Weyerhaeuser Company · NYSE:WY
Weyerhaeuser — Q2 2009 Earnings Presentation
16 slides from Weyerhaeuser's earnings presentation, Jul 31, 2009
Slide 1: Earnings Release 2nd Quarter 2009
Earnings Release 2nd Quarter — 2009 Weyerhaeuser Company July 31, 2009 3065 2009 Q2.ppt • 07/30/2009• 1
Slide 2: Forward-looking Statement
Forward-looking Statement 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. These statements are based on various assumptions and may not be acc
Slide 3: Statements Relating to Non-GAAP Financial Measures
Statements Relating to Non-GAAP Financial Measures z During the course of this presentation, certain non-U.S. GAAP financial information will be presented. A reconciliation of those numbers to U.S. GAAP financial measures is included in this presentation which is available on the company’s website a
Slide 4: 2009 Q2 Consolidated Results
Chart 1 2009 Q2 Consolidated Results 2009 Q2 $ Millions except EPS 2009 2009 Contribution to Pre-Tax Earnings before Special Q1 Q2 Revenues ($ Millions) $1,391 Items Timberlands $40 $71 Net Earnings before Special Items ($ Millions) 1. ($125) Wood Products (176) (147) Cellulose Fibers 32 (7) Earning
Slide 5: EPS Before Special Items
Chart 2 EPS Before Special Items A reconciliation to GAAP EPS is available on Chart 12 and at www.weyerhaeuser.com $0.80 $0.60 $0.40 $0.20 $0.03 $0.00 -$0.01 -$0.20 -$0.24 -$0.40 -$0.60 -$0.59 -$0.80 -$0.68 -$1.00 -$0.99 -$1.20 Q1 Q2 Q3 Q4 Q1 Q2 2008 2009 3065 2009 Q2.ppt • 07/30/2009• 5
Slide 6: Reconciliation to GAAP
Chart 3 Reconciliation to GAAP $ Millions except EPS Diluted EPS Net Earnings 2009 2009 2009 2009 Q1 Q2 Q1 Q2 EPS / Net Earnings before Special Items ($0.68) ($0.59) ($144) ($125) Alternative Fuel Mixture Credits -- 0.34 -- 72 Impairments and Reserves for Real Estate Assets (0.21) (0.17) (45) (36) C
Slide 7: Changes in Contribution to Earnings by Segment
Changes in Contribution to Chart 4 Earnings by Segment Earnings Before Special Items, Interest and Taxes ($ millions)1. $50 $0 34 -$50 29 26 (61) 31 -$100 -$150 (39) (142) -$200 -$250 -$300 2009 Q1 Timberlands Wood Products Cellulose Fibers Real Estate Corp & Other 2009 Q2 1. A reconciliation before
Slide 8: Timberlands Segment
Chart 5 Timberlands Segment Timberlands ($ Millions) 2009 Q1 2009 Q2 2nd Quarter Notes z Increased sales of non-strategic lands Third Party Revenues1. $154 $208 z Seasonally higher volumes Inter-Segment Revenues1. $117 $104 z Lower operating and SG&A costs z Domestic and export log prices declined C
Slide 9: Wood Products Segment
Chart 6 Wood Products Segment 2nd Quarter Notes z Cost control measures, lower log costs Wood Products ($ Millions) 2009 Q1 2009 Q2 and slightly improved softwood lumber prices more than offset lower engineered Revenues $542 $594 wood products prices Contribution to Pre-Tax Earnings ($266) ($162) z
Slide 10: Average 3rd-Party Realizations — OSB and Lumber / Engineered Lumber
Average 3rd-Party Realizations — Chart 7 OSB and Lumber / Engineered Lumber OSB and Lumber Engineered Lumber $/Thousand $/Unit 500 2400 450 2200 Solid Section ($/CCF) 400 Lumber ($/MBF) 2000 1868 1853 1813 1817 350 322 329 1757 1771 1800 287 300 281 250 255 1600 250 TJI’s ($/MLF) OSB ($/M 3/8”) 1400
Slide 11: Cellulose Fibers Segment
Chart 8 Cellulose Fibers Segment 2nd Quarter Notes z 2nd quarter includes a gain of $107 million Cellulose Fibers ($ Millions) 2009 Q1 2009 Q2 related to alternative fuel mixture credits z Extensive boiler repair at Columbus, MS in Revenues $364 $349 addition to annual maintenance outages z Lower av
Slide 12: Real Estate Segment
Chart 9 Real Estate Segment 2nd Quarter Notes Real Estate ($ Millions) 2009 Q1 2009 Q2 z Average home closing price was higher due to mix z 2nd quarter included gains of $16 million from the Revenues $172 $199 sale of land, lots and partnership interests. 1st quarter included a gain of $6 million fr
Slide 13: 2009 Q3 Outlook
Chart 10 2009 Q3 Outlook Segment Comments z Excluding the impact of non-strategic land sales, Weyerhaeuser expects 2009 Q3 Timberlands earnings to be lower than 2009 Q2 due to additional harvest deferrals and lower log sales realizations. z Weyerhaeuser expects a smaller operating loss in 2009 Q3 du
Slide 14: Appendix
Appendix 3065 2009 Q2.ppt • 07/30/2009• 14
Slide 15: 2009 Q2 Earnings Summary
Chart 11 2009 Q2 Earnings Summary 2008 2009 $ Millions except EPS Contribution to Earnings before Special Items Q1 Q2 Q3 Q4 Q1 Q2 Timberlands $112 $102 $107 $62 $40 $71 Wood Products (203) (131) (109) (199) (176) (147) Cellulose Fibers 56 43 78 65 32 (7) Containerboard, Packaging & Recycling 1. 97 1
Slide 16: Earnings per Share Reconciliation
Chart 12 Earnings per Share Reconciliation 2008 2009 2009 Q1 Q2 Q3 Q4 Q1 Q2 EPS before Special Items ($0.24) $0.03 ($0.01) ($0.99) ($0.68) ($0.59) Alternative Fuel Mixture Credits 0.34 Closures, Restructuring and Impairment of (0.19) (0.20) (0.16) (0.15) (0.29) (0.21) Weyerhaeuser Assets Real Estate