $3,991 $623
SEGMENT RESULTS FOR FIRST QUARTER 2003
(Contributions to Pre-Tax Earnings)
Millions 1Q 2003 1Q 2002 Change
Timberlands $149 $107 $42
Wood Products ($150) $9 ($159)
Pulp and Paper $10 $1 $9
Containerboard, Packaging
and Recycling $80 $58 $22
Real estate and related assets $95 $91 $4
TIMBERLANDS
1Q 2003 4Q 2002 Change
Contribution to earnings (millions) $149 $300 ($151)
Excluding the fourth quarter pre-tax gain of $117 million from the sale of 115,000 acres of Washington state timberlands, first quarter earnings were slightly lower than the fourth quarter.
Second quarter earnings from operations are expected to be similar to the first quarter. Slightly lower prices are expected to offset higher volumes in both the export and domestic markets. During the quarter, Weyerhaeuser also expects to book an estimated pre-tax gain of $143 million on the sale of timberlands in Western Washington to Hancock Timber Resources. Proceeds will be used to help pay down the debt associated with the Willamette acquisition.
WOOD PRODUCTS
1Q 2003 4Q 2002 Change
Contribution (charge) to
earnings (millions) ($150) ($75) ($75)
First quarter results include a $79 million pre-tax charge to cover damages awarded by a jury on April 18 in U.S. District Court in Oregon. Excluding this charge, operating losses were comparable to the fourth quarter loss due to depressed prices and severe weather in the East that were offset by improved operating efficiencies.
As part of the company's focus on improving the efficiency of its operations Weyerhaeuser announced the closure of its Millport, Ala., plywood mill. The company said it would continue to review its Wood Products portfolio and make adjustments if necessary to improve its efficiency. In addition, the company took downtime at five mills due to raw material constraints in the South.
Second quarter results for Wood Products are expected to be better than first quarter due to seasonal increases in demand for lumber, engineered lumber, and panels. Weyerhaeuser will continue to be adversely affected by countervailing and anti-dumping duties, and related costs on Canadian softwood lumber the company imports into the United States.
PULP AND PAPER
1Q 2003 4Q 2002 Change
Contribution to earnings (millions) $10 $86 ($76)
Softening fine paper prices and increased energy, transportation and fiber costs offset higher prices for pulp. As a result, earnings were lower than the prior quarter. In addition, fourth quarter results for 2002 benefited from $40 million pre-tax in business interruption insurance recoveries related to a boiler outage in Plymouth, N.C.
Second quarter earnings are expected to be higher than first quarter due to higher pulp prices and lower energy costs. The company will take an estimated 40,000 tons of fine paper downtime to offset increased production efficiencies and perform normal maintenance.
CONTAINERBOARD, PACKAGING AND RECYCLING
1Q 2003 4Q 2002 Change
Contribution to earnings (millions) $80 $114 ($34)
Due to improved manufacturing efficiencies and flat demand, the company took 141,000 tons of downtime in containerboard to balance production with orders and 40,000 tons for normal maintenance. In addition, higher energy costs adversely affected the quarter. This resulted in weaker first quarter earnings compared with the fourth quarter.
Second quarter earnings are expected to be higher than first quarter due to modestly improving market conditions and seasonal increases in demand for packaging. Increasing costs for old corrugated containers (OCC) will partially offset the effects of the seasonal improvements in markets. The company expects to take approximately 68,000 tons of downtime during the quarter.
REAL ESTATE AND RELATED ASSETS
1Q 2003 4Q 2002 Change
Contribution to earnings (millions) $95 $81 $14
First quarter results increased from fourth quarter levels due to the sale of an apartment project and two office buildings. The backlog of homes sold, but not closed, increased slightly to nearly six months.
Second quarter earnings are expected to be lower due to planned second quarter closings of single-family housing shifting into the second half of the year.
