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Weyerhaeuser Company (NYSE: WY) today reported a net loss of $175 million for the fourth quarter 2009, or 83 cents per share, on net sales from continuing operations of $1.5 billion. Last year, Weyerhaeuser reported a fourth quarter net loss of $1.2 billion, or $5.73 per share, on net sales from continuing operations of $1.8 billion.

For the full year 2009, Weyerhaeuser reported a net loss of $545 million, or $2.58 per share, on net sales from continuing operations of $5.5 billion. This compares with a net loss of $1.2 billion, or $5.57 per share, on net sales from continuing operations of $8.1 billion for 2008.

SIGNIFICANT FOURTH QUARTER 2009 AFTER-TAX ITEMS

 

After-Tax Gain

(Charge)

($ millions)

Gain (Charge)

per share

(dollars)

Alternative fuel mixture credits

$77

$0.36

Real Estate asset impairments, restructuring and related charges

($67)

($0.31)

Forest Products asset impairments, closures, restructuring and other charges

($57)

($0.27)

Loss on early extinguishment of debt

($19)

($0.09)

Excluding these items, the company reported a net loss of $109 million, or 52 cents per share, in the fourth quarter of 2009.

SIGNIFICANT FOURTH QUARTER 2008 AFTER-TAX ITEMS

 

After-Tax Gain

(Charge)

($ millions)

Gain (Charge)

per share

(dollars)

Impairment of goodwill

($827)

($3.91)

Real estate-related charges

($313)

($1.48)

Ownership restructuring of Uruguay assets

$149

$0.70

Closure and restructuring activities

($33)

($0.15)

Gain on early extinguishment of debt

$21

$0.10

Excluding these items, the company reported a net loss of $209 million, or 99 cents per share, in the fourth quarter of 2008.

The weak housing market continues to present challenges and affect our financial performance, said Dan Fulton, president and chief executive officer. 2009 has been another tough year and our financial results are disappointing. Despite difficult market conditions, we made significant progress this past year to position ourselves to rebuild revenues and earnings. We cut costs, reduced production to meet demand, focused on cash generation, and deferred harvest to preserve the long-term values of our timberlands. With an eye to the future, we made changes across all business lines to improve long-term competitiveness, implemented plans to grow with strategic customers and announced our decision to convert to a REIT. As we enter 2010, markets continue to be challenging, but Im confident were positioned to deliver significantly improved operating performance.

SUMMARY OF FOURTH QUARTER FINANCIAL HIGHLIGHTS

Millions (except per share data)

4Q 2009

4Q 2008

Change

Net earnings (loss)

($175)

($1,212)

$1,037

Earnings (loss) per share

($0.83)

($5.73)

$4.90

Net sales from continuing operations

$1,455

$1,777

($322)

SUMMARY OF ANNUAL FINANCIAL HIGHLIGHTS

Millions (except per share data)

2009

2008

Change

Net earnings (loss)

($545)

($1,176)

$631

Earnings (loss) per share

($2.58)

($5.57)

$2.99

Net sales from continuing operations

$5,528

$8,100

($2,572)

SEGMENT RESULTS FOR FOURTH QUARTER

Contributions (Charges) to Pre-Tax Earnings

Millions

4Q 2009

4Q 2008

Change

Timberlands

$13

$62

($49)

Wood Products

($208)

($960)

$752

Cellulose Fibers

$147

($29)

$176

Real Estate

($89)

($630)

$541

TIMBERLANDS

 

4Q 2009

3Q 2009

Change

Contribution to pre-tax earnings (millions)

$13

$219

($206)

4Q 2009 Performance Excluding the pre-tax items noted below, the segments fourth quarter results decreased $22 million.

  • Fourth quarter 2009 included charges of $15 million for asset impairments primarily in the international manufacturing operations.

SOURCE

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