Business
Western Forest Products Reports 2007 Second Quarter Net Income of $17.6 million
Western Forest Products Reports 2007 Second Quarter Net Income of $17.6 million.
About this update from Western Forest Products Inc.
[{"type":"text","content":"\n\n\n\nTSX: WEF\n\n\nDUNCAN, BC, Aug. 13 /CNW/ - Western Forest Products Inc. (TSX: WEF)\n("Western") today announced its results for the second quarter of 2007. The\nCompany reported net income of $17.6 million ($0.09 per share) and EBITDA of\n$21.1 million in the second quarter of 2007.\n\n\n Q2 Highlights\n\n-------------------------------------------------------------------------\n\n- Increased log and lumber production and sales.\n- Reduced manufacturing costs through continued operational and capital\n improvements and higher production levels.\n- Advanced the marketing and sale of non-core assets which have a value\n estimated at $150-$180 million realizing proceeds of $13.6 million\n and a gain of $9.4 million on those assets sold during the quarter.\n- Reduced interest expense to $5.9 million from $9.9 million in the\n same period of 2006 following debt and interest rate reductions in\n 2006 and the first quarter of 2007.\n\n-------------------------------------------------------------------------\n\n\nSecond Quarter Results\n\n\nThe Company reported net income of $17.6 million ($0.09 per share) in the\nsecond quarter of 2007 compared to $7.2 million ($0.04 per share) in the first\nquarter of 2007 and a loss of $9.4 million ($0.06 per share) in the second\nquarter of 2006. The results benefited from a foreign exchange gain on the\nCompany's U.S. dollar debt of $6.3 million and the gain on non-core asset\nsales of $9.4 million. Excluding the impact of these items, EBITDA and net\nincome would have been $20.6 million and $1.9 million, respectively for the\nsecond quarter of 2007.\n\n\n FINANCIAL SUMMARY\n\n Three Three Three Six Six\n Months Months Months Months Months\n(millions of Ended Ended Ended Ended Ended\n dollars except June 30, March 31, June 30, June 30, June 30,\n per share amounts) 2007 2007 2006 2007 2006\n-------------------------------------------------------------------------\nEBITDA $ 21.1 $ 23.3 $ 7.7 $ 44.4 $ 7.6\nNet income (loss)\n from continuing\n operations $ 13.8 $ 8.2 $ (7.5) $ 22.0 $ (54.0)\nNet income (loss)\n from discontinued\n operations $ 3.8 $ (1.0) $ (1.9) $ 2.8 $ (9.0)\nNet income (loss) $ 17.6 $ 7.2 $ (9.4) $ 24.8 $ (63.0)\n-------------------------------------------------------------------------\nPer share - basic\n and diluted:\nNet income (loss)\n from continuing\n operat...