OTHER
The company will hold a live conference call at 7 a.m. PDT (10 a.m. EDT) on April 25 to discuss the first quarter results.
To access the conference call, listeners calling from within North America should dial 1-888-789-0089 at least 15 minutes prior to the start of the conference call. Those wishing to access the call from outside North America should dial 1-416-695-5259. Replays of the call will be available for 48 hours following completion of the live call and can be accessed at 1-866-518- 1010 within North America and at 1-416-252-1143 from outside North America.
The call may also be accessed through Weyerhaeuser's Internet site at www.weyerhaeuser.com by clicking on the "Listen to our conference call" link.
Weyerhaeuser Company (NYSE: WY), one of the world's largest integrated forest products companies, was incorporated in 1900. In 2002, sales were Cdn$29.1 billion (US$18.5 billion). It has offices or operations in 18 countries, with customers worldwide. Weyerhaeuser is principally engaged in the growing and harvesting of timber; the manufacture, distribution and sale of forest products; and real estate construction, development and related activities. Weyerhaeuser Company Limited, a wholly owned subsidiary, has Exchangeable Shares listed on the Toronto Stock Exchange under the symbol WYL. Additional information about Weyerhaeuser's businesses, products and practices is available at http://www.weyerhaeuser.com/.
This news release contains statements concerning the company's future results and performance that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Some of these forward-looking statements can be identified by the use of forward-looking terminology such as "expects," "may," "will," "believes," "should," "approximately," anticipates," "estimates," and "plans," and the negative or other variations of those terms or comparable terminology or by discussions of strategy, plans or intentions. In particular, some of these forward-looking statements deal with expected synergies from the Willamette acquisition, expected improvements in manufacturing performance, downtime; expected earnings and performance of the company's business segments during the second quarter, anticipated debt reduction, anticipated capital spending and expected timberland sales. The accuracy of such statements is subject to a number of risks, uncertainties and assumptions that may cause actual results to differ materially from those projected, including, but not limited to, the effect of general economic conditions, including the level of interest rates and housing starts; market demand for the company's products, which may be tied to the relative strength of various U.S. business segments; energy prices; performance of the company's manufacturing operations; the successful execution of internal performance plans; the level of competition from domestic and foreign producers; the effect of forestry, land use, environmental and other governmental regulations; fires, floods and other natural disasters; the company's ability to successfully integrate and manage acquired businesses and to realize anticipated cost savings and synergies from this acquisition; the ability of acquired businesses to perform in accordance with the company's expectations; legal proceedings; performance of pension fund assets; and uncertainties related to closure of timberland sales. The company is also a large exporter and is affected by changes in economic activity in Europe and Asia, particularly Japan, and by changes in currency exchange rates, particularly the relative value of the U.S. dollar to the Euro and the Canadian dollar; and restrictions on international trade or tariffs imposed on imports, including the countervailing and dumping duties imposed on the company's softwood lumber shipments from Canada to the United States. These and other factors that could cause or contribute to actual results differing materially from such forward looking statements are discussed in greater detail in the company's Securities and Exchange Commission filings.
Media - Bruce Amundson 253-924-3047
Analysts - Kathryn McAuley 253-924-2058
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION (unaudited)
CONSOLIDATED EARNINGS (1) Q1 Q2 Q3
March March June June Sept. Sept.
(in millions) 30, 31, 29, 30, 28, 29,
2003 2002 2003 2002 2003 2002
Net sales and revenues:
Weyerhaeuser (2) $4,169 $3,595 $4,501 $4,422
Real estate and related
assets 445 396 421 468
Total net sales and revenues 4,614 3,991 4,922 4,890
Costs and expenses:
Weyerhaeuser:
Costs of products sold 3,322 2,831 3,519 3,576
Depreciation,
amortization and fee
stumpage 321 264 311 304
Selling expenses 107 103 116 116
General and
administrative expenses 231 186 231 201
Research and development
expenses 12 12 13 11
Taxes other than payroll
and income taxes 47 38 53 48
Other operating costs
(income), net (3) (4 ) 37 4 (27) 19
Charges for integration
of facilities 29 2 23 17
Charges for closure of
facilities 22 27 28 --
4,128 3,467 4,267 4,292
Real estate and related
assets:
Costs and operating
expenses 330 291 317 359
Depreciation and
amortization 3 2 1 1
Selling expenses 24 21 24 23
General and
administrative expenses 14 10 11 14
Taxes other than payroll
and income taxes 1 1 1 1
Other operating costs,
net (7) (8) 2 6
365 317 356 404
Total costs and expenses 4,493 3,784 4,623 4,696
Operating income 121 207 299 194
Interest expense and other:
Weyerhaeuser:
Interest expense
incurred (5) (208) (178) (222) (214)
Less interest
capitalized 5 4 16 16
Equity in income (loss)
of affiliates (5) (4) (2) (6)
Interest income and
other 6 5 6 9
Real estate and related
assets:
Interest expense
incurred (14) (13) (13) (12)
Less interest
capitalized 14 13 13 12
Equity in income of
unconsolidated
entities 5 6 6 10
Interest income and
other 11 6 8 11
Earnings before income taxes
and cumulative effect of
a change in accounting
principle (65) 46 111 20
Income taxes 22 (16) (39) (7)
Earnings before cumulative
effect of a change in
accounting principle (43) 30 72 13
Cumulative effect of a
change in accounting
principle, net of applicable
taxes of $6 (6) (11) -- -- --
Net earnings (loss) $(54) $30 $72 $13
Basic and diluted net
earnings (loss) per share:
Net earnings before
cumulative effect of a
change in accounting
principle ($0.19) $0.14 $0.32 $0.06
Cumulative effect of a
change in accounting
principle (0.05) -- -- --
Net earnings (loss) ($0.24) $0.14 $0.32 $0.06
Dividends paid $0.40 $0.40 $0.40 $0.40
CONSOLIDATED EARNINGS (1) Q4 Year ended
(in millions) Dec. 28, Dec. 29, Dec. 28, Dec. 29,
2003 2002 2003 2002
Net sales and revenues:
Weyerhaeuser (2) $4,253 $16,771
Real estate and related assets 465 1,750
Total net sales and revenues 4,718 18,521
Costs and expenses:
Weyerhaeuser:
Costs of products sold 3,285 13,211
Depreciation, amortization and
fee stumpage 335 1,214
Selling expenses 115 450
General and administrative
expenses 229 847
Research and development
expenses 16 52
Taxes other than payroll and
income taxes 39 178
Other operating costs (income),
net (3) (4) (135) (139)
Charges for integration of
facilities 30 72
Charges for closure of
facilities 40 95
3,954 15,980
Real estate and related assets:
Costs and operating expenses 359 1,326
Depreciation and amortization 7 11
Selling expenses 22 90
General and administrative
expenses 13 48
Taxes other than payroll and
income taxes 1 4
Other operating costs, net (1) (1)
401 1,478
Total costs and expenses 4,355 17,458
Operating income 363 1,063
Interest expense and other:
Weyerhaeuser:
Interest expense incurred (5) (207) (821)
Less interest capitalized 14 50
Equity in income (loss) of
affiliates (1) (13)
Interest income and other 8 28
Real estate and related assets:
Interest expense incurred (15) (53)
Less interest capitalized 15 53
Equity in income of unconsolidated
entities 9 31
Interest income and other 8 33
Earnings before income taxes and
cumulative effect of
a change in accounting principle 194 371
Income taxes (68) (130)
Earnings before cumulative effect of
a change in accounting principle 126 241
Cumulative effect of a change in
accounting principle, net of applicable
taxes of $6 (6) -- --
Net earnings (loss) $126 $241
Basic and diluted net earnings (loss)
per share:
Net earnings before cumulative
effect of a change in accounting principle $0.57 $1.09
Cumulative effect of a change in
accounting principle -- --
Net earnings (loss) $0.57 $1.09
Dividends paid $0.40 $1.60
(1) Certain reclassifications have been made to conform prior period
data with the current presentation.
(2) The first quarter of 2003 includes $24 million of charges for
countervailing and anti-dumping duties and related costs. 2002
first quarter includes $13 million of charges for countervailing and
anti-dumping duties and related costs and a credit of $18 million
for the reversal of countervailing and anti-dumping duties accrued
in 2001. The 2002 second quarter includes $7 million of charges for
countervailing and anti-dumping duties and related costs, a credit
of $29 million for the reversal of charges accrued in 2001 and a
credit of $13 million for charges accrued in the first quarter of
2002. The 2002 third quarter includes charges of $31 million and
the 2002 fourth quarter includes charges of $26 million for
countervailing and anti-dumping duties and related costs. The 2002
impact of countervailing and anti-dumping duties and related costs
is a net charge of $17 million, including current year charges of
$64 million, net of $47 million of credits related to the reversal
of charges accrued in 2001.
(3) The first quarter of 2003 includes $35 million of net foreign
exchange gains. 2002 includes $33 million in net foreign exchange
gains. Gains of $8 million and $27 million are included in the
first and second quarters, respectively. A loss of $16 million is
included in the third quarter and a gain of $14 million is included
in the fourth quarter.
(4) The first quarter of 2003 includes a $79 million charge for a
lawsuit involving the market for Pacific Northwest alder logs. 2002
fourth quarter includes a $117 million gain on the sale of
timberlands in Washington state.
(5) 2002 first quarter includes a $35 million charge to write off debt
issue costs in connection with the refinancing of debt in connection
with the acquisition of Willamette Industries.
(6) Statement of Financial Accounting Standards No. 143, Accounting for
Asset Retirement Obligations, was adopted as of the beginning of
2003. Results for 2002 were not impacted by the change in
accounting principle.
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION (unaudited)
Net sales and revenues
(in millions): Q1 Q2 Q3
March March June June Sept. Sept.
30, 31, 29, 30, 28, 29,
2003 2002 2003 2002 2003 2002
Timberlands:
Raw materials (logs,
timber and chips) $203 $142 $184 $193
Other products 21 19 21 18
224 161 205 211
Wood products:
Softwood lumber 752 692 901 845
Plywood and veneer 174 158 203 195
Oriented strand board,
composite and other
panels 257 240 320 217
Hardwood lumber 80 76 81 72
Engineered lumber products 254 253 315 324
Raw materials (logs,
timber and chips) 81 106 129 120
Other products 174 176 198 184
1,772 1,701 2,147 1,957
Pulp and Paper:
Pulp 309 280 297 300
Paper 596 416 563 590
Coated groundwood 36 30 30 32
Bleached paperboard 47 40 51 37
Other products 10 6 10 8
998 772 951 967
Containerboard, Packaging
and Recycling:
Containerboard 77 73 90 101
Packaging 879 758 935 909
Recycling 60 48 51 67
Bags 20 10 20 22
Other products 33 10 34 28
1,069 899 1,130 1,127
Real estate and related
assets 445 396 421 468
Corporate and other 106 62 68 160
$4,614 $3,991 $4,922 $4,890
Earnings before interest
expense, income taxes, and
a cumulative effect of a
change in accounting
principle (1) Q1 Q2 Q3
(in millions) March March June June Sept. Sept.
30, 31, 29, 30, 28, 29,
2003 2002 2003 2002 2003 2002
Timberlands (2) $149 $107 $162 $133
Wood products (3) (4) (150) 9 64 (18)
Pulp and Paper (5) (6) 10 1 (15) 10
Containerboard Packaging and
Recycling (7) 80 58 75 88
Real estate and related
assets (8) 95 91 79 85
Corporate and other (9)
(10) (46) (46) (48) (80)
$138 $220 $317 $218
Net sales and revenues (in millions): Q4 Year ended
Dec. 28, Dec. 29, Dec. 28, Dec. 29,
2003 2002 2003 2002
Timberlands:
Raw materials (logs, timber and chips) $254 $773
Other products 39 97
293 870
Wood products:
Softwood lumber 748 3,186
Plywood and veneer 178 734
Oriented strand board, composite
and other panels 251 1,028
Hardwood lumber 77 306
Engineered lumber products 256 1,148
Raw materials (logs, timber and chips) 117 472
Other products 160 718
1,787 7,592
Pulp and Paper:
Pulp 319 1,196
Paper 594 2,163
Coated groundwood 34 126
Bleached paperboard 51 179
Other products 10 34
1,008 3,698
Containerboard, Packaging and
Recycling:
Containerboard 86 350
Packaging 864 3,466
Recycling 63 229
Bags 23 75
Other products 20 92
1,056 4,212
Real estate and related assets 465 1,750
Corporate and other 109 399
$4,718 $18,521
Earnings before interest expense,
income taxes, and a cumulative effect
of a change in accounting principle (1) Q4 Year ended
(in millions) Dec. 28, Dec. 29, Dec. 28, Dec. 29,
2003 2002 2003 2002
Timberlands (2) $300 $702
Wood products (3) (4) (75) (20)
Pulp and Paper (5) (6) 86 82
Containerboard Packaging and
Recycling (7) 114 335
Real estate and related assets (8) 81 336
Corporate and other (9) (10) (119) (293)
$387 $1,142
(1) Certain reclassifications have been made to conform prior period
data with the current presentation.
(2) 2002 fourth quarter includes a $117 million gain on the sale of
timberlands in Washington state.
(3) The first quarter of 2003 includes $24 million of charges for
countervailing and anti-dumping duties and related costs. 2002
first quarter includes $13 million of charges for countervailing and
anti-dumping duties and related costs and a credit of $18 million
for the reversal of countervailing and anti-dumping duties accrued
in 2001. The 2002 second quarter includes $7 million of charges for
countervailing and anti-dumping duties and related costs, a credit
of $29 million for the reversal of charges accrued in 2001 and a
credit of $13 million for charges accrued in the first quarter of
2002. The 2002 third quarter includes charges of $31 million and
the 2002 fourth quarter includes charges of $26 million for
countervailing and anti-dumping duties and related costs. The 2002
impact of countervailing and anti-dumping duties and related costs
is a net charge of $17 million, including current year charges of
$64 million, net of $47 million of credits related to the reversal
of charges accrued in 2001.
(4) The first quarter of 2003 includes a $79 million charge for a
lawsuit involving the market for Pacific Northwest alder logs and
$22 million in charges for closure costs. 2002 includes closure
costs of $51 million ($17 million in the first quarter and $34
million in the fourth quarter).
(5) 2002 includes $12 million in net business disruption costs
associated with the recovery boiler explosion at the Plymouth, N.C.,
paper facility. Costs of $22 million and $30 million are included
in the second and third quarters, respectively. Net recoveries of
$40 million are included in the fourth quarter.
(6) 2002 fourth quarter results include an $8 million benefit resulting
from adjustments to closure reserves established in 2001.
(7) 2002 includes closure costs of $52 million ($10 million in the first
quarter, $28 million in the second quarter and $14 million in the
fourth quarter).
(8) 2003 includes $8 million for the sale of two office buildings and
$10 for the sale of an apartment complex. 2002 includes $21 million
in gains from sales of apartment complexes, including $7 million in
the second quarter and $14 million in the third quarter.
(9) 2002 results include a $35 million charge in the fourth quarter for
the termination of the former MacMillan Bloedel pension plan for
U.S. employees.
(10) 2003 results include $36 million of net foreign exchange gains.
2002 results include net foreign exchange gains (losses) of $20
million in the second quarter, ($17 million) in the third quarter
and $1 million in the fourth quarter, for a 2002 net gain of $4
million. These gains and losses result primarily from fluctuations
in Canadian exchange rates.
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION (unaudited)
Third party sales volumes: Q1 Q2 Q3
March March June June Sept. Sept.
30, 31, 29, 30, 28, 29,
2003 2002 2003 2002 2003 2002
Timberlands (millions):
Raw materials - cubic feet 96 67 102 91
Wood products (millions):
Softwood lumber - board
feet 2,147 1,812 2,295 2,362
Plywood and veneer -
square feet (3/8") 726 624 815 792
Composite panels - square
feet (3/4") 278 308 445 95
Oriented strand board -
square feet (3/8") 1,025 945 1,095 1,117
Hardwood lumber - board
feet 106 108 113 104
Raw materials - cubic feet 128 143 164 161
Pulp and paper (thousands):
Pulp - air-dry metric tons 623 563 618 561
Paper - tons 737 546 717 749
Coated groundwood - tons 61 48 49 55
Bleached paperboard - tons 60 53 61 47
Paper converting - tons 502 375 488 499
Containerboard, packaging
and recycling (thousands)
Containerboard - tons 221 209 260 283
Packaging - MSF 17,752 15,430 19,614 19,007
Recycling - tons 593 604 552 539
Bags - tons 25 13 26 26
Total production volumes: Q1 Q2 Q3
March March June June Sept. Sept.
30, 31, 29, 30, 28, 29,
2003 2002 2003 2002 2003 2002
Timberlands (millions):
Logs - cubic feet 182 153 191 164
Wood products (millions):
Softwood lumber - board
feet 1,842 1,530 1,702 1,728
Plywood and veneer -
square feet (3/8") 672 471 649 638
Composite panels - square
feet (3/4") 231 218 183 235
Oriented strand board -
square feet (3/8") 1,011 957 944 1,115
Hardwood lumber - board
feet 108 96 99 107
Logs - cubic feet 260 185 187 204
Pulp and paper (thousands):
Pulp - air-dry metric tons 654 607 492 630
Paper - tons 757 510 667 704
Coated groundwood - tons 62 48 60 43
Paperboard - tons 56 63 67 31
Paper converting - tons 516 353 496 502
Containerboard, packaging
and recycling (thousands)
Containerboard - tons 1,429 1,250 1,600 1,621
Packaging - MSF 18,977 16,174 20,521 19,596
Recycling - tons 1,528 1,387 1,588 1,551
Bags - tons 25 13 25 27
Third party sales volumes: Q4 Year ended
Dec. 28, Dec. 29, Dec. 28, Dec. 29,
2003 2002 2003 2002
Timberlands (millions):
Raw materials - cubic feet 110 370
Wood products (millions):
Softwood lumber - board feet 2,154 8,623
Plywood and veneer - square feet (3/8") 672 2,903
Composite panels - square feet (3/4") 299 1,147
Oriented strand board - square feet (3/8") 1,048 4,205
Hardwood lumber - board feet 102 427
Raw materials - cubic feet 127 595
Pulp and paper (thousands):
Pulp - air-dry metric tons 636 2,378
Paper - tons 730 2,742
Coated groundwood - tons 58 210
Bleached paperboard - tons 68 229
Paper converting - tons 497 1,859
Containerboard, packaging and
recycling (thousands)
Containerboard - tons 231 983
Packaging - MSF 17,643 71,694
Recycling - tons 597 2,292
Bags - tons 28 93
Total production volumes: Q4 Year ended
Dec. 28, Dec. 29, Dec. 28, Dec. 29,
2003 2002 2003 2002
Timberlands (millions):
Logs - cubic feet 155 663
Wood products (millions):
Softwood lumber - board feet 1,871 6,831
Plywood and veneer - square feet (3/8") 520 2,278
Composite panels - square feet (3/4") 228 864
Oriented strand board - square feet (3/8") 1,033 4,049
Hardwood lumber - board feet 104 406
Logs - cubic feet 218 794
Pulp and paper (thousands):
Pulp - air-dry metric tons 552 2,281
Paper - tons 730 2,611
Coated groundwood - tons 59 210
Paperboard - tons 66 227
Paper converting - tons 493 1,844
Containerboard, packaging and recycling (thousands)
Containerboard - tons 1,533 6,004
Packaging - MSF 18,809 75,100
Recycling - tons 1,566 6,092
Bags - tons 28 93
WEYERHAEUSER COMPANY
STATISTICAL INFORMATION
CONDENSED CONSOLIDATED BALANCE SHEET (unaudited)
(in millions)
March June Sept. Dec. Dec.
30, 29, 28, 28, 29,
Assets 2003 2003 2003 2003 2002
Weyerhaeuser
Current assets:
Cash and short-term
investments $59 $115
Receivables, less allowances 1,573 1,413
Inventories 2,167 1,941
Prepaid expenses 455 419
Total current assets 4,254 3,888
Property and equipment 12,228 12,278
Construction in progress 709 687
Timber and timberlands at
cost, less fee stumpage
charged to disposals 4,450 4,402
Investments in and advances to
equity affiliates 538 578
Goodwill 3,191 3,131
Deferred pension and other
assets 1,337 1,285
26,707 26,249
Real estate and related assets 1,989 1,970
Total assets $28,696 $28,219
Liabilities and Shareholders' Interest
Weyerhaeuser
Current liabilities:
Notes payable and commercial
paper $321 $2
Current maturities of long-
term debt 595 786
Accounts payable 975 983
Accrued liabilities 1,162 1,223
Total current
liabilities 3,053 2,994
Long-term debt 12,129 11,907
Deferred income taxes,
pension, other postretirement
benefits and other liabilities 5,541 5,346
20,723 20,247
Real estate and related assets
Notes payable and commercial
paper 115 63
Long-term debt 764 814
Other liabilities 466 472
1,345 1,349
Total liabilities 22,068 21,596
Shareholders' interest 6,628 6,623
Total liabilities and
shareholders' interest $28,696 $28,219
STATEMENT OF CASH FLOWS Q1 Q2 Q3
March March June June Sept. Sept.
SELECTED INFORMATION (unaudited) 30, 31, 29, 30, 28, 29,
(in millions) 2003 2002 2003 2002 2003 2002
(Weyerhaeuser only, excludes real
estate & related assets)
Net cash from operations (126) (90) 379 268
Cash paid for property and
equipment (128) (158) (288) (237)
Cash paid for timberlands
reforestation (14) (12) (8) (6)
Cash received from issuances
of debt 1 13,001 100 26
Revolving credit facilities,
notes and commercial paper
borrowings, net 599 30 (150) 122
Payments on debt (251) (6,593) (97) (159)
STATEMENT OF CASH FLOWS Q4 Year ended
SELECTED INFORMATION (unaudited) Dec. 28, Dec. 29, Dec. 28, Dec. 29,
(in millions) 2003 2002 2003 2002
(Weyerhaeuser only, excludes real
estate & related assets)
Net cash from operations 701 1,258
Cash paid for property and
equipment (241) (924)
Cash paid for timberlands
reforestation (10) (36)
Cash received from issuances of
debt 1,015 14,142
Revolving credit facilities, notes
and commercial paper
borrowings, net (230) (228)
Payments on debt (1,375) (8,224)
SOURCE: Weyerhaeuser Company Limited
CONTACT: Media, Bruce Amundson, +1-253-924-3047, or Analysts, Kathryn
McAuley, +1-253-924-2058, both of Weyerhaeuser Company
Web site: http://www.weyerhaeuser.com